It's been a busy day for the market's most important tickers. No fewer than five of the 30 Dow (DJINDICES: ^DJI ) companies reported earnings either last night or this morning. If you had expected these news-heavy tickers to set the tone for the Dow's trading action, you may be disappointed. Three of the five missed analysts expectations -- yet the Dow is trading up today anyhow.
How did these five blue chips fare last quarter? Let's take a look at the Dow's biggest movers.
Image source: UnitedHealth Group.
Let's start with the day's biggest winner. Shares of health insurance giant UnitedHealth Group (NYSE: UNH ) have jumped 6.8% today on a combination of strong earnings and in-line sales. In the second quarter, revenue rose 12% year over year to $30.4 billion. Diluted GAAP earnings jumped 10% to $1.40 per share. Analysts were expecting sales of $30.5 billion and earnings of $1.25 per share.
5 Best Blue Chip Stocks To Invest In 2014: Apple Inc.(AAPL)
Apple Inc., together with subsidiaries, designs, manufactures, and markets personal computers, mobile communication and media devices, and portable digital music players, as well as sells related software, services, peripherals, networking solutions, and third-party digital content and applications worldwide. The company sells its products worldwide through its online stores, retail stores, direct sales force, third-party wholesalers, resellers, and value-added resellers. In addition, it sells third-party Mac, iPhone, iPad, and iPod compatible products, including application software, printers, storage devices, speakers, headphones, and other accessories and peripherals through its online and retail stores; and digital content and applications through the iTunes Store. The company sells its products to consumer, small and mid-sized business, education, enterprise, government, and creative markets. As of September 25, 2010, it had 317 retail stores, including 233 stores in the United States and 84 stores internationally. The company, formerly known as Apple Computer, Inc., was founded in 1976 and is headquartered in Cupertino, California.
Advisors' Opinion:- [By Morgan Housel]
Friends in the right places
The Financial Times breaks down Apple's (NASDAQ: AAPL ) tax structure:One of Apple's Irish subsidiaries paid a tax rate of just 0.05 per cent in 2011, according to the committee. Yet other offshore entities did not even pay that much. A unit called Apple Operations International, which has had no employees in its 30-year history and funnelled $30bn of payments between Apple units in 2009-2012, filed no corporation tax returns at all over the past five years.
5 Best Blue Chip Stocks To Invest In 2014: Colgate-Palmolive Company(CL)
Colgate-Palmolive Company, together with its subsidiaries, manufactures and markets consumer products worldwide. It offers oral care products, including toothpaste, toothbrushes, and mouth rinses, as well as dental floss and pharmaceutical products for dentists and other oral health professionals; personal care products, such as liquid hand soap, shower gels, bar soaps, deodorants, antiperspirants, shampoos, and conditioners; and home care products comprising laundry and dishwashing detergents, fabric conditioners, household cleaners, bleaches, dishwashing liquids, and oil soaps. The company offers its oral, personal, and home care products under the Colgate Total, Colgate Max Fresh, Colgate 360 Advisors' Opinion:
- [By Dan Caplinger]
Investors have always been interested in stocks that pay dividends, but lately, low interest rates on bonds and other fixed-income investments have made solid dividend payers even more valuable. Among the most promising dividend stocks in the market is Colgate-Palmolive (NYSE: CL ) , and one big reason is that it is one of the few exclusive companies to make the list of Dividend Aristocrats. In order to become a member of this elite group, a company must have raised its dividend payouts to shareholders every single year for at least a quarter-century. Only a few dozen stocks manage to make the cut, and those that do tend to stay there for a long time.
- [By Dan Caplinger]
One concern, though, is how the company handled news of Venezuela's currency devaluation. Clorox (NYSE: CLX ) and Colgate-Palmolive (NYSE: CL ) also felt the pinch, with Clorox taking about a $0.05 to $0.10 per-share earnings hit and Colgate losing about $0.50 per share. But they also addressed the potential devaluation more proactively than P&G did. Clorox actually�anticipated�the devaluation in its February earnings report, projecting the potential hit if a devaluation took place. Colgate didn't provide specific guidance in advance but clearly saw it as an issue, delivering on a promise to give prompt guidance revisions after the devaluation occurred.
- [By James Well]
Analysts��Consensus Position on Pfizer
Thirteen analysts including those at TheStreet, Thomson Reuters/Verus, Goldman Sachs, J.P. Morgan, Barclays Capital, Morgan Stanley and Argus Research are optimistic about the performance of Pfizer going forward and, hence, reiterated a consensus buy recommendation at an average target price of $31.78 per share. Last Wednesday, analysts at Goldman Sachs removed Pfizer from Goldman�� conviction buy list (CL) where Pfizer has been since Aug. 9, 2011, and placed it on the buy list but raised its price target from $34 to $35 per share. Jami Rubin, an analyst with Goldman Sachs, claimed that Pfizer has gone up by 82.5% since being added to the CL as against 53.9% for the S&P 500 during the period and, therefore, there was the need to replace Pfizer with AbbVie at a price target of $60 because they claimed AbbVie has greater upside at this time.
Top Insurance Stocks To Own For 2014: Philip Morris International Inc(PM)
Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. Its international product brand line comprises Marlboro, Merit, Parliament, Virginia Slims, L&M, Chesterfield, Bond Street, Lark, Muratti, Next, Philip Morris, and Red & White. The company also offers its products under the A Mild, Dji Sam Soe, and A Hijau in Indonesia; Diana in Italy; Optima and Apollo-Soyuz in the Russian Federation; Morven Gold in Pakistan; Boston in Colombia; Belmont, Canadian Classics, and Number 7 in Canada; Best and Classic in Serbia; f6 in Germany; Delicados in Mexico; Assos in Greece; and Petra in the Czech Republic and Slovakia. It operates primarily in the European Union, Eastern Europe, the Middle East, Africa, Asia, Canada, and Latin America. The company is based in New York, New York.
