Ludeman retiring from Wells Fargo Advisors

Bloomberg News

Danny Ludeman, longtime chief of Wells Fargo Advisors LLC, is retiring at year-end, the company said Friday.

He will be replaced by Mary Mack, currently head of the brokerage firm's financial services group. Ms. Mack will take over Jan. 1, 2014.

“I'm sorry to see him go,” said a Wells Fargo adviser who asked not to be named.

“For me, it's a real negative,” the adviser said. “All they have left are bankers. [Mr. Ludeman] was the only guy, in top management, that had a broker's mentality.”

Ms. Mack's unit, the financial services group, is responsible for Wells Fargo Advisors' advisory products, lending and banking services, adviser development and recruiting and integration.

Ms. Mack “is very sharp, and fun, but she's from the bank side,” said another Wells Fargo adviser who requested anonymity.

“[Mr.] Ludeman had a reputation of protecting [advisers] from the bank,” this adviser added. “Now the question is, how will this be felt at Wells Fargo Advisors.”

"I am confident Mary has the right mix of experience, vision, and energy to lead our advisers in continuing to help our clients succeed financially," said David Carroll, head of Wells Fargo's wealth, brokerage and retirement business, in a statement.

"Under Danny's leadership, we have created a premier brokerage and advisory firm whose success is based on offering clients advice and planning through multiple channels — in brokerage offices, retail bank stores, or online," Mr. Carroll said.

5 Best Value Stocks To Watch Right Now

A few years ago, bank stocks were among the most unloved investments. Many of them traded well below book value and also sported low price-to-earnings multiples. Yet a pair of factors has led investors to rapidly warm up to bank stocks.

First, the global economic crisis no longer seems to be a mortal threat to bank's balance sheets. A long-anticipated crisis simply never came to pass. Second, a sense that the U.S. housing market -- a key source of bank profits -- was on the mend, has led to expectations of a brightening profit forecast.

Indeed, second-quarter results are in from the major banks, and they look quite solid.

A Solid Quarter For Leading Banks


As a result, after a 20% surge in the first half of this year (compared with a 13% gain for the S&P 500), bank stocks have rallied further in the early weeks of the third quarter. This continues a trend that has been underway for nearly two years.

5 Best Value Stocks To Watch Right Now: Schlumberger N.V.(SLB)

Schlumberger Limited, together with its subsidiaries, supplies technology, integrated project management, and information solutions to the oil and gas exploration and production industries worldwide. The company?s Oilfield Services segment provides exploration and production services; wireline technology that offers open-hole and cased-hole services; supplies engineering support, directional-drilling, measurement-while-drilling, and logging-while-drilling services; and testing services. This segment also offers well services; supplies well completion services and equipment; artificial lift; data and consulting services; geo services; and information solutions, such as consulting, software, information management system, and IT infrastructure services that support oil and gas industry. Its WesternGeco segment provides reservoir imaging, monitoring, and development services; and operates data processing centers and multiclient seismic library. This segment also offers variou s services include 3D and time-lapse (4D) seismic surveys to multi-component surveys for delineating prospects and reservoir management. The company?s M-I SWACO segment supplies drilling fluid systems to improve drilling performance; fluid systems and specialty tools to optimize wellbore productivity; production technology solutions to maximize production rates; and environmental solutions that manages waste volumes generated in drilling and production operations. Its Smith Oilfield segment designs, manufactures, and markets drill bits and borehole enlargement tools; and supplies drilling tools and services, tubular, completion services, and other related downhole solutions. The company?s Distribution segment markets pipes, valves, and fittings, as well as mill, safety, and other maintenance products. This segment also provides warehouse management, vendor integration, and inventory management services. Schlumberger Limited was founded in 1927 and is based in Houston, Texas.

Advisors' Opinion:

• [By Lee Jackson]

  Energy: Schlumberger Ltd. (NYSE: SLB)�crushed earnings by an astonishing 50.9% last quarter. With Mexico changing its policy on oil exploration, the oil field services leader may see continued strong earnings growth in the years ahead. The consensus price target for the stock is posted at $96. Investors are paid a 1.5% dividend.

• [By Stephen Leeb]

  The portfolio is concentrated, holding the 25 largest oil-service firms in the world by market capitalization. Indeed, the top five positions account for 44% of assets, led by a 20% position in oilfield giant Schlumberger (SLB).

5 Best Value Stocks To Watch Right Now: Dollar Tree Inc.(DLTR)

Dollar Tree, Inc. operates discount variety stores in the United States and Canada. Its stores offer merchandise primarily at the fixed price of $1.00. The company operates its stores under the names of Dollar Tree, Deal$, Dollar Tree Deal$, Dollar Giant, and Dollar Bills. Its stores offer consumable merchandise, including candy and food, and health and beauty care, as well as household consumables, such as paper, plastics, household chemicals, in select stores, and frozen and refrigerated food; variety merchandise, which includes toys, durable housewares, gifts, party goods, greeting cards, softlines, and other items; and seasonal goods, such as Easter, Halloween, and Christmas merchandise. As of April 30, 2011, it operated 4,089 stores in 48 states and the District of Columbia, as well as 88 stores in Canada. The company was founded in 1986 and is based in Chesapeake, Virginia.

Advisors' Opinion:

• [By Lawrence Meyers]

  As a convenience store, it doesn’t have direct competition from�Dollar Tree (DLTR) or Family Dollar (FDO) because these dollar stores aren�� exclusively focused on food (and they have no gasoline or cigarette sales), and they��e targeted at the folks who are trying to save money over convenience, not vice versa. The convenience angle is another reason why�Walmart (WMT) and Costco (COST)�aren’t competitors, since those behemoths are about a total shopping experience.

• [By Rising Dividend Investing]

  Falling Stock Correlation: What It Says About Consumer Spending

  As we mentioned in the Take Aways from the August 26th Investment Policy Committee meeting, the correlation index has been steadily declining. In 2008-09, macroeconomic events drove nearly every stock downwards. Specific sectors and stocks moved in tandem with one another. Today, stocks and sub-industries within each sector are performing very differently – which indicates a return to a more normal stock market environment.
  The Consumer Discretionary (also known as Consumer Cyclicals) sector is an example of an industry that has been rewarded for its fundamental success over the past 12 months. As a whole, the sector grew sales 6.1% and earnings 9.2% in the second quarter - much better than the 1.4% sales and 3.3% earnings growth of the S&P 500. While the overall sector did well in the second quarter, the table below shows how differently the 5 sub-categories of Consumer Discretionary performed:
  
  (click to enlarge)
  As we drill down even further, sub-categories of sub-sectors differ even more dramatically. Below is a snapshot of the Retailing sub-sector and its notable components:
  
  (click to enlarge)
  Specific stocks within each sub-category are varying in performance as well. General Merchandise retailers were significantly differentiated in the second quarter. Target’s (TGT) adjusted EPS were up 6.1% from 2012, while Dollar General (DG) and Dollar Tree’s (DLTR) earnings were up nearly 12% and 9%, respectively.
  The differences in sales and earnings growth amongst these different industries tell a story. The economy is not improving enough that people feel like they can let go and spend money on pure pleasures, but it is improving enough that they can afford to replace their cars and fix the doors on their houses. As these items wear out and need to be replaced, we expect the pent up demand will drive increased economic activity from cons

10 Best China Stocks To Watch Right Now: Caterpillar Inc.(CAT)

Caterpillar Inc. manufactures and sells construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives worldwide. It operates through three lines of businesses: Machinery, Engines, and Financial Products. The Machinery business offers construction, mining, and forestry machinery, including track and wheel tractors, track and wheel loaders, pipelayers, motor graders, wheel tractor-scrapers, track and wheel excavators, backhoe loaders, log skidders, log loaders, off-highway trucks, articulated trucks, paving products, skid steer loaders, underground mining equipment, tunnel boring equipment, and related parts. It also manufactures diesel-electric locomotives; and manufactures and services rail-related products and logistics services for other companies. The Engines business provides diesel, heavy fuel, and natural gas reciprocating engines for Caterpillar machinery, electric power generation systems, marine, petrol eum, construction, industrial, agricultural, and other applications. It offers industrial turbines and turbine-related services for oil and gas, and power generation applications. This business also remanufactures Caterpillar engines, machines, and engine components; and offers remanufacturing services for other companies. The Financial Products business provides retail and wholesale financing alternatives for Caterpillar machinery and engines, solar gas turbines, and other equipment and marine vessels, as well as offers loans and various forms of insurance to customers and dealers. It also offers financing for vehicles, power generation facilities, and marine vessels. The company markets its products directly, as well as through its distribution centers, dealers, and distributors. It was formerly known as Caterpillar Tractor Co. and changed its name to Caterpillar Inc. in 1986. Caterpillar Inc. was founded in 1925 and is headquartered in Peoria, Illinois.

Advisors' Opinion:

• [By StreetAuthority]

  Gabriel Bouys, AFP/Getty ImagesBill Gates, Microsoft co-founder and co-chair of the Bill & Melinda Gates Foundation. $650 million is a lot of money -- even for Bill Gates. That's how much his investment firm has invested in what might be considered the best way to play China. It's not a software firm or even a computer hardware firm. It's mining giant Caterpillar (CAT). Gates started building a position in Caterpillar before the financial crisis, but he became a very aggressive buyer once the crisis hit and shares had fallen by half. Yet remarkably, Gates has kept on buying, even as shares steadily rebounded to previous peaks. But now that Caterpillar has come under pressure on concerns that China is slowing, is Gates locking in profits? No, he's been buying more, picking up another 500,000 shares in this year's second quarter. At current prices, his firm's stake of 10.76 million shares is worth a cool $650 million. The key question: Why does Gates continue to buy shares even after China's slowdown has signaled the potential end of a global commodities boom? After all, much of Caterpillar's growth in recent years has come from a strong surge in mining activity that uses the company's massive excavators. The simple answer is that Gates and his team of investment managers always focus on long-term winners and never buy or sell shares based on short-term economic shifts. We've seen him do it many times before. For example, even as Wall Street analysts focused on the near-term prospects for auto retailer AutoNation (AN), Gates saw an epic rebound coming, as I noted in this article. Shares of AutoNation have now risen 400 percent since early 2009. Caterpillar: The Long View

• [By Chris Hill]

  Molex (NASDAQ: MOLX  ) is up big after Koch Industries agreed to buy the company for $7.2 billion in cash. Yum! Brands' (NYSE: YUM  ) same-store sales in China fall 10% in August. Caterpillar (NYSE: CAT  ) shares are up on news that China's exports grew more than 7% in August. And Middleby (NASDAQ: MIDD  ) closes in on a new all-time high. In this segment, the guys discuss four stocks making big moves.

