What's Driving Buckeye Partners' Domestic Operations?

These days most investors know about the big fat distributions coming out of MLPs. However, few investors know exactly how or where these companies make their money. One MLP that should be catching the eye of investors is Buckeye Partners (NYSE: BPL  ) , especially since it sports a distribution of more than 6%. Let's take a quick look inside the company's largest segment, domestic pipelines and terminals, and see how it makes its money.

The pipelines
Buckeye owns and operates about 6,000 miles of pipelines in its domestic operations. For perspective, if laid end to end, that's enough pipe to stretch from New York to Los Angeles... twice. Buckeye's pipelines, though, are mostly located in the Northeast and Midwest, where the company delivers petroleum-based products to nearly 100 locations.

Buckeye moves nearly 1.4 million barrels of liquid petroleum products per day, including gasoline, jet fuel, and heating oil. Some of its key pipelines include delivering jet fuel to three New York City airports as well as a number of assets dedicated to piping refined products from the refineries to terminals owned by Buckeye to be stored until its ready to be moved to end users. The company's pipelines are very well integrated with its terminal and storage assets so that it can generate additional revenue by providing complementary services to its customers.  

The terminals and storage
Buckeye currently has about 100 petroleum product terminals and approximately 42 million barrels of liquid petroleum product storage capacity. The company has been busy over the past couple of years growing this asset base though a number of important strategic transactions. These are just starting to bear fruit and the company sees a lot of potential growth here as it continues to build its terminal franchise. 

One of the best assets that Buckeye has acquired recently is the Perth Amboy marine terminal in the New York Harbor, which it purchased from Chevron (NYSE: CVX  ) for $260 million. In conjunction with the sale, Chevron entered into a multi-year storage and services agreement. Buckeye plans to spend more than $100 million to transform the terminal into one that can store multiple products as well as link it by pipeline to its nearby Linden complex and to upgrade it to handle Bakken-sourced crude oil coming in by rail and ship. This is an area where Buckeye really excels as it can take an underutilized asset from a large integrated company like Chevron and turn it into something of even greater value. 

Source: Buckeye Investor Presentation

Another example of this occurred when Buckeye bought 33 liquid product terminals and 643 miles of pipeline assets from BP (NYSE: BP  )  for $165 million. After closing the deal, Buckeye was able to sign on 32 new customers which yielded a 34% year-over-year increase in the EBITDA contributed by those assets. This is why Buckeye sees a lot of potential in acquiring terminal assets from companies like BP and Chevron, because it believes it can operate them more efficiently while also creating additional value for investors.

Where's the growth?
Buckeye is seeing an increasing number of opportunities as a logistics solution provider for Bakken crude oil. Not only are there plans to accept Bakken oil at Perth Amboy, but the company's Albany, N.Y., and Woodhaven, Mich., terminals have both become key solutions in the transportation of crude oil by rail. Outside of that, Buckeye sees crude oil storage and transportation potential at its Chicago complex. Growth opportunities, both organic and acquired, are in abundance at Buckeye as its assets provide a key logistical role in the transportation of petroleum-based products to the population centers of the Northeast and Midwest.

Final Foolish thoughts
Buckeye is really well positioned to benefit from the continued growth in crude oil production here in the U.S. The company has a number of expansion and acquisition opportunities which should enable it to keep growing its distribution. Not only that but Buckeye could one day become an acquisition target of a larger MLP looking to build its presence in the highly populated marketplace of the Northeast. 

There are many different ways to play the energy sector, and The Motley Fool's analysts have uncovered an under-the-radar company that's dominating its industry. This company is a leading provider of equipment and components used in drilling and production operations, and poised to profit in a big way from it. To get the name and detailed analysis of this company that will prosper for years to come, check out the special free report: "The Only Energy Stock You'll Ever Need." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. Click here to access your report -- it's totally free.

An Economics 101 Lesson From Corporate America

Supply. Demand.

Any basic economics class will start with these two words on the blackboard. They are the yin and yang of the market. Whenever one of these two items falls out of balance, it can take a major toll on companies that do business in that space. In recent years, certain sectors have been ravaged by an imbalance in supply and demand. Let's look at these sectors and see what will be needed to get back.

Metals: I sense a great disturbance in the (supply) force
Predicting global demand for metals can almost be answered with one question: How much will China and India need? Demand outside these countries is much more steady and predictable, but the growth in China and India has the ability to swing global supplies more so than anywhere else in the world. 

Back in 2011, aluminum prices hit their post financial-collapse peak, and there was a mad dash to increase supply to keep pace with Chinese demand. Since then, Chinese demand has waned and stockpiles for both aluminum and iron ore have grown, while spot prices for both materials dropped by at least 23%.

Iron Ore Spot Price (Any Origin) data by YCharts

Of course, when a company deals exclusively with these kinds of materials, a major slump in demand and prices will deal a major blow to share prices. Alcoa (NYSE: AA  ) , U.S. Steel (NYSE: X  ) , and Cliffs Natural Resoures (NYSE: CLF  ) , all of which deal exclusively with either aluminum- or steel-related materials, have seen their share prices drop since the metal-price peak back in 2011.

AA data by YCharts

Today, aluminum, iron ore, and metalurgical coal companies have started to slow down production to let demand catch up with excess stockpiles of these materials. Alcoa has idled almost 500,000 tons of aluminum smelting capacity, and Cliffs Natural Resources shut down two of its facilities in Michigan and Minnesota late last year. Both of these moves are part of a larger concentrated effort by several metal companies to bring prices back up.

In a way, these moves are starting to pay off. Alcoa recently reported better-than-expected earnings this past quarter, and although U.S. Steel still saw a sizable loss this past quarter, it was just 33% of the loss the company suffered on a year-over-year basis for the period. The outlook for the rest of 2013 and into 2014 looks much stronger, as stockpiles for these basic metals are rather low, Chinese demand is growing again, and prices for these materials are starting to inch their way back up. 

Solar panels
Commodities such as metals and other basic materials have always made for a rather cyclical industry, always reacting to the recent moves in demand. It's less rare for a manufactured product such as solar panels to experience an oversupply as it has recently, but moves by certain companies have brought on that very problem.

Like the metals market, the market for solar panels has been dominated by China, but in a completely different way. Rather than being the largest demand source, it's been the largest supply source of cheap solar panels around the world. Over the past several years, the Chinese government heavily subsidized major solar-panel manufacturers such as Trina Solar, Yingli Green Energy, and the recently bankrupt Suntech Power Holdings. China was thus able to capture 80% of the worlds solar panel market by being a low-cost provider. 

The problem with that approach is that solar-panel companies' manufacturing cpacity far outpaced worldwide demand. Global manufacturing capacity for solar panels stands at about 60 gigawatts per year. In 2012, though, demand for solar power was only about 35 gigawatts, according to Dr. Harry A. Atwater, director of the Resnick Sustainability Institute at the California Institute of Technology. With so much extra capacity on the market, almost every company struggled to sell panels at a profit. First Solar (NASDAQ: FSLR  ) , which developed a cost-effective panel that didn't use silicon, saw its price advantage erode, and with it much of the company's share price over the past couple of years. 

Now it appears that the solar-panel industry is in the middle of a correction. No longer propped up by Chinese government subsidies and facing U.S. and European import tariffs, Chinese solar companies have been folding rapidly, most recently highlighted by the Suntech bankruptcy. According to a GTM Research report, 88 solar companies will shut down factories or completely close up shop within the next three years, 54 of those being Chinese companies.  

Some companies are starting to show life as the stronger companies emerge from this massive correction. Both First Solar and SunPower are anticipating higher profits throughout 2013 and beyond. The next couple of years will be the proving ground for these solar companies as the wheat separates itself from the chaff. 

What a Fool believes
Markets are like nature, always in flux and striving for equilibrium. Just as when too many predators exist in a habitat with too few prey, supply levels will dwindle until sufficient demand catches up. As complex as nature and the global markets may be, they will always eventually revert back to this basic principle.

Long-term investors need to understand this equilibrium. In sectors such as commodities, ups and downs are expected to happen. Rather than trying to time the market, though, have the temperament to weather these rougher patches, and your portfolio will thank you in the long run.

Materials industries are traditionally known for their high barriers to entry, and the aluminum industry is no exception. Controlling about 15% of global production in this highly consolidated industry, Alcoa is in prime position to take advantage of growth that some expect will lead to total industry revenue approaching $160 billion by 2017. Based on this prospect and several other company-specific factors, Alcoa is certainly worth a closer look. For a Foolish investment perspective on this global giant, simply click here now to get started.

Are Our Nation's Railroads in Trouble?

More than 20% of total rail carloads stem from the coal industry. Because of this reliance on coal shipments, CSX (NYSE: CSX  ) and Norfolk Southern (NYSE: NSC  ) each saw revenues from coal shipments drop by double digits in the first quarter of 2013 versus the same quarter last year. This also can't be great news for Warren Buffett's Berkshire Hathaway (NYSE: BRK-A  ) , as it owns BNSF railroads, which holds a 33% market share in coal shipments by rail, according to 2012 data.

These companies cater to the eastern United States, which has seen its coal industry hurt to a much greater degree than miners out west, such as Peabody Energy and its Powder River Basin thermal coal production. Coal from this region is produced further down the cost curve and is competitive with much lower natural gas prices than the Appalachian output.

Because exports are becoming a much bigger part of the domestic coal landscape, CSX has chosen to focus on providing greater access to a variety of export terminals. Peabody Energy is just one company that has deals in place to get its cheaper coal from the Powder River and Illinois basins to India, China, and the EU. For investors looking to capitalize on a rebound in the U.S. coal market, The Motley Fool has authored a special new premium report detailing exactly why Peabody Energy is perhaps most worthy of your consideration. Don't miss out on this invaluable resource -- simply click here now to claim your copy today.

