5 Best Small Cap Stocks To Buy For 2014

Despite what can best be described as a�soft economy, small cap trucking stocks YRC Worldwide, Inc (NASDAQ: YRCW), Arkansas Best Corporation (NASDAQ: ABFS), Frozen Food Express Industries, Inc (NASDAQ: FFEX), Saia Inc (NASDAQ: SAIA) and USA Truck, Inc (NASDAQ: USAK) have been trucking some pretty impressive returns since the start of the year. In fact, these small cap trucking stocks are up anywhere from 72% to 150% or so since the start of the year despite the slow economy. Certainly trucking stocks provide a good indicator of how the economy is doing, but might investors be�jumping the gun by pushing up these trucking stocks?

Here is what you need to know about all five:

YRC Worldwide, Inc. One of the largest transportation service providers in the world, YRC Worldwide is the holding company for a portfolio of brands that include YRC Freight, YRC Reimer, New Penn, Holland and Reddaway. Investors should be aware that YRC Worldwide narrowly averted bankruptcy in its fiscal 2009 financial year when it successfully persuading bondholders to exchange their $470 million in bond notes for roughly 94% of the company�� shares while in�September 2011,�the company completed a financial restructuring which essentially wiped out shareholder equity. Last week, YRC Worldwide sank after it reported earnings and missed Wall Street expectations when it reported $1.24 billion in revenue verses the�$1.26 billion Wall Street was expecting. YRC Worldwide reported a net loss that narrowed to $15.1 million, or $1.72 per share, from $22.6 million or $3.21 per share for the same period last year, but that loss was far higher than Wall Street�� expectations. The company also said�it has�retained Credit Suisse to help refinance debt or recapitalize the company���something that is probably not a good sign. On Thursday, small cap YRC Worldwide fell 7.36% to $16.74 (YRCW has a 52 week trading range of $5.20 to $36.99 a share) for a market cap of $195.43 million plus the stock is up 149.8% since the start of the year, up 221.9% over the past year and down 99.7% over the past five years.

5 Best Small Cap Stocks To Buy For 2014: InterDigital Inc.(IDCC)

Interdigital, Inc. engages in the design and development of digital wireless technology solutions. The company offers technology solutions for use in digital cellular and wireless products and networks, including 2G, 3G, 4G, and IEEE 802-related products and networks. It holds patents related to the fundamental technologies that enable wireless communications. The company licenses its patents to equipment producers that manufacture, use, and sell digital cellular and IEEE 802-related products; and licenses or sells mobile broadband modem solutions, including modem IP, know-how, and reference platforms to mobile device manufacturers, semiconductor companies, and other equipment producers that manufacture, use, and sell digital cellular products. InterDigital?s solutions are incorporated in various products comprising mobile devices, such as cellular phones, tablets, notebook computers, and wireless personal digital assistants; wireless infrastructure equipment, such as base stations; and components, dongles, and modules for wireless devices. The company was founded in 1972 and is headquartered in King of Prussia, Pennsylvania.

Advisors' Opinion:

• [By Evan Niu, CFA]

  What: Shares of InterDigital (NASDAQ: IDCC  ) have gotten crushed today by as much as 20% after the company lost a patent suit against several smartphone makers.

• [By CRWE]

  InterDigital, Inc. (NASDAQ:IDCC) reported that certain of its subsidiaries have completed the previously announced sale of roughly 1,700 patents and patent applications to Intel Corporation for $375 million in cash.

• [By Alex Planes]

  Investors love stocks that consistently beat the Street without getting ahead of their fundamentals and risking a meltdown. The best stocks offer sustainable market-beating gains, with robust and improving financial metrics that support strong price growth. Does InterDigital (NASDAQ: IDCC  ) fit the bill? Let's take a look at what its recent results tell us about its potential for future gains.

5 Best Small Cap Stocks To Buy For 2014: China Metro-Rural Holdings Limited(CNR)

China Metro-Rural Holdings Limited, through its subsidiaries, primarily engages in the development and operation of agricultural logistics and trade centers in northeast China. It also involves in purchasing, processing, assembling, merchandising, and distributing pearls and jewelry products. The company markets its pearls and jewelry products to wholesale distributors and mass merchandisers in Europe, the United States, Hong Kong, and other parts of Asia. In addition, it develops, sells, and leases residential and commercial properties in Hong Kong and the People?s Republic of China. The company is based in Tsimshatsui, Hong Kong.

Advisors' Opinion:

• [By Katie Brennan]

  Canadian National Railway Co. (CNR) added 0.9 percent to C$104.93 and Canadian Pacific Railway Ltd. rose 1.7 percent to C$131.73.

  Niko Resources surged 3.4 percent to $8.64 after the company entered an agreement for a $60 million loan that will be funded by a group of institutional investors. Net proceeds from the loan will be used to fund working capital requirements.

Hot Financial Companies To Own In Right Now: Petroquest Energy Inc(PQ)

PetroQuest Energy, Inc. operates as an independent oil and gas company. It engages in the acquisition, exploration, development, and operation of oil and gas properties in Oklahoma, Arkansas, and Texas, as well as onshore and in the shallow waters offshore the Gulf Coast Basin. As of December 31, 2009, the company had estimated proved reserves of 1,931 thousand barrels of oil and 167,361 million cubic feet equivalent of natural gas. It owned working interests in 9 net producing oil wells and 277 net producing gas wells. PetroQuest Energy was founded in 1983 and is headquartered in Lafayette, Louisiana.

Advisors' Opinion:

• [By Jon C. Ogg]

  PetroQuest Energy Inc. (NYSE: PQ) was downgraded to Neutral from Overweight at J.P. Morgan.

  Rubicon Technology Inc. (NASDAQ: RBCN) was downgraded to Underperform from Perform at Oppenheimer.

5 Best Small Cap Stocks To Buy For 2014: OmniVision Technologies Inc.(OVTI)

OmniVision Technologies, Inc. designs, develops, and markets semiconductor image-sensor devices. The company offers CameraChip image sensors, which are single-chip solutions that integrate various functions, such as image capture, image processing, color processing, signal conversion, and output of a processed image or video stream for use in various consumer and commercial mass-market applications; and CameraCube imaging devices that are image sensors with integrated wafer-level optics. It also provides companion chips used to connect its image sensors to various interfaces, including the universal serial bus and other industry standard interfaces; and companion digital signal processors that perform compression in standardized still photo and digital video formats. In addition, the company designs and develops software drivers for Linux, Mac OS, and Microsoft Windows, as well as for embedded operating systems, such as Blackberry OS, Palm OS, Symbian, Windows CE, Windows Embedded, and Windows Mobile. Its products are used in mobile phones, notebooks, Webcams, digital still and video cameras, commercial and security and surveillance, and automotive and medical applications, as well as in entertainment devices. The company sells its products directly to original equipment manufacturers and value added resellers, as well as indirectly through distributors worldwide. OmniVision Technologies, Inc. was founded in 1995 and is based in Santa Clara, California.

Advisors' Opinion:

• [By Rick Munarriz]

  Briefly in the news
  And now let's take a quick look at some of the other stories that shaped our week.

  OmniVision (NASDAQ: OVTI  ) investors are seeing the big picture. Shares of the image sensor maker moved higher after posting better-than-expected quarterly results. Revenue soared 54%, and OmniVision's profit of $0.31 a share blew away the $0.21 analysts were targeting. Nokia (NYSE: NOK  ) is no longer the leading smartphone seller in Finland. Tech tracker IDC reports that Samsung outsold Nokia in its home country this past quarter. So much for the hometown hero. Vringo (NASDAQ: VRNG  ) got another tech giant to pay up, but it won't be much. The company announced a patent-infringement settlement with Mr. Softy in which Vringo will receive $1 million and enter into a licensing deal with the world's largest software company.

5 Best Small Cap Stocks To Buy For 2014: Achillion Pharmaceuticals Inc.(ACHN)

Achillion Pharmaceuticals, Inc., a biopharmaceutical company, engages in the discovery, development, and commercialization of treatments for infectious diseases. The company focuses on the development of antivirals for the treatment of chronic hepatitis C; and the development of antibacterials for the treatment of resistant bacterial infections. Its drug candidates for the treatment of chronic HCV include ACH-1625, a protease inhibitor, which is in phase IIa clinical trial for the treatment of chronic HCV; ACH-2684, a pangenotypic protease inhibitor, which is in phase I clinical trial for the treatment of chronic HCV infection; and NS5A inhibitors for the treatment of chronic HCV infection, including ACH-2928, which is to enter a phase I clinical trial, as well as various additional NS5A inhibitors in preclinical development. Its pipeline of product candidates also includes ACH-702 and ACH-2881 for drug resistant bacterial infections; elvucitabine for HIV infection; and AC H-1095 for HCV infection. The company was founded in 1998 and is based in New Haven, Connecticut.

Advisors' Opinion:

• [By Keith Speights]

  Liver quivers
  Achillion Pharmaceuticals (NASDAQ: ACHN  ) ranks as the top drop of the week. Shares plunged 24% on news that the Food and Drug Administration placed a clinical hold on experimental hepatitis C drug�sovaprevir.

Global Guru Eyes Drug and Internet Plays

These two stocks recently issued reports that worried investors; nevertheless, Vivian Lewis, editor of Global Investing, still sees upside opportunity for both global companies.

Steve Halpern: We're here today with Vivian Lewis whose Global Investing advisory service has been among the top performing newsletters for over two decades. Thanks for joining us Vivian.

Vivian Lewis: Thank you for having me.

Steve Halpern: You're about as international as one could be. Before launching Global Investing, you spent 18 years in Europe as a financial journalist, you speak half a dozen languages, and you spend much of your time traveling the globe. How has this overall background informed your investing strategy?

Vivian Lewis: Well, I think that we tend to always take our own domestic ideas about value, and speculative, and growth, and the kind of real estate investment trusts we want to buy, overseas with us, and it's not that comparable.

Things are different. Even such a simple thing as, what the accounting standards show, what quarterly reports include, how they adjust earnings per share, is not the same from one country to the next, so you have to go native.

