Top Penny Stocks To Invest In Right Now

[ April 20, 2013 | Author: Admin | Weather: | Mood: normal]

Yesterday’s combination of horrible news, including the tragic explosion in Boston and troubling concerns on the economic front, left investors shaken. Yet this morning, the regular business of the market appeared to calm investors’ fears, as some favorable news on the earnings front helped investors refocus on signs of improvement for the U.S. economy. By 10:45 a.m. EDT, the Dow Jones Industrials (DJINDICES: ^DJI  ) were up more than 65 points, albeit putting only a small dent in yesterday’s 266-point drop. Broader markets saw similar gains of about half a percent.

The big winner among the 30 Dow stocks is Coca-Cola (NYSE: KO  ) , which has spiked by more than 5% after releasing highly encouraging earnings. Although revenue dropped by 1%, overall sales volume posted a 4% gain, and the company’s adjusted earnings-per-share figure beat estimates by a penny despite some adverse calendar effects in comparison with last year’s quarter. Moreover, investors responded favorably to Coke’s decision to sell off some of its U.S. distribution assets to its team of independent bottlers. Although long-term trends may reassert themselves at some point, Coke’s news shows that counting the soft-drink giant out isn’t a smart move.

Top Penny Stocks To Invest In Right Now: Cincinnati Bell Inc (CBB)

Cincinnati Bell Inc., together with its subsidiaries, provides telecommunications and technology services. The company?s Wireline segment provides local voice services, including local telephone service, switched access, and value-added services, such as caller identification, voicemail, call waiting, and call return; data services comprising high-speed Internet using digital subscriber line technology, fiber to the home, dial-up Internet access, network access, and gigabit Ethernet and asynchronous transfer mode data transport services. This segment?s services also comprise long distance and voice over Internet protocol (VoIP)services, such as long distance voice, audio conferencing, VoIP, and other broadband services; entertainment services that consist of television over fiber optic cable and coaxial cable in limited areas, and DirecTV commissioning over the company?s operating area; and other services consisting of security monitoring, inside wire installation for busi ness enterprises, rental revenue of space, public payphones, and clearinghouse services. It?s Wireless segment provides advanced digital wireless voice and data communications services through the wireless network in a licensed service territory, which includes Greater Cincinnati and Dayton, Ohio, and areas of northern Kentucky and southeastern Indiana. This segment offers postpaid and prepaid wireless subscription services; and wireless handset devices to customers to use its wireless services. The company?s Data Center Colocation segment provides data center colocation services to businesses. This segment operates 17 data centers with 639,000 square feet of total data center space in Texas, Ohio, Kentucky, Indiana, Michigan, and Illinois. It?s IT Services and Hardware segment offers a range of managed IT solutions, including managed infrastructure services, IT and telephony equipment sales, and professional IT staffing services. The company was founded in 1873 and is base d in Cincinnati, Ohio.

Top Penny Stocks To Invest In Right Now: Smith Micro Software Inc.(SMSI)

Smith Micro Software, Inc. designs, develops, and markets software products and services primarily for the mobile computing and communications industries worldwide. The company operates in two segments, Wireless, and Productivity and Graphics segments. The Wireless segment develops mobile connectivity, mobile information management, and mobile security solutions, including QuickLink Mobile that provides mobile users to connect a notebook or other wireless device to wireless wide area networks (WWANs) and wireless local area networks (WLANs) or Wi-Fi hotspots; QuickLink Mobility suite, which allows connectivity for the user operating on WWANs, corporate local area networks (LANs), and Wi-Fi networks; and QuickLink Media for managing the media on the mobile devices. It also provides SendStuffNow, which secures cloud-based large file delivery solution; Device Management suite that provides intelligent, automated mobile device provisioning, and configuration; and push-to-talk, visual voicemail, and mobile video solutions. The Productivity and Graphics segment develops various software products for the consumer, prosumer, and professional markets. It provides StuffIt Deluxe, a lossless compression solution for documents and media; CheckIt Diagnostics and CheckIt Netbook suite, a diagnosis and troubleshooting solution for hardware and system problems; Poser, a solution for creating 3D character art and animations; Anime Studio, an animation tool for professional and digital artists; and Manga Studio, a solution for creating manga and comic art. This segment distributes its products through online stores, and third-party wholesalers, retailers, and value-added resellers. The company serves mobile network operators, original equipment manufacturers, device manufacturers, and enterprise businesses, as well as directly to consumers. Smith Micro Software, Inc. was founded in 1982 and is headquartered in Aliso Viejo, California.

