IPOs for the Next Week

by Fred Fuld III

It seems like everyone is waiting for the long anticipated Uber IPO. The spotlight will be on the trading after Uber goes public, since Lyft (LYFT) has tanked to a record low today.

Your broker might not be participating in any or all of these IPOs, but if you are interested in any of them, it is worth checking. Just remember, just because there is an IPO, doesn’t mean the stock will jump in price. Remember Lyft.

Here are some IPOs scheduled for the next ten days:

NEXTCURE, INC. NXTC 5/9/19
CORTEXYME, INC. CRTX 5/9/19
AXCELLA HEALTH INC. AXLA 5/9/19
MILESTONE PHARMACEUTICALS INC. MIST 5/9/19
SOUTH PLAINS FINANCIAL, INC. SPFI 5/9/19
MAYVILLE ENGINEERING COMPANY, INC. MEC 5/9/19
DIAMOND EAGLE ACQUISITION CORP. \ DE DEACU 5/9/19
HEADHUNTER GROUP PLC HHR 5/9/19
APPLIED THERAPEUTICS INC. APLT 5/9/19
UBER TECHNOLOGIES, INC UBER 5/10/19
SONIM TECHNOLOGIES INC SONM 5/10/19
HEALTH SCIENCES ACQUISITIONS CORP HSACU 5/10/19
POSTAL REALTY TRUST, INC. PSTL 5/10/19
JIAYIN GROUP INC. JFIN 5/10/19
CONVERSIONPOINT HOLDINGS, INC. CPTI 5/14/19
BRICKTOWN BREWERY RESTAURANTS LLC BEER 5/15/19
PIMCO MORTGAGE INCOME TRUST INC. PMTG 5/16/19
FASTLY, INC. FSLY 5/17/19
LUCKIN COFFEE INC. LK 5/17/19
AVANTOR, INC. AVTR 5/17/19

Upcoming Stock Earnings Announcements

If you are looking to do some earnings trades, here are some corporate earnings announcements that will be taking place during this week.