Steve Halpern: And even when you're traveling, you spend a lot of time speaking directly to money managers and CEOs around the globe. Does that help you generate your ideas?

Vivian Lewis: Yes, but I also have a team of reporters who are permanent foreign residents—although many of them are American—who also go around looking for ideas for me.

Steve Halpern: Now, one stock that you currently recommend is the British pharmaceutical giant GlaxoSmithKline (GSK), and the company just reported a disappointing quarter. Does that deter you from continuing to like the stock?

Vivian Lewis: Au contraire, as they say in French. I think it's a high-quality dividend stock raising its dividend, and the yield has been put up to 4.6% with the increase that was announced today.

Now that is the yield in sterling to the sterling price, because, in fact, the yield moves around, being denominated in Sterling, depending on what the exchange rate is with the US dollar, so, to try to leave that one out, I work out the yield in the foreign currency to the cost in the foreign currency, and going forward, that yield applies, even if the currency moves one way or another.

Steve Halpern: Are you comfortable with the fundamentals for the company looking ahead?

Vivian Lewis: I think they're wonderful. Its sales didn't rise much, 1% in—again the currency of the country—pound sterling, but much more in dollars. Its year-to-year net earnings fell in sterling, but actually rose on a per-share basis, because of factors that I think are very significant.

It, first of all, sold a bunch of so-called health drinks in India. That produced cash that went to the bottom line. It is in the process of restructuring its European operations which will save $1 billion pounds sterling per year, currently about 1.67 billion US dollars.

It moves its US retirees to a private health plan, saving $267 million pounds sterling, just in this quarter, or $431 million US dollars.

Although it's subsidizing their signup for Medicare. It takes a drug company like GlaxoSmithKline to play Medicare by its rules, and unfortunately, the main reason the stock went down has nothing to do with these overall numbers, most of which were well explained.

The main reason that the stock fell was because China—where all of 3.8% of GlaxoSmithKline's sales occur—had a sharp 61% of sales dropping in Q3 of this year, and the result is that everybody's focused on China, because that's the mood.

What happened there was that Glaxo was accused, by the Chinese cops, of bribing hospitals to order more of its drug products, and apparently that's how business is done in China. Doctors are underpaid, hospitals are broke, and bribing to sell more drugs is something that everybody does, not just Glaxo.

But Glaxo was the first one, and the Chinese are showing much fierceness, and other drug companies are involved too, but, so far, they're not as much a target.

And beyond the drug companies, it turns out that makers of baby milk powder bribe hospitals in China to have new mothers given their product rather than someone else's, and it's a real mess, which has very little to do with Glaxo.

Steve Halpern: Now another off-the-radar stock that you've been recommending is called Yandex (YNDX), which is a Dutch company that offers internet services in markets such as Russia and Turkey.

Vivian Lewis: It's a Dutch company and it's all over Eastern Europe, including, as you said, Turkey. It reported, what I thought were very good results; however, the problem was that its sales were up 40%, but its income only rose 28%, and that is obviously a sign that something has changed.

And it turns out that it has signed a deal with a competitor called Mail.ru (Mail, Russia), which will run its ads, but which wants a royalty for doing so, and we actually own Mail.ru indirectly, through Naspers (NPSNY) of South Africa.

But Yandex fell sharply today, because people are worried about what kind of deal it signed.

It also has another operation that was not included in its earnings this quarter, a sort of a PayPal clone for Russia, and all in all, this is not a stock for widows and orphans. Its high-risk, high-growth, and you have to kind of take the bad with the good.

Steve Halpern: So, in both the case of Glaxo and Yandex, the market's taking a temporarily negative view, but you're willing to take a longer term view and you see these as buying opportunities.

Vivian Lewis: Well, the market fell after hours when Glaxo reported yesterday, but so far today, it's actually up, which is a shame, because I'd love to find a way to buy it cheaper, and Yandex surprised me, because I didn't really think that this kind of a so-called slowdown represented any real risk to the company's future, but, who knows? This is Russia. It's the Wild East.

Steve Halpern: So, in terms of a long-term investor, you'd be willing for somebody to take positions in these?

Vivian Lewis: Yeah. Well, they're different kinds of stock. If you're a yield player, I would think you'd want to take a position in Glaxo, but you might want to use a limit order to avoid overpaying.

If you're a growth nutter, off you go, and seriously consider Yandex, which is, even if it's only growing by 33% year on year, it's still incredible.

Steve Halpern: Well, thank you very much for joining us. We appreciate your insights.

Subscribe to Global Investing here...

The expert featured in this column, Vivian Lewis, may or may not own positions in any investment vehicle mentioned here. The views and opinions expressed are his or her own.

Is This a 'Buy And Forget' Share?

Right now, Rupert Hargreaves from The Motley Fool UK is analyzing some of the most popular companies in the FTSE 100 to establish if they are attractive long-term buy and forget investments.

What is the sustainable competitive advantage?

Today I'm looking at National Grid (NG/:LN) (NYSE:NGG). National Grid owns and controls the electricity distribution network for the United Kingdom.

Indeed, apart from some Scottish regions, which are under the control of (LSS:SSE), National Grid has a virtual monopoly over the market.

In addition, as National Grid has been around in various forms since 1926, accumulating over £50 billion in assets, a vast and complex distribution network, as well as regulatory approval to run the network, the company has a wide moat defending its position from competitors.

However, the company's US operations, which are only regional networks and account for 35% of EBITDA, are having a hard time fighting off competition.

Having said that, as National Grid is such a key part of the UK economy, the company is subject to the constant scrutiny of regulators, and the firm is banned from generating abnormal levels of profit.

In particular, the company's UK revenue for the next eight years is only allowed to rise in line with inflation and the company's cost of capital.

Still, the group's net profit margin for 2013 was 20%, so the company is not struggling to make money.

Company's long-term outlook?

With regulatory approval to run the UK's electricity network—granted for the next eight years—National Grid's outlook here in the UK appears to be guaranteed for the medium term.

However, over the longer term, the biggest risk to National Grid is the company's forced break-up by regulators.

Having said that, a break-up would lead to higher electricity prices for consumers, a bullet that not many political parties would like to bite.

Unfortunately, on the other side of the pond, the company's regional networks face a more uncertain future due to competition and natural disasters.

Nonetheless, National Grid's dominance over the utility market here in the UK, gives the company a strong competitive advantage over the majority of its smaller US peers.

Foolish summary

All in all, National Grid appears to be the perfect long-term investment. The firm's wide moat, market dominance, and heritage, all point to a company that is going to be around for the long-term.

Moreover, with electricity demand in the UK constantly rising, the company looks set for a future of sustained growth.

So overall, I rate National Grid as a very good share to buy and forget.

Rupert does not own any share mentioned in this article.

Hot Casino Stocks To Invest In 2014

Read more from The Motley Fool UK here...

Today’s 3 Worst Stocks

Unable to continue a four-day rally that had sent it to all-time closing highs yesterday, the S&P 500 Index (SNPINDEX: ^GSPC  ) ended its hot streak Tuesday, falling 3 points, or 0.2%, to close at 1,692. House Speaker John Boehner elicited a nearly audible sigh from markets today as he reminded Washington and, indeed, the world, that another nightmarish debt-ceiling/spending-cut debate lies ahead, the beginning stages of which may begin as early as next month. Two years ago, Washington's ineptitude on this very issue caused the ratings agency Standard & Poor's to downgrade America's credit rating.

Chipmaker Advanced Micro Devices (NYSE: AMD  ) registered as one of the index's worst performers for a third straight day, losing 6.2% Tuesday. AMD shares just can't seem to catch a break, with three consecutive days of losses taken straight from the negatives of a financial horror film: First AMD plummeted 13%, and then lost another 3%, only to cap it all off with today's abysmal showing. Not much has changed materially since the company underwhelmed on its quarterly report, sparking several analyst downgrades and a sharp sell-off. Still boasting 52% gains on the year, some investors are taking the downturn as a sign that the run's over.

Tobacco giant Lorillard (NYSE: LO  ) also ended toward the bottom of the index today, losing 4.5% as an FDA study revealed that menthol cigarettes pose an even greater public health risk than normal cigarettes do, though the agency stopped short of recommending specific policy measures. Lorillard, more so than other major tobacco players, faces more dire financial repercussions from the ruling, since it owns the Newport brand, the premier menthol cigarette in the United States.

Lastly, online streaming provider Netflix (NASDAQ: NFLX  ) slid 4.5% after subscriber gains fell short of expectations. While it was an interesting touch to hold the earnings call on a live video conference, the medium didn't distract from the message. The message Wall Street gleaned from the call was that its current heady growth projections for the company were a bit too ambitious. Though Tuesday's performance was disappointing, the service still added 630,000 new subscribers in the U.S., and longer-term investors have still seen Netflix's stock rocket 170% in 2013 alone.

The television landscape is changing quickly, with new entrants like Netflix and Amazon.com disrupting traditional networks. The Motley Fool's new free report "Who Will Own the Future of Television?" details the risks and opportunities in TV. Click here to read the full report!

FX Energy is Knocking on the Door. Time to Answer It (FXEN)

If it seems like you've heard the market buzzing about FX Energy, Inc. (NASDAQ:FXEN) quite a bit of late, you're not crazy - it's been in the spotlight a little more than usual over the past few weeks. And for good reason. FXEN shares are about to explode higher. All they need is the right nudge. More on that in a second.

For those not familiar with the company (and statistically speaking, there are plenty of people in that category), FX Energy is an independent oil and gas explorer. The $190 million company has generated $37.5 million in revenue over the past twelve months, and lost $22 million in the process of generating those crude-oil sales.

It's not impressive. Then again, the trailing numbers were never the point. The FXEN 'story' is the potential of the three wells the company is working on in Poland, which to put it mildly, have been underestimated and not even started to be factored into the stock's value until very recently. There's a lot more ground to cover before shares hit their appropriate value.

The details of the Polish opportunity are too numerous and too complex to hash out here. Interested investors can explore that information at the company's project-detail page by going here, if the phrase "there's a lot of gas down there" won't suffice. The details are also not necessary for our purposes.

