One of the Best Small-Cap "Sparks" You Can Find

From the Editor: We've been showing you Sid's research because his Small-Cap Rocket strategy gives you a brand-new way to make money. You've seen the charts. But now let's look at another one of the "sparks" Sid likes to see before he recommends a stock. This one is powerful, and typically way off Wall Street's radar...

We all know that - in the end - earnings drive share prices. And most people understand the impact that beating earnings estimates can have on a company's stock. Just look at the way the financial media will dissect the information and report the highlights - sometimes to the point of redundancy. But there's another earnings event - one far off the media's radar - that is much more powerful. That's why I want to show you how to find them today.

These "sparks," as you'll see, actually allow you to get in ahead of the Big Boys.

And that's when the magic begins...

A "Green Light" for Big Gains

Analysts' upward earnings revisions just don't get much press. That's mostly because earnings revisions aren't as sexy as when a company like Apple Inc. (Nasdaq: AAPL) blows the doors off expectations.

Here's a 60-second breakdown of how earnings estimates are derived, in case you're not familiar with them.

An analyst identifies a catalyst that has yet to be priced into the market. These catalysts could be any one or a combination of improving trends in recent earnings, or upbeat management comments to the public, or the announcement of a key contract or new technology, or  an improvement in the macro-economic condition of an entire industry, just to name a few.

Once the analyst identifies the catalysts, he can go to work crunching the numbers in order to come up with new projected earnings and price targets.

It doesn't really matter why the estimate was revised - as long as it's logical, and indicates the potential for future profits is greater than it was before.

Once the estimate is revised, the analyst puts together a report - complete with the rationale behind the improved estimates - and sends it out to institutional investors and preferred clients.

The new estimate is added to the existing group of estimates, and an average consensus estimate is generated.

When the consensus estimates are improving, it indicates analysts are expecting earnings to improve - and that catches the eye of institutional investors (or the Big Boys, as I like to refer to them) who have literally trillions of dollars to invest.

Put the Big Boys to Work for You

Here's where the fun starts.

Unlike you and I, the Big Boys can't just go out and establish an entire position in the click of a button or a single call to a broker. Instead, they need to strategically build that position over time in order to not push the price up too high, too fast.

Because of that, it can take institutional investors weeks - and even months, in some cases - to fully build a position.

Now, multiply one institutional investor by 10, 20, or more and you've got a rally under way that can last months and push a stock price to new highs - making a lot of money for investors who were savvy enough to get in ahead of the big boys.

That's one of the goals in my Small-Cap Rocket Alert - to get in ahead of the Big Boys and establish positions in exciting small-cap opportunities. And one of my favorite strategies is to focus on companies with improving earnings estimates.

It's really pretty straightforward. If earnings are being revised to the upside, then there is a pretty darn good chance that there is a new catalyst pushing those revisions higher.

My team uses a lot of expensive data feeds in order to track earnings estimate trends - but you can track them on a company-specific level using a free service such as Yahoo! Finance.

Let me show you how...

Tracking the Trends Couldn't Be Easier

Enter the ticker of a company you're interested into Yahoo! Finance's Look Up box. That takes you to a page with a summary of the company.

Most people understand that much, already. It's what comes next that might be new to you...

Once you're on the summary page, scroll down the list of choices on the left side of the page and click on the link titled Analyst Estimates.

Since we've already talked about it, let's use Apple as an example:

Enlarge

After you arrive at the Analyst Estimates page, you'll want to scroll down to the section titled EPS Revisions.

What we see when we look at AAPL shares is that analysts have upwardly revised current year (September 2013) earnings 18 times in the last 30 days and 10 times in the last 7 days alone.

That's pretty darn good, and it probably has a lot to do with why the stock has climbed nearly 12% since September 30, 2013.

I'm only using Apple as a demonstration because we're all familiar with the company. I'm not making a recommendation one way or the other.

But now that you see the correlation between earnings estimates and performance, I invite you to look at some of you favorite stocks and see how the analyst community is viewing them.

Enlarge

If you see an improving trend over the last week or month, you could experience improved performance in the stock - which of course we all like to see.

On the other hand, if a company you're currently holding in your portfolio is experiencing a wave of downward revisions, you might want to consider selling it or, at the very least, tightening up your trailing stop.

Speaking of trailing stops, we'll wrap up today with a quick discussion of how to effectively use them.

Common wisdom thinks of a trailing stop as a way to protect your downside - and that's absolutely correct.

But what most investors overlook is that using trailing stops is a great way to capture profits on your winners, too.

Instead of using typically losing strategies, like second-guessing or attempting to time the market,  it's much easier to initiate a trailing stop, strategically tighten it up as your positions increases in value, and then let the stop take you out - hopefully with a tidy profit along the way.

In the coming weeks I'll be covering even more of the techniques we use at the Small-Cap Rocket Alert. I hope you enjoy them and that they give you some new tools to put in your personal investing tool belt.

Top Cheap Stocks To Own For 2014

The new tax exemption program implemented by the Japanese government could shift billions of yen from savings to equities and help more and more Japanese investors discover the uncharted territory of stock investing, writes MoneyShow's Jim Jubak, also of Jubak's Picks.

For the next two weeks, the battle over shutting down the US government and raising the debt ceiling is likely to keep downward pressure on the US dollar. And that's likely to mean a stronger yen, since the Japanese currency once again looks like a favorite safe haven.

A stronger yen is bad news for Tokyo stock prices, by and large, since Prime Minister Shinzo Abe's program for stimulating growth (and inflation) in Japan hinges on a cheaper yen to boost Japanese exports. Yesterday, September 30, for example, the Nikkei 225 stock index dropped 2.06% with such exporters as Hitachi (down 2.71%), Kubota (down 3.28%), and Toyota Motor (down 2.64%) leading the retreat.

But before you throw in the towel on your Japanese positions—assuming that you've gotten over the habit of ignoring Japan's equity market ingrained during the country's lost decades—I'd note that the Japanese government is riding to the rescue of Japanese stocks beginning today. That effort makes the current weakness a potential buying opportunity, rather than a moment to run for the hills.

Top Cheap Stocks To Own For 2014: Kimber Resources Inc(KBX)

Kimber Resources Inc., a junior mineral resource company, engages in the acquisition, exploration, and development of mineral resource properties in Mexico. The company primarily explores for gold and silver deposits. Its principal property includes the Monterde Property, which consists of 35 mineral concessions totaling approximately 29,296 hectares located in the Sierra Madre mountains of southwestern Chihuahua State. Kimber Resources Inc. was founded in 1995 and is headquartered in Vancouver, Canada.

Top Cheap Stocks To Own For 2014: Merck & Company Inc.(MRK)

Merck & Co., Inc. provides various health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products. The company?s Pharmaceutical segment provides human health pharmaceutical products, such as therapeutic and preventive agents for the treatment of human disorders in the areas of bone, respiratory, immunology, dermatology, cardiovascular, diabetes and obesity, infectious diseases, neurosciences and ophthalmology, oncology, vaccines, and women's health and endocrine. This segment also offers human health vaccines, such as preventive pediatric, adolescent, and adult vaccines. Its Animal Health segment discovers, develops, manufactures, and markets animal health products. This segment offers antibiotics, anti-inflammatory products, vaccines, products for the treatment of fertility disorders, and parasiticides for cattle, swine, horses, poultry, dogs, cats, salmons, and fish. The Consumer Care segment develops, manufac tures, and markets over-the-counter, foot care, and sun care products. Its over-the-counter product line includes non-drowsy antihistamines; treatment for occasional constipation; decongestant-free cold/flu medicine for people with high blood pressure; nasal decongestant spray; and treatment for frequent heartburn. This segment?s foot care products comprise topical antifungal, and foot and sneaker odor/wetness products; and sun care products include sun care lotions, sprays and dry oils; and sunburn relief products. The company serves drug wholesalers and retailers, hospitals, government agencies, physicians, physician distributors, veterinarians, animal producers, and managed health care providers, as well as food chain and mass merchandiser outlets in the United States and Canada. Merck & Co., Inc. was founded in 1891 and is headquartered in Whitehouse Station, New Jersey.

Advisors' Opinion:

• [By Chris Hill]

  Shares of Intel (NASDAQ: INTC  ) rise after the tech giant announces that Samsung will use Intel chips in the next-generation Galaxy tablet. Merck (NYSE: MRK  ) hits a five-year high after releasing encouraging results from a phase 1 study on the treatment of advanced melanoma. �Pandora (NYSE: P  ) hits a sour note on news that Apple has reached a music licensing deal with Warner Music Group. And General Motors (NYSE: GM  ) rises on strong sales numbers. In this installment of Investor Beat, our analysts talk about four stocks making moves.

• [By Dan Carroll]

  Newly approved diabetes drug Invokana is another drug that investors need to keep an eye on. The drug has already been favorably compared to Merck's (NYSE: MRK  ) diabetes behemoth Januvia -- a drug that, along with similar diabetes treatment Janumet, posted a whopping $5.7 billion in sales in 2012. If Invokana landed even half of that, it'd provide a major boost to J&J's future pharmaceutical sales.

• [By Brian Orelli]

  At least some companies will
  With three players in the mix -- in addition to Bristol and Roche, Merck's (NYSE: MRK  ) lambrolizumab works using the same mechanism of action -- it isn't clear which company will win this game. Lambrolizumab produced a 52% response rate at the highest dose tested. Roche's MPDL3280A produced a 36% overall response rate in a variety of different types of tumors that stained positive for its target. Without any control arms in the phase 1 studies, though, it's impossible to compare the trials and declare a winner.

Best Cheap Companies To Buy Right Now: First Busey Corporation(BUSE)

First Busey Corporation operates as the bank holding company for Busey Bank that provides various retail and commercial banking products and services to individual, corporate, institutional, and governmental customers in the United States. It accepts noninterest-bearing demand, interest-bearing transaction, savings, money market, and time deposits. The company?s loan portfolio includes commercial, agricultural, and real estate loans; individual, consumer, installment, first mortgage, and second mortgage loans; and commercial real estate, residential real estate, and consumer loans. It also provides money transfer, safe deposit, fiduciary, automated banking, and automated fund transfer services. In addition, the company provides asset management, brokerage, and fiduciary services, including financial planning, investment management, retirement planning, brokerage, and trust and estate advisory services to individuals; investment management, business succession planning, an d employee retirement plan services to businesses; and investment management, investment strategy consulting, and fiduciary services to foundations. Further, it offers pay processing solutions, such as walk-in payments processing for payments delivered by customers to retail pay agents; online bill payment solutions for payments made by customers on a billing company?s Website; customer service payments for payments accepted over the telephone; direct debit services; electronic concentration of payments delivered by the automated clearing house network; money management software and credit card networks; and lockbox remittance processing of payments delivered by mail. The company has 33 locations in Illinois, 7 locations in southwest Florida, and 1 location in Indianapolis, Indiana. First Busey Corporation was founded in 1868 and is headquartered in Champaign, Illinois.

Top Cheap Stocks To Own For 2014: Majesco Entertainment Company(COOL)

Majesco Entertainment Company develops and markets video game products primarily for family oriented mass-market consumers. The company publishes video games for various interactive entertainment hardware platforms, including Nintendo?s DS, DSi, and Wii; Sony?s PlayStation 3 and PlayStation Portable; Microsoft?s Xbox 360; and personal computers. It also publishes games for various digital platforms consisting of mobile platforms comprising iPhone, iPad, and iPod Touch, as well as online platforms, including Facebook. The company sells its products primarily to retail chains, specialty retail stores, video game rental outlets, and distributors. The company was founded in 1998 and is based in Edison, New Jersey.

Top Cheap Stocks To Own For 2014: UnitedHealth Group Incorporated(UNH)

UnitedHealth Group Incorporated provides healthcare services in the United States. Its Health Benefits segment offers consumer-oriented health benefit plans and services to national employers, public sector employers, mid-sized employers, small businesses, and individuals; and non-employer based insurance options for purchase by individuals. It also provides health and well-being services for individuals aged 50 and older; and for services dealing with chronic disease and other specialized issues for older individuals, as well as health plans for the beneficiaries of acute and long-term care Medicaid plans. This segment offers its services through a network of 730,000 physicians and other health care professionals, and 5,300 hospitals. Its OptumHealth segment provides health, financial, and ancillary services and products that assist consumers through personalized health management solutions; benefit administration, and clinical and network management; health-based financi al services; behavioral solutions; and specialty benefits, such as dental, vision, life, critical illness, short-term disability, and stop-loss product offerings. The company?s Ingenix segment offers database and data management services, software products, publications, consulting and actuarial services, business process outsourcing services, and pharmaceutical data consulting and research services. Its Prescription Solutions segment provides integrated pharmacy benefit management services comprising retail network pharmacy contracting and management, claims processing, mail order pharmacy services, specialty pharmacy, benefit design consultation, rebate contracting and management, drug utilization review, formulary management programs, disease therapy management, and adherence programs to employer groups, union trusts, managed care organizations, Medicare-contracted plans, Medicaid plans, and third party administrators. The company was founded in 1974 and is based in Minne tonka, Minnesota.

Advisors' Opinion:

• [By Dividend]

  UnitedHealth Group (UNH) has a market capitalization of $75.28 billion. The company employs 133,000 people, generates revenue of $110.618 billion and has a net income of $5.526 billion. UnitedHealth Group�� earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $10.563 billion. The EBITDA margin is 9.55 percent (the operating margin is 8.37 percent and the net profit margin 5.00 percent).

• [By John Divine]

  UnitedHealth Group (NYSE: UNH  ) led all blue chips higher Monday, adding 2.1%, as the health insurer enjoyed the benefits of a favorable article in Barron's, making the case for a 40% run-up in the stock over the next several years. The staggered rollout of Obamacare is cited as the major catalyst for the stock's potential in the bullish piece, which Wall Street clearly paid attention to. Shares even hit a 52-week high during trading today.

Top Cheap Stocks To Own For 2014: Bank of America Corporation(BAC)

Bank of America Corporation, a financial holding company, provides banking and nonbanking financial services and products to individuals, small- and middle-market businesses, large corporations, and governments in the United States and internationally. The company?s Deposits segment generates savings accounts, money market savings accounts, certificate of deposits, and checking accounts; and Global Card Services segment provides the U.S. consumer and business card, consumer lending, international card and debit card services. Its Home Loans & Insurance segment offers consumer real estate products and services, including mortgage loans, reverse mortgages, home equity lines of credit, and home equity loans. It also provides property, disability, and credit insurance. The company?s Global Commercial Banking segment offers lending products, including commercial loans and commitment facilities, real estate lending, leasing, trade finance, short-term credit, asset-based lending, and indirect consumer loans; and capital management and treasury solutions, such as treasury management, foreign exchange, and short-term investing options. Its Global Banking & Markets segment provides financial products, advisory services, settlement, and custody services; debt and equity underwriting and distribution, merger-related advisory services, and risk management products; and integrated working capital management and treasury solutions. The company?s Global Wealth & Investment Management segment offers investment and brokerage services, estate management, financial planning services, fiduciary management, credit and banking expertise, and asset management products. Bank of America Corporation serves customers through a network of approximately 5,900 banking centers and 18,000 automated teller machines. It was formerly known as NationsBank Corporation and changed its name on October 1, 1998. Bank of America Corporation was founded in 1874 and is based in Charlott e, North Carolina.

Advisors' Opinion:

• [By Dividends4Life]

  Memberships and Peers: PBCT is a member of the S&P 500 and a member of the Broad Dividend Achievers��Index. The company's peer group includes: Bank of America Corporation (BAC) with a 0.3% yield, Brookline Bancorp, Inc. (BRKL) with a 3.7% yield and Westfield Financial Inc. (WFD) with a 3.5% yield.

• [By Amanda Alix]

  Earlier this year, it looked as if Bank of America's (NYSE: BAC  ) plan to spruce up its tarnished public image was having some effect, but that momentum was short-lived. A recent survey once again saw B of A failing miserably in the reputation department, and the rumpus over the bank having directed employees to deliberately scuttle efforts by troubled homeowners to refinance their mortgages isn't adding any polish, either.

• [By John Grgurich]

  It's been an up-and-down week for Bank of America (NYSE: BAC  ) , but mostly down: Share prices for the superbank are net 2.79% in the red over the last five days, with less than two hours to go on the last day of trading. Thank general market negativity for that, but also uncertainty over what could be the bank's most crucial legal battle yet.

Top Cheap Stocks To Own For 2014: Lattice Semiconductor Corporation(LSCC)

Lattice Semiconductor Corporation designs, develops, manufactures, and markets programmable logic products and related software. The company offers field programmable gate array (FPGA) products, including LatticeECP family for deployment in wireless infrastructure and wireline access equipment, as well as in video and imaging applications; and LatticeXP for the security, surveillance, and display markets. It also provides programmable logic device (PLD) products comprising various versions of ispMACH4000 in-system programmable complex programmable logic device family; MachXO family that is designed for a range of low density applications; platform manager, power manager, and ispClock programmable mixed signal devices; and software development tools and intellectual property cores. The company sells its products directly to end customers through a network of independent manufacturers? representatives and indirectly through a network of independent sell-in and sell-through distributors. It primarily serves original equipment manufacturers in the communications, computing, consumer, industrial, military, automotive, and medical end markets. The company was founded in 1983 and is headquartered in Hillsboro, Oregon.

Advisors' Opinion:

• [By Lee Jackson]

  Lattice Semiconductor Corp. (NASDAQ: LSCC) is a top chip stock to buy at Jefferies. The company announced last month three new complete reference designs that will make it easier for electronic OEMs to deliver media-rich experiences to their end users by taking advantage of low-cost, industry-standard MIPI (Mobile Industry Processor Interface) camera, application processor and display technologies. The Jefferies price objective for the stock is $6.50, and the consensus is also at $6.50. Lattice closed yesterday at $4.63.

Top Cheap Stocks To Own For 2014: USG Corporation(USG)

USG Corporation, through its subsidiaries, engages in the manufacture and distribution of building materials worldwide. The company offers gypsum and related products, including gypsum wallboard, joint compounds used for finishing wallboard joints, cement boards, glass mat sheathing, gypsum fiber panels, poured gypsum underlayments, ultra light panels, and various construction plaster products. Its gypsum products are used in various building applications to finish the interior walls, ceilings, and floors in residential, commercial, and institutional constructions, and repair and remodel constructions. The company also produces gypsum-based products for agricultural and industrial customers to use in various applications, including soil conditioning, road repair, fireproofing, and ceramics. In addition, it manufactures ceiling grid and acoustical ceiling tile for electrical and mechanical systems, and air distribution and maintenance applications. USG Corporation distribut es its gypsum products through specialty wallboard distributors, building materials dealers, home improvement centers and other retailers, contractors, and a network of distributors. Further, it distributes other manufacturers? gypsum wallboard, joint compound and other gypsum products, as well as drywall metal, insulation, and roofing products and accessories. The company sells its products under SHEETROCK, DUROCK, FIBEROCK, SECUROCK, LEVELROCK, RED TOP, IMPERIAL, DIAMOND, SUPREMO, AURATONE, ACOUSTONE, DONN, DX, FINELINE, CENTRICITEE, CURVATURA, and COMPASSO brands. The company was founded in 1901 and is based in Chicago, Illinois.

Advisors' Opinion:

• [By Seth Jayson]

  USG (NYSE: USG  ) reported earnings on April 24. Here are the numbers you need to know.

  The 10-second takeaway
  For the quarter ended March 31 (Q1), USG missed estimates on revenues and missed estimates on earnings per share.

What Does Wall Street See for Legacy Reserves Lp's Q2?

Legacy Reserves Lp (Nasdaq: LGCY  ) is expected to report Q2 earnings around July 19. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Legacy Reserves Lp's revenues will grow 46.8% and EPS will expand 42.9%.

The average estimate for revenue is $116.2 million. On the bottom line, the average EPS estimate is $0.30.

Revenue details
Last quarter, Legacy Reserves Lp reported revenue of $108.9 million. GAAP reported sales were 18% higher than the prior-year quarter's $92.6 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.19. GAAP EPS were -$0.12 for Q1 compared to $0.15 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 63.9%, 570 basis points worse than the prior-year quarter. Operating margin was 3.6%, 600 basis points worse than the prior-year quarter. Net margin was -6.2%, much worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $469.2 million. The average EPS estimate is $1.11.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 268 members out of 275 rating the stock outperform, and seven members rating it underperform. Among 74 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 73 give Legacy Reserves Lp a green thumbs-up, and one give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Legacy Reserves Lp is outperform, with an average price target of $30.92.

Is Legacy Reserves Lp the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Click here for instant access to this free report.

Add Legacy Reserves Lp to My Watchlist.

How Congress Uses Donor Money as Slush Funds

Apparently an annual salary of $174,500 and a vast array of taxpayer-funded perks is not enough for most members of Congress.

Otherwise, why would they need "Leadership PACs" - personal political action committees that supposedly raise money for political activities but in practice provide a pipeline of cash to subsidize their already-elite lifestyle.

Now remember, in addition to official salaries more than triple what the average American household earns, members of Congress have an average net worth of about $966,000, according to OpenSecrets.org.

And yet these greedy elitists still feel the need to siphon off some political donations to pay for luxuries they could easily afford anyway.

As Trevor Potter, a former chairman of the Federal Election Commission (FEC), told "60 Minutes," Leadership PAC money "can be used for literally anything."

By law - a law Congress wrote and passed - Leadership PAC money has but a single limitation: It cannot be spent directly on the PAC owner's own election campaign.

How convenient...

"You can use [Leadership PACs] for babysitting..., you can use them for paying for car service. You can use them for travel," Peter Schweizer, a fellow at the Hoover Institution, told CBS News "60 Minutes" in a segment broadcast on Sunday. Schweizer's book on the topic, Extortion: How Politicians Extract Your Money, Buy Votes and Line Their Own Pockets, comes out today (Tuesday).

Some lawmakers have used their Leadership PAC money to entertain friends on elite golf courses or to treat them to NFL games.

"It's a political slush fund," Potter told "60 Minutes." "Over time, we've had them. They've been outlawed. They spring back in new guises, and this is the latest guise."

And that's not all. When members of Congress leave office, they can keep their Leadership PAC money and use it for their second career as a lobbyist, or in retirement to finance the maintenance of old political connections.

As long as they can dream up a political pretext for spending the money, no matter how vague or stretched, it's a "legitimate" Leadership PAC expense.

Where Leadership PACs Came From

According to the "60 Minutes" segment, Leadership PACs were invented specifically to bypass the Ethics Reform Act of 1989, which stated that campaign funds could not be converted for personal use.

At first only the most senior members of Congress had Leadership PACS, which originally were set up to raise money that could be distributed to other members of their party to secure political alliances and ensure the election of those allies.

But now nearly every U.S. senator - and about two-thirds of the House of Representatives - has a Leadership PAC.

Leadership PACs have become so de rigueur, in fact, that incoming members of Congress now create them before they're even sworn into office.

Some don't even wait to get elected.

Newark Mayor Cory Booker, who just last week won the open seat left by the death of Sen. Frank Lautenberg, D-NJ, created his Leadership PAC in June - of 2011.

And because Leadership PACs are so handy, they enjoy full bipartisan support. While their political brinksmanship forced a government shutdown earlier this month, Republicans and Democrats hold identical positions on political slush funds: They love them.

And it's easy to see why. In addition to providing supplemental income, Leadership PACs allow members of Congress to double-dip from donors who had already given the legal maximum to their regular campaign fund.

Best Stocks For 2014

The few legislative attempts to restrict the personal use of Leadership PAC funds have been routinely ignored.

What Leadership PAC Money Gets Spent On

Let's have a look at some of the frills our elected officials have spent their Leadership PAC donations on:

Rep. Ander Crenshaw, R-FL, spent $32,000 in Leadership PAC money to take some defense industry donors on a tour of some California wineries. Rep. Robert Andrews, D-NJ, spent $16,000 to fly his family to Scotland for the wedding of a friend that he was considering hiring as a political consultant. Sen. Saxby Chambliss, R-GA, spent $100,000 over the past two years treating his political cronies to some of world's top golf courses. Rep. George Meeks, D-NY, dropped $35,000 on tickets to NFL games for his friends' football watching pleasure. Disgraced presidential candidate Sen. John Edwards, D-NC, used $114,000 to pay mistress Reille Hunter to make a campaign video. In one case, the misuse of funds extended beyond even the lawmaker's death. In 2007, after Rep. Paul Gillmor, R-OH, died suddenly from a heart attack, his staff spent his Leadership PAC money on dinners and pizza parties.

And there are other abuses.

"60 Minutes" noted that many members of Congress also use Leadership PAC money to hire relatives to work on their campaigns.

And the Citizens for Responsibility and Ethics in Washington (CREW) found that at least 15 members of Congress have loaned their campaign funds money, then charged ridiculously high interest rates.

Such schemes can yield serious money, but the profits come directly out of the pockets of their unsuspecting contributors.

One enterprising congresswoman, Rep. Grace Napolitano, D-CA, loaned her campaign $150,000 at 18% interest. Over 12 years, she collected a tidy $228,000.

"Congress has created this domain that allows them to decide whether something is ethical or whether something is good," Schweizer said. "And it's another example, unfortunately, where the rules that apply to the rest of us don't really apply to members of Congress."

Are you outraged over Congressional abuse of Leadership PAC money? Are you tired of an ineffective government run by a privileged class that has forgotten what it's like to be a hard-working, struggling citizen? Go here to tell Washington how you really feel!

Related Articles:

Money Morning:
Congress Handing Out Stock Tips to Hedge Fund Managers Money Morning:
How the Richest Members of Congress Made Their Fortunes Money Morning:
While the Middle Class Suffers, Congress Is Getting Richer - With Help from Legal Insider Trading CBS News:
Washington's Open Secret: Profitable PACs CREW:
CREW and 60 Minutes Expose Another Congressional Scheme

3 Top Agriculture Stocks: Buy, Sell or Hold?

If demographics are destiny, then it’s hard to find a better long-term investment case than agriculture stocks.

After all, people need to eat — and there are more of us all the time. The current global population of 7 billion people is projected to hit 9 billion by 2040.

That’s a jump of almost 30% over essentially one generation — and explains why legendary fund manager Jeremy Grantham is so long-term bullish on finite resources like land, oil and forestry.

In the shorter-term, however, agriculture stocks get whipped around by a variety of factors, from energy prices to acres planted in, say, Brazil. And make no mistake: In 2013, agricultural stocks are getting whipped. Corn prices are declining, fertilizer prices have crashed and headline risks abound. It just hasn’t been a fun year to be in the sector.

But that doesn’t mean there are no opportunities. There are — to both buy and sell.

Here's a quick look at three top stocks to help decide whether you should buy the bargain, bide your time or just bail out:

Agrium: Sell

Whether it’s phosphates, sulfur or nitrogen, agriculture stocks have stunk up the market this year. Agrium (AGU), which sells all three through both wholesale and retail, has seen its stock fall 15% for the year-to-date, lagging the S&P 500 by 33 percentage points.

The problem is a corporate/diplomatic clash between Belarus and Russia over a cartel that controls 40% of global phosphate production. The cartel might – might — be falling apart, causing prices to plunge for all fertilizers.

That been brutal for everyone in the business, but AGU has more knocks against it: It’s not No. 1 or No. 2 in its industry; it has missed Wall Street estimates in two of the past four quarters; there’s little or no sales or profit growth on the horizon; and it has a long-term growth rate of only 5%.

