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5 Top Stock Picks to Start the Summer in 2014

Our list of stocks to buy for this month all pack a punch in three different ways.
First, following my prediction that retail stocks would be the place to be for 2012, June’s best stocks are those whose bread-and-butter is the American consumer.
In addition, investors are increasingly favoring companies engaged in aggressive stock buyback programs, so I’ve included a few of our biggest share repurchase players in this list.
Finally, with first-quarter earnings under our belt, this list of stocks represents some of the biggest winners from the past earnings season.
In the current narrow market, the following five stocks represent some of the best buying opportunities out there.

5 Top Stock Picks to Start the Summer in 2014 1) Alexion Pharmaceuticals

Alexion Pharmaceuticals (NASDAQ:ALXN). Ever since I first highlighted ALXN in October, this stock has been on a steady climb, gaining nearly 40%.
Sales of Alexion’s blood disorder drug Soliris continue to gain, helping to fuel strong first-quarter operating results. Profits boomed 69% to $45.5 million, or 45 cents per share, and net sales jumped 47% to $244.7 million. Better yet, Alexion was able to beat the Street earnings view by 15%.
Looking ahead, management remains bullish; it has raised its 2012 sales guidance to between $1.07 billion and $1.09 billion and its earnings guidance to a range of $1.65 and $1.75 per share. This also tops analyst estimates of earnings of $1.74 per share on $1.07 billion in sales.

5 Top Stock Picks to Start the Summer in 2014 2) Dollar Tree

Dollar Tree (NASDAQ:DLTR) has been on a great run since October, gaining more than 30%. But there’s plenty of upside left to this stock considering its $1.5 billion buyback program and its most recent earnings announcement.
The company recently reported record first-quarter sales and earnings. Earnings jumped 16% to $116.1 million, or $1.00 per share. Over the same period, net sales increased 11% to $1.72 billion. Although the company’s second-quarter guidance just missed analyst expectations, I’m encouraged that Dollar Tree raised its full-year guidance.

5 Top Stock Picks to Start the Summer in 2014 3) O’Reilly Automotive

O’Reilly (NASDAQ:ORLY) may have started out as a mom-and-pop auto parts business, but with a $500 million share repurchase program currently under its belt, this company has clearly grown into a major force in the Auto Parts industry.
This company recently announced stunning first-quarter operating results. To start, compared with Q1 2011, net income jumped 44% to $147.5 million, or $1.14 per share. Adjusted earnings weighed in at $1.14 per share, which topped the $1.04 consensus by 10%. Over the same time frame, sales rose 11% to $1.53 billion, beating analyst estimates by 3%.
Looking ahead to the second quarter, the company expects earnings to weigh in between $1.13 and $1.17 per share, while the Street sees $1.17 in earnings per share. The company also raised its 2012 earnings guidance to $4.47 to 4.57 per share, compared with the Street view of $4.51 per share.
5 Top Stock Picks to Start the Summer in 2014 4) Ross Stores
Ross (NASDAQ:ROST) is a bargain apparel and home fashion chain that is known for letting its customers “Dress for Less.” And, as shoppers continue to be judicious with their spending, this business model is clearly paying off.
Thanks to robust sales growth across many of its markets, the company reported a 21% year-over-year jump in profits. Over the same period, total sales jumped 14% to $2.36 billion. Looking forward, the company plans to more-than double its store count and buy back $450 million of its stock in 2012.
I fully expect Ross to continue to show relative strength into the summer months.

5 Top Stock Picks to Start the Summer in 2014 5) Verisk Analytics

Verisk (NASDAQ:VRSK) is a newcomer to our list that I added in April, and it’s already posted a tidy little gain.
One reason that this is such an exciting company is that it recently expanded its business operations to include crime-related risk management. Thanks to a series of product launches and acquisitions, Verisk now has national crime databases at its disposal — opening Verisk up to new clients and increasing its attractiveness with existing customers. Plus, it should be accretive to next quarter’s earnings.
In the most recent quarter, Verisk posted 11% sales growth and 13% earnings growth; the company also topped the consensus earnings estimate by 2%. Verisk is also in the middle of an aggressive stock buyback program; the company plans on repurchasing an additional $267.9 million of its own shares.

5 Top Stock Picks to Start the Summer in 2013

5 Top Stock Picks to Start the Summer in 2013 1) Alexion Pharmaceuticals

5 Top Stock Picks to Start the Summer in 2013 2) Dollar Tree

5 Top Stock Picks to Start the Summer in 2013 3) O’Reilly Automotive

O’Reilly (NASDAQ:ORLY) may have started out as a mom-and-pop auto parts business, but with a $500 million share repurchase program currently under its belt, this company has clearly grown into a major force in the Auto Parts industry.
This company recently announced stunning first-quarter operating results. To start, compared with Q1 2011, net income jumped 44% to $147.5 million, or $1.14 per share. Adjusted earnings weighed in at $1.14 per share, which topped the $1.04 consensus by 10%. Over the same time frame, sales rose 11% to $1.53 billion, beating analyst estimates by 3%.
Looking ahead to the second quarter, the company expects earnings to weigh in between $1.13 and $1.17 per share, while the Street sees $1.17 in earnings per share. The company also raised its 2012 earnings guidance to $4.47 to 4.57 per share, compared with the Street view of $4.51 per share.
5 Top Stock Picks to Start the Summer in 2013 4) Ross Stores
Ross (NASDAQ:ROST) is a bargain apparel and home fashion chain that is known for letting its customers “Dress for Less.” And, as shoppers continue to be judicious with their spending, this business model is clearly paying off.
Thanks to robust sales growth across many of its markets, the company reported a 21% year-over-year jump in profits. Over the same period, total sales jumped 14% to $2.36 billion. Looking forward, the company plans to more-than double its store count and buy back $450 million of its stock in 2012.
I fully expect Ross to continue to show relative strength into the summer months.