See, FXEN is a scenario in which we have to trust that the story the chart is telling us is an accurate and fair reflection of the progress the underlying company is making (and just for the record, the market's usually - even if unconsciously - right). So what's the chart of FX Energy Inc. telling us at this point? Like the company's stream of press releases suggests, the explorer is in a transition, from a situation that's got more risk than reward to a situation that's got more reward than risk.

And that transition is about to put the pedal to the metal.

Since April - and for the first time in a long time - FXEN has made a string of higher lows (red). Were it just higher lows over the span of a few months, it might be dismissible. But, these higher lows came during a time when the stock put decided and repeated pressure on the 200-day moving average line (green) as a ceiling. Were it just one or two brushes of the key long-term moving average line, it might too be dismissible. But, the bulls continue to test the water, and they've kept their toes dipped in the pool over the past couple of weeks.

Top 10 Dividend Companies To Watch In Right Now

Conclusion? The market's ready to be bullish here. Traders are looking for a reason and way to be bullish. Nobody wants to be the first to take the next - and big - step above a key technical ceiling. None of the would-be buyers are backing down, however. It's going to happen.

What's interesting, in a bullish way, is how this new bullishness has coincided with clear and tangible progress from FX Energy, Inc. over the past few weeks. If you believe there's any oil and gas in Poland at all - and history says there is - then this is more a matter of "if" than "when". Time to take a swing.

If you'd like to receive more trading ideas and insights like this one, you want to subscribe to the free daily SmallCap Network e-newsletter.
 

Even Passive Investors Can't Ignore This

Thousands of professional investors have their performance gauged against the S&P 500 (SNPINDEX: ^GSPC  ) . That fact, along with the inability of many of those investment managers to match up to the benchmark, has led millions of investors to accept market-matching performance through the SPDR S&P 500 ETF (NYSEMKT: SPY  ) and similar index funds and ETFs.

As simple as index investing is, though, it does require you to pay attention when those indexes change. Often, that happens more often than you'd think. Let's take a further look at index changes and how they can affect your investment strategy.

What's in an index?
Different indexes use different methods to evaluate potential changes. Perhaps the simplest is the Dow Jones Industrials, which has only 30 components and therefore doesn't have to make changes all that frequently. Typically, the Dow leaves things relatively unchanged unless absolutely necessary, with its most recent change having come last year when food giant Kraft split into two parts, with neither having the true leadership traits you'd expect in a Dow stock.

For its part, the S&P 500 is also relatively stable with its constituency. Rather than making changes on a regular schedule, the S&P tends to move as needed. For instance, in its most recent substitution, the S&P will add News Corp. (NASDAQ: FOX  ) after it splits from its 21st Century Fox unit, with News Corp. getting the company's newspaper and book publishing business while Fox keeps its other media properties. Falling out of the index will be Apollo Group (NASDAQ: APOL  ) , whose for-profit educational focus has fallen out of favor among investors in light of regulatory scrutiny.

10 Best Warren Buffett Stocks To Invest In 2014

Big changes
Other indexes make massive changes all at the same time. As we've looked at in recent weeks, the Russell indexes are going through their annual reconstitution, in which dozens of stocks move across the company's various benchmarks.

But with some other indexes, entire national economies can feel the impact of changes in methodology. For instance, index giant MSCI changed the classifications of Greece, Morocco, and the Persian Gulf nations of the United Arab Emirates and Qatar. Greece will become an emerging country after losing its status as a developed-economy nation, and Morocco will fall back from emerging status to the smaller status of a frontier market. Meanwhile, the two Persian Gulf countries will rise to emerging-market status.

Some of these distinctions might seem minor, but they have a large impact in how the many ETFs that track various international markets have to make changes in their holdings. The less liquid the markets you're talking about, the greater the potential impact can be.

Stay on guard
Many investors think that index investing lets them set their portfolios and then forget about them. But in actuality, with all the changes that happen with indexes, you have to work hard to stay on top of all the action in passive investing.

To learn more about a few ETFs that have great promise for delivering profits to shareholders, check out The Motley Fool's special free report "3 ETFs Set to Soar." Just click here to access it now.

Market Wrap For Friday, October 18: Markets Continue to Make New Highs On Upbeat Earnings

Markets continued to leap higher on a weak dollar as the Federal Reserve is expected to continue its 85 billion dollar quantitative easing.

After announcing a small earnings beat last night, shares of Google (NASDAQ: GOOG) are up more than 13 percent, helping push the Nasdaq up more than twice as much as the S&P 500. This is the first time shares of Google have topped $1,000.

Major Indexes

The Dow Jones Industrial Average rose 28 points, or 0.18 percent to close at 15,399.65.

The S&P 500 added 11.35 points, or 0.65 percent to close at 1,744.50.

The Nasdaq jumped 51.13 points, or 1.32 percent to close at 3,914.28.

The Russell 2000 climbed 12.5 points, or 1.13 percent to close at 1,114.77.

Stock Movers

General Electric Co (NYSE: GE) reported an 8.6% drop in its third-quarter profit, however this beat analyst estimates. Shares rose 3.42 percent to $25.52.

Align Technology (NASDAQ: ALGN) shot up 26.24 percent to $57.98 after the company reported upbeat third-quarter results.

Athenahealth (NASDAQ: ATHN) gained 24.05 percent to $1310.83 following a strong third quarter report and a conference call that impressed traders.

Google (NASDAQ: GOOG) was the big gainer, up 13.8 percent to $122.61 after reporting better-than-expected third-quarter results.

Ariad Pharmaceuticals (NASDAQ: ARIA) tumbled 40.67 percent to $2.67 after the company announced discontinuation of the Phase 3 EPIC trial of Iclusig.

Advanced Micro Devices (NYSE: AMD) shares sold down 13.69 percent to $3.53 after the company reported a six percent fall in its personal computer chip sales.

Acacia Research (NASDAQ: ACTG) was down 21.10 percent to $15.48 after the company reported Q3 results. Stephens downgraded the stock from Overweight to Underweight.

Commodities

Energy futures were largely unmoved Friday. WTI crude held the $100 level, up 0.02 to $100.69. At last check Brent was up 0.8 percent to $109.98. Natural gas moved less than a penny to $3.76.

Hot Financial Stocks To Own For 2014

After jumping higher Thursday, precious metals ended the week down. Gold futures fell 0.6 percent heading into the equity market close to $1,315.10. Silver futures dropped 0.17 percent to $21.91.

Global markets

Markets were up across the world, with Japan being the only major loser. China's Shanghai index rose 0.24 percent with Hong Kong's Hang Seng up 1.06 percent. Japan's dropped 0.17 percent on the day.

The Euro Stoxx index, which tracks 50 blue chips rose 0.76 percent, with London's FTSE adding 0.71 percent. France's CAC index moved up 1.09 percent.

Currencies

After taking a huge hit yesterday, the Dollar was mostly flat to finish out the week. At last check, the Powershares ETF (NYSE: UUP) which tracks the value of the US dollar versus a basket of foreign currencies moved up 0.02 percent to 21.45.

The closely watched EUR/USD pair rose 0.05 percent to $1.3682. Other big movers on the day include the AUD/USD, which rose 0.35 percent.

Volume and Volatility

Volume was as expected Thursday, with 130 million shares of the SPRD S&P 500 ETF (NYSE: SPY) trading hands. This compares to the ten day average of 140 million.

Volatility took a slide down Friday, with the CBOE measure of Volatility (VIX), down 1.34 percent to 13.3.

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  Around the Web, We're Loving... Learn to Use Trading Platforms Like Hedge Fund Traders do Rumsfeld: Denial of Benefits to Fallen Soldiers' Families 'Inexcusable' Come See How the Pro's Trade in this Exclusive Webinar Facebook, Baidu Lead Big Caps Beating Shutdown What Should You Know About AMZN? Most Popular Apple Recalls MacBook Air Just Before Unveiling New MacBook Pro Google Up 5% After Topping Estimates (GOOG) UPDATE: J.P. Morgan Upgrades AMR Corporation on Likelihood of US Airways Merger iPhone 5C Selling Out From One Carrier (AAPL) What To Expect From Apple On October 22 (AAPL) UPDATE: Piper Jaffray Raises PT on 3D Systems as Q3 Industry Survey Points to Strong Demand Related Articles (ACTG + ALGN) Market Wrap For Friday, October 18: Markets Continue to Make New Highs On Upbeat Earnings Mid-Afternoon Market Update: S&P 500 and Google Both Look to Close at Record Highs Mid-Day Market Update: Google Jumps On Upbeat Results; Acacia Research Shares Drop UPDATE: Cantor Fitzgerald Upgrades Align Technology on Improved Volume and Pricing Trends Mid-Morning Market Update: Markets Mostly Higher; GE Profit Beats Estimates Stocks Hitting 52-Week Highs View the discussion thread. Partner Network #marketfy-ae-block { display: none; border: 2px solid #0a3f75; overflow: hidden; width: 300px; height: 125px; text-align: center; background-color: #45719E; position: relative; z-index: 1; } #marketfy-ae-block a { display: block; width: 300px; height: 125px; position: relative; z-index: 2; color: #ffffff; text-decoration: none; } #marketfy-ae-block-countdown-text { color: #f9fc99; padding: 0px 0 0 0; font-size: 19px; font-weight: bold; line-height: 19px; } #marketfy-ae-block-countdown-text-start { font-size: 12px; } #marketfy-ae-block-countdown { padding: 5px 0 5px 0; font-size: 26px; } #marketfy-ae-block-signup { padding: 5px 47px; } #marketfy-ae-block-signup:hover { background-color: #457a1a; } #marketfy-ae-block #marketfy-ae-block-logo { display: block; padding: 3px 0 0 0; margin: 0; } #marketfy-ae-block-logo { text-indent: -9999px; } #marketfy-ae-block-free { display: block; position: absolute; top: 7px; right: -23px; width: 80px; height: 16px; line-height: 16px; text-align: center; opacity: 1; -webkit-transform: rotate(45deg); -moz-transform: rotate(45deg); -ms-transform: rotate(45deg); transform: rotate(45deg); font-size: 13px; font-weight: normal; color: #333333; background-color: yellow; z-index: 500; text-shadow: 1px 1px #999999; } #marketfy-ae-block-arrow { position: relative; width: 60px; height: 60px; z-index: 10; margin: -80px 0 13px -21px; } #marketfy-ae-block-arrow img { height: 60px; width: auto; } Marketfy's International
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Best High Tech Companies For 2014

The Patient Protection and Affordable Care Act, perhaps better known as Obamacare, is certainly one of the most controversial pieces of legislation to come out of the Obama administration. Designed to reform our current health-care system by mandating individuals carry health insurance, and capping insurers medical loss ratios at 80% to ensure patients get the quality of care they expect when they need it, Obamacare's favorable ratings fell in a Kaiser Family Foundation poll last month to their second-lowest level since the bill passed in 2010.

