By Serkan Unal

The global economy remains stuck in a low gear, albeit it is starting to show some nascent indications of improvement. At best, however, the global output growth is expected to average about 3% per year for the next five years, according to Conference Board's Global Economic Outlook 2013. However, in several industries, companies have strong prospects for future growth, with their annualized long-term EPS growth forecasts exceeding the predicted rate of global output growth by a factor of at least 5. Now, only a limited number of high-yielding companies in the high-growth industries also boasts potential for superb long-term total return. Looking specifically at stocks of companies with yields above 3% and the EPS CAGR at or above 15% for the next five years, here is a glance at five stocks with capacity for outstanding long-term total returns.

Kinder Morgan, Inc. (KMI) operates the largest

Q1 2013 Earnings Call

May 02, 2013 11:00 am ET

Executives

Jonathan Peisner - Vice President of Investor Relations & Planning and Treasurer

James P. Hallett - Chief Executive Officer and Director

Eric M. Loughmiller - Chief Financial Officer, Principal Accounting Officer and Executive Vice President

Analysts

Matthew J. Fassler - Goldman Sachs Group Inc., Research Division

John Lovallo - BofA Merrill Lynch, Research Division

Bret David Jordan - BB&T Capital Markets, Research Division

Gary F. Prestopino - Barrington Research Associates, Inc., Research Division

Ryan Brinkman - JP Morgan Chase & Co, Research Division

Robert Labick - CJS Securities, Inc.

John M. Healy - Northcoast Research

John R. Lawrence - Stephens Inc., Research Division

William R. Armstrong - CL King & Associates, Inc., Research Division

Colin Daddino - Gabelli & Company, Inc.

Melinda Newman

Presentation

Operator

Good day, ladies and gentlemen, and welcome to the KAR

Merrill Lynch & Co., Inc.'s 2013 New York Auto Summit

March 27, 2013 10:20 am ET

Executives

Eric M. Loughmiller - Chief Financial Officer, Principal Accounting Officer and Executive Vice President

Jonathan Peisner - Vice President of Investor Relations & Planning and Treasurer

Analysts

John Lovallo - BofA Merrill Lynch, Research Division

Presentation

John Lovallo - BofA Merrill Lynch, Research Division

KAR Auction Services, ticker KAR, about a $2.7 billion market cap. KAR is a leading auction services provider in North America on the whole car and on the salvage side. They also provide used vehicle financing through their AFC division. Over the years, the company has been a very solid free cash flow generator, very stable business. They've also recently initiated a common dividend, $0.19 per share on a quarterly basis, which is about a 3.8% yield.

Now with us today, we have Eric Loughmiller,

Credit Suisse 15th Annual Global Services Conference

March 11, 2013 6:30 pm ET

Executives

Eric M. Loughmiller - Chief Financial Officer, Principal Accounting Officer and Executive Vice President

Jonathan Peisner - Vice President of Investor Relations & Planning and Treasurer

Presentation

Unknown Analyst

Hello, everyone. Our next presentation is from KAR Auction Services. Presenting with us are Eric Loughmiller, Executive Vice President and CFO; followed by Jonathan Peisner, VP and Treasurer.

With that, I'll turn it over to Eric to head things off. Just a note, there will be a breakout session in the Pine room following the presentation. Thank you.

Eric M. Loughmiller

Good afternoon. As you can see on this slide, we have a number of what we think are key investment highlights, and I'll cover these throughout my presentation. But to introduce the company, the main thing that we're really focused on right

Q4 2012 Earnings Call

February 21, 2013 11:00 am ET

Executives

Jonathan Peisner - Vice President of Investor Relations & Planning and Treasurer

James P. Hallett - Chief Executive Officer and Director

Eric M. Loughmiller - Chief Financial Officer, Principal Accounting Officer and Executive Vice President

Analysts

Matthew J. Fassler - Goldman Sachs Group Inc., Research Division

Christopher J. Ceraso - Crédit Suisse AG, Research Division

Gary F. Prestopino - Barrington Research Associates, Inc., Research Division

Robert Labick - CJS Securities, Inc.

John Lovallo - BofA Merrill Lynch, Research Division

Bret David Jordan - BB&T Capital Markets, Research Division

John R. Lawrence - Stephens Inc., Research Division

William R. Armstrong - CL King & Associates, Inc., Research Division

Colin Daddino - Gabelli & Company, Inc.

