united technologies
New York symbol UTX, has five main businesses: Carrier makes heating and air conditioning equipment; Otis makes and services elevators; Pratt & Whitney makes aircraft engines; Flight Systems makes helicopters and aircraft controls; and UTC Fire & Security provides security and fire protection services.
INTEL CORP. $22.67, Nasdaq symbol INTC, fell 15% this week on fears that rising loan writedowns at major banks would hurt sales of new computers. Banks are large buyers of computer technology. A slowing economy could also hurt new computer demand at other big corporations. However, Intel’s recent restructuring will help it stay profitable even if sales weaken. The launch of new, faster chips in the second half of 2008 should also expand its lead over rival chipmaker Advanced Micro Devices, particularly in the corporate server segment. Intel is a buy. NEWMONT MINING CORP. $52.42, New York symbol NEM, gained $4 this week as gold surged to a new record of $869.05 an ounce, surpassing the old peak of $850 reached in 1980....
UNITED TECHNOLOGIES CORP. $80 (New York symbol UTX; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 991.8 million; Market cap: $79.3 billion; WSSF Rating: Above average) is a leading maker of commercial heating, ventilation and air conditioning equipment, as well as elevator systems. Demand in China for Otis elevators and Chubb building security services is growing strongly. China is also one of the world’s largest markets for heating and air conditioning equipment. Recent investments in China by United Technologies’ Carrier division should help it capture more of this expanding market. United Technologies predicts it will earn between $4.15 a share to $4.25 a share in 2007; the stock trades at 19.0 times the midpoint of that range....
As foreign markets mature along with growing economies and rising consumer and business demand, market leaders in the United States stand to gain from bursts of sales on their top products to new overseas customers. This includes companies such as Anheuser- Busch , plus Tupperware Brands, Newell Rubbermaid and United Technologies. It also includes 3M. Since early last year, 3M’s new CEO has raised its research and development budget to accelerate its growth rate by revitalizing its rich tradition of product innovation. New products will add to sales in both domestic and expanding overseas markets. We now feel 3M is attractively priced in relation to its growth prospects. 3M COMPANY $93 (New York symbol MMM; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 715.8 million; Market cap: $66.7 billion; WSSF Rating: Above average) is a diversified manufacturer formerly known as Minnesota Mining & Manufacturing....
DIAMONDS TRUST SHARES $133 (American Exchange symbol DIA; buy or sell through brokers) hold the 30 stocks that make up the Dow Jones Industrial Average. Currently, the fund’s top 10 holdings are IBM, 3M, Boeing Co., United Technologies, Caterpillar, Altria Group, American International Group, Johnson & Johnson, Procter & Gamble and Exxon Mobil....
The best exchange-traded funds (ETFs) offer well-diversified, tax-efficient portfolios with very low management fees. Due to buyback and share issue arrangements, ETFs always trade close to their net asset value. Here are some of the best deals available in ETFs. We’ve also analysed one we don’t like. ISHARES CDN LARGECAP 60 INDEX FUND $79.86 (Toronto symbol XIU; buy or sell through a broker) (formerly called iUnits S&P/TSX 60 Index Participation Fund) is a good low-fee way to buy the top stocks on the TSX. The units hold a basket of stocks that represent the S&P/TSX 60 Index. The index is made up of the 60 largest and most heavily traded stocks on the TSX. Expenses on the units are just 0.17% of assets....
FEDEX CORP. $109.96, New York symbol FDX, earned $1.96 a share in its fourth fiscal quarter ended May 31, 2007, up 7.7% from $1.82 a year earlier. If you disregard a one-time gain from a contract settlement, earnings in the most recent quarter would have grown 4.4%, to $1.90 a share. Revenue rose 7.6%, to $9.15 billion from $8.5 billion, thanks to an acquisition at its trucking division and higher volumes and prices at its air transport businesses. The company recently started offering overnight delivery service in China, and the costs have hurt its earnings growth. But growing economic activity in China should help shield FedEx from a possible slowdown in the United States, and from higher fuel costs. FedEx is a buy....
UNITED TECHNOLOGIES CORP. $69 (New York symbol UTX; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 994.4 million; Market cap: $68.6 billion; WSSF Rating: Above average) has agreed to pay roughly $340 million for a Finnish maker of water mist fire suppression systems. The cost is equal to 42% of the $0.82 a share (total $819 million) that United Technologies earned in the first quarter of 2007. Water mist systems tend to put out fires more quickly than traditional building sprinklers, and cause less flooding and water damage. This operation should strengthen the company’s growing building security business. United Technologies is a buy.
DIAMONDS TRUST SHARES $125 (American Exchange symbol DIA; buy or sell through brokers) hold the 30 stocks that make up the Dow Jones Industrial Average. Expenses are about 0.18% of assets. Currently, the fund’s top 10 holdings are IBM, 3M, Boeing Co., United Technologies, Caterpillar, Altria Group, American International Group, Johnson & Johnson, Procter & Gamble and Exxon Mobil....
The best exchange-traded funds (ETFs) offer well-diversified, tax-efficient portfolios with very low management fees. Due to buyback and share issue arrangements, ETFs always trade close to their net asset value. Here are some of the best deals available in ETFs. We’ve also analysed one we don’t like. ISHARES CDN LARGECAP 60 INDEX FUND $76.72 (Toronto symbol XIU; buy or sell through a broker) (formerly called iUnits S&P/TSX 60 Index Participation Fund) is a good low-fee way to buy the top stocks on the TSE. The units hold a basket of stocks that represent the S&P/TSX 60 Index. The index is made up of the 60 largest and most heavily traded stocks on the TSE....
HEWLETT-PACKARD CO. $35 (New York symbol HPQ; Conservative Growth Portfolio, Manufacturing & Industry sector; WSSF Rating: Above average) is holding up well despite news that the company’s former chair used questionable surveillance techniques to identify a director who leaked certain information to the media. While embarrassing, we feel that the scandal will do little long-term damage to Hewlett’s business. Hewlett-Packard is a buy. NEWELL RUBBERMAID INC. $29 (New York symbol NWL; Income Portfolio, Consumer sector; WSSF Rating: Average) has agreed to sell its Little Tykes division, which makes children’s toys and furniture. The sale should generate a gain of between $15 million and $25 million; Newell earned $149.6 million or $0.54 a share before unusual items in its most recent quarter. The sale is part of Newell’s plan to sell less-profitable products, and focus on fastergrowing products such as office supplies....