The bill is polarizing, without question. But, with its implementation less than seven months away, Obamacare received a big boost earlier this week with the release of a study on hospital costs by the Centers for Medicare and Medicaid Services, or CMS. In this study, the CMS looked at more than 3,000 hospitals nationwide that accept government-sponsored Medicare and examined the cost for the 100 most frequently billed treatments and procedures. The results of the study were downright frightening and would definitely support the need for accountability, transparency, and some form of regulation with regard to hospital costs.

Best High Tech Companies For 2014: Southern Copper Corporation(SCCO)

Southern Copper Corporation engages in mining, exploring, producing, smelting, and refining copper and other minerals in Peru, Mexico, and Chile. It is involved in the mining, milling, and flotation of copper ore to produce copper and molybdenum concentrates; smelting of copper concentrates to produce anode copper; and refining of anode copper to produce copper cathodes, as well as refined silver. The company operates Toquepala and Cuajone mines in the Andes Mountains located southeast of the city of Lima, Peru, as well as a smelter and refinery in the coastal city of Ilo, Peru. It also operates La Caridad and Buenavista copper mines, and smelting and refining plants in Mexico. In addition, the company operates five underground mines that produce zinc, copper, lead, silver, and gold; a coal mine which produces coal and coke; and a zinc refinery. Further, it has 145,064 hectares of mineral rights in Peru; 176,250 hectares of exploration concessions in Mexico; 1,068 hectares of exploration concessions in Argentina; 35,958 hectares exploration concessions in Chile; and 2,544 hectares of exploration concessions in Ecuador. The company was founded in 1952 and is based in Phoenix, Arizona. Southern Copper Corporation is a subsidiary of Americas Mining Corporation.

Advisors' Opinion:

• [By Rich Duprey]

  Mixed signals
  Freeport-McMoRan (NYSE: FCX  ) is looking to double its copper sales to the country within the next three years to take advantage of China's interest in expanding concentrate imports by 17% this year.�Southern Copper� (NYSE: SCCO  ) , on the other hand, with the industry's largest copper reserves, intends on holding production at the same level it realized in 2012.

• [By Taylor Muckerman and Joel South]

  We have evidence in the form of second-quarter results from Peabody Energy (NYSE: BTU  ) , Freeport-McMoRan Copper & Gold (NYSE: FCX  ) and Southern Copper (NYSE: SCCO  ) , all three of which hinted at where they believe the two industries are headed. Going over the conference calls, Motley Fool analyst Taylor Muckerman gathered a few interesting tidbits and discusses them with fellow analyst Joel South in the following video.�

• [By Russ Kaplan]

  Further, just as Freeport McMoran and Barrick Gold are having their own problems, so are Southern Copper (SCCO) and Rio Tinto (RIO), offering a chance to average down or get in at new positions.

Best High Tech Companies For 2014: Cumberland Pharmaceuticals Inc (CPIX.O)

Cumberland Pharmaceuticals Inc. (Cumberland), incorporated on January 6, 1999, is specialty pharmaceutical company focused on the acquisition, development and commercialization of branded prescription products. Cumberland is focused on acquiring rights to, developing and commercializing prescription products for the hospital care and gastroenterology markets. Its product portfolio includes Acetadote (acetylcysteine), Caldolor (ibuprofen), Kristalose (lactulose) and Hepatoren (ifetroban). As of December 31, 2011, Hepatoren was in Phase II clinical development. The Company markets and sells its products through its hospital and gastroenterology sales forces in the United States. Its pre-clinical product candidates are being developed through its 85% owned subsidiary Cumberland Emerging Technologies, Inc. In November 2011, the Company completed the acquisition of the remaining rights associated with the Kristalose brand, including the United Sates Food and Drug Administrat ion (FDA) registration and trademark. During the year ended December 31, 2011, it acquired rights to a late-stage product candidate that it develops under the brand name Hepatoren.

Acetadote

Acetadote is an intravenous formulation of N-acetylcysteine, or NAC, indicated for the treatment of acetaminophen poisoning. Acetadote is used in hospital emergency departments. In January 2011, the Company received the United Sates Food and Drug Administration (FDA) approval and commenced the United Sates launch activities for this Acetadote formulation.

The Company competes with Geneva Pharmaceuticals, Inc., Ben Venue Laboratories, Inc., Roxane Laboratories, Inc. and Hospira Inc.

Caldolor

Caldolor, Cumberland�� intravenous formulation of ibuprofen, is the injectable product approved in the United States for the treatment of both pain and fever. The product is indicated for use in adults for the management of mild to m oderate pain, for the management of moderate to severe pai! n ! as an adjunct to opioid analgesics, and for the reduction of fever. As of December 31, 2011, it was enrolling patients in four clinical studies designed to support marketing of Caldolor. Two of these clinical trials are designed to support pediatric use, including a pediatric fever study to evaluate safety, efficacy and pharmacokinetics of Caldolor in hospitalized children ,as well as a pediatric pain study. Two registry studies with Caldolor are also underway and are designed to gather additional safety and efficacy data on use of the product in adults. As of December 31, 2011, Caldolor was available in 800 milligram vials.

The Company competes with EKR Therapeutics, Inc.

Kristalose

Kristalose is a prescription laxative administered orally for the treatment of constipation. Kristalose is a dry powder crystalline formulation of lactulose. Kristalose is manufactured under a contract with Inalco S.p.A. and Inalco Biochemicals, Inc. (colle ctively Inalco). Constipation treatments are sold in both the over-the-counter (OTC) and prescription segments.

The Company competes with Sucampo Pharmaceuticals Inc., Takeda Pharmaceutical Company Limited and Braintree Laboratories, Inc.

Top 5 Medical Companies To Own For 2014: Nordstrom Inc.(JWN)

Nordstrom, Inc., a fashion specialty retailer, offers apparel, shoes, cosmetics, and accessories for women, men, and children in the United States. It offers a selection of brand name and private label merchandise. The company sells its products through various channels, including Nordstrom full-line stores, off-price Nordstrom Rack stores, Jeffrey? boutiques, treasure & bond, and Last Chance clearance stores; and its online store, nordstrom.com, as well as through catalog. Nordstrom also provides a private label card, two Nordstrom VISA credit cards, and a debit card for Nordstrom purchases. The company?s credit and debit cards feature a shopping-based loyalty program. As of September 30, 2011, it operated 222 stores, including 117 full-line stores, 101 Nordstrom Racks, 2 Jeffrey boutiques, 1 treasure & bond store, and 1 clearance store in 30 states. The company was founded in 1901 and is based in Seattle, Washington.

Advisors' Opinion:

• [By Ben Levisohn]

  Other department stores, such as Nordstrom (JWN) and Kohl’s (KSS) are also dedicating more space to active wear, the analysts say.

  As a result, Boss and McCormick upgraded Under Armour to Neutral from Underweight. They write:

Best High Tech Companies For 2014: Ace Achieve Infocom Limited (A75.SI)

Ace Achieve Infocom Limited, an investment holding company, engages in the design and development of telecommunication solutions and products for telecommunication networks primarily in the People's Republic of China. It provides telecom application solutions, wireless coverage solutions, operation support and business support systems, and broadband data products. The company also offers proprietary information security platform and end-user mobile platform for small-and-medium enterprises. Ace Achieve Infocom Limited provides its solutions and products to telecommunication networks, including fixed line, GSM, TD-SCDMA, CDMA, CDMA2000, and PHS. The company was founded in 2000 and is based in Beijing, the People�s Republic of China. Ace Achieve Infocom Limited is a subsidiary of CIMB Securities (Singapore) Pte Ltd.

Best High Tech Companies For 2014: Targa Resources Inc.(TRGP)

Targa Resources Corp., through its general and limited partner interests in Targa Resources Partners LP, provides midstream natural gas and natural gas liquid (NGL) services in the United States. It engages in gathering, compressing, treating, processing, and selling natural gas, as well as storing, fractionating, treating, transporting, and selling NGLs and NGL products. The company owns interests in or operates approximately 11,372 miles of natural gas pipelines and approximately 800 miles of NGL pipelines, with natural gas gathering systems covering approximately 13,500 square miles and 22 natural gas processing plants with access to natural gas supplies in the Permian Basin, the Fort Worth Basin, the onshore region of the Louisiana Gulf Coast and the Gulf of Mexico. It owns and operates 39 storage wells with a net storage capacity of approximately 65 million barrels; and 16 storage, marine, and transport terminals with above ground storage capacity of approximately 1.4 million barrels. Targa Resources Corp. sells its services to refineries, petrochemical manufacturers, propane distributors, multi-state retailers, independent retailers, and other industrial end-users. The company was founded in 2003 and is based in Houston, Texas.

Advisors' Opinion:

• [By Seth Jayson]

  Calling all cash flows
  When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Targa Resources (NYSE: TRGP  ) , whose recent revenue and earnings are plotted below.

• [By WWW.STANSBERRYRESEARCH.COM]

  There are few things in life I know with certainty... But I know this: Barring the end of the world, the price of oil is going to fall and the price of natural gas is going to rise. In my mind, you ought to buy all the natural gas you can afford because these energy resources will not be cheap forever.