Bottom Line: Yes, Agrium treats shareholders right with a decent 3.5% dividend, but that’s not enough to make up for the far-below-average growth rate — and better opportunities elsewhere.

Monsanto: Hold

The world’s biggest seed company delivered a double-whammy Wednesday. Not only did Monsanto (MON) blow the Street’s fourth-quarter earnings estimate, but it cut its full-year outlook too. Declining seed sales and ballooning costs were to blame.

Naturally, shares sold off on the news, which only confirms what a lackluster year it has been. MON is up 9% on the year, lagging the broader market by 7 percentage points.

Hot Gold Stocks To Watch For 2014

Still, there’s no reason to bail out on this ag stock just yet. Costs can always be brought under control (corporate America is great at that), and the latest results were the exception to the rule. Prior to today, MON beat the Street’s profit projection for three straight quarters.

Bottom Line: Monsanto is the industry leader where secular growth is a slam dunk. But with a long-term growth rate of 14% and a forward price-to-earnings ratio of 20, shares are fairly valued at best. Not too pricey to dump, but not cheap enough to buy, either.

Potash Corp. of Saskatchewan: Buy

Like all fertilizer companies, Potash (POT) has been absolutely hammered by falling prices tied to the supposed demise of the Eastern European cartel.

With the stock down 22% for 2013, the selloff is more than overdone, making this industry leader look like a bargain buy. For one thing, prices are close to bottoming out. That damage is done. Additionally, now that President Putin is involved, a resolution to the potash fight in Eastern Europe could be in sight.

Furthermore, Potash’s business has high barriers to entry. Phosphate has to be dug out of rock, giving this business mining-industry-type upfront costs. Long-term, that makes POT’s No. 1 position look unassailable.

Bottom Line: Shares have discounted all the bad news, making them look like a bargain. On a forward earnings basis, the stock fetches just 13 times earnings, or about a 10% discount to its own five-year average. Once the Russia situation is worked out, prices will bounce back, and so too will Potash stock.

As of this writing, Dan Burrows did not hold a position in any of the aforementioned securities.

David Rolfe Comments on Monster Beverage

Monster Beverage (MNST)

Monster Beverage detracted from performance as revenue growth decelerated in the face of negative press related to the safety profile of energy drinks. Despite this transient headwind, the brand continues to take share, profitably, from traditional carbonated soft drinks. We continue to expect the Company's growth profile, over a multi-year period, will eclipse double-digits, despite periodic negative press. Energy drinks continue to be a highly disruptive offering in the beverage industry, driven by a generational shift in preference for caffeinated products. While the level of caffeine in the typical Monster Energy drink is higher than most traditional carbonated soft drinks, it has half as much (per ounce) than most popular coffee house offerings. We believe this relatively new value proposition should position Monster to continue taking share from traditional beverage incumbents.

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From David Rolfe's Wedgewood Partners third quarter 2013 commentary.

Related links:Third quarter 2013 commentary

Japan stocks ease from three-week high

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LOS ANGELES (MarketWatch) -- Japanese equities slipped in early trade Tuesday after the benchmark in the previous session closed at its best level in more than three weeks. The Nikkei Stock Average (JP:NIK) shed 0.1% to 14,672.76, but the broader Topix index tacked on nearly 0.1%. Transportion shares were among the decliners, and stock in 7-Eleven chain operator Seven & I Holdings Co. (JP:3382) fell 0.9% after a trade group said September same-store sales at convenience stores fell 1.6% on a year-over-year basis. Automotive shares were mostly lower ahead of the release of U.S. labor data for September, due later Tuesday. In the group, stock in Mazda Motor Corp. (JP:7261) (MZDAF) shed 0.2%, but Toyota Motor Corp. (JP:7203) (TM) outperformed by climbing 1.1%.

Can These Hail Marys Save NVIDIA Stock?

Frustrated with its lack of wins in the mobile market, chip designer NVIDIA (NASDAQ: NVDA  ) came up with a new strategy: License your graphics designs to other mobile processor builders.

NVIDIA's high-performance graphics solutions tend to crush competing designs from Qualcomm  (NASDAQ: QCOM  ) and PowerVR, but only in terms of raw performance. The picture is far murkier when you include factors like battery life and pricing. NVIDIA probably doesn't stand much of a chance at breaking into Qualcomm's products, given that the big Q likes to design its own graphics systems. But maybe Samsung or Apple would consider replacing their creaky PowerVR licenses with NVIDIA ones?

If that idea doesn't pan out, NVIDIA is also about to launch an Android-based handheld gaming system. Have you heard of the NVIDIA Shield, which launches on June 27? No? That's probably not a good sign. Nintendo can breathe easy; its dominant 3DS system's market share safe from harm this time.

NVIDIA stock has underperformed the market in the long run and traded sideways over the last year. The company could use a big win right now, or maybe two. In the video below, Fool contributor Anders Bylund explains what NVIDIA's pair of Hail Mary plays mean for investors. Spoiler alert: It's not good news.

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It's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks?" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged by the five kings of tech. Click here to keep reading.

Toyota Recalls Cars Due to Spiders, & 5 More Things to Know

Alamy • Toyota (TM) is recalling 870,000 late model Camrys, Venzas and Avalons, due to a Rube Goldberg-style problem that starts with a clogged drainage tube in their air conditioners and can end, eventually, with airbags to deploying randomly. According to Toyota, the only common denominator in the blockages was spiders building their webs in the tubes. • Welcome back, school segregation: Across a wide swath of the American South and West, middle-class families have abandoned the public school system in such numbers that low-income students now make up a majority of public school students in 17 states. That's a huge demographic shift over just a few years, and one with serious public policy and social ramifications. • Before the debt ceiling crisis was resolved this week, a host of pundits and experts were sounding the alarm, certain that a U.S. default would cause the dollar to plunge in value. Yet instead, as the nation approached the precipice, the dollar's value climbed. So what's happening now that Congress has at last done its job? The dollar has fallen to its lowest value since February, thanks to expectations that the Fed will keep its massive stimulus program going at full steam for significantly longer, to balance out the economic damage done by the government shutdown and debt ceiling battle. • Bank of America (BAC) is considering offering a clever innovation to its retail customers: A checking account that won't let you overdraft your balance when taking money out of an ATM or making automatic bill payments, thus saving you from being hit with overdraft fees. (Bank accounts that won't let you withdraw more than your balance? Didn't we have those everywhere, once upon a time?) • Morgan Stanley enjoyed a 50 percent revenue jump in its third quarter, thanks to higher income from equities sales and trading, which more than balanced out a decline from its fixed-income business. Makes you wonder why Morgan's (MS) clients are trading so much more than those at Goldman Sachs (GS), which reported this week that its revenue plunged by 20 percent last quarter due to its clients pulling back on their trading activities.

UnitedHealth Downgraded to “Hold” at Cantor Fitzgerald (UNH)

On Friday, Cantor Fitzgerald reported that it has downgraded UnitedHealth Group Inc. (UNH) to “Hold.”

The firm has cut its rating on UNH from “Buy” to “Hold,” and has lowered the company’s price target from $75 to $70. This price target suggests a 2% decline from the stock’s current price of $71.37.

Cantor Fitzgerald analyst Joseph D. France commented: “We are lowering our rating on UnitedHealth from BUY to HOLD to reflect its recent move near our $75 price target, which we are reducing to $70 to reflect our lower 2013-14 EPS estimates. Although the company’s 3Q:13 results were inline with expectations, and there is no significant change in its guidance (although management was more specific about the outlook than in the past), we see little upside in the stock, given uncertainty about reform, costs and utilization. Our new EPS estimates are $5.45 for 2013 (reduced from $5.50) and $5.75 for 2014 (vs. $6.10 previously).”

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UnitedHealth shares were mostly flat during premarket trading Friday. The stock is up 32% YTD.

Chile: A Hot Emerging Market

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One sector that promises to deliver top profits is emerging nations. And most emerging markets look very cheap right now, suggests Jim Powell, editor of Global Changes & Opportunities Report.

When the countries were booming, investors pumped their prices through the roof. Now that EM economies have cooled to more sustainable levels, investors are bailing out, leaving stocks greatly oversold. It won't be long before the market takes a second look and adjusts the prices upwards.

I think buying emerging nations at today's beaten-down prices is a lay-up shot for long-term profits.

And at their current prices, the most attractive emerging nations available now are in Latin America. And our latest new recommendation is iShares MSCI Chile Investable Market Index Fund (ECH).

Investors who would like another emerging market with great potential for growth should consider Chile, a remarkable country that is outperforming both the region and the world.

That's not surprising since the laissez-faire economy of Augusto Pinochet's dictatorship was left mostly intact by his successors.

Chile ranks seventh on the Economic Freedom Index, just below Canada, and a full two points above the US. The country has strong financial institutions and the highest sovereign bond rating in South America. Chile's current growth rate is 4.5% versus 2.5% in the US.

Chile is the world's largest copper producer, which is both a blessing and a curse, depending on the state of the world economy. In response to cooler growth, copper prices dropped 8.2% in the year, through May 17.

Longer-term, I think the resource hungry world will buy every bit of copper that Chile produces, and will pay a premium to get it.

The country also has a well-diversified economy with a strong agricultural sector, an expanding manufacturing base, and a prosperous consumer market. Fisheries, timber production, and tourism round out the picture.