5 Top Stock Picks to Start the Summer in 2013 5) Verisk Analytics

Dividend Stocks 2012:3 Health Care Plays With Healthy Dividends

Heath care stocks are the no-brainer demographic trend that every investor should take advantage of.
The aging baby boomers will demand more services, prescriptions and medical care. Health care is recession-proof, since people rarely will cut back on their quality of life even if money is stretched thin. The big-picture reasons go on and on.
Perhaps the most compelling case for investors can be seen in the recent performance of health care-focused funds. The Vanguard Health Care ETF (NYSE:VHT) and the iShares Dow Jones US Healthcare ETF (NYSEARCA:IYH), for instance, have both doubled the returns of the Dow Jones Industrials in the last year — with roughly 12% gains over the benchmark index’s 6% rise. They also blow away the measly 2% tallied by the S&P 500 in the last 12 months.
The only downside for buy-and-hold investors is the distributions, or dividends, paid by these ETFs. While 1.4% for the iShares health care ETF and 1.6% for the Vanguard health care ETF aren’t terrible, those yields are hardly attractive when you consider many picks in the sector boast dividends well over 3% and sometimes even topping 4%.
Also, health care could always take a hit in 2012 and beyond. The sector isn’t immune to broader economic troubles, even if it is relatively insulated. Specific challenges also confront many health care subsectors — patent expirations for Big Pharma stocks like Eli Lilly (NYSE:LLY), Pfizer (NYSE:PFE) and Merck (NYSE:MRK) being the most obvious.
But if you do your research, you can find a number of health care picks that seem to be great long-term investments. Here are three. Not only are they relatively low-risk, each of them pays a plump dividend with a yield of more than 4%.

Dividend Stocks 2012 - HCP

HCP (NYSE:HCP) is a real estate investment trust (REIT). I know what you’re thinking: What does real estate have to do with health care? Well, HCP invests primarily in senior housing, medical office buildings and hospitals. That means it’s well positioned not just in terms of growth in the health care business but also because it will be a powerful dividend payer.
That’s because REITs deliver 90% of their taxable income back to shareholders according to federal law. They do this via big dividends — currently a yield of 4.6% in HCP’s case.
This is a sleepy play that certainly won’t deliver massive growth. REITs aren’t set up that way. But if you’re looking for a solid dividend payer that will ride the rising tide in health care, consider HCP. The stock is up 13% in the last 12 months, double the Dow Jones Industrials. It’s also up 40% since January 2010, vs. just 25% for the benchmark index.

Dividend Stocks 2012 - Meridian Bioscience

As a provider of diagnostic test kits, Meridian Bioscience (NYSE:VIVO) is in the business of screening for diseases to help treat them or prevent breakouts. The rhetoric about growing health care costs and how “an ounce of prevention is worth a pound of cure” seems to align perfectly with Meridian’s business model, making it a good candidate for a long-term buy.
The company is admittedly a bit riskier than larger picks in the sector, of course. It has a market cap of only about $800 million. Also, VIVO shares flopped big-time during the volatility of last summer, and they remain off about 33%. The company has run into short-term headwinds, too, having missed its earnings targets for the quarter just recently.
However, Meridian’s quarterly revenue was up 8% year-over-year in its most recent earnings report, and full-year revenue for fiscal 2011 was up almost 12%. Yes, profits were flat — but the company has zero long-term debt and remains soundly profitable.
With a 4% dividend and safe operations like that, you may want to consider a long-term play in Meridian to see what else this company has coming down the pipeline in the next few years.

Dividend Stocks 2012 - Lincare

Lincare Holdings (NASDAQ:LNCR) is a leading provider of in-home care, which includes oxygen tanks and other respiratory gear. Lincare serves about 750,000 customers nationwide.
Thanks to the demographics fueling in-home care — many more patients to serve and a system that prefers to keep those patients at home for treatment — Lincare has posted seven straight quarters of year-over-year revenue growth. Its earnings have risen by about 45% from fiscal 2009 through its just-completed 2011 fiscal year. Despite this growth, it’s priced at a reasonable P/E of around 11 right now.
The possibility of Medicare reimbursement changing and some general competitive challenges are concerns that could hold Lincare back. In fact, Deutsche Bank just downgraded the stock to hold in January in advance of Lincare’s Feb. 6 earnings announcement.
However, the home-care business seems the perfect growth opportunity as baby boomers age, and the nice 3.1% dividend will tide you over while you watch and wait.