     There were other signs that natural gas was at a very significant low. First and foremost, Wall Street had gone from being massively long natural gas in 2005 and 2006 to being almost uniformly short. Trading volume on natural gas futures had soared – up 31% in a year, with almost all the financial firms being short.    But the most important factor in my analysis was that from a physical, arbitrage perspective, natural gas couldn't get any cheaper. Natural gas is just one form of energy. In theory, as an energy source, it's totally interchangeable with other fossil fuels. Think of it this way: A barrel of oil has 5.825 million British thermal units (Btu) of energy. One thousand cubic feet of gas contains just a little more than 1 million Btu of energy.   Thus, on an energy-equivalent basis, you might expect natural gas to trade for one-sixth the price of oil. That doesn't actually happen very often, though... In the real world, oil has vastly more utility. It's far more widely used in transportation, and it's much easier to transport. (It doesn't have to be frozen first, like natural gas does.)   So in the real world, historically, oil has carried a 10x premium in price to natural gas on an energy equivalent basis. But last April... the price of oil was trading at over a 50x multiple to the price of natural gas. This enormous premium simply couldn't last – it was impossible.    That's why I was telling you to be a pig in natural gas. First, I had studied the investment carefully for a long period of time.   Second, I knew that Wall Str
• [By Eric Volkman]

  The closely related energy firms Targa Resources (NYSE: TRGP  ) and Targa Resources Partners (NYSE: NGLS  ) are teaming up to return more money to shareholders. Both companies have raised the stockholder payouts for their respective Q1s. For the quarter, Resources will dispense a dividend of $0.4950 per share of its common stock on May 16 to shareholders of record as of April 29. Partners will pay $0.6975 per common unit, to be distributed May 15 to unitholders as of April 29.

Market Volatility Strategy: Collars

Top Stocks To Buy

In finance, the term "collar" usually refers to a risk management strategy called a "protective collar"; however, the use of collars for other situations is less publicized. With a little effort and information, traders can use the collar concept to manage risk and, in some cases, increase returns. This article compares protective and bullish collar strategies in terms of how they can help investors manage risk and increase returns.

How Protective Collars Work
This strategy is often used to hedge against the risk of loss on a long stock position or an entire equity portfolio by using index options. It can also be used to hedge interest rate movements by both borrowers and lenders by using caps and floors.

Protective collars are considered a bearish to neutral strategy. The loss in a protective collar is limited, as is the upside.

An equity collar is created by selling an equal number of call options and buying the same number of put options on a long stock position. Call options give purchasers the right, but not the obligation, to purchase the stock at the determined price called strike price. Put options give purchasers the right, but not the obligation, to sell the stock at the strike price. The premium, which is the cost of the options from the call sale, is applied toward the put purchase, thus reducing the overall premium paid for the position. Market pundits recommend this strategy when there is neutrality of the share price following a period when the share price is increasing; it is designed to protect profits rather than increase returns.

For example, let's say that Jack purchased 100 shares of XYZ some time ago for $22 per share. Let's also assume that it is July and that XYZ is currently trading at $30. Considering recent market volatility, Jack is uncertain about the future direction of XYZ shares, so we can say that he is neutral to bearish. If he were truly bearish, he would sell his shares to protect his $8/share profit; but he is not sure, so he is going to hang in there and enter into a collar to hedge his position.

The mechanics of this strategy would be for Jack to purchase one out-of-the-money put contract and sell one out-of-the-money call contract, as each option represents 100 shares of the underlying stock. Jack feels that once November is over there will be less uncertainty in the market, and he would like to collar his position at least through November. Jack finds that XYZ presently has options trading in October and January.

To accomplish his objective, Jack decides on a January option collar. He finds that the January $27.50 put option (meaning a put option expires in January with a strike price of $27.50) is trading at $2.95, and the January $35 call option is trading at $2. Jack's transaction is:

Buy to open, the opening of the long position, one January $27.50 put option at a cost of $295 (premium of $2.95 * 100 shares) Sell to open, the opening of the short position, one January $35 call option for $200 ( premium of $2 * 100 shares) Jack is out of pocket (or has a net debit of) $95 ($200 - $295 = -$95) It's difficult to pinpoint Jack's exact maximum profit and/or loss, as many things could transpire.

Let's look at the three possible outcomes for Jack once January arrives:

XYZ is trading at $50 per share: As Jack is short the January $35 call, it is most likely that his shares were called at $35. With the shares currently trading at $50, he has lost $15 per share from the call option he sold, and his out-of-pocket cost, $95, on the collar. We can say that this is a bad situation for Jack's pocket. However, we cannot forget that Jack purchased his original shares at $22, and they were called (sold) at $35, which gives him a capital gain of $13 per share plus any dividends he earned along the way, minus his out-of-pocket costs on the collar. His total profit from the collar is ($35 - $22) * 100 - $95 = $1,205.
XYZ is trading at $30 per share. In this scenario, neither the put nor the call is in the money. They both expired worthless. So Jack is back where he was in July minus his out-of-pocket costs for the collar.
XYZ is trading at $10 per share. The call option expired worthless. However, Jack's long put has increased in value by at least $17.50 per share (the intrinsic value). He can sell his put and pocket the profit to offset what he has lost on the value of his XYZ shares. He can also actually put the XYZ shares to the put writer and receive $27.50 per share for stock that is currently trading in the market for $10. Jack's strategy would depend on how he feels about the direction of XYZ shares. If he is bullish, he might want to collect his put option profit, hold onto the shares and wait for XYZ to rise back up. If he is bearish, he might want to put the shares to the put writer, take the money and run. As opposed to collaring positions individually, some investors look to index options to protect an entire portfolio. When using index options to hedge a portfolio, the numbers work a bit differently but the concept is the same. You are buying the put to protect profits and selling the call to offset the cost of the put.

Not so commonly discussed are collars designed to manage the type of interest rate exposure present in adjustable-rate mortgages (ARMs). This situation involves two groups with opposing risks. The lender runs the risk of interest rates declining and causing a drop in profits. The borrower runs the risk of interest rates increasing, which will increase his or her loan payments.

OTC derivative instruments, which resemble calls and puts, are referred to as caps and floors. Interest rate caps are contracts that set an upper limit on the interest a borrower would pay on a floating-rate loan. Interest rate floors are similar to caps in the way that puts compare to calls: they protect the holder from interest rate declines. End users can trade floors and caps to construct a protective collar, which is similar to what Jack did to protect his investment in XYZ.

The Bullish Collar at Work
The bullish collar also deserves mention in the collars category. The bullish collar involves the simultaneous purchase of an out-of-the-money call option and sale of an out-of-the-money put option. This is an appropriate strategy when one is bullish about the stock but expects a moderately lower stock price and wishes to purchase the shares at that lower price. Being long the call protects a trader from missing out on an unexpected increase in the stock price, with the sale of the put offsetting the cost of the call and possibly facilitating a purchase at the desired lower price.

If Jack is generally bullish on OPQ shares, which are trading at $20, but thinks the price is a little high, he might enter into a bullish collar by buying the January $27.50 call at 73 cents and selling the January $15 put at $1.04. In this case, he would enjoy $1.04 - 73 cents = 31 cents in his pocket from the difference in the premiums.

The possible outcomes at expiration would be:

OPQ above $27.50 at expiration: Jack would exercise his call (or sell the call for a profit, if he did not want to take delivery of the actual shares) and his put would expire worthless. OPQ below $15 at expiration: Jack's short put would be exercised by the buyer and the call would expire worthless. He would be required to purchase the OPQ shares at $15. Because of his initial profit, the difference in the call and put premium, his cost per share would actually be $15 - 31 cents = $14.69. OPQ between $15 and $27.50 at expiration: Both of Jack's options would expire worthless. He would get to keep the small profit he made when he entered into the collar, which is 31 cents per share. The Bottom Line
In summary, these strategies are only two of many that fall under the heading of collars. As financial creativity increases, so do collar strategies. Other types of collar strategies exist and they vary in difficulty, but the two strategies presented here are a good starting point for any trader who is thinking of diving into the world of collar strategies.

Sex As A Religion? Ask The IRS

For generations, churches have been exempt from income taxes. What's more, all 50 states and the District of Columbia give them a pass on property taxes. Ever since our founding fathers, it's hands-off for federal income taxes, property taxes and more.

And despite the separation of church and state, the IRS is involved in determining what's a legitimate religion. If you've been following the IRS problems over the last year, you might think the beleaguered tax agency isn't always objective. The norm is for a putative church to ask the IRS for a ruling that it qualifies.

Best Cheap Companies To Invest In 2014

But unlike other exempt organizations, a church need not apply for an IRS ruling. See FAQs About Applying For Tax Exemption. A blessed tax exemption is worth a lot. And it occasionally leads to controversy. For example, the IRS refused to recognize Scientology as a church for decades.

Then, after multiple years of litigation and administrative harangues, in 1993, the IRS abruptly ruled Scientology was a church after all.  The New York Times claimed the IRS reversed 30 years of precedent to grant Scientology Section 501(c)(3) status. Although the IRS eventually relented about Scientology, some believe the IRS gave up too easily and should never have recognized the organization.

Sometimes, though, self-declared churches are hard to take too seriously. Take a spin on religion offered by a group promoting orgies as religious fulfillment. There was established liturgy and dogma–something the IRS likes to see–and it appeared to be written seriously enough.

The organization's "clergy" hoped it would lead to an IRS ruling that they qualified as a church. From what I could tell though (based solely on reading the material), all they did during "services" was engage in wild sex. The dogma said it was supposed to energize their religious "icon" at the center of the room church.

Perhaps it did. Wisely, though, this group decided not to ask the IRS for a ruling. In tax law as in life, don't ask the question if you can't stand the answer. Yet the tax treatment of churches is serious business.

People are encouraged to tithe and donate with tax deductions. That encourages churches to grow bigger and wealthier. In debt-ridden and cash-strapped Europe, the Catholic Church is a treasure trove arguably ripe for the tax collector. There has even been talk of taxing such sacred institutions, at least for property taxes.

Much of the discussion leads back to what constitutes a legitimate church. Churches reap a vast array of tax advantages. Among them are special limits on IRS audit powers. See Special Rules Limiting IRS Authority to Audit a Church. With church status being so desirable, how does the IRS police it?

The term "church" is not defined in the tax code. See IRS Publication 1828, Tax Guide for Churches and Religious Organizations. Yet the IRS looks for:

Stocks To Watch For October 15, 2013

Top 5 Growth Companies For 2014

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

Wall Street expects Johnson & Johnson (NYSE: JNJ) to report its Q3 earnings at $1.32 per share on revenue of $17.46 billion. Johnson & Johnson shares gained 0.56% to $90.30 in after-hours trading.

Analysts are expecting Yahoo! (NASDAQ: YHOO) to have earned $0.33 per share on revenue of $1.08 billion in the third quarter. Yahoo shares gained 0.29% to $34.10 in the after-hours trading session.

Teradata (NYSE: TDC) issued downbeat earnings forecast for the full year. Teradata shares tumbled 11.56% to $46.50 in the after-hours trading session.

The Coca-Cola Company (NYSE: KO) is projected to report its Q3 earnings at $0.53 per share on revenue of $12.05 billion. Coca-Cola shares gained 0.08% to $37.94 in after-hours trading.

Analysts expect Citigroup (NYSE: C) to report its Q3 earnings at $1.04 per share on revenue of $18.73 billion. Citigroup shares rose 0.30% to $49.75 in the after-hours trading session.

Posted-In: Stocks To WatchEarnings News Guidance Pre-Market Outlook Markets Trading Ideas

(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

  Around the Web, We're Loving... Learn to Use Trading Platforms Like Hedge Fund Traders do Rumsfeld: Denial of Benefits to Fallen Soldiers' Families 'Inexcusable' Come See How the Pro's Trade in this Exclusive Webinar Facebook, Baidu Lead Big Caps Beating Shutdown What Should You Know About AMZN? Most Popular iPad 5 Rumor Roundup Official iPad Mini And iPad 4 Price Cuts Coming From Apple Rumor: Apple Selects iWatch, 12-Inch iPad Supplier Low-Cost iMac and a Scary Chart Top Apple's Weekend News Earnings Expectations For The Week Of October 14: Financials, Tech and Consumer Goods Wii U Sales Hurt By Retailer Confusion, Misinformation Related Articles (C + JNJ) Stocks To Watch For October 15, 2013 Earnings Expectations For The Week Of October 14: Financials, Tech and Consumer Goods Benzinga Weekly Preview: Earnings Season Gets Into Full Swing UPDATE: Goldman Sachs Upgrades Johnson & Johnson Based on Solid Pharma Business Benzinga's Top Upgrades US Stock Futures Up; J.P. Morgan Earnings In Focus View the discussion thread. Partner Network #marketfy-ae-block { display: none; border: 2px solid #0a3f75; overflow: hidden; width: 300px; height: 125px; text-align: center; background-color: #45719E; position: relative; z-index: 1; } #marketfy-ae-block a { display: block; width: 300px; height: 125px; position: relative; z-index: 2; color: #ffffff; text-decoration: none; } #marketfy-ae-block-countdown-text { color: #f9fc99; padding: 0px 0 0 0; font-size: 19px; font-weight: bold; line-height: 19px; } #marketfy-ae-block-countdown-text-start { font-size: 12px; } #marketfy-ae-block-countdown { padding: 5px 0 5px 0; font-size: 26px; } #marketfy-ae-block-signup { padding: 5px 47px; } #marketfy-ae-block-signup:hover { background-color: #457a1a; } #marketfy-ae-block #marketfy-ae-block-logo { display: block; padding: 3px 0 0 0; margin: 0; } #marketfy-ae-block-logo { text-indent: -9999px; } #marketfy-ae-block-free { display: block; position: absolute; top: 7px; right: -23px; width: 80px; height: 16px; line-height: 16px; text-align: center; opacity: 1; -webkit-transform: rotate(45deg); -moz-transform: rotate(45deg); -ms-transform: rotate(45deg); transform: rotate(45deg); font-size: 13px; font-weight: normal; color: #333333; background-color: yellow; z-index: 500; text-shadow: 1px 1px #999999; } #marketfy-ae-block-arrow { position: relative; width: 60px; height: 60px; z-index: 10; margin: -80px 0 13px -21px; } #marketfy-ae-block-arrow img { height: 60px; width: auto; } Marketfy's International
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Costolo was fired by Twitter in 2010, new book …

SAN FRANCISCO — Dick Costolo was fired by Twitter just weeks before the executive rose, phoenix-like, to become CEO of the social-media company, according to a new book by New York Times reporter Nick Bilton.

In September 2010, co-founders Evan Williams and Jack Dorsey and Twitter's board were in a tense tussle about who should run the fast-growing microblogging site. Williams was CEO at the time, while Dorsey was a silent chairman and Costolo was chief operating officer.

Williams took a long time to make decisions, and Dorsey was using that as leverage with investors and the board to try to oust him as CEO, according to the book, Hatching Twitter: A True Story of Money, Power, Friendship, and Betrayal, which will be published next month.

Twitter declined to comment on the account.

At a tense Twitter board meeting in September 2010, Bill Campbell, who had been brought in as an adviser, slapped his hand on the table and said that it was Costolo who was to be fired, according to the book.

One board member suggested they talk about it more, but Campbell reminded everyone that they were running a start-up, then went downstairs and fired Costolo to his face, the book says.

Costolo asked Campbell whether he was joking. Campbell told Costolo to contact Twitter's lawyers to arrange severance, then left the room.

Best Small Cap Companies To Watch For 2014

Costolo wrote an e-mail asking what his severance package would be. But the board swiftly reversed the decision and told Costolo that he still had a job.

By Oct. 4, 2010, the tables had turned dramatically, and Williams was out and Costolo was in as CEO, according to the book.

Since that chaotic time, Costolo's steady hand as CEO has helped Twitter grow into a social-media phenomenon that is on course for a $1 billion IPO in November.

Self-driving cars? They’re (sort of) here already

With automakers starting to make realistic predictions about when they can deliver self-driving cars, many motorists may not realize that to a large extent, such cars are here already.

Infiniti, Mercedes-Benz, Lexus and Acura are among automakers that have started fielding vehicles that allow drivers to take their hands off the wheel. The cars stay on the road using a combination of radar and camera systems that track lane lines on the pavement. Most have alarms that remind drivers to put their hands back on after a few seconds. But not all: Infiniti's Q50 sedan can steer itself for miles without a finger on the wheel.

These come in addition to already available adaptive cruise control that adjusts to traffic speed, and collision prevention and mitigation systems that can slow or stop the vehicles. Some now can look beyond the car immediately ahead.

Automakers have pegged self-driving technology as a top-priority. Nissan CEO Carlos Ghosn has set a goal of having a fully driverless car on sale by 2020. Daimler CEO Dieter Zetsche arrived at the Frankfurt Auto Show in Germany last month in the back seat of a driverless Mercedes S-Class that crept on stage.

A leader in the race to a truly driverless car has been Google, which has logged thousands of miles in California and Nevada with an autonomous Toyota Prius. Perhaps as a result, a new study being released today by consultants KPMG and the Center for Automotive Research finds that consumers trust technology companies more than automakers when it comes to building self-driving cars.

But overall, drivers are wary of driverless technology. Nine of 10 say a licensed driver still should be at the wheel, according to a survey of 1,000 adults last month by ORC International for the Chubb Group of Insurance Companies. Only a third say they'd be willing to buy a self-driving car.

Starting this model year, these automakers have installed a next generation of lane-keeping systems that let drivers take their hands off the wheel on ! freeways:

• Infiniti. Active Lane Control in the new Q50 sedan handles straight roads and highway curves, though not the sharper turns of city driving. Then, the lane-departure alarm sounds. "It's fair to say some of these driving aids can look forward to autonomous driving, but they are here today to take the stress out of everyday driving," says spokesman Kyle Bazemore.

• Mercedes-Benz. The 2014 E-Class, and now the new S-Class sedans have Active Lane Keeping Assist, which nudges the steering wheel back to the center of the lane if the car starts to drift. Drivers can take their hands off the wheel for about 10 seconds before a warning light changes color.

Top 5 Insurance Companies To Buy For 2014

It's a "small step" toward autonomous driving, says Dave Larsen, the S-Class product manager. A fully autonomous Mercedes test car has only 10 sensors more.

• Acura.The RLX flagship sedan and MDX crossover, both new this year, has a lane-keeping system that gently pulls the car back into the lane. If drivers remove hands from the wheel for too many seconds, they are busted by a flashing light and chime. "It's meant to keep you in the center of your lane," says spokesman Chuck Schifsky. "We still believe, at the core, needs to be the driver."

• Lexus. Lane KeepAssist holds the car in the lane, but cancels it if hands leave the steering wheel.

5 Big Stocks to Trade for Big Gains

BALTIMORE (Stockpickr) -- "The future is uncertain; it is always a difficult time to invest." It feels like Blue Ridge Capital founder John Griffin was channeling this exact month when he made that comment.

Between the announcement of Janet Yellen as the new Fed Chairman nominee, the ongoing debt crisis debate, the start of earnings season, and new highs in volatility for 2013, traders are scrambling to try to make sense of the markets this month. And despite the fact that stocks are certainly still in correction mode right now, October hasn't exactly been a bloodbath for stock investors: the S&P 500 is only down around 2% since the start of the month.

So while there's no question that we're in another difficult time to invest, it's not quite as one-directional right now as many folks feel it is. That's creating some attractive trading opportunities in the biggest names on Wall Street right now.

We're taking a closer technical look at five of them today.

If you're new to technical analysis, here's the executive summary.

Technicals are a study of the market itself. Since the market is ultimately the only mechanism that determines a stock's price, technical analysis is a valuable tool even in the roughest of trading conditions. Technical charts are used every day by proprietary trading floors, Wall Street's biggest financial firms, and individual investors to get an edge on the market. And research shows that skilled technical traders can bank gains as much as 90% of the time.

Every week, I take an in-depth look at big names that are telling important technical stories. Here's this week's look at five high-volume stocks to trade this week.