Best Canadian Companies To Own In Right Now: SORL Auto Parts Inc.(SORL)

SORL Auto Parts, Inc., through its principal operating subsidiary, Ruili Group Ruian Auto Parts Co., Ltd., engages in the development, manufacture, and distribution of automotive brake systems and other safety related auto parts for commercial vehicles, such as trucks and buses. The company, through its 90% ownership in Ruili Group Ruian Auto Parts Co., Ltd., a Sino-foreign joint venture, offers various products, including spring brake chamber, clutch servos, air dryers, relay valves, and hand brake valves. It also provides auto metering products, auto electric products, anti-lock brake systems, retarders, hydraulic brakes, and power steering products. SORL Auto Parts, Inc. markets its products under the SORL brand to automotive original equipment manufacturers and the related aftermarket customers in the People?s Republic of China and internationally. The company was founded in 2003 and is headquartered in Ruian City, the People?s Republic of China.

Advisors’ Opinion:

  • [By Robert Hsu]

    Sorl Auto Parts (NASDAQ: SORL) has purchased the assets of the hydraulic brake, power steering, and automotive electrical operations of Ruili Group Auto Parts. As a result of this acquisition, Sorl’s product offerings will expand to both commercial and passenger vehicles’ brake systems and other key safety-related auto parts. The company expects it will allow the company to streamline its management organization, as well as create efficiencies in production, R&D and its sales network. In addition, Sorl’s management expects the acquisition will be beneficial to the company’s revenues and earnings.

    Sorl paid 170 million yuan — or about $25 million — for the acquisition, and the company believes it will generate about $35 million in revenues and about $4 million in net income in 2011. In addition, Sorl expects the acquisition to generate incremental free cash flow in both 2010 and 2011.  SORL has outperformed earnings estima tes for four consecutive quarters, and its stock price rose 71.7% over the past 12 months. 

    Now, the chairman and CEO of Sorl Auto,  Xiao Ping Zhang, is also the controlling shareholder of the Ruili Group. However, the price paid for the acquisition was based on a valuation of the purchased business performed by Asia’s leading appraisal company, DTZ Debenham Tie Leung — lessening the possibility of a conflict of interest with regards to the sale.

    Overall, I think this was a good purchase by Sorl. The acquisition will allow the company to offer its customers more high-quality products to fulfill their needs from one source. In addition, because both companies share similar visions, I expect the combination of their internal resources will create favorable economies-of-scale that will strengthen earnings and create shareholder value. Buy SORL under $10.

Top Penny Stocks To Invest In Right Now: Luna Innovations Incorporated(LUNA)

Luna Innovations Incorporated engages in the research, development, and commercialization of technologies in the areas of sensing and instrumentation products, and health care products primarily in the United States. The company?s Product and Licensing segment offers test and measurement products to monitor the integrity of fiber optic network and sub-assemblies. This segment provides Optical Vector Analyzer platform, a device for single-measurement, all-parameter analysis of fiber optic components and assemblies up to 150 meters in length; Optical Backscatter Reflectometer, a sensitive diagnostic device, for data and telecommunications companies, and service providers who maintain their own fiber optic networks; and Phoenix laser, a MEMs-based external cavity laser, that offers low noise and precise tuning capability over the C-band. It also offers distributed sensing systems, which comprise multiple sensors whose input is integrated through a fiber optic network and soft ware to detect distributed strain, shape, and temperature; and tunable lasers. In addition, this segment provides health care products, including medical devices for minimally invasive diagnostics, surgery, and therapy; non-invasive monitoring and diagnosis medical devices consisting of emboli detection and classification QUANTIFIER, a non-invasive medical device, that uses quantitative ultrasound technology to count emboli in ex-vivo blood circuit; and nanomaterial-based medical products comprising Trimetasphere nanomaterials. The company?s Technology Development segment provides contract research services to universities, government entities, and corporations. Luna Innovations Incorporated offers its services to energy, telecommunications, life sciences, and defense industries .The company was incorporated in 1990 and is headquartered in Roanoke, Virginia.

