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6 Stocks to Watch for 2014

In recent months many Wall Street analysts have been reviewing various companies whose share are selling rather low but are showing some of the best market promise. There are various reports and various industries that brought together to see how likely it is that the company’s market value will rise over time. Here are 6 stocks to watch for the remainder of 2014 that could offer you upwards of 100 percent increases before the end of the year.

One: Pacific Ethanol Inc.

Pacific Ethanol Inc. is part of another company that is called Cowen, which has invested in the creation of a clean technology stock. The stock was targeted to sell by Cowen’s standards at 29 dollars per share at its initial public offering. On Tuesday the shares were selling at about 30 dollars per share but dropped off yesterday by 6 percent to about 13.96 dollars per share. Wall Street analysts believe that this sharp drop in price is only temporary and that the company’s share price will double before the end of the year. The current 52 week trading range is between $2.33 through $29.97.

Two: Wet Seal Inc.stocks 1

In early September when this stock went public the targeted price was of about $1.50 per share but ended up selling for 75 cents per share. That price has since dropped and currently the stocks are selling at 52 cents per share since the last day of September when the price of the shares saw a 5 percent drop in value. Wet Seal has a 52 week range from about 50 cents to about $4.11 per share. Many investors are cautious when dealing with this stock because of its rather sharp and dramatic decreases in such a short time. Analysts warn that with any low priced and small cap stocks tend to be the most risk based investments, those same market analysts believe that this particular stock has the ability to grow by 50 percent by the end of the year. Some think that the stock’s worth could rise as much as 100 percent in the same amount of time, which is why this stock is one of the 6 to watch for the remainder of the year.

Three: Repros Therapeutics Inc.

Repros Therapeutics was mentioned in a report by Merrill Lynch that was released on September 29th. The firm reported that the company’s shares were valued at a target of 24 dollars per share. The close out price for the shares are at about $9.90 which translates that the stocks are looking at about 140 percent increase in price if Merrill Lynch is correct in its assessment. While one may think that 24 dollars per share is high, it is still less than what Repros the company had set as the market value of their targeted share price at 28 dollars per share. The 52 week ranges from $8.64 to about $27.52 per share.

Four: Penn Virginia Corporation

The Penn Virginia Corporation is an independent gas and oil company that is focused on developing the Eagle Ford Shale plant in Texas. The targeted value for this stock has been valued at about 28 dollars per share and is selling currently at just under 21 dollars per share. Shares were sold by the end of September at $12.71 per share and have a 52 week trading range of $6.50 to about $18.20 per share. This stock’s value might be the closest one on the list to aggressively hit its targeted value in such a short time and retain that value as well.

Five: Nxt-ID Inc.

Nxt-ID is a company that has seen a 7 percent rally rise in the market value of their stock. Initially the shares were lowered due to the announcement of Apple Pay but saw a slight increase in the value of their stock prices. Nxt-ID shares have traded with a 52 week range between $1.36 to about $7.25 but had increased slightly due to the announcement that the company had received a rise in capital. If the company is able to reach its targeted goal in overall worth, shares would be looking at an increase of up to 134 percent.

Six: Scorpio Bulkers Inc.stocks 2

Scorpio Bulkers is a shipping company that transports both major and minor bulk commodities which includes coal, ores, fertilizers and grains across the globe. Many investing analysts have agreed that shipping and transportation companies are some of the safer investments amid current international tensions and Scorpio Bulkers is one of those companies. The Deutsche Bank has given a solid value of 12 dollars per share for the stock which at the end of last week had close at about $7.21 per share. The stock closed at $5,92 yesterday and has a 52 week range of about $5.75 to about $10.73.

While many of these companies are worth watching it is important to note that these observations are not market guarantees. However all the companies involved have shown both difficulty and success, and are currently suggesting double if not triple their current values by the end of the year.

