Thomas Renna's Instablog

Equities Research Upgrade Cooper Tire Acquired

Wed, 12 Jun 2013 09:46:03 -0400

Wednesday, June 12, 2013 Equities Research Upgrade Cooper Tire Acquired

This morning the 100 year old company Cooper Tire & Rubber Company (NYSE: CTB) announced it will be acquired at $35.00 a share.

Stockdiagnostics upgraded CTB @ $13.18 (dividend adjusted) on February 14,2007 after the company reported 4th quarter financials for the period ending December 31,2006. Since the upgrade 6 years ago shares have appreciated 157% vs 11% for the Standard & Poors 500 index.

Equities Research upgraded CTB @ $19.05 (dividend adjusted) on August 14,2007 after the company reported 2nd quarter financials for the period ending June 30,2007. Since the upgrade 6 years ago shares have appreciated 78% vs 14% for the Standard & Poors 500 index. In 44 months (22% annualized return.

click to Equities Research Upgrade and Stockdiagnostics Chart

IN APRIL 2013

<click to HNZ Stockdiagnostics OPS chart
<click to HNZ GFNN news story

Click to 55 Stockdiagnostics Upgrades Acquired in 2012

Click to learn more about Upgrades and Downgrades

Order the June 2013 Equities Research Newsletter here

**Warren Buffett, Chairman of Berkshire Hathaway:2000 Annual Report:

"Common yardsticks such as dividend yield, the ratio of price to earnings or to book value, and even growth rates have nothing to do with valuation except to the extent they provide clues to the amount and timing of cash flows into and from the business. Indeed, growth can destroy value if it requires cash inputs in the early years of a project or enterprise that exceed the discounted value of the cash that those assets will generate in later years.
Market commentators and investment managers who glibly refer to growth and value styles as contrasting approaches to investment are displaying their ignorance, not their sophistication. Growth is simply a component--usually a plus, sometimes a minus-- in the value equation."

TITAN STOCKHOLDERS Did Not APPROVE PROPOSAL 3

Tue, 04 Jun 2013 23:10:33 -0400

TITAN STOCKHOLDERS DON"T APPROVE PROPOSAL

Proposal No. 3 -The stockholders did not approve the Company's 2013 Equity Incentive Plan

JUNE 4,2013

This Morning TITAN insiders and a Director

Filed SEVEN(7)FORM 4s with SEC

An Equities Research Favorite Reports After The Close

Wed, 22 May 2013 12:55:54 -0400

8 X 8 (NASDAQ: EGHT) Reports Tonight

8 X 8 Inc. (NASDAQ: EGHT) reports tonight after the market closes.
Equities Research is Bullish based on the Operational Cash Flow growth over the last 12 quarters.
click here to enlarge

(click to enlarge)

5/22/2013

8 X 8, Inc. (NASDAQ: EGHT) closed yesterday @ $7.56. Stockdiagnostics upgraded EGHT @ $1.40 on August 9,2010 after the company reported FY2010 1st quarter financials for the period ending June 30,2010. Since the upgrade 33 months ago, shares have appreciated 437%.
c<lick to EGHT Stockdiagnostics OPS chart 5 year
<click to EGHT Stockdiagnostics OPS chart
<click to EGHT GFNN news story
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click to EquitiesResearch.com Archives for EGHT

Stockdiagnostics the Utility!

Professional investors understand that due diligence is vital when making a sound investment. Insurance companies, mutual funds, pension funds and money managers, of all types, including independent individuals rely on research. Time, education and relevant experience are crucial elements to becoming a profitable investor.

Profitable investors possess the resources necessary to filter through the bullish and bearish sides of all trades through the use of different Brokerage Coverage, Research Firms, Investment News' Services, Technical Analysis and most importantly, Quarterly Financial Audit statements filed with the Securities & Exchange Commission.

To make a sound investment, all spectrums of the financial markets from Bonds, Commodities, Real Estate and Equities should be taken into account. The most challenging aspect of managing money is dedicating valuable time to properly make and manage great investments. (note: it's not only entering a trade that is challenging, but it is just as, if not, more challenging to monitor and exit a trade)

The purpose of EQUITIES RESEARCH is to support investment professionals by helping them save time and money, reduce investment risk and increase returns based on thorough, objective fundamental analysis using the Stockdiagnostics.com research tool. (which in itself is very time consuming).

