Both Visa (V) and MasterCard (MA) were rising on Monday, thanks in part to upgrades from Robert W. Baird.
Analysts David Koning and Adam Dahms boosted their opinions on both stocks to Outperform. They have a $245 price target on Visa, and note that the risk/reward has become more attractive, in our view, as the stock enjoys strong secular tailwinds in its business model, solid free cash flow generation, and what they see as exaggerated concerns about regulatory and competitive issues. They call the stock�� recent pullback as an attractive entry point, given the stock�� ��ompelling valuation.��/p>
Read more detailed estimates below:
Strong business model/solid balance sheet:
We think EPS growth in the mid-teens is sustainable over time behind roughly 10%+ revenue growth (the international segment is now about 50% of revenue and can grow rapidly).
The strong balance sheet/FCF typically in excess of earnings allows for strong buyback activity (could comfortably add 5%/year to EPS) or could allow for the accretive purchase of Visa Europe.
Top 5 Undervalued Companies To Buy Right Now: PGT Inc.(PGTI)
PGT, Inc. engages in the manufacture and supply of residential impact-resistant windows and doors. The company offers impact-resistant products, including heavy-duty aluminum or vinyl frames with laminated glass to provide protection from hurricane-force winds and wind-borne debris. It also provides a range of non-impact-resistant aluminum and vinyl frame windows and doors; Architectural Systems line of products, which offer protection from hurricane-force winds and wind-borne debris for mid-and high-rise buildings; and non-glass vertical and horizontal sliding panels for porch enclosures, such as vinyl-glazed and aluminum-framed products used for enclosing screened-in porches that provide protection from inclement weather. The company markets its products under the WinGuard, PremierVue, PGT Architectural Systems, Eze-Breeze, and SpectraGuard brand names. PGT, Inc. offers its products to residential new construction, and home repair and remodeling end markets through windo w distributors, building supply distributors, window replacement dealers, and enclosure contractors. It operates in the southeastern United States, the Gulf Coast, Coastal mid-Atlantic, the Caribbean, Central America, and Canada. The company was formerly known as JLL Window Holdings, Inc. and changed its name to PGT, Inc. in January 2004. PGT, Inc. was founded in 1980 and is based in North Venice, Florida.
Advisors' Opinion:- [By Seth Jayson]
There's no foolproof way to know the future for PGT (Nasdaq: PGTI ) or any other company. However, certain clues may help you see potential stumbles before they happen -- and before your stock craters as a result.
5 Best Industrial Disributor Stocks To Own Right Now: Joy Global Inc (JOY)
Joy Global Inc. is a manufacturer and servicer of high productivity mining equipment for the extraction of coal and other minerals and ores. The Company's equipment is used in mining regions throughout the world to mine coal, copper, iron ore, oil sands, and other minerals. The Company's underground mining machinery segment (Joy Mining Machinery) is a manufacturer of underground mining equipment for the extraction of coal and other bedded minerals and offers service locations near mining regions worldwide. The Company's surface mining equipment segment (P&H Mining Equipment) is a producer of surface mining equipment for the extraction of ores and minerals and provides operational support for many types of equipment used in surface mining. During the fiscal year ended October 28, 2011, the Company completed the acquisition of LeTourneau. On December 30, 2011, it acquired approximately 41.1% of Int'l Mining Machinery Holdings Limited's common stock to 69.2%.
Underground Mining Machinery
Joy is a producer of underground mining machinery for the extraction of coal and other bedded materials. The Company has facilities in Australia, South Africa, the United Kingdom, China and the United States, as well as sales offices and service facilities in India, Poland and Russia. Joy products include continuous miners, shuttle cars, flexible conveyor trains, complete longwall mining systems (consisting of powered roof supports, an armored face conveyor and a longwall shearer), continuous haulage systems, battery haulers, roof bolters, crushing equipment and conveyor systems. Joy also maintains a network of service and replacement parts distribution centers to rebuild and service equipment, and to sell replacement parts and consumables in support of its installed base.
This network includes five service centers in the United States and eight outside the United States, all of which are located in underground mining regions. This segment has a range of products, including Continu! ous miners, Longwall shearers, Powered roof supports, Armored face conveyors, Shuttle cars, Flexible conveyor trains (FCT), Roof bolters, Battery haulers, Continuous haulage systems, Feeder breakers, Conveyor systems and High angle conveyors.
Electric, crawler mounted continuous miners cut material using carbide-tipped bits on a horizontal rotating cutterhead. Once cut, the material is gathered onto an internal conveyor and loaded into a haulage vehicle or continuous haulage system for transportation to the feeder breaker.
A longwall shearer trams back and forth on an armored face conveyor parallel to the material face. Using carbide-tipped bits on cutting drums at each end, the shearer cuts 1.2 to 8.0 meters high on each pass and simultaneously loads the material onto the armored face conveyor for transport through the stageloader to the conveyor belt.
Roof supports use hydraulic cylinders to perform a jacking-like function that supports the mine roof during longwall mining. The supports self-advance with the longwall shearer and armored face conveyors, resulting in controlled roof falls behind the supports. A longwall face may range up to 400 meters in length.