Presentation

Operator

Good day, ladies and gentlemen, and welcome to the KAR Auction Services, Inc. Q4 2012 Quarter Earnings Conference Call.

By Serkan Unal

JANA Partners, a hedge fund established and managed by Barry Rosenstein, currently has some $3.5 billion in assets under management. The hedge fund is a value-oriented entity specializing in event-driven investing. It primarily invests in U.S. equities, applying a combination of risk arbitrage, activist, market neutral and long/short equity strategies. The fund invests in undervalued companies with below-industry P/Es, high free cash flow and attractive dividend yields.

JANA Partners has just revealed its 13-F for the fourth quarter 2012. Interestingly, in the quarter, the hedge fund completely sold out of its high-profile technology positions, including Apple Inc. (AAPL), Google Inc. (GOOG) and Motorola Solutions, Inc. (MSI). Instead, the fund established large new positions in an online vehicle auctions and remarketing company Copart Inc. (CPRT), an internet infrastructure services firm VeriSign Inc. (VRSN), and The ADT Corporation (ADT), a provider of electronic security,

Do you like to follow earnings season? Although this earnings season is well underway, there are still many names that haven't yet reported their results. Here we focused on the 62 companies that are expected to report earnings in February.

From this list of companies, we focused on companies that have a dividend yield of at least 1% but not more than 8%. This allowed us to focus on the better quality credits. We found 24 companies that met the criteria.

We then looked through the earnings history for these 24 companies. We went back five quarters and selected the names with an average negative earnings surprise of at least -5%.

Finally, we researched their 13F's looking for those with bullish sentiment from institutional investors, with significant net institutional purchases over the last quarter representing at least 5% of share float. This indicates that institutional investors such as hedge fund

Based on my experience, following the trades of the insiders of public companies can be highly profitable. There have been studies made which show that when insiders sell a stock intensively, the stock is expected to underperform the market during the next six months following "intensive" insider selling.

Intensive insider selling can be defined by the following three criteria:

1. The stock was sold by three or more insiders within one month.
2. The stock was not purchased by any insiders in the month of intensive selling.
3. At least two sellers decreased their holdings by more than 10 percent.

In this article, I will feature three stocks that met these three criteria of intensive insider selling during the last 30 days.

1. Avago Technologies (AVGO) engages in the design, development, and supply of analog semiconductor devices with a focus on III-V based products. The company's product portfolio is extensive,

Top Stories
Cisco shares spike as net profit jumps 18%. Cisco's (CSCO) shares climbed 7.7% premarket after the company's FQ1 results beat analyst expectations, with net profit jumping 18% to $2.1B, adjusted EPS coming in at $0.48, and revenues rising 6% to $11.9B. Cisco also gave FQ2 guidance that was in line with consensus. The increase in earnings came despite weaker government demand dragging on U.S. sales and a 10% plunge in EMEA revenues, although Cisco's video business grew strongly, helped by its $5B acquisition of NDS.

Obama to demand extra $1.6T in tax revenues. President Obama will go into budget negotiations with Congressional leaders on Friday calling for a $1.6T increase in tax revenues over 10 years, double the $800B discussed during debt-ceiling talks in 2011. The sides are sticking to their guns over tax hikes for the rich, while Republicans also want entitlement changes. Today,

Q3 2012 Earnings Call

November 07, 2012 11:00 am ET

Executives

Jonathan Peisner - Vice President of Investor Relations & Planning and Treasurer

James P. Hallett - Chief Executive Officer and Director

Eric M. Loughmiller - Chief Financial Officer, Principal Accounting Officer and Executive Vice President

Analysts

John Murphy - BofA Merrill Lynch, Research Division

Gary F. Prestopino - Barrington Research Associates, Inc., Research Division

Christopher J. Ceraso - Crédit Suisse AG, Research Division

Craig R. Kennison - Robert W. Baird & Co. Incorporated, Research Division

Robert Labick - CJS Securities, Inc.

William R. Armstrong - CL King & Associates, Inc., Research Division

John M. Healy - Northcoast Research

Bret David Jordan - BB&T Capital Markets, Research Division

F. David Melka

Colin Daddino

Presentation

Operator

Good day, ladies and gentlemen. Welcome to the KAR Auction Services, Incorporated Third Quarter 2012 Earnings Conference Call. Today's call is

Top Stories
Eurozone PMI points to recession. Eurozone manufacturing PMI improved to an initial 45.3 in August from 44 in July, although it's still contracting, as is factory activity in Germany and France. The data "reinforces the prevailing view" that the economy will drop back into recession in Q3, said Markit. "The July and August readings would historically be consistent with GDP falling by around 0.5%-0.6% quarter-on-quarter."