For more on this topic and our analysts' opinions on the matter, tune in to the following video.

This Little-Known ETF Flaw Could Cost You Big

Exchange-traded funds have taken the investing world by storm, having made it easy for millions of investors to get exposure to the overall stock market as well as niche investment areas. But lately, we've seen one big flaw emerge with ETFs that investors need to be aware of.

In the following video, Fool contributor Dan Caplinger notes that recently, several ETFs have shown big disparities between their share prices and the underlying value of the assets. Dan points out that while this is fairly common among international ETFs, where foreign markets aren't always open when U.S. exchanges are trading, the phenomenon has spread to U.S. bond market ETFs. Dan concludes that a lack of liquidity is always a concern with ETFs, and so you really need to look at the underlying assets before you buy ETF shares.

To learn more about a few ETFs that have great promise for delivering profits to shareholders, check out The Motley Fool's special free report "3 ETFs Set to Soar." Just click here to access it now.

Barnes & Noble's Problems Are Bigger Than Nook

The nation's largest bricks-and-mortar bookstore Barnes & Noble (NYSE: BKS  ) admitted defeat yesterday by abandoning its attempt to compete in the tablet market.

The world wasn't shocked.

Even without the benefit of hindsight, the hubris displayed by Barnes & Noble executives throughout the whole process was laughable. On yesterday's conference call, during which they discussed the company's quarterly results, its executives were curt and unresponsive to analyst questions. It was a poor showing to put it mildly. One would have been excused for expecting humility given that they had just overseen the biggest quarterly loss in the company's history.

When the first Nook Color was introduced at the end of 2010, it was pitched as a state-of-the-art, ground-breaking device. The "world's first color ereader." It was even lauded as a desirable alternative to the Apple iPad, which Barnes & Noble CEO William Lynch said was too heavy and too expensive. At the time, it sounded like naïve, pie-in-the-sky ambitions from a young and inexperienced CEO, which Lynch was at the time (and arguably still is). But now, it's nothing more than a massive failure that's cost the ailing bookstore chain hundreds of millions of dollars at a time when it simply couldn't afford it.

To be clear, the Nook is not the problem. It's rather a symptom of the way the company has been mismanaged. I discussed this last year in an article about Chairman Len Riggio's classic covetous overreach to extract value from the company without selling his shares -- which, of course, would have tipped off other shareholders as to the prudence of doing so. Instead, he sold Barnes & Noble the stores that now make up its college division, sending the tangible book value of the company from above $500 million down to a negative $330 million.

And I was reminded of this fact again yesterday. Despite my lack of confidence in the way Barnes & Noble is managed, I'm nevertheless a frequent and loyal customer. During a visit yesterday, I asked the person manning the Nook desk what he thought about the news. I figured that he'd at least have an opinion considering where he was working in the store. But to my surprise, he hadn't heard anything about it.

So there you have it: At the same time that Barnes & Noble executives hide behind a telephone receiver and effectively refuse to answer legitimate questions from analysts, they leave their poorly paid foot soldiers on the proverbial front lines without so much as a heads-up that a seismic change is under way. Suffice it to say, both Barnes & Noble's shareholders and employees deserve better.

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Chicago Manufacturing Hits Four-Year Low

The Chicago "Business Barometer" fell sharply, to 51.6 for June, according to an Institute for Supply Management and MNI report (link opens as PDF) released today. After hitting a 14-month high of 58.7 in May, June's report clocks in 7.1 points lower, at 51.6, its largest drop in over four years. Analysts had expected only a slight decrease to 55.

The Chicago Business Barometer is based on a survey of purchasing and supply-chain professionals, and is closely watched by analysts as a possible leading signal of economy growth. A barometer reading above 50 indicates growth, while below 50 denotes contraction.

"Activity dropped back in June following the large rise in May," said MNI Chief Economist Philip Uglow in a statement. "The trend level of the Barometer has picked up since the fourth quarter of 2012, and while these latest data point to some weakening between the first and second quarter, it is too early to say if this will continue."

The metric is made up of five separate components. Employment posted the only gains, while order backlogs fell to their lowest level since September 2009. Although new orders fell from their 58.1 May reading, June's 54.6 level could still signal solid growth ahead.

Top 5 Financial Companies To Watch In Right Now

Crunch! That's the sound of China's manufacturing sector as the slowdown intensifies in the world's second-largest economy. The country's once-powerhouse economic growth has slowed from a double-digit percentage rise just a few years ago to growth of less than 8% projected for this year, and manufacturing has fallen right alongside that number. HSBC's Flash Purchasing Managers Index for China, showing the health of the manufacturing industry nationwide, declined to 48.3 in June, dropping nearly a full point from May's reading and now solidly in contraction territory.

A massive credit crunch in the country is exacerbating manufacturing's problems, as lending dries up in China's financial sector and companies turn to Hong Kong for cash. In response, Hong Kong's interest rates have skyrocketed. Is China's amazing growth story finally on its last legs -- and more importantly, what does this worsening decline mean for the rest of the world as America tries to continue its nascent recovery and Europe looks to dig out of recession?

Top 5 Financial Companies To Watch In Right Now: F.B.D.HLDGS ORD EUR0.60(FBH.L)

FBD Holdings plc, through its subsidiaries, primarily engages in general insurance underwriting business in Ireland and other countries in European Union. It offers various business insurance products, including shop insurance; pub insurance; office based professional insurance; manufacturers, distribution, and wholesale insurance; and restaurant, cafe, and takeaway insurance. The company also offers other business insurance products for property, business interruption, employer?s liability, public liability, products liability, money, and deterioration of food to small and medium enterprises; property insurance for commercial and private lets; medical surgery insurance; insurance for hotels, guest houses, and B&B?s; and self build insurance, as well as commercial vehicle insurance, motor fleet insurance, personal car insurance, farm insurance, and home insurance. In addition, it provides various personal finance solutions, including general insurance broking, life assur ance/pension products, broking/investment advice, installment finance, mortgage protection quotes, life and serious illness cover products, mortgage advices, and income protection solutions, as well as other financial solutions for businesses. Further, the company holds interests in various hotel and leisure properties comprising the La Cala and Sunset Beach Resorts in Spain, as well as in the FBD Hotels in Ireland. FBD Holdings plc was incorporated in 1988 and is based in Dublin, Ireland.

Top 5 Financial Companies To Watch In Right Now: National Australia Bank Ltd (NAB)

National Australia Bank Limited provides products, advice and services. In Australia, it operates through National Australia Bank, MLC and UBank. In the United Kingdom, it operates through Clydesdale Bank. In New Zealand, it operates through Bank of New Zealand. In the United States, it operates through Great Western Bank. Segments include Business Banking, Personal Banking, Wholesale Banking, UK Banking and NZ Banking, MLC and NAB and Great Western Ban. As of April 5, 2012, the Company and its associated entities ceased to be a substantial holder in BlueScope Steel Limited. On May 17, 2012, it ceased to be a substantial holder in Spark Infrastructure Group and Sandfire Resources NL. As of August 24, 2012, the Company and its associated entities ceased to be holder in Tabcorp Holdings Limited. In September 2012, the Company and its associated entities have ceased to be a substantial holder in Incitec Pivot Limited, as of August 30, 2012. Advisors' Opinion:

• [By Dale Gillham]

  NAB is still a long way from its all-time high of $44.84 from 2007, but has so far been able to hold above 50 per cent ($22.42) of its all-time high, which is a positive sign. Given that NAB has spent a lot of time in a zigzag formation above this level; you can see how strong this level has been for its shares. At present NAB is probably my least preferred bank stocks when weighing up the risks from a technical perspective, but while it stays above this 50 per cent level it has a greater probability of rising than falling.

  What is holding it back? You can see how a few months ago NAB attempted to break the $26.00 level overhead, which has proven to be an important threshold for those just not willing to pay more for NAB. If you are a bit of a contrarian and like to pick underdogs, you may decide to keep NAB on your watch list because very soon I am expecting it to show where it is headed. A move back below the 50 per cent level would not bode well for those holding NAB.

Top High Dividend Companies To Invest In Right Now: The Bancorp Inc.(TBBK)

The Bancorp, Inc. operates as the holding company for The Bancorp Bank that provides various commercial and retail banking and related products and services to small and mid-size businesses and their principals. The company?s deposit products include checking accounts, savings accounts, health savings accounts, money market accounts, individual retirement accounts, certificates of deposit, and stored value and payroll cards, as well as commercial accounts, such as general commercial checking, small business checking, business savings, and business money market accounts. Its loan portfolio comprises commercial term loans, commercial mortgage loans, commercial lines of credit, 1-4 family construction loans, direct lease financing, and commercial construction, acquisition, and development loans; and consumer loans comprising loans for consumers to finance personal residences, automobiles, home improvements, and for other purposes. The company also provides other banking serv ices, which include private label banking and merchant card processing services; and Internet banking services. It serves Philadelphia, Delaware, Chester, Montgomery, Bucks, and Lehigh counties in Pennsylvania; New Castle county in Delaware; and Mercer, Burlington, Camden, Ocean, and Cape May counties in New Jersey. The company was founded in 1999 and is based in Wilmington, Delaware.

Top 5 Financial Companies To Watch In Right Now: Risan Napoli(RN.MI)

Risanamento S.p.A. engages in the development and investment of real estate properties in Italy and internationally. Its property portfolio comprises approximately 2,500,000 square meters. The company is based in Milan, Italy.