Xerox

Document solutions firm Xerox (XRX) has been quietly working its way higher since the start of 2013; year-to-date, the stock is up 50%. But the trend is far from over. Here's how to trade new highs in Xerox.

Right now, Xerox is forming an ascending triangle pattern, a bullish price setup that's formed by horizontal resistance to the upside at $10.50 and uptrending support below shares. Basically, as XRX bonces in between those two technical levels, it's getting squeezed closer and closer to a breakout through that $10.50 level. When it happens, traders have a buy signal in shares.

That doesn't mean a breakdown is a 100% foregone conclusion just yet. Shares slipped through $72.50 earlier this week, only to pop back into the pattern (the "bear trap" on the chart above). But a confirmed breakdown is certainly a sell signal.

Whenever you're looking at any technical price pattern, it's critical to think in terms of those buyers and sellers. Triangles, and other pattern names are a good quick way to explain what's going on in a stock, but they're not the reason it's tradable. Instead, it all comes down to supply and demand for shares.

That support level at $72.50 is a price at which there has been an excess of demand of shares; in other words, it's a place where buyers are more eager to step in and buy shares at a lower price than sellers were to sell. That's what makes a breakdown below that price so significant -- the move would indicate that sellers are finally strong enough to absorb all of the excess demand at that price level. Wait for that indication before you sell.

Visa

You don't have to be an expert technical analyst to figure out what's going on in shares of Visa (V) right now. The preeminent payment network is currently bouncing higher in a well-defined uptrend that's propelled shares since the start of 2013. This week, with shares testing that trendline support level for an eighth time, we're coming up on an ideal time to be a buyer.

But don't buy shares of Visa anticipating a move higher. Instead, wait for the bounce. Buying off a support bounce makes sense for two big reasons: it's the spot where shares have the furthest to move up before they hit resistance, and it's the spot where the risk is the least (because shares have the least room to move lower before you know you're wrong). And by actually waiting for the bounce to happen first, you're ensuring the Visa can actually still catch a bid along that line.

Remember, trendlines do eventually fail, and when this one does, you don't want to be holding the bag. We could very well get our bounce today in Visa. If you decide to buy, keep a tight stop in place.

Google

2013 has been a pretty strong year for search giant Google (GOOG). Since the start of January, the firm has seen its shares rally more than 20%. But Google is starting to look "toppy" right now, after forming a bearish pattern since the start of the summer. Here's how to trade it.

Google is currently forming a head and shoulders top, a bearish pattern that indicates exhaustion among buyers. The setup is formed by two swing highs that top out around the same level (the shoulders), separated by a higher high in between them (the head). The neckline, depicted on the chart above, is the trigger level to watch -- a slip below that neckline means that it's time to sell (or short) this tech giant.

The neckline in Google is currently sloping. That means that as time progresses, the trigger price is dropping -- and so is the downside target if this trade does get kicked off. But we're perilously close to a breakdown this week, so I suspect we'll either see GOOG send out a sell signal or start to completely change its trend. Keep a close eye on this one.

PetroChina

Last up is PetroChina (PTR), the oil and gas giant based in the People's Republic. PTR is currently forming the bullish opposite of the setup in Google: an inverse head and shoulders pattern.

As with Google, the neckline level is sloping in PTR, and shares are extremely close to that breakout level right now. At the moment, the neckline price is right around $114, a level that's getting tested in today's trading session. If PTR can hold a bid above that upper blue line, then it makes sense to jump into shares.

If you think that the head and shoulders is too well known to be worth trading, the research suggests otherwise: a recent academic study conducted by the Federal Reserve Board of New York found that the results of 10,000 computer-simulated head-and-shoulders trades resulted in "profits [that] would have been both statistically and economically significant." That's good reason to keep an eye on both of these names in the next few sessions.

To see this week's trades in action, check out this week's Must-See Charts portfolio on Stockpickr.

-- Written by Jonas Elmerraji in Baltimore.

Investors bet Italy will avert crisis

Former Prime Minister Silvio Berlusconi triggered the latest round of political uncertainty in Italy by withdrawing his support for the coalition government over the weekend.

LONDON (CNNMoney) Italian markets were firmer Wednesday as the country's parliament looked set to reject an attempt by Silvio Berlusconi to collapse the coalition government.

Stocks and bonds gained ground as investors bet that center-left Prime Minister Enrico Letta would win a crucial vote of confidence, drawing support from dissenters within Berlusconi's own party.

"A government and political crisis would only mean more economic difficulties, it means not going through with the reforms needed to boost the economy and help the unemployed and the country," Letta told parliament.

Italy's main stock index gained as much as 1%, as most other European markets weakened, and yields on its 10-year government bond dropped to 4.35%, narrowing the premium the country has to pay to borrow.

Markets were jolted Monday after Berlusconi withdrew his support for Letta's coalition after just five months and ordered his party's ministers to quit the government, raising the risk of early elections and months of uncertainty in the eurozone's third-biggest economy.

Since then, local media reported that several members of Berlusconi's party are prepared to support Letta, and Italian markets rebounded strongly late Tuesday.

Early elections would make it hard to get agreement on a budget for 2014 and delay reforms needed to keep Italy on track to meet EU-mandated borrowing targets.

"A Letta victory would be a confidence boost for Italy and the eurozone, as the market reaction yesterday showed," said Christian Schulz, senior economist at Berenberg. "Beyond the mere confidence boost, Letta's coalition government could become! more stable if freed from Berlusconi's influence."

Italy has made substantial progress in cutting its budget deficit since it teetered on the brink of collapse at the height of the eurozone debt crisis in 2011, when yields on its debt topped 7%.

And the economy is showing signs of stabilizing after nearly two years of recession and a decade of stagnation. Tough austerity measures have helped produce a primary budget surplus and a program of structural reforms is beginning to bear fruit.

But the pace of reform has slowed in recent months and growth next year will be only a sluggish 0.7%. The country's €2 trillion debt mountain -- already above 130% of GDP -- will rise further in 2014, according to International Monetary Fund forecasts.

For Girls, the Fruits of Success Can Grow from a Strong Start in STEM

10 Best Cheap Stocks For 2014

Alamy October 11 is International Day of the Girl Child, set aside by the UN "to help galvanize worldwide enthusiasm for goals to better girls' lives, providing an opportunity for them to show leadership and reach their full potential." In other nations, any number of issues may hold girls back, but here in the U.S., one of the biggest barriers to that realization of full potential is academic: While 60 percent of college degrees go to women, only about 41 percent of high-paying engineering and science degrees do. And, to make things worse, the numbers of women in STEM professions -- science, technology, engineering and mathematics -- have remained stagnant since 2000. One way to remedy that is by early intervention -- finding ways to get younger girls involved in STEM, and then keep them enthusiastic about it. Numerous programs with have been launched with that goal in mind, by companies as diverse as PBS and Marvel Comics, -- not to mention individual states to the federal government. But beyond those, there are a lot of apps, online games and other programs that you can use to help the girl in your life learn important money lessons. Here are a few of our favorites: Money Lessons from a Financial Guru

Top 10 China Stocks To Watch Right Now

Last week, shares of Ford Motor (NYSE: F  ) crossed the $15 line for the first time since early 2011. The last time Ford stock reached that level, the company was benefiting from a spate of recalls at Toyota Motor (NYSE: TM  ) and the devastating Japanese tsunami of March 2011, which disrupted supplies for Toyota, Honda Motor (NYSE: HMC  ) , and other Japanese automakers.

Today, Ford stock's strength can be attributed to the company's success, rather than competitors' difficulties. The U.S. housing market recovery has boosted demand for Ford's F-Series pickups. Meanwhile, high fuel prices have encouraged U.S. consumers to replace their aging cars with more fuel-efficient models. Lastly, international trends are improving: Ford is gaining market share in China -- the world's largest auto market -- and is implementing a decisive plan to return to profitability in Europe.

Top 10 China Stocks To Watch Right Now: China Automotive Systems Inc.(CAAS)

China Automotive Systems, Inc., through its interests in Sino-foreign joint ventures, engages in the manufacture and sale of power steering systems and other component parts for the automotive industry in the People?s Republic of China. It offers a range of steering system parts for passenger automobiles and commercial vehicles. The company provides 4 separate series, 307 models of power steering, including rack and pinion power steering, integral power steering, electronic power steering and manual steering, steering columns, steering oil pumps, and steering hoses. China Automotive Systems, Inc. was founded in 2003 and is headquartered in Jing Zhou City, the People?s Republic of China.

Top 10 China Stocks To Watch Right Now: Baidu Inc.(BIDU)

Baidu, Inc. provides Chinese and Japanese language Internet search services. Its search services enable users to find relevant information online, including Web pages, news, images, multimedia files, and blogs through the links provided on its Websites. The company also offers online community-based products and entertainment platforms; an instant messaging service; and a consumer-oriented e-commerce platform. In addition, it designs and delivers online marketing services and auction-based P4P services that enable its customers to reach users who search for information related to their products or services. The company serves online marketing customers consisting of small and medium sized enterprises, large domestic corporations, and Chinese divisions or subsidiaries of multinational corporations primarily operating in the medical, machinery, education, franchising, electronic products, e-commerce, ticketing, tourism, information technology, consumer products, real estate, entertainment, and financial services industries. It sells its online marketing services directly, as well as through its distribution network. The company was formerly known as Baidu.com, Inc. and changed its name to Baidu, Inc. in December 2008. Baidu, Inc. was founded in 2000 and is headquartered in Beijing, the People?s Republic of China.

Advisors' Opinion:

• [By Jon C. Ogg]

  Baidu Inc. (NASDAQ: BIDU) was started with an Outperform rating at Credit Suisse.

  Cubist Pharmaceuticals Inc. (NASDAQ: CBST) was raised to Outperform from Market Perform at Leerink Swann.

• [By Dan Caplinger]

  Baidu (NASDAQ: BIDU  ) will release its quarterly report on Wednesday, and investors are hoping for a nice recovery to what's been a rough patch for the Chinese search giant. As competition has reared its ugly head for the first time in a while, shareholders have had to deal with the prospect of slower growth for Baidu earnings going forward.