Humana Inc HUM 5/1/19 Before Open
Garmin Ltd GRMN 5/1/19 Before Open
Iqvia Holdings Inc IQV 5/1/19 Before Open
Harris Corp HRS 5/1/19 Before Open
Estee Lauder Companies EL 5/1/19 Before Open
CVS Corp CVS 5/1/19 Before Open
L-3 Communications Holdings LLL 5/1/19 Before Open
Yum! Brands YUM 5/1/19 Before Open
Southern Company SO 5/1/19 Before Open
Willis Towers Wts WLTW 5/1/19 Before Open
Molson Coors Brewing Company TAP 5/1/19 Before Open
Idexx Laboratories IDXX 5/1/19 Before Open
Sealed Air Corp SEE 5/1/19 Before Open
Hilton Inc HLT 5/1/19 Before Open
Entergy Corp ETR 5/1/19 Before Open
Pinnacle West Capital Corp PNW 5/1/19 Before Open
Automatic Data Procs ADP 5/1/19 Before Open
CME Group Inc CME 5/1/19 Before Open
Clorox Company CLX 5/1/19 Before Open
Amtek Inc AME 5/1/19 Before Open
Johnson Controls Intl JCI 5/1/19 Before Open
NiSource Inc NI 5/1/19 Before Open
Qualcomm Inc QCOM 5/1/19 After Close
HCP Inc HCP 5/1/19 After Close
Hologic Inc HOLX 5/1/19 After Close
Equinix Inc EQIX 5/1/19 After Close
Public Storage PSA 5/1/19 After Close
Ansys Inc ANSS 5/1/19 After Close
Hartford Financial Services Group HIG 5/1/19 After Close
Allstate Corp ALL 5/1/19 After Close
Host Marriott Financial Trust HST 5/1/19 After Close
American Water Works AWK 5/1/19 After Close
Realty Income Corp O 5/1/19 After Close
Metlife Inc MET 5/1/19 After Close
Mid-America Apartment Communities MAA 5/1/19 After Close
Prudential Financial Inflation Retail PRU 5/1/19 After Close
Marathon Oil Corp MRO 5/1/19 After Close
Apache Corp APA 5/1/19 After Close
Lincoln National Corp LNC 5/1/19 After Close
Williams Companies WMB 5/1/19 After Close
Cigna Corp CI 5/2/19 Before Open
Teleflex Inc TFX 5/2/19 Before Open
Public Service Enterprise Group Inc PEG 5/2/19 Before Open
Amerisourcebergen Corp ABC 5/2/19 Before Open
Hanesbrands Inc HBI 5/2/19 Before Open
Abiomed Inc ABMD 5/2/19 Before Open
MSCI Inc MSCI 5/2/19 Before Open
Kimco Realty Corp KIM 5/2/19 Before Open
Huntington Ingalls Industries HII 5/2/19 Before Open
Church & Dwight Company CHD 5/2/19 Before Open
Under Armour Inc Class C Comm UA 5/2/19 Before Open
Ball Corp BLL 5/2/19 Before Open
Macerich Company MAC 5/2/19 Before Open
Aptiv Plc APTV 5/2/19 Before Open
Kellogg Company K 5/2/19 Before Open
Zoetis Inc Class A ZTS 5/2/19 Before Open
Vulcan Materials Company VMC 5/2/19 Before Open
Under Armour UAA 5/2/19 Before Open
Global Payments Inc GPN 5/2/19 Before Open
Discovery Comm A DISCA 5/2/19 Before Open
Parker-Hannifin Corp PH 5/2/19 Before Open
Hollyfrontier Corp HFC 5/2/19 Before Open
Dowdupont Inc DWDP 5/2/19 Before Open
NRG Energy NRG 5/2/19 Before Open
S&P Global Inc SPGI 5/2/19 Before Open
Discovery Comm Inc DISCK 5/2/19 Before Open
PPL Corp PPL 5/2/19 Before Open
Xylem Inc XYL 5/2/19 Before Open
Intercontinental Exchange ICE 5/2/19 Before Open
Resmed Inc RMD 5/2/19 After Close
Skyworks Solutions SWKS 5/2/19 After Close
Expedia Group Inc EXPE 5/2/19 After Close
Fortinet Inc FTNT 5/2/19 After Close
Motorola Solutions MSI 5/2/19 After Close
Activision Blizzard ATVI 5/2/19 After Close
Federal Realty Investment Trust FRT 5/2/19 After Close
Cognizant Tech Sol CTSH 5/2/19 After Close
Fluor Corp FLR 5/2/19 After Close
Apartment Investment and Management AIV 5/2/19 After Close
Alliant Energy Corp LNT 5/2/19 After Close
Gilead Sciences Inc GILD 5/2/19 After Close
Arista Networks Inc ANET 5/2/19 After Close
Consolidated Edison Company of New York ED 5/2/19 After Close
Flowserve Corp FLS 5/2/19 After Close
CBS Corp CBS 5/2/19 After Close
Eog Resources EOG 5/2/19 After Close
Regency Centers Corp REG 5/2/19 After Close
Dentsply Sirona Inc XRAY 5/3/19 Before Open
American Tower Corp AMT 5/3/19 Before Open
Newell Rubbermaid Inc NWL 5/3/19 Before Open
CBOE Global Markets Inc CBOE 5/3/19 Before Open
Noble Energy Inc NBL 5/3/19 Before Open
Dominion Resources D 5/3/19 Before Open

Blowing Up the Public Company Governance Model to Maximize Long-Term Shareholder Value

by Fred Fuld III

The book, Governance Arbitrage: Blowing Up the Public Company Governance Model to Maximize Long-Term Shareholder Value by Henry D. Wolfe is an interesting take on how publicly traded companies can improve shareholder value by improving their board of directors.