5 Best Value Stocks To Watch Right Now: Tupperware Corporation(TUP)

Tupperware Brands Corporation operates as a direct seller of various products across a range of brands and categories through an independent sales force. The company engages in the manufacture and sale of kitchen and home products, and beauty and personal care products. It offers preparation, storage, and serving solutions for the kitchen and home, as well as kitchen cookware and tools, children?s educational toys, microwave products, and gifts under the Tupperware brand name primarily in Europe, Africa, the Middle East, the Asia Pacific, and North America. The company provides beauty and personal care products, which include skin care products, cosmetics, bath and body care, toiletries, fragrances, nutritional products, apparel, and related products principally in Mexico, South Africa, the Philippines, Australia, and Uruguay. It offers beauty and personal care products under the Armand Dupree, Avroy Shlain, BeautiControl, Fuller, NaturCare, Nutrimetics, Nuvo, and Swissgar de brand names. The company sells its Tupperware products directly to distributors, directors, managers, and dealers; and beauty products primarily through consultants and directors. As of December 26, 2009, the Tupperware distribution system had approximately 1,800 distributors, 61,300 managers, and 1.3 million dealers; and the sales force representing the Beauty businesses approximately 1.1 million. The company was formerly known as Tupperware Corporation and changed its name to Tupperware Brands Corporation in December 2005. The company was founded in 1996 and is headquartered in Orlando, Florida.

Advisors' Opinion:

• [By John Udovich]

  Everyone is familiar with�the Tupperware brand from�consumer products stock Tupperware Brands Corporation (NYSE: TUP) and you are probably familiar with the brands�of mid cap stock Jarden Corp (NYSE: JAH) along with small cap stocks Libbey Inc (NYSEMKT: LBY) and Lifetime Brands Inc (NASDAQ: LCUT); but what about the stocks themselves? Chances are, their brands or products are right under your nose at home and you probably don�� know anything about the mid cap or small cap stock behind them.

• [By Oliver Pursche]

  European large-cap pharmaceuticals like Novartis (NVS) �and Bristol Meyers Squibb (BMY) �count amongst some of our favorite stocks right now, as do U.S. multinationals that are growing revenue and margins in Asia ��Tupperware (TUP) �is a shining example. Stay away from utilities and energy stocks, as they are likely to be the laggards over the next year.

Encana Investors See Dividend Cut Amid Revamp

Encana Corp. (ECA), the natural gas producer selling assets after losing half its value since 2010, is being urged by investors to cut its dividend and focus on profitable projects in the U.S. and Canada.

A dividend cut would allow the Calgary-based company to devote more resources to higher-yielding assets, said Greg Dean, a money manager at CI Financial Corp. in Toronto.

"So at current gas prices, they either cut the dividend, sell assets or both," said Dean, who helps manage C$7.9 billion ($7.7 billion) for CI's Cambridge Global Asset Management. "They definitely have stuff that other people would want to own."

Encana "isn't focused enough" and needs to "clean up" its portfolio after natural gas prices plunged to a decade low last year, Chief Executive Officer Doug Suttles said at conference in New York on Sept. 12. The CEO pledged to turn around the company by unloading so-called dry gas projects in the U.S. and Canada with fewer associated liquids such as butane. He also said the company would "evaluate" its dividend as part of a strategic review.

"We have heard feedback from investors on a wide range of topics related to Encana including varying thoughts on the dividend," Jay Averill, a company spokesman said in an e-mailed response to questions on Sept. 23. "Ultimately, a decision on the dividend lies with the Board of Directors." Encana is forecast to pay shareholders an unchanged dividend of 20 cents per share on Sept. 30, according to data compiled by Bloomberg.

Cenovus Split

Suttles, 53, who took over the top post at Canada's biggest gas producer in June, estimated North American gas prices will be "range-bound" between $3.50 per million British thermal units and $4.50 in the next few years, from an average of $3.69 so far this year.

The gas producer's stock decline began after natural gas prices started a slide in 2008, a year before Encana spun off its oil sands business to create Cenovus Energy Inc. Cenovus's market value is now 44 percent higher than its former parent. To cope with falling gas prices, Encana has pursued a strategy of selling stakes in joint ventures to fund an expansion of its holdings in unconventional shale gas formations in regions such as northeastern British Columbia.

Joint ventures, like last year's $2.2 billion agreement with PetroChina Co. on undeveloped acreage in the Duvernay region, will help to develop properties. Other joint venture partners include Mitsubishi Corp., Exaro Energy III LLC and Nucor Corp.

"There's going to be a preference to sell the existing non-core assets," said Michael Dunn, an analyst at FirstEnergy Capital Corp. in Calgary who has an "outperform" rating on the shares. "It's not an ideal market, but nobody knows when that's going to turn around. At least if they sell something now, they can get the ball rolling to fund more profitable operations."

Gas Rebound

The company has properties in the Deep Panuke basin off the coast of Nova Scotia as well as leases in the U.S. Rocky Mountain states that it could sell, said Dunn.

"Encana has some of the best real estate on the block when it comes to natural gas resources and possesses solid execution capability," said Greg Pardy, an analyst at RBC Capital Markets, in a note to clients. "The missing element in the equation has largely revolved around strategic direction."

Encana has fallen 9.3 percent this year compared with a 4.9 percent gain this year for the S&P/TSX Energy Index of which Encana is a member. Encana was little changed at C$17.83 at 10:10 a.m. in Toronto.

Share Potential

The shares have the potential to gain 19 percent over the next 12 months, according to 22 analysts surveyed by Bloomberg.

"Encana's current share price does not reflect its positive attributes, while its current valuation levels make Encana shares attractive," Pardy. said.

Encana will report net income of $139.7 million in the third quarter and $167.3 million in the fourth quarter, according to analyst estimates compiled by Bloomberg. The company posted cumulative losses of $3.7 billion from the fourth quarter of 2011 through the first quarter of this year because of sinking gas prices.

Natural gas for October delivery fell 11 cents to $3.492 per million British thermal units on the New York Mercantile Exchange yesterday, the lowest settlement since Aug. 23

Job cuts along with a reduction of the dividend are also needed as Encana's Suttles seeks to boost profit and bolster its balance sheet, analysts and investors said.

Reducing the annual dividend by as much as 50 percent to 40 cents a share is "warranted," considering the payout is now "head and shoulders" above competitors, wrote RBC's Pardy.

Encana's 12-month dividend yield is 4.6 percent, according to data compiled by Bloomberg. That compares with 2.5 percent for Talisman Energy Inc. and 1.3 percent for Chesapeake Energy Corp. Suncor Energy Inc., Canada's largest energy company, pays a dividend equal to 1.8 percent of its share price.

75 Years

Encana has land in Alberta and northern British Columbia, as well as in parts of the U.S. including Colorado and Texas. The company has 75 years of production at current rates, according to the website.

Encana has more than 17 producing areas, compared with between one and seven for its peers and is weighted more heavily toward less profitable dry gas, Suttles said.

"We expect Encana to dispose of dry gas assets as well as some emerging plays in order to reduce the number of opportunities that it funds," said Randy Ollenberger, a BMO Capital Markets analyst, in a note to clients. Encana is setting priorities for its assets that can remain profitable at a price for gas of $3.50-4.50, he said.

"North America's third-largest natural gas producer is going through a metamorphosis and that metamorphosis takes time," said Dirk Lever, an analyst at AltaCorp in Calgary. More sales of gas assets is expected and makes sense, he said.

Hot Undervalued Companies To Invest In Right Now

It's interesting to see which excuses the Street willingly accepts when a company is struggling with guidance. In the case of Autodesk (Nasdaq:ADSK), the Street isn't too bothered by another round of lower guidance and ongoing economic uncertainties. Instead, investors seem excited about the potential of a more pronounced transition to a SaaS model. Although I think the Street may be a little too optimistic on that point, the shares do look a little undervalued and remain a volatile software play leveraged to improving economic activity.

Fiscal Second Quarter Basically On Target
It sounds like there's still quite a bit of noise and uncertainty in Autodesk's core CAD/CAM end markets, but the company still delivered an in-line quarter.

Revenue fell 1% from last year, and a little more than that on a sequential basis, as an 8% drop in license revenue was offset up a 9% increase in maintenance revenue. Both Architecture, Engineering, and Construction (AEC) and Manufacturing were up annually and sequentially, while Platform/Emerging declined over both periods.

Hot Undervalued Companies To Invest In Right Now: Caterpillar Inc.(CAT)

Caterpillar Inc. manufactures and sells construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives worldwide. It operates through three lines of businesses: Machinery, Engines, and Financial Products. The Machinery business offers construction, mining, and forestry machinery, including track and wheel tractors, track and wheel loaders, pipelayers, motor graders, wheel tractor-scrapers, track and wheel excavators, backhoe loaders, log skidders, log loaders, off-highway trucks, articulated trucks, paving products, skid steer loaders, underground mining equipment, tunnel boring equipment, and related parts. It also manufactures diesel-electric locomotives; and manufactures and services rail-related products and logistics services for other companies. The Engines business provides diesel, heavy fuel, and natural gas reciprocating engines for Caterpillar machinery, electric power generation systems, marine, petrol eum, construction, industrial, agricultural, and other applications. It offers industrial turbines and turbine-related services for oil and gas, and power generation applications. This business also remanufactures Caterpillar engines, machines, and engine components; and offers remanufacturing services for other companies. The Financial Products business provides retail and wholesale financing alternatives for Caterpillar machinery and engines, solar gas turbines, and other equipment and marine vessels, as well as offers loans and various forms of insurance to customers and dealers. It also offers financing for vehicles, power generation facilities, and marine vessels. The company markets its products directly, as well as through its distribution centers, dealers, and distributors. It was formerly known as Caterpillar Tractor Co. and changed its name to Caterpillar Inc. in 1986. Caterpillar Inc. was founded in 1925 and is headquartered in Peoria, Illinois.

Advisors' Opinion:

• [By Paul Ausick]

  When Caterpillar Inc. (NYSE: CAT) reported earnings in July, the company took the opportunity to cut its revenue and earnings guidance for the full fiscal year. Mining equipment maker Joy Global Inc. (NYSE: JOY) reported third fiscal quarter results Wednesday morning and reaffirmed the lowered guidance it gave at the end of the second quarter.

• [By Rebecca McClay]

  Building roads and bridges takes a lot of heavy equipment, and that's exactly what Caterpillar (CAT) makes. Whether a project needs backhoes, excavators, pavers or the articulated trucks to get asphalt and other building materials from one location to another, the Peoria, Ill., manufacturer is the industry leader both in the U.S. and abroad.

Hot Undervalued Companies To Invest In Right Now: Tupperware Corporation(TUP)

Tupperware Brands Corporation operates as a direct seller of various products across a range of brands and categories through an independent sales force. The company engages in the manufacture and sale of kitchen and home products, and beauty and personal care products. It offers preparation, storage, and serving solutions for the kitchen and home, as well as kitchen cookware and tools, children?s educational toys, microwave products, and gifts under the Tupperware brand name primarily in Europe, Africa, the Middle East, the Asia Pacific, and North America. The company provides beauty and personal care products, which include skin care products, cosmetics, bath and body care, toiletries, fragrances, nutritional products, apparel, and related products principally in Mexico, South Africa, the Philippines, Australia, and Uruguay. It offers beauty and personal care products under the Armand Dupree, Avroy Shlain, BeautiControl, Fuller, NaturCare, Nutrimetics, Nuvo, and Swissgar de brand names. The company sells its Tupperware products directly to distributors, directors, managers, and dealers; and beauty products primarily through consultants and directors. As of December 26, 2009, the Tupperware distribution system had approximately 1,800 distributors, 61,300 managers, and 1.3 million dealers; and the sales force representing the Beauty businesses approximately 1.1 million. The company was formerly known as Tupperware Corporation and changed its name to Tupperware Brands Corporation in December 2005. The company was founded in 1996 and is headquartered in Orlando, Florida.