10 Best Clean Energy Stocks To Invest In Right Now: KongZhong Corporation(KONG)

KongZhong Corporation, together with its subsidiaries, provides wireless interactive entertainment, media, and community services to mobile phone users in the People's Republic of China. It also involves in the development, distribution, and marketing of consumer wireless value-added services, including wireless application protocol, multimedia messaging services, short messaging services, interactive voice response services, and color ring back tones. In addition, it offers interactive entertainment services, such as mobile games, pictures, karaoke, electronic books, mobile phone personalization features, entertainment news, chat, and message boards; and through Kong.net offer news, community services, games, and other interactive media and entertainment services; and sells advertising space in the form of text-link, banner, and button advertisements. Further, the company develops and publishes mobile games, including downloadable mobile games and online mobile games cons isting of action, role-playing, and leisure games. As of December 31, 2009, it had a library of approximately 300 internally developed mobile games. Additionally, it develops online games; and provides consulting and technology services, as well as media and net book services. The company was formerly known as Communication Over The Air Inc. and changed its name to KongZhong Corporation in March 2004. KongZhong Corporation was founded in 2002 and is headquartered in Beijing, the People?s Republic of China

Top 10 China Stocks To Watch Right Now: Universal Travel Group(UTA)

Universal Travel Group, together with its subsidiaries, operates as a travel service provider offering air ticketing and hotel booking services, as well as domestic and international packaged tourism services via the Internet, customer representatives, and kiosks in the People?s Republic of China. It also provides technological solutions to travel reservations, and tour planning and tour guide services. In addition, the company operates TRIPEASY Kiosks, which are placed in hotels, office buildings, banks, shopping malls, and MTR stations for travel booking with credit cards or bank debit cards. Universal Travel Group is headquartered in Shenzhen, the People?s Republic of China.

Top 10 China Stocks To Watch Right Now: TAL Education Group(XRS)

TAL Education Group, together with its subsidiaries, provides K-12 after-school tutoring services in the People?s Republic of China. It offers tutoring services to K-12 students covering various academic subjects, including mathematics, English, Chinese, physics, chemistry, and biology. The company provides tutoring services through small classes; personalized premium services, such as one-on-one tutoring; and online course offerings. As of May 31, 2011, it operated a network of 199 physical learning centers in Beijing, Shanghai, Guangzhou, Shenzhen, Tianjin, Wuhan, Nanjing, Hangzhou, Chengdu, and Xi?an; and eduu.com, an online education platform for online courses. The company also offers education and management consulting services, as well as sells software. It operates under the Xueersi brand. The company was founded in 2003 and is headquartered in Beijing, China.

Top 10 China Stocks To Watch Right Now: ChinaEdu Corporation(CEDU)

ChinaEdu Corporation, together with its subsidiaries, provides educational services to the online degree programs of universities in the People?s Republic of China. It also offers online tutoring services to primary and secondary school students; operates primary and secondary schools; and markets international English language curriculum programs to established learning institutions, as well as international polytechnic programs to vocational schools in China. The company?s online degree programs offer associate and bachelor?s degree programs, including accounting, marketing, finance, business administration, international business, law, civil engineering, education, computer science, literature, project management, marketing, and administrative management. These online degree programs primarily target working adults. Its services also include academic program development, technology services, enrollment marketing, recruiting, student support services, and finance operati ons. The company provides technical, recruiting, and other services for the online degree programs of 27 universities; and technology support services to 7 additional universities that are awaiting regulatory approval to launch their online degree programs. As of December 31, 2010, it served approximately 311,000 online degree programs students, as well as approximately 51,450 students in other businesses. ChinaEdu Corporation was founded in 1999 and is based in Beijing, the People?s Republic of China.

Top 10 China Stocks To Watch Right Now: New Oriental Education & Technology Group Inc.(EDU)

New Oriental Education & Technology Group Inc. provides private educational services primarily in the People?s Republic of China. It offers a range of educational programs, services, and products consisting primarily of English and other foreign language training; test preparation courses for admissions and assessment tests; primary and secondary school education; development and distribution of educational content; software and other technology; and online education. The company?s language training courses primarily consist of various types of English language training courses, and other foreign languages, including German, Japanese, French, Korean, and Spanish. It offers test preparation courses for language and entrance exams used by educational institutions in the United States, the People?s Republic of China, and commonwealth countries. The company also operates primary and secondary schools in Yangzhou. In addition, New Oriental Education & Technology Group Inc. deve lops and edits content for educational materials for language training and test preparation, such as books, software, CD-ROMs, magazines, and other periodicals. It distributes these materials through various distribution channels consisting of own classrooms and bookstores, as well as third-party distributors. Further, the company offers various online education programs on its Web site, koolearn.com. Additionally, it provides consulting services to help students through the application and admission process for overseas educational institutions, as well as post-secondary educational programs to help students seek career opportunities; and operates two pre-schools. The company offers educational services under the ?New Oriental? brand name. As of May 31, 2010, it offered education programs, services, and products through a network of 48 schools, 319 learning centers, and 25 bookstores. The company was founded in 1993 and is headquartered in Beijing, the People?s Republic of China.

Top 10 China Stocks To Watch Right Now: 3SBio Inc.(SSRX)

3SBio Inc., a biotechnology company, engages in the research, development, manufacture, and distribution of pharmaceutical products in the People?s Republic of China. Its products include EPIAO, an injectable recombinant human erythropoietin to stimulate the production of red blood cells in patients with anemia and to reduce the need for blood transfusions; and TPIAO, a recombinant human thrombopoietin to treat chemotherapy-induced thrombocytopenia. The company also offers Intefen, a recombinant interferon alpha-2a product for the treatment of carcinoma of the lymphatic or hematopoietic system and viral infectious diseases; Inleusin, a recombinant human IL-2 product to treat renal cell carcinoma, metastatic melanoma, and thoratic fluid build-up caused by cancer and tuberculosis; and Iron Sucrose Supplement for treating anemia associated with iron deficiency, as well as for patients with end-stage renal disease requiring iron replacement therapy. In addition, its product pi peline comprises a high dosage EPIAO; NuPIAO, a second-generation EPIAO; TPIAO to treat idiopathic thrombocytopenic purpura; NuLeusin for metastatic melanoma and metastatic renal cell carcinoma; human papilloma virus vaccine for the prevention of cervical cancer; and an anti-TNF monoclonal antibody product candidate for treating rheumatoid arthritis, psoriasis, and other inflammatory diseases. Further, the company?s product pipeline includes Feraheme, an in-licensed intravenous iron replacement therapeutic agent used to treat iron deficiency anemia in chronic kidney disease patients and in patients requiring hemodialysis; and Nephoxil, an iron-based phosphate binder for the treatment of hyperphosphatemia in patients with ESRD. It sells its products directly, as well as through its network of distributors to various healthcare providers, including hospitals, clinics, and dialysis centers. The company was founded in 1993 and is headquartered in Shenyang, the People?s Republic of China.

Top 10 China Stocks To Watch Right Now: ChinaCast Education Corporation(CAST)

ChinaCast Education Corporation, together with its subsidiaries, provides post-secondary education and e-learning services in China. The company operates in two segments, E-learning and Training Service Group and Traditional University Group. The E-learning and Training Service Group provides post secondary education distance learning services that enable universities and other higher learning institutions to provide nationwide real-time distance learning services. It also provides K-12 educational services, such as broadcast multimedia educational content services to primary, middle, and high schools; and vocational/career training services. The Traditional University Group segment operates private residential universities that offer four-year bachelor?s degree and three-year diploma programs in finance, economics, trade, tourism, advertising, IT, music, foreign languages, tourism, hospitality, computer engineering, law, and art. The company also provides logistic service s. ChinaCast Education Corporation was founded in 1999 and is headquartered in Central, Hong Kong.

Top 10 China Stocks To Watch Right Now: Sina Corporation(SINA)

SINA Corporation provides online media and mobile value-added services (MVAS) in the People?s Republic of China. It provides advertising, non-advertising, and free services through SINA.com, Weibo.com, and SINA Mobile. SINA.com offers free interest-based channels that provide region-focused format and content, including news, sports, automobile-related news, finance, entertainment, luxury, technology, digital, tools, collectibles, video, music, and wireless application protocol, as well as interactive platform for fashion-conscious users to share comments and ideas on a range of topics, such as health, cosmetics, and beauty. The company's microblogging platform, Weibo.com, enables its users to follow the hottest topics being discussed online, as well as discussions related to people they know. Weibo accounts consist of celebrities, commercial enterprises, government entities, and grass root Internet users. Its SINA Mobile service allows users to receive news and informatio n, download ring tones, mobile games and pictures, and participate in dating and friendship communities. The company also offers SINA Game, which serves as an interactive platform that provides users with downloads and gateway access to popular online games; SINA eReading, a shop for book reviews; SINA.net, an enterprise solutions platform to assist businesses and government bodies; and SINA Mall, an online shopping Website. In addition, it provides a platform for Chinese bloggers; photo-sharing platform; free email, VIP mail, and corporate email for enterprise users; audio and video-based instant messaging tools; proprietary search technology; and classified advertising services, as well as hosts topic-specific discussion forums in Chinese language; and creates user-maintained and supported online communities. The company has strategic cooperation agreement with China Unicom (Hong Kong) Limited. SINA Corporation was founded in 1997 and is headquartered in Shanghai, the Peop le?s Republic of China.

Advisors' Opinion:

• [By Paul Ausick]

  Over the past 12 months, shares of Qihoo 360 are up more than 200%, compared with gains of about 46% at Sina Corp. (NASDAQ: SINA) and about 20% at Baidu Inc. (NASDAQ: BIDU), two other booming Chinese Internet players.

• [By Kevin Chen]

  For some time, China's largest search engine could always count on its partnership with SINA� (NASDAQ: SINA  ) Weibo, a Twitter-like service, to infuse Baidu products with social information. But now that China's biggest e-commerce retailer Alibaba has bought shares in Weibo, Baidu investors should be scared. Not only may Baidu lose its social edge, but the Alibaba-SINA deal could also spell trouble for Baidu's future.