The Dow's Quiet, but These Stocks Are Partying

Beginning investors often assume that when the overall stock market is hovering near the flatline, there's nothing important going on in the business world. For instance, looking at this afternoon's levels for major market benchmarks, it looks as though many traders have given up and gone home for the weekend, with the Dow Jones Industrials (DJINDICES: ^DJI  ) up just nine points as of 1:20 p.m. EDT. With none of the Dow's components making particularly abrupt moves, news concerning those blue chips isn't having much impact on share prices today.

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.

On the other side of the spectrum is Palo Alto Networks (NYSE: PANW  ) , which has fallen 10% following its earnings report last night. Citing federal spending cuts and poor conditions in Europe, Palo Alto reported weaker-than-expected sales despite seeing year-over-year growth of 54%. Even worse, the company expects current-quarter revenue growth to slow to about 42% year over year, reflecting a much faster deceleration than the stock's valuation implied. Given the huge amount of competition in the data- and cyber-security industry, Palo Alto and its virtual firewalls aren't guaranteed to win out over the company's rivals.

Finally, Krispy Kreme (NYSE: KKD  ) delivered some sweet results for shareholders. Its stock has climbed 20% after it beat earnings expectations and boosted its full-year profit guidance by more than 10%. The donut-making comeback story has been impressive, and the increasing popularity of Krispy Kreme's coffee and other beverages will be vital to the company's future success. Given the stock's valuation, investors clearly believe in the company's growth story going forward.

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Dow Jumps 207 Points on Jobs Report

Just days after a reading of private-sector employment disappointed, causing markets to reel, today's figures from the Department of Labor boosted sentiment on Wall Street. Nonfarm payrolls rose 175,000 in May, up from gains of about 150,000 the month before. Investors seem to think the improvement mediocre enough to keep the Fed from tapering its stimulus and just good enough to not fear for the economy's health. Friday's jobs report was enough to send the Dow Jones Industrial Average (DJINDICES: ^DJI  ) 207 points, or 1.4%, higher, to close out the week at 15,248. 

Flying high atop the Dow was Boeing (NYSE: BA  ) , which added 2.7% today as the company continues to recover from its Dreamliner nightmare earlier this year. After serious safety concerns prompted international groundings of Dreamliner 787 models, the company has since fixed the engine issue and the models are back in the air. With Rolls-Royce signing on to provide the engines for 50 Boeing planes going to Singapore Air, shareholders cheered the emphasis on quality in new orders. 

Walt Disney (NYSE: DIS  ) shares were also highfliers on Friday, tacking on 2.7%. The House of Mouse hiked entrance fees at a number of its theme parks just days ago, and with Friday's jobs report showing continued strength in hiring, it looks like more Americans will be able to afford to spend money they should probably be saving.

Only four blue chips closed in the red on Friday. Both of the day's worst performers pay handsome dividends to investors. Merck (NYSE: MRK  ) , for instance, which lost 0.8% today, dishes out 3.7% a year to shareholders. There's nothing wrong with rewarding investors with healthy quarterly payouts, but on days as bullish as today was, the market can sometimes get fixated on the immediate lure of capital gains over the steady cash sought by the patient long-term income investor.

AT&T (NYSE: T  ) , which shells out a 5.1% annual dividend, shed 1% today. The revelation that dominated newswires yesterday -- that the U.S. government is secretly collecting phone and Internet usage data on millions of Americans -- may be sinking in for investors in the wireless provider. Though in fact rival Verizon was the company explicitly cited in The Guardian's expository report, the extremely secretive nature of the data collection may have some shareholders concerned about potential customer pushback should AT&T also turn out to be providing usage information.

Boeing operates as a major player in a multi-trillion-dollar market in which the opportunities and responsibilities are absolutely massive. However, emerging competitors and the company's execution problems have investors wondering whether Boeing will live up to its shareholder responsibilities. In our premium research report on the company, two of The Motley Fool's best minds on industrials have collaborated to provide investors with the key, must-know issues surrounding Boeing. They'll be updating the report as key news hits, so don't miss out — simply click here now to claim your copy today.

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Rest in Peace, Medicare?

Does Medicare have one foot in the grave already? The Trustees of the Medicare program recently announced that the program will remain solvent through 2026. After that, there won't be any assets in the trust fund -- and Medicare will be officially bankrupt. However, reports of Medicare's coming death appear to be greatly exaggerated. 

It's complicated
For one thing, Medicare isn't really just one program. Medicare Part B, which covers physician and other outpatient services, and Part D, which covers prescription drugs, are financed through a separate trust fund. This trust fund receives money from the general treasury of the U.S. and enrollee premiums, which are reset each year. These parts of Medicare won't go bankrupt.

Medicare Part A, which covers hospital costs, does face insolvency. What this means is that the Medical Hospital Insurance Trust Fund will run out of money and no longer be able to pay for all the bills. However, enough money will still be coming in from taxes and other revenue sources that a large portion of those bills could still be paid even if nothing was done -- around 87% initially and drifting down to 71% by 2050. This isn't a good situation by any means, but seniors don't need to be worried that Medicare will cease to exist.

Don't trust the trustees?
Some might think things are actually turning the corner for Medicare. The insolvency date for Medicare was previously projected for 2024. The latest Trustee report, however, extended that date out two years through 2026. Don't put too much confidence in these revised projections, though.

The Trustees basically say to not trust their numbers in the recent report. Their projections assume that payment rates for physicians will be reduced by 25% beginning in 2014. However, the White House and Congress have overrode these physician cuts every year since 2003. As the Trustees say in their report, it's a "virtual certainty" that they will continue to do so.

A rosier outlook for Medicare in the latest Trustee report stems in part from lower-than-expected skilled nursing spending in 2012. The projections also count on an improved economic outlook over the next several years. The report correctly states that the primary cost driver for skilled nursing is labor. The weak economy has probably held those labor costs down. I suspect that if the economy improves considerably, skilled nursing costs will return to higher levels. If the economy doesn't improve, the projections will be off. Either way, the more positive outlook could be undermined.

Grim outlook
Medicare isn't in danger of dying anytime soon, but that doesn't diminish the magnitude of the overall danger. The program has spent more than it took in each year since 2008 and faces even more serious problems ahead.

Source: Centers for Medicare and Medicaid Services 

Medicare relies largely on taxes paid by current workers to fund medical expenses for senior citizens. As the U.S. population ages, the ratio of workers to beneficiaries is projected to decline tremendously. This doesn't bode well for the program's financial outlook over the next few decades.

Source: Centers for Medicare and Medicaid Services 

As a result, Medicare will consume an increasing share of the overall U.S. gross domestic product. This trend will crowd out available federal funds for other programs. Even worse, Medicare deficits will grow and require more additional federal spending to supplement the taxes paid by active workers and premiums paid by beneficiaries.

Surviving
What will it take for Medicare to survive well into the future? Some say that higher taxes are unavoidable. Of course, with fewer workers per beneficiary, that option could put a heavy burden on taxpayers. Others say the solution should come largely from trimming back benefits. But how to do this presents a challenge, to put it mildly.

Perhaps Americans' best hope lies in one of the characteristics that make the country great -- ingenuity. The Medicare Trustees themselves stated that scientific advances could "make possible new interventions, procedures, and therapies" with the result that "some conditions that are untreatable today will be handled routinely in the future." 

Genetic testing stands out as one current example of how scientific advances can help reduce medical costs. Genomic Health (NASDAQ: GHDX  ) makes genetic diagnostic tests for breast, colon, and prostate cancer. Half of the patients diagnosed with prostate cancer each year actually have a very low risk of the cancer progressing. However, 90% of these low-risk patients still undergo surgery or radiation -- at a cost of tens of thousands of dollars per patient. Genomic Health's genetic test helps identify which patients really need more extensive treatment and holds the potential to reduce overall costs.

Another solution lies in more effective drugs that could reduce hospital stays. Research shows that the hospital stay rate for Medicare patients with heart failure has fallen over the past 15 years. Drugs that help prevent heart problems have been a key factor in this improvement. And these drugs are continually getting better.

Merck (NYSE: MRK  ) , for example, received regulatory approval in May for a new cholesterol drug called Liptruzet. The drug combines another Merck medication, Zetia, with Lipitor. Clinical studies found that Liptruzet reduces "bad" cholesterol levels that can lead to heart problems by as much as 61% -- much better than either Zetia or Lipitor by themselves.

Telemedicine also holds promise for helping keep Medicare beneficiaries out of the hospital. Consulting firm Deloitte thinks that as much as $400 billion annually could be saved using telemedicine applications. Qualcomm (NASDAQ: QCOM  ) stands as one of the leaders in technology that enables medical information from patients at home to be sent easily and inexpensively to clinical professionals. The mobile telecommunications giant has formed partnerships with at least 18 medical application companies, 49 medical device makers, and 80 service providers to deliver telemedicine solutions.

Granted, it will take many more of these types of innovations to make a significant dent in the problems facing Medicare. But there are plenty of innovative companies trying to come up with the next great medical advance.

Rest in peace, Medicare? No. Instead, work like crazy, American free enterprise.

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Top 10 Telecom Companies For 2014

Clearwire (NASDAQ: CLWR  ) postponed today's special stockholders' meeting in response to a revised buyout offer from Sprint Nextel (NYSE: S  ) that increases the bid by $0.43 per share, or about 14.5%.

Stockholders were to vote at today's meeting on whether Clearwire should allow Sprint to buy the 50% of the company it does not already own. Sprint's new offer of $3.40 a share attempts to assuage those stockholders who were not happy with Sprint's original $2.97-a-share offer.