Advisors' Opinion:

• [By Oliver Pursche]

  European large-cap pharmaceuticals like Novartis (NVS) �and Bristol Meyers Squibb (BMY) �count amongst some of our favorite stocks right now, as do U.S. multinationals that are growing revenue and margins in Asia ��Tupperware (TUP) �is a shining example. Stay away from utilities and energy stocks, as they are likely to be the laggards over the next year.

10 Best Stocks To Invest In 2014: Schlumberger N.V.(SLB)

Schlumberger Limited, together with its subsidiaries, supplies technology, integrated project management, and information solutions to the oil and gas exploration and production industries worldwide. The company?s Oilfield Services segment provides exploration and production services; wireline technology that offers open-hole and cased-hole services; supplies engineering support, directional-drilling, measurement-while-drilling, and logging-while-drilling services; and testing services. This segment also offers well services; supplies well completion services and equipment; artificial lift; data and consulting services; geo services; and information solutions, such as consulting, software, information management system, and IT infrastructure services that support oil and gas industry. Its WesternGeco segment provides reservoir imaging, monitoring, and development services; and operates data processing centers and multiclient seismic library. This segment also offers variou s services include 3D and time-lapse (4D) seismic surveys to multi-component surveys for delineating prospects and reservoir management. The company?s M-I SWACO segment supplies drilling fluid systems to improve drilling performance; fluid systems and specialty tools to optimize wellbore productivity; production technology solutions to maximize production rates; and environmental solutions that manages waste volumes generated in drilling and production operations. Its Smith Oilfield segment designs, manufactures, and markets drill bits and borehole enlargement tools; and supplies drilling tools and services, tubular, completion services, and other related downhole solutions. The company?s Distribution segment markets pipes, valves, and fittings, as well as mill, safety, and other maintenance products. This segment also provides warehouse management, vendor integration, and inventory management services. Schlumberger Limited was founded in 1927 and is based in Houston, Texas.

Advisors' Opinion:

• [By Dr. Kent Moors]

  That's why some of the biggest OFS providers - like Schlumberger (NYSE: SLB), Halliburton (NYSE: HAL) and Weatherford International (NYSE: WFT) - have been buying up oil and gas equipment companies.

• [By Tony Daltorio]

  The biggest oilfield service companies should get a big lift from the boom, Moors said. That includes Schlumberger Ltd. (NYSE: SLB), Halliburton Co. (NYSE: HAL), Weatherford International Ltd. (NYSE: WFT), and Baker Hughes Inc. (NYSE: BHI).

• [By Lee Jackson]

  Schlumberger Ltd. (NYSE: SLB) revenue grew 8% year-over-year to $11.18 billion in the second quarter of 2013, fueled by high growth in its international segment. While the company does generate 11% of revenue in the Middle East and Asia, only a prolonged Syrian conflict is expected to dent their strong results. UBS has a $98 price target and the consensus figure is at $96. Stockholders are paid a 1.5% dividend.

• [By Lee Jackson]

  Energy: Schlumberger Ltd. (NYSE: SLB)�crushed earnings by an astonishing 50.9% last quarter. With Mexico changing its policy on oil exploration, the oil field services leader may see continued strong earnings growth in the years ahead. The consensus price target for the stock is posted at $96. Investors are paid a 1.5% dividend.

Hot Undervalued Companies To Invest In Right Now: Dollar Tree Inc.(DLTR)

Dollar Tree, Inc. operates discount variety stores in the United States and Canada. Its stores offer merchandise primarily at the fixed price of $1.00. The company operates its stores under the names of Dollar Tree, Deal$, Dollar Tree Deal$, Dollar Giant, and Dollar Bills. Its stores offer consumable merchandise, including candy and food, and health and beauty care, as well as household consumables, such as paper, plastics, household chemicals, in select stores, and frozen and refrigerated food; variety merchandise, which includes toys, durable housewares, gifts, party goods, greeting cards, softlines, and other items; and seasonal goods, such as Easter, Halloween, and Christmas merchandise. As of April 30, 2011, it operated 4,089 stores in 48 states and the District of Columbia, as well as 88 stores in Canada. The company was founded in 1986 and is based in Chesapeake, Virginia.

Advisors' Opinion:

• [By Paul Ausick]

  Dollar General�� share price is up less than 6% in the past 12 months, but since the beginning of the year shares have risen more than 22%. And even then, Dollar General�trails Dollar Tree Inc. (NASDAQ: DLTR) in share price growth since January 1. Dollar Tree stock is up 30%.

• [By Lawrence Meyers]

  The finance sector, as mentioned, can make money in many ways. The second-highest growth sector is expected to be consumer discretionary, with a 6.2% increase. When you look at earnings from luxury brands like Tiffany & Co. (TIF), and that the hotel sector continues to do very well, it suggests that those people who are in good financial shape are spending their money. Meanwhile, dollar players like Dollar Tree (DLTR) continue to perform very well, suggesting that folks with less money are spending it on cheaper items.

• [By Lawrence Meyers]

  As a convenience store, it doesn’t have direct competition from�Dollar Tree (DLTR) or Family Dollar (FDO) because these dollar stores aren�� exclusively focused on food (and they have no gasoline or cigarette sales), and they��e targeted at the folks who are trying to save money over convenience, not vice versa. The convenience angle is another reason why�Walmart (WMT) and Costco (COST)�aren’t competitors, since those behemoths are about a total shopping experience.

• [By Jon C. Ogg]

  Deutsche Bank is making a change in its coverage of dollar store themes on Monday: Dollar Tree Inc. (NASDAQ: DLTR) was raised to Buy from Hold and Family Dollar Stores Inc. (NYSE: FDO)�was downgraded to Hold from Buy, but the price target was raised to $74 from $70.

Microsoft Unveils New Tablet Lineup (MSFT)

Microsoft (MSFT) announced that it will be adding two new tablets to its popular “Surface” line.

The Surface 2 and Surface Pro 2 will be the latest additions to Microsoft’s product line as the firm looks to strengthen its footprint in the tablet world that has long been dominated by Apple (AAPL). The new tablets will feature a number of hefty upgrades like improved performance, increased battery life, better camera and screen resolution and a dual kickstand that allows for two unique positions.

Pre-orders for the two new devices will go live tomorrow morning and the tablet will be available in 22 countries.

Microsoft shares were down 5 cents, or 0.15%, at Monday’s close. The stock is up over 22% this year.

JPMorgan Slapped with $920 Million in 'London Whale' Fines

Updated from 9:46 a.m. ET with market reaction and comment from JPMorgan CEO James Dimon.

NEW YORK (TheStreet) -- JPMorgan Chase (JPM) on Thursday was hit with $920 million in fines by regulators in the U.S. and the UK, springing from the bank's massive hedge-trading losses in 2012.

The bank entered into a consent order with the Federal Reserve and agreed to a $200 million civil penalty, which cited JPMorgan's failure "to appropriately inform its board of directors and the Federal Reserve of deficiencies in risk-management systems identified by management."

JPMorgan previously entered into a Federal Reserve cease-and-desist order in January, agreeing to remedy "unsafe and unsound practices" that led to the firm's "London Whale" hedge trading losses of at least $6.2 billion. Also on Thursday, the Office of the Comptroller of the Currency -- the prudential regulator for JPMorgan Chase Bank, NA, JPM's main bank subsidiary -- slapped the bank with $300 million in civil penalties, "for unsafe and unsound practices related to derivatives trading activities conducted on behalf of the bank by the Chief Investment Office (CIO)." The Securities and Exchange Commission fined JPMorgan Chase $200 million, according to the OCC's press release. The UK Financial Conduct Authority fined JPMorgan Chase Bank, NA roughly $220 million for "serious failings related to its Chief Investment Office (CIO)," saying in a statement that JPMorgan's conduct demonstrated flaws "permeating all levels of the firm: from portfolio level right up to senior management." Comptroller of the Currency Thomas Curry in a statement said the regulators' efforts represented "extraordinary work and international cooperation to help ensure our financial system operates in a safe and sound manner and in accordance with applicable laws domestically and abroad." Three days of leaks this week drove loads of media reports predicting the settlement, with totals as high as $900 million, which were slightly lower than the actual total announced. There have been plenty of additional leaks by federal authorities, including a Wall Street Journal report on Tuesday saying the Commodity Futures Trading Commission was conducting a separate investigation of the bank, and that the Department of Justice could still press criminal charges against the bank (not just against a few traders) overt the hedge trading debacle.

Regulators' success in generating four days of consecutive negative headlines this week, showed an enhanced focus on maximizing media pressure against the bank, as the pattern of leaks against JPMorgan intensified.

JPMorgan's shares were down 1% in early trading to $52.79, with the subdued reaction possibly showing relief over the settlement amount, which is far less than the third-quarter litigation expenses CFO Marianne Lake hinted at when speaking at a conference on Sept. 9.

Lake said the bank was expecting net losses in its mortgage origination business during the second half of 2013, and that a "crescendo" of regulatory activity would lead to additions to third-quarter additions to litigation reserves "which will more than offset the $1.5 billion or so of consumer reserve releases."

JPMorgan CEO James Dimon in a recent internal memo on Tuesday had warned employees that there was "more to come" in the "weeks and months" ahead, regarding "legal and regulatory issues facing our company." Dimon in a statement on Thursday said "We have accepted responsibility and acknowledged our mistakes from the start, and we have learned from them and worked to fix them. We will continue to strive towards being considered the best bank - across all measures - not only by our shareholders and customers, but also by our regulators." Dimon added that "Since these losses occurred, we have made numerous changes that have made us a stronger, smarter, better Company." JPM data by YCharts -- Written by Philip van Doorn in Jupiter, Fla. >Contact by Email. Follow @PhilipvanDoorn

Philip W. van Doorn is a member of TheStreet's banking and finance team, commenting on industry and regulatory trends. He previously served as the senior analyst for TheStreet.com Ratings, responsible for assigning financial strength ratings to banks and savings and loan institutions. Mr. van Doorn previously served as a loan operations officer at Riverside National Bank in Fort Pierce, Fla., and as a credit analyst at the Federal Home Loan Bank of New York, where he monitored banks in New York, New Jersey and Puerto Rico. Mr. van Doorn has additional experience in the mutual fund and computer software industries. He holds a bachelor of science in business administration from Long Island University.

Buy, Sell or Hold: What to Do With Yahoo's 80% Gain

For over a year now former Google all-star Marissa Mayer has been at the helm of Yahoo! Inc. (Nasdaq: YHOO) and has managed to steer the ship in one focused direction.

So far Wall Street has been enamored with Mayer as a businesswoman and a personality. She has outlined a much clearer vision for Yahoo than her predecessors.

Investors in Yahoo stock are happy - the share price is up more than 80% since Chief Executive Officer Mayer took charge.

That gain looks juicy for thirsty investors, but before buying in, we have to ask the question: Is this run over, or can Mayer keep delivering...?

What Mayer's Done for Yahoo

Here's what Mayer has done right.

