Investors on the prowl for top-quality holdings typically seek two things: a history of robust dividends and the potential for substantially greater capital gains than the broader market. These qualities can be pretty tough to find in just one investment. Yet the WisdomTree MidCap Dividend ETF (NYSE: DON), an exchange-traded fund with net assets of $1.6 billion, offers both strong dividends and the potential for robust capital gains. Since its launch in June 2006, this ETF is up about 113% versus the S&P 500’s roughly 65% gain. The fund’s annualized dividend of $1.98 a share translates to a solid yield… Read More

Investors on the prowl for top-quality holdings typically seek two things: a history of robust dividends and the potential for substantially greater capital gains than the broader market. These qualities can be pretty tough to find in just one investment. Yet the WisdomTree MidCap Dividend ETF (NYSE: DON), an exchange-traded fund with net assets of $1.6 billion, offers both strong dividends and the potential for robust capital gains. Since its launch in June 2006, this ETF is up about 113% versus the S&P 500’s roughly 65% gain. The fund’s annualized dividend of $1.98 a share translates to a solid yield of 2.4%, compared with the S&P’s current yield of only 1.9%. DON’s track record stems from its bogey, the WisdomTree MidCap Dividend Index. This benchmark is made up of common stocks chosen from the top 75% of the WisdomTree Dividend Index (by market capitalization) after the removal of the 300 largest companies. To be included in the MidCap Dividend Index, a stock must meet certain requirements: Pay regular cash dividends during the 12 months before the index’s annual rebalance each December; have a market capitalization of at least $100 million as of the rebalance date; have an average daily… Read More

Over the past few decades, we’ve seen many advances in how the stock market functions. Today, exchanges and brokerage houses exist almost entirely online, and everyone is competing for microseconds of speed. We’ve also seen the idea of “investing” evolve into something much more advanced and complicated than it was in the early days. I’ve spent my entire 18-year career immersed in the finance world. And in my experience, no matter what data, methods, techniques, witchcraft, mojo or voodoo you choose to use for your investments, it is absolutely critical that you understand what… Read More

Over the past few decades, we’ve seen many advances in how the stock market functions. Today, exchanges and brokerage houses exist almost entirely online, and everyone is competing for microseconds of speed. We’ve also seen the idea of “investing” evolve into something much more advanced and complicated than it was in the early days. I’ve spent my entire 18-year career immersed in the finance world. And in my experience, no matter what data, methods, techniques, witchcraft, mojo or voodoo you choose to use for your investments, it is absolutely critical that you understand what you’re doing. If not, you’re just another amateur grasping for success. The truth is, today’s “game” requires an increased arsenal of tactics and methods to prosper. And for the average investor, a powerful options strategy is one of those tools that should be used. #-ad_banner-#I realize some of you may have never considered using options in your own portfolio. That’s OK. I want to use today’s essay to explain some of the basics and demystify options so that you can use them to amplify your profit potential and limit the downside. Read More

Great companies typically have two things in common:  One is a clearly defined, best-in-class portfolio of products or services that’s leveraged into industry-leading market share and profits. The other is the ability to know when it’s time to begin re-inventing the business model to avoid stagnation. By this definition, the management consulting, IT services and outsourcing giant Accenture Plc (NYSE: ACN) is a great company. Founded in 1989 (after a name change from Arthur Anderson Consulting), Accenture has evolved into an industry leader. Thanks to proven expertise in dozens of industries, the firm does business with three-quarters of the domestically-focused… Read More

Great companies typically have two things in common:  One is a clearly defined, best-in-class portfolio of products or services that’s leveraged into industry-leading market share and profits. The other is the ability to know when it’s time to begin re-inventing the business model to avoid stagnation. By this definition, the management consulting, IT services and outsourcing giant Accenture Plc (NYSE: ACN) is a great company. Founded in 1989 (after a name change from Arthur Anderson Consulting), Accenture has evolved into an industry leader. Thanks to proven expertise in dozens of industries, the firm does business with three-quarters of the domestically-focused companies in the S&P 500. It has a large global footprint, too, with operations in 120 countries. Since 2010, annual revenues have risen by more than 40% to almost $33 billion and earnings are up nearly 80% to $4.71 per share. In the nine years since it initiated a dividend, Accenture increased its payout nearly seven-fold, to $2.04 a share. Shareholders have also enjoyed outsized capital gains. However, Accenture’s traditional businesses are fairly mature, portending  a substantially slower pace of expansion in coming years. Accenture is already adapting, though, by moving aggressively into one of the highest-growth… Read More

If you’re like me, then you never want to worry about money again… whether that means merely being financially independent or becoming filthy rich is beside the point. And while blue-chip stocks, index funds and dividend payers can keep the income flowing, the truth is these securities will take decades to amass real wealth. You’ll need something else if you’re after a seven-figure bank account: a “swing for the fences” strategy. So today I’m going to show you how to position yourself for “out-of-the-park” gains without jeopardizing your safer investments. I… Read More