Does anyone remember the corporate raiders from years ago, such as Carl Icahn? They were looked on as the bad guys, at least by corporate management. However, their goal was not to just change the board of directors, their ultimate goal was to make that change in order to fully realize shareholder value.

Wolfe recommends that corporations use the private equity governance model for boards of directors, which would increase the value of the board and thereby increase the performance of the business, with the ultimate result being a growth in shareholder value.

Probably the most important chapter in the book is Chapter 5 Director Selection, where he describes how directors need to be chosen not only for their thinking-like-an-owner mentality but also for their investor sophistication.

If you want to know how the performance of a publicly traded company can improve and long-term shareholder value increase, I recommend you read Governance Arbitrage.

Top Mother’s Day Stocks

by Nkem Iregbulem 

Mother’s Day is coming up on May 12th this year in the United States. On this special day, family members honor mothers and motherhood. Mother’s Day is celebrated by over 40 countries around the world in different ways and on various days – particularly in the months of March and May. To display gratitude, family members often shower mothers in gifts such as chocolates, flowers, jewelry, and cards.

The holiday was first created in the United States by Anna Jarvis in 1908 but did not become an official national holiday until 1914. Celebrations of motherhood, however, are centuries old and can be traced back to the ancient Greeks and Romans. The Greeks honored Rhea, their mother of gods, with offerings of honey-cakes, fine drinks, and flowers at dawn. The Romans honored Magna Mater by bringing gifts to the temple they built for her in Rome. During the 1600s, England  honored mothers of England with a Christian festival known as “Mothering Sunday.” Since then, the holiday has grown more and more popular around the world.

There are a few stocks that may benefit from the commercialization of Mother’s Day. These include Hershey (HSY), Rocky Mountain Chocolate Factory Inc. (RMCF), Nestle (NSRGY), 1-800-Flowers.com Inc. (FLWS), and CSS Industries Inc. (CSS). The RMCF and FLWS stocks are traded on the NASDAQ exchange. The HSY and CSS stocks are traded on the New York Stock Exchange, and the NSRGY stock is traded over-the-counter.

One company that could benefit from the annual celebration is The Hershey Co., one of the largest chocolate manufacturers in the world. The Hershey Company, headquartered in Hershey, Pennsylvania, controls around 45% of the domestic chocolate market. Its products are offered in about 80 countries including the United States, China, Brazil, India, and Mexico. The leading chocolate company sells Mother’s Day favorites such as chocolate and other sweets to its customers.

The company has a market cap of $26.1 billion and pays a dividend yield of 2.31%. With a price-to-sales ratio of 3.36, its stock is slightly overpriced. The stock trades at 22.59 times trailing earnings and at 22.22 times forward earnings. The company’s stock also has a high price-to-book ratio of 18.47. Its revenue has been increasing each fiscal year since 2015, giving Hershey a 3-year revenue growth rate of 1.79%.

A mother might appreciate a sweet gift from Rocky Mountain Chocolate Factory Inc, a company that manufactures chocolate candies and confectionery products. Founded in 1981 and based in Colorado, it operates in the United States, Japan, Canada, Philippines, South Korea, and the United Arab Emirates. The company’s business activity can be divided into a couple segments: Franchising, Manufacturing, Retail Stores, U-Swirl Operations, and Other. Its products include clusters, truffles, caramels, mints, and molded chocolates – all great Mother’s Day gifts.

Rocky Mountain Chocolate Factory Inc. has a low market cap of $57.98 million and pays a dividend yield of 4.92%. With a negative 3-year growth rate of -2.84%, the company has seen decreasing revenue values each fiscal year since 2015. Its stock has a normal price-to-sales ratio of 1.64 and a price-to-book ratio of 2.82. The stock also trades at 23.85 times trailing earnings.