Chief among the original proposal's critics has been Crest Financial, the largest minority shareholder with 8.2% of Clearwire shares. Crest had sent letters to shareholders urging them to vote against Sprint's first offer.

Crest wants Clearwire to hold out for either a higher bid from Sprint, or from another potential suitor, such as DISH Network or the Japanese telecom SoftBank.

Top 10 Telecom Companies For 2014: PCCW Ltd (8)

PCCW Limited is a Hong Kong-based holding company. Its subsidiary HKT provides telecommunications and related services, including local telephony, local data and broadband, international telecommunications, mobile, customer premises equipment sale, outsourcing, consulting and contact centers, primarily in Hong Kong, mainland China and elsewhere in the world. Media Business includes interactive pay- television (TV) services, Internet portal multimedia entertainment platform and the Company�� directories operations in Hong Kong and mainland China. Solutions Business offers Information and Communications Technologies services and solutions in Hong Kong and mainland China. Pacific Century Premium Developments Limited covers the Company�� property portfolio in Hong Kong and mainland China, including the Cyberport development in Hong Kong, and elsewhere in Asia. Other Businesses include the Company�� wireless broadband business in the United Kingdom and all corporate support functions.

Top 10 Telecom Companies For 2014: DTE Energy Company(DTE)

DTE Energy Company, together with its subsidiaries, operates as an electric and natural gas utility company in Michigan. It also involves in non-utility operations. The company?s Energy Utility segment engages in the generation, purchase, distribution, and sale of electricity in southeastern Michigan. It generates electricity from various fuels, including coal, as well as from nuclear and hydro facilitates. As of December 31, 2010, this segment owned and operated approximately 674 distribution substations and approximately 412,100 line transformers; and supplied electricity to 2.1 million residential, commercial, and industrial customers in southeastern Michigan. The company?s Gas Utility segment engages in the purchase, storage, transmission, distribution, and sale of natural gas in Michigan. As of December 31, 2010, this segment?s distribution system included approximately 19,000 miles of distribution mains, 1,036,000 service lines, and 1,319,000 active meters. It also o wned approximately 2,000 miles of transmission lines that deliver natural gas; and supplied natural gas to approximately 1.2 million residential, commercial, and industrial customers throughout Michigan, as well as to approximately 17,000 customers in Adrian, Michigan. The company?s non-utility operations include natural gas pipelines and storage; unconventional gas exploration, development, and production; power and industrial projects, and coal transportation and marketing; and energy marketing and trading operations. Its customers include electric utilities, merchant power producers, integrated steel mills, and industrial companies. DTE Energy Company was founded in 1995 and is based in Detroit, Michigan.

Advisors' Opinion:

• [By Martin]

  Deutsche Telekom AG is a diversified telecommunications & Information technology company operating in 5 areas: Germany, the United States, Europe, Southern and Eastern Europe. The company has a solid strategy in place to become the largest 4G network in the United States, increase its annual revenue to $3 billion by 2014 & increase its profit margins while decreasing churn. Currently, the company's stock trades at almost 19 times earnings and sports a nice 6.52% dividend yield. The company has a market cap of almost $43 billion and it trades on the Frankfurt stock exchange. For the 3rd quarter of 2010, the company generated Euro 4.8 billion of free cash flow from which Euro 4 billion was paid in dividends. While this represents a high payout ratio, most companies in the telecommunications sector are known to pay a large portion of their cash to shareholders as dividends, in a bid to increase shareholder value.

Hot Stocks To Own Right Now: NII Holdings Inc.(NIHD)

NII Holdings, Inc., through its subsidiaries, provides wireless communication services under the Nextel brand name to businesses and individuals in Mexico, Brazil, Argentina, Peru, and Chile. Its services include mobile telephone service; Nextel Direct Connect service, which allows subscribers to talk to each other on a push-to-talk basis for private one-to-one calls or on group calls. The company also provides value-added services, including text messaging services; mobile Internet services; e-mail services; location-based services, such as the use of global positioning system technologies; digital media services; and a set of applications available via its content management system and the Android open application market. In addition, it offers business solutions, such as security, work force management, logistics support, and other applications to improve productivity; and international roaming services. NII Holdings, Inc. sells its products and services through direct sales representatives, indirect sales agents, retail stores, kiosks, and Website. The company was formerly known as Nextel International, Inc. and changed its name to NII Holdings, Inc. in December 2001. NII Holdings, Inc. was founded in 1995 and is based in Reston, Virginia.

Top 10 Telecom Companies For 2014: United States Cellular Corporation(USM)

United States Cellular Corporation operates as a wireless telecommunications service provider in the United States. The company offers wireless voice and data services to retail consumer and business customers. It provides wireless services in postpaid service plans with voice, messaging, and data services; and prepaid service plans with minutes, messaging, and data services for a monthly fee. The company also offers various additional features, including caller ID blocking, call forwarding, voicemail, call waiting, and three-way calling; and data usage features consisting of Web browsing, email services, instant messaging, text messaging, and picture and video messaging. As of December 31, 2010, it provided wireless voice and data services to 6.1 million customers in 26 states. In addition, the company operates retail stores that sell a range of wireless devices, including handsets, modems, and tablets, as well as accessories, such as carrying cases, hands-free devices, b atteries, battery chargers, memory cards, and other items to consumers and small businesses. Further, it sells wireless devices to agents and other third-party distributors for resale; operates service facilities that provide servicing and repair for wireless devices; and enables customers to activate service and purchase wireless devices online. The company?s business customers include small-to-mid-size businesses in various industries, including construction, retail, professional services, and real estate. It offers its products and services through retail sales and service centers, direct sales, and independent agents. The company was founded in 1983 and is based in Chicago, Illinois. United States Cellular Corporation is a subsidiary of Telephone and Data Systems, Inc.

Top 10 Telecom Companies For 2014: MetroPCS Communications Inc.(PCS)

MetroPCS Communications, Inc., a wireless telecommunications carrier, together with its subsidiaries, provides wireless broadband mobile services in the United States. Its services include voice services, such as local, domestic long distance, and international call services; and data services, including domestic and international text messaging, multimedia messaging, mobile Internet access, mobile instant messaging, location based services, social networking services, push e-mail, and multimedia streaming and downloads, as well as services provided through the binary runtime environment for wireless (BREW), Blackberry, Windows, and the Android platforms, including ringtones, ring back tones, games, and content applications. The company also offers custom calling features consisting of caller ID, call waiting, three-way calling, and voicemail services. In addition, it sells mobile handsets. The company offers its products and services under the MetroPCS brand name, directl y through the company-operated retail stores and indirectly through independent retail outlets, as well as through Internet. As of December 31, 2010, it served approximately 8.1 million subscribers, as well as operated 159 retail stores primarily in the metropolitan areas of Atlanta, Boston, Dallas/Fort Worth, Detroit, Las Vegas, Los Angeles, Miami, New York, Orlando/Jacksonville, Philadelphia, Sacramento, San Francisco, and Tampa/Sarasota. The company is headquartered in Richardson, Texas.

Advisors' Opinion:

• [By Larry Gellar]

  Although this company is known in some circles for its poor phone service, PCS stock has seen some serious gains in the past 12 months. In fact, look for this trend to continue when earnings are announced on August 2. Much smaller than AT&T (T) and Verizon (VZ), MetroPCS best compares with Sprint Nextel (S). With an operating margin of 16.79 compared with Sprint Nextel’s 0.15%, it’s clear that MetroPCS is better suited for future growth. Gross margin and PEG are also favorable for MetroPCS, currently 42.69% and 1.36 respectively. For another great Seeking Alpha article on cell phone companies, consider reading this. Perhaps the most important point raised is that Sprint Nextel’s purchases of Virgin Mobile and Boost Mobile pose a serious threat to MetroPCS. These companies will fight MetroPCS for the low-end cell phone market and may come out on top due to incr easing problems with MetroPCS’s call quality. Essentially, MetroPCS’s problem is that although it offers unlimited talk, text, and web, these features don’t actually work very well. The future success of this company is highly dependent on an improvement in quality as existing customers continue to get fed up. Luckily for MetroPCS, Sprint seems to be having a setback with its 4G service.

Top 10 Telecom Companies For 2014: Corning Incorporated(GLW)

Corning Incorporated manufactures and processes specialty glass and ceramics products worldwide. It operates in five segments: Display Technologies, Telecommunications, Environmental Technologies, Specialty Materials, and Life Sciences. The Display Technologies segment manufactures liquid crystal display (LCD) glass for flat panel displays used primarily in notebook computers, flat panel desktop monitors, and LCD televisions. The Telecommunications segment produces optical fiber and cable, and hardware and equipment products, such as cable assemblies, fiber optic hardware, fiber optic connectors, optical components and couplers, closures and pedestals, splice and test equipment, and other accessories for optical connectivity to the telecommunications industry. This segment also offers optical fiber technology products for various applications, such as premises, fiber-to-the-home access, metropolitan, long-haul, and submarine networks. The Environmental Technologies segment manufactures ceramic substrates and filter products for emissions control in mobile and stationary applications. The Specialty Materials segment manufactures products that provide approximately 150 material formulations for glass, glass ceramics, and fluoride crystals used in commercial and industrial markets. The Life Sciences segment provides scientific laboratory products, such as general labware and equipment, as well as tools for cell culture and bioprocess, genomics and proteomics, and high-throughput screening. This segment also develops and produces various technologies, such as the Corning HYPERFlask Cell Culture Vessel for increased cell yields; and other novel surfaces, which include the Corning CellBIND Surface and the Corning Osteo-Assay surface. The company was formerly known as Corning Glass Works and changed its name to Corning Incorporated in April 1989. Corning Incorporated was founded in 1851 and is based in Corning, New York.