3 Crash-Proof Dividend Stocks to Buy in 2012

The market is having an off week and has lost ground six of the last eight days. That has some investors wondering if the rally is “too good to be true.”
There’s no doubt we could be in store for some short-term volatility. There’s the “sell in May” seasonality at play that we hear so much about. Earnings season always is a period of uncertainty, where a few bad headlines could sink a sector or send the market running for cover. There also are continued fireworks in Europe, with Spain now the crisis du jour. And let’s not forget the fact that some jobs data at home was less than impressive and has caused some to wonder if the economy is healing fast enough — or still healing at all.
I know it’s hard to do … but if you’re a buy-and-hold investor, you have to just tune this out. There are a host of excellent low-risk dividend stocks that will serve your portfolio well over the next few years, even if they do take a short-term stumble. And if you’re smart, you can use a short-term slide as a buying opportunity.
So what picks should be on your radar right now even if the market could take a spill? Here are three of my favorite crash-proof dividend stocks to consider as long-term plays.

3 Crash-Proof Dividend Stocks to Buy in 2012 General Mills

Here’s an impressive stat for you: General Mills (NYSE:GIS) has paid a dividend for 113 years, never once cutting its payouts in over a century. The current yield is an attractive 3.1%, and the payout ratio — that is, the portion of profits that are dedicated to dividends — is a very sustainable 45%. Historically, most dividend stocks’ payout ratios are around 50%.
The trajectory of earnings and revenue at General Mills is understandably sleepy. After all, this is a packaged foods company and there’s only so much growth in the grocery aisles. However brands like Lucky Charms, Betty Crocker and Hamburger Helper are some of the most powerful names in the business. That means stability — and has resulted in an S&P Quality Ranking of A+, an exclusive rating reserved for only the most reliable and low-risk stocks reviewed by Standard & Poor’s.
But don’t think growth is out of the question. General Mills is building a big international presence that’s paying off. Fiscal third-quarter net sales for General Mills, reported in March, showed that international sales grew 51% year-over-year — 43% of that growth coming from a shrewd 2011 Yoplait acquisition.
In short, the dividend and balance sheet are both bulletproof. So why worry about short-term macro fears with a stock like this?
For those concerned about buying a top, it’s also worth noting that GIS stock has rolled back recently about 5% from its 52-week high in January. That might not sound like much, but the 52-week range for GIS is a very tight band of $34.64 to $41.06 — so buy the minor dip if you can, because this stock is pretty much crash-proof.
Oh, and long-term performance hasn’t exactly been sleepy, either. GIS has a five-year return of 32% vs. about 3% for the Dow Jones Industrial Average. Not bad.
Yes, rising input costs for packaged foods companies is a concern. But long-term investors should see this as an opportunity to build a position in a crash-proof dividend stock in the sector like General Mills.

3 Crash-Proof Dividend Stocks to Buy in 2012 DuPont

E.I. du Pont de Nemours and Company (NYSE:DD) — or just plain old DuPont to most of us — is only the top chemicals producer in the world. It’s not a sexy business, making polymers and adhesive and the like, but it’s certainly a profitable one. It’s also worth noting that DuPont has taken great strides to move beyond nylon — with R&D centers all over the world working on genetic research, biofuels and electronics.
Like General Mills, Dupont offers a 3.1% yield, and its dividend payout ratio is about 45% based on fiscal 2011 earnings. DuPont also has paid dividends for over a century, dating back to 1904. Quite an income play, without a doubt.
On the earnings and sales side, the numbers are growing strongly. Take a look at these figures since the recession and financial crisis:

Fiscal 2009: $26.1 billion in revenue, $1.92 in earnings per share.
Fiscal 2010: $31.5 billion in revenue (+20%), $3.28 in EPS (+70%)
Fiscal 2011: $38.7 billion in revenue (+22%), $3.68 in EPS (+12%)
Fiscal 2012 Forecasts: $41.4 billion in revenue (+6%), $4.25 in EPS (+15%)

Some of that growth has come on acquisitions, such as the 2011 integration of Denmark food, chemical and biofuel company Danisco. That deal added more than $2 billion in revenue to DuPont. But organic growth also is very much part of the DuPont success story, with consistent improvement in the bottom line as shown above. The company is riding nine straight quarters of year-over-year revenue growth and four straight quarters of EPS growth as it prepares to report earnings Thursday, April 19.
DuPont is up 15% year-to-date in 2012, and seems to be heating up. However, shares remain almost 10% off their 2011 peak. What’s more, DuPont has a forward P/E of under 11 based on fiscal 2013 earnings — and a current P/E of just 14.
Admittedly, long-term performance isn’t much to scream about. The stock has a five-year return of 6% vs. 3% for the Dow — outperforming, but not by much. More troublesome is a 10-year return of just 12% vs. 26% for the benchmark Dow Jones Industrial Average.
However, there is reason to think that the past several years have been an important turning point for DuPont, as it has refocused through divestitures, acquisitions and product development. And if the last few years of big growth can’t be replicated in the years ahead? Well, then investors still can be content with DuPont’s industry dominance and nice dividend — making it an attractive low-risk investment with limited downside.

