New Year, New “Dogs of the Dow.”

New Year, New “Dogs of the Dow.” With the New Year comes a list of the new “Dogs of the Dow.” This year’s list of the 10 “Dogs of the Dow” looks a lot like the list from 2013. The list consists of the 10 highest yielding stocks in the Dow Jones Index. This year the top honor goes to AT&T (T) with a yield of 5.3%, followed by Verizon (VZ) with a dividend yield of 4.4%. Other companies making the Dog list this year include Merck (MRK), Intel (INTC), Pfizer (PFE), McDonald’s (MCD), Chevron (CVX), General Electric (GE), Cisco (CSCO) and Microsoft (MSFT). Collectively, this year’s “Dogs of the Dow” have a dividend yield of near 4%. Last year the “Dogs” outperform the market with a return of 33%.

Upgrades:

Cadence Design Systems (CDNS): Needham raised their rating from Hold to Buy and placed a target price of $16.00 on the company. Pre-market: 14.51 +0.50 (3.57%)

Infosys Ltd (INFY): HSBC raised their rating from Neutral to Overweight.

Metlife (MET): Janney Capital raised their rating from Neutral to Buy. Pre-market: 53.19 0.00 (0.00%)

Downgrades:

Chubb (CB): Janney Capital lowered their rating from Buy to Neutral.

General Electric (GE): Oppenheimer lowered their rating from Outperform to Perform.

Joy Global (JOY): Goldman Sachs lowered their rating from Neutral to Sell and placed a target price of $52.00 on the company. Pre-market: 55.00 -1.36 (-2.41%)

Micron Tech (MU): RBC Capital lowered their rating from Outperform to Sector Perform and maintained their target price of $19.00. Pre-market: 21.19 -0.47 (-2.17%)

Prudential Financial (PRU): Janney Capital lowered their rating from Buy to Neutral. Pre-market: 90.76 0.00 (0.00%)

Sprint (S): Stifel lowered their rating from Hold to Sell. Pre-market: 10.08 -0.32 (-3.08%)

Coverage Initiated:

Bank of Montreal (BMO): RBC Capital initiated coverage with an Outperform rating.

Bank of Nova Scotia (BNS): RBC Capital initiated coverage with an Outperform rating.

Canadian Imperial Bank (CM): RBC Capital initiated coverage with a Sector Perform rating.

Toronto Dominion Bank (TD): RBC Capital initiated coverage with an Outperform rating.

Markets: 

Futures at 8:38: Dow +0.20%. S&P +0.20%. Nasdaq +0.06%. Crude -0.31% to $95.13. Gold +0.24% to $1228.20. U.S. 10 Year -3/32 to 3.004%.

Europe: London +0.28%. Paris +0.66%. Frankfurt +0.41%. 

Asia: Japan +0.69% to 16291. Hong Kong -2.25% to 22817. China -0.31% to 2083. India -0.18% to 20851. 

#RLPaler #WallStreet #PreMarket #WealthManagement #EarningReports #AnalystsRatings #DogsoftheDow

Gun Sales Propel Smith & Wesson. Smith & Wesson's (SWHC) reported FQ2 earnings of $0.28 beating estimates by a wide margin.  The company also issued higher-than-expected FQ3 guidance. Revenue for the weapons manufacture rose 2% to $139.3M, while income from continuing operations increased to $17.1M. Sales of handguns at the company continue to climb, up a whopping +27% as people rush to purchase weapons for self protects and amid a fresh push for gun control. Pre-market: 12.76 +0.64 (5.28%)

Upgrades:

3M Co. (MMM): Nomura raised their rating from Neutral to Buy and placed a target price of $150.00 on the company. Pre-market: 128.15 +0.60 (0.47%)

Cardinal Health (CAH): Leerink raised their rating from Market Perform to Outperform and raised their target price from $64.00 to $75.00.

General Dynamics (GD): CRT Capital raised their rating from Sell to Fair Value and placed a target price of $89.00 on the company.

Downgrades:

Scripps Networks (SNI): Citigroup lowered their rating from Neutral to Sell. Pre-market: 81.02 +5.77 (7.67%)

Coverage Initiated:

Cisco Systems (CSCO): Mizuho initiated coverage with a Neutral rating and placed a target price of $23.00 on the company.

Cisco Systems (CSCO): Citigroup initiated coverage with a Sell rating and placed a target price of $18.00 on the company.