Advisors' Opinion:

• [By Chuck]  

  As a manufacturer of specialty glass for many technology companies (most notably the Gorilla Glass used in the iPhone 4), GLW is extremely undervalued. Currently, shares are trading at 8 times next year’s earnings. Historically though they have traded at close to 15. Adding to this, the company projects a grow rate of 12% over the next five years. GLW holds a strong balance sheet with $4 billion in cash while generating millions more. Expect this stock to rise to around $25.

• [By Dave Friedman]

  On 3/31/11 Maverick Capital reported holding 19,533,881 shares with a market value of $402,983,949. This comprised 4.28% of the total portfolio. On 6/30/11, Maverick Capital held 23,399,636 shares with a market value of $424,703,384. This comprised 4.15% of the total portfolio. The net change in shares for this position over the two quarters is 3,865,755. About the company: Corning Incorporated is a global, technology-based company. The Company produces optical fiber, cable, and photonic components for the telecommunications industry, as well as manufactures glass panels, funnels, liquid crystal display glass and projection video lens assemblies for the information display industry.

Top 10 Telecom Companies For 2014: China Unicom (CHU)

China Unicom (Hong Kong) Limited (Unicom), incorporated on February 8, 2000, is an integrated telecommunications operator in China providing mobile voice and value-added, fixed-line voice and fixed-line broadband, data communications and other telecommunications services to its customers. The Company operates in two business segments consisting of mobile services and fixed-line services. The Company is engaged in global system for mobile communications (GSM) and wideband code division multiple access (WCDMA) cellular business in 31 provinces, municipalities and autonomous regions in China, the provision of fixedline voice, broadband and other Internet-related services, information and communications technology services, business and data communications services, and other related telecommunication value-added businesses. As of 30 June 2011, Unicom Group held 57.81% of the shares in the Company through China United Network Communications Limited (A Share Company), China Unicom (BVI) Limited and China Netcom Group Corporation (BVI) Limited, and Telefonica Internacional S.A.U. held 9.01% of the shares in the Company.

Mobile Business

Unicom�� mobile business consists of GSM and third generation (3G) mobile business. As of December 31, 2010, the Company had a total of 167.43 million mobile subscribers. As of December 31, 2010, its total number of mobile subscribers included 167.43 million. Unicom operates the 3G business based on the WCDMA technology nationwide in China. As of December 31, 2010, the total number of its 3G subscribers included 14.06 million, and had 1.35 million wireless data card subscribers, 2.41 million mobile television (TV) subscribers and over seven million mobile reading subscribers. During the year ended December 31, 2010, the total 3G voice usage was 55.47 billion minutes and the average data usage per subscriber per month was 178M. GSM mobile business primarily consists of GSM voice business and value-added business.

The Company�� mobile ! voice business enables its subscribers to make and receive phone calls with a mobile handset at any point within the coverage area of its mobile telecommunications networks. Its mobile voice business includes local calls, domestic long distance calls, international long distance calls, intra-provincial roaming, inter-provincial roaming and international roaming. As of December 31, 2010, the Company�� total number of GSM mobile subscribers was 153.37 million. Unicom offers a range of GSM value-added services nationwide, including short message service (SMS), Cool Ringtone (a personalized ring-back tone service), mobile Internet and other wireless information services. During 2010, a total of 78.31 billion SMSs were transmitted by its GSM mobile subscribers. As of December 31, 2010, the Company had a total number of 67.26 million subscribers to its Cool Ringtone service. In addition, as of December 31, 2010, it had a total number of 55.81 million mobile Internet subscribers.

Fixed-Line Business

Unicom is a fixed-line broadband and communications operator in northern China. The Company offers a range of fixed-line services nationwide in China, including fixed-line broadband services and data communications services; fixed-line voice services, include local and long distance fixed-line voice services and value-added services, and other services. The Company is a provider of fixed-line broadband services in its fixed-line northern service region. Unicom is a provider of data communications services in its fixed-line northern service region. It offers managed data products, such as those based on digital data networks (DDN), frame relay, asynchronous transfer mode (ATM) and Internet protocol-virtual private network (IP-VPN). The Company also offers leased line products, including domestic and international leased circuits. Its customers for these services include government entities, large financial institutions and other domestic and multinational businesses, Internet service prov! iders and! other telecommunications operators.

As of December 31, 2010, the Company had established business cooperation relationships with more than 160 overseas operators to provide various international data communications products and services, such as international voice and data services. During 2010, it continued to offer full-scale data communications services to international operators and domestic and international corporate customers. The Company�� fixed-line voice services consist of local voice, domestic long distance, international long distance, value-added, interconnection and personal handyphone system (PHS) services. In addition to fixed-line telephone voice services, it offers a range of value-added services on its fixed-line networks. The Company�� fixed-line, value-added services include Personalized Ring and caller identification services. Personalized Ring services enable its fixed-line subscribers to personalize the ring-back tone for incoming calls. As of December 31, 2010, the number of its Personalized Ring subscribers reached 23.79 million.

Interconnection and Roaming Arrangements

The Company earns interconnection fees for terminating or transiting calls that originate from other domestic telecommunications operators��networks and pay interconnection fees to other operators for calls originating from its networks that are terminated on their networks. It earns and pays such fees in respect of mobile calls, local and domestic and international long distance calls and Internet services, except for the interconnection by fixed-line subscribers calling its mobile subscribers in the same region where no interconnection fee will be charged.

The Company provides roaming services, which allow its subscribers to access its mobile services while they are physically outside of their registered service area or in the coverage areas of other mobile networks in other countries and regions with which it has roaming arrangements. As of April 30! , 2011, U! nicom had roaming arrangements for GSM international voice and SMS services with 242 operators in 521 countries and regions; GPRS international inbound data services with 179 operators in 400 countries and regions and for international GPRS outbound data services with 164 operators in 357 countries and regions, and 3G services with 104 WCDMA operators in 245 countries and regions.

Mobile Networks

The Company�� mobile network consists of cell sites, which are physical locations, each equipped with a base station that houses transmitters, receivers and other equipment used to communicate through radio channels with subscribers��mobile handsets within the range of a cell; base station controllers, which connect to, and control, the base stations, and mobile switching centers, which control the base station controllers and the routing of telephone calls. Its mobile network also consists of a transmission network, which links the mobile switching centers, base station controllers, base stations and the public switched telephone network. It has deployed GSM and WCDMA mobile networks. The Company�� GSM mobile network mainly operates at 900 megahertz. It has also deployed GSM technology that operates at 1,800 megahertz in metropolitan areas to supplement the capacity of its existing mobile network. As of December 31, 2010, the Company had approximately 329,000 GSM base stations.

The Company competes with China Mobile and China Telecom.

Top 10 Telecom Companies For 2014: Telephone and Data Systems Inc.(TDS)

Telephone and Data Systems, Inc., a diversified telecommunications service company, provides wireless and wireline telecommunications services in the United States. The company?s wireless services comprise postpaid and prepaid service plans, which consist of voice minutes, messaging, and data services; national consumer plans; business rate plans; smartphone messaging, data, and Internet services to access the Web, e-mail, social network sites, text, picture and video messages, and turn-by-turn GPS navigation, as well as to browse and download various applications; and data services, including news, weather, sports information, games, ring tones, and other services. It provides wireless devices, such as handsets, modems, and tablets; and a range of accessories comprising carrying cases, hands-free devices, batteries, battery chargers, and memory cards, as well as wireless device repair services. The company also offers voice services, including local and long-distance tel ephone service, voice over Internet protocol, voice mail, caller ID, and call forwarding services; broadband services comprising digital subscriber lines and other high-speed Internet data services; network access services; hosted and managed services consisting of co-location, hosting, hosted application management, and cloud computing services; and satellite and terrestrial video services to commercial and residential customers and carriers. In addition, it provides printing and distribution services. As of December 31, 2011, the company served approximately 5.9 million wireless customers and 1.1 million wireline equivalent access lines. It sells its products through retail sales and service centers, direct sales, and independent agents, as well as through Website and telesales. Telephone and Data Systems, Inc. was founded in 1968 and is headquartered in Chicago, Illinois.

Top 10 Telecom Companies For 2014: PCCW Ltd (0008.HK)

PCCW Limited is a Hong Kong-based holding company. Its subsidiary HKT provides telecommunications and related services, including local telephony, local data and broadband, international telecommunications, mobile, customer premises equipment sale, outsourcing, consulting and contact centers, primarily in Hong Kong, mainland China and elsewhere in the world. Media Business includes interactive pay- television (TV) services, Internet portal multimedia entertainment platform and the Company�� directories operations in Hong Kong and mainland China. Solutions Business offers Information and Communications Technologies services and solutions in Hong Kong and mainland China. Pacific Century Premium Developments Limited covers the Company�� property portfolio in Hong Kong and mainland China, including the Cyberport development in Hong Kong, and elsewhere in Asia. Other Businesses include the Company�� wireless broadband business in the United Kingdom and all corporate suppo rt functions.