3 Crash-Proof Dividend Stocks to Buy in 2012 Johnson & Johnson

Many investors might not see any pharma stock as “low-risk” right now, even with a plump dividend yield. However, Johnson & Johnson (NYSE:JNJ) is not your typical pharmaceutical company because of its very strong consumer health business. Band-Aid bandages, Tylenol medications, Neutrogena skin care and Acuvue contact lens products are just a few of the items J&J sells at the grocery store instead of behind the pharmacy counter.
On the dividend front, you’ll be hard pressed to find a company with a better track record of distributions. The company has paid dividends since 1944, but more importantly has raised its dividend annually for 49 years in a row! In the past 10 years, the company has boosted distributions by a 12.4% annual rate. Think about that — as companies from Citigroup (NYSE:C) to General Electric (NYSE:GE) to Ford (NYSE:F) have shadows of their pre-recession dividends, Johnson & Johnson has been upping the ante at more than 12% per year on average.
And don’t think those increases have been from a measly sum to a slightly bigger sum. The annual payout is $2.28 a year with a headline yield of 3.5%. It has a slightly higher dividend payout ratio than these other two picks, of around 64%, but it also is one of the only four blue-chip stocks to get a AAA debt rating from Standard & Poor’s.
But enough about the dividend: Let’s talk about the prospect for growth and stability. The trouble with Johnson & Johnson lately has been serious concerns about product quality — including more than 50 drug and device recalls since 2010 thanks in part to problems at manufacturing facilities. This has been a major distraction and a hit to the company’s reputation.
However, even amid those costly recalls and the tarnish on the J&J brand, the company has managed to post four consecutive quarters of year-over-year revenue growth. And while profits took a hit in fiscal 2011, the company is projecting earnings growth of more than 45% in fiscal 2012!
More interesting to me is the 2011 buyout of Swiss-American medical device maker Synthes for a massive $21.3 billion. Before the deal was announced, JNJ stock was hanging out at around $59 a share. After the deal was announced, the stock spiked 10% in a matter of days.
But continued recall woes have been a distraction, and Wall Street has been focused on changes in the corner office as longtime leader William Weldon will hand the reins over to a former Army Ranger. JNJ is now about 7% off its 52-high attained last summer, and is in the red year-to-date in 2012.
Calling JNJ a turnaround play is a bit of an overstatement, since this company never was at risk of going anywhere. But it’s safe to say that now is a good buying opportunity as the company looks to refocus and win back Wall Street.
And if it doesn’t? Well, the bad news is baked in and the Synthes acquisition is going to naturally inflate numbers in the next few quarters. Look for proof of that when JNJ reports on Tuesday, April 17.

Top 4 Dividend Stocks to Play High Oil Prices in 2012

What’s an investor’s biggest long-term enemy?Top 4 Dividend Stocks tobuy in 2012 -
Not depression or economic collapse. Not even taxes. It’s the insidious debasement of the dollar through inflation. (You’ll need $7 to buy today what a dollar would have bought in 1965.) If you’re retired or otherwise living off your investments, one of your primary goals for the long run is to protect your purchasing power.

Certain tangible assets, such as gold and silver, can serve this purpose admirably — at least if you hold them long enough. However, precious metals and other raw materials present a difficulty: They generate no income. You have to sell them to realize spendable cash, and there’s no guarantee the market will offer you a favorable price if you need to sell in a hurry.
To sidestep these obstacles, I advise folks in or near retirement — or those who simply want to build more income (and stability) into their portfolio — to invest a portion of their wealth in companies that produce commodities. At the moment, the oil and gas sector in particular is brimming with opportunities to earn a generous cash yield up front.
Of course, the petroleum-producing business also furnishes an excellent long-term hedge against inflation. As the chart below illustrates, oil usage in the Old World (United States, Western Europe, Japan) actually has declined a bit since the late 1990s. But the New World — Asia, Latin America and so on — has taken up all the slack and more. In real (inflation-adjusted) terms, we can expect oil prices to remain high for a long time to come, triggering outsized profits for companies that mine “black gold.”
emerging-markets-oil-usage

2 Dividend Stocks to Play Oil Producers

For conservative investors — a category that includes most retirees — I suggest taking a look at giant, well-known international producers. Some are on the expensive side right now, such as Top 4 Dividend Stocks tobuy in 2012 -ExxonMobil (NYSE:XOM) and Chevron (NYSE:CVX). Thus, I rate this pair a hold rather than a buy at the current price. Ditto for BP (NYSE:BP). On the other hand, here are two oil majors you can safely buy for income and growth at, or slightly below, today’s levels:
My top pick right now in the group is Top 4 Dividend Stocks tobuy in 2012 -Royal Dutch Shell (NYSE:RDS.B), which currently yields 4.6%. In February, Shell raised its dividend for the first time since 2009 — a sign of management’s growing confidence that the company can meet its target for a 25% boost in production by 2017-18. I favor the Class B shares, based in London, because they incur no dividend withholding tax. Buy RDS.B at $73 or less.

Top 40 Dividend Stocks to Invest in 2012

Dividend stocks have long been considered an essential part of a balanced portfolio. While investors can seek out growth stocks to ramp up their returns, the stable, regular income of dividend stocks can help shoulder the load when the markets aren’t cooperating.