Our Philosophy is a long term, buy and hold approach.

Prior to the due diligence phase, the investor should first start with the fundamentals. ALL our research is based on trailing numbers (financials), and there can be no guarantee of future performance. On the Buy Side, we focus on companies with sound growth, trading at a discount to Cash Flow. Overvalued stocks, with declining growth, trading at premiums to cash flow are flagged on the Sell Side.

Simply put, your day should start with your Equities Research Newsletter. Before you consult the brokerage research, news story sites, research sites and media reports, IT WOULD BE MOST ADVANTAGEOUS TO YOUR SUCCESS if you Just Start with the Equities Research Newsletter and find The Healthiest and Unhealthiest Stocks of the Universe

100% OBJECTIVE .....

Just the Numbers

Tom Renna 908-477-4796

Timely analytical disclosure
Get there before the herd,
Know the Quality of the Numbers

Disclaimer.
All Newsletters, published by Equities Research, LLC , does not constitute a recommendation by Equities Research, LLC to buy, sell, hold any security, or to follow any particular trading or investment strategy. Also, the information provided should not be construed as an offer, or a solicitation of an offer, to buy or sell securities. An investor's best course of action must be based upon individual circumstances. EquitiesResearch.com shall not be liable for any damages or costs of any type arising out of or in any way connected with your use of The Newsletters, or any of our services.
EquitiesResearch.com, its officers and employees may buy and sell any position in the securities or companies mentioned herein.

13 Of 15 February Picks "IN The Money"

Thu, 16 May 2013 15:23:56 -0400

13 out 15 Newsletter Picks "In the Money" 13 out 15 February Newsletter Picks In the Money Newsletter Picks UP 16% vs 10% S&P500 index in 12 Weeks February 22,2013 Equities Research Newsletter (subscription)

(blue is price as of May 15,2013 close)

Long Picks:

FLEX $5.15 ($7.29) up 42%
PAY $18.24 ($23.00) up 26%
YHOO $20.83 ($27.34) up 31%

CRAY $18.94 ($17.36) down 8%
ADES $25.20 ($31.37) up 24%
WWWW $16.84 ($20.13) up 20%
EGHT $6.33 ($7.38) up17%
RHT $51.71 ($54.16) up 5%
OSIS $55.17 ($63.93) up16%
GM $26.51 ($32.31) up 22%
DIS $54.17 ($67.67) up 25%
HSY $80.30 ($90.32) up13%

Warnings:
ADP $59.85 ($71.74) minus17%
TITN $28.67 ($22.96) up 25%
SSYS $67.35 (closed $63) March 1st,2013 up 7%

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http://www.equitiesresearch.com/page.asp?ID=3534

March Newsletter Picks Up 22% In 9 Weeks Vs S&P Up 7%

Thu, 16 May 2013 13:19:32 -0400

March Newsletter Performance 9 out 10 Picks " In The Money" March Newsletter UP 22% in 9 weeks vs S&P500 index of 7% Equities Research

March 8,2013

Newsletter Picks (subscription Service)

Best Pick on the long side is Web.com (NASDAQ: WWWW)

Long Picks	TICKER	PRICE
First Solar,Inc	FSLR	$26.10
Rosetta Stone,Inc	RST	$13.26
Barnes & Nobles	BKS	$16.56
Stewart Information	STC	$25.26
Staples, Inc	SPLS	$12.76
AutoZone, Inc	AZO	$381.52
Web.com	WWWW	$17.32
Fonar Corp	FONR	$6.17

Short Picks	Ticker	PRICE
Titan Machinery, Inc	TITN	$29.03
NetFlix, Inc.	NFLX	$181.56

Closing prices on May 15,2013 (9 week return)

FSLR $50.07 up 92%

RST $16.96 up 28%

BKS $20.35 up 23%

STC $29.56 up 17%

SPLS $14.45 up 13%

AZO $418.28 up 10%

WWWW $20.13 up 16%

FONR $7.46 up 21%

TITN $22.96 +26.44%

NFLX $243.40 -25%

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http://www.equitiesresearch.com/page.asp?ID=3534

Stratasys Waits Till After Close To Announce 3rd Consecutive Negative Operational Cash FlowQuarter

Mon, 13 May 2013 21:41:28 -0400

After the Close: Stratasys Reports (Negative) Operational Cash Flow

Stratasys Ltd (NASDAQ: SSYS) released a 1st quarter 2013 press release this morning before the market opened, followed by an 60 minute conference call at 8:30am est.

