According to Freddie Mac, the average American homeowner can get a 30-year mortgage today for as little as 3.5%. That sounds pretty good -- but right now corporate America is borrowing money for less than half that rate.
IBM (NYSE: IBM ) just snagged $2.25 billion worth of loans for aggregate interest of less than 1.5% total. Apple (NASDAQ: AAPL ) , Texas Instruments, Unilever, and Walt Disney are all loading up on debt as well. But why?
To get the lowdown on low rates, why companies like them, and the risks of taking advantage of them, just watch the video below.
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10 Best Airline Stocks To Watch For 2015: Enduro Royalty Trust (NDRO)
Enduro Royalty Trust (the Trust) is a statutory trust. On May 13, 2011, the Trust was formed by Enduro Resource Partners LLC (Enduro Sponsor) to own a net profits interest representing the right to receive 80% of the net profits from the sale of oil and natural gas production from certain properties in the states of Texas, Louisiana and New Mexico (the Underlying Properties) held by Enduro Sponsor as of the date of the conveyance of the net profits interest to the trust. The business and affairs of the Trust will be managed by The Bank of New York Mellon Trust Company, N.A., as trustee (the Trustee). In addition, Wilmington Trust Company will act as Delaware trustee (the Delaware Trustee) of the Trust.
The Trust will enter into an administrative services agreement with Enduro pursuant to which Enduro will provide the Trust with certain accounting, bookkeeping, and informational services related to the Net Profits Interest. Enduro Sponsor is a privately-held limited liability company engaged in the production and development of oil and natural gas from properties located in Texas, Louisiana and New Mexico.Advisors' Opinion:
- [By Rich Duprey]
Statutory trust Enduro Royalty Trust (NYSE: NDRO ) announced yesterday its July monthly distribution of $0.128817�per unit; it has paid a monthly dividend since November 2011. The distribution announced in May was $0.096825 per unit.
Top Long Term Companies To Own In Right Now: Sigma-Aldrich Corp (SIAL)
Sigma-Aldrich Corporation, incorporated in May 12, 1975, is a life science and high technology company. The Company develops, manufactures, purchases and distributes the range of chemicals, biochemicals and equipment available globally and also provides global biopharmaceutical testing services. These chemical products, kits and services are used in scientific research, including genomic and proteomic research, biotechnology, pharmaceutical development and as key components in pharmaceutical, diagnostic and other high technology manufacturing. As of December 31, 2012, the Company offered approximately 45,000 equipment products. On January 31, 2012, the Company completed its acquisition of all of interest of BioReliance, a provider of global biopharmaceutical testing services. On April 2, 2012, the Company acquired Research Organics, a supplier of purity biochemicals.
The Company provides products and services that focus on research customers that use smaller quantities of its products in basic life science and high-technology research and development (R&D); manufacturing customers that use its products in quantities in lab-stage development and manufacturing; life science customers who use its biopharmaceutical testing services to facilitate the development, manufacturing and commercialization of biological drugs, and industrial and diagnostic companies that use its products in range of forms of assays and testing, as well as in clinical diagnostics. The Company has a customer base of commercial laboratories, pharmaceutical companies, industrial companies, universities, diagnostics companies, biotechnology companies, electronics companies, hospitals, governmental institutions and non-profit organizations located in the United States and globally.Advisors' Opinion:
- [By ovenerio]
Over the past days hedge funds have been filing their form 13-F, which is a quarterly report of equity holdings by filed institutional investment managers with at least $100 million in equity assets under management, as required by the United States Securities and Exchange Commission (SEC). In this article, let麓s concentrate in one particular hedge fund and try to see the principal holdings in its portfolio. I will look into America First Investment Advisor.Recently the fund reported its equity portfolio, as at the end of June. The total value of the portfolio amounted to $222.9 million, up from $203.2 million disclosed at the end of the previous quarter. Consequently, the fund's total return was 9.7% in the last quarter. The filing revealed that at the end of June, the fund added 14 new positions to its equity portfolio, and sold out of 24 other companies. The top ten portfolio holdings as of the end of the quarter represented 41.8%. The largest changes from previous 13-F麓s fillings are in the tech and energy sectors.In this article, we have selected three companies, in which the fund holds the largest stakes, in terms of market value.The first on the list is The Clorox Company (CLX), in which the fund disclosed a $10.53 million stake with over 115,150 shares. The company is a diversified producer of household cleaning, grocery and specialty food products is also a leading producer of natural personal care products.Long-Term VisionIn October 2013, Clorox introduced its 2020 Strategy. The 2020 Strategy focuses on delivering long-term, profitable growth through the year 2020. The key elements of its strategy to grow sales and earnings over the long term are: category, channel and geographic expansion, increased brand investment, and cost reductions.The company's long-term financial goals include:Growing net sales 3-5 percent annuallyExpanding EBIT margin 25-50 basis points annuallyGenerating free cash flow of 10% to 12% of sales annuallyIt has improved earnings
- [By Maxx Chatsko]
Any company that creates products and relies on other companies to use and distribute them will inevitably forge strong relationships with its customers. It's an important thing to look into when investing, yet easy to overlook. Investors should know whether customers are reliable, which are leaned on the most, and if the company they own is too dependent on any customer (or a select few). Bioprocessing product company Repligen (NASDAQ: RGEN ) may make consumables that are the lifeline of the biotech industry, but its customer relationships are absolutely critical for smooth operations. Let's look at how the company interacts with the Life Sciences division of General Electric (NYSE: GE ) , EMD Millipore from Merck (NYSE: MRK ) , and Sigma-Aldrich (NASDAQ: SIAL ) -- the three most important customers.