Despite its strengths and long-term potential, Chile's economy has suffered over the last three years due to the global slowdown. But if the cooling-off had not occurred, we would not have today's opportunity to buy Chile at such attractive prices.

I think the best way to participate in Chile's success is through the iShares MSCI Chile Investable Market Index. Chile has already started to bounce off its lows and the timing appears to be right for this fund.

Subscribe to Global Changes & Opportunities Report here…

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Advance Auto Parts Goes Big, Real Big, Shares Surge 16%

Investors really like Advance Auto Parts (AAP) deal to buy a chain of repair shops–so much so that a stock that finished yesterday in the low 80s is now trading in the mid-90s.

Agence France-Presse/Getty Images

Reuters has the details on the deal:

Advance Auto Parts Inc will buy 1,418 outlets of the Carquest chain to boost its auto repair operations to complement its car parts business, sending its shares up as much as 20 percent to a record high.

Advance Auto, which sells products such as batteries, air fresheners and engine parts, said it would buy General Parts International Inc for just over $2 billion, creating the largest North American retailer of auto parts.

General Parts is the biggest operator of the Carquest chain, which runs auto repair shops and car parts stores. General Parts also owns Worldpac, the No.1 supplier of replacement parts for imported car and truck brands.

Reuters notes that the finished product will be the largest supplier of auto parts by sales, just beating out Autozone (AZN).

Credit Suisse analyst Simeon Gutman and team call the deal a “smart strategic acquisition.” They write:

The acquisition would solve two important issues for AAP. First, it has struggled in the DIFM segment, primarily due to a weaker and less accessible distribution network. General Parts has one of the most established distribution networks in the country (~40 DCs vs. AAP’s 10) and long standing relationships with mechanics nationwide. More importantly, WORLDPAC (estimated $1 billion in sales) is the leader in foreign parts with AAP owning the number three player and we see synergies from AI flooding into WORLDPAC.

A meaningfully positive aspect of the transaction is targeted annual cost savings of roughly $160 million within three years (~6.1% of acquired sales). This seems relatively consistent with previous DIY Auto deals. The deal is expected to be 20%+ accretive to FY 14 cash EPS. Though there are always risks in realizing synergies, the high overlap between these businesses makes these estimates seem reasonable.

Even Standard & Poor’s has blessed the acquisition:

We are affirming all ratings on the company, including the ‘BBB-’ corporate credit rating.

The outlook is stable and incorporates our expectation that the company will use the vast majority of its excess cash flow in the two years subsequent of the acquisition to reduce debt. We also expect moderate profit growth at Advance’s legacy business, no material integration risk associated with the acquisition (given the similar businesses), and cost synergies that lead to material profit growth beginning in the near term.

Advance Auto Parts has gained 16% to $95.61, while Autozone has risen 0.8% to $423.49, O’Reilly Automotive (ORLY) has advanced 2% to $131.64 and Pep Boys (PBY) is up 1% at $12.50.

CME Group: Will It Achieve Liquidity With LME-Rival Aluminum Contract?

By Stuart Burns

Well, it was going to happen sooner or later, wasn't it?

After vilification from just about everyone, the LME will now probably face competition from a rival with the infrastructure - the CME Group Inc. - to create a viable alternative to the LME's aluminum contract. The LME has seen the brunt of mounting criticism from just about all quarters, blamed for all the wrongs of the aluminum market (not least of which transparency of who holds aluminum positions.)

The aluminum contract is considered to be out of touch and unrepresentative of true market prices, according to major producers such as Alcoa. Exit queues of greater than 100 days, in some locations 200 days, mean the market has long since ceased to be a viable source for consumers and only has value to producers in as much as freight incentives offered by warehouse operators have pushed up the physical delivery premiums.

These price premiums bring much needed additional revenue to producers able to secure the premium in their sales - not always an easy exercise for vertically integrated smelters that struggle to pass on the premium to consumers of semi-finished products.

So what's the CME's deal?

CME to Take a Bite Out of LME

An FT article this week reports that LME rival CME Group, the world's largest futures exchange, will launch an aluminum contract to challenge the London Metal Exchange's dominance of the largest base metals market.

Quoting Harriet Hunnable, head of metals at the Chicago-based group, the FT wrote, "Customers want a futures contract that is a viable alternative to other contracts available today (meaning the LME)." The LME's aluminum contract has been the global benchmark for the $90bn market outside of China, although it took some years to secure widespread acceptance after its launch in 1978.

The LME only have themselves to blame for the current situation.

By not tackling the distortion of the physical delivery premiums and extended load-ou! t periods, they have driven physical users to desert the market as an option for physical delivery or supply of metal. Industry has not accessed metal from the LME in North America for years.

In their defense, the LME would say any changes risked creating consequences that could have made the situation worse by creating other distortions, but such hand-wringing and can-kicking has brought them to the point where almost no one views the LME as a reliable indicator of true market prices.

CME Offering Liquid Enough?

Whether the CME can create sufficient liquidity to develop a viable alternative to the LME contract is another matter.

Emotions are running high at present and many users may be keen to create a more reliable alternative, but industrial consumers make up a minority of the exchange's daily trades; hedge funds, merchants, investors and financial organizations will value liquidity and the CME may struggle to achieve that anytime soon.

Still, if nothing else, the threat of a rival contract may just encourage the deliberating LME board to find some creative solutions in their current review.

Source: CME Group: Will It Achieve Liquidity With LME-Rival Aluminum Contract?

Top 5 Clean Energy Companies To Watch For 2014

On Jul 10, Zacks Investment Research upgraded DTE Energy Company (DTE) to a Zacks Rank #1 (Strong Buy).

Why the Upgrade?

This electric and natural gas supplier delivered positive earnings surprises in three out of the last four quarters with an average beat of 23.90%. The long-term expected earnings growth rate for this stock is 4.69%.

The company has been performing well. Its recent decision of lowering electricity rates and maintaining reliability of service will help expand the customer base.

DTE Energy�� commitment towards the Pure Michigan Business Connect Initiative (PMBC) will help to strengthen Michigan�� economy. DTE Energy has committed to spend $1 billion with Michigan-based suppliers by 2015 to develop new business.

This, in a way, will create more opportunities for this utility service provider. Moreover, DTE Energy will invest $1.5 billion in its infrastructure and power generation assets to provide reliable and clean energy to its customers in Michigan.

Top 5 Clean Energy Companies To Watch For 2014: (JAINIRRIG.BO)

Jain Irrigation Systems Limited, an agri-business company, primarily engages in the manufacture and sale of irrigation systems, piping products, agro processed products, and plastic sheets. It offers irrigation systems and components comprising drip irrigation systems, sprinkler irrigation systems, plastic control and safety valves, fertigation systems and chemigation equipment, and water filters; PVC pipes, PE pipes and PE pipe fittings, HDPE pipes, cable duct pipes, and gas pipes; and PVC plastic sheets and poly carbonate sheets. The company also provides food processing products, such as dehydrated onions and vegetables; and agriculture products, including biofertilizers, green houses plant nurseries, and tissue cultures, as well as processed fruits. In addition, it offers solar water heating systems, solar photovoltaic systems, and biogas power plants; hybrid and grafted plants; and poly and shade houses, as well as provides services turnkey project services, and agric ultural and engineering consultancy services. Jain Irrigation Systems Limited offers its solutions and services for the urban household, urban housing, community development, mining, plant tissue culture, chemical, oil and gas exploration, optic fiber ducting, advertisement and signage, landscaping, water shed development, waste land development, fruit and vegetable processing, and farm production and management markets, as well as for small farmers, green houses, and sugar factories. It primarily operates in India, Europe, and North America. The company was founded in 1963 and is based in Jalgaon, India.

Top 5 Clean Energy Companies To Watch For 2014: Penson Worldwide Inc.(PNSN)

Penson Worldwide, Inc., through its subsidiaries, provides various critical securities and futures processing infrastructure products and services to the financial services industry. Its products and services include securities and futures clearing and execution, clearing and custody services, trade settlement, technology services, risk management services, and customer account processing and customized data processing services, as well as financing and cash management technology and other related products. The company also participates in margin lending, securities borrowing, and lending transactions, primarily to facilitate clearing and financing activities, as well as provides tools and services to support trading in multiple markets, asset classes, and currencies. In addition, it offers Internet account portfolio information, holding and safeguarding securities and cash deposits, securities lending and borrowing, proprietary trading, futures products, and institutional and active retail front-end trading software products and services, as well as technology and data product offerings, including customizable front-end trading platforms, options and futures trade data, and order-management services. It serves online, direct access, and traditional retail brokers, as well as banks, institutional brokers, financial technology companies, and securities exchanges in the United States, Canada, Europe, and Asia. The company?s securities and futures processing infrastructure products and services are marketed principally under the Penson name. Penson Worldwide, Inc. was founded in 1995 and is headquartered in Dallas, Texas.