Top 5 Financial Companies To Watch In Right Now: PS Business Parks Inc.(PSB)

PS Business Parks, Inc., a real estate investment trust (REIT), together with its subsidiaries, engages in the acquisition, development, ownership, and operation of commercial properties primarily multi-tenant flex, office, and industrial space. As of December 31, 2007, the company owned and operated approximately 19.6 million rentable square feet of commercial space located in Arizona, California, Florida, Maryland, Oregon, Texas, Virginia, and Washington, as well as managed approximately 1.4 million rentable square feet. It also owned approximately 6.4 acres of land in Northern Virginia; 14.9 acres in Portland, Oregon; and 10.0 acres in Dallas, Texas for the development of commercial properties. PS Business Parks has elected to be taxed as a REIT under the Internal Revenue Code and would not be subject to federal income tax to the extent it distributes at least 90% of its REIT taxable income to its shareholders. The company was founded in 1983. It was formerly known as P ublic Storage Properties XI, Inc. and changed its name to PS Business Parks, Inc. in 1998. The company is based in Glendale, California.

Hot Low Price Companies For 2014

Everything was looking great with my new investment. 

The stock had been steadily climbing higher since my purchase in early January. This company was among the original members of the S&P 500 and once ranked among the Dividend Aristocrats. Members of this exclusive list have raised their dividends annually for 25 consecutive years. Talk about a vote of confidence! 

However, the company was dropped from that list recently. Not because of an issue with its dividends -- but because it no longer had the minimum $3 billion market capitalization to remain a member. 

In addition, sales had been slipping over the past several years. Counterbalancing the bad news, the company was still creating decent cash flow, producing solid returns on invested capital and trading at relatively low price. 

Hot Low Price Companies For 2014: General Communication Inc.(GNCMA)

General Communication, Inc. provides communication services to residential and business customers under the GCI and Alaska Wireless brand names in Alaska. The company?s Consumer segment provides local and long distance voice services; video services and products, including cable, high-definition television, digital video recorder, premium channel programming, video on demand, and pay-per-view programming services; Internet access; and fixed and mobile wireless voice and data services. This segment also sells handsets, personal computer wireless data cards, and accessories to residential customers; and offers bundled services and products, which comprise long-distance, cable television, cable modem Internet access, local access, and wireless services. Its Network Access segment provides interstate and intrastate-switched message telephone, multi-protocol label switching, frame relay, private line and dedicated Internet, and wireless services to GSM and CDMA wireless carrie rs. The company?s Commercial segment offers local and long distance communication, video, Internet, data network, managed, wireless, and bundled products and services. Its Managed Broadband segment offers Internet access, data network, and managed services to rural school districts, hospitals, and health clinics. The company?s Regulated Operations segment provides wireline communications services, including local access and long-distance, and Internet services and products, to residential, business, and governmental customers in areas of rural Alaska. General Communication, Inc. sells its services primarily through direct contact marketing, as well as through local media advertising, and its retail stores and Website. As of December 31, 2011, it had approximately 87,900 long-distance customers, 138,100 local access lines in service, 142,600 basic cable subscribers, 139,900 wireless subscribers, and 119,400 cable modem subscribers. The company was founded in 1979 and is bas ed in Anchorage, Alaska.

Hot Low Price Companies For 2014: Telefonica SA(TEF)

Telefonica, S.A. provides fixed and mobile telephony services primarily in Spain, rest of Europe, and Latin America. Its fixed telecommunication services include PSTN lines; ISDN accesses; public telephone; local, domestic, and international long distance and fixed-to-mobile communications; corporate communications; video telephony; supplementary and business-oriented value-added services; network services; leasing and sale of handset equipment; and telephony information services. The company?s Internet and broadband multimedia services comprise Internet service provider service; portal and network services; retail and wholesale broadband access; narrowband switched access to Internet; naked ADSL, a broadband connection; residential-oriented value-added services; companies-oriented value-added services; television services, such as IPTV, cable television, and satellite television; and Fiber to the Home, a service for high speed Internet access and digital video recording. Its data and business-solutions services principally include leased lines; virtual private network services; fiber optics services; the provision of hosting and application; outsourcing and consultancy services; desktop services; and system integration and professional services. The company?s wholesale services for telecommunication operators primarily comprise domestic interconnection services; international wholesale services; leased lines for other operators? network deployment; local loop leasing under the unbundled local loop regulation framework; and bit stream services. It also offers various mobile and related services and products that include mobile voice services, value added services, mobile data and Internet services, wholesale services, corporate services, roaming, fixed wireless, and trunking and paging services. The company has a strategic alliance with China Unicom (Hong Kong) Limited. Telefonica, S.A. was founded in 1924 and is headquartered in Madrid, Spai n.

Advisors' Opinion:

• [By Conrad]

  Among the stocks that Bolton favors are Spain's Telefonica (TEF), which has a 7% 2009 yield and 3.8 times dividend cover, and BP, the British oil producer, which has a 6.9% yield and 2.8 times cover. Falling oil prices are an issue for BP, but he thinks it will try to avoid a dividend cut, owing to bad memories of a prior cut in the 1990s.

Hot European Companies To Own For 2014: Rand Capital Corporation(RAND)

Rand Capital Corporation is a venture capital firm specializing in investments in early venture and in small to medium-sized privately held companies. The firm does not prefer to invest in real estate sector. It invests in companies that are engaged in the exploitation of new or unique products or services. It seeks to invest in companies based in the Western and Upstate New York region and its surrounding states with focus on Buffalo and Niagara region. The firm may invest in region within three to five hour drives from Western New York including Canada. It typically invests between $500,000 and $1.5 million and the total investment in rounds is between $1 million and $5 million. The firm seeks to be a lead investor in companies within its geographical area and participates in syndicate with other investors outside it. It prefers to invest in businesses that are unique or possess proprietary right. The firm prefers to be a minority investor and seeks to take a Board seat in its portfolio companies. It typically holds its investments for a period of five to seven years. Rand Capital Corporation was founded in 1969 and is based in Buffalo, New York.

Hot Low Price Companies For 2014: Universal Corporation(UVV)

Universal Corporation, together with its subsidiaries, operates as a leaf tobacco merchant and processor worldwide. It engages in selecting, procuring, buying, processing, packing, storing, supplying, shipping, and financing leaf tobacco for sale to, or for the account of, manufacturers of consumer tobacco products. The company processes and/or sells flue-cured and burley tobaccos, dark air-cured tobaccos, and oriental tobaccos; and provides value-added services, including blending, chemical and physical testing of tobacco, just-in-time inventory management, and manufacturing reconstituted sheet tobacco. Its flue-cured, burley, and oriental tobaccos are used principally in the manufacture of cigarettes; and dark air-cured tobaccos are used in the manufacture of cigars, pipe tobacco, and smokeless tobacco products. The company was founded in 1888 and is headquartered in Richmond, Virginia.

Hot Low Price Companies For 2014: National Technical Systems Inc.(NTSC)

National Technical Systems, Inc., a diversified technical services company, provides engineering and compliance testing services to the defense, aerospace, telecommunications, automotive, energy, consumer products, and industrial products markets worldwide. The company offers product life-cycle product integrity support services, including design engineering, compliance, testing, certification, quality registration, and program management. It provides conformity assessment and management system registration services, as well as technology services for product certification, product safety testing, and product evaluation. The company also offers management registration and certification services. The company was founded in 1961 and is based in Calabasas, California.

Hot Low Price Companies For 2014: Vrx Worldwide Inc (VRW.V)

VRX Worldwide Inc., through its subsidiary VRX Studios Inc., provides content production, management, hosting, and licensing services for the online travel industry. It licenses Destination Content, a tool that helps consumers in comparing various destinations to determine their vacation desires; Hotel Content, which addresses the content demands of online travel agencies, as well as those of individual hotels and hotel chains; and Cruise Content that includes interactive maps of participating cruise line's ships along with virtual tours and still images of the staterooms and amenities available. The company also provides custom content solutions. It serves online travel intermediaries, hotels and resorts, cruise lines, and tourism boards. The company was formerly known as Cambridge Ventures Ltd. and changed its name to VRX Worldwide Inc. in December 2000. VRX Worldwide Inc. was founded in 1993 and is headquartered in Vancouver, Canada.

Cisco to Acquire Composite Software

Highlighting the continued importance of data virtualization, Cisco Systems (NASDAQ: CSCO  ) announced this morning it would acquire privately held Composite Software, a data virtualization software and services specialist, for approximately $180 million in cash and retention-based incentives.

By consolidating the data in a simplified view, Composite's software helps businesses quickly integrate and analyze data and workflow across platforms, taking into account the cloud, as well as big data. This allows businesses to make better, more informed decisions in real time. Through this connection, companies can better leverage their network knowledge and programmability, maximizing the benefits of data virtualization, because it appears as if it's all in one place.

Cisco President and COO Gary Moore said: "By combining our network expertise with the performance of Cisco's unified computing system and Composite's software, we will provide customers with instant access to data analysis for greater business intelligence."

Upon completion of the acquisition, Composite will be operated under Cisco's services platforms group and its integration brokerage technology group. The deal is expected to close in the first quarter of fiscal year 2014.

Cisco's shares are down 0.6% to $24.54 in early morning trading.

Spirit Airlines Wants to Keep Growing

Ultra-low-cost carrier Spirit Airlines (NASDAQ: SAVE  ) has been one of the fastest-growing airlines in the U.S. for the past several years. The company's revenue has shot up from just $781 million in 2010 to $1.32 billion last year, and analysts expect Spirit's revenue to reach $1.88 billion in 2014. That would represent a compound annual growth rate of approximately 25%.