Chinese factory activity contracts at faster pace. The August preliminary HSBC PMI for China fell to a nine-month low of 47.8 from 49.3 in July. New orders and new export orders contracted at a faster rate than in July, while inventories rose at a speedier pace. "Beijing must step up policy easing to lift infrastructure investment in the coming months," HSBC said.

ECB may keep quiet about bond-yield target. The ECB could set a yield target for buying sovereign debt

Q2 2012 Earnings Call

August 7, 2012 11:00 am ET

Executives

Jonathan L. Peisner – Treasurer, VP and Head-Investor Relations

James P. Hallett – Chief Executive Officer and Director

Eric M. Loughmiller – Chief Financial Officer and Executive Vice President

Analysts

Matthew Fassler – Goldman, Sachs & Co.

John Lovallo – Bank of America/Merrill Lynch

N. Richard Nelson – Stephens Inc.

Gary F. Prestopino – Barrington Research Associates, Inc.

Shreyas Patil – Credit Suisse Group

F. David Melka – New York Life Investment Management LLC

William Armstrong – CL King & Associates

Eli Halliwell – D. E. Shaw & Co., Inc.

Presentation

Operator

Good day, ladies and gentlemen, and welcome to the KAR Auction Services Incorporated Second Quarter 2012 Earnings Conference Call. Today’s call is being recorded. Today’s hosts will be Jim Hallett, Chief Executive Officer of KAR Auction Services Incorporated; Eric M. Loughmiller, Executive

Analysts have been sending out their research reports to their clients again this week. The following is a review of the most important downgrades for the week of June 4th till June 8th.

Cypress Semiconductor

Cantor Fitzgerald rates Cypress Semiconductor (CY) with a sell rating accompanied with a $11 price target. Analysts see some 16% downside potential for the company amidst substantial long term competitive pressures from Neonode (NEON). Furthermore architectural issues no longer warrant a premium valuation to its peers. Shares have fallen 22% year to date after the company lowered its first quarter guidance.

Sherwin Williams

Bank of America/Merrill Lynch lowered its advice for Sherwin Williams (SHW) from neutral to underperform with a $122 price target. Shares have some 7% downside according to analysts as the premium valuation leaves little room for error. Shares in the manufacturer and distributor in paint and

Q1 2012 Earnings Call

May 08, 2012 11:00 am ET

Executives

Eric M. Loughmiller - Chief Financial Officer, Principal Accounting Officer and Executive Vice President

James P. Hallett - Chief Executive Officer and Director

Analysts

Matthew J. Fassler - Goldman Sachs Group Inc., Research Division

John Lovallo - BofA Merrill Lynch, Research Division

N. Richard Nelson - Stephens Inc., Research Division

Gary F. Prestopino - Barrington Research Associates, Inc., Research Division

William R. Armstrong - CL King & Associates, Inc.

Christopher J. Ceraso - Crédit Suisse AG, Research Division

Craig R. Kennison - Robert W. Baird & Co. Incorporated, Research Division

Patrick Palfrey - RBC Capital Markets, LLC, Research Division

Presentation

Operator

Good day, ladies and gentlemen, and welcome to the KAR Auction Services, Inc. First Quarter 2012 Earnings Conference Call. Today's call is being recorded. Today's hosts will be Jim Hallett, Chief Executive Officer of

Do you worry about risk when choosing among stocks? One idea is to consider a stock's recent trading volatility as a measure of risk.

We ran a screen with this idea in mind, beginning with stocks that are rallying above their 20-day, 50-day, and 200-day moving averages. We screened these stocks with upward momentum for those with low volatility over the last month, with average intra-day trading volatility under 2% for the last month (meaning on average, these stocks have traded within 2% ranges each day over the last month).

Then to find those stocks with strong profitability, we also ran DuPont analysis on return on equity (ROE) profitability on these stocks. DuPont analyzes profitability by breaking up return on equity (net income/equity) into three components:

ROE

= (Net Profit/Equity)

= (Net profit/Sales)*(Sales/Assets)*(Assets/Equity)

= (Net Profit margin)*(Asset turnover)*(Leverage ratio)

Because increases in net margin and asset turnover are considered good