Mayer's mantra is, "People, then products, then traffic, then revenue" - a step-by-step approach to turning the company around.

In September 2012, after Yahoo sold nearly half of its original 40% share of Chinese e-commerce company Alibaba for $7.6 billion before taxes, Mayer went on a shopping spree.

To date she has acquired more than 20 mostly startup companies. The idea is not only to buy the unique applications and products of these startup companies, but also to lock in the creative talent pool of engineers into long-term contracts that keeps them under the Yahoo umbrella.

The largest and most dynamic purchase was the acquisition of Tumblr for approximately $1 billion. Tumblr is a free social media/blog platform that caters to the younger crowd and has a strong mobile presence. Yahoo is trying to regain its standing as "trendy," and its association with Tumblr is one way to combat the stagnation of Yahoo's appeal.

With advertising being Yahoo's focal point of revenue, it is going to be interesting to see how this takeover plays out when Tumblr, which is currently free and offers no ads, re-engineers itself to a make a profit on a group of kids with no money.

There are many doubters (myself included), although supporters will point to Facebook's purchase of Instagram as proof that it can work. But then again I can retort with "Remember MySpace?"

As far as the other smaller companies/products Yahoo has purchased, they run the gamut of various ultra-narrow slices in the technological world.

One thing is clear - they are all geared toward mobile smartphones and tablets.

But, is there room for Yahoo in the mobile sphere when it has to contend with Google and Facebook for every advertising dollar?

Mobile advertising has been a struggle for all companies and is the reason why Yahoo is viewing it as the only area where it has a chance to compete with the big boys.

After all, Yahoo is continuously slipping further and further with its traditional online-advertising revenue model, which currently represents 40% of the company's sales.

The online-advertising market grew 15% last year, according to the Interactive Advertising Bureau, but Yahoo lost market share. Yahoo's slice of this $17 billion market is expected to keep decreasing, from 9.2% in 2012 to 7.9% in 2013. Meanwhile, Google's and Facebook's are expected to grow.

Therefore, it is no wonder that Yahoo is betting its future growth on mobile advertising.

Especially when its profitable relationship with its cash cow is about to change...

China Is Yahoo's Backstop

Yahoo owns a 24% stake in privately held Chinese e-commerce company Alibaba, which has been dubbed the "Amazon of China."

Comparing Alibaba to Amazon is misleading; it generates more revenue than Amazon and eBay combined.

And it's growing like crazy. Sales soared by 71% in the first quarter, with net income rising over 200%.

That's because - as our Private Briefing investment service editor Bill Patalon told investors in his Aug. 21st column - online retail sales in China rocketed a scorching 60.2% in the first six months of 2013 to reach $139.62 billion (855.9 billion yuan).

According to Internet Retailer, China is poised to be the world's biggest online retailer market, surpassing the United States this year.

This $1 billion investment, arranged by Yahoo co-founder Jerry Yang back in 2005, has propelled huge revenue gains for Yahoo.

For Yahoo investors, Alibaba has provided share-price protection in the short term.

But there's a looming change that could disrupt this sweet deal.

Alibaba is expected to go public later this year, and this will change the dynamic between the two companies. Yahoo will have to divest some of its stake in Alibaba.

Alibaba's value varies from analyst to analyst, ranging anywhere from a market cap of $50 billion to $120 billion. If an initial public offering (IPO) were to price at the higher end, it could turn into $30 billion of value for Yahoo.

If Mayer uses that billion-dollar boost wisely, it could push Yahoo ahead of competition - but it would have to be enough to make up the revenue loss from Yahoo's stake in Chinese growth.

A Yahoo Game Changer

There is a way Mayer has been winning - and one that could transform the company if played right - and that's eyeballs.

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For the first time in two years, Yahoo bested Google by 4 million visitors in July 2013, according to a report by comScore - and these figures don't include those from the Tumblr purchase.

However, so far eyeballs haven't translated into profits...

The jury is out on whether or not Yahoo can compete with either the likes of Google with its Android operating system and mobile advertising or the very powerful Facebook app and its advertising.

Yahoo is placing a lot of small wagers and parlaying its Alibaba windfall into its new acquisitions with the hope that one of them turns out to be the big winner.

It is important to note that this success not only includes the future value of an Alibaba IPO but also a massive share buyback funded through the proceeds from the partial sale of Alibaba in September 2012.

Bottom line on Yahoo (Nasdaq: YHOO) stock: If I were a current shareholder, I would want to hang on to this stock until the Alibaba story plays itself out further. Yahoo may have been a very smart way to play the Chinese e-commerce boom, but going forward, Yahoo will be just another company trying to find a niche in the ultra-competitive mobile advertising world.

For more on tech stocks like Yahoo, check out The Ultimate Tech Stock "Treasure Map"

About the Author: David Mamos brings nearly 15 years of analytical experience to the table with a background ranging from big-picture fundamental analysis to highly technical trading decisions. He began his career working as a financial advisor with Royal Alliance in 2001 and helped clients with portfolio management as well as buy-sell decisions before transitioning to the development, implementation, and execution of trading strategies for aggressive investors.

Stocks To Watch For September 17, 2013

Some of the stocks that may grab investor focus today are:

Wall Street expects FactSet Research Systems (NYSE: FDS) to report its Q4 earnings at $1.21 per share on revenue of $218.93 million. FactSet Research shares rose 0.49% to $112.80 in after-hours trading.

Pandora Media (NYSE: P) announced its plans to sell 14 million shares of common stock, including 4 million shares from current stockholders. Pandora shares tumbled 4.54% to $22.90 in the after-hours trading session.

Analysts expect Adobe Systems (NASDAQ: ADBE) to post its Q3 earnings at $0.34 per share on revenue of $1.01 billion. Adobe shares gained 0.80% to close at $48.14 yesterday.

Werner Enterprises (NASDAQ: WERN) issued a weak third-quarter profit forecast. Werner shares dropped 2.09% to $23.90 in the after-hours trading session.

Outerwall (NASDAQ: OUTR) lowered its forecast for the third quarter and full year. Outerwall shares dipped 19.96% to $44.80 in after-hours trading.

Exxon And Other Big Oil Shares Show Little Impact From Rising Crude

Even if crude prices are at two-year highs, $110 per barrel crude has done nothing to help most oil stock prices. Exxon Mobil Corp.’s (NYSE: XOM) share price is down 5% in the past 30 days. Most other big oil stocks have done little better. Either the market does not believe oil prices will stay high, or other negative factors are at work at Wall Street looks at the sector.

The current reason for crude’s increased prices rarely strays from the effects of the Syrian conflict. As chances of an attack on the country sway back and forth, the price of oil usually moves in unison. At this point, with the House of Representatives likely to vote against allowing the president to take military action, a consensus against such action by many of the world’s other nations, and a voting population in the U.S. that largely disapproves of the attacks, prices should be press downward.

However, even a modest chance that the president will defy his critics begs the question whether other nations in the region will become in involved in the conflict. First among these are two nations on either side of the war in Syria — Iran and Israel.

The calculus of oil prices is only part of what is factored into big oil stocks. Exxon may have a disadvantage against Chevron Corp. (NYSE: CVX) and BP PLC (NYSE: BP) in terms of exploration prospects and access to the biggest booming market — shale. Investors who want to look out five years or more, already may have gambled on possible winners. Shares in each of the other oil giants have bested the S&P during the past month.

Exxon may be the largest oil company in the world, based on revenue, but its stock has had a very poor run. Against a 52-week high of $95.49, it trades at $87.20, relatively near its 52-week low of $84.70.

Several Wall Street firms have forecast that crude may reach $120, or as high as $150. So far, there are few takers to the proposition that the future of big oil is spectacular.

The Best Foreign DRIPs

The most important reason to consider foreign stocks is that by doing so, you broaden your opportunity set. The larger the fishing pond, so to speak, the more chances you have of catching big fish, suggests Chuck Carlson, editor of DRIP Investor.

Thus, for the same reason that investors should consider small, mid, and large US companies, so too, should they include foreign stocks when searching for attractive opportunities.

To be sure, investing overseas has some risks, such as political and economic risk, currency risk, and interest rate and inflation risk. There is also information risk; there have been instances of fraudulent accounts with some foreign companies.

Due to these risks, the investment vehicle of choice for investing overseas has been mutual funds and exchange-traded funds.

Despite these risks, owning quality foreign stocks makes good investment sense. Over the long-term, growth in certain foreign economies should outstrip that of the US, and owning that growth should help your portfolio.

Another reason to look abroad is that a number of quality foreign stocks currently offer very competitive dividends and yields.

For investors who prefer to own individual stocks—and I put myself in that category—it is as easy to buy certain foreign stocks as it is US stocks, via the hundreds of foreign companies offering American Depositary Receipt (ADR) direct-purchase plans.

Buying individual foreign stocks became easy for any US investor with the advent of American Depositary Receipts. ADRs are securities that trade on US exchanges and represent ownership in shares of foreign companies.

Investors buy and sell ADRs just as they buy and sell US stocks. ADRs are quoted in US dollars and pay dividends in US dollars. And those dividend payments, in many cases, receive the current preferential tax treatment afforded qualified dividends paid by US companies.

One of my favorites is Baidu (BIDU), the Chinese search-engine company. You may recall I selected Baidu as one of my favorite turnaround stocks at the beginning of 2013.

The stock was trading for around $100. After a weak first half of the year, the shares have caught fire in the last two months.

While competition seems to be growing in its primary market, I remain a fan of these shares and expect this volatile stock to trend higher over the next 12 months.

For investors looking for growth but also income, I especially like three health-care related stocks—Fresenius Medical (FMS), Novo Nordisk (NVO), and Smith & Nephew (SNN).

Fresenius, based in Germany, is a world leader in kidney dialysis services. Novo Nordisk, based in Denmark, is a huge player in diabetes treatment. United Kingdom-based Smith & Nephew is a leader in orthopedic implants.

All of these areas represent growing segments within the global health-care market. I would feel comfortable owning any or all of these stocks.

I've highlighted my favorite ADRs. These stocks typically score well in our Quadrix stock-rating system, and have decent track records, and strong market positions.

Subscribe to DRIP Investor here…

More from MoneyShow.com:

Following in the Steps of John Templeton

Emerging Markets ETFs: Turnaround Plays

Foreign ETFs: Four Perspectives

10 Best Financial Stocks To Own For 2014

As with most other professions that require certifications, such as doctors, lawyers and CPAs, the Certified Financial Planner (CFP) board requires its certificants to meet certain ongoing criteria. In this article, we'll take a look at what you need to do to maintain your certificate in the CFP field. If you have recently completed the coursework, passed the CFP board exam, or are considering attaining a CFP designation and are curious as to what comes next, read on!

Continuing Education Requirements
Some of the requirements for maintaining your CFP include:
Continuing education Ethics Professionalism Practice standards The CFP board requires each certificant to complete 30 hours of continuing education credits every two calendar years. Of these credits, 28 can cover virtually any financial topic, including investments, insurance, estate planning, taxes, retirement plans, education planning and a range of other topics that have been accepted by the CFP board.