Armored face conveyors are used in longwall mining to transport material cut by the shearer away from the longwall face. Shuttle cars, a type of rubber-tired haulage vehicle, are electric-powered using an umbilical cable. Their purpose is to transport material from continuous miners to the feeder-breaker where chain conveyors in the shuttle cars unload the material. Some models of Joy shuttle cars can carry up to 22 metric tons of coal.
FCT�� are electric-powered, single operator, self-propelled conveyor systems that provide continuous haulage of material from a continuous miner to the main mine belt. The FCT uses a rubber belt similar to a standard fixed conveyor. The FCT�� conveyor operates independently from the track crawler system, allowing the FCT to move and convey mater! ial simul! taneously. Available in lengths of up to 570 feet, the FCT is able to negotiate multiple 90-degree turns in an underground mine infrastructure.
Roof bolters are drills used to bore holes in the mine roof and to insert long metal bolts into the holes to reinforce the mine roof. Battery haulers perform a similar function to shuttle cars and are powered by portable rechargeable batteries. Battery haulers feature a flexible center joint allowing them to maneuver in tight conditions and do not use a trailing cable, which allows for maximum flexibility in the mining process.
The continuous chain haulage system provides a similar function as the FCT, transporting material from the continuous miner to the main mine belts on a continuous basis, versus the batch process used by shuttle cars and battery haulers, but it does so with different technology. The continuous chain haulage system is made up of a series of connected bridge structures that utilize chain conveyors that transport the coal from one bridge structure to the next bridge structure and ultimately to the main mine belts.
Feeder breakers are a form of crusher that use rotating drums with carbide-tipped bits to break down the size of the mined material for loading onto conveyor systems or feeding into processing facilities. Mined material is typically loaded into the feeder breaker by a shuttle car or battery hauler in underground applications and by haul trucks in surface applications.
Conveyor systems are used in both above and under-ground applications. The primary components of a conveyor system are the idlers, idler structure, and the terminal which itself consists of a drive, discharge, take-up and tail loading section. The Continental high angle conveyor is a method for elevating or lowering materials continuously from one level to another at steep angles. The Continental technology uses fully equalized pressing mechanism, which secures material towards the center of the belt while sealing the! belt edg! es together. The high angle conveyor has throughput rates ranging from 0.30 to 4,400 tons per hour.
Surface Mining Equipment
P&H is the producer of electric mining shovels and a producer of walking draglines for open-pit mining operations. P&H has facilities in Australia, Brazil, Canada, Chile, China, South Africa, and the United States, as well as sales offices in India, Mexico, Peru, Russia, the United Kingdom, and Venezuela. P&H products are used in mining copper, coal, iron ore, oil sands, silver, gold, diamonds, phosphate, and other minerals and ores. P&H also provides logistics and a range of life cycle management service support for its customers through a global network of P&H MinePro Services operations strategically located within mining regions. In some markets, P&H MinePro Services also provides electric motor rebuilds and other selected products and services to the non-mining industrial segment. P&H also sells used electric mining shovels, drills and parts.
Mining shovels are used to load copper ore, coal, iron ore, oil sands, gold, and other mineral-bearing materials and overburden into trucks or other conveyances. There are two types of mining loaders: electric shovels and hydraulic excavators. Electric mining shovels feature dippers, allowing them to load volumes of material, while hydraulic excavators are smaller. The electric mining shovel�� use is determined by the size of the mining operation and the availability of electricity. Dippers can range in size from 12 to 82 cubic yards.
Draglines are primarily used to remove overburden to uncover coal or mineral deposits and then to replace the overburden as part of reclamation activities. P&H�� draglines are equipped with bucket sizes ranging from 30 to 160 cubic yards. Surface mines require breakage or blasting of rock, overburden, or ore using explosives. P&H MinePro Services provides life cycle management support, including equipment erections, relocations, inspections, service, r! epairs, r! ebuilds, upgrades, used equipment, new and used parts, enhancement kits and training. Each life cycle management program is designed for a particular customer and that customer�� application of the Company�� equipment.
Advisors' Opinion:- [By Carlton Delfeld]
Steve Halpern: Well, let's walk through a couple of stock ideas, so the people can understand what it is you recommend, and one of those ideas is Joy Global (JOY), a large-cap company in the mining machinery sector, and you note that the stock has been hurt by overall weakness in the sector, yet you consider the shares to be cheap. Could you expand on that view?