You might find the perfect Mother’s Day gift at Nestle, a well-known chocolate powerhouse founded in 1866.By sales, the Swiss company is the world’s largest food and beverage company. Brands such as Nestle, Nescafe, Perrier, Pure Life, and Purina are all part of the company’s product portfolio. Under these brands and various other brands, the company offers chocolate and other food products.

The company has a market cap of $284.96 billion and pays dividend yield of 2.57%. With a price-to-sales ratio of 3.22, the company’s stock is slightly overpriced. It trades at 24.32 times trailing earnings and at 22.42 times forward earnings. The stock has a price-to-book ratio of 5.07. Nestle’s revenue has been increasing each fiscal year since 2015, giving the company a 3-year growth rate of 0.99%.

Another company that might benefit from Mother’s Day sales is 1-800-Flowers.com Inc. Based in New York, the company was founded in 1982. 1-800-Flowers.com offers flowers, candy, stuffed animals, gift baskets, and candles – gifts a Mother would love to receive on her special day. Other products include fruits, popcorn, steaks, and cookies. These products are offered under brands such as 1-800-Baskets.com, The Popcorn Factory, and Fannie May.

1-800-Flowers.com Inc. has a market cap of $1.23 billion and does not pay a dividend yield. Its stock trades at 36.23 times trailing earnings and at 37.59 times forward earnings. It has a normal price-to-sales ratio of 1.06 and a price-to-book ratio of 3.46. With a 3-year revenue growth rate of 0.90%, the company has seen its revenue increase each fiscal year from 2010 to 2017 before a slight drop in 2018.

Founded in 1923 and headquartered in Pennsylvania, CSS Industries Inc. (CSS) is another company that offers Mother’s Day related products. The company makes gift wrap and greeting cards for special occasions. CSS Industries also offers products such as classroom exchange Valentines, journals, floral accessories, and scrapbooks. It distributes and sells these products to mass market retailers in the United States and Canada.

CSS Industries has a low market cap of $55.31 million and pays a dividend yield of 12.78%. The stock trades at 20.20 times forward earnings. The company’s stock has an excellent price-to-sales ratio of 0.14 and a low price-to-book ratio of 0.26. CSS Industries’ revenue has been increasing since 2015, giving the company 3-year revenue growth rate of 4.95%.

Happy Mother’s Day!

Disclosure: Author did not own any of the above at the time the article was written. 

Stocks Going Ex Dividend in May 2019

by Fred Fuld III

The following is a short list of some of the many stocks going ex dividend during the next month.

Many traders and investors use the stock trading technique called ‘Buying Dividends,’ also commonly referred to as ‘Dividend Capture.’ This is the strategy of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend.

This technique generally works in bull markets and flat or choppy markets, but you need to avoid the strategy during bear markets. In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can’t sell the stock until after the ex date.

The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend in the near future. The list contains many dividend paying companies, lots with market caps over $500 million, and many with yields over 2%. Here are a few examples showing the stock symbol, the ex-dividend date, the periodic dividend amount, and annual yield.

Delta Air Lines, Inc. (DAL) 5/1/2019 0.35 2.45%
Citigroup Inc. (C) 5/3/2019 0.45 2.59%
TD Ameritrade Holding Corporation (AMTD) 5/6/2019 0.30 2.32%
MetLife, Inc. (MET) 5/6/2019 0.44 3.90%
Wells Fargo & Company (WFC) 5/9/2019 0.45 3.75%
Walmart Inc. (WMT) 5/9/2019 0.53 2.09%
Exxon Mobil Corporation (XOM) 5/10/2019 0.87 4.32%
Target Corporation (TGT) 5/14/2019 0.64 3.32%
Walgreens Boots Alliance, Inc. (WBA) 5/17/2019 0.44 3.33%
Discover Financial Services (DFS) 5/23/2019 0.40 1.97%
Goldman Sachs Group, Inc. (GS) 5/29/2019 0.85 1.67%
Lockheed Martin Corporation (LMT) 5/31/2019 2.20 2.68%

The additional ex-dividend stocks can be found HERE . (If you have been to the page before, and the latest link doesn’t show up, you may have to empty your cache.) If you like dividend stocks, you should check out some of the other high yield stock lists HERE . Most of the lists are free.

Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.

Monthly Dividend Stock List

Record date: the day when you must be on the company’s books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks at two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don’t forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

Top 21 Sports Betting Stocks

by Fred Fuld III

Last year, the Supreme Court came out with a decision that would allow betting on sports in all states, with each state determining whether or not to allow this form of gambling. Several have already legalized legalized online sports betting. Almost half the states are considering legislation. This should lead to more online gambling, and a transition from illegal gambling to legal betting.

Even NBC Sports Broadcaster Jim Kozimor mentioned in an interview back in September that sports betting will be an extremely strong growth industry.

So if you are looking for a way to profit from sports betting without betting on stocks, you should look at the stocks that should benefit from the online betting of sports.

FanDuel is the second largest daily fantasy sports provider and is anticipated to be a leader in the legal sports betting market. Thast year, FanDuel was taken over by Paddy Power Betfair (PDYPY), which trades on the London Stock Exchange in Britain and on the Pink Sheets in the US. This $6,6 billion market cap company trades at 20 times forward earnings and pays a favorable yield of 4.2%.

Boyd Gaming Corp. (BYD), an operator of a company that runs 16 casinos across the United States, has recently released its B Connected Sports app in order to take advantage of increased legalization. The stock trades at 29 times  trailing earnings and has a forward price to earnings ratio of 17. It pays a small dividend of 0.8%.

The following is a list of over 20 companies that may benefit from online sports betting.

Company Symbol MktCap Yield
Paddy Power Betfair PDYPY 6.7 B 4.14%
MGM Resorts MGM 14.9 B 1.87%
Gaesar’s Entertainment CZR 6.3 B 0
Madison Square Garden MSG 7.3 B 0
Penn National PENN 2.6 B 0
GameHost GHIFF 177 M 7.04%
Boyd Gaming BYD 3.4 B 0.79%
Bragg Gaming BRGGF 16 M 0
Churchill Downs CHDN 3.8 B 0.58%
Stars Group TSG 5.1 B 0
William Hill WIMHY 1.9 B 9.58%
International Game Technology IGT 2.8 B 5.76%
El Dorado Resorts ERI 3.9 B 0
Scientific Games SGMS 1.9 B 0
Wynn Resorts WYNN 15.8 B 2.04%
Marriott International MAR 45.7 B 1.21%
Millennial Esports MLLLF 17 M 0
888 Holdings EIHDF 731 M 5.13%
GVC Holdings GMVHF 4.9 B 4.95%
Las Vegas Sands LVS 51.9 B 4.59%

Here’s hoping the stock you choose provide you with a big payoff.

Disclosure: Author did not own any of the above at the time the article was written. 

Speed Through Security During Your Summer Travel

by Fred Fuld III

If you haven’t already, you are probably planning your summer travel. However, there is something else you should plan on, one or more of the services available to travelers to help them get though security faster.

There are a few options available to you. One service, that gets to you the front of the security line is called CLEAR. This service has been around since 2010 and is available in more than two dozen airports, everywhere from Atlanta and Austin to Los Angeles and San Francisco to New York and Washington DC.

In addition to being escorted to the front of the line by a CLEAR representative, the company utilizes another feature to speed things up. Biometrics, such as your fingerprints and eyes are used to check your identity, so you don’t have to fumble around with a card.

I have used CLEAR and became an affiliate as it has saved me a ton of time at the airport. CLEAR has one other big advantage. It can be used at stadiums and other venues, such as Oracle Park, Madison Square Garden, and Yankee Stadium.

The cost of  CLEAR is $179 per year, and if you have kids under 18, they can accompany you for free. You can add a spouse for only $50.