In its quest to recognize those stocks that deliver ample payouts, European financier Societe Generale (PINK:SCGLY) recently published its annual report of the top 40 dividend payers across the globe, based on 2011 dividends. And in addition to dropping some whopping numbers — for instance, European telecom Telefonica (NYSE:TEF) paid out 12% last year, and even after its announced cut, still yields 9% — there’s a few interesting trends.

First, a look at the list:

SocGen’s 40 Best Dividend Stocks in the World
Company	Ticker	Yield	Company	Ticker	Yield
Telefonica	TEF	12%	Roche	RHHBY	4.2%
Banco Santander	STD	9.9%	Siemens	SI	4.0%
Westpac	WBK	7.9%	BP	BP	3.9%
National Australia Bank	NABZY	7.7%	Merck	MRK	3.8%
Vodafone	VOD	7.6%	Philip Morris	PM	3.8%
Vale	VALE	7.4%	Pfizer	PFE	3.7%
France Telecom	FTE	7.4%	General Electric	GE	3.6%
ANZ Banking	ANZBY	7.0%	Nestle	NSRGY	3.6%
Commonwealth Bank of Australia	CBAUY	6.6%	Johnson & Johnson	JNJ	3.4%
AT&T	T	6.5%	Intel	INTC	3.2%
ENI	E	6.1%	JPMorgan Chase	JPM	3.2%
Total	TOT	5.7%	Procter & Gamble	PG	3.2%
Verizon	VZ	5.1%	BHP Billiton	BHP	2.9%
GlaxoSmithKline	GSK	4.8%	Chevron	CVX	2.9%
Royal Dutch Shell (A Shares)	RDS.A	4.8%	Coca-Cola	KO	2.8%
HSBC	HBC	4.8%	Microsoft	MSFT	2.6%
Sanofi-Aventis	SNY	4.7%	Wal-Mart	WMT	2.4%
Royal Dutch Shell (B Shares)	RDS.B	4.6%	Wells Fargo	WFC	2.4%
Novartis	NVS	4.4%	Exxon Mobil	XOM	2.1%
British American Tobacco	BAT	4.3%	IBM	IBM	1.6%
Note: Companies ranked on blend of 2011 dividends and company-specific characteristics. Share prices used to determine ranking are from Jan. 23, 2012

While emerging markets might be hot regions for growth, no one can beat ol’ fuddy-duddy Europe and the United States for income investing — the regions combine for 85% of the companies on this list. “Oceania” really refers to Australia and its bevy of high-yielding banks — as well as miner BHP Billiton (NYSE:BHP) at 2.9%. And the emerging market of Brazil did manage to make it onto the list, with miner and metal company Vale (NYSE:VALE) representing South America at an enormous 7.4% yield. The breakdown is shown below:

Broken down by industry, financial, energy and pharma companies are the heaviest hitters in dividends, with a good spread in telecoms — for instance, frequent Dow dividend leaders AT&T (NYSE:T) and Verizon (NYSE:VZ) — and technology.

10 Best Industrial Stocks Poised to Break Out in 2012

As the broader market rally continues to bring individual stocks near their highs of earlier last summer, the list of potential breakout candidates grows. The energy and technology sectors both have been fertile ground in which to find stocks on the verge of breaking out to new high ground, and now the industrial sector is setting up as a source of opportunity — providing, of course, that the broader market can hold up.
One way to play this is simply to use the Select Sector Industrial SPDR (NYSE:XLI) ETF, which closed Wednesday 5.9% short of its 52-week high of $38.98. But for those who prefer the higher-beta potential of individual stocks, here are a number of names to consider:

10 Best Industrial Stocks Poised to Break Out in 2012 - FedEx

NYSE:FDX
Wednesday’s close: $94.15
Breakout level: $98.66
10 Best Industrial Stocks Poised to Break Out in 2012 - Percent move needed for breakout: 4.8%

This is the fourth time in two years that FDX has entered the $95-$100 range. While a break above $98.66 still would leave the stock well short of its all-time high above $120, set in 2007, note that United Parcel Service (NYSE:UPS) already has moved out to a new high off of a similar formation as FDX. This bodes well for FedEx if the broader market holds up.

10 Best Industrial Stocks Poised to Break Out in 2012 - Canadian National Railway

NYSE:CNI
Wednesday’s close: $77.53
Breakout level: $81.26
Percent move needed for breakout: 4.8%
Similar to FedEx, a number of CNI’s industry peers have broken out to new highs in recent months, among them Union Pacific (NYSE:UNP), Canadian Pacific Railway (NYSE:CP) and Kansas City Southern (NYSE:KSU).