Despite this rapid growth, Spirit has also been one of the most profitable airlines in the country; the company has actually been improving its already-stellar pre-tax margin recently. Last month, Consumer Reports ranked Spirit at the bottom of the airline industry in terms of customer service, but passengers continue to flock to the airline because of its rock-bottom fares.

With revenue and earnings consistently increasing, Spirit ordered 20 new Airbus A321 aircraft at last week's Paris Air Show to meet the significant untapped demand for its services. The company also upgraded 10 of its Airbus A320 aircraft on order to the larger A321 model. This order signals that management intends for Spirit to continue its rapid growth for the foreseeable future. As the company expands, it could become an increasingly potent threat to higher-priced competitors.

Rapid growth to continue
Spirit currently operates a fleet of 50 Airbus aircraft, consisting of 29 A319s seating 145 passengers, 19 A320s seating 178 passengers, and two A321s seating 218 passengers. All three models are part of the A320 aircraft "family," which means that they have a similar design and a common cockpit. This allows Spirit to deploy planes based on the level of demand in each market while avoiding much of the crew scheduling and maintenance complexity that comes from flying different types of aircraft.

A Spirit Airlines A320 (courtesy of Spirit Airlines).

As of the end of 2012, Spirit operated 45 airplanes and planned to grow its fleet to 78 planes by the end of 2016. However, the company was scheduled to see fleet growth taper off to just two aircraft per year in 2017 and 2018 before accelerating again at the end of the decade.

Last week's order allows Spirit to grow capacity by 15% or more per year (on average) for the next five years. Spirit executives have frequently stated that they see ample growth opportunities ahead, with more than 400 potentially viable markets today. Even with all of these aircraft on order, the company will be able to satisfy just a small portion of that demand.

The choice of A321 aircraft is also a testament to management's confidence in the robust demand for Spirit's low-fare, no-frills product. Whereas the majority of Spirit's planes today are A319s seating 145 passengers, the A321s are 50% larger, with 218 seats. Clearly, Spirit executives think that they could fill more seats in many markets if the company had additional capacity.

A competitive threat
For the most part, Spirit has been successful by flying under the radar of the major carriers. It is still a very small carrier compared to the major airlines: AMR (NASDAQOTH: AAMRQ  ) , Delta Air Lines (NYSE: DAL  ) , Southwest Airlines (NYSE: LUV  ) , and United Continental (NYSE: UAL  ) . Moreover, it generally appeals to a different type of customer than those carriers: one who is extremely price-sensitive.

Many of Spirit's customers would not fly at all if they didn't have access to Spirit's low fares. Thus, to some extent Spirit is not competing directly with other airlines for customers. Still, at the margins, there are obviously some fliers who choose Spirit because it is available but would pay more for a ticket on one of the major airlines if it were the only option.

As Spirit continues to expand rapidly, this indirect competition will increasingly put pressure on the major carriers. Even network airlines like American, United, and Delta -- which primarily focus on serving business travelers -- need to fill the "back of the plane" with price-sensitive leisure customers. For most of these airlines, losing just two or three customers on each flight could be the difference between earning more than the cost of capital or not.

Foolish bottom line
Spirit's order last week signals that the company intends to grow rapidly for the foreseeable future. Not only will the carrier add planes to its fleet, but the new planes will also have more seats than the A319s and A320s that make up the backbone of Spirit's current fleet. Given Spirit's solid profitability, investors should be happy to see that the company will keep growing rapidly.

So far, Spirit has not presented a severe threat to established carriers because it still has a very small market share and primarily targets customers who could not otherwise afford to fly a traditional carrier. However, if Spirit continues to grow rapidly, it could start to siphon a significant amount of business away from other airlines due to its very low fares. All airline sector investors should keep their eyes on Spirit, as this little company could become increasingly disruptive within its industry.

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Gilead's Potential Megablockbuster Raises the Bar

The Food and Drug Administration recently granted Gilead Sciences (NASDAQ: GILD  ) priority review for its much-awaited hepatitis C drug sofosbuvir. Current treatments are far from perfect for the 3.2 million people suffering from chronic forms of the disease. This novel oral therapy has a lot going for it, which has some analysts thinking it could potentially hit $5 billion in peak sales. In the following video, Fool contributor Maxx Chatsko explains how Gilead's drug raises the bar for the future of hepatitis C treatment. 

As mentioned in the video, AbbVie is also developing a next generation drug for hepatitis C. It has shown tremendous promise in clinical trials, but will it be enough once the company's golden goose, Humira, is cooked? The Fool's brand new premium report on the company answers the high-profile questions that AbbVie investors are asking. Simply click here now to claim your copy today.

Even Without Payments, Apple's Passbook Is Taking Off

Investors are widely expecting Apple (NASDAQ: AAPL  ) to get into the mobile payments game sooner or later, especially after CEO Tim Cook mentioned that the company now has 575 million active iTunes accounts with credit card information just a click or tap away. That makes its active user base nearly three times that of Amazon.com, the largest e-commerce company in the world.

Passbook in iOS 6. Source: Apple.

Apple's stepping stone until then is Passbook, which aggregates other wallet-related items like gift cards, loyalty cards, and more. Even though Passbook doesn't offer any type of uniform payment method that links to a credit card, the app is already taking off in popularity among retailers and merchants.

GigaOM recently spoke with CashStar marketing exec Gene Cornfield about Passbook's potential. CashStar helps many well-known retailers create digital gift cards, so it has valuable insight into how Passbook is progressing. The company says that approximately 33% of gift cards that are sent are opened on a smartphone, and 66% of these smartphones run iOS 6. Roughly 30% of these gift cards are subsequently added to Passbook.

Cornfield told GigaOM that many retailers were skeptical at first, but eventually warmed up to the idea as users began to understand its value proposition. Using gift cards is currently the best way for users to spend money at retailers, with CashStar saying "millions of dollars" have been processed through Passbook.

The location-based reminders also help users remember to redeem cards once they are near a store. Companies only recognize gift card dollars as revenue once the funds are spent. Reloadable store-specific cards are also helping retailers make payments. I use the Starbucks card in my Passbook all the time to buy coffee, which reloads automatically.

Apple gave no hints of a payments service at WWDC earlier this month, but considering Passbook's early success, this is an important opportunity for the Mac maker. Like most of its services, payments will likely generate negligible operating income and instead will be positioned as a complementary offering that spurs device sales.

Google Wallet has mostly failed to make a dent in the payments market, leaving a wide opening for Apple.

It's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks?" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged by the five kings of tech. Click here to keep reading.

3 High-Yielders Capitalizing on Exports

There are two trends in the U.S. energy game right now that are beginning to overlap in a big way. The first is that domestic consumption of petroleum products is down. The second is that production of oil and natural gas liquids in the Eagle Ford Shale is way up. As supply from this South Texas shale play floods the Gulf Coast, a few companies are making the most of the two trends and cashing in on exports.

It's good when energy companies are nimble enough to act quickly to cash in on trends, but it's great when those companies offer investors lucrative distributions every quarter as well. In this video, Fool.com contributor Aimee Duffy takes a look at three midstream companies building out infrastructure on the Gulf Coast to take advantage of seaborne exports.

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Hot Consumer Service Companies To Own In Right Now

Cisco� (NASDAQ: CSCO  ) will pay $107 million in cash and retention bonuses for network and data center energy management specialist JouleX, the company announced today.

The privately held IT company will complement Cisco's own energy management systems to allow businesses to focus�on network and IT energy efficiency through software-based methods of�measuring, monitoring, and managing usage, the company said.

Noting that network-enabled devices are increasing exponentially, leading customers to seek out�energy management capabilities in the network that reduce costs,�Cisco Senior VP for Industry Solutions�Faiyaz Shahpurwala said: "JouleX's cloud-enabled, agent-less architecture will allow our partners and customers to quickly deploy this solution at scale in addressing their IT energy management needs."

Hot Consumer Service Companies To Own In Right Now: Nex Metals Exploration Ltd (NME.AX)

Nex Metals Explorations Ltd engages in the exploration and mining of mineral properties in Western Australia. The company primarily explores for gold, copper, and nickel deposits. It principally holds a 100% interest in the Kookynie gold project that consists of 44 tenements covering approximately 70 square kilometers of land located to the south of Leonora; and a 70% interest in the Yundamindera gold project that comprises 9 granted mining leases covering an area of 46.2 square kilometers located to the southeast of Leonora. The company was incorporated in 2007 and is based in East Perth, Australia.

Hot Consumer Service Companies To Own In Right Now: Idera Pharmaceuticals Inc.(IDRA)

Idera Pharmaceuticals, Inc., a biotechnology company, discovers and develops DNA- and RNA-based drug candidates for the treatment of infectious diseases, autoimmune and inflammatory diseases, cancer, and asthma and allergies, and for use as vaccine adjuvants. The company designs and creates proprietary Toll-Like Receptors (TLR) to modulate immune responses, including TLR agonist, a compound that stimulates an immune response through the targeted TLR; and TLR antagonist, a compound that blocks activation of an immune response through the targeted TLR. Its drug candidates include IMO-2125, a TLR9 agonist, which is in Phase 1 clinical trial for hepatitis C virus infection; and TLR7, 8, and 9 agonists that are in research stage for viral diseases. The company also develops IMO-3100, a dual TLR7/TLR9 antagonist, which is in preclinical development stage for autoimmune and inflammatory diseases, such as lupus, rheumatoid arthritis, multiple sclerosis, psoriasis, and colitis. In addition, its drug candidates also comprise TLR7 and TLR8 agonists that are in research stage for solid tumor cancers. The company has a licensing and collaboration agreement with Merck KGaA to research, develop, and commercialize TLR9 agonists for the treatment of cancer, excluding cancer vaccines; a license and research collaboration agreement with Merck & Co., Inc. to research, develop, and commercialize therapeutic and prophylactic vaccine products containing its TLR7, 8, and 9 agonists in the fields of cancer, infectious diseases, and Alzheimer?s disease; and a research collaboration and option agreement, and a license, development, and commercialization agreement with Novartis International Pharmaceutical, Ltd. to discover, develop, and commercialize TLR9 agonists for the treatment of asthma and allergies. The company was founded in 1989 and is based in Cambridge, Massachusetts.

