Best Penny Stocks To Own Right Now

On Wednesday, our Elite Opportunity Pronewsletter suggestedshorting large cap department store stock Nordstrom, Inc (NYSE: JWN):

Nordstrom’s (JWN) is one name we did well shorting back in May of this year, and although we made another attempt at shorting the stock for a minor loss from September to November, our net gain between the two ended up being about 16%. Not bad all things considered. However, we’re still convinced JWN is a stock that’s going to move substantially lower when it’s all said and done.

Boomers are retiring, Gen Xer’s are opting for value, and the Millennials appear to prefer more of those specialty online retailers, rather than walking into a Nordstrom’s for what used to be a class statement of sorts. And, with the Company’s lofty valuation metrics, high debt levels, and hardly exciting online retail efforts, we do see JWN inevitably becoming the likes of Sears, JC Penny and so many others…

Best Penny Stocks To Own Right Now: Brocade Communications Systems Inc.(BRCD)

Advisors’ Opinion:

  • [By Lisa Levin]

    Broadcom Limited (NASDAQ: AVGO) and Brocade Communications Systems Inc. (NASDAQ: BRCD) disclosed a definitive deal through which the former would acquire the latter for $12.75 a share in cash. This would translate into a valuation of about $5.9 billion, including $0.4 billion of net debt.

Best Penny Stocks To Own Right Now: Rowan Companies Inc.(RDC)

Advisors’ Opinion:

  • [By Ben Levisohn]

    Go back a year, and offshore drillers like Noble (NE), Rowan (RDC), Transocean (RIG) and Atwood Oceanics (ATW) had been all but written off–until they weren’t anymore. Since then, investors have been rewarded for picking winners in the group from the losers, as Atwood Oceanics has more than doubled, Transocean has gained 34%, and Rowan has risen 42%, while Noble and Diamond Offshore Drilling (DO) have dropped 13%.

  • [By Jon C. Ogg]

    Rowan Companies plc (NYSE: RDC) closed up 15.1% at $17.84 and the 5.2 million shares traded was just 1.3 times normal trading volume. Rowan has a consensus analyst price target of $15.04 and a 52-week trading range of $10.67 to $20.88. The company has a total market cap of $2.2 billion.

Best Penny Stocks To Own Right Now: Tyson Foods Inc.(TSN)

Advisors’ Opinion:

  • [By Peter Graham]

    A long term performance chart shows shares ofmid cap Sanderson Farms more than doubling in value while large cap Tyson Foods, Inc (NYSE: TSN)has more than tripled in value and mid cap Pilgrim’s Pride Corporation (NASDAQ: PPC) has quadrupled in value:

  • [By Peter Graham]

    A long term performance chart shows shares ofmid cap Sanderson Farms more than doubling in value while mid cap Pilgrim’s Pride Corporation (NASDAQ: PPC) and large cap Tyson Foods, Inc (NYSE: TSN) have been even better performers albeit shares are below previous highs and have been somewhat volatile:

  • [By WWW.THESTREET.COM]

    Cramer recalled buying Tyson Foods (TSN) for the trust in 2015 after the company acquired Hillshire Brands in 2014. The thinking was to get in early before others realized how transformative the merger would be.

  • [By Elizabeth Balboa]

    It’s the same mentality that drove Tyson Foods, Inc. (NYSE: TSN), known primarily for its poultry, beef and pork products, to invest last year in pea protein company Beyond Meat, which produces vegetarian burgers.

Best Penny Stocks To Own Right Now: Transocean Inc.(RIG)

Advisors’ Opinion:

  • [By Teresa Rivas]

    Transocean (RIG) is rising Thursday afternoon, thanks to an upbeat fourth quarter.

    Agence France-Presse/Getty Images

    The oilfield services company said it earned 63 cents a share (a figure that excludes $13 million in net unfavorable items), well ahead of the nickel a share in earnings analysts expected. Revenue fell 47.4% year over year to $974 million, also above the $806 million consensus estimate. Transocean said its contract backlog was $11.3 billion as of its February fleet status report. Raymond Jamess Praveen Narra and J. Marshall Adkins reiterated an Underperform rating on the stock following the report. They praised the companys ongoing cost controls and strong revenue efficiency, which they expect to continue. But still arent ready to recommend the stock amid a difficult macro backdrop. More detail from their note:

    Transocean continued to minimize costs and maximize efficiency amid a challenging offshore environment, reporting 4Q16 adjusted EBITDA of $414 million, higher than our estimate of $363 million and consensus of $394 million. The beat was driven by lower than expected costs of $344 million (adjusting for favorable litigation), which came in ~12% lower than our estimate of $385 million and guidance of guidance of $375-385 million. Total revenue efficiency came in at 100.3%, as it was boosted by bonus incentives and possibly effective results from the new contracting model, particularly in the high-spec jackup market. The beat to our estimates was also driven by higher than anticipated revenues, which came in at $805 million, above our estimate of $788 million, but below the consensus estimate of $812 million. We note, our adjusted revenue excludes $169 million in early termination fees during the quarter.

    The shares are up 6.6% to $14.16 in recent trading, although theyre down 4% year to date.

  • [By Ben Levisohn]

    Shares of Noble have jumped 12% to $7.41 at 2:58 a.m. today, and it’s success has helped boost offshore drillers across the board. Transocean (RIG) has advanced 1.6% to $13.41, Ensco (ESV) has gained 5.8% to $10.73, and Diamond Offshore Drilling (DO) has risen 4.5% to $17.43.

  • [By Paul Ausick]

    Transocean Ltd. (NYSE: RIG) dropped about 5.4% Wednesday to post a new 52-week low of $7.48 after closing at $7.91 on Tuesday. The stock’s 52-week high is $16.66. Volume of more than 20 million was about a third higher than the daily average of about 16 million. The company announced Tuesday that it had agreed to buy Norwegian firm Songa Offshore for $3.4 billion, including $2.3 billion in Songa’s debt. Investors don’t like the deal.

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