If you’re like me, then you never want to worry about money again… whether that means merely being financially independent or becoming filthy rich is beside the point. And while blue-chip stocks, index funds and dividend payers can keep the income flowing, the truth is these securities will take decades to amass real wealth. You’ll need something else if you’re after a seven-figure bank account: a “swing for the fences” strategy. So today I’m going to show you how to position yourself for “out-of-the-park” gains without jeopardizing your safer investments. I call it the “20% solution.” The idea behind it is simple: dedicate a portion of your portfolio to aggressive growth stocks. Let me explain. My daughter is in private school. In a few years she may go to college. Eventually she’ll need a car, an apartment and someday a wedding. All of which cost money. For her and the rest of my family, I’ve allocated 80% of my portfolio to safe, reliable assets. These are securities that I know will allow me to keep living comfortably and adequately provide for my family. We want this money to grow hands-free. So… Read More

In April 2015, I recommended that my Top 10 Stocks readers buy Kraft Foods (Nasdaq: KRFT). Within 24 hours of my recommendation, the company received a takeover offer from The H. J. Heinz Company — backed by legendary investor Warren Buffett’s Berkshire Hathaway and Brazilian private equity giant 3G Capital. Powered by this top-tier endorsement as well as a considerable premium to market on the offer, Kraft soared 45% in two weeks following my recommendation. It was one of the most dramatic wins I’ve ever had the pleasure to be involved with. Read More

In April 2015, I recommended that my Top 10 Stocks readers buy Kraft Foods (Nasdaq: KRFT). Within 24 hours of my recommendation, the company received a takeover offer from The H. J. Heinz Company — backed by legendary investor Warren Buffett’s Berkshire Hathaway and Brazilian private equity giant 3G Capital. Powered by this top-tier endorsement as well as a considerable premium to market on the offer, Kraft soared 45% in two weeks following my recommendation. It was one of the most dramatic wins I’ve ever had the pleasure to be involved with. #-ad_banner-#But the truth is that my readers and I nearly missed out on the opportunity. Fortunately I paid attention to the right metrics. The fact is, the timing of my investment was complete serendipity. I had no inkling that a buyout was on tap for Kraft. Had I waited 24 hours to release my April issue, we would have missed the stock’s double-digit bounce entirely. But looking back, there were a number of indicators — some of which were downright glaring — that showed Kraft was ripe for this kind of lavish attention. Read More

For long-term investors, certain characteristics can make a stock virtually irresistible. Key attributes include a compelling portfolio of indispensable products, dominant market share, consistently strong cash flow and clear avenues for future growth. Indeed, such virtues are common in what StreetAuthority refers to as “Forever Stocks.” The term applies to shares of firms that are so financially sound and perform so reliably over the long haul, that investors can feel reasonably safe owning shares for decades. I see such promise in Amphenol Corp. (NYSE: APH), a top producer of electronic and fiber optic connectors, cable and interconnect systems. Amphenol displays… Read More

For long-term investors, certain characteristics can make a stock virtually irresistible. Key attributes include a compelling portfolio of indispensable products, dominant market share, consistently strong cash flow and clear avenues for future growth. Indeed, such virtues are common in what StreetAuthority refers to as “Forever Stocks.” The term applies to shares of firms that are so financially sound and perform so reliably over the long haul, that investors can feel reasonably safe owning shares for decades. I see such promise in Amphenol Corp. (NYSE: APH), a top producer of electronic and fiber optic connectors, cable and interconnect systems. Amphenol displays nearly all of the strengths that long-term investors covet. And with a couple relatively small tweaks, this company could attain the status of Forever Stock. In terms of financial performance, the firm could hardly be more reliable. As the following table shows, revenue, earnings and free cash flow all grew significantly in every full year but one since 2005. Sales, for example, have been compounding by about 13% annually. Any declines were limited to the Great Recession, and in all cases strong growth resumed within a year. Industry-leading profit margins were a consistent theme throughout the period. Amphenol Corp. Financial… Read More

As a resident of New York State’s Hudson Valley, I have met dozens of local citizens who worked for International Business Machines Corp. (NYSE: IBM) in its heyday. A massive set of layoffs in 1993 meant that Big Blue’s local presence is now almost gone, and the local economy has yet to recover. Two decades later, IBM is still backpedaling. A current initiative, known as Project Chrome, is culling another 100,000 employees from IBM’s global employment base. In some respects, CEO Ginni Rometty has no choice. IBM’s revenue base has already peaked and is expected to drop a precipitous 10%… Read More