10 Best Financial Stocks To Own For 2014: Carolina Bank Holdings Inc.(CLBH)

Carolina Bank Holdings, Inc. operates as the holding company for Carolina Bank that provides commercial and consumer banking services to individuals and small to medium-sized businesses in the Piedmont Triad region of North Carolina. It accepts various deposit products that include personal and commercial checking accounts, savings accounts, money market accounts, certificates of deposit, and individual retirement accounts. The company?s loan portfolio comprises construction and land development loans, 1-4 family residential property loans, multifamily residential property loans, nonfarm nonresidential property loans, commercial and industrial loans, and consumer and other loans. It has four locations in Greensboro; an office in Asheboro, Burlington, High Point, and Winston-Salem; and a mortgage loan production office in Burlington. The company was founded in 1996 and is headquartered in Greensboro, North Carolina.

Advisors' Opinion:

• [By Zacks]

  Carolina Bank Holdings, Inc. (CLBH) experienced a 25% rise in its share price during October. For its third quarter, the company reported that net income rose 77.7% to $974,000 from $548,000, while earnings per share jumped 75% to 35 cents from 20 cents. Carolina Bank Holdings, which reached fresh 52-week highs six times during the month, stated that the performance reflects strong growth in earning assets, a steady margin, disciplined expense control and continued improvement in asset quality. Total revenue of $3.8 million improved 33.4% year over year from $2.9 million.

  ”Carolina Bank continues to produce record results,” stated President and CEO Robert T. Braswell. “We are at the forefront of technology whenever convenience and speed are important, but we also believe in the bonds formed through the person-to-person interactions of relationship banking. This combination drives asset growth and contributes to improving profitability, even as we open new banking offices.”

10 Best Financial Stocks To Own For 2014: F.B.D.HLDGS ORD EUR0.60(FBH.L)

FBD Holdings plc, through its subsidiaries, primarily engages in general insurance underwriting business in Ireland and other countries in European Union. It offers various business insurance products, including shop insurance; pub insurance; office based professional insurance; manufacturers, distribution, and wholesale insurance; and restaurant, cafe, and takeaway insurance. The company also offers other business insurance products for property, business interruption, employer?s liability, public liability, products liability, money, and deterioration of food to small and medium enterprises; property insurance for commercial and private lets; medical surgery insurance; insurance for hotels, guest houses, and B&B?s; and self build insurance, as well as commercial vehicle insurance, motor fleet insurance, personal car insurance, farm insurance, and home insurance. In addition, it provides various personal finance solutions, including general insurance broking, life assur ance/pension products, broking/investment advice, installment finance, mortgage protection quotes, life and serious illness cover products, mortgage advices, and income protection solutions, as well as other financial solutions for businesses. Further, the company holds interests in various hotel and leisure properties comprising the La Cala and Sunset Beach Resorts in Spain, as well as in the FBD Hotels in Ireland. FBD Holdings plc was incorporated in 1988 and is based in Dublin, Ireland.

Hot Casino Stocks To Watch For 2014: Jardine Lloyd(JLT.L)

Jardine Lloyd Thompson Group plc provides risk management advisory, insurance and reinsurance broking, underwriting, and employee benefit services worldwide. Its Risk and Insurance group provides accident and health, affinity partnerships, captives, caravan park owners, cargo, casualty, claims consultancy, clinical trials, construction insurance facilities, corporate recovery, credit and political risk, cyber and IT risk, directors and officers liability, environmental impairment liability, financiers insurance due diligence, football agents, insurance management, healthcare, kidnap and ransom, marine, performance bond enhancement, PPP/PFI, professional indemnity, property, reinsurance, residual value, risk consultancy, SME/commercial, specie and fine art, tenant risks, terrorism, transactional liabilities, and wholesale insurance services. The company?s Employee Benefits group offers advisory services, including pensions consulting, actuarial consulting, flexible benefit s, benefit communications, employee healthcare and protection, pension capital strategies, retirement, wealth management, pension, and discontinuance; and outsourcing services comprising pensions administration, administration consulting, and financial institutions services. This group also provides pensions administration software and complementary services; and various products, such as Classic, P3, and oPen administration systems, as well as the Aviary accounting system, Web-based solutions, workflow, and electronic document management systems for third-party administrators. Jardine Lloyd Thompson also markets its products on a non-advisory basis to affinities, SME, and retail markets, as well as to third party brokers primarily through open-market placements, delegated authorities, and managed general underwriting arrangements. The company is headquartered in London, the United Kingdom.

10 Best Financial Stocks To Own For 2014: Citizens Inc (CIA)

Citizens, Inc. (Citizens), incorporated on November 8, 1977, is an insurance holding company serving the life insurance needs of individuals in the United States. The Company operates in three segments: Life Insurance, Home Service and Other Non-insurance Enterprises. Its core insurance operations include issuing and servicing the United States Dollar-denominated ordinary whole life insurance and endowment policies predominantly to high net worth, high income foreign residents, principally in Latin America and the Pacific Rim, through independent marketing consultants; ordinary whole life insurance policies to middle income households concentrated in the midwest and southern United States through independent marketing consultants, and final expense and limited liability property policies to middle and lower income households in Louisiana, Arkansas, and Mississippi through employee and independent agents in its home service distribution channel.

Life Insurance

The Company�� Life Insurance segment issues ordinary whole life insurance domestically and in United States Dollar-denominated amounts to foreign residents. These contracts are designed to provide a fixed amount of insurance coverage over the life of the insured. Additionally, endowment contracts are issued by the Company, which are principally accumulation contracts that incorporate an element of life insurance protection. The Company operates the segment through its subsidiaries: CICA Life Insurance Company of America (CICA) and Citizens National Life Insurance Company (CNLIC).

The Company offers several ordinary whole life insurance and endowment products designed to meet the needs of its non-United States policy owners. Its domestic life insurance products focus primarily on living needs and provide benefits focused toward accumulating money for the policyowner. The Company�� life insurance products are principally designed to address the insured�� concern about outliving his or her monthly income,! while at the same time providing death benefits. The primary purpose of its product portfolio is to help the insured create capital for needs, such as retirement income, children's higher education funds, business opportunities, emergencies and health care needs.

Home Service Insurance

The Company operates in the Home Service market through its subsidiaries Security Plan Life Insurance Company (SPLIC) and Security Plan Fire Insurance Company (SPFIC), and focus on the life insurance needs of the middle and lower income markets, primarily in Louisiana, Mississippi and Arkansas. Its home service insurance products consist primarily of small face amount ordinary whole life and pre-need policies, which are designed to fund final expenses for the insured, primarily consisting of funeral and burial costs.

Other Non-Insurance Enterprises

Other Non-insurance Enterprises includes Computing Technology, Inc., which provides data processing services to the Company, and Insurance Investors, Inc., which provides aviation transportation to the Company. This segment also includes the results of Citizens, Inc., the parent Company.

10 Best Financial Stocks To Own For 2014: Ares Capital Corp (ARN)

Ares Capital Corporation (Ares Capital), incorporated on April 16, 2004, is a specialty finance company, which is a closed-end, non-diversified management investment company. The Company�� wholly owned subsidiaries and vehicles managed or sub-managed by its wholly owned portfolio company, Ivy Hill Asset Management, L.P. (IHAM). It is externally managed by its investment adviser, Ares Capital Management LLC (Ares Capital Management or its investment adviser), a wholly owned subsidiary of Ares Management LLC (Ares Management), a global alternative asset manager. Ares Operations LLC (Ares Operations or administrator), its administrator, a wholly owned subsidiary of Ares Management, provides the administrative services. It invests in United States middle-market companies. It invests in first and second lien senior loans and mezzanine debt, which in some cases includes an equity component. It also makes preferred and/or common equity investments.

The Company�� portfolio company, IHAM, manages 10 unconsolidated credit vehicles and sub-manages or sub-advises four other unconsolidated credit vehicles (these vehicles managed or sub-managed/sub-advised by IHAM). It has also made direct investments in securities of certain of these vehicles. Ares Management�� (Ares) finance activities include the origination, acquisition and management of senior loans, bonds, mezzanine debt and special situation investments. Ares' private equity activities focus on providing flexible, junior capital to middle-market companies.

The Company has an investment portfolio of first and second lien loans, mezzanine debt and equity investments in private middle-market companies. The Company and General Electric Capital Corporation and GE Global Sponsor Finance LLC (GE) co-invest through the Senior Secured Loan Fund LLC, which operates using the name Senior Secured Loan Program. As of December 31, 2011, the Senior Secured Loan Program (SSLP) consisted of a portfolio of loans to 32 different borrowers and th! e portfolio companies in the SSLP are in industries similar to the companies in Ares Capital's portfolio. It also makes preferred and/or common equity investments. It makes senior secured loans in the form of first and/or second lien loans. Its first and second lien loans have terms of three to 10 years. The list of the industries, in which it has invested include aerospace and defense, business services, consumer products, containers and packaging, education, energy, environmental services, financial services, food and beverage, healthcare services, investment funds and vehicles, manufacturing, restaurant and food services, retail, and telecommunications. It has made investments in its portfolio company, IHAM, which manages 10 unconsolidated credit vehicles: Ivy Hill Middle Market Credit Fund, Ltd. (Ivy Hill I), Ivy Hill Middle Market Credit Fund II, Ltd. (Ivy Hill II), Ivy Hill Middle Market Credit Fund III, Ltd. (Ivy Hill III), Ivy Hill Senior Debt Fund, L.P. and related vehicles (Ivy Hill SDF and, together with Ivy Hill I, Ivy Hill II and Ivy Hill III, the Ivy Hill Funds); Knightsbridge CLO 2007-1 Limited, Emporia Preferred Funding I, Ltd., Emporia Preferred Funding II, Ltd. and Emporia Preferred Funding III, Ltd. (collectively, the Emporia Funds), and Ares Private Debt Strategies Fund II, L.P. and Ares Private Debt Strategies Fund III, L.P. (collectively, the PDS Funds). In addition, IHAM serves as the sub-adviser/sub-manager for four others: CoLTS 2005-1 Ltd., CoLTS 2005-2 Ltd. and CoLTS 2007-1 Ltd. (collectively, the CoLTS Funds), and FirstLight Funding I, Ltd. (FirstLight).

10 Best Financial Stocks To Own For 2014: Toronto-Dominion Com Npv (TD.TO)

The Toronto-Dominion Bank, together with its subsidiaries, provides financial and banking services in North America and internationally. The company�s Canadian Personal and Commercial Banking segment offers various financial products and services to personal and small business customers. It also provides banking solutions through telephone and Internet banking, as well as serves approximately 13 million customers through a network of 1,168 branches and 2,800 automated banking machines in Canada. In addition, this segment offers financing, investment, cash management, and international trade services to medium-sized Canadian businesses; financing options to customers at point-of-sale for automotive and recreational vehicle purchases through its auto dealer network; and credit cards. Its Wealth and Insurance segment offers direct investing, advice, and asset management services to institutional and retail clients; and a range of insurance products, including home, auto, cre dit protection, travel, life, and health insurance, as well as reinsurance through phone and online. The company�s U.S. Personal and Commercial Banking segment provides retail and commercial banking operations in the United States. This segment offers its financial products and services through a network of approximately 1,315 stores located along the east coast from Maine to Florida; telephone, mobile, and Internet banking; and automated banking machines. Its Wholesale Banking segment provides a range of capital markets and investment banking products and services comprising underwriting and distribution of new debt and equity issues, providing advice on strategic acquisitions and divestitures, and meeting the daily trading, funding, and investment needs. This segment serves companies, governments, and institutions in financial markets worldwide. The Toronto-Dominion Bank was founded in 1855 and is headquartered in Toronto, Canada.