Top 10 Telecom Companies For 2014: Sprint Nextel Corp (S.C)

Sprint Nextel Corporation (Sprint), incorporated on November 15, 1938, is a holding company, with its operations primarily conducted by its subsidiaries. The Company operates in two segments: Wireless and Wireline. Sprint is a communications company offering a range of wireless and wireline communications products and services that are designed to meet the needs of individual consumers, businesses, government subscribers and resellers. Its operations are organized to meet the needs of its targeted subscriber groups through focused communications solutions that incorporate the capabilities of its wireless and wireline services. Its services are provided through its ownership of extensive wireless networks, an all-digital global long distance network. The Company offers wireless and wireline voice and data transmission services to subscribers in all 50 states, Puerto Rico, and the United States Virgin Islands under the Sprint corporate brand, which includes its retail brands of Sprint, Nextel, Boost Mobile, Virgin Mobile, and Assurance Wireless on networks that utilize third generation (3G) code division multiple access (CDMA), integrated Digital Enhanced Network (iDEN), or Internet protocol (IP) technologies. The Company also offers fourth generation (4G) services utilizing Worldwide Interoperability for Microwave Access (WiMAX) technology through its mobile virtual network operator (MVNO) wholesale relationship with Clearwire Corporation and its subsidiary Clearwire Communications LLC (together Clearwire) and, in October 2011, it announced its focus to deploy Long Term Evolution (LTE) technology as part of its network modernization plan, Network Vision. As of October 19, 2012, the Company controls 50.8% interest in Clearwire Corp.

Wireless

The Company offers wireless services on a postpaid and prepaid payment basis to retail subscribers and also on a wholesale and affiliate basis, which includes the sale of wireless services that utilize the Sprint network but are sold under! the wholesaler's brand. The Company supports the open development of applications, content, and devices on its network platforms through products and services, such as Google Voice, which allows for functionality, such as one phone number for all devices (home, wireless and office), routing calls between devices, and in-call options to switch between devices during a call and Google Wallet, which provides the ability to store loyalty, gift and credit cards, and to tap and pay while the customer shop using their wireless device. The Company has also launched multiple Sprint ID packs that download applications, widgets and other content related to a person's interest at the push of a button. In addition, it enables a variety of business and consumer third-party relationships, through its portfolio of machine-to-machine solutions, which it offers on a retail postpaid and wholesale basis. Its machine-to-machine solutions portfolio provides a secure, real-time and reliable wireless two-way data connection across a range of connected devices, including original equipment manufacturer (OEM) devices and after-market in-vehicle connectivity and electric vehicle charging stations, point-of-sale systems, kiosks and vending machines, asset tracking, digital signage, security, smartgrid utilities, medical equipment and a variety of other consumer electronics and appliances.

The Company offers price plans tailored to business subscribers, such as Business Advantage, which allows for the mix and match plans that include voice, voice and messaging, or voice, messaging and data to meet individual business needs and which also includes its Any Mobile Anytime feature with certain plans. Its prepaid portfolio includes multiple brands, each designed to appeal to specific subscriber segments. Virgin Mobile serves subscribers who are device and data-oriented with Beyond Talk plans and its broadband plan, Broadband2Go, that offer subscribers control and connectivity through various communication vehicles. Assuran! ce Wirele! ss provides eligible subscribers, who meet income requirements or are receiving government assistance, with a free wireless phone and 250 free minutes of local and long distance monthly service. Wireless data communications services include mobile productivity applications, such as Internet access, messaging and email services; wireless photo and video offerings; location-based capabilities, including asset and fleet management, dispatch services and navigation tools, and mobile entertainment applications, including the ability to view live television, listen to satellite radio, download and listen to music, and game play with full-color graphics and polyphonic and real-music sounds from a wireless handset.

Wireless voice communications services include basic local and long distance wireless voice services throughout the United States, as well as voicemail, call waiting, three-way calling, caller identification, directory assistance and call forwarding. It also provides voice and data services to areas in numerous countries outside of the United States through roaming arrangements. It offers customized design, development, implementation and support for wireless services provided to companies and government agencies. Its services are provided using a variety of multi-functional devices, including smartphones, mobile broadband devices, such as air cards and hotspots, and embedded tablets and laptops manufactured by various suppliers for use with its voice and data services. It sells accessories, such as carrying cases, hands-free devices, batteries, battery chargers and other items to subscribers, and it sells devices and accessories to agents and other third-party distributors for resale.

The Company delivers wireless services to subscribers primarily through its existing networks or as a reseller of 4G services through its MVNO wholesale relationship with Clearwire. Its Sprint platform, an all-digital wireless network with spectrum licenses that allows the Company to provide! service ! in all 50 states, Puerto Rico and the United States Virgin Islands, uses a single frequency band and a digital spread-spectrum wireless technology, code division multiple access (CDMA), that allows a number of users to access the band by assigning a code to all voice and data bits, sending a scrambled transmission of the encoded bits over the air and reassembling the voice and data into its original format. It provides nationwide service through a combination of operating its own digital network in United States metropolitan areas and rural connecting routes, affiliations under commercial arrangements with third-party affiliates (Affiliates) and roaming on other providers' networks.

The Company markets its postpaid services under the Sprint and Nextel brands. It offers these services on a contract basis typically for one or two-year periods, with services billed on a monthly basis according to the applicable pricing plan. As it deploy Network Vision, it will continue to focus on the Sprint platform postpaid subscriber base, including the migration of existing Nextel platform subscribers to other offerings on its Sprint platform, which includes future offerings on its multi-mode network, such as Sprint Direct Connect. It markets its prepaid services under the Boost Mobile, Virgin Mobile, and Assurance Wireless brands as a means to provide value-driven prepaid service plans to particular markets. Its wholesale customers are resellers of its wireless services rather than end-use subscribers and market their products and services using their brands.

The Company competes with AT&T, Verizon Wireless (Verizon), T-Mobile, Metro PCS Communications, Inc., Leap Wireless International, Inc. and TracFone Wireless.

Wireline

The Company provides a suite of wireline voice and data communications services to other communications companies and targeted business and consumer subscribers. In addition, it provides voice, data and IP communication services to its Wireles! s segment! , and IP and other services to cable Multiple System Operators (MSOs). Cable MSOs resell its local and long distance services and use its back office systems and network assets in support of their telephone service provided over cable facilities primarily to residential end-user subscribers. The Company is a provider of long distance services and operate all-digital global long distance and Tier 1 IP networks.

The Company�� services and products include domestic and international data communications using various protocols such as multiprotocol label switching technologies (MPLS), IP, managed network services, Voice over Internet Protocol (VoIP), Session Initiated Protocol (SIP) and traditional voice services. Its IP services can also be combined with wireless services. Such services include its Sprint Mobile Integration service, which enables a wireless handset to operate as part of a subscriber's wireline voice network, and its DataLinkSM service, which uses its wireless networks to connect a subscriber location into their primarily wireline wide-area IP/MPLS data network.

The Company also provides wholesale voice local and long distance services to cable MSOs, which they offer as part of their bundled service offerings, as well as traditional voice and data services for their enterprise use. The Company also continues to provide voice services to residential consumers. Its Wireline segment markets and sells its services primarily through direct sales representatives. It offers VoIP-based services to business subscribers and transport VoIP-originated traffic for various cable companies.

The Company competes with AT&T, Verizon Communications, CenturyLink and Level 3 Communications, Inc.

Top 10 Companies To Watch In Right Now

Still gathering momentum in anticipation of corporate earnings, the markets rallied again today. Wall Street got some help from the Federal Reserve, which released the minutes of its latest meeting earlier than expected today. Bulls cheered the release, which suggested the central bank will only slow quantitative easing efforts when the job market improves markedly. Ending at an all-time record close, the Dow Jones Industrial Average (DJINDICES: ^DJI  ) added 128 points, or 0.88%, to finish at 14,802.�

Health care was one of the strongest sectors today, and Merck (NYSE: MRK  ) shares didn't disappoint, adding 2.9% to lead the Dow. A Jefferies analyst raised his price target on the shares to $48, citing his bullish view on pharmaceuticals, because of compelling valuation. The company also announced that the FDA will review Merck's application to market an antifungal drug it's trying to hawk in Europe as well.

Top 10 Companies To Watch In Right Now: Fortress Investment Group LLC (FIG)

Fortress Investment Group LLC (Fortress) is a global investment management firm. Its offering of alternative investment products includes private equity funds, liquid hedge funds and credit funds. In addition, it offers traditional investment products. As of December 31, 2011, it managed alternative assets in three businesses: Private Equity, Liquid Hedge Funds and Credit Funds. Private Equity is a business, which manages assets under management (AUM) consisted of two business segments: private equity funds, which make investments in debt and equity securities of public or privately held entities in North America and Western Europe, and publicly traded alternative investment vehicles, which it refer to as Castles, which invest in real estate and real estate related debt investments. Liquid Hedge Funds invest globally in fixed income, currency, equity and commodity markets and related derivatives. Credit Funds is a business, which manages AUM consisted of two business segments: credit hedge funds which make investments in assets, opportunistic lending situations and securities, on a global basis and throughout the capital structure, as well as non-Fortress originated funds, for which Fortress has been retained as manager as part of an advisory business, and credit private equity (PE) funds, which are consisted of a family of credit opportunities funds focused on investing in distressed and undervalued assets, a range of long dated value funds focused on investing in undervalued assets with cash flows and long investment horizons, a range of real assets funds focused on investing in tangible and intangible assets in four principal categories (real estate, capital assets and natural resources), a family of Asia funds, including Japan real estate funds and an Asian investor based global opportunities fund, and a range of real estate opportunities funds.

Private Equity Funds

The Company�� private equity business is made up of a series of funds named the Fortress Investment Funds! and organized to make control-oriented investments in cash flow generating, asset-based businesses in North America and Western Europe. Investors in its private equity funds contractually commit capital at the outset of a fund, which is then drawn down as investment opportunities become available, generally over a one to three year investment period. Management fees of 1% to 1.5% are generally charged on committed capital during the investment period of a new fund, and then on invested capital (or net asset value (NAV), if lower). It also earns a 10% to 25% share of the profits on each realized investment in a fund.