Ericsson (ERIC): Mizuho initiated coverage with a Buy rating and placed a target price of $15.00 on the company. Pre-market: 11.88 -0.06 (-0.50%)

Motorola Solutions (MSI): Mizuho initiated coverage with a Neutral rating and placed a target price of $63.00 on the company. Pre-market: 21.05 -0.16 (-0.75%)

Nokia (NOK): Mizuho initiated coverage with a Neutral rating and placed a target price of $8.00 on the company. Pre-market: 7.94 +0.02 (0.25%)

Twitter (TWTR): Macquarie initiated coverage with a Neutral rating. Pre-market: 52.90 +0.91 (1.75%)

Earning Reports:

Costco (COST): Reported EPS of $0.96 missing estimates by -$0.06. Pre-market: 118.50 -1.54 (-1.28%)

H&R Block (HRB): Reported EPS of -0.42 missing estimates by -$0.05. Pre-market: 28.55 -0.25 (-0.87%)

Joy Global (JOY): Reported EPS of $1.11 missing estimates by -$0.01. Pre-market: 53.30 -2.94 (-5.23%)

Smith & Wesson (SWHC): Reported EPS of 0.28 beating estimates by +$0.07. Pre-market: 12.76 +0.64 (5.28%)

Markets: 
Futures at 8:10: Dow +0.08%. S&P -0.28%. Nasdaq +0.01%. Crude -0.15% at $98.38. Gold -0.52% to $1254.60. U.S. 10 Year -3/32 to 2.819%.

Europe: London +0.37%. Paris +0.76%. Frankfurt +0.29%. 

Asia: Japan -0.62% to 15515. Hong Kong -1.71% to 23338. China -1.49% at 2204. India -0.39% at 21171. 

#RLPaler #WallStreet #PreMarket #WealthManagement #EarningReports #AnalystsRatings

Morning Coffee Pre-Market Wall Street News

Consumer Spending Misses Estimates. The Commerce Department reported that personal spending for July rose 0.1% missing Wall Street economists’ estimates. Wall Street had expected personal spending to rise 0.3%. June’s numbers where revised higher to 0.6% from 0.5%. Personal income for July rose 0.1% in-line with estimates, but down from the prior months 0.3% reading. Consumer spending accounts for 70% of the economy. Job growth and wage gains are needed as interest rates on mortgages and home prices continue to rise.  If not, this could cause consumers to stop spending and detail to housing recovery.

Upgrades:

Apache Corp (APA): RBC Capital raised their rating from Sector Perform to Outperform and raised their target price from $93.00 to $99.00.

Deutsche Bank (DB): JPMorgan raised their rating from Neutral to Overweight.

Intel (INTC): Argus raised their rating from Hold to Buy and placed a target price of $28.00 on the company.

Downgrades:

Joy Global (JOY): BB&T lowered their rating from Buy to Hold.

OmniVision (OVTI): Northland Securities lowered their rating from Outperform to Market Perform.

OmniVision (OVTI): Craig-Hallum lowered their rating from Buy to Hold and lowered their target price from $24.00 to $18.00.

OmniVision (OVTI): Oppenheimer lowered their rating from Outperform to Perform.

Staples (SPLS): JPMorgan lowered their rating from Overweight to Neutral and lowered their target price from $17.00 to $15.00.

Vodafone (VOD): RW Baird lowered their rating from Outperform to Neutral. Pre-market: 32.03 +0.23 (0.72%)

Coverage Initiated:

Baidu (BIDU): JPMorgan initiated coverage with an Overweight rating and raised their target price from $115.00 to $165.00.

Earning Reports:

bebe Stores (BEBE): Reported EPS of -$0.14 missing estimates by -$0.01.

Big Lots (BIG): Reported EPS of $0.31 beating estimates by +$0.07. Pre-market: 35.35 +0.71 (2.05%)

Krispy Kreme (KKD): d EPS of -$0.14 missing estimates by -$0.02. Pre-market: 20.82 -2.41 (-10.37%)

OmniVision (OVTI): Reported EPS of $0.55 beating estimates by +$0.12. Pre-market: 16.17 -2.24 (-12.17%)

Pacific Sunwear (PSUN): Reported EPS of $0.02 beating estimates by +$0.02. Pre-market: 3.69 -0.23 (-5.87%)

Salesforce.com (CRM): Reported EPS of $0.09 beating estimates by +$0.02. Pre-market: 47.50 +3.85 (8.82%)

Yingli Green Energy (YGE): Reported EPS of -$0.33 in-line with estimates. Pre-market: 4.36 +0.16 (3.81%)

Markets: 
Futures at 8:07: Dow +0.11%. S&P +0.18%. Nasdaq +0.26%. Crude -0.87% to $107.83. Gold -1.12% to $1396.90. U.S. 10 Year -1/32 2.766%

Europe: London -0.45%. Paris -0.76%. Frankfurt -0.71%. 

Asia: Japan -0.53% to 13389. Hong Kong +0.12% to 21731. China +0.05% to 2098. India +1.19% to 18612. 

Morning Coffee Pre-Market Wall Street News

Bank of America Pays for Racial Discrimination Against Black Employees. Bank of America (BAC) will pay $160 million after it was sued by black employees. The lawsuit was brought by hundreds of black financial advisers, who accused the bank of not giving them the same opportunities as white advisors in the areas of account distributions and investment teams. Pre-market: 14.09 -0.02 (-0.14%)

Upgrades:

USG Corp (USG): Longbow raised their rating from Neutral to Buy and placed a target price of $28.00 on the company. Pre-market: 23.33 +0.27 (1.17%)

Downgrades:

Taser International (TASR): JPMorgan lowered their rating from Overweight to Neutral and placed a target price of $12.00 on the company.