Hot Biotech Companies To Invest In Right Now: Meritus Minerals Ltd (MER.V)

Meritus Minerals Limited engages in the acquisition, exploration, and development of mineral resource properties in Australia and Mongolia. It primarily focuses on the exploration of gold, copper, zinc, and base-metals. The company�s principal property includes the Gutain Davaa gold project consisting of 2 exploration licenses covering 3,928 hectares located in Mongolia. Meritus Minerals Limited was incorporated in 2005 and is headquartered in Vancouver, Canada.

Why JD Sports Fashion, Micro Focus International, and The Berkeley Group Should Beat the FTSE 100 To

The FTSE 100 (FTSEINDICES: ^FTSE  ) has given up a little of yesterday's gain so far today down 30 points, or 0.47%, as of 8 a.m. EDT. There's really no news behind today's movement as the markets await the conclusion of the ongoing U.S. Federal Reserve meeting.

But while the overall market is going nowhere, there are individual shares on the up. Here are three from the indexes that look likely to beat the FTSE today.

JD Sports (LSE: JD  )
An update from JD Sports Fashion this morning sent the shares up a modest 0.6%. The firm told us performance for the 18 weeks to June 8 is in line with market expectations, with like-for-like sales in the U.K. and Ireland up 7%, but that has come at the cost of an impact on margins.

First-half results to Aug. 3 are due on Sept. 18, with City analysts predicting 15% growth in earnings per share for the full year to January 2014 after a couple of years of falling earnings. With the shares on a forward price-to-earnings ratio of less than nine, could there be a bargain here?

Micro Focus
Micro Focus International shares were boosted by the software firm's annual results, picking up 9.7% to 710 pence. The price had been falling back a bit recently, but this rise takes it back up to a gain of 55% over the past 12 months.

Like-for-like sales were down 3.2% on a constant-currency basis, but that was in line with expectations, and pre-tax profit was up 5.1% to $153.4 million (again at constant currency). Adjusted diluted EPS gained 20% to $0.86, and there will be a total dividend of $0.40 per share, up 27%.

Berkeley Group (LSE: BKG  )
The Berkeley Group Holdings share price was also boosted by full-year results this morning, perking up 2.4% -- over the past year, that brings in a gain of almost 75%. The property development group reported a 32% rise in revenue for the year to April 30, leading to a 26% jump in pre-tax profit to £270.7 million. Diluted EPS was up 24% to 140.3 pence.

A dividend of 59 pence per share will be paid in September to add to the 15 pence per share already paid in April. The total of 74 pence per share represents a yield of 3.3% on the current share price.

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An LNG Milestone for Chevron in Angola

On June 16, Chevron's (NYSE: CVX  ) Angola LNG plant, one of the largest liquefied natural gas processing facilities in Africa, shipped its first cargo after major delays.

Initial production of LNG at the plant, operated by Cabinda Gulf Oil, a unit of Chevron, was sold to state-owned Sonangol EP to be shipped to Brazil, according to the CEO of Angola LNG Marketing. Production at the facility, which has a capacity of 5.2 million metric tons a year, had previously been delayed due to fires, pipeline failures, and labor shortages.

"First gas at Angola LNG is an important milestone in support of our strategic plan to grow our production," said Chevron vice chairman George Kirkland in a company press release. "This project will commercialize natural gas resources in western Africa to meet growing demand in the region and internationally."

Angola LNG
The $10 billion project will collect and transport natural gas from offshore Angola to an onshore liquefaction plant on the coast near the Congo River, the company said in a statement. It has the capacity to produce 5.2 million metric tons of LNG per year, 63,000 barrels per day of natural gas liquids for export, and 125 million cubic feet of natural gas per day for domestic consumption. 

The project plans to use associated natural gas produced from existing crude oil operations, as well as new non-associated gas from other offshore fields. In addition to supporting continued offshore oil development, it is expected to help reduce natural gas flaring and greenhouse gas emissions from offshore producing areas, the company said.

Chevron is Angola LNG's biggest shareholder, commanding a 36.4% stake, followed by Sonangol, which has a 22.8% interest in the project. BP (NYSE: BP  ) , Total (NYSE: TOT  ) , and Italy's Eni account for the balance, each holding 13.6%.

Production growth
Considering that the world LNG market is projected to remain tight over the next few years, with very limited new LNG capacity expected, the first shipment of production from Angola LNG couldn't have come at a better time for Chevron.

Chevron, like most of the large integrated oil companies, has struggled to boost production. However, in the first quarter this year, the company managed to grow total oil and gas production by a relatively impressive 0.8%. Compare that to ExxonMobil (NYSE: XOM  ) , which reported a 3.5% year-over-year decline in production, and ConocoPhillips (NYSE: COP  ) , which said production fell 3% from a year earlier.

Chevron, whose U.S. oil production came in flat year over year and international production fell 2.5% to 1.3 million barrels a day in the first quarter, would have suffered a similar fate were it not for the strength of its natural gas business, which proved to be its saving grace, delivering a 3.2% year-over-year increase in first-quarter sales.  

What's next?
Chevron plans to more aggressively direct its efforts toward LNG. Through its various LNG ventures, the company plans to boost total production by 20% through the end of 2017. In addition to its Angola LNG project, Chevron has two LNG projects in Australia, as well as a 50% interest in the proposed Kitimat LNG terminal in Canada.

With global LNG demand forecast to exceed output by the end of this decade and with demand for LNG expected to grow at an average rate of 15 million tons a year through 2025, Chevron appears to have solidified a first-mover advantage in the promising African region that should serve it well for years to come.

Though Chevron, Exxon, and the rest of the supermajors are having difficulty boosting production, companies focused exclusively on exploration and production are having better luck. If you're on the lookout for some currently intriguing energy plays, check out The Motley Fool's "3 Stocks for $100 Oil." For FREE access to this special report, simply click here now.

ABN Amro Trims Stock Holdings as VIX Rises on Fed Bets

ABN Amro Private Banking trimmed its global equity allocation for the first time in a year as investor speculation that the Federal Reserve may reduce the pace of its asset purchases sent a measure of volatility to a 15-week high this month.

ABN Amro's wealth-management unit cut its equity holding to 40 percent in June from 44 percent in March after increasing it for three consecutive quarters. It raised its cash investment to 13 percent from zero, the highest in a year. The Chicago Board Options Exchange Volatility Index, or VIX, a gauge of options used to protect against losses in the Standard & Poor's 500 Index, rose to 18.59 on June 12, the highest since Feb. 25.

"We're seeing higher volatility across almost all asset classes," Didier Duret, chief investment officer for the private bank, which manages 165 billion euros ($220 billion), said in an interview from Amsterdam yesterday. "We want to observe the volatility in the equity and currency markets, and manage risk. Seeing volatility come down would be an opportunity for us to go back into equities, which are the next target."

The S&P 500 has lost 1.8 percent from a record on May 21, the day before Fed Chairman Ben S. Bernanke said the central bank could pare stimulus if the U.S. economy improves sustainably. The Fed will hold its two-day policy meeting beginning today, with Bernanke scheduled to speak after the central bank's decision tomorrow.

Economic Data

Investors have been watching economic data to determine whether growth is strong enough to prompt the bank to scale back stimulus measures. Bernanke may provide some visibility on when the Fed plans to begin reducing its $85 billion in monthly asset purchases, which will give investors more certainty and may bring down volatility, according to ABN Amro's Duret.

"It's been a live experiment for the Fed to just observe what could happen when they really do scale down asset purchases," he said by phone. "The Fed has done well to manage what was an expectation of infinite Fed liquidity in the system."

ABN Amro Private Banking still maintained its overweight position in equities for a fourth quarter, meaning it holds more of the assets than represented in benchmark portfolios, as recent drops provide opportunities to buy into an improving U.S. economy. Stocks with above-average earnings growth, like information technology companies, will gain the most, Duret said.

Not Worried

"We are not worried," he said. "On the contrary, it's allocating from what has been dependent on central bank liquidity to fundamentally grounded equities which have earnings growth behind them. The strategy is really rotating into growth stocks."

The VStoxx Index, a measure of volatility in the Euro Stoxx 50 Index, rose to 22.27 on June 5, its highest since April 17.

ABN Amro Private Banking started selling European equities and reduced its position to underweight as the Euro Stoxx 50, which tracks the largest companies in the euro-area, last month reached its highest level since July 2011. ABN diversified its stock holdings in the region after the rally made northern European markets expensive, Duret said.

"What's new is we're not focusing only on northern countries, but we also want to broaden our exposure in Europe. It's more investing into the Stoxx 600 than the Euro Stoxx 50 (SX5E) now, so now we have a broader exposure that also includes peripheral markets."

Top 10 Healthcare Equipment Stocks To Buy For 2014

As the Federal Reserve has kept interest rates at record lows, investors looking for yield have flocked to the mREIT sector, which flaunts massive dividend yields because of tax laws requiring a large portion of earnings to be distributed to shareholders.��

However, investors are beginning to wonder if mREITs will get burned if interest rates quickly tick higher or repo-financing markets become more expensive.