The Company manages two companies: Newcastle Investment Corp. and Eurocastle Investment Limited, which it calls its Castles. It earns management fees from each Castle equal to 1.5% of the company�� equity. In addition, it earns incentive income equal to 25% of the company�� funds from operations (FFO) in excess of specified returns to the Company�� shareholders. In addition to these fees, it also receives from the Castles, for services provided, options to purchase shares of their common stock in connection with each of their common stock offerings.

Liquid Hedge Funds

The Fortress Macro Funds, and Fortress�� legacy macro-strategy funds, the Drawbridge Global Macro Funds, apply an investment process based on macroeconomic fundamental, market momentum and technical analyses. The funds have the flexibility to allocate capital dynamically across a range of global strategies, markets and instruments as opportunities change, and are designed to take advantage of a range of sources of market, economic and pricing data to generate trading ideas. The fund invests in developed markets; they also invest in emerging markets if market conditions present opportunities for attractive returns. The funds pursue global macro directional and relative value strategies. Management fees are charged based on the AUM of the Fortress Macro Funds at a rate between 1.5%! and 2% a! nnually, depending on the investment and liquidity terms elected by investors. It earns incentive income of between 15% and 25% of the fund�� profits, generally payable annually, depending on the investment and liquidity terms elected by investors. In other words, an incentive income payment establishes a high water mark, such that the fund must earn a cumulative positive return from that point forward in order for Fortress to earn incentive income. Investors in the Fortress Macro Funds may invest with the right to redeem without paying any redemption fee either monthly, quarterly, or annually after three years. Investors with three-year liquidity may redeem annually before three years, subject to an early redemption fee payable to the funds.

The Fortress Asia Macro Funds invest in global fixed income, commodities, currency and equity markets, and their related derivatives, thematically related to the Asia-Pacific region through a fundamental macroeconomic strategy, which focuses on liquid investments. The funds��investment program focuses on global trading and capital flows. Management fee rates for these funds range from 1.5% to 2% and it earns incentive income equal to 20% of their profits. Commodities Funds invests across multiple sectors within the commodity asset class ranging from energy to metals to agriculture and within the cyclical, industrial, and commodity equity universe. Management fee rates for these funds range from 1.5% to 2% and it earns incentive income equal to 20% of their profits. The Fortress Partners Fund�� investments are made both in Fortress Funds and in funds managed by other managers, and in direct investments that are sourced either by Fortress personnel or by third parties with whom it has relationships. Management fee rates for these funds range from 1% to 1.5% and it earns incentive income generally equal to 20% of the profits from direct investments only.

Credit Funds

The Company�� credit hedge funds are designed to exploi! t pricing! anomalies, which exist between the public and private finance markets. It has developed a network consisted of internal and external resources to source transactions for the funds. The funds are able to invest in a range of financial instruments, ranging from assets, opportunistic lending situations and securities throughout the capital structure with a value orientation.

The Drawbridge Special Opportunities Funds form the core of the Company�� credit hedge fund investing strategy. The funds acquire a portfolio of investments throughout the United States, Western Europe and the Pacific region. Management fees are charged based on the AUM of the Drawbridge Special Opportunities Funds at a rate generally equal to 2% annually. It earns incentive income of 20% of the fund�� profits, payable annually, and subject to achieving cumulative positive returns since the prior incentive income payment. Investors in the Drawbridge Special Opportunities Funds may redeem annually on December 31. The Worden Funds invest in a portfolio of undervalued and distressed investments in North America and Western Europe, but also in Australia, Asia and elsewhere on an opportunistic basis. Management fees are charged based on the AUM of the Worden Funds at a rate generally equal to 2% annually. It earns incentive income of 20% of the funds��profits.

The Company�� credit PE funds are of families of funds. They have management fee rates between 1% and 1.5% and generate incentive income of between 10% and 20% of a fund�� profits subject to the fund achieving a minimum return as a whole. Fortress through Fortress Credit Opportunities Funds make opportunistic credit-related investments. In addition to its Fortress Investment Fund family of funds, it has a private equity fund product, the Long Dated Value family of funds, which focuses on making investments with long dated cash flows. Its Real Assets Funds invest in tangible and intangible assets. The investment program of these funds focuses on di! rect inve! stments in four principal investment categories: real estate, capital assets and natural resources, but also may include indirect investments in the form of interests in real estate investment trusts (REITs), master limited partnerships, corporate securities, debt securities and debt obligations, including those that provide equity upside, as well as options, royalties, residuals and other call rights. The investments are located in North America and Western Europe. Fortress Japan Opportunity Funds focus to invest in Japanese real estate-related performing, sub-performing and non-performing loans, securities and similar instruments. Real Estate Opportunities Funds make opportunistic commercial real estate investments.

Advisors' Opinion:

• [By James K. Glassman]

   Fortress Investment Group (symbol: FIG) is a New York City firm that manages hedge funds, private-equity funds and other accounts. Its stock traded as high as $34 in 2007, before plunging toward the abyss. Fortress’s funds have been performing well, and the firm is raking in billions of dollars in new money. In addition, because many formerly laggard funds have rebounded, Fortress is in a position to start collecting more in performance-incentive fees. If you subtract the cash and investments on Fortress's balance sheet from its market value, the stock trades at just 7 times estimated 2013 profits.

• [By Andrew Feinberg]

  52-Week High: $4.83
  
  52-Week Low: $2.86
  
  Annual Revenue: $648 million
  
  Projected 2013 Earnings Growth: 36.4% 
  
  Fortress Investment Group (symbol: FIG) is a New York City firm that manages hedge funds, private-equity funds and other accounts. Its stock traded as high as $34 in 2007, before plunging toward the abyss. Fortress’s funds have been performing well, and the firm is raking in billions of dollars in new money. In addition, because many formerly laggard funds have rebounded, Fortress is in a position to start collecting more in performance-incentive fees. If you subtract the cash and investments on Fortress's balance sheet from its market value, the stock trades at just 7 times estimated 2013 profits.

Top 10 Companies To Watch In Right Now: New Sage Energy Corp(NSG.V)

New Sage Energy Corp., a development stage company, focuses on the exploration and development of oil and gas properties in the U.S. Gulf States region and Latin America. The company was formerly known as Consolidated New Sage Resources Ltd. and changed its name to New Sage Energy Corp. in May 2007. New Sage Energy Corp. was incorporated in 1980 and is headquartered in Toronto, Canada.

Best Construction Stocks To Buy Right Now: Span-America Medical Systems Inc.(SPAN)

Span-America Medical Systems, Inc. engages in the manufacture and distribution of various therapeutic support surfaces and related products utilizing polyurethane and other foam products for the medical, consumer, and industrial markets in the United States and Canada. Its medical products consist of polyurethane foam mattress overlays; therapeutic support surfaces, which include non-powered and powered therapeutic support surfaces; patient positioners; seating products; and Selan skin care creams and lotions for health care facilities, including acute care hospitals, long-term care facilities, and home health care providers. The company offers pressure management products, including Geo-Matt, PressureGuard, Geo-Mattress, Span-Aids, Isch-Dish, and Selan products. Its consumer product line consists primarily of convoluted and contour-cut mattress overlays, and pillows for the consumer bedding market; and industrial product line includes foam products used in various industr ies, such as water sports equipment, automotive, photographic film, durable goods, and electronics industries. The company was founded in 1970 and is based in Greenville, South Carolina.

Top 10 Companies To Watch In Right Now: Lance Inc.(LNCE)

Snyder?s-Lance, Inc. manufactures, markets, and distributes snack food products primarily in the United States. Its products include pretzels, sandwich crackers, kettle chips, cookies, potato chips, tortilla chips, other salty snacks, sugar wafers, nuts, and restaurant style crackers. The company sells its products principally under the Snyder?s of Hanover, Lance, Cape Cod, Krunchers!, Jays, Tom?s, Archway, Grande, Stella D?oro, O-Ke-Doke, EatSmart, and Padrinos brand names. It also purchases and sells cakes, meat snacks, and candy under its brands, as well as partner brand products for resale. Snyder?s-Lance, Inc. sells its products through direct-store-delivery network, distributors, and direct sales to grocery/mass merchandisers, convenience stores, club stores, discount stores, food service establishments, drug stores, schools, military and government facilities, recreational facilities, offices, and other independent retailers. The company was formerly known as L ance, Inc. and changed its name to Snyder?s-Lance, Inc. in December 2010. Snyder?s-Lance, Inc. was founded in 1912 and is headquartered in Charlotte, North Carolina with additional offices in Hanover, Pennsylvania.

Top 10 Companies To Watch In Right Now: Masimo Corporation(MASI)

Masimo Corporation, a medical technology company, develops, manufactures, and markets noninvasive patient monitoring products worldwide. The company offers Masimo Signal Extraction Technology (SET), which provides the capabilities of measure-through motion and low perfusion pulse oximetry to address the primary limitations of conventional pulse oximetry; and Masimo rainbow SET products that monitor multiple blood measurements, including oxygen content, carboxyhemoglobin, methemoglobin, hemoglobin, pleth variability index, respiration rate, Halo Index, and In Vivo Adjustment. It develops, manufactures, and markets a family of patient monitoring solutions comprising circuit boards, monitors and devices, sensors, and cables; Masimo SafetyNet, a remote monitoring and clinician notification system; and software for Rainbow measurements, as well as other future measurements or features. The company sells its products to hospitals and the emergency medical response organizations through its direct sales force and distributors, as well as to original equipment manufacturer partners in the United States, Europe, the Middle East, Asia, Latin America, Canada, and Australia. Masimo Corporation was founded in 1989 and is headquartered in Irvine, California.

