Streetwise
Lauren Rudd
Sunday, January 5, 2014
The Eagerly Anticipated Stock List
Never before has there been such great anticipation for my
list of 12 companies whose only goal is to stimulate your research
resourcefulness, so here we go.
Biogen Idec (BIIB) - Tecfidera, its oral multiple-sclerosis
drug has already managed to exceed expectations. Current outlook is for 2013
sales to total $830 million, with annual sales exceeding $5 billion by 2019.
Gilead (GILD) - No drug approved this year has the
expectations of Sovaldi, Gilead's treatment for hepatitis C. Although annual
sales are not expected to hit their peak until 2018, two weeks of available data
has indicates Q4 sales of $98 million, exceeding forecasts of $73 million plus.
AbbVie (ABBV) - is a research-based biopharmaceutical company
spun off from Abbott Labs. Its product portfolio includes a range of adult and
pediatric pharmaceuticals, including HUMIRA, a biologic therapy for autoimmune
diseases, Synthroid for hypothyroidism, and AndroGel, a testosterone replacement
therapy.
Abbott Labs (ABT) - engages in the development, manufacture,
and sale of a large smorgasbord of health care products to retailers,
wholesalers, hospitals, health care facilities, laboratories, physicians'
offices, and government agencies.
Aflac (AFL) - well known for its television commercials
showcasing the endearing Aflac Duck, Aflac is the country’s largest provider of
supplemental insurance. The company has a strong balance sheet, good dividend
history and solid earnings growth. The payout ratio over the past 10 years has
only increased by 15 percent, while the dividend payout has seen a 17 percent
compounded annual growth rate, meaning the company is not hiding a lack of
dividend growth by increasing the payout ratio.
MWI Veterinary Supply (MWIV) - estimates FY 2015 revenues of
$2.89 to $2.94 billion, representing a growth rate of 23 to 25 percent. Earnings
estimated to come in at $5.47 to $5.67 per share, an increase of 10.5 to 14.5
percent year-over-year.
Intel (INTC) – has said the tablet market will be its focus
in 2014. A key driver will be "Bay Trail,” Intel's latest system-on-a-chip
processor family developed for devices that need a delicate balance of
performance and power.
Tractor Supply (TSCO) - is the largest operator of farm and
ranch stores. The company has a consistent focus on maximizing productivity,
expanding its store base, while utilizing technological advancements and
initiatives to expand its portfolio brand. The company has forecasted a per
share earnings growth rate of 17.9 percent.
United Technologies (UTX) - reported third quarter 2013
earnings from continuing operations of $1.55 per share, up from $1.37 in the
year-ago quarter. Net income improved 13 percent from the year-ago quarter to
$1.4 billion. United Technologies expects revenues in 2013 of $63 billion with
earnings in the range of $6.10 to $6.15 per share.
Toro (TTC) - For its fiscal year ended October 31, Toro
reported net earnings of $2.62 per share on net sales of $2.041 billion, an
increase of 4.2 percent. The company expects revenue growth for fiscal 2014 of 4
to 5 percent with net earnings $2.85 to $2.90 per share.
AmerisourceBergen (ABC) - expects 2014 earnings from
continuing operations to come in at around $3.60 to $3.73 per share, up 12 to 16
percent over the $3.21 reported in fiscal 2013. Revenue growth is expected to be
between 28 and 31 percent. Contracts with Express Scripts and a distribution
agreement with Walgreen should positively impact fiscal 2014.
Cummins (CMI) - has already set the 2014 ball rolling with
the Cummins-Westport ISX12G engine, a natural gas engine for heavy duty trucks.
Cummins also announced that Nissan has selected Cummins’ 5.0L V8 turbo diesel
engine for the next-generation Titan pickup.
Please keep in mind that the list is not intended to be an instant portfolio
where you simply add water and stir. On the contrary, it is designed to be a
catalyst to stimulate ideas and thinking on your part about possible sectors and
companies you might want to investigate.