In this video, Motley Fool financial analysts David Hanson and Matt Koppenheffer tell investors how they feel about the industry on a "Bearish/Bullish" 1 to 10 scale.

There's no question Annaly Capital's double-digit dividend is eye-catching. But can investors count on that payout sticking around? In The Motley Fool's premium research report on Annaly, senior analysts Ilan Moscovitz and Matt Koppenheffer uncover the key challenges the company faces and divulge three reasons investors may consider buying it. Simply click here now to claim your copy today!

Top 10 Healthcare Equipment Stocks To Buy For 2014: (TECHM.NS)

Tech Mahindra Limited provides information technology (IT) services to the telecommunications industry worldwide. Its IT solutions comprise consulting services, such as strategy planning, assessment, procurement, and re-engineering solutions, as well as planning, audits, and best practices; system integration and transformation services; managed services, including application management, infrastructure management, revenue management, and mobile virtual network enabler services; application development, maintenance, and support services; B/OSS solutions; and business intelligence and data management solutions. The company also offers network solutions and services, including network lifecycle, network integration and testing, data quality management, managed network, and network solutions; and infrastructure management services comprising data centre, managed network, application support, and end user services. In addition, it provides security services, such as security g overnance and compliance, application security consulting, network and system security, business continuity and DR consulting, identity and access management, managed security, security products, and cloud security solutions; business process outsourcing (BPO) services, including customer relationship management, F and A, data analytics, and human resources and enterprise management; value added services comprising enterprise mobility, content, and embedded services; and product engineering services consisting of signaling and switching, wireless infrastructure, hardware and embedded systems, and network management, as well as access, datacom, and transport. Further, the company offers business process management, cloud computing, SAP, and applications testing services, as well as portal solutions. It serves telecom service providers, telecom equipment manufacturers, BPOs, independent software vendors, and non telecom vertical customers. The company was founded in 1986 and i s based in Pune, India.

Advisors' Opinion:

• [By ChemTrade]

  Satyam, renamed as Mahindra Satyam was bought by Tech Mahindra in April last year after being heavily damaged by India's biggest corporate scandal.

  The company is a provider of information technology services to the telecoms industry. Its net profit in January-March, its fiscal fourth quarter, fell to 2.27 billion rupees ($51 million) from 2.30 billion reported a year ago.

  Tech Mahindra Ltd (TEML.BO) has reported a 1.3 percent fall in quarterly profit, weighed down by interest costs on borrowings to fund its acquisition of Satyam Computer Services. Although there are some setbacks, the company is in the process of recovery and backed by the powerful and consistently successful Mahindra group and the company will bounce back to add to shareholders wealth.

Top 10 Healthcare Equipment Stocks To Buy For 2014: Anooraq Resources Corp. (ARQ.V)

Atlatsa Resources Corporation engages in mining, exploring, and developing platinum group metals properties in the Bushveld Igneous Complex of South Africa. It holds a 51% interest in the Bokoni Mine covering an area of approximately 15,459.78 hectares and is located in the Sekhukhuneland district of the Limpopo Province; the Ga-Phasha project, which comprises 4 farms that cover an area of approximately 9,700 hectares and is located on the eastern limb of the BIC; and the Kwanda and Boikgantsho projects, which includes approximately 20 mineral properties covering an area of 37,492 hectares located near the town of Mokopane. The company was formerly known as Anooraq Resources Corporation and changed its name to Atlatsa Resources Corporation in May 2012. Atlatsa Resources Corporation was incorporated in 1983 and is headquartered in Sandton, South Africa. Atlatsa Resources Corporation is a subsidiary of Atlatsa Holdings Investments (Proprietary) Limited.

Top Value Stocks To Invest In 2014: Arena Pharmaceuticals Inc.(ARNA)

Arena Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, engages in discovering, developing, and commercializing oral drugs in the therapeutic areas of cardiovascular, central nervous system, inflammatory, and metabolic diseases. The company?s clinical development programs include lorcaserin that has completed two pivotal Phase III clinical trials for the treatment of weight management, including weight loss and maintenance of weight loss; and APD811, which is under Phase I clinical trial for the treatment of pulmonary arterial hypertension. Its preclinical development programs include APD334, for the treatment of autoimmune diseases, including multiple sclerosis and rheumatoid arthritis. The company also researches and develops cannabinoid, receptor agonists for the treatment of osteoarthritis and pain; and GPR119 agonists for the treatment of type 2 diabetes. Its other development programs, which had completed Phase I clinical trial include APD597 for th e treatment of type II diabetes; APD916 for the treatment of narcolepsy and cataplexy; and APD791 for the treatment of arterial thrombosis. In addition, the company provides manufacturing services. Arena Pharmaceuticals, Inc. was founded in 1997 and is based in San Diego, California.

Advisors' Opinion:

• [By TheStreet Staff]

   The U.S. commercial launch of Arena Pharmaceuticals (ARNA) and Eisai's weight-loss pill Belviq will be a major disappointment. Belviq will also fail to receive European approval.

Top 10 Healthcare Equipment Stocks To Buy For 2014: China Nepstar Chain Drugstore Ltd (NPD)

China Nepstar Chain Drugstore Ltd. operates retail drugstores in the People?s Republic of China. The company?s drugstores provide pharmacy services and other merchandise, including prescription drugs; over-the-counter drugs; nutritional supplements, such as healthcare supplements, vitamins, minerals, and dietary products; herbal products, including drinkable herbal remedies and packages of assorted herbs for making soup; and private label products. Its stores also offer personal care products, such as skin care, hair care, and beauty products; family care products, including portable medical devices for family use, birth control products, and early pregnancy test products; and convenience products, such as soft drinks, packaged snacks, other consumables, cleaning agents, and stationeries, as well as seasonal and promotional items. The company operates its stores under the China Nepstar brand name. As of December 31, 2009, its store network comprised 2,479 retail drugstores located in approximately 71 cities in Guangdong, Jiangsu, Zhejiang, Liaoning, Shandong, Hunan, Fujian, Sichuan, and Hubei provinces, as well as in Shanghai, Tianjin, and Beijing municipalities of the People?s Republic of China. The company was founded in 1995 and is headquartered in Shenzhen, the People?s Republic of China.

Top 10 Healthcare Equipment Stocks To Buy For 2014: Exide Technologies(XIDE)

Exide Technologies engages in the production and sale of lead-acid batteries for transportation and industrial applications. It offers transportation batteries, which include ignition and lighting batteries for cars, trucks, off-road vehicles, agricultural and construction vehicles, motorcycles, recreational vehicles, marine, and other applications, such as micro-hybrids and lead-acid batteries used on full electrical vehicles. The company sells its batteries under the Centra, DETA, Exide, Exide Extreme, Exide NASCAR Select, Orbital, Fulmen, and Tudor brand names, as well as under various private labels. It also provides industrial energy products that consist of motive power batteries, which are used in material handling industry for electric forklift trucks, floor cleaning machinery, powered wheelchairs, railroad locomotives, mining, and the electric road vehicles markets. In addition, the company offers network power batteries, which are used for back-up power applicati ons in telecommunications systems, computer installations, hospitals, air traffic control, security systems, utility, railway, and military under the Absolyte and Sonnenschein brand names. Further, Exide Technologies offers battery chargers and related equipments for the operation and maintenance of battery-powered vehicles. It sells its transportation products through mass merchandisers, auto parts outlets, wholesale distributors, battery specialists, national account customers, retail stores, original equipment manufacturers (OEM) dealers, automotive parts and battery wholesalers, auto centers, service installers, and oil companies; and industrial energy products to OEM suppliers of lift trucks, industrial companies, retail distributors, warehousing companies, and manufacturers. The company operates in the United States, France, Germany, Italy, Spain, and Poland, as well as internationally. Exide Technologies was founded in 1888 and is headquartered in Milton, Georgia.

Top 10 Healthcare Equipment Stocks To Buy For 2014: San Marco Resources Inc(SMN.V)

San Marco Resources Inc., an exploration mining company, engages in the acquisition, exploration, and development of precious metal properties in Canada and Mexico. It explores for copper, silver, gold, and base metals. The company holds interest in the Alwin Copper project comprising 4 mineral claims and 3 crown granted mineral claims with an area of approximately 576 hectares, and a mining lease in British Columbia. It also has interests in projects located in Mexico, including the La Buena project comprising approximately 8,500 hectares in northern Zacatecas; the Tecomate project covering approximately 12,290 hectares in Durango State, and the Los Carlos project totaling 280 hectares in Sonora State. San Marco Resources was incorporated in 2005 and is headquartered in Vancouver, Canada.

Top 10 Healthcare Equipment Stocks To Buy For 2014: China Valves Technology Inc.(CVVT)

China Valves Technology, Inc., through its subsidiaries, engages in developing, manufacturing, and selling low, medium, and high-pressure metal valves for customers in the electricity, petroleum, chemical, water, gas, nuclear power station, and metal industries in China. The company?s product categories include high pressure and high temperature valves for power station units; valves for long distance petroleum and gas pipelines, and sewage; special valves for chemical lines; and large valves for water supply pipe networks. Its products comprise gate, globe, check, throttle, butterfly, ball, safety, water pressure test, vacuum, and extraction check valves. The company markets its products through regional agents and distributors. China Valves Technology, Inc. has a strategic cooperation frame agreement with Dongfang Electric Corporation for the development of high-end valves. The company was founded in 2007 and is headquartered in Kaifeng, the People's Republic of China. Advisors' Opinion:

• [By Robert Hsu]

  China Valves Technology (NASDAQ: CVVT) recently announced that its subsidiary, Able Delight Valve,  has been certified as a qualified supplier of China Nuclear Power Engineering. This is CVVT’s second subsidiary to receive this certification.

  This is a nice milestone for the company as CVVT continues to gain market share in the nuclear power industry. The demand for nuclear power applications is growing but the inspection of prospective suppliers is strict — and the company believes that the addition of Able Delight as a qualified supplier will become another catalyst for rapid growth in the near future. CVVT is a buy under $10.50.

Top 10 Healthcare Equipment Stocks To Buy For 2014: Tesla Exploration Ltd (TXL.TO)

Tesla Exploration Ltd., a geophysical services company, provides specialized seismic services to the oil and gas exploration industry primarily in North America, Europe, and Africa. It offers three component (3C) technologies for full wave seismic recording services. The 3C technology helps its clients acquire shear wave seismic data in addition to the pressure wave data captured and processed for seismic imaging. The company also provides geophysical services, including survey design and management; seismic data acquisition; seismic data processing and reprocessing; seismic data interpretation; in-seam seismic data acquisition, processing, and interpretation; coal bed methane and gob gas assessments; borehole geophysics, processing, and interpretation; and site investigation geophysics, acquisition, processing, and interpretation. In addition, it offers survey services, which comprise geophysical survey services; precision navigation and survey service support; and data p rocessing, interpretation, and analysis of geological and archaeological resources, as well as involved in the rental of acquisition equipment. The company provides its services to oil and gas exploration and production companies, and marine construction contractors, as well as to the mining industry and engineering firms for environmental applications and mining applications. Tesla Exploration Ltd. was founded in 1999 and is headquartered in Calgary, Canada.

Top 10 Healthcare Equipment Stocks To Buy For 2014: Britannic Ord(BRT.L)

Brightside Group plc operates as an insurance broking and financial services company in the United Kingdom. The company provides insurance broking; premium finance; lead generation; medical report sourcing services; and debt management solutions. It offers online car and home, van, life, and bike insurance brokerage services; and commercial and business insurance brokerage services. Brightside Group plc was founded in 2001 and is based in Bristol, the United Kingdom.

Top 10 Healthcare Equipment Stocks To Buy For 2014: Virgin Media Inc.(VMED)

Virgin Media Inc., through its subsidiaries, provides entertainment and communications services in the United Kingdom. The company offers cable broadband Internet, television, and fixed line telephone services under the Virgin Media brand to residential customers; mobile telephony services through Virgin Mobile, a mobile virtual network operator; broadband and telephone services to residential customers through third-party telecommunications networks; and video on demand services, including access to movies, television programs, music videos, and other on-demand content, as well as provides digital video recorders. It also offers voice, data, and Internet solutions to commercial customers comprising analog telephony and managed data networks and applications, as well as supplies communications services to health and emergency services providers. As of December 31, 2011, the company provided cable broadband services to approximately 4 million subscribers; cable television s ervices to approximately 3.76 million residential subscribers; cable telephony services to approximately 4.2 million residential subscribers; mobile telephony services to approximately 3 million customers; non-cable fixed line telephone services to approximately 163,300 subscribers; and voice, data, and Internet solutions to approximately 50,000 businesses and 250 public sector organizations. The company offers its products and services through telesales, customer care centers, and online, as well as through its sales force. It serves mobile and fixed-line service providers, systems integrators, and Internet service providers; and private and public sector organizations. The company was formerly known as NTL Incorporated and changed its name to Virgin Media Inc. in February 2007. The company was founded in 1993 and is based in New York, New York.

3 Horrendous Health-Care Stocks This Week

Many stocks encountered turbulence this week, but few were blown about like several biotech stocks. Here are the three most horrendous performers in health care over the first week of June.

Underwhelming
Synta Pharmaceuticals (NASDAQ: SNTA  ) announced results from a mid-stage clinical study this week for lung cancer drug ganetespib. Shares plunged 38% as investors reacted. Did the drug fail completely? Actually, no.

Patients taking a combination of ganetespib and the chemotherapy docetaxel lived a median of 9.8 months. Other patients taking only docetaxel lived a median of 7.4 months. That's a 32% improvement. Even better improvement of 67% was experienced by patients whose cancer was diagnosed at least six months before the initiation of the study. Synta's results sound really good, right?

There are a couple of problems, though. First, results from the study announced late last year indicated more dramatic improvement. Second, the difference in numbers of patient deaths between the two groups of patients is small. Investors appear to be losing confidence that ganetespib will live up to earlier expectations.

No win for the spin
Another biotech, Infinity Pharmaceuticals (NASDAQ: INFI  ) , also announced clinical results this week. The company's press release trumpeted "encouraging" findings for its experimental leukemia drug. Mr. Market didn't appear to buy the spin. Infinity shares tanked nearly 33% for the week.

The catalyst behind the sell-off stemmed from safety concerns about IPI-145, the drug tested in the phase 1 study. Some patients who took the treatment died, although Dr. Steven Horwitz of the Memorial Sloan-Kettering Cancer Center pointed out early in the week that these patients had undergone transplants and were very ill.

Another issue is fear over potential rivals. Gilead Sciences (NASDAQ: GILD  ) , for example, reported in May that its idelalisib produced significant tumor shrinkage in half of the patients involved in an early-stage trial. Dr. Sandra Swain, president of the American Society of Clinical Oncology, called the results "pretty incredible." Gilead is also testing idelalisib in the treatment of non-Hodgkin's lymphoma.

Pain-medication pain
Rigel Pharmaceuticals (NASDAQ: RIGL  ) experienced pain this week, resulting from its drug intended to help rheumatoid arthritis patients suffer less pain. Shares fell almost 23%.

AstraZeneca (NYSE: AZN  ) , which has partnered with Rigel on fostamatinib, opted to turn all rights for the drug back over to Rigel. The British drugmaker decided not to pursue an approval path for the drug after disappointing clinical results. AstraZeneca will take a $140 million hit in the second quarter from the move.

The fallout hurts Rigel even more, though. The small biotech has no other drugs on the market. Rigel certainly faces tough challenges in the days ahead.

Bright spot
I'm usually an optimist and try to find the bright spot in most situations. Which of these horrendous stocks for the week is most likely to see better days ahead?

It's a tough question, but my hunch is to go with Infinity. If the safety concerns about IPI-145 turn out to be overblown, the stock looks to have plenty of room to run. That being said, Infinity carries plenty of risk. Investors looking for the glass of water that's half full should be cautious before taking a big gulp.

While you can certainly make huge gains in biotech and pharmaceuticals, the best investing approach is to choose great companies and stick with them for the long term. The Motley Fool's free report "3 Stocks That Will Help You Retire Rich" names stocks that could help you build long-term wealth and retire well, along with some winning wealth-building strategies that every investor should be aware of. Click here now to keep reading.

The Tablet Will Overtake the PC Sooner Than You Think

The PC market may be struggling, but the broader computing device market is doing just fine. When factoring in all form factors, Gartner now expects the total market to grow to 2.5 billion units by next year. That would be up from the 2.2 billion devices shipped last year, and the 2.35 billion units expected to get a move on in 2013.

Smartphones and tablets are easily driving all of that growth, as traditional PC form factors are expected to continue a downward trend. As one of the youngest form factors, tablets should put up the impressive growth and soar to 276 million next year. That's a subset of the market that effectively didn't exist at the beginning of 2010 until Apple (NASDAQ: AAPL  ) jump-started the tablet renaissance with the iPad. Mobile computing has become incredibly important in both mature and emerging markets, according to Gartner's Carolina Milanesi.

The ultramobile category -- which includes devices like Google (NASDAQ: GOOG  ) Chromebooks and Microsoft (NASDAQ: MSFT  ) Windows 8 convertibles -- is starting to gain traction and may grab sales from premium tablets like the iPad. Windows 8.1 and Intel's newest Bay Trail and Haswell processors will play a large role in this, particularly when considering the dramatic battery life improvements that Intel is delivering this year.

Consumers are also shifting from premium tablets to basic tablets, and the iPad Mini is estimated to have already grabbed 60% of all iOS device sales in the first quarter. That broad shift will put some pressure on average selling prices and margins as the market is flooded with low-cost devices.

On the platform front, Gartner notes that companies face challenges in tapping all form factors. Apple is the most successful in this department, and has a "more homogenous presence across all device segments." Android's strength is concentrated primarily in smartphones, while Windows is still the dominant PC operating system.

Operating System

2014 Unit Forecast

2014 Market Share Forecast

Android	1.06 billion	42%
Windows	378.1 million	15%
iOS/Mac	354.8 million	14%

Source: Gartner.

Smartphones are the volume leader, which will help Android reach an estimated 1.06 billion units next year. However, due to Android's open and fragmented nature, the search giant won't benefit from all of those devices, as many will run distinct Android forks.

If Gartner's forecast turns out accurate, then the tablet will be set to overtake the PC in 2015. Don't say I didn't warn you.

It's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks?" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged by the five kings of tech. Click here to keep reading.

 

Solazyme, Roquette Dissolve Microalgal Joint Venture

Renewable oil and bioproducts company Solazyme (NASDAQ: SZYM  ) announced today that it is dissolving its joint venture with Roquette Frères after nearly two years of collaboration.

According to the company's press release, different timelines and commercial strategies for jointly produced products put the two companies' collaboration in a tight spot. Solazyme said that with the dissolution of the joint venture, it expects to speed up the commercialization of its microalgal food products. Shares of the company dropped on the news.