Top 10 Companies To Watch In Right Now: Telestone Technologies Corp.(TSTC)

Telestone Technologies Corporation offers wireless local-access network technologies and solutions primarily in the People?s Republic of China. Its access-network solutions include the research and development, and application of access network technology. The company designs and sells electronic equipments, such as wireless fiber-optic distribution system products, RFPA products, passive components, repeaters, radio frequency peripherals, and base station antennas used to provide access network solutions for 2G, 3G, broadband access, and CATV networks. It also offers project design, project management, installation, maintenance, and other after-sales services. In addition, Telestone provides various solutions to the telecommunications industry, which cover indoor and outdoor environments comprising hotels, residential estates, office buildings, airports, exhibition centers, underground stations, and highways and tunnels. Further, the company engages in the design, develop ment, production and installation, and trading of wireless telecommunication coverage system equipment. It also markets its products to 29 countries, including Argentina, Bangladesh, Brazil, Canada, Colombia, Costa Rica, Ecuador, Hong Kong, Iceland, India, Indonesia, Ireland, Kazakhstan, Malaysia, Mexico, Mongolia, New Zealand, the Philippines, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Thailand, Turkey, the United States, the United Arab Emirates, Ukraine, and Vietnam. The company was founded in 1987 and is headquartered in Beijing, China.

Top 10 Companies To Watch In Right Now: HILTON FOOD GROUP PLC ORD GBP0.10(HFG.L)

Hilton Food Group plc, together with its subsidiaries, engages in the retail meat packing for international food retailers in Europe. Its product range includes fresh items, such as roasting joints, steaks, chops, and minces; and barbecue ranges, ready to cook products, marinated meats, and convenience products, which comprise meat cuts and serving sauces. The company operates in the United Kingdom, the Netherlands, the Republic of Ireland, Sweden, Denmark, Poland, the Czech Republic, Hungary, Slovakia, Latvia, Lithuania, and Estonia. Hilton Food Group plc was founded in 1994 and is based in Huntingdon, the United Kingdom.

Top 10 Companies To Watch In Right Now: Asia Pacific Breweries Ltd(A46.SI)

Asia Pacific Breweries Limited engages in the brewing, sale, export, and distribution of beer and stout. It offers a portfolio of approximately 40 beer brands and brand variants, including Tiger beer, Heineken, Anchor beer, ABC Extra Stout, Baron?s Strong Brew, and Bintang beer in 60 countries comprising Cambodia, Laos, Vietnam, Thailand, Singapore, Indonesia, Malaysia, Sri Lanka, New Zealand, Papua New Guinea, New Caledonia, the Solomon Islands, China, and Mongolia. The company was formerly known as Malayan Breweries Limited and changed its name to Asia Pacific Breweries Limited in 1990. Asia Pacific Breweries Limited was founded in 1931 and is based in Singapore. Asia Pacific Breweries Limited is a subsidiary of Asia Pacific Investment Pte Ltd.

Top 10 Companies To Watch In Right Now: Linde AG (LNAGF.PK)

Linde AG is a German company engaged in the gases and engineering sector. It operates two divisions: Gases and Engineering, as core divisions, as well as Gist. The Gases Division includes Healthcare, producing medical gases; and Tonnage, as its two global business units; as well as the two business areas Merchant and Packaged Gases, offering liquefied and cylinder gases, and Electronics. The Company�� products are used in the energy sector, for steel production, chemical processing, environmental protection and welding, as well as in food processing, glass production and electronics. The Engineering division offers planning, project development and construction of turnkey industrial plants used in fields, such as petrochemical and chemical industries, in refineries and fertilizer plants, to recover air gases, to produce hydrogen and synthesis gases, to treat natural gas, and in the pharmaceutical industry. As of August 13, 2012, the Company acquired Lincare Holdings Inc.

Top 10 Companies To Watch In Right Now: High Liner Foods Com Npv(HLF.TO)

High Liner Foods Incorporated engages in manufacturing and marketing prepared and packaged frozen seafood products in North America. It provides breaded and battered fish and other seafood products; raw fillets and shellfish; cooked shellfish; and value-added products, such as sauced, glazed, breaded, and battered seafood, as well as breaded cheese sticks, entrees, and breaded chicken. High Liner Foods Incorporated offers its products under High Liner, FPI, Mirabel, Royal Sea, Sea Cuisine, Fisher Boy, Viking, Icelandic Seafood, Samband of Iceland, Seastar, and Seaside names, as well as under private labels. The company sells its products directly and through distributors to retail stores, club stores, hotels, restaurants, and health care and educational organizations. High Liner Foods Incorporated was founded in 1899 and is headquartered in Lunenburg, Canada.

Best Prefered Stocks For 2014

Samsung does an excellent job with marketing -- there's no doubt about it. The Galaxy S4 has unquestionably created plenty of buzz. Amid all this hype, is Apple's (NASDAQ: AAPL  ) iPhone beginning to lose its "cool" factor in the U.S.?

Not according to a Yankee Group��survey of over 16,000 people, which indicates the iPhone seems to be holding out great in the U.S. In fact, the intent to buy the iPhone in the U.S. is almost twice that of the intent to buy Samsung phones. Furthermore, data from the study suggests that iOS will actually surpass Google's (NASDAQ: GOOG  ) Android platform in U.S. market share.

In the video below, Fool contributor Daniel Sparks shares some more details from the study with Motley Fool analyst Rex Moore, and he explains exactly what the report means for investors.

Best Prefered Stocks For 2014: Unit Corporation(UNT)

Unit Corporation, together with its subsidiaries, engages in the contract drilling, oil and natural gas, and mid-stream businesses in the United States. The company?s Contract Drilling segment engages in land contract drilling of onshore oil and natural gas wells for oil and natural gas companies in Oklahoma, Texas, Louisiana, Wyoming, Colorado, Utah, Montana, and North Dakota. Its Oil and Natural Gas segment is involved in the acquisition, exploration, development, and production of oil and natural gas properties located primarily in Oklahoma, Texas, Louisiana, and North Dakota, as well as in Arkansas, New Mexico, Wyoming, Montana, Alabama, Kansas, Mississippi, Michigan, Colorado, Pennsylvania, and a small portion in Canada. As of December 31, 2011, this segment had approximately 121 gross proved undeveloped wells. The company?s Mid-Stream segment buys, sells, gathers, processes, and treats natural gas. It operates 3 natural gas treatment plants, 10 operating processing plants, 35 active gathering systems, and 934 miles of pipeline in Oklahoma, Texas, Kansas, Pennsylvania, and West Virginia. The company operates a fleet of 127 drilling rigs. Unit Corporation was founded in 1963 and is based in Tulsa, Oklahoma.

Best Prefered Stocks For 2014: ASA Gold and Precious Metals Limited (ASA)

ASA Gold and Precious Metals Limited is a self management investment trust. The firm invests in the public equity markets across the globe. It primarily invests in stocks of companies engaged in the exploration, mining or processing of gold, silver, platinum, diamonds, or other precious minerals. ASA Gold and Precious Metals Limited was founded in 1958 and is based in San Mateo, California.

5 Best Blue Chip Stocks To Buy Right Now: America First Tax Exempt Investors L.P.(ATAX)

America First Tax Exempt Investors, L.P. engages in acquiring, holding, selling, and dealing with a portfolio of federally tax-exempt mortgage revenue bonds. As of March 31, 2011, it held 20 tax-exempt mortgage bonds secured by 20 multifamily apartment properties containing a total of 3,606 rental units. America First Capital Associates Limited Partnership Two serves as the general partner of the company. The company was founded in 1998 and is based in Omaha, Nebraska.

Best Prefered Stocks For 2014: GTx Inc.(GTXI)

GTx, Inc., a biopharmaceutical company, engages in the discovery, development, and commercialization of small molecules for the treatment of cancer, cancer supportive care, and other serious medical conditions. The company markets FARESTON (toremifene citrate) 60 mg tablets for the treatment of metastatic breast cancer in postmenopausal women primarily through wholesale drug distributors in the United States. It is developing selective androgen receptor modulators (SARMs), including Ostarine (GTx-024), which has completed Phase II clinical trial for the prevention and treatment of muscle wasting in patients with non-small cell lung cancer; and CapesarisTM (GTx-758), a selective estrogen receptor alpha agonist that has completed Phase IIa clinical trial for the first line treatment of advanced prostate cancer. In addition, the company is developing estrogen receptor beta agonists and other novel compounds that are in preclinical development stage for the treatment of metabo lic diseases, ophthalmic diseases, cancer, psoriasis, and/or pain. The company was founded in 1997 and is headquartered Memphis, Tennessee.

Microsoft Is Crushing BlackBerry

Two and a half years ago, Microsoft (NASDAQ: MSFT  ) set out on a goal. The software giant knew that it needed to revamp its mobile offerings, and to that end it shifted its focus away from its Windows Mobile platform in favor of Windows Phone. The company wanted to become the No. 3 operating system platform, which in no uncertain terms meant overtaking BlackBerry (NASDAQ: BBRY  ) .

On a worldwide basis, Microsoft accomplished exactly that in the first quarter. IDC's estimates pegged Microsoft's global market share a hair above BlackBerry's for the first time ever. Most of Windows Phone's gains are attributable directly to Nokia and its Lumia lineup, which now comprises four out of every five Windows Phones sold throughout the world.

Well, Kantar Worldpanel ComTech has just released its latest digits on the important U.S. smartphone market, and the estimates show that Microsoft is now crushing BlackBerry.

U.S. Smartphone Share

3 Months Ending April 2012

3 Months Ending April 2013

BlackBerry	5.3%	0.7%
Windows	3.8%	5.6%

Source: Kantar Worldpanel ComTech.