10 Best Financial Stocks To Own For 2014: CoreSite Realty Corporation(COR)

CoreSite Realty Corporation operates as real investment trust in the United States. The company engages in the ownership, acquisition, construction, and management of data centers. It provides data centers that optimize, secure, and interconnect the mission-critical IT assets of the organizations. The company offers private data centers and suites, cage-to-cabinet colocation, and interconnection services, such as Any2, CoreSite's Internet exchange. Its data centers are located in Los Angeles, the San Francisco Bay and Northern Virginia areas, Chicago, and New York City. The company provides its data centre services to enterprises, cloud providers, financial firms, and Government agencies. As of March 31, 2011, its property portfolio included 11 operating data center facilities, 1 data center under construction, and 1 development site. The company was founded in 2010 and is headquartered in Denver, Colorado.

Advisors' Opinion:

• [By Bryan Perry]

  CoreSite Realty Corp. (NYSE: COR) is structured as a REIT and is an owner, developer and operator of tactically positioned real estate, intended to meet the strict needs of the information technology community. It is one of the world’s biggest carrier-neutral suppliers of wholesale data center and co-location services, offering private data centers and suites, cage-to-cabinet co-location and interconnection opportunities.

  COR went public in the fall of 2010. Since the company is structured as a REIT, it must pay out at least 90% of net income to shareholders who, in turn, must pay ordinary income taxes on dividend income unless the shares are held in a retirement account.

  The two Wall Street analysts that cover the stock have the company earning a consensus 98 cents for 2011. That’s a 24% year-over-year growth rate in an economy forecast to grow by 2%. As such, if the company is set to pay out 90% of earnings, then we should see a forward dividend yield of around 6% for 2011, assuming earnings per share of roughly $1. COR currently yields 3.57%. Buy it up to $16.

10 Best Financial Stocks To Own For 2014: Mercury General Corporation (MCY)

Mercury General Corporation, together with its subsidiaries, engages in writing personal automobile insurance products. The company also writes homeowners, commercial automobile and property, mechanical breakdown, fire, and umbrella insurance products. Its insurance products cover collision, property damage liability, bodily injury liability, comprehensive, personal injury protection, underinsured and uninsured motorist, and other hazards for automobile policy holders. The company sells its policies through a network of independent agents in California, Florida, Georgia, Illinois, Texas, Oklahoma, New York, New Jersey, Virginia, Pennsylvania, Arizona, Nevada, and Michigan. Mercury General Corporation was founded in 1960 and is headquartered in Los Angeles, California.

Advisors' Opinion:

• [By Chuck Carnevale] From their website:
  
  ��ercury General (NYSE-MCY) is the leading independent broker and agency writer of automobile insurance in California and has been one of the fastest growing automobile insurers in the nation. It is ranked as the third largest private passenger automobile insurer in California, with total assets over $4 billion. Mercury also writes automobile insurance in Arizona, Florida, Georgia, Illinois, Michigan, Nevada, New Jersey, New York, Oklahoma, Pennsylvania, Texas and Virginia. In addition to automobile insurance, Mercury writes other lines of insurance in various states, including mechanical breakdown and homeowners insurance.��br>
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  Performance and Dividends Impacted by Operating Stress
  
  It should be clear from the above graphs that the earnings records of these three Dividend Champions have been far from steady, consistent or reliable. Therefore, I cannot get comfortable either recommending them or investing in them because I cannot get comfortable predicting what their future operating results may be. Furthermore, by examining the performance results associated with the above earnings and price-correlated graphs illustrates a lot of uncertainty. A focus on the earnings growth rate column illustrates a lot of stress on each company�� ability to keep their dividend streaks alive (Blue Circles).
  
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  The Overvaluation Rejection
  
  Other reasons besides irregular earnings growth that caused a Dividend Champion to be rejected include one of my all-time favorites, valuation. Or to be more precise ��overvaluation. The following example, McCormick & Co. (MKC), represents one of my favorite Dividend Champions based on a very consistent above-average record of earnings growth that produced its impressive dividend streak. The only reason that this Dividend Champion was rejected was because of current overvaluation.
  
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  Top 20 Divid! end Champions That Made the Cut
  
  Currently, there are 105 Dividend Champions; however, as I��e already pointed out, I do not feel that a company should be invested in just because of its dividend streak. There are many other considerations that I think are important. Anyone who�� a regular reader of my work will know that current valuation is one of the most important to me. But I also covet an above-average growth rate, both historically and, even more importantly, forecast to continue in the future.
  
  The consistency of the company�� operating results, regardless of growth rate, is also important. And of course, there is the yield versus total return issue that many dividend growth investors enjoy debating about. There are others, but these are the essential ones to me.
  
  The important point that I am iterating here is that not all equities are the same, and also not all Dividend Champions are the same. But most importantly, the differences between the individual companies can make all the difference in the world regarding whether or not they should be invested in. Sometimes, the differences are temporary ��for example, an overvaluation situation that may one day correct itself. In other cases, a permanent deterioration of fundamentals may soon render a current Dividend Champion a dud, and end its streak of dividends.
  
  Top 10 Dividend Champions For Yield
  
  This first top 10 list is offered for dividend growth investors that are most focused on current yield. My primary consideration here was a minimum current dividend yield of 3% (greater than the 30-year T-bond). However, I also put a premium on consistency and safety based on the assumption that this investor may already be retired and living off the income of their dividend growth portfolio. Finally, each of these companies had to be fairly valued, and some I would even consider significantly undervalued. Therefore, this list is presented in order of highest dividend yields to lowest.
  
  

10 Best Financial Stocks To Own For 2014: Berkshire Hathaway Inc (BRKA)

Berkshire Hathaway Inc. (Berkshire) is a holding company owning subsidiaries engaged in a number of diverse business activities. The Company is engaged in insurance businesses conducted on both a primary basis and a reinsurance basis. Berkshire also owns and operates a number of other businesses engaged in a variety of activities. On December 30, 2011, Medical Protective Corporation (MedPro) completed the acquisition of 100% of the Princeton Insurance Company, a professional liability insurer for healthcare providers based in Princeton, New Jersey. During the year ended December 31, 2011, Acme Building Brands (Acme) acquired the assets of Jenkins Brick Company, the brick manufacturer in Alabama. In September 2011, Berkshire acquired The Lubrizol Corporation (Lubrizol). In June 2011, the Company acquired Wesco Financial Corporation. In June 2012, Media General, Inc. sold 63 daily and weekly newspapers to World Media Enterprises, Inc., a subsidiary of Berkshire. In July 2012, Berkshire�� The Lubrizol Corporation acquired Lipotec SA.

Insurance and Reinsurance Businesses

Berkshire�� insurance and reinsurance business activities are conducted through numerous domestic and foreign-based insurance entities. Berkshire�� insurance businesses provide insurance and reinsurance of property and casualty risks world-wide and also reinsure life, accident and health risks world-wide. Berkshire�� insurance underwriting operations are consisted of the sub-groups, including GEICO and its subsidiaries, General Re and its subsidiaries, Berkshire Hathaway Reinsurance Group and Berkshire Hathaway Primary Group. GEICO insurance subsidiaries include Government Employees Insurance Company, GEICO General Insurance Company, GEICO Indemnity Company and GEICO Casualty Company. These companies primarily offers private passenger automobile insurance to individuals in all 50 states and the District of Columbia. In addition, GEICO insures motorcycles, all-terrain vehicles, recreational vehicles and s! mall commercial fleets and acts as an agent for other insurers who offer homeowners, boat and life insurance to individuals. GEICO markets its policies primarily through direct response methods in which applications for insurance are submitted directly to the companies through the Internet or by telephone.

General Re Corporation (General Re) is the holding company of General Reinsurance Corporation (GRC) and its subsidiaries and affiliates. GRC�� subsidiaries include General Reinsurance AG, a international reinsurer based in Germany. General Re subsidiaries conduct business activities globally in 51 cities and provide insurance and reinsurance coverages throughout the world. General Re provides property/casualty insurance and reinsurance, life/health reinsurance and other reinsurance intermediary and risk management, underwriting management and investment management services.

Property/Casualty Reinsurance

General Re�� property/casualty reinsurance business in North America is conducted through GRC. Property/casualty operations in North America are also conducted through 16 branch offices in the United States and Canada. Reinsurance activities are marketed directly to clients without involving a broker or intermediary. General Re�� property/casualty business in North America also includes specialty insurers (primarily the General Star and Genesis companies domiciled in Connecticut and Ohio). These specialty insurers underwrite primarily liability and workers��compensation coverages on an excess and surplus basis and excess insurance for self-insured programs. General Re�� international property/casualty reinsurance business operations are conducted through internationally-based subsidiaries on a direct basis (through General Reinsurance AG, as well as several other General Re subsidiaries in 25 countries) and through brokers (primarily through Faraday, which owns the managing agent of Syndicate 435 at Lloyd�� of London and provides capacity and particip! ates in 1! 00% of the results of Syndicate 435).

Life/Health Reinsurance

General Re�� North American and international life, health, long-term care and disability reinsurance coverages are written on an individual and group basis. Most of this business is written on a proportional treaty basis, with the exception of the United States group health and disability business which is predominately written on an excess treaty basis. Lesser amounts of life and disability business are written on a facultative basis. The life/health business is marketed on a direct basis. The Berkshire Hathaway Reinsurance Group (BHRG) operates from offices located in Stamford, Connecticut. Business activities are conducted through a group of subsidiary companies, led by National Indemnity Company (NICO) and Columbia Insurance Company (Columbia). BHRG provides principally excess and quota-share reinsurance to other property and casualty insurers and reinsurers. BHRG�� underwriting activities also include life reinsurance and life annuity business written through Berkshire Hathaway Life Insurance Company of Nebraska and financial guaranty insurance written through Berkshire Hathaway Assurance Corporation.

BHRG writes catastrophe excess-of-loss treaty reinsurance contracts. BHRG also writes individual policies for primarily large or otherwise unusual discrete risks on both an excess direct and facultative reinsurance basis, referred to as individual risk, which includes policies covering terrorism, natural catastrophe and aviation risks. A catastrophe excess policy provides protection to the counterparty from the accumulation of primarily property losses arising from a single loss event or series of related events. Catastrophe and individual risk policies may provide amounts of indemnification per contract and a single loss event may produce losses under a number of contracts. BHRG also underwrites traditional non-catastrophe insurance and reinsurance coverages, referred to as multi-line property/c! asualty b! usiness.