Dubbed Solazyme Roquette Nutritionals, the joint venture was originally created in November 2010, and was meant to work toward the "production, commercialization and market development of microalgae-derived food ingredients." It was hoped that the oil, protein and fiber based products would have a better taste, texture and health profile than products on the market now.

At the time, the 50/50 venture was seen as well-equipped to commercialize the companies' co-created products.

The companies expect the official separation to occur within weeks. Solazyme, based in California, makes renewable oil and bioproducts. Roquette Frères, based in France, is a global starch and starch-derivatives company.

-- Material from The Associated Press was used in this report.

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NSS Testing Finds Microsoft Internet Explorer and Google Chrome Tops in Protecting Against Malware

Research by NSS Labs indicates that in its testing, Microsoft  (NASDAQ: MSFT  )  Internet Explorer and Google  (NASDAQ: GOOG  )  Chrome are the safest browsers.

NSS, which bills itself as "the world's leading information security research and advisory company," recenlty unveiled the results of its Browser Security Comparative Analysis: Socially Engineered Malware. Over the course of 28 days, from March 13 through April 9, the firm tested the five, most popular browsers against 754 samples of real-world malicious software. The browsers were Apple  (NASDAQ: AAPL  ) Safari 5, Google Chrome 25/26, Microsoft Internet Explorer 10, Mozilla Firefox 19, and Opera 12.

The results revealed significant safety differences.

Blocking technologies used by browsers (higher is better).
Source: NSS-Browser Security Comparative Analysis

By using a combination of three different safety tools, Internet Explorer and Chrome topped the list. Altogether, IE blocked about 99.6% of  all incoming malware; Chrome blocked 83.16%. Falling a distant third was Apple's Safari. Opera offered essentially no protection with 1.87%. 

NSS says the web browser is both "the primary vector by which malware is introduced to computers" and "the first line of defense against malware infection."

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Why Agilysys Shares Soared

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Agilysys (NASDAQ: AGYS  ) have soared today by as much as 11% after the company reported earnings.

So what: Revenue in the fiscal fourth quarter rose 21% to $63 million, with the company's retail segment driving nearly all of those gains. Non-GAAP net income per share came in at $0.15, swinging into the black relative to the $0.16 per share adjusted loss a year ago. CEO James Dennedy said the company outperformed its expectations for the year.

Now what: The company recently announced that it was divesting its retail group for roughly $35 million, which is expected to close later this summer. The consolidated figures include the retail segment's results. After the deal closes, Agilysys intends to focus its efforts exclusively on its hospitality business, which grew a modest 3% this quarter. Dennedy said the company plans to continue investing in the hospitality business, which may include acquisitions, to drive future growth.

Interested in more info on Agilysys? Add it to your watchlist by clicking here.

It's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks?" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged by the five kings of tech. Click here to keep reading.

The Gaming Company Everybody Is Gunning For

The console wars have nothing on the software skirmish that shaping up against Activision Blizzard (NASDAQ: ATVI  ) . At the gaming industry's big conference this week, Activision's rivals showed off the titles they intend to use to attack the company's prime market position.

Disney (NYSE: DIS  ) plans to hit first with its Infinity game this summer, aimed directly at Activision's profitable Skylanders franchise. Next up will be Electronic Arts' (NASDAQ: EA  ) new game Battlefield 4, which looks like it will match up well against Activision's Call of Duty title this fall.

In the following video, Fool contributor Demitrios Kalogeropoulos argues that all of this competition will make for a tough year for Activision, which set new records on sales and profitability in 2012. The company may be able to keep its dominant position in these tentpole franchises, but it will have to sacrifice some profits to do it.

While Activision and Microsoft have been taking the headlines when it comes to console gaming, Fools following the gaming sector would do well to also keep tabs on Electronic Arts. The Motley Fool's new special report breaks down the risks and opportunities facing the company to help you decide if EA is right for your portfolio. Click here to get your copy now.

Oil Falls Most Since November on Fed Comments

NEW YORK (AP) -- Oil was swept up in the broad sell-off in stocks and bonds Thursday, as a combination of weak Chinese manufacturing data and the Federal's Reserve's shifting stance on economic stimulus rattled energy markets.

Oil had its biggest one-day price drop since November. U.S. benchmark oil for July delivery sank $2.84, or 2.9 percent, to finish at $95.40 a barrel in New York. Gasoline futures fell more than 3 percent.

On Wednesday Fed chairman Ben Bernanke suggested that he was optimistic about the U.S. economy -- and that the Fed might start scaling back its massive $85 billion-a-month bond-buying program this year if conditions continue to improve. The Fed could end the program by the middle of next year, Bernanke said.

The Fed program has kept borrowing costs near historic lows for consumers and business. It has also helped boost the equities and energy markets.

Stocks and bonds sold off immediately after Bernanke's comments. Oil didn't react much because Bernanke spoke just as U.S. energy markets closed Wednesday.

Lower stocks and a stronger dollar put pressure on oil prices. Once trading opened in Asia Thursday oil fell sharply, in tandem with Asian stock markets. Bernanke's comments also gave a boost to the dollar. Oil traders look to the stock market as a measure of confidence in the U.S. economy, while a strong dollar makes oil more expensive for holders of other currencies.

The Dow Jones industrial average fell 354 points, or 2.3 percent, Thursday to close at 14,758. Shares of ExxonMobil (NYSE: XOM  ) and Chevron  (NYSE: CVX  ) , both Dow components, fell by more than 2 percent. The euro slipped to $1.3197 from $1.3274 in New York a day earlier. The yield on the benchmark 10-year note rose to its highest level since August 2011.

Also weighing on oil prices was a survey showing a slowdown in manufacturing in China. HSBC's (NYSE: HBC  ) preliminary purchasing managers' index fell to a nine-month low of 48.3 in June, down from 49.6 in May. Numbers below 50 indicate a contraction.

With mature economies like Europe and the U.S. struggling to expand at a steady pace, China and emerging markets have accounted for most of the growth in oil demand over the past several years.

"A weakening in Chinese industrial activity could easily translate to a reduced flow of products exports out of the US Gulf," said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates, in a daily report.

Still, Ritterbusch and most others don't expect a free-fall in the price of oil. He said fears of an escalation of the civil war in Syria should support oil around the $94 level.

Brent crude, a benchmark for many international oil varieties, was down $3.97, or 3.7 percent, to end at $102.94 per barrel on the ICE Futures exchange in London.

In other energy futures trading on the Nymex:

Wholesale gasoline was down 10.5 cents, or 3.6 percent, to finish at $2.79 a gallon. Heating oil fell 10 cents, or 3.4 percent, to end at $2.87 per gallon. Natural gas retreated by 9 cents, or 2.2 percent, to finish at $3.88 per 1,000 cubic feet.

Is Now a Great Time to Buy Abbott Laboratories Stock?

Abbott Laboratories (NYSE: ABT  ) stock is down almost 8% since the end of May. Is now a good time to buy? Let's take a look.

Anatomy of a pullback
There's no question that Abbott started 2013 with a bang. The year began with the spinoff of AbbVie (NYSE: ABBV  ) . By the latter part of May, shares were up more than 20%. Then came the slide.

ABT data by YCharts

What happened? Although the company announced first-quarter results just days before the decline, those results weren't at fault. Abbott reported solid if not spectacular numbers for the period.

Instead, a primary culprit in this case appears to be the drag of the overall market. The S&P 500 index is down 4% since late May. Abbott's drop has been larger, but there haven't been any negatives specific to the company that appear to have contributed to the decline.

Relatively speaking
We could look at several aspects of Abbott Laboratories stock and conclude that now is definitely a great time to buy. The trailing price-to-earnings multiple of below 11 seems to be attractive. Abbott boasts a return on equity of more than 25%, a number nearly any company would be happy to claim.

It might be beneficial to examine things a little more closely, though. That P/E multiple just shy of 11 actually is near the highest level over the past five years. And most of those five years included the growth engine of Humira, which now solely belongs to AbbVie and not Abbott.

Abbott's dividend yield isn't nearly as appealing as its spin-off, either. AbbVie sports a forward yield of 3.7%. Abbott Laboratories stock yields only 1.5%.

The one company that probably compares best with Abbott in terms of business models also looks like a more compelling buy. Johnson & Johnson (NYSE: JNJ  ) is up nearly 17% year to date -- much better performance than Abbott Labs. J&J's dividend yield of 3.1% also ranks higher.

On the other hand, J&J's stock is valued more highly than Abbott's -- with a trailing P/E of nearly 23. J&J also doesn't stack up as well on another important metric. Its return on equity of 15.76% stands well below that of Abbott.

Foolish take
My view not long ago was that Abbott was a decent stock pick. I haven't changed that opinion.

The company's nutrition products group continues to perform well. Emerging markets, in particular, hold a lot of promise. If Abbott could get its established pharmaceuticals and medical-devices segments firing on all cylinders, it should really do well.

The recent pullback presents a positive in that Abbott Laboratories stock is even more attractively valued. However, because much of the decline is due to the overall market climate, continued macro concerns could bring shares down even more.

Over the long run, though, I like Abbott. Sure, there are health-care stocks that probably present better opportunities. But is now a good time to buy Abbott Laboratories stock? This Fool says "yes."

Abbott Labs has changed forever after losing its branded pharmaceutical business to a spinoff. If you're a current investor, or might be buying shares soon, make sure you truly understand the stock by reading The Motley Fool's comprehensive premium report on Abbott Labs. The report outlines all of the must-know opportunities and risks, along with a full year of analyst updates to keep you up to speed. Best of all, you can claim this report today by clicking here now.