- [By Monica Gerson]
Sigma-Aldrich (NASDAQ: SIAL) is expected to report its Q3 earnings at $0.99 per share on revenue of $661.29 million.
CR Bard (NYSE: BCR) is projected to post its Q3 earnings at $1.40 per share on revenue of $739.62 million.
- [By Nicole Seghetti]
2. Sigma-Aldrich (NASDAQ: SIAL )
Maker of test tubes and beakers, Sigma-Aldrich has increased its dividend every year since 1976. Even though the company pays a relatively scrawny 1.1% dividend yield, its 21% payout ratio signals the company has ample opportunity to up its dividend for many years to come.
Top Long Term Companies To Own In Right Now: On Track Innovations Ltd (OTIV)On Track Innovations Ltd. (OTI) designs, develops and markets solutions based on its secure contactless microprocessor-based smart card technology to address the needs of a range of markets. The Company�� products combine the benefits of both microprocessors and contactless cards. In addition to contactless microprocessor-based smart cards, it also sells products that are based on other card technologies. The Company has focused on the development of its technologies and its products based on its technological platform that consists of smart cards, smart card readers, software tools and secure communication technology. As of December 31, 2012, it offers three lines of solutions, each of which constitutes a complete system, as well as components (such as smart cards and readers) that we sell to original equipment manufacturers (OEMs), for incorporation into their own products. OTI�� three vertical markets include Payment Solutions, Petroleum Systems and SmartID Solutions. Advisors' Opinion:
- [By Markman Advisors]
Public companies leveraging their patent portfolios, (aka "patent plays"), are getting the market's attention. Companies such as Vringo (VRNG), ParkerVision (PRKR), MGT Capital (MGT), Worlds Inc. (WDDD.OB) and others have presented trading opportunities due to their volatility while retaining the chance for a big payoff to those investors who stay the course. Yet there exist viable patent plays that are still undiscovered. Some of these so called "plays," which are not getting enough attention, are actually real companies making and selling real products or services in contrast to pure patent monetization companies. Some known examples are Single Touch Interactive (SITO.OB) and Blue Calypso (BCYP.OB). This article is focused on another one of these patent plays, On Track Innovations Ltd. (OTIV).
- [By Roberto Pedone]
One under-$10 technology player that's starting to trend within range of triggering a major breakout trade is On Track Innovations (OTIV), which designs, develops and markets contactless microprocessor-based smart card solutions to customers in Africa, Europe, the Far East, the Americas and Israel. This stock has been red hot over the last three months, with shares up a whopping 134%.
If you take a look at the chart for On Track Innovations, you'll notice that this stock has been trending sideways and consolidating over the last month and change, with shares moving between $2.70 on the downside and $3.74 on the upside. Shares of OTIV have now started to spike higher off some near-term support at $3 a share and it's quickly moving within range of triggering a major breakout trade above the upper-end of its recent sideways trading chart pattern.
Traders should now look for long-biased trades in OTIV if it manages to break out above its 52-week high at $3.74 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average volume of 626,538 shares. If that breakout triggers soon, then OTIV will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $4.50 to $5.50 a share.