Over the course of a year, Microsoft has grown its domestic market share respectably while BlackBerry continues to slide, now claiming less than 1%. These figures are particularly notable since they include the U.S. launch of the Z10, which occurred in late March, albeit the Z10 wasn't on sale for the entire quarter in question.

BlackBerry modestly increased its position at No. 2 carrier AT&T, but lost a lot of traction at the No. 1 carrier Verizon Wireless. Verizon is giving Windows Phone another shot, as Big Red likes to root for the underdogs in the hopes that the ensuing competition brings down subsidy costs.

The next quarter's figures will be more telling of which direction BlackBerry is headed, as it will include a full quarter's worth of Z10 sales. The Q10 is also about to launch, which may tap into the niche segment of hardware keyboard enthusiasts.

Can Microsoft cement itself as the No. 3 contender, or will BlackBerry retake the bronze?

It's been a frustrating path for Microsoft investors, who've watched the company fail to capitalize on the incredible growth in mobile over the past decade. However, with the release of its own tablet, along with the widely anticipated Windows 8 operating system, the company is looking to make a splash in this booming market. In a new premium report on Microsoft, a Motley Fool analyst explains that while the opportunity is huge, so are the challenges. The report includes regular updates as key events occur, so make sure to claim a copy of this report now by clicking here.

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More Expert Advice from The Motley Fool

The Motley Fool's chief investment officer has selected his No. 1 stock for the next year. Find out which stock in our brand-new free report: "The Motley Fool's Top Stock for 2013." I invite you to take a copy, free for a limited time. Just click here to access the report and find out the name of this under-the-radar company.

The 2 Stocks Leading the Dow's Surge

Following a positive jobs report, the Dow Jones Industrial Average (DJINDICES: ^DJI  ) is up 157 points, or 1.05%, to 15,198 as of 1:25 p.m. EDT. The S&P 500 (SNPINDEX: ^GSPC  ) is up 0.92% to 1,637.

There were two U.S. economic releases today.

Report

Period

Actual

Previous

Non-farm payrolls	May	175,000	149,000
Unemployment rate	May	7.6%	7.5%

Investors were worried about the jobs report after Wednesday's private-sector payrolls report disappointed and depressed Dow stocks. The government's nonfarm payroll report showed that the economy added 175,000 jobs in May, beating expectations of 164,000 additional jobs.

US Change in Nonfarm Payrolls data by YCharts.

The jump in job creation was not enough to stop a rise in the unemployment rate to 7.6%, but that uptick was the result of more people entering the labor market. This is positive for the economy, as it means more people feel they can find a job. And a higher unemployment rate is good for asset prices, because it means the Fed will keep up its asset purchases. Currently, the Federal Reserve is buying $85 billion of long-term assets every month -- $45 billion of long-term Treasuries and $40 billion of mortgage-backed securities. The Fed has said that it will continue the purchases until inflation rises above 2% or unemployment falls below 6.5%. Inflation is currently running around 1%, and expectations for inflation going forward, per the TIPS spread -- the difference between the yields on Treasury Inflation Protection Securities and the nominal U.S. Treasury bond yield -- is 2% for the next five years. 

Today's Dow leaders
American Express (NYSE: AXP  ) is among today's Dow outperformers, up 2%. More employed Americans and more people looking for work should mean more spending going forward, which is a good trend for American Express. American Express benefits doubly from the economy strengthening as it means less bad debt. Unlike Visa and Mastercard which only process transactions and rely on banks to lend credit, American Express lends its own money to its members. It therefore is incentivized to not only have customers make transactions but to make sure they can make good on those transactions. 

Also flying high today is Boeing (NYSE: BA  ) , up 2.2%. Earlier today Boeing stock hit a 52-week high of $102.25. Boeing is up 30% since March, when it looked like the company had solved the issues with the batteries of its Dreamliner aircraft. If you recall, the Dreamliner was grounded in January by the FAA due to problems with its lithium battery. Now that the problem has been solved, Boeing can resume deliveries of the Dreamliner to. Boeing has also been making news on some other fronts. So far this month the company has won two contracts from the Pentagon that, while small, sow the seeds for potentially massive new opportunities in the future.

Boeing is a major player in a multitrillion-dollar market in which the opportunities are massive. However, emerging competitors and the company's execution problems have investors wondering whether Boeing will live up to its shareholder responsibilities. In our premium research report on the company, two of The Motley Fool's best minds on industrials have collaborated to provide investors with the must-know info on Boeing. They'll be updating the report as key news hits, so don't miss out -- simply click here now to claim your copy today.

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More Expert Advice from The Motley Fool

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Top 10 Up And Coming Stocks To Invest In Right Now

Last November, I announced my intention to create a portfolio of 10 companies that investors had effectively thrown away and given up on, in the hope of showing that deep-value investing, and contrarian thinking, can actually be a very successful investing method. I dubbed this the "One Person's Trash Is Another Person's Treasure" portfolio and, over a 10-week span, I highlighted companies that I thought fit this bill and would expect to drastically outperform the benchmark�S&P 500�over the coming 12 months. If you're interested in the reasoning behind why I chose these companies, then I encourage you to review my synopsis of each portfolio selection:

Exelon QLogic Dendreon Dell Staples Arkansas Best Arch Coal Skullcandy France Telecom Xerox

Now, let's get to the portfolio and see how it fared this week:

Top 10 Up And Coming Stocks To Invest In Right Now: First Interstate BancSystem Inc.(FIBK)

First Interstate BancSystem, Inc. operates as the bank holding company for First Interstate Bank that provides commercial and consumer banking services. Its deposit products include checking, savings, time, and demand deposits; and repurchase agreements primarily for commercial and municipal depositors. The company?s loan portfolio consists of a mix of real estate, consumer, commercial, agricultural, and other loans, including fixed and variable rate loans. Its real estate loans comprise commercial real estate, construction, residential, agricultural, and other real estate loans. The company also provides a range of trust, employee benefit, investment management, insurance, agency, and custodial services to individuals, businesses, and nonprofit organizations. These services include the administration of estates and personal trusts; management of investment accounts for individuals, employee benefit plans, and charitable foundations; and insurance planning. It serves indi viduals, businesses, municipalities, and other entities in various industries, including energy, healthcare and professional services, education and governmental services, construction, mining, agriculture, retail and wholesale trade, and tourism. The company operates 72 banking offices in 42 communities located in Montana, Wyoming, and western South Dakota. First Interstate BancSystem, Inc. was incorporated in 1971 and is headquartered in Billings, Montana.

Top 10 Up And Coming Stocks To Invest In Right Now: Morgans Hotel Group Co.(MHGC)

Morgans Hotel Group Co., a hospitality company, engages in the acquisition, ownership, operation, development, and redevelopment boutique hotels, nightclubs, restaurants, bars, and other food and beverage venues. It has operations primarily in the United States, Europe, and internationally. The company was incorporated in 2005 and is based in New York, New York.

Top 5 China Stocks To Own For 2014: United Industrial Corp Ltd (U06.SI)

United Industrial Corporation Limited, an investment holding company, engages in the development of and investment in properties in Singapore and China. It operates in four segments: Property Investment, Property Trading, Hotel Operations, and Technologies. The Property Investment segment leases commercial office property; provides property management services; and invests in retail centers. The Property Trading segment develops properties for trading. The Hotel Operations segment operates hotels and restaurants. The Technologies segment distributes computers and related products; and provides systems integration and networking infrastructure services. The company also operates food courts. The company was incorporated in 1963 and is based in Singapore.

Top 10 Up And Coming Stocks To Invest In Right Now: NVE Corporation(NVEC)

NVE Corporation engages in the development and sale of devices that use spintronics, a nanotechnology that relies on electron spin to acquire, store, and transmit information. It manufactures high-performance spintronic products, including sensors and couplers used to acquire and transmit data. The company?s products comprise standard sensors to detect the presence of a magnet or metallic material to determine position or speed; and custom and medical sensors primarily for medical devices to replace electromechanical magnetic switches. It also offers spintronic couplers, including passive-input couplers, digital-input couplers, and isolated network couplers in various series. In addition, the company licenses the spintronic magnetoresistive random access memory technology, as well as provides contract research and development services. NVE Corporation sells its products through distributors, principally in the United States, Europe, and Asia. The company was founded in 19 82 and is headquartered in Eden Prairie, Minnesota.

Top 10 Up And Coming Stocks To Invest In Right Now: Omega Healthcare Investors Inc.(OHI)

Omega Healthcare Investors, Inc. operates as a real estate investment trust (REIT) in the United States. The company invests in healthcare facilities, principally long-term healthcare facilities in the United States. It provides lease or mortgage financing to qualified operators of skilled nursing facilities (SNFs), as well as to assisted living facilities (ALFs), independent living facilities (ILFs), and rehabilitation and acute care facilities. As of March 31, 2011, the company?s portfolio of real estate investments consisted of 400 healthcare facilities, including 370 SNFs, 10 ALFs, 5 specialty facilities, fixed rate mortgages on 13 SNFs, and 2 SNFs that are held-for-sale located in 35 states. Omega Healthcare Investors, Inc. has been qualified as a REIT for federal income tax purposes. As a REIT, it would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its shareholders. The company was founded in 1992 and is bas ed in Hunt Valley, Maryland.