Advisors' Opinion:- [By Rich Smith]
The commonly accepted wisdom in the cigarette industry goes something like this: Smoking is in decline in the United States. Therefore, if you want to make money on tobacco, you must look abroad. You must buy Philip Morris International (NYSE: PM ) stock.
- [By GuruFocus]
Philip Morris International Inc. (PM) Reached the 52-Week Low of $85.37
The prices of Philip Morris International Inc. (PM) shares have declined to close to the 52-week low of $85.37, which is 15.1% off the 52-week high of $96.73. Philip Morris International Inc. is owned by 31 Gurus we are tracking. Among them, 14 have added to their positions during the past quarter. Ten reduced their positions.
5 Best Blue Chip Stocks To Invest In 2014: Visa Inc.(V)
Visa Inc., a payments technology company, engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. The company owns and operates VisaNet, a global processing platform that provides transaction processing services. It also offers a range of payments platforms, which enable credit, charge, deferred debit, debit, and prepaid payments, as well as cash access for consumers, businesses, and government entities. The company provides its payment platforms under the Visa, Visa Electron, PLUS, and Interlink brand names. In addition, it offers value-added services, including risk management, issuer processing, loyalty, dispute management, value-added information, and CyberSource-branded services. The company is headquartered in San Francisco, California.
Advisors' Opinion:- [By Chris Hill]
Visa (NYSE: V ) and Under Armour (NYSE: UA ) hit new all-time highs. General Motors (NYSE: GM ) appears to be turning the corner in Europe. And second-quarter profits for Crocs (NASDAQ: CROX ) fell a whopping 43%. In this installment of Investor Beat, Motley Fool analysts David Hanson and Jason Moser discuss four stocks making moves on Thursday.
- [By Rick Aristotle Munarriz]
Alamy Companies can make brilliant moves, but there are also times when things don't work out quite as planned. From an underwhelming iPhone event to Pandora's new CEO, here's a rundown of the week's best and worst moves in the business world. Apple (AAPL) -- Loser Shares of the consumer tech giant had rallied heading into Tuesday's iPhone event, but the love didn't last. The stock began to sell off while Apple was still presenting its updated smartphones. There were no smartwatches, no high-def smart TVs, and no magical unicorns offered up at the presentation. The market was also unimpressed to find that the cheaper iPhone that everyone was hoping would make inroads into Android's 80 percent global market share wound up being just $100 cheaper than the new iPhone 5s. Apple only updates its iPhones annually, so it was also a letdown to see the company once again fail to produce phones with screens larger than four inches. Yes, Apple is spicing up the shell colors across both new iPhone lines, but the actual screens are too small compared to the larger Android devices that many consumers are choosing these days. Pandora (P) -- Winner The leading music streaming service had been searching for a new CEO for months, and it finally found one. Brian McAndrews -- who at one time ran digital marketing powerhouse aQuantive before selling it to Microsoft (MSFT) in a $6 billion deal -- will take control of the leading media platform that serves up 1.35 billion hours a month to its more than 72 million active listeners. It's a smart hire. Pandora didn't need a big terrestrial radio guru. Pandora isn't about content programming. It already has the technology in place that serves up timely music recommendations and adapts to a listeners preferences. Pandora's major challenge remains to monetize its growing airplay, and that's where McAndrews is the perfect fit for a fast-growing company that's just starting to impress marketers. The Dow -- Loser The Dow Jones Industr
- [By Marc Bastow]
A total of 19 companies raised their dividends this week, led by big names like Visa (V) and Honeywell (HON). (Note: All dividend yields are as of Oct. 25.)
- [By Jon C. Ogg]
International Business Machines Corp. (NYSE: IBM) is proving that it has very limited growth opportunities in new revenues. The only saving grace for the rest of us these days is that IBM is now no longer the largest DJIA stock since Visa Inc. (NYSE: V) is a DJIA stock.
5 Best Blue Chip Stocks To Invest In 2014: Chevron Corporation(CVX)
Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.
Advisors' Opinion:- [By David Smith]
The second "Gasland" also touches down briefly in Queensland, Australia, where anti-fracking protests have begun. It then moves to a description of "demonstrations across Europe". Named as specific sites are the U.K., Bulgaria, Romania, France, and Canada. Little did we know that our neighbors to the north had hightailed it across the pond. Poland, where Chevron (NYSE: CVX ) has undertaken an ambitious shale drilling program is essentially unmentioned.
- [By Matt Thalman]
Shares of both Dow energy stocks, Chevron (NYSE: CVX ) and ExxonMobil (NYSE: XOM ) , are flat today. The price of light crude is down 0.69% today, and natural gas is down 1.77%. And because both companies have diversified their businesses into the latter, cleaner-burning fuel that is abundant in North America, they must deal with how falling natural-gas prices will affect profits.�
- [By Tyler Crowe]
In the same way that it's more difficult for big investment funds to grow because of sheer size, it becomes harder for integrated major oil companies such as Chevron (NYSE: CVX ) to move the oil-production needle. In fact, the company has joined�ExxonMobil (NYSE: XOM ) in seeing production shrink recently. Much of Chevron's recent slip comes from a shutdown at several facilities for maintenance, so while that may not be too much to worry about in the near future, it does raise questions about whether the company can grow its production.
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