Tiffany & Co (TIF): CLSA lowered their rating from Outperform to Underperform. Pre-market: 79.50 -1.32 (-1.63%)

Coverage Initiated:

Applied Materials (AMAT): Northland Securities initiated coverage with an Outperform rating and target price of $19.00. Pre-market: 15.04 -0.03 (-0.19%)

Arch Coal (ACI): FBR Capital initiated coverage with an Outperform rating and target price of $6.00. Pre-market: 4.65 +0.03 (0.65%)

Laboratory Corp (LH): Craig-Hallum initiated coverage with a Buy rating and target price of $116.00.

Lam Research (LRCX): Northland Securities initiated coverage with an Outperform rating and target price of $59.00.

Earning Reports:

Chico’s FAS (CHS): Reported EPS of $0.27 missing estimates by -$0.05. Pre-market: 15.67 +0.34 (2.22%)

Express (EXPR): Reported EPS of $0.20 in-line with estimates. Pre-market: 21.75 +1.95 (9.85%)

Joy Global (JOY): Reported EPS of $1.70 beating estimates by +$0.34. Pre-market: 48.80 -2.51 (-4.89%)

Zale (ZLC): Reported EPS of- $0.25 beating estimates by +$0.58. Pre-market: 10.49 +1.53 (17.08%)

Markets: 
Futures at 8:45: Dow +0.09%. S&P +0.04%. Nasdaq +0.09%. Crude +1.28% to $110.38. Gold +0.44% to $1426.40. U.S. 10 Year -15/32 2.767%.

Europe: London -0.60%. Paris -0.49%. Frankfurt -1.54%. 

Asia: Japan -1.51% to 13338. Hong Kong -1.60% to 21525. China -0.11% to 2101. India +0.16% to 17996. 

Morning Coffee Pre-Market Wall Street News

Japan Market Sells Off Again. For the second time in two weeks the Japanese market sold off.  In late trading the Nikkei (EWJ) fell -5.15%, bring the two week decline to over -14%. Traders point to fears that the Fed will end its QE program as well as the falling dollar-yen (FXY) as the cause of the volatility. (FXY) Pre-market: 96.79 +0.01 (0.01%)

Upgrades

Diamond Offshore (DO): JPMorgan raised their rating from Neutral to Overweight and placed a target price of $82.00 on the company.

Noble Corp (NE): Raymond James raised their rating from Market Perform to Outperform and placed a target price of $52.00 on the company.

Northrop Grumman (NOC): Goldman Sachs raised their rating from Neutral to Buy.

Republic Services (RSG): Wedbush raised their rating from Neutral to Outperform and raised their target price from $33.00 to $40.00.

SunPower (SPWR): Goldman Sachs raised their rating from Sell to Neutral and raised their target price from $13.00 to $18.00. Pre-market: 20.33 +0.69 (3.51%)

First Solar (FSLR): Goldman Sachs raised their rating from Neutral to Buy and placed a target price of $64.00 on the company.

Downgrades

Noble Corp (NE): JPMorgan lowered their rating from Overweight to Neutral and placed a target price of $43.00 on the company.

Stanley Black & Decker (SWK): Argus lowered their rating from Buy to Hold and placed a target price of $78.00 on the company.

Coverage Initiated

AT&T (T): BMO Capital initiated coverage with a Market Perform rating and placed a target price of $34.00 on the company.

Leap Wireless (LEAP): BMO Capital initiated coverage with an Underperform rating and placed a target price of $3.00 on the company.

Pfizer (PFE): Sun Trust initiated coverage with a Reduce rating.

Sprint Nextel (S): BMO Capital initiated coverage with an Outperform rating and placed a target price of $9.00 on the company.

Verizon Communications (VZ): BMO Capital initiated coverage with an Outperform rating and placed a target price of $55.00 on the company.

Coverage Reiterated/Price Target Changed

SEI Investments (SEIC): Stifel reiterated their Buy rating and raised their target price from $31.00 to $33.00.

Earning Reports

Big Lots (BIG): Reported EPS of $0.61 in-line with estimates. Pre-market: 34.90 -3.48 (-9.07%)

Costco (COST): Reported EPS of $1.04 beating estimates by +$0.01. Pre-market: 113.92 +0.97 (0.86%)

Joy Global (JOY): Reported EPS of $1.73 beating estimates by +$0.16. Pre-market: 54.82 -0.26 (-0.47%)

Tilly's (TLYS): Reported EPS of $0.08 beating estimates by +$0.01.

Markets: 
Futures at 8:31: Dow +0.24%. S&P +0.19%. Nasdaq +0.06%. Crude -0.58% to $92.60. Gold +1.02% to $1405.50.

Europe: London +0.17%. Paris +0.72%. Frankfurt +0.54%. 

Asia: Japan -5.15% to 13589. Hong Kong -0.31% to 22484. China -0.27% to 2318. India +0.34% to 20215.