Monthly Archives: January 2012

Motorola Solutions Shows Positive Signs

Yesterday Motorola Solutions, Inc. announced that it will increase its stock repurchase program from $2 billion worth of stock to $3 billion. This initiative began in July, 2011 and since then $1.1 billion of stock had been repurchased by December 31, 2011. There remains $1.9 billion of stock repurchase from the 2012 repurchase budget.

The stock will be repurchased from cash and cash from existing operations. This is sign of financial health that the company is able to invest its money in its own stock. It also shows confidence that the stock price will rise.  The company’s operating margin was 12.25% and its profit margin was 14.12% which are good figures. In addition, Motorola declared a 22 cent dividend on January 27.

Motorola’s stock has been rising over the past two years, but since October 2011 the stock seems to have leveled off. The market may have been neutral on Motorola but the stock shows no sign of a downturn.  In fact, as of yesterday’s stock repurchase announcement, the stock research firm, Argus, has raised its rating on Motorola’s stock from hold to buy.

Some of the key managers and directors at Motorola Solutions are: Vincent J. Intrieri, Judy C. Lewent,  David W. Dorman,  Eduardo Conrado and Kenneth C. Dahlberg.

Disclaimer: The information in this article is insufficient for decision making. All investment decisions should only be made after a thorough analysis of the stock.

Given Imaging Ltd. Is Prospering In Its Niche

Given imaging Ltd. (GIVN) is a stock that over the last 2 years has fluctuated between $14 and $22. The stock is currently on its way up from its low of 14.25 on September 19, 2011. On January 26 the stock closed at $18.56. The stock is trading $1.32 over its 50 day exponential moving average (EMA) of $17.24.

The company produces very interesting devices for the gastrointestinal field of medicine. It has cameras that can be swallowed in capsule form. These cameras transmit pictures and data to devices outside the body so that the doctors can watch and analyze the patient’s gastrointestinal tract. There are separate cameras for the colon, small bowel, and esophagus. The company also offers products that analyze the data received from the camera transmissions.

In addition, Given Imaging has other products that monitor and scan various processes involved in treating the G.I. tract. The company markets its products mainly in the United States, Canada, Germany, France, Israel, Australia and Japan. One of the nice factors for the investor is that the health field it is fairly recession proof. People will need medical services and equipment and are willing to pay for them.

Some of the managers at Given Imaging are: Dr. Kazem Samandari , Ido Warshavski, Yuval Yanai,  Nachum  Shamir, Skip Baldino, and Keith A. Chrzanowski.

Disclaimer: The information provided here is basic information which is insufficient to formulate investment decisions. All investments should be made only after a thorough analysis of the investment.

Healthstream’s Stock Is Steadily Rising

Healthstream Inc. (HSTM) supplies both internet based learning and internet research abilities in the U.S. The HSTM learning segment provides education and training with management and administrative tools and other courses. It serves the healthcare industry, training health care workers for a large variey of jobs. The research segment of Healthstream provides research into various aspects of the health care industry including insights of employees, physicians, and surveys etc.

Healthstream’s stock has been doing very well, rising from $7.67 in April, 2011 to $18.47 as of January 27, 2012. The service is certainly needed because better training and educating employees helps the employees to work more effectively which increases profitability. The profitability, as shown by an operating margin of 12.81% and a profit margin of 8.17%, are respectable. The management effectiveness, as shown by the return on assets of 7.36% and the return on equity of 10.69% are also satisfactory. For a more conservative opinion regarding purchasing this stock see Scott Stoddard’s article ”Where to Invest: many stocks hit key support lines.”

Some of the directors and managers at Healthstream Inc. are Jeffrey Doster, C. Martin Harris M.D., Linda Rebrovick , William W. Stead M.D., Gerry Hayden, Arthur E. Newman, Michael J. Sousa.