As a resident of New York State’s Hudson Valley, I have met dozens of local citizens who worked for International Business Machines Corp. (NYSE: IBM) in its heyday. A massive set of layoffs in 1993 meant that Big Blue’s local presence is now almost gone, and the local economy has yet to recover. Two decades later, IBM is still backpedaling. A current initiative, known as Project Chrome, is culling another 100,000 employees from IBM’s global employment base. In some respects, CEO Ginni Rometty has no choice. IBM’s revenue base has already peaked and is expected to drop a precipitous 10% this year to around $83.5 billion. IBM has few fans among Wall Street analysts.  As Goldman Sachs’ Bill Shope wrote, “the company faces many secular pressures and transformation costs ahead. His $146 price target represents roughly 15% downside.” Why is IBM so unpopular with many tech analysts? The company’s focus on slashing expenses and buying back massive amounts of stock to maintain earnings per share is considered to be a last-ditch attempt to artificially maintain investor support. But it’s not working. Shares of IBM have lagged the Nasdaq Composite index by 91 percentage points over the past three years. Read More

Did it really work? It’s a question many investors are pondering seven months after the conclusion of the Federal Reserve’s massive quantitative easing (QE) program, in which trillions of dollars were pumped into the banking system from 2008 to 2014. The aim was to shock the ailing economy into recovery by providing a flood of cash for banks to lend at ultra-cheap rates. It was an unprecedented move that possibly forestalled a more severe economic downturn, perhaps even a depression. However, the program continued long after the U.S. economy was out of crisis, mainly because of the belief that QE… Read More

Did it really work? It’s a question many investors are pondering seven months after the conclusion of the Federal Reserve’s massive quantitative easing (QE) program, in which trillions of dollars were pumped into the banking system from 2008 to 2014. The aim was to shock the ailing economy into recovery by providing a flood of cash for banks to lend at ultra-cheap rates. It was an unprecedented move that possibly forestalled a more severe economic downturn, perhaps even a depression. However, the program continued long after the U.S. economy was out of crisis, mainly because of the belief that QE could generate robust, sustainable long-term growth by facilitating lending, business investment and hiring. The economy is so complex that such a hypothesis may take years to confirm or disprove. But in the meantime, there are plenty of compelling signs that QE is nothing near the growth driver that policymakers had hoped. Vulnerable Economy Perhaps the most obvious sign of QE’s limits is how quickly the economy lost steam when the program ended. After surging by a 5% annual rate in the third quarter of 2014, gross domestic product (GDP) rose just 2.2% in the fourth quarter. The slump in growth… Read More

Average Gains of 144% — Is it Possible? One of the top trading experts in the world has created a unique, two-part options strategy with average annualized gains that seem too good to be true: 89% in 2012… 144% in 2013… 211% in 2014. I can’t guarantee you’ll have the same kind of success. But if history is any guide, it could help you make annualized gains of 220%… 508%… even 2,201% — which is what it has delivered over the past few weeks. We’ve put together a… Read More

Average Gains of 144% — Is it Possible? One of the top trading experts in the world has created a unique, two-part options strategy with average annualized gains that seem too good to be true: 89% in 2012… 144% in 2013… 211% in 2014. I can’t guarantee you’ll have the same kind of success. But if history is any guide, it could help you make annualized gains of 220%… 508%… even 2,201% — which is what it has delivered over the past few weeks. We’ve put together a free webpage revealing the details behind this strategy. Click here to go there now. Sincerely, Frank Bermea Publisher, Profitable Trading P.S. This expert just revealed his latest trade. He expects it to deliver 106% — but only if you take advantage immediately. Click here to get all the details. All major U.S. indices except for the blue-chip Dow Jones Industrial Average closed higher last week, led by the tech-heavy Nasdaq 100 and small-cap Russell 2000,… Read More

Over the last decade, we’ve published thousands of in-depth research reports. Everything from high dividend payers, game-changing innovations, top stocks in emerging markets — you name it, we’ve told you how to profit from it. But the research I’m going to tell you about today stands head and shoulders above everything else we’ve ever done. In fact, it ranks as our single most popular report of all time. Each year, we update the report with our team’s most recent findings. And frankly, I think what we’ve come up… Read More

Over the last decade, we’ve published thousands of in-depth research reports. Everything from high dividend payers, game-changing innovations, top stocks in emerging markets — you name it, we’ve told you how to profit from it. But the research I’m going to tell you about today stands head and shoulders above everything else we’ve ever done. In fact, it ranks as our single most popular report of all time. Each year, we update the report with our team’s most recent findings. And frankly, I think what we’ve come up with this year represents a major breakthrough. We call it: “The 10 Stocks To Own For The Rest Of Your Life” #-ad_banner-#You’ve probably heard us talk about the idea of “Forever Stocks” before. Simply put, these are solid companies that we think you can feel confident buying and holding onto for years, even decades. And we believe they will continue rewarding investors for years on end… crushing the market over the long run. They’re the kinds of stocks you’d ideally want to own forever. Owning solid, stable companies… Read More