Traders can look to buy OTIV off weakness to anticipate that breakout and simply use a stop that sits just below some key near-term support levels at $3.20 or at $3 a share. One can also buy OTIV off strength once it starts to clear its 52-week high at $3.74 a share with volume and then simply use a stop that sits a comfortable percentage from your entry point.
Top Long Term Companies To Own In Right Now: Legal & General Group PLC (LGEN)Legal & General Group Plc is a provider of risk, savings and investment management products in the United Kingdom. The Company's operating segments include Protection and Annuities segment consisting of individual and group protection, individual and bulk purchase annuities, longevity and general insurance; Savings segment consisting of non-profit investment bonds, non-profit pensions (including self-invested personal pensions (SIPPs)), individual savings account (ISAs), retail unit trusts and retail platform businesses; Investment management segment consisting of institutional fund management and LGIM America (LGIMA); US Protection segment consisting of individual protection and universal life contracts, and Group capital and financing consists of shareholders��equity supporting the non profit Protection and Annuities and Savings businesses. In August 2013, Legal & General Group Plc announced the acquisition of Lucida Limited. Advisors' Opinion:
- [By Rupert Hargreaves]
Unfortunately, Prudential only offers a dividend yield of 2.4% at present, below that of its peers, such as Aviva (AV) and Legal & General (LGEN). Moreover, city analysts only expect Prudential to increase its payout by 10% this year and 5% during 2014.
Top Long Term Companies To Own In Right Now: Ausdrill Ltd (ASL)Ausdrill Limited is a mining and energy services company providing exploration, mine development, surfacing and underground mining, manufacturing, energy and infrastructure services globally. The Company operates in five segments: Mining Services Australia, which includes the provision of mining services, including drilling and blasting, in-pit grade control, exploration drilling, earthmoving, waterwell drilling, energy drilling, equipment hire, equipment parts and sales and mineral analysis in Australia; Contract Mining Services Africa, which includes the provision of mining services, including drilling and blasting, in pit grade control, exploration drilling and earthmoving in Africa; Manufacturing, which includes manufacture of drilling rods and consumables, drill rigs and dump truck tray bodies; Supply and Logistics, which includes the provision of mining supplies and logistics services and Other, which includes its central functions like treasury, financing and administration. Advisors' Opinion:
- [By Adam Haigh]
Toyota Motor Corp. (7203), the world�� biggest carmaker, lost 1.3 percent in Tokyo after its net-income forecast fell short of analyst estimates. Ausdrill Ltd. (ASL) slumped 29 percent in Sydney after the drilling contractor said its expects a lower profit. GungHo Online Entertainment Inc. gained 2.5 percent as Japan Exchange Group Inc. and Nikkei Inc. said the Internet-game maker will be included in their new index.
Top Long Term Companies To Own In Right Now: M.D.C. Holdings Inc. (MDC)
M.D.C. Holdings, Inc., through its subsidiaries, engages in homebuilding and financial services businesses in the United States. Its homebuilding business activities include the purchase of finished lots or development of lots for the construction and sale of single-family detached homes to first-time and first-time move-up homebuyers under the Richmond American Homes name. The company�s financial services business activities comprise the origination of mortgage loans primarily for homebuyers; provision of third-party insurance products to homebuyers; and title agency services to homebuyers in Colorado, Florida, Maryland, Nevada, and Virginia. It also provides insurance coverage on homes sold and for work performed in completed subdivisions; and re-insures the claims. M.D.C. Holdings, Inc. was founded in 1972 and is based in Denver, Colorado.Advisors' Opinion:
- [By Dimitra DeFotis]
Colleague Dave Englander recommended taking profits in another medical device maker, Boston Scientific (BSX) in mid-August. At the time, he noted that stock was up 107% since his favorable recommendation had appeared, outpacing the Standard & Poor’s 500 Index by 80 points. He noted Boston Scientific faces competition from St. Jude and Medtronic (MDC), and he said that the market for stents and defibrillators has stabilized but is “not likely to grow meaningfully.” �(See “Time to Sell These Winners,” Aug. 14, subscription required.)
- [By Morgan Housel]
1.�Homebuilders have pricing power and are building again. They're constrained (amazingly) by labor shortages, but new-home construction is up 40% in the last year, and homebuilder confidence is at a seven-year high. As MDC Holdings (NYSE: MDC ) CEO Larry Mizel put it earlier this year: