Topic: Growth Stocks

The Wall Street Stock Forecaster Hotline – Friday, September 28, 2007

Article Excerpt

MICROSOFT CORP. $29.46, Nasdaq symbol MSFT, still loses money on each Xbox video game machine it sells, six years after the launch of the first console. Costs to fix a recent Xbox defect also hurt Microsoft’s earnings in its latest quarter. But the company feels profits from selling games will offset these losses. For example, Microsoft sold more than 1.7 million copies of the new Halo 3 video game this week for $170 million. Strong interest in Halo 3 should spur more console sales, and increase demand for online gaming services. Microsoft is a buy. CHEVRON CORP. $93.58, New York symbol CVX, continues to enjoy strong cash flow thanks to rising oil prices. It now plans to buy back up to $15 billion of its stock in the next three years. That’s roughly 7% of its market cap. Share repurchases reduce the number of shares outstanding, and increase future per-share earnings and cash flow. Chevron is a buy. IDEARC INC. $31.47, New York symbol…