Hot Small Cap Companies To Invest In 2014: Gallant Venture Ltd. (5IG.SI)

Gallant Venture Ltd., an investment holding company, engages in the development, construction, operation, and maintenance of industrial properties in Batam Island and Bintan Island, Indonesia. It operates in four segments: Utilities, Industrial Parks, Resort Operations, and Property Development. The Utilities segment provides electricity and water supply, telecommunications services, and waste management and sewage treatment services to the industrial parks in Batam Island and Bintan Island, as well as resorts in Bintan Island. This segment also operates 29 generators and 3 water treatment plants, as well as 2 large reservoirs, which produce approximately 160MW of electrical power and 25,000 cubic meters of clean water per day for its customers. The Industrial parks segment engages in the development, construction, operation, and maintenance of industrial properties, as well as supports infrastructure activities. The Resort Operations segment offers services to resort oper ators in Bintan, including ferry services, ferry terminal operations, property rental, workers accommodation, fire fighting, security, vector monitoring, environment, and medical support services. This segment also conducts estate management and township maintenance services, such as road maintenance and drainage, as well as operates a 24-hour crisis center. The Property Development segment engages in developing industrial and resort properties. The company was incorporated in 2003 and is headquartered in Singapore.

Top 5 Clean Energy Companies To Watch For 2014: SRS Labs Inc.(SRSL)

SRS Labs, Inc., through its subsidiaries, engages in the development and provision of audio and voice technology solutions. The company principally develops and markets audio rendering, voice, and surround sound technologies and solutions to original equipment manufacturers, original design manufacturers, semiconductor manufacturers, and software providers. The company?s portfolio of licensable technologies includes Surround Sound, Audio Rendering, Voice Processing, and Solutions Suite. A surround sound technology, Circle Surround, is an encoding and decoding format. Circle surround encoding enables the distribution of up to 6.1 channels of audio over existing two-channel carriers, such as digital media files, standard definition and high-definition television, FM radio, and compact discs; and Circle Surround decoding decodes Circle Surround encoded material for multichannel playback or creates up to 6.1 channels of audio from older formats of material, including mono, ste reo, 4-channel surround, or other matrix surround formats. Audio Rendering technologies optimize device audio output and enable the presentation of 3D and multichannel audio content over two speakers. Its TruVoice and SRS Noise Reduction technologies reduce noise to produce a clearer dialog over wireless communication devices and improve the intelligibility of the human voice in a variety of listening situations, including high ambient background environments. The company?s solutions suites combine various technologies to deliver a package of post processing audio enhancement products. It serves home entertainment, personal computers, personal telecommunications, automotive, portable media devices, and broadcast markets. The company sells its products and services in Korea, Japan, the Americas, the People's Republic of China, the Asia Pacific, and Europe. SRS Labs, Inc. was founded in 1993 and is headquartered in Santa Ana, California.

Top 5 Clean Energy Companies To Watch For 2014: Goldcorp Incorporated(GG)

Goldcorp Inc. engages in the acquisition, exploration, development, and operation of precious metal properties in Canada, the United States, Mexico, and Central and South America. It produces and sells gold, silver, copper, lead, and zinc. The company was founded in 1954 and is headquartered in Vancouver, Canada.

Advisors' Opinion:

• [By Jack Adamo]

  Steven Halpern: No, that's very helpful. One of the stocks you hold is Goldcorp (GG), in your model portfolio. What's your outlook for Goldcorp?

• [By Sean Williams]

  Relatively speaking, there is only one of other gold miner that even comes close to Yamana's cost structure thanks to byproducts, Goldcorp (NYSE: GG  ) . While I have nothing at all against Goldcorp (in fact, I feel it should be on your Watchlist as well), its byproduct costs have shot higher in recent quarters and stood at $565/oz. as of the first quarter. It's also having legal issues with regard to certain land rights located within its Penasquito mine site. By comparison, Yamana's first-quarter byproduct cash costs totaled just $383/oz. and its all-in sustaining costs were nearly $280/oz. lower than Goldcorp!

• [By Dan Caplinger]

  Dan, however, does believe CEO Randy Smallwood has the experience necessary to deal with these challenges. Strategies may include obtaining better terms from existing partners such as Barrick Gold (NYSE: ABX  ) , Goldcorp (NYSE: GG  ) , and Hudbay Minerals (NYSE: HBM  ) on future contracts.

Shareholder Lawsuit Claims BlackBerry Misled Investors

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AP Photo/John RaouxBlackBerry CEO Thorsten Heins. A class action lawsuit has been filed against BlackBerry (BBRY) by a shareholder claiming the company misled investors about its future, including how the BlackBerry 10 smartphone line would fare against competitors. The lawsuit seeks to represent thousands of shareholders who purchased BlackBerry stock from Sept. 27, 2012, to Sept. 20, 2013, a period in which it alleges executives misrepresented the state of BlackBerry'soperations. Waterloo, Ontario-based BlackBerry, formerly Research In Motion Ltd, misled investors last year by saying that the company was "progressing on its financial and operational commitments," and that previews of itsBlackBerry 10 platform were well received by developers, according to shareholder Marvin Pearlstein in a lawsuit filed in a federal court in Manhattan on Friday. "In reality, the BlackBerry 10 was not well received by the market, and the company was forced to ... lay off approximately 4,500 employees, totaling approximately 40 percent of its total workforce," the complaint alleges. BlackBerry's CEO Thorsten Heins and Chief Financial Officer Brian Bidulka were also named as defendants. A representative for BlackBerry declined to comment, saying the company is "reviewing the matter." BlackBerry disclosed last month that it would book nearly a billion dollars in losses related primarily to the write down of unsold BlackBerry Z10 touchscreen smartphones. The court filings outline numerous news releases issued by BlackBerry, as well as quarterly conference calls where it alleges executives "deceive the investing public." The lawsuit claims that the recent tumble in BlackBerry stock was a direct fallout from the executives' misrepresentation of BlackBerry's financial state. "The timing and magnitude of BlackBerry's stock price decline negates any inference that the loss suffered by the plaintiff and the other class members was caused by changed market conditions, macroeconomic or industry factors," the lawsuit alleges. Since Sept. 20, when the company first disclosed the massive loss and layoffs, BlackBerry's share price has tumbled 25 percent on the NASDAQ in New York. BlackBerry has faced numerous other class action lawsuits in the past. In 2011, a U.S. judge threw out a lawsuit claiming executives of the company, then known as Research In Motion, misled investors on its financial condition and the prospects for its devices, which included the failed launch of its PlayBook tablet. The case is being appealed by the plaintiffs. Another class action lawsuit was filed the same year by Montreal-based law firm Consumer Law Group Inc. seeking refunds for the downtime caused by a massive BlackBerry service outage.

Teva Lays Off 5,000; Stock Surges On The News

Teva Pharmaceutical Industries (TEVA), the world's leading generic drug maker with global sales of over $20 billion and a product portfolio of more than 1,000 molecules, just announced that it is accelerating its cost- reduction program and reducing its global work force by 10%.

Teva expects the decision will realize $2 billion in annual cost savings by the end of 2017, compared to the previously guided range of $1.5 to $2 billion. Teva estimates that $1 billion, or 50% of the annual cost savings, will be realized by the end of 2014, and 70% by the end of 2015.

(click to enlarge)

Initial market reaction was positive and Teva's shares jumped 2.2% on the news. Teva estimates total pre-tax costs of restructuring at approximately $1.1 billion, 75% in cash and 25% in non-cash accelerated depreciation and impairment of assets.

The reductions are part of a worldwide restructuring program introduced in December 2012, and included actions to divest non-core assets, increase organization effectiveness, improve manufacturing efficiency and reduce excess capacity.

The decision is likely to affect approximately 5,000 employees worldwide, out of a total workforce of 46,000 people. The majority of the workforce reductions are expected to be completed before the end of 2014.

Teva expects to reinvest part of the initial savings in high-potential programs. These investments will include the development of the company's complex generics and specialty pharmaceutical pipeline, which includes more than 30 late-stage programs.

Teva is also planning to expand its presence in emerging markets and to broaden its portfolio, especially in its specialty medicines and OTC divisions.

Teva expects to achieve $20 billion for the year, midpoint of its original 2013 guidance range, and non-GAAP diluted earnings per share of $4.85 to $5.15.

Source: Teva Lays Off 5,000; Stock Surges On The News

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. (More...)

Exploring Compelling Investment Themes in an Atypical Market - Royce Funds Commentary

The current market rally has provided fewer buying opportunities for value investors such as ourselves. Portfolio Manager and Principal Chip Skinner discusses areas of the market that he believes are providing attractive opportunities, companies that exemplify the themes he's been developing, and three stocks that have enjoyed some success so far in 2013.

Do you think the current small-cap bull market can keep going or are you expecting a correction?While a rising market is encouraging from a performance perspective, a pullback at some point would logically make sense. There seems to be a rush to risk assets, particularly now that investors have watched certain market segments do quite well on an absolute basis over the last couple of years, so I think we're about due for a correction given that there are still a lot of unknowns with regard to the federal budget and related matters.

We've gotten sort of a head-fake from the Federal Reserve on tapering. We still have some level of global political tension. But I do feel sure that interest rates are heading higher over the longer term. So while a correction or even periodic corrections will occur, long-term, I remain very bullish on small-cap stocks.

What sectors and industries have you been looking at most closely lately?One theme I've been exploring over the last year or so is "Machine to Machine" (M2M) technology, also known as the "Internet of Things."

Much of this technology involves placing a sensor or other piece of technology on one piece of equipment to capture information that can be relayed through a wireless or wired network to a computer that translates what's gathered into meaningful data.

This data can then be analyzed to make appliances and other things run more efficiently and effectively. Gartner, a leading information technology consultant, thinks this area can grow at a 23% compound annual growth rate through 2016.