Top 10 Up And Coming Stocks To Invest In Right Now: Zingmobile Group Ltd(ZMG.AX)

Zingmobile Group Limited, an investment holding company, publishes value-added mobile content, services, and applications for the mobile market primarily in Singapore. It provides ecommerce and mobile content services, technology related services, and mobile marketing solutions. The company also involves in the sale and licensing of multimedia applications. It offers Alchemy Platform that provides the tools to package, deliver, store, publish, analyze, review, and bill products and services, as well as manages and supports the delivery processes, including testing and quality control, pricing and packaging, catalogue management, and mobile device profiling. In addition, the company also offers Mobile 2.0, which provides various ways of payment and enables customers to download mobile contents on to their mobiles; and Mobiletainment that delivers mobile media contents to approximately 500 million mobile subscribers in the Asia Pacific region. It delivers its content, servic es, and applications through various advertising mediums, which include print media, television, and radio. Zingmobile Group Limited was founded in 2002 and is headquartered in Singapore.

Top 10 Up And Coming Stocks To Invest In Right Now: Multi-chem Limited (M06.SI)

Multi-Chem Limited, an investment holding company, provides printed circuit board (PCB) manufacturing services primarily in precision drilling to PCB fabricators in Singapore, the People�s Republic of China, and internationally. It offers mechanical and laser drilling, and routing services. The company also distributes a range of specialty chemicals for surface treatment, electroless copper plating, tin/tin lead stripping, and micro-etching; and PCB-related materials and equipment, such as plating systems, pulse rectifiers for copper plating, copper anodes and tin anodes for electroplating, entry and back-up materials for drilling, non-woven brushes to ensure clean copper surface with suitable roughness, dry film and liquid photoresist, CCL and prepreg, tacky rollers, tack cloth/wipes, and cleaning machine to remove foreign particles on PCBs. In addition, it distributes hardware and software relating to Internet and network products, including Internet security, WAN optim ization, network management, and video conferencing products, as well as provides installation, maintenance, and related technical services for such products. Further, the company offers software consultancy and implementation services. Multi-Chem Limited was founded in 1985 and is headquartered in Singapore.

Top 10 Up And Coming Stocks To Invest In Right Now: Silver Standard Resources Inc(SSRI)

Silver Standard Resources Inc. engages in the exploration, development, and production of mineral resource properties in Argentina, Australia, Canada, Chile, Mexico, Peru, and the United States. The company primarily explores for silver, gold, tin, zinc, lead, and copper deposits. Its principal projects include Pirquitas project located in the Province of Jujuy, Argentina; San Luis project in central Peru; Pitarrilla and San Agustin projects in Durango State, Mexico; and Diablillos project in Salta Province, Argentina. The company was formerly known as Consolidated Silver Standard Mines Limited and changed its name to Silver Standard Resources Inc. on April 9, 1990. Silver Standard Resources Inc. was founded in 1946 and is headquartered in Vancouver, Canada.

Advisors' Opinion:

• [By ChemTrade]

  Silver Standard (NASDAQ: SSRI) has the largest in-ground silver resource of any publicly-traded primary silver company, with a pipeline of 15 projects ranging from grassroots exploration to production in Argentina, Peru, Mexico, Canada, Chile, the United States, and Australia.

  Silver Standard expects to produce a total of 8.5 million ounces of silver in 2011.

• [By Jim Lowell]

  Silver Standard's transition to production from exploration has inevitably led to many challenges for the company; but its high-quality assets and new leadership are keeping the eyes of investors glued to the company.

  For the third quarter ended September, Silver Standard reported loss of 10 cents a share vs. loss of 6 cents that Wall Street was expecting, as the company experienced lower-than-expected silver production and higher-than-expected interest expense, cash costs and income tax. Adjusting for foreign-exchange loss and stock-based compensation, Silver Standard reported loss of 4 cents a share vs. loss of 2 cents that industry observers such as BMO was expecting. The impact of the loss on BMO's view of the stock was “slightly negative,” leading BMO analyst Andrew Kaip to maintain a market perform rating on the stock.

  “They're in the bridge period where they're moving from having been a very successful exploration company finding silver to now trying to ramp up the mines into production,” says TEAMX's Dailey; and with that comes with a natural set of challenges that can be political, environmental, weather-related and permitting related.

  Still, Dailey believes that as long as silver prices continue to cooperate; and given Silver Standard's high-quality assets, the stock's relative underperformance “could be laying the groundwork for outperformance as we go forward.” In his opinion, the company's logistical issues are short term.

  In August, Silver Standard brought in new CEO John Smith. A veteran of the mining industry, Smith had spent the last 18 years of his career with mining giant BHP Billiton.

Top 10 Up And Coming Stocks To Invest In Right Now: Cityneon Holdings Limited (5HJ.SI)

Cityneon Holdings Limited, an investment holding company, provides event and exhibition services primarily in Singapore, the Middle East, Malaysia, the Asia Pacific, the United States, and Europe. It engages in the provision of design and building services for museums and visitor galleries, interior architecture, shop fit-outs, custom built exhibition pavilions, and road shows; event organizing, management, and event marketing services; electrical services for exhibitions and event management industries; and exhibitions and event management services, such as the rental of reusable modules and furnishings, road shows, and custom-built pavilions. The company also provides management, projects, logistics, and ownership services for events and festivals; management, human resource, and general office administration services; and interior and exterior decoration services for offices, commercial buildings, shop, museums, and theme parks, as well as designs and offers services fo r trade fairs, exhibitions, and displays. In addition, the company involves in the design, building, construction, manufacture, and trade of projects and components of water features, landscapes, thematic parks, thematic events, thematic leisure, and entertainment outlets; and design and production of environmental graphic materials, including banners, posters, bill-boards, and general signages for event and exhibition venues. Further, it provides exhibitions information consultation, economic information and enterprise management consultation, exhibition and event activities display design management, enterprise image and marketing management, stage design management, exhibition etiquette consultation, and showroom display design management services. The company was founded in 1956 and is headquartered in Singapore. Cityneon Holdings Limited is a subsidiary of Laviani Pte. Ltd.

Top 10 Up And Coming Stocks To Invest In Right Now: Westmoreland Coal Company(WLB)

Westmoreland Coal Company operates as an energy company in the United States. The company, through its subsidiaries, engages in the production and sale of sub-bituminous coal and lignite to electricity generating plants; and the ownership of power plants in North Carolina. It owns 5 surface coal mines in Montana, North Dakota, and Texas; and 2 coal-fired power generating units with a capacity of approximately 230 megawatts in Weldon, North Carolina. As of December 31, 2010, Westmoreland Coal Company had estimated proven and probable coal reserves of 389.9 million tons. The company was founded in 1854 and is headquartered in Englewood, Colorado.

A Hidden Reason Accuride's Future Looks Bright

Here at The Motley Fool, I've long cautioned investors to keep a close eye on inventory levels. It's a part of my standard diligence when searching for the market's best stocks. I think a quarterly checkup can help you spot potential problems. For many companies, products that sit on the shelves too long can become big trouble. Stale inventory may be sold for lower prices, hurting profitability. In extreme cases, it may be written off completely and sent to the shredder.

Basic guidelines
In this series, I examine inventory using a simple rule of thumb: Inventory increases ought to roughly parallel revenue increases. If inventory bloats more quickly than sales grow, this might be a sign that expected sales haven't materialized. Is the current inventory situation at Accuride (NYSE: ACW  ) out of line? To figure that out, start by comparing the company's inventory growth to sales growth. How is Accuride doing by this quick checkup? At first glance, pretty well. Trailing-12-month revenue decreased 14.3%, and inventory decreased 30.5%. Comparing the latest quarter to the prior-year quarter, the story looks decent. Revenue dropped 28.6%, and inventory dropped 30.5%. Over the sequential quarterly period, the trend looks healthy. Revenue grew 9.2%, and inventory dropped 6.1%.

Advanced inventory
I don't stop my checkup there, because the type of inventory can matter even more than the overall quantity. There's even one type of inventory bulge we sometimes like to see. You can check for it by examining the quarterly filings to evaluate the different kinds of inventory: raw materials, work-in-progress inventory, and finished goods. (Some companies report the first two types as a single category.)

A company ramping up for increased demand may increase raw materials and work-in-progress inventory at a faster rate when it expects robust future growth. As such, we might consider oversized growth in those categories to offer a clue to a brighter future, and a clue that most other investors will miss. We call it "positive inventory divergence."

On the other hand, if we see a big increase in finished goods, that often means product isn't moving as well as expected, and it's time to hunker down with the filings and conference calls to find out why.

What's going on with the inventory at Accuride? I chart the details below for both quarterly and 12-month periods.

Source: S&P Capital IQ. Data is current as of latest fully reported quarter. Dollar amounts in millions. FY = fiscal year. TTM = trailing 12 months.

Source: S&P Capital IQ. Data is current as of latest fully reported quarter. Dollar amounts in millions. FQ = fiscal quarter.

Let's dig into the inventory specifics. On a trailing-12-month basis, work-in-progress inventory was the fastest-growing segment, up 5.5%. On a sequential-quarter basis, work-in-progress inventory was also the fastest-growing segment, up 5.5%. Accuride seems to be handling inventory well enough, but the individual segments don't provide a clear signal. Accuride may display positive inventory divergence, suggesting that management sees increased demand on the horizon.

Foolish bottom line
When you're doing your research, remember that aggregate numbers such as inventory balances often mask situations that are more complex than they appear. Even the detailed numbers don't give us the final word. When in doubt, listen to the conference call, or contact investor relations. What at first looks like a problem may actually signal a stock that will provide great returns. And what might look hunky-dory at first glance could actually be warning you to cut your losses before the rest of the Street wises up.

Is Accuride the right retailer for your portfolio? Learn how to maximize your investment income and ""Secure Your Future With 9 Rock-Solid Dividend Stocks,"" including one above-average retailing powerhouse. Click here for instant access to this free report.

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