10 Best Industrial Stocks Poised to Break Out in 2012 - Caterpillar

NYSE:CAT
Wednesday’s close: $112.53
Breakout level: $116.55
Percent move needed for breakout: 3.6%

10 Best Industrial Stocks Poised to Break Out in 2012 - BorgWarner

NYSE:BWA
Wednesday’s close: $80.58
Breakout level: $82.28
Percent move needed for breakout: 2.1%

10 Best Industrial Stocks Poised to Break Out in 2012 - Fiserv

Click to EnlargeNASDAQ:FISV
Wednesday’s close: $64.65
Breakout level: $66.06
Percent move needed for breakout: 2.2%

10 Best Industrial Stocks Poised to Break Out in 2012 - Praxair

NYSE:PX
Wednesday’s close: $107.66
Breakout level: $111.74
Percent move needed for breakout: 3.8%

10 Best Industrial Stocks Poised to Break Out in 2012 - Heico

NYSE:HEI
Wednesday’s close: $58.43
Breakout level: $61.97
Percent move needed for breakout: 6.1%

Eagle Materials

NYSE:EXP
Wednesday’s close: $33.27
Breakout level: $33.66
Percent move needed for breakout: 1.2%

Acuity Brands

NYSE:AYI
Wednesday’s close: $59.23
Breakout level: $61.45
Percent move needed for breakout: 3.7%
10 Best Industrial Stocks Poised to Break Out in 2012 - Crane

NYSE:CR
Wednesday’s close: $49.06
Breakout level: $52.38
Percent move needed for breakout: 6.8%
While these 10 charts look to be the most compelling, four others also have the potential for a breakout to new highs: Honeywell International (NYSE:HON), which is 5.6% away from breaking out; Ball Corp. (NYSE:BLL), 2.3%; Wabtec (NYSE:WAB), 8.2%; and Carlisle Cos. (NYSE:CSL), 8.1%.

5 Foreign Dividend Stocks Strongholds to Buy in 2012

In case you hadn’t noticed, it’s rough out there. Europe still is quite the mess. China, while still growing, is looking a little suspect these days, and growth in much of the rest of the developing world — particularly in commodity-exporting countries like Brazil — depend on Chinese growth that might not materialize if present trends continue.
If you’re depending purely on growth to meet your investment goals, you might end up be sorely disappointed. Prudent investors instead should turn to something a little more reliable: income.
Traditional income investments like bonds and CDs pay virtually nothing in interest these days, but it still is possible to get a decent cash income return in the world’s stock markets. Let’s take a look at these five foreign dividend strongholds:

5 Foreign Dividend Stocks Strongholds to Buy in 2012 - China Mobile

I’ll start with a Chinese company that should continue to prosper regardless of whether the Chinese economy makes a hard landing: China Mobile (NYSE:CHL).
China Mobile is the largest cellular phone provider in China. In a given year, its growth in new subscribers is greater than entire population of the United Kingdom. Again, that’s just the new subscribers; it says nothing of the 600 million existing subscribers.
China Mobile pays a safe 3.6% in dividends — substantially more than what the 10-year Treasury pays — and CHL’s dividend is almost certain to grow in the years ahead.
Even during hard economic times, consumers are unlikely to surrender their mobile phones; many would sooner leave their electric bill unpaid and sit in the dark than be unconnected in a connected world.

5 Foreign Dividend Stocks Strongholds to Buy in 2012 -

Telefonica

This brings me to my next recommendation, Spain’s Telefonica (NYSE:TEF). Telefonica has been a favorite of the Sizemore Investment Letter for years, and for good reason. In addition to being one of Europe’s leaders in mobile telecom, Telefonica is in a two-dog race with Carlos Slim’s America Movil (NASDAQ:AMOV) for dominance of the fast-growing Latin American market. At just 7 times expected 2012 earnings, Telefonica is one of the cheapest companies in the world. It also pays a spectacular 9.8% in dividends.

5 Foreign Dividend Stocks Strongholds to Buy in 2012 -

Nestle

Next on the list is Swiss confectionery giant Nestle (PINK:NSRGY). Nestle is one of the safest and most stable companies in the world. In addition to selling staple products — everything from packaged food to instant coffee — that consumers will buy in good times or bad, it has a conservative and well-respected management team based in Switzerland.
While there might be no such thing as a true “buy and forget” investment, Nestle might be the closest I’ve ever seen. At a current dividend yield of 3.4%, Nestle represents an incredible value.

5 Foreign Dividend Stocks Strongholds to Buy in 2012 -

Unilever

I would say much the same about Anglo-Dutch consumer products company Unilever (NYSE:UL). This stodgy old maker of packaged foods and personal care products happens to get the majority of its sales from fast-growing emerging markets and expects to get 70% of its revenues from emerging markets within a few years. Unilever pays a dividend of 3.7% and has a long history of raising its dividend over time.
Like Nestle, Unilever is about as close as you can get to a “buy and forget” investment.

5 Foreign Dividend Stocks Strongholds to Buy in 2012 -

Philip Morris International

My last recommendation — Philip Morris International (NYSE:PM) — is not technically a foreign stock, as it is based in the United States. Still, as the entirety of its revenues come from overseas, I think it’s fair to lump Philip Morris in with the rest of these solid international picks.
While smoking is in terminal decline in the United States, it still is quite popular in many emerging markets, from which PM gets roughly half of its sales. As incomes rise, local consumers are trading up from cheaper local brands to premium foreign brands like Marlboro.
I’ve written before about the virtues of investing in vice, and I continue to view tobacco stocks as excellent long-term investments. With a dividend of 3.8% and growing, Philip Morris International is a stock you don’t want to miss.
We might yet see robust growth in 2012, dear reader. I certainly hope we do; after a volatile year like 2011, it feels good to be in a bull market again. But then, that growth might well prove to be fleeting. Given the macro risks coming out of Europe and beyond, it is a mistake to depend too heavily on growth that might or might not come to pass.
The good news is that with a properly constructed dividend stock portfolio, you can earn a respectable return in either event.