The Berkshire Hathaway Primary Group is a collection of primary insurance operations that provide a variety of insurance coverages to insureds located principally in the United States. NICO and certain affiliates underwrite motor vehicle and general liability insurance to commercial enterprises on both an admitted and excess and surplus basis. This business is written nationwide primarily through insurance agents and brokers and is based in Omaha, Nebraska. U.S. Investment Corporation (USIC), through its three subsidiaries led by United States Liability Insurance Company, is a specialty insurer that underwrites commercial, professional and personal lines of insurance on an admitted and excess and surplus basis. Policies are marketed in all 50 states and the District of Columbia through wholesale and retail insurance agents. USIC companies underwrite and market 109 distinct specialty property and casualty insurance products. Medical Protective Corporation (MedPro) is based in Fort Wayne, Indiana. Through its subsidiary, the Medical Protective Company, MedPro is engaged in primary medical professional liability coverage and risk solutions to physicians, dentists, other healthcare providers and healthcare facilities.

Railroad Business

Through BNSF Railway, BNSF operates a railroad network in North America with approximately 32,000 route miles of track (excluding multiple main tracks, yard tracks and sidings) in 28 states and two Canadian provinces as of December 31, 2011. BNSF owns approximately 23,000 route miles, including easements, and operates on approximately 9,000 route miles of trackage rights that permit BNSF to operate its trains with its crews over other railroads��tracks. As of December 31, 2011, the total BNSF Railway system, including single and multiple main tracks, yard tracks and sidings, consisted of approximately 50,000 operated miles of track, all of which are owned by or held under easement by BNSF except for approximately 10,000 route! miles op! erated under trackage rights.

BNSF is based in Fort Worth, Texas, and through BNSF Railway Company operates railroad systems in North America. In serving the Midwest, Pacific Northwest, Western, Southwestern and Southeastern regions and ports of the country, BNSF transports a range of products and commodities derived from manufacturing, agricultural and natural resource industries. In serving the Midwest, Pacific Northwest, Western, Southwestern and Southeastern regions and ports of the country, BNSF transports a range of products and commodities derived from manufacturing, agricultural and natural resource industries. Over half of the freight revenues of BNSF are covered by contractual agreements of varying durations. BNSF�� primary routes, including trackage rights, allow it to access cities and ports in the western and southern United States as well as parts of Canada and Mexico. In addition to cities and ports, BNSF efficiently serves many smaller markets by working closely with approximately 200 shortline partners. BNSF has also entered into marketing agreements with other rail carriers, expanding the marketing reach for each railroad and their customers.

Utilities and Energy Businesses

MidAmerican�� businesses are managed as separate operating units. MidAmerican�� domestic regulated energy interests are comprised of two regulated utility companies serving more than three million retail customers and two interstate natural gas pipeline companies with approximately 16,600 miles of pipeline and a design capacity of approximately 7.7 billion cubic feet of natural gas per day. Its United Kingdom electricity distribution subsidiaries serve about 3.9 million electricity end-users. In addition, MidAmerican�� interests include a diversified portfolio of domestic independent power projects, a hydroelectric facility in the Philippines and residential real estate brokerage firm in the United States.

PacifiCorp is a regulated electric utility compa! ny headqu! artered in Oregon, serving regulated retail electric customers in portions of Utah, Oregon, Wyoming, Washington, Idaho and California. The combined service territory�� diverse regional economy ranges from rural, agricultural and mining areas to urban, manufacturing and government service centers. As a vertically integrated electric utility, PacifiCorp owns approximately 10,600 net megawatts of generation capacity. MidAmerican Energy Company (MEC) is a regulated electric and natural gas utility company headquartered in Iowa, serving regulated retail electric and natural gas customers primarily in Iowa and also in portions of Illinois, South Dakota and Nebraska. MEC has a diverse customer base consisting of residential, agricultural and a variety of commercial and industrial customer groups. In addition to retail sales and natural gas transportation, MEC sells regulated electricity to markets operated by regional transmission organizations and regulated electricity and natural gas to other utilities and market participants on a wholesale basis and sells non-regulated electricity and natural gas services in deregulated markets. As a vertically integrated electric and gas utility, MEC owns approximately 7,000 net megawatts of generation capacity.

The natural gas pipelines consist of Northern Natural Gas Company (Northern Natural) and Kern River Gas Transmission Company (Kern River). Northern Natural is based in Nebraska and owns interstate natural gas pipeline systems in the United States reaching from southern Texas to Michigan�� Upper Peninsula. Northern Natural�� pipeline system consists of approximately 14,900 miles of natural gas pipelines. Northern Natural has access to supplies from mid-continent basin and provides transportation services to utilities and numerous other customers. Northern Natural also operates three underground natural gas storage facilities and two liquefied natural gas storage peaking units.

Kern River is based in Utah and owns an interstate natural! gas pipe! line system that consists of approximately 1,700 miles and extends from the supply areas in the Rocky Mountains to consuming markets in Utah, Nevada and California. Kern River transports natural gas for electric utilities and natural gas distribution utilities, oil and natural gas companies or affiliates of such companies, electricity generating companies, energy marketing and trading companies, and financial institutions. The United Kingdom utilities consist of Northern Powergrid (Northeast) Limited (Northern Powergrid (Northeast)) and Northern Powergrid (Yorkshire) plc (Northern Powergrid (Yorkshire)), which own a substantial United Kingdom electricity distribution network that delivers electricity to end-users in northeast England in an area covering approximately 10,000 square miles. The distribution companies primarily charge supply companies regulated tariffs for the use of electrical infrastructure. MidAmerican also owns HomeServices of America, Inc. (HomeServices), a full-service residential real estate brokerage firm in the United States. HomeServices also offers integrated real estate services, including mortgage originations through a joint venture, title and closing services, property and casualty insurance, home warranties, relocation services and other home-related services. It operates under 22 residential real estate brand names with over 14,000 sales associates and in nearly 300 brokerage offices in 20 states.

Manufacturing, Service and Retailing Businesses

Berkshire�� numerous and diverse manufacturing, service and retailing businesses. Marmon consists of approximately 140 manufacturing and service businesses that operate independently within eleven diverse, stand-alone business sectors. These sectors are Building Wire, Crane Services, Distribution Services, Engineered Wire and Cable, Flow Products, Food Service Equipment, Highway Technologies, Industrial Products, Retail Store Fixtures, Transportation Services and Engineered Products and Water Treatment.

!

Building Wire, providing copper electrical building wire for residential, commercial and industrial construction. Crane Services provides the leasing and operation of mobile cranes primarily to the energy, mining and petrochemical markets. Distribution Services, supplying specialty metal pipe and tubing, bar and sheet products to markets including construction, industrial, aerospace and many others. Engineered Wire & Cable, providing electrical and electronic wire and cable for energy related markets and other industries. Flow Products is producing copper tube for the plumbing, heating, ventilation, and air conditioning (HVAC), refrigeration, and industrial markets. Food Service Equipment is supplying commercial food preparation equipment for restaurants and shopping carts for retail stores. Highway Technologies, primarily serving the heavy-duty highway transportation industry with trailers, fifth wheel coupling devices and undercarriage products such as brake parts and suspension systems, and also serving the light vehicle aftermarket with clutches and related products.

Industrial Products, consisting of metal fasteners for the building, furniture, cabinetry, industrial and other markets, gloves for industrial markets, portable lighting equipment for mining and safety markets, overhead electrification equipment for mass transit systems, custom-machined brass, aluminum and copper forgings for the construction, valve and other industries, brass fittings and valves for commercial and industrial applications, and drawn aluminum tubing and extruded aluminum shapes for the construction, automotive, appliance, medical and other markets . Retail Store Fixtures, providing shelving and other merchandising displays and related services for retail stores worldwide. Transportation Services & Engineered Products, including manufacturing, leasing and maintenance of railroad tank cars, leasing of intermodal tank containers, in-plant rail services, manufacturing of bi-modal railcar movers, wheel, axle ! and gear ! sets for light rail transit and gear products for locomotives, manufacturing of steel tank heads, and services, equipment and technology for processing and distributing sulfur. Water Treatment, equipment including residential water softening, purification and refrigeration filtration systems, treatment systems for industrial markets including power generation, oil and gas, chemical, and pulp and paper, gear drives for irrigation systems and cooling towers, and air-cooled heat exchangers. Marmon operates approximately 300 manufacturing, distribution and service facilities that are primarily located in North America, Europe and China, and employs more than 16,000 people worldwide.

McLane Company, Inc. (McLane) provides wholesale distribution and logistics services in all 50 states and internationally in Brazil to customers that include discount retailers, convenience stores, wholesale clubs, quick service restaurants, drug stores and military bases. Operations are divided into five business units: grocery distribution, foodservice distribution, beverage distribution, international logistics and software development. McLane�� foodservice distribution unit, based in Carrollton, Texas, focuses on serving the quick service restaurant industry. Operations are conducted through 18 facilities in 16 states. The foodservice distribution unit services more than 20,000 chain restaurants nationwide.

Other Manufacturing, Other Service and Retailing Businesses

Berkshire�� apparel manufacturing businesses include manufacturers of a variety of clothing and footwear. Businesses engaged in the manufacture and distribution of clothing products include Fruit of the Loom, Inc. (Fruit), Russell Brands, LLC (Russell), Vanity Fair Brands, LP (VFB), Garan and Fechheimer Brothers. Berkshire�� footwear businesses include H.H. Brown Shoe Group, Justin Brands and Brooks Athletic. Fruit, Russell and VFB (together FOL) is primarily a vertically integrated manufacturer and distributor of ba! sic appar! el, underwear and athletic apparel and products. Products, under the Fruit of the Loomand JERZEES labels are primarily sold in the mass merchandise and wholesale markets. In the VFB product line, Vassarette, Bestformand Curvationare sold in the mass merchandise market, while Vanity Fairand Lily of Franceproducts are sold in the mid-tier chains and department stores. FOL also markets and sells athletic uniforms, apparel, sports equipment and balls to team dealers; college licensed tee shirts and fleecewear to college bookstores and mid-tier merchants; and athletic apparel, sports equipment and balls to sporting goods retailers under the Russell Athleticand Spaldingbrands. Additionally, Spaldingmarkets and sells balls in the mass merchandise market and dollar store channel. During the year ended December, 31, 2011, approximately 30% of FOL�� sales were to Wal-Mart. FOL generally performs its own spinning, knitting, cloth finishing, cutting, sewing and packaging.

Garan designs, manufactures, imports and sells apparel primarily for children, including boys, girls, toddlers and infants. Products are sold under its own trademark Garanimalsand private labels of its customers. Garan also licenses its registered trademark Garanimalsto independent third parties. Garan conducts its business through operating subsidiaries located in the United States, Central America and Asia. Substantially all of Garan�� products are sold through its distribution centers in the United States to national chain stores, department stores and specialty stores. In 2011, over 90% of Garan�� sales were to Wal-Mart. Fechheimer Brothers manufactures, distributes and sells uniforms, principally for the public service and safety markets, including police, fire, postal and military markets. Fechheimer Brothers is based in Cincinnati, Ohio.

Justin Brands and H.H. Brown Shoe Group manufacture and distribute work, rugged outdoor and casual shoes and western-style footwear under a number of brand names, including! Justin, ! Tony Lama, Nocona, Chippewas, Born, Sofft, Carolina, Double-H Boots, Corcoran, Matterhornand Kork-Ease. Brooks Athletic markets and sells running footwear to specialty retailers under Brooksbrand. In 2011, Brooksachieved #1 market share in footwear with specialty retailers. A volume of the shoes sold by Berkshire�� shoe businesses are manufactured or purchased from sources outside the United States. Products are principally sold in the United States through a variety of channels including department stores, footwear chains, specialty stores, catalogs and the Internet, as well as through Company-owned retail stores.