Disclaimer: The information provided here is preliminary information and is insufficient to formulate investment decisions. All investments should be made only after a thorough analysis of the investment

Stanley Black & Decker Reports 20% Rise In Net Income

Stanley Black and Decker Inc. Company’s fourth quarter net income rose by 20%. The company attributed this success to higher prices, stronger sales and an acquisition. The company earned $165.3 million equaling 99 cents per share in the fourth quarter.  In the 4th quarter of 2010, the company made 137.8 million equaling 81 cents per share. John F. Ludgren, the president and CEO of Stanley Black and Decker (SWK) said that “We are proud of all we accomplished in the face of a choppy and unpredictable global macroeconomic backdrop. “

The company’s stock took a dip in September, 2011, but since then has risen from $48 to $72, providing a buying opportunity.

There were two important acquisitions that contributed to the company’s success. First, Stanley Works Inc. acquired Black and Decker in 2010 and paid off the company’s debts.  Both Stanley works Inc. and the original Black and Decker’s Company manufactured and many types of tools and hardware products. Therefore, the acquisition was natural and economically powerful. Second, earlier in 2011, The Company announced that it would be acquiring a commercial security and monitoring company called Niscayah Group AB.

Some of the directors and managers at Stanley black and Decker are Massimo Grassi, Michael A. Tyll, Jeff Hung-Tse Chen, Ben S. Sihota, Marianne Miller Parrs, John F. Lundgren, Virgis W. Colbert and Nolan D. Archibald.

Disclaimer: The information provided here is preliminary information and is insufficient to formulate investment decisions. All investments should be made only after a thorough analysis of the investment.

Radware Is A Major Player In Internet Connectivity

Radware Ltd.’s stock has been headed up from $20 per share at the beginning of October, 2011 to $31.62 on January 24, 2012. The stock’s high was 41.33 on February 17, 2011. The profitability ratios show an operating margin of 9.60% and a profit margin of 11.58% which are respectable ratios. The company is positioned in a growing field and has a strong basis for growth.

Radware Ltd. (RDWR) is a technology company specializing in network security and application delivery solutions to protect and enable data transfer through cloud centers. In addition, it provides a variety of other sophisticated network control functions. Radware serves clients in the following industries: global service providers, media companies, government agencies, insurance companies, banks, and manufacturing and retail.  It markets its products mainly in Europe, North America and Asia.

Some of the directors and managers at Radware are: Meir Moshe, Ilan Kinreich, Yehuda Zisapel, and Roy Zisapel.

Disclaimer: The information provided here is preliminary information and is insufficient to base investment decisions on. All investments should be made only after a thorough investigation of the investment.

Silicom Ltd Shows Tremendous Profits And Potential

Silicom Ltd (SILC) stock has risen from $12.31 in August 2011 to 19.33 as of January 23, 2012. The company provides connectivity solutions to servers and server based systems internationally.

Financially, the company’s 2011 revenues increased by 30% over their 2010 revenues: from 30.4 million dollars to 39.6 million dollars in 2011. Net income increased from $5.7 million in 2010 to $8.2 million in 2011. In addition, since 2009 the company has almost tripled its net income from $2.8 million in 2009 to $8.2 million in 2011. In addition, the operating margin (ttm) is 20.67% and the profit margin is at 20.29%. The management effectiveness ratios are return on assets of 7.54% and return on equity of 13.58%

The only problem that I see is that the trading volume is unusually low, ranging from 2,000 to 72,000 shares traded per day. This means that if one should need to sell in a hurry, he may have to wait for a day or more until  he makes the sale. I also prefer stocks that give dividends which Silicom does not, but I can’t call that a defect.

Some of the directors and managers at Silicom are: Ilan Kalmanovich, Zohar Zisapel, and Einat Domb-Har.

Disclaimer: The information provided here is preliminary information and is insufficient to base investment decisions on. All investments should be made only after a thorough investigation of the investment.

Ormat Technologies Is Gathering Steam

Ormat Technologies, Inc. (ORA) operates power plants based on both geothermal and energy recovery systems. Ormat designs, builds, owns and operates these power facilities throughout the world. Ormat also designs, produces and markets recovered and geothermal energy power units and other related equipment. This company has over 40 years of experience and has approximated 80 patents protecting its technology. The company has 12 power plants in the U.S., 2 in Guatemala, One in Kenya and one in Nicaragua.