Best Dividends in 2012 - 17 Companies Increasing Dividends

Another week is in the books, and once again we saw another bevy of big names reporting earnings — and boosting shareholder bottom lines. This week’s diverse group of dividend divas includes a REIT, a bourbon maker, a tech titan and two iconic toy makers. Here are 17 companies increasing dividends.
Apartment REIT AvalonBay Communities (NYSE:AVB) raised the rent it pays to shareholders by 8.7% to 97 cents per share. The new dividend is payable on Apr. 16 to shareholders of record as of March 30. The new dividend yield, based on the Feb. 1 closing price of $136.92 (the day the dividend was declared), is 2.83%.
Bourbon maker Best Dividends in 2012 - 17 Companies Increasing Dividends - Beam (NYSE:BEAM) distilled a new dividend of 20.5 cents per share, a 7.9% increase from the previous payout. The new, higher-proof dividend will be poured on March 1 to shareholders of record as of Feb. 8. The new dividend yield, based on the Jan. 27 closing price of $52.77, is 1.55%.
Wireless chipmaker Broadcom (NASDAQ:BRCM) rang up shareholders’ cell phones with an 11% spike in its quarterly payout to 10 cents per share. The new dividend will be paid March 5 to shareholders of record as of Feb. 17. The new dividend yield, based on the Jan. 31 closing price of $34.35, is 1.16%.
Exchange operator CME Group (NYSE:CME) traded up for a higher payout to shareholders, increasing its dividend by 59% to $2.23 per share. The company also declared an additional, annual variable dividend, amounting to $3 per share in 2012. Both dividends, totaling $5.23 per share, will be payable on March 26 to shareholders of record as of March 9. The new dividend yield, based on the Feb. 2 closing price of $266.01, is 3.35%.
Electric and gas utility Best Dividends in 2012 - 17 Companies Increasing Dividends - CMS Energy (NYSE:CMS) turned the power up on its dividend, increasing the payout 14% to 24 cents per share. The new dividend will be paid on Feb. 29 to shareholders of record as of Feb. 10. The new dividend yield, based on the Jan. 27 closing price of $22.09, is 4.35%.
Filtration systems maker Donaldson (NYSE:DCI) purified its payout, upping its quarterly dividend 7% to 16 cents per share. The new dividend is payable March 9 to shareholders of record as of Feb. 17. The new dividend yield, based on the Jan. 27 closing price of $71.61, is .89%. The company also authorized a two-for-one split of its common stock, which will take effect March 23 to shareholders of record as of March 2.
Engineering and construction firm Best Dividends in 2012 - 17 Companies Increasing Dividends - Fluor (NYSE:FLR) built a new payout for shareholders, raising its quarterly dividend by 28% to 16 cents per share. The new dividend is payable Apr. 3 to shareholders of record as of March 5. The new dividend yield, based on the Feb. 2 closing price of $57.97, is 1.10%. The company also tapped CEO David Seaton to takeover the role as chairman.

Toy maker Hasbro (NYSE:HAS) added some mirth to shareholders’ portfolios, increasing its dividend by 20% to 36 cents a share. Shareholders will be able to play with the new payout on May 15, if they’e owners of record as of May 1. The new dividend yield, based on the Feb. 2 closing price of $35.14, is 4.10%.
Confectioner Hershey Foods (NYSE:HSY) sweetened its payout by 10% to 38 cents per share. The tastier dividend will be paid March 15 to shareholders of record as of Feb. 24. The new dividend yield, based on the Feb. 1 closing price of $61.30, is 2.48%.

Trucking and logistics firm J.B. Hunt (NASDAQ:JBHT) carried an increasing dividend payload to shareholders, delivering a penny increase in its quarterly payout to 14 cents per share. The new dividend will be paid Feb. 24 to shareholders of record as of Feb. 14. The new dividend yield, based on the Feb. 2 closing price of $51.17, is 1.09%.

Lingerie and bath products seller Best Dividends in 2012 - 17 Companies Increasing Dividends - Limited Brands (NYSE:LTD) raised the limit on its dividend, increasing its quarterly payout 25% to 25 cents per share. The sexy new dividend is payable March 9 to shareholders of record as of Feb. 24. The new dividend yield, based on the Jan. 30 closing price of $41.00, is 2.44%.