Top Penny Stocks To Invest In Right Now: Crown Media Holdings Inc.(CRWN)

Crown Media Holdings, Inc., through its subsidiary, Crown Media United States, LLC, owns, operates, and distributes pay television networks for adults and families primarily in the United States. The company operates and distributes Hallmark Channel network to approximately 87 million subscribers through approximately 5,369 cable, satellite, and other pay television distribution systems; and Hallmark Movie Channel network to approximately 45 million subscribers through approximately 2,680 cable, satellite, and other pay television distribution systems. Its networks offers a range of entertainment programming, including television series, movies, miniseries, theatricals, romances, literary classics, and contemporary stories. The company was founded in 1999 and is headquartered in Studio City, California.

Advisors’ Opinion:

  • [By Michael Brush]

    Anyone worried that Howard Stern is coarsening American culture should find comfort in the ratings of two television channels operated by Crown Media (CRWN).

    Don’t know the name? Think the Hallmark Channel, which ranked 16th during the day and 18th for prime-time viewership last year, among 78 ad-supported cable channels. Or the Hallmark Movie Channel, with an impressive 40 million subscribers, twice as many as Stern’s radio company.

    Hallmark channels feature squeaky-clean TV series like "Little House on the Prairie" and "Touched by an Angel," movies like "The Five People You Meet in Heaven"  and original movies like "A Family Thanksgiving." They also rerun "Hallmark Hall of Fame" programs developed for network broadcast, like "The Magic of Ordinary Days" and "Plainsong."

    Programs like these may not be everyone’s cup of tea, but advertisers love the demographic they deliver: women ages 24 to 59.

    Ratings did slip slightly last year, one reason the stock has not been a great performer. But it was a year of transition for Crown, which introduced a new "lifestyle" block of programming during the daytime at the Hallmark Channel. The new lineup boasts "The Martha Stewart Show," among other programs.

    Viewers took a while to warm up, but a holiday-season ratings romp shows Crown has not lost its touch. The Hallmark Channel was the top destination for prime time on Saturday nights during the holiday season, and its programming posted ratings gains of 40% to 80% in its target demographic. December ratings at the Hallmark Movie Channel were up 70%, compared with the rest of the quarter. As a result, Crown saw revenue jump 17% in the quarter.

    One risk here is that Crown loses the "Hallmark" brand it licenses from Hallmark Cards — but that’s unlikely, because the card company owns most of the stock.

  • [By Michael Brush]

    Anyone worried that Howard Stern is coarsening American culture should find comfort in the ratings of two television channels operated by Crown Media (CRWN).

    Don’t know the name? Think the Hallmark Channel, which ranked 16th during the day and 18th for prime-time viewership last year, among 78 ad-supported cable channels. Or the Hallmark Movie Channel, with an impressive 40 million subscribers, twice as many as Stern’s radio company.

    Hallmark channels feature squeaky-clean TV series like "Little House on the Prairie" and "Touched by an Angel," movies like "The Five People You Meet in Heaven"  and original movies like "A Family Thanksgiving." They also rerun "Hallmark Hall of Fame" programs developed for network broadcast, like "The Magic of Ordinary Days" and "Plainsong."

    Programs like these may not be everyone’s cup of tea, but advertisers love the demographic they deliver: women ages 24 to 59.

    Ratings did slip slightly last year, one reason the stock has not been a great performer. But it was a year of transition for Crown, which introduced a new "lifestyle" block of programming during the daytime at the Hallmark Channel. The new lineup boasts "The Martha Stewart Show," among other programs.

    Viewers took a while to warm up, but a holiday-season ratings romp shows Crown has not lost its touch. The Hallmark Channel was the top destination for prime time on Saturday nights during the holiday season, and its programming posted ratings gains of 40% to 80% in its target demographic. December ratings at the Hallmark Movie Channel were up 70%, compared with the rest of the quarter. As a result, Crown saw revenue jump 17% in the quarter.

    One risk here is that Crown loses the "Hallmark" brand it licenses from Hallmark Cards — but that’s unlikely , because the card company owns most of the stock.

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