Acme manufactures and distributes clay bricks (Acme Brickand Jenkins Brick), concrete block (Featherlite) and cut limestone (Texas Quarries). In addition, Acme distributes a number of other building products of other manufacturers, including glass block, floor and wall tile and other masonry products. Acme also sells ceramic floor and wall tile, as well as marble, granite and other stones through its subsidiary, American Tile and Stone. Products are sold primarily in the South Central and South Eastern United States through Company-operated sales offices. Acme distributes products primarily to homebuilders and masonry and general contractors.

Benjamin Moore & Co. (Benjamin Moore) is a formulator, manufacturer and retailer of a range of architectural coatings, available principally in the United States and Canada. Products include water-thinnable and solvent-thinnable general purpose coatings (paints, stains and clear finishes) for use by the general public, contractors and industrial and commercial users. Products are marketed under various registered brand names, including Regal, Superspec, Moorcraft, Moorgard, Aura, Nattura, ben, Coronado Paint, Insl-xand Lenmar.

Benjamin Moore and its manufacturing subsidiaries rely primarily on an independent dealer network for the distribution of its products. Its distribution network includes approximately 100! Company-! owned stores as well as over 4,500 third party retailers representing over 10,300 storefronts in the United States and Canada. Benjamin Moore�� Company-owned stores represent several multiple-outlet and stand-alone retailers in various parts of the United States and Canada serving primarily contractors and general consumers. The independent retailer channel offers an array of products including Benjamin Mooreand Insl-xbrands and other competitor coatings, wallcoverings, window treatments and sundries. Benjamin Moore also has three color stations located in regional malls that serve as brand marketing tools. In addition to the independent retailer channel, Benjamin Moore has recently begun to sell direct to the consumer through e-commerce sites and its customer care program, which includes national accounts and government agencies.

Johns Manville (JM) is a manufacturer and marketer of products for building insulation, mechanical insulation, commercial roofing and roof insulation, as well as fibers and nonwovens for commercial, industrial and residential applications. JM serves markets that include aerospace, automotive and transportation, air handling, appliance, HVAC, pipe and equipment filtration, waterproofing, building, flooring, interiors and wind energy. Fiber glass is the basic material in a majority of JM�� products, although JM also manufactures a portion of its products with other materials to satisfy the broader needs of its customers. JM regards its patents and licenses as valuable, however it does not consider any of its businesses to be materially dependent on any single patent or license. JM is headquartered in Denver, Colorado, and operates 40 manufacturing facilities in North America, Europe and China and conducts research and development at several other facilities. JM sells its products through a variety of channels, including contractors, distributors, retailers, manufacturers and fabricators.

MiTek is a provider of engineered connector products, engine! ering sof! tware and services and computer-driven manufacturing machinery to the truss fabrication segment of the building components industry. Primary customers are truss fabricators who manufacture pre-fabricated roof and floor trusses and wall panels for the residential building market, as well as the light commercial and institutional construction industry. MiTek also participates in the light gauge steel framing market under the Ultra-Spanname, manufactures and markets assembly line machinery used by the lead acid battery industry, manufactures and markets a line of masonry connector products and manufactures and markets air handling systems used in commercial building. MiTek operates on six continents with sales into approximately 90 countries. MiTek has 34 manufacturing facilities located in eleven countries and 45 sales/engineering offices located in 17 countries.

The Shaw Industries Group, Inc. (Shaw) is a carpet manufacturer based on both revenue and volume of production. Shaw designs and manufactures over 3,000 styles of tufted carpet, tufted and woven rugs, laminate and wood flooring for residential and commercial use under about 30 brand and trade names and under certain private labels. Shaw also provides installation services and sells ceramic and vinyl tile along with sheet vinyl. Shaw�� manufacturing operations are fully integrated from the processing of raw materials used to make fiber through the finishing of carpet. Shaw�� carpet, rugs and hard surface products are sold in a broad range of prices, patterns, colors and textures.

Shaw products are sold wholesale to over 40,000 retailers, distributors and commercial users throughout the United States, Canada and Mexico and are also exported to various overseas markets. Shaw�� wholesale products are marketed domestically by over 2,000 salaried and commissioned sales personnel directly to retailers and distributors and to national accounts. Shaw�� 10 carpet full-service distribution facilities, three hard surface an! d two rug! full-service distribution facilities and 24 redistribution centers, along with centralized management information systems, enable it to provide prompt efficient delivery of its products to both its retail customers and wholesale distributors.

Berkshire acquired an 80% interest in IMC International Metalworking Companies B.V. (IMC B.V.). Through its subsidiaries, IMC B.V. is a multinational manufacturers of consumable precision carbide metal cutting tools for applications in a range of industrial end markets under the brand names ISCAR, TaeguTec, Ingersoll, Tungaloy, Unitac, UOP It.te.diand Outiltec. IMC B.V.�� manufacturing facilities are located in Israel, United States, Germany, Italy, France, Switzerland, South Korea, China, India, Japan and Brazil. IMC B.V. has five primary product lines: milling tools, gripping tools, turning/thread tools, drilling tools and tooling. Forest River, Inc. (Forest River) is a manufacturer of recreational vehicles, utility, cargo and office trailers, buses and pontoon boats, headquartered in Elkhart, Indiana. Its products are sold in the United States and Canada through an independent dealer network.

Scott Fetzer companies are a diversified group of 20 businesses that manufacture and distribute a variety of products for residential, industrial and institutional use. The two of these businesses are Kirby home cleaning systems and Campbell Hausfeld products. Albecca Inc. (Albecca), headquartered in Norcross, Georgia, does business primarily under the Larson-Juhlname. Albecca designs, manufactures and distributes a complete line of branded custom framing products, including wood and metal moulding, matboard, foamboard, glass, equipment and other framing supplies in the United States, Canada and 15 countries outside of North America. CTB International Corp. is a designer, manufacturer and marketer of systems used in the grain industry and in the production of poultry, hogs and eggs.

Lubrizol is a specialty chemical company that pro! duces and! supplies technologies for the global transportation, industrial and consumer markets. Lubrizol operates two business sectors: Lubrizol Additives, which includes engine, driveline and industrial additive products and Lubrizol Advanced Materials, which includes personal and home care, engineered polymer and performance coating products. FlightSafety International Inc.(FlightSafety) is engaged primarily in the business of providing high technology training to operators of aircraft. FlightSafety�� training activities include advanced training for pilots of business and commercial aircraft; aircrew training for military and other government personnel; aircraft maintenance technician training; flight attendant and aircraft dispatcher training, and ab-initio (primary) pilot training to qualify individuals for private and commercial pilots��licenses. FlightSafety also develops classroom instructional systems and materials for use in its training business and for sale to others.

NetJets Inc. (NJ) is a provider of fractional ownership programs for general aviation aircraft. TTI, Inc. (TTI) is a global specialty distributor of passive, interconnect, electromechanical and discrete components used by customers in the manufacturing and assembling of electronic products. Business Wire provides electronic dissemination of full-text news releases daily to the media, online services and databases and the global investment community in 150 countries and 45 languages. Berkshire�� retailing businesses principally consist of several independently managed home furnishings and jewelry operations. The home furnishings businesses are the Nebraska Furniture Mart (NFM), R.C. Willey Home Furnishings (R.C. Willey), Star Furniture Company (Star) and Jordan�� Furniture, Inc. (Jordan��). NFM, R.C. Willey, Star and Jordan�� each offer a wide selection of furniture, bedding and accessories. In addition, NFM and R.C. Willey sell a line of household appliances, electronics, computers and other home furnishings. N! FM, R.C. ! Willey, Star and Jordan�� also offer customer financing to complement their retail operations. An important feature of each of these businesses is their ability to control costs and to produce high business volume by offering value to their customers.

NFM operates its business from two retail complexes with almost one million square feet of retail space and sizable warehouse and administrative facilities in Omaha, Nebraska and Kansas City, Kansas. NFM is a furniture retailer in each of its markets. NFM also owns Homemakers Furniture located in Des Moines, Iowa, which has approximately 215,000 square feet of retail space. R.C. Willey, based in Salt Lake City, Utah, is a home furnishings retailer in the Intermountain West region of the United States. R.C. Willey operates 11 retail stores, two retail clearance facilities and three distribution centers. Borsheim Jewelry Company, Inc. (Borsheims) operates from a single store located in Omaha, Nebraska. Borsheims is a high volume retailer of jewelry, watches, crystal, china, stemware, flatware, gifts and collectibles. Helzberg�� Diamond Shops, Inc. (Helzberg), based in North Kansas City, Missouri, operates a chain of 233 retail jewelry stores in 37 states, which includes approximately 550,000 square feet of retail space. Most of Helzberg�� stores are located in malls, lifestyle centers or power strip centers, and all stores operate under the name Helzberg Diamonds. The Ben Bridge Corporation (Ben Bridge Jeweler), based in Seattle, Washington, operates a chain of 70 upscale retail jewelry stores located in 11 states that are primarily in the Western United States. Three of its locations are concept stores that sell only PANDORA jewelry.

Finance and Financial Products

Clayton Homes, Inc. (Clayton) is a vertically integrated manufactured housing company. At December 31, 2011, Clayton operated 33 manufacturing plants in 12 states. Clayton�� homes are marketed in 48 states through a network of 1,333 retailers, inclu! ding 333 ! Company-owned home centers. Financing is offered through its finance subsidiaries to purchasers of Clayton�� manufactured homes as well as those purchasing homes from selected independent retailers. XTRA Corporation (XTRA), headquartered in St. Louis, Missouri, is a transportation equipment lessor operating under the XTRA Leasebrand name. XTRA manages a diverse fleet of approximately 83,000 units located at 63 facilities throughout the United States and two facilities in Canada. The fleet includes over-the-road and storage traile

Advisors' Opinion:

• [By Victor Mora]

  Berkshire Hathaway is a well-regarded investment manager that has been led by Warren Buffett to great successes. The stock has risen consistently over the last several years and is now trading at all-time high prices. Earnings and revenue have shown steady growth, over the last four quarters, which has really pleased investors. Relative to its peers and sector, Berkshire Hathaway has been a year-to-date performance leader. Look for Berkshire Hathaway to OUTPERFORM.

10 Best Financial Stocks To Own For 2014: Prudential Bancorp Inc. of Pennsylvania(PBIP)

Prudential Bancorp, Inc. of Pennsylvania operates as the holding company for Prudential Savings Bank that provides various financial products and services in Pennsylvania. Its deposit products include interest-bearing and non-interest-bearing checking, money market, savings, and certificate of deposit accounts. The company?s loan portfolio comprises single-family residential mortgage loans, construction and land development loans, non-residential or commercial real estate mortgage loans, home equity loans and lines of credit, commercial business loans, and consumer loans. The company also provides securities and insurance products, as well as automated teller machine and online banking services. As of September 30, 2010, it operated a main office and six branch offices located in Philadelphia and Delaware Counties. The company was founded in 1886 and is headquartered in Philadelphia, Pennsylvania. Prudential Bancorp, Inc. of Pennsylvania is a subsidiary of Prudential Mutu al Holding Company.