5 Best Industrial Disributor Stocks To Own Right Now: ON Semiconductor Corporation(ONNN)
ON Semiconductor Corporation, together with its subsidiaries, designs, manufactures, and markets semiconductor components for electronic systems and products worldwide. The company provides computing and consumer products, including analog IC solutions for power management in VCORE, DDR, and chipsets for audio, video, and graphics processing subsystems; and AC-DC conversion solutions for the power supplies in computing and consumer applications. It also offers automotive-grade low-dropout (LDO) voltage regulators, drivers, and ignition IGBTs; mixed-signal custom application specific integrated circuits (ASICs) and automotive application specific standard products (ASSPs) for industrial, medical imaging, computing, and consumer applications; clock and timing management products for industrial, communications, and consumer applications; ASICs and ASSPs that are used in defibrillators, pacemakers, neurostimulators, hearing health applications, glucose meters and patient monit oring product; and standard-cell ASICs conversions for the military/aerospace, industrial, communications, computing, and consumer markets, as well as serial non-volatile memories (EEPROM) solutions for data parameter storage in a range of electronic products. In addition, the company provides standard products comprising diodes and transistors, configurable analog products, LED drivers, EEPROMs and power MOSFETs for consumer electronics, computing, wireless and wired communications, automotive electronics, industrial electronics, and medical markets. Further, it supplies analog and mixed signal integrated circuits, microcontrollers, DSPs, analog and digital tuners, intelligent power modules, memory, and discrete semiconductors for the consumer, industrial, and automotive markets. The company sells its products to original equipment manufacturers, distributors, and electronic manufacturing service providers. ON Semiconductor Corporation was founded in 1999 and is headquarter ed in Phoenix, Arizona.
Advisors' Opinion:- [By Rich Smith]
This series, brought to you by Yahoo! Finance, looks at which upgrades and downgrades make sense, and which ones investors should act on. Today, our headlines feature a downgrades for both Intel (NASDAQ: INTC ) and ON Semiconductor (NASDAQ: ONNN ) . But the news isn't all bad, so before we address those two, let's start on a bright note.
- [By Jake L'Ecuyer]
ON Semiconductor (NASDAQ: ONNN) shares gained as well, rising 2.84 percent to $9.77 after the company announced it would acquire assets from Platinum Energy for $92 million in cash after the close yesterday.
- [By Rich Bieglmeier]
Drumroll please, and the #1 favorite, el numero uno stock under $10 is��ON Semiconductor Corp (NASDAQ:ONNN).� ON designs, manufactures and markets a portfolio of semiconductor components that address the design needs of electronic systems and products. The Company operates in three segments: Application Products Group, Standard Products Group, and SANYO Semiconductor Products Group. The Company's power management semiconductor components control, convert, protect and monitor the supply of power to the different elements within a variety of electronic devices. The Company's portfolio of power and signal management, logic, discrete and custom devices focuses customers in automotive, communications, computing, consumer, industrial, light emitting diode (LED) lighting, medical, military/aerospace, smart grid and power applications. The Company's data management semiconductor components provide clock management and data flow management for precision computing and communications systems.
5 Best Industrial Disributor Stocks To Own Right Now: Meadwestvaco Corporation (MWV)
MeadWestvaco Corporation (MWV) provides packaging solutions to the healthcare, personal care and beauty, food, beverage, home and garden, tobacco, and commercial print industries worldwide. The company?s Packaging Resources segment produces bleached paperboard, Coated Natural Kraft paperboard, and linerboard. Its Consumer Solutions segment designs and produces multi-pack cartons and packaging systems primarily for the beverage take-home and tobacco market. In addition, it offers a range of converting and consumer packaging solutions, including printed plastic packaging and injection-molded products used for personal care, beauty, and pharmaceutical products; and dispensing and sprayer systems for personal care, beauty, healthcare, fragrance, and home and garden markets. In addition, this segment has a pharmaceutical packaging contract with a mass-merchant, and manufactures equipment that is leased or sold to its beverage and dairy customers to package their products. The c ompany?s Consumer & Office Products segment manufactures, sources, markets, and distributes school and office products, time-management products, and envelopes in North America and Brazil through both retail and commercial channels. Its Specialty Chemicals segment manufactures, markets, and distributes specialty chemicals derived from sawdust and other byproducts of the papermaking process in North America, South America, and Asia. Its products include activated carbon used in emission control systems for automobiles and trucks, as well as for water and food purification applications, and performance chemicals used in printing inks, asphalt paving, adhesives, and lubricants for the agricultural, paper, and petroleum industries. MWV?s Community Development and Land Management segment involves in real estate development, forestry operations, and leasing activities. MeadWestvaco Corporation was founded in 1888 and is based in Glen Allen, Virginia.
Advisors' Opinion:- [By Eric Volkman]
MeadWestvaco (NYSE: MWV ) is continuing to deliver payouts for its shareholders. The company has declared a fresh quarterly dividend of $0.25 per share, to be handed out on September 3 to shareholders of record as of August 31.�That amount matches each of the company's regular quarterly payouts stretching back to late 2010. Prior to that, it paid $0.23 per share.
- [By ovenerio]
The company has a current ROE of 14.5% which is higher than the industry median. Also, it is higher than the ones exhibit by Sealed Air Corp (SEE) and Sonoco Products Co (SON). In general, analysts consider ROE ratios in the 15-20% range as representing attractive levels for investment. So for investors looking at those levels, MeadWestvaco Corp (MWV) and Packaging Corp of America (PKG) could be the options. It is very important to understand this metric before investing, and it is important to look at the trend in ROE over time.
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