The Press Released focused on positive NON GAAP performance and attributed their weak GAAP performance due to merger expenses.
(from the press release:

"Non-GAAP net income of $17.6 million for the first quarter, or $0.43 per diluted share, represents a 40% increase over the pro forma non-GAAP $12.6 million, or $0.32 per diluted share, reported for the same period last year.
GAAP net income for the first quarter was a loss of $15.5 million, or ($0.40) per share, versus a pro forma loss of $8.4 million, or ($0.23) per share, for the same period last year."

The stock opened up @ $85.57, and after trading over 2.3 million shares closed the day @ $85.34. Shares are trading at 9 TIMES SALES!

There was approximately 20 Bullish Press Releases made throughout the trading day from Investor's Business Daily, Motley Fool, TheStreet.com and SeekingAlpha.
All the headlines spoke about : "IS A BUY", "EARNINGS BEAT", "Unusually High Volume", "Price Target Increase", "ADVANCE", "Upgrade", "Price Target Increase", "Unleash", "Craze", "Monster Volume", "Solid", Rally" to name a few..It sounded like the Internet Bubble Age when Wall Street was enamored with the DOT.COM Hype.

What bothered me all day is that all the press releases and conference call made no mention of the company's statement of cash flow. A dozen analyst participated in the Q & A on the conference call and not one asked about cash flow.

It wasn't until 6pm this evening that the statement of cash flow was disclosed, and oh boy, it was WEAK!

Operational Cash Flow for the 1st Quarter 2013 stayed negative for the third consecutive quarter.
Q1 2012 + $6,878,000
Q1 2013 -$12,252,000 (-278%)

Q4 2011 +$9,551,000
Q4 2012 -$815,000 (-109%)

Q3 2011 +$5,935,000
Q3 2012 -$9,629,000 (-262%)

Trailing Twelve months ending March 31,2012 : + $25,782,000
Trailing Twelve months ending March 31,2013 - $17,637,000 (-168%)

(click to enlarge)

On April 13, 2012, the day prior to announcing the merger, shares of SSYS were under $35.00, with 21 million shares outstanding (for a $735 million market capitalization.)
So this is more than a stock going from $35 to $82 per share, this is about a company market capitalization going from $735 million to $3.2 billion in 1 year...when all they did was merge with another company to have the combined entity report $1.4 million Operating cash flow for 2012!

April 2012 : 21 million shares outstanding at $35 a share.

Market cap was $775 million

March 23,2013 38.5 million shares outstanding at $72 a share. Market cap was $2.7 billion

Today 41.1 million shares outstanding @ $84 a share. market cap is $3.4 billion

Carrying $822 million of GOODWILL is another great line item. and the HALF BILLION DOLLAR increase in INTANGIBLE assets

Company will add 4 million shares outstanding on January 1st 2014 for authorized issuance of stock to management.

today's numbers included a $300,000 tax credit. no mention of it anywhere.
From March Year end SEC disclosure:Q1 will have this $300,000 tax credit,
- In January of 2013, the President of the U.S. signed into law The American Taxpayer Relief Act of 2012, which contained provisions that retroactively extended the U.S. research and experimentation tax credit to 2012 and 2013. Because the extension did not occur by December 31, 2012, the Company's effective income tax rate for 2012 did not include the benefit of the credit for 2012. However, because the credit was retroactively extended to include 2012, the Company expects to recognize the full benefit of the 2012 credit in the first quarter of 2013. The Company estimates that its credit for 2012 is approximately $300,000. That amount will be reported as a discrete income tax benefit in the first quarter of 2013.

(THe original deal of the combined entities was valued at $1.4 billion, changed to $2.2 billion in Piper Merger disclosure during Q3 2013 in this DEF Proxy, and was changed again December (according to most recent 20F annual report, where Objet alone was valued at $1.4 billion:.

As described in note 2, in December 2012, for accou

nting purposes, Stratasys, Inc. was deemed to have

acquired Objet for a purchase price of

$1,341 million, and as a result, the Company recogn

ized $797.1 million in goodwill.

Only problem now is OBJET shareholders will need to get liquid. 6 month period is June 1,2013 (December 3rd 2012 was close of deal). Expect 45% of shares outstanding to be registered within 3 weeks.

Older Posts:

Stratasys Hyped Back Up