This data can then be analyzed to make appliances and other things run more efficie! ntly and effectively. Gartner, a leading information technology consultant, thinks this area can grow at a 23% compound annual growth rate through 2016.

Through M2M technologies, businesses can make a lot of manual functions more automated, and most would benefit from the ability to save time and labor not just on manual data input and measurement, which is often on a delayed batch basis, but also on inventory reporting, maintenance and parts replacement on heavy equipment, meter readings, etc.There are many factors driving this theme, but the biggest—and perhaps most evident—is the pervasiveness of communication networks. Another important driver is cost-reduction opportunities.

Through M2M technologies, businesses can make a lot of manual functions more automated, and most would benefit from the ability to save time and labor not just on manual data input and measurement, which is often on a delayed batch basis, but also on inventory reporting, maintenance and parts replacement on heavy equipment, meter readings, etc.

There's also a service element whereby companies can build stronger customer relationships. With more precise, real-time information, they can quickly detect changes in consumer trends and monitor customer behavior or usage more effectively.

Can you give us a couple of examples of companies that are taking advantage of M2M technology?Sure—we've had an investment in Pason Systems (PSI) for almost 10 years now. Based in Canada, Pason has created an entire business model around M2M by automating certain oil well drilling functions and production data so that it can tell when something's going haywire. It also has a number of additional applications that it's selling, including a sensor that attaches near the drill bit to help navigate where an operator should be drilling. The company has penetrated the U.S. in a big way, and now it's looking to expand internationally.

Sierra Wireless, which is a position I first bought in January and have been buildin! g in Royc! e Value Plus Fund's portfolio since then, is now a pure play M2M company after having sold its laptop wireless device business to NETGEAR earlier this year.

The company has a well-respected management team, a lot of cash on its balance sheet, and sensor and communication technology. The company is now eager to make an acquisition to create a complete solution—Sierra still needs an enterprise side dashboard side for its collection analysis and interpretation of data, and that's what it's on the hunt for.

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Are there any other themes that you've been developing?I think the enterprise software area is pretty interesting right now, particularly cloud-oriented companies and software businesses that either help track assets or reduce corporate expenses. Tangoe is a leader in the telecom expense management space—both wired and wireless. The company helps enterprises track and manage mobile devices of all types.

With the introduction of laptops and smart phones, corporate intranet security and access have become more complicated, particularly with all the different mobile phone vendors and telecom plans a company's employees typically have.

Historically, most companies have not tried to manage this process. Tangoe (TNGO) helps companies consolidate and renegotiate contracts by using the buying power that's already there to help companies better manage this end of their business.

A second company that makes enterprise software is SciQuest (SQI), which provides procurements and spending management software on a subscription basis. Unlike one of its chief competitors, which targets everyday supply purchases made by big companies, SciQuest provides automated purchasing to a different segment by focusing on universities, hospitals, local and state governments, etc.

While some might say these areas are the weakest segments a company can target, SciQuest would ! contend t! hat these are highly cost-conscious entities, which to me is a pretty compelling argument.

More recently, I've been looking at alternative energy. As the U.S. moves toward energy independence, I believe there are a lot of opportunities in solar, geothermal, and natural gas.

There are two companies that I'm gradually easing into at the moment; one is in the process of becoming a pure play lithium producer and one takes an interesting approach to power generation.

Can you discuss three stocks that have been successful this year? What did you initially like about them and what helped them turn around?Methode Electronics (MEI) is an automotive component supplier, with automotive customers accounting for about 60% of its revenues. The company classifies the other 40% of its revenues as non-auto, which includes home appliance touch screens and sensors.

To say it had a rough go in the last 10 years is an understatement, especially during the downturn for the automotive industry. However, the company was able to develop a center console product that includes a touchscreen which acts as an interface for navigation systems, entertainment, etc.

Methode first got this console into Ford vehicles, and about two quarters ago it started a very large rollout with GM for their trucks and SUVs. The ramp-up has gone better than expected, and the stock has been beating expectations. It was sort of forgotten by other investors for a while, but it's got an interesting product that looks like it's got some legs.

Immersion Corporation, which manufactures and licenses technology that enhances digital devices with touch interaction, has a lot of intellectual property around haptics, which is technically defined as tactile feedback or the vibration or other physical response a user gets when pressing buttons on an electronic device.

The technology is being adopted in cell phones and gaming consoles, but the company also plans to enter the automotive console area. I also think we're likely ! to see it! s technology in iPads and other tablets.

The company has owned this technology for a while. When I first began to buy this stock in April 2012, the company was spending a lot of money on litigation to defend its intellectual property.

In the last nine months, the company was able to convince Motorola Mobility, which Google now owns, to pay back royalties and to sign a new royalty agreement. Around the middle of the spring the company also signed Samsung. It looks like the dominoes are starting to fall now, which is why the stock has gone up so much since March. And at some point the legal expenses will come down. Immersion has a very high margin revenue stream, and the company has more end markets that it wants to target.

The last company I want to mention is HealthWays (HWAY), which was once a small-cap growth stock favorite. Due to increasing changes in the U.S. healthcare industry, as well as confusion around the implementation of ObamaCare, the company recently expanded its business to not just physical wellness but to social and emotional wellness, health, and nutrition.

Like its original business, which was more along the lines of disease management, HealthWays helps insurance providers, as well as governments and consumers, redesign their product offerings to provide the same or better outcomes at lower costs. Its stock became attractively cheap to us when the company announced that it had lost its largest contract, Cigna, and its operating profit predictably fell. It's since endured a decline in revenues and an even bigger decline in profits.

But more recently it's won arguably the same or more business than what it had lost with Cigna. Unfortunately for HealthWays, there are some up-front costs when bringing on large customers, and that's blunted profits. However, as the company moved past that anniversary, its revenues are starting to grow again, and I expect this will continue to improve further down the road.

How do you feel about the recovery of Royce Val! ue Plus F! und? Are you happy with its recent performance and is it acting the way you intend?It took some time for our efforts to bear fruit in regards to the performance challenges we encountered with Royce Value Plus Fund in the second half of 2010 and in the early part of 2011.

That being said, it's becoming clearer that those efforts have resulted in improvement through solid absolute returns, better stock selection, and an emphasis on a "growth at a reasonable price" (GARP) investment approach.

By targeting robust, multi-year growth themes and focusing on what we see as quality companies benefiting from those themes, we think the Fund has done well in the current slow-growth economy.

While we have more groundwork to do with respect to performance relative to our benchmark, I firmly believe we are on the right path.

Royce Value Plus Fund (RYVPX)
Average Annual Total Returns as of Quarter-End 6/30/13 (%)

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Important Performance and Expense Information

All performance information reflects past performance, is presented on a total return basis, reflects the reinvestment of distributions, and does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, so that shares may be worth more or less than their original cost when redeemed. Shares redeemed within 180 days of purchase may be subject to a 1% redemption fee, payable to the Fund, which is not reflected in the performance shown above; if it were, performance would be lower. Current month-end performance may be higher or lower than performance quoted and may be obtained at www.roycefunds.com. Operating expenses reflect total annual operating expenses for the Service Class as of the Fund's most current prospectus and include management fees, 12b-! 1 distrib! ution and service fees, other expenses, and acquired fund fees and expenses. Acquired fund fees and expenses reflect the estimated amount of the fees and expenses incurred indirectly by the Fund through its investment in mutual funds, hedge funds, private equity funds, and other investment companies.

Important Disclosure Information

Chip Skinner is a portfolio manager and principal of Royce & Associates, LLC, investment advisor to The Royce Funds. He serves as portfolio manager for Royce Value Plus Fund (RVP) and serves as an assistant portfolio manager for Royce Low-Priced Stock Fund (RLP). The thoughts expressed in this piece are solely those of the person speaking and may differ from those of other Royce investment professionals, or the firm as a whole. There can be no assurance with regard to future market movements.

This material is not authorized for distribution unless preceded or accompanied by a currentprospectus. Please read the prospectus carefully before investing or sending money. Royce Value Plus Fund invests primarily in micro-cap, small-cap, and mid-cap stocks, which may involve considerably more risk than investing in larger-cap stocks. (Please see "Primary Risks for Fund Investors" in the prospectus.) The Fund's broadly diversified portfolio does not ensure a profit or guarantee against loss. The Fund may invest up to 25% of its net assets in foreign securities, which may involve political, economic, currency, and other risks not encountered in U.S. investments. (Please see "Investing in Foreign Securities" in the prospectus.)

Percentage of Fund Holdings as of 6/30/13 (%)

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Emerging Stocks Retreat With Currencies on U.S. Deadlock

Emerging-market stocks declined for the first time in five days as U.S. lawmakers remained deadlocked over extending the debt limit to avoid default, intensifying concern that global economic growth will falter.

The MSCI Emerging Markets Index fell 0.3 percent to 1,004.66. OGX Petroleo e Gas Participacoes SA (OGXP3) plunged to a record low in Sao Paulo as two people with knowledge of the matter said the oil producer is considering filing for bankruptcy protection within a month. India's rupee snapped a three-day gain. Polish yields sank to an eight-week low on bets Zyta Gilowska's successor on the central bank's rate-setting panel will be reluctant to tighten monetary policy in 2014.