Oil sands giant Marathon Oil (NYSE:MRO) dug up a 13% increase in its quarterly dividend to 17 cents per share. The new payout will be pumped into portfolios on March 12 to shareholders of record as of Feb. 16. The new dividend yield, based on the Jan. 27 closing price of $31.24, is 2.11%.
Barbie and Hot Wheels maker Mattel (NYSE:MAT) dressed up its dividend by 35% to 31 cents per share. The hot new payout will be wheeled out March 9 to shareholders of record as of Feb. 23. The new dividend yield, based on the Jan. 31 closing price of $31, is 4%.
Office and business machine maker Pitney Bowes (NYSE:PBI) increased the fiscal productivity of shareholders, lifting its quarterly dividend to 37.5 cents per share. The new dividend is payable March 12 to shareholders of record as of Feb. 17. The new dividend yield, based on the Feb. 1 closing price of $19.16, is 7.83%.
Discount clothing retailer Best Dividends in 2012 - 17 Companies Increasing Dividends - Ross Stores (NASDAQ:ROST) increased the price it pays to shareholders by 27% to 14 cents per share. The dressed up payout will be donned March 30 to shareholders of record as of Feb. 17. The new dividend yield, based on the Feb. 2 closing price of $51.19, is 1.09%.
Logistics and retail firm Sunoco (NYSE:SUN) gave shareholders a ray of dividend light, increasing its payout 25% to 20 cents per share. The new dividend is payable March 8 to shareholders of record as of Feb. 15. The new dividend yield, based on the Feb. 2 closing price of $38.25, is 2.09%.

Global direct-selling giant Tupperware (NYSE:TUP) sealed up a 20% gain in its quarterly dividend to 36 cents per share. The new dividend is payable Apr. 6 to shareholders of record as of March 20. The new dividend yield, based on the Feb.1 closing price of $61.38, is 2.35%.

3 Best Stocks With Big Dividend Growth Potential to invest in 2012

Dividends always have been welcome cash returns for investors, but they have become even more important elements in picking stocks in tough economic times. But a word of advice: In scouting for dividend plays, what’s essential is focusing on dividend-growth companies — companies with a potential of consistently increasing their payouts over the next three to five years.
It isn’t enough that the dividend yield is relatively high. What matters is whether a company will have the will and resources to steadily raise them year after year.
“There is sound logic in seeking out companies that are expected to have material growth in their dividend distributions,” says Alan House, analyst at independent investment research outfit Value Line. Dividends that are increased over time suggest a company that’s growing and a management that cares about returning money to shareholders, he adds.
In searching for such companies, the analyst screened Value Line’s database for companies in the 90th percentile or higher in estimated dividend growth rates over the next three to five years. Three companies stood out in Value Line’s search, which are in the diverse businesses of making fertilizer, infant milk and oil-drilling equipment. They aren’t currently paying lofty dividend yields, such as the 9.6% from specialty finance firm Apollo Investment (NASDAQ:AINV), or the 7.4% yield from investment adviser AllianceBernstein Holding (NYSE:AB). The Value Line picks, however, are among the most likely to elevate — in a big way — their currently small dividend yields in the years ahead.
They are (3 Best Stocks With Big Dividend Growth Potential to invest in 2012)CF Industries (NYSE:CF), which makes nitrogen and phosphate fertilizer products in North America; Mead Johnson (NYSE:MJN), which provides infant formula nutritional products; and (3 Best Stocks With Big Dividend Growth Potential to invest in 2012)National-Oilwell Varco (NYSE:NOV), a major supplier of equipment and components for the oil-and-gas drilling and production companies.
CF Industries, which produced strong sales and earnings in 2011, is likely to continue performing well.
“The company’s balance sheet looks solid,” says Michael A. Camp, president of Northwest Criterion Asset Management, which recently has accumulated shares.
Now trading at $182 per share, Camp says a price of $334 is quite possible based on his projected earnings of $22 per share for 2012. The outlook for CF Industries’ long-term growth is favorable, he says, with the strong demand for its products expected to continue.
Value Line’s Alan House says global population growth and increased per-capita income in developing and emerging nations will drive up demand for agricultural crops. What’s more, low global grain supply might well drive high plantings over the next several years. Because of this promising outlook, CF Industries’ board recently quadrupled the quarterly dividend to an average annual rate of 60 cents a share, or a dividend yield of 0.87%.
“We look for the payout to continue climbing in the years ahead,” House says.
Mead Johnson is making great strides in emerging markets, where revenue gains exceeded 25% in each of the past three quarters, notes House. In particular, MJN has been making big inroads into China, which he expects might well become Mead’s largest market down the road. So he looks for the positive momentum to continue and predicts the company will double its annual payout in the next three to five years, from the current 1.4% dividend yield. The stock currently is trading at $74 a share.
National-Oilwell Varco is running strong on all cylinders, House says, benefiting from better operating conditions in recent months, helped by a large order backlog — 80% of which is for international offshore rigs. The company’s low dividend yield of 0.64% is expected to be significantly expanded by the board during the next three to five years. Now trading at $77 per share, analysts expect the stock to climb to $85 to $99 per share during the next 12 months.
Kurt Hallead, analyst at RBC Capital Markets, says National-Oilwell is “one of the best ways to play the various positive trends currently driving oilfield services.” He rates the stock as outperform with a 12-month target of $85 per share.
For investors looking for solid investment bets in good or bad markets, there’s nothing like stocks that combine sturdy growth with potentially robust dividend yields. That’s the promise and potential of CF Industries, Mead Johnson and National-Oilwell over the long haul.