An additional option is TSA PreCheck which is available in most airports across the United States. This allows you to avoid taking off your shoes and your jacket, and you don’t have to take your laptop out of your bag. The service is primarily for domestic’s flights.

The cost for PreCheck is $85 for five years. Children 12 and under are free if traveling with you, but kids 13 to 18 will require a separate registration. Some airline will PreCheck you for free; check with your airline.

For international travelers, the Global Entry program is available, with includes the same benefits as PreCheck but also allows you to return to the US through customs much faster. The price is $100 and children need their own pass The service is available in about a third of the PreCheck airports.

Happy travels!

Happy Money

If you are stressed about money, or have any other negative feelings that are money related, you need to read the book Happy Money: The Japanese Art of Making Peace with Your Money by Ken Honda.

Many believe that money paves the road to happiness, but Honda explains how achieving happiness can be the goal and money will flow.

The book is filled with great advice, along with humor, that will keep you turning pages.

If you need to improve your relationship with money, you need to read  Happy Money.

Upcoming IPOs

by Fred Fuld III

Were you able to get any IPO shares of Zoom Video (ZM), Pinterest (PINS), or Greenlane (GNLN)? If you did, you made out like a bandit.

Zoom closed up 72% for the day. Pintrest was up over 23$. And Greenlane traded over 20% from its IPO price.

If you want to get in on one of these popular IPOs, try calling your broker. One brokerage firm will let you get in on an IPO as long as you qualify. The qualification is either an account with over $250,000 in assets OR an account with over 60 trades in the last 90 days.

Just because you are approved, doesn’t necessarily mean that you will get shares. The firm has to be part of the underwriting, and it has to have enough shares to distribute to all its interested clients.

So if you are looking for upcoming IPOs, here is a list:

HEALTH SCIENCES ACQUISITIONS CORP HSACU
SONIM TECHNOLOGIES INC SONM
CONVERSIONPOINT HOLDINGS, INC. CPTI
CORTEXYME, INC. CRTX
SOUTH PLAINS FINANCIAL, INC. SPFI
MILESTONE PHARMACEUTICALS INC. MIST
MAYVILLE ENGINEERING COMPANY, INC. MEC
APPLIED THERAPEUTICS INC. APLT
NEXTCURE, INC. NXTC
PARSONS CORP PSN
AXCELLA HEALTH INC. AXLA
DIAMOND EAGLE ACQUISITION CORP.
UBER TECHNOLOGIES, INC UBER
AGBA ACQUISITION LTD AGBAU
RED RIVER BANCSHARES INC RRBI
SO-YOUNG INTERNATIONAL INC. SY
ACT II GLOBAL ACQUISITION CORP. ACTTU
TREVI THERAPEUTICS, INC. TRVI
TRANSMEDICS GROUP, INC. TMDX
SCIPLAY CORP SCPL
BRICKTOWN BREWERY RESTAURANTS LLC BEER
IHEARTMEDIA, INC.
POSTAL REALTY TRUST, INC. PSTL

Maybe some of these will skyrocket, but be careful. Lyft (LYFT) has dropped substantially since its IPO price.

Disclosure: Author owns LYFT indirectly.

Forging an Ironclad Brand

by Fred Fuld III

Do  you own your own business or manage a business? If so, do you have a brand? If not, or if you do and you’re not promoting it, you better read the book, Forging an Ironclad Brand: A Leader’s Guide by Lindsay Pedersen.

The author goes into detail, but in an easy-to-understand way, what a brand is and the reasons why you need a brand and need to promote it. She also shows how to expand, extend, and enhance your brand.

The eight steps she provided in the second section, The How of Brand, is probably the most important, with Step Number 2 being the critical one.

Figures and graphics are included to make the concepts more understandable. In addition, there is an extensive glossary.

Forging an Ironclad Brand is a book you will need to get for your business and refer to on a regular basis.