Stocks declined as investors sought the safety of Treasuries after U.S. Speaker John Boehner said the country may end up in default if President Barack Obama doesn't negotiate over the budget. Failure by the world's largest borrower to pay its debt may throw the world into a recession that probably would become a depression. The government stopped providing nonessential services last week after lawmakers failed to agree on a spending package, boosting speculation the Federal Reserve will refrain from reducing its stimulus program this year.

"If the U.S. defaults, all bets are off because there are so many unintended consequences," Bill Strazzullo, the chief market strategist at Bell Curve Trading, a research firm in Freehold, New Jersey, said in a phone interview. "It would be the financial market equivalent of a nuclear strike. It would make Lehman look minuscule and the trillions of dollars of securities that are priced to U.S. Treasuries would make this absolutely inconceivable as to the global effect.'"

Commodity Shares

Eight out of 10 groups in the MSCI Emerging Markets Index retreated today, led by phone and commodity shares. The benchmark measure for developing nations has dropped 4.8 percent this year to trade at 10.5 times projected earnings, compared with the valuation of 13.8 for the MSCI World Index, according to data compiled by Bloomberg.

The iShares MSCI Emerging Markets Index exchange-traded fund slipped 0.9 percent to $41.75. The Chicago Board Options Exchange Emerging Markets ETF Volatility Index, a measure of options prices on the fund and expectations of price swings, surged 11 percent to 27.11.

Brazil's Ibovespa (IBOV) declined as OGX tumbled 13 percent. A bankruptcy filing would be carried out in Rio de Janeiro, where the company is based, said the two people familiar with the matter, asking not to be identified.

Russia, Poland

The Micex Index rose for a third day as OAO Magnit, the nation's largest food retailer, rallied 2.7 percent. Benchmark gauges in Poland, Hungary and Turkey retreated. The yields on Poland's two-year government bonds dropped four basis points, or 0.04 percentage point, to 3.01 percent at 4:47 p.m. in Warsaw, the lowest since Aug. 13.

Indian (SENSEX) software exporters and drugmakers climbed amid speculation their quarterly earnings will beat analyst estimates as a weak currency helps increase the value of their repatriated profits. Tata Consultancy Services Ltd. (TCS) rose to a record. The benchmark S&P BSE Sensex lost 0.1 percent, after slumping as much as 1.4 percent earlier today. The rupee dropped 0.6 percent to 61.7950 per dollar in Mumbai, according to prices from local banks compiled by Bloomberg.

Top Performing Companies To Own In Right Now

The Hang Seng China Enterprises Index (HSCEI), also known as the H-share index, declined 0.9 percent. Mainland markets are shut until tomorrow. Techtronic Industries Co. (669), a maker of power tools that gets 73 percent of sales from North America, slid 2 percent. Cnooc Ltd., China's biggest offshore oil explorer, fell 1.1 percent as crude oil dropped.

The premium investors demand to own emerging-market debt over U.S. Treasuries declined two basis points, or 0.02 percentage point, to 332 basis points, according to JPMorgan Chase & Co.

JP Morgan Reportedly in Talks to Settle Government Probes for $11B (JPM)

On Wednesday afternoon, the Associated Press reported that JP Morgan Chase (JPM) was in talks to settle both state and federal government probes into its mortgage backed securities from 2007.

The article gave its source as a government official familiar with the matter, and stated that the reported settlement would include $4 billion worth of relief to consumers and $7 billion in cash. The government investigation into JP Morgan stems from the company’s handling of mortgage backed securities that led up to the Great Recession in 2008.

JPM shares were up up $1.38, or 2.67%, at the end of market trading on Wednesday. YTD, the company’s stock is up over 12.5%.

Is It Time to Change the Chip? A Look at Two Semiconductor Companies

The tech industry is the second largest exporting industry in the U.S. But in the recent time, low-cost substitutes have shifted production to others countries like China or Taiwan. The industry is capital-intensive and requires investments to advance in technology and reduce manufacturing costs, changing its exposure from volatile markets to others more stable. The S&P Semiconductors sub-industry index increased 14.7% year to date. So let's take a look at two companies in the semiconductor and see which one is doing better and becoming the better invest in this highly cyclical semiconductor industry.

Texas Instruments (TXN) designs and manufactures semiconductors and is one of the largest suppliers of analog and Digital Signal Processing (DPS) integrated circuits. Considering the sales reported in 2012, the three main products segments were analog (55% of revenue), embedded processing (15%) and wireless (11%).

The company's plan is to compete in several industries, increasing differentiation in its business and gaining exposure to many end markets and customers. The objective is to transform to a predominantly analog-based company basically because this segment make the highest margins for the firm. So the company´s focus is the analog chip business and consequently reduce the wireless segment which is a lower-margin one. Also, the company´s strategy is starting to integrate more functionality into single devices, increasing exposure to longer life-cycle products (industrial and automotive markets will be the key) and minimizing costs because analog products require less replacement than manufacturing digital products.

10 Best Cheap Stocks To Own For 2014

In terms of valuation, the stock sells at a trailing P/E of 22.2x, trading at a discount compared to the industry average of 23.1x, representing a discount of 3.9%, and a premium compared to the S&P 500 average of 19.37. Analysts' ex! pectations imply a forward P/E of 17.99. At that P/E it seems cheaper compared to the industry average. For the second quarter fiscal year 2013, gross profit margin remains unchanged when compared to the same period a year ago and second-quarter earnings missed the Zacks Consensus Estimate.

One Step Forward

Although the stock has done pretty well, investors can have another option of investing in the tech sector with Linear Technology Corporation (LLTC) because there is no other semiconductor company that can be able to match the company's profitability. Linear Technology offers thousands of analog products to original equipment manufacturers. The company´s plan is to specialize in market segments that require high-performance analog with focus on industrial and automotive products. Customers base decisions on quality and Linear´s chip are considered to be products that have long life and superior technology. This is considered in prices and makes attractive margins to the company.

The industrial market represents a great opportunity for growth because most industrial customers buy analog expertise and the company shows ability to retain talent people. With respect to the auto market, is expected to boost its sales this year, leaving in the past the natural disaster that damage the Japan's economy.

Multiples are very similar to the ones that show Texas. Its P/E multiple, on a trailing-12 month basis, is 22.2 and the forward P/E multiple is 16.93. A company characteristic is its commitment to return cash to investors in the form of dividends. The current dividend yield is 2.6%, which is quite good to protect the purchasing power, especially considering the consistency of track-record dividends payments since 1992.

Finally, I always like to see the evolution of one of the most important financial ratios applying to stockholders, the best measure of performance for a firm's management: the return on equity. The ROE is considered high; It stood at 41.4% and is higher than 99%! of the c! ompanies in the industry. It is very important to understand this metric before investing in a high-growth company.

Final Comment

Despite the effects of the economic crises, that impact the computing and consumer market through the lower spending of consumers and the credit crisis that affected the automotive and industrial markets, both companies should benefit from an improved in the global economy. In the long term, growth in semiconductors is highly correlated to global GDP. According to World Semiconductor Trade Statistics data, it is expected that semiconductor sales growth reach 4.5% in 2013, following the 3.2% decline in 2012.

In my point of view, the increased differentiation that makes Linear in its business and lower-cost strategy should generate higher margins and drive earnings high, making it the most attractive choice. Hedge fund gurus like Joel Greenblatt, Steven Cohen and Ray Dalio added this stock to their portfolios. I would advise fundamental investors to consider this attractive option for their portfolios as well.

Disclosure: Damian Illia holds no position in any stocks mentioned.

Forest Oil Turns Gain into Pain as Shares Fall 6% on Asset Sale

Forest Oil (FST) looked all set for a great day before the open after it announced that it would sell it’s assets in the Texas Panhandle. Those buyers have to be feeling like suckers right now, as shares of Forest Oil have plunged all morning.

REUTERS

Part of the problem may be the price. While Forest Oil received $1 billion for the sale, it doesn’t appear they received a premium for the assets. Stifel’s Amir Arif and team explain:

ST is selling all of its Texas Panhandle assets located primarily in Wheeler and Hemphill Counties that are prospective for the Granite Wash and shallower oil zones such as the Cleveland, Tonkawa, and Hogshooter to a subsidiary of Templar Energy. The transaction was valued at $1.0 billion and included roughly 100 mmcfe/d of production (50% liquids), 86.2mmboe of proved reserves, and a T12M EBITDA of $180mm. In our view, the transaction was largely in line at 5.5x EV/T12M EBITDA versus the corporate average of 5.2x EV/2014 EBITDA or $60,000 per flowing barrel, which was in line with prior transactions…

Also problematic: After the sale, it’s not clear where growth will come from. Forest Oil may even have to pursue acquisitions, says Jefferies’ Biju  Perincheril and Daniel Braziller:

With only about 28,000 net acres in the Eagle Ford and East Texas economics hampered by low gas prices, we think FST is likely to eventually pursue acquisitions to bolster its portfolio.

Top Insurance Companies To Own For 2014

On a day when other oil & gas companies are rallying, Forest Oil has dropped 5.8% to $5.98 at 11:08 a.m., after opening up 2.4%. QEP Resources (QEP), meanwhile, has gained 1.9% to $28.55, Continental Resources (CLR) has risen 1.7% to $113.36 and EOG Resources (EOG) has gained 1.1% to $173.71.