According to a Morningstar article by Travis Miller, Ormat is a top utilities investment, partially because its type of energy source is cheaper and more reliable than wind and solar generation.  Also, coal power plants are encountering difficulties meeting government environmental standards and are being closed down.

Some of the top managers at Ormat Technologies are: Bob Sullivan,  Shimon Hatzir, Yoram Bronicki, Yehudit “Dita” Bronicki, and Lucien Y. Bronicki.

Disclaimer: The information provided here is preliminary information and is insufficient to base investment decisions on. All investments should be made only after a thorough investigation of the investment.

 

Teva Is a Strong Investment

Teva has rising revenues and earnings and its stock has been rising over the last four months. Since September 23 the stock has risen from $35 to $48. USB has given Teva a buy rating because it is expected to increase its market share. Teva is well positioned in the United States market and is working on expanding its market share in Europe and in other emerging markets. The company is winning or maintaining leading market positions in Italy, Hungary, the Netherlands, Portugal, Spain and the U.K.  The company is forecast to produce double digit earnings thanks to its strong development and acquisitions pipeline.

One of Teva’s stated goals is to become one of the largest pharmaceutical companies in the world.  In 2011, Teva acquired Thermax which had many women’s products and marketed them in over 50 countries. This acquisition gave Teva the rights to distribute in growing markets in Spain and Brazil. In 2011, Teva also bought Corporacion Infarmasa, one of the top ten Peruvian drug companies. This company marketed over 500 branded and generic drugs in Peru.

Some of the top directors and managers at Teva Pharmaceuticals are Ron Grupel,  Prof. Itzhak Krinsky,  Joseph Nitzani,  Erez Vigodman, Richard S. Egosi,  Uzi Karniel,  Ika Abravanel,   Ory Slonim,  Dr. Gerard W.M. Van Odijk,   Amir Elstein, Issac Abravanel,  Prof. Moshe Many, Roger Abravanel,  Prof. Yitzhak Peterburg,   Prof. Roger D. Kornberg, and  Frances M. Zipp,

Disclaimer: The information provided here is preliminary information and is insufficient to form investment decisions. All investments should be made only after a thorough investigation of the investment.

Deckers Outdoor Makes Strong Shoes and Strong Profits

Deckers Outdoor Corporation’s (DECK) stock has been moving sideways throughout 2011 and had 5 fluctuations between $75 and $105. It seems that the stock again bottomed out on December 30, 2011 at $76 and is on its way up again, currently selling at 84.73.

The company has solid fundamentals with an operating (profit) margin of 20.67% and a profit margin of 13.59%. Regarding management effectiveness the return on assets is17.84 % and the return on equity is 25.93%. All of these are good indicators, however, the operating cash flow (ttm) is -$20.41 million and the leveraged cash flow is -$54.17 million. Investors interested in this stock should investigate the importance of these figures.

 
Deckers Outdoor Corporation (DECK) designs, produces and markets footwear and accessories for men, women and children. Decker has five different brands of footwear and accessories under brand names UGG, Teva, Simple, TSUBO and Ahnu. Some of the top managers are Jessica Buttimer, Constance X. Rishwain, Zohar Ziv and John A. Kalinich.

Disclaimer: The information provided here is preliminary information and is insufficient to base investment decisions on. All investments should be made only after a thorough investigation of the investment.

Financial Relationships Between the U.S. and Latvia

Latvian Prime Minister Valdis Dombrovskis has been hard at work promoting American-Latvian relations.

In July, as part of a delegation of government officials, Prime Minister Dombrovskis visited the headquarters of investment firm NCH Capital Inc. He also spoke before an audience of investors, political and economic analysts, and he signaled an interest in creating stronger financial ties between the two countries.

Following up on that meeting, the Prime Minister visited two companies in early September in Latvia that are owned by private equity funds managed by New York-based NCH Capital, which was founded in 1993 by George Rohr and Moris Tabacinic.

He toured GroGlass with company president Nils Veidemanis, NCH’s Riga-based Senior Vice President Karl Cerbulis, and GroGlass Representative Artur Rozkalns. He then met with the Marketing and Technology Development Division Head Inguna Strazdina at Sidrabe and heard about their future goals and plans.