Top pick Barrick Mining just raised its dividend a whopping 140% as it generates record earnings and continues its strategic asset reorganization.
Warner Music Group Corp. is well-positioned for higher-margin catalog revenues, added streaming adoption, and new AI monetization opportunities.
ARC Resources keeps returning its cash flow to shareholders through a growing dividend and substantial share buybacks.
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UNITED TECHNOLOGIES CORP. $95 (New York symbol UTX; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 887.0 million; Market cap: $84.3 billion; Priceto- sales ratio: 1.3; Dividend yield: 2.7%; TSINetwork Rating: Above Average; www.utc.com) has announced a new restructuring plan that mainly involves closing high-cost plants in the U.S. and Europe and shifting their operations to other facilities. The company expects these moves to cost $1.5 billion. However, they should cut $900 million from United Technologies’ annual expenses when they’re finished in 2018. The savings will help the company offset weaker demand for its Otis elevators in China, as well as higher-than-expected expenses related to the development of a new jet engine at its Pratt & Whitney division....
MONDELEZ INTERNATIONAL INC. $45 (Nasdaq symbol MDLZ; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 1.6 billion; Market cap: $72.0 billion; Price-to-sales ratio: 2.3; Dividend yield: 1.5%; TSINetwork Rating: Above Average; www.mondelezinternational.com) makes cookies and biscuits (Oreo, Chips Ahoy, Ritz), chocolate bars (Cadbury, Toblerone), gum and candy (Trident, Chiclets) and Halls cough drops. In July 2015, Mondelez merged its packaged coffee business with European coffee maker D.E. Master Blenders. Under the deal, Mondelez contributed its coffee brands, including Jacobs, Gevalia and Tassimo, to a new firm called Jacobs Douwe Egberts. In return, it received $4.2 billion in cash and 43.5% of the new company. If you exclude unusual items, such as a $6.9-billion gain on this sale, Mondelez earned $678 million in the three months ended September 30, 2015, down 20.1% from $849 million a year earlier. Earnings per share fell 16.0%, to $0.42 from $0.50, on fewer shares outstanding. The sale of the coffee business cut Mondelez’s sales by 17.8%, to $6.8 billion from $8.3 billion. However, if you adjust for the sale and foreign exchange rates, sales improved 3.7%....
These telecom firms’ recent acquisitions cut their reliance on traditional telephones and let them profit from growing markets, like Latin America, and highdemand services, such as mobile video. AT&T INC. $34 (New York symbol T; Conservative Growth and Income Portfolios, Utilities sector; Shares outstanding: 6.2 billion; Market cap: $210.8 billion; Price-to-sales ratio: 1.5; Dividend yield: 5.5%; TSINetwork Rating: Average; www.att.com) is the largest wireless provider in the U.S., with 126.4 million subscribers. It also sells phone, TV and high-speed Internet access to 64.1 million users. The company recently completed its $48.5-billion purchase (70% stock and 30% cash) of DirecTV, which has 19.6 million satellite TV customers in the U.S. and 12.5 million in Latin America....
HONDA MOTOR CO. LTD. ADRs $33 (New York symbol HMC; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.8 billion; Market cap: $59.4 billion; Priceto- sales ratio: 0.5; Dividend yield: 2.3%; TSINetwork Rating: Above Average; www.honda.com) has received approval from U.S. regulators to start selling its new business plane, called the HondaJet. The aircraft’s engines are on top its wings instead of below; it’s 15% more fuel efficient than comparable models; and it has 20% more cargo room. The company has orders for over 100 of these planes, which it is currently building at its North Carolina plant. It should begin delivering them in 2016. Honda is a buy.