 

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Fantex IPO Debuts Well Amid Skepticism

Fantex Holdings which debuted the stock of Vernon Davis yesterday saw a 20 percent increase in value for its initial public offering. A few investors came out an purchased the widely debated personal stock of the San Francisco 49er tight end, allowing many to see that the eight year veteran NFL star may have a more profitable career in years to come. The stock traded at $12 dollars per share when it closed Monday but only sold 496 shares of the 421,000 shares offered leaving many questioning the long term profits that could be made.

How Fantex Profits

Fantex is poised to earn between $1.2 million dollars and $1.4 million dollars from Davis’ this deal via his salary and other professional income. Much of the IPO shares were purchased by individual investors which has given Fantex Holdings some ground to work on, since their parent company promised to buy up some 200,000 shares if need be. While that wasn’t the case needed, it did also bring on some concern that the IPO might not do well. Fantex analyzed the longevity of tight ends who have played in the NFL over the last decade and came to the conclusion that Davis would be able to play in the NFL for a total of 14 years. With roughly 6 years left to play, pending there aren’t any major injuries or contract signing issues, the company says there are plenty of venues in which investors can profit. Similar stocks are planned to be offered for Houston Texans running back Arian Foster and Buffalo Bills quarterback EJ Manuel. The current deals are only for NFL players, but Fantex is quickly trying to expand its reach and ability to sell shares of other athletes in a various degree of sports.

How to Buy

The stocks is only being traded privately via Fantex online. And there are other restrictions as well. Only investors living within the 16 approved states are allowed to buy into these stocks, inclusive of New York, Pennsylvania, California, and Illinois. Davis isn’t allowed to publicly sell his stock until late May.

The Historic Shift in Tradingfantex

The concept of trading stock, purchasing and selling stock based on a branded image of an athlete has brought much skepticism on itself. The idea was introduced over a year ago by Fantex Holdings and became a reality yesterday. Fantex CEO Buck French thinks the move is a historic one that will change the financial way in which sports investing will work from now on. However there is much debate over the legitimacy of buying stock on one’s personal and professional brand image. The biggest issue comes from skeptics wondering if this concept in application is nothing more than a ploy to gain on avid sports fans.

 
Many wonder how serious investors can place money into an idea like this. Not just for the lack of an established historical trading line, or the idea that one can put a profitable price on athletes or perceived performance over a career but how to gain a profit? Specifically towards investing in Vernon Davis who has become one of the top tight ends in the NFL is still nearing the age that most players retire at. Many question whether or not investing in Davis personally is safe or even worthwhile. Since age is a prevailing factor in his long term ability to make money both from endorsement deals or the ability to physically elongate his career. Can Davis increase his current stats or will the team be able to win a Super Bowl before the end of Davis’ current contract also have come into question, as many wonder if he’ll be able to resign at all. All of these questions and doubts are leading skeptics to question the legitimacy of trading Davis’ stock.

 
It is currently estimated that Davis will need to acquire anywhere from $33 million dollars or better of a contract in order for the first wave of investors buying shares up at even $12 dollars per share to be able to turn any kind of profit on the investment. Since Fantex Holdings is poised to gain over $1 million dollars just on Davis’ current contract, many are left wondering if this is a worthwhile investment for many or any for that matter, outside of the company. Amid all of this skepticism, it is noteworthy to mention that while the shares undersold in numbers, they did in fact gain $2 dollars in value just on their initial offering leading many to see potential in this new kind of investing. Any kind of investing is a risky business because of both a volatile market or the risk that comes from the uncertainty of success. What everyone can agree on when it comes to more traditional forms of investing or more modern newer ideas and concepts is that without adopting some sort of risk, there can be no great rewards.

 
Let us know how you feel about investing in individual athletes, worthwhile or too risky?

 

 

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Investing in Pro Athletes

Investing in anything can be a gamble especially when the ability to turn a profit on that initial investment of your hard earned money is questionable at first glance. The concept of investing in professional athletes is not a new concept but is for the first time in history becoming a reality. Fantex Holdings announced yesterday that it would introduce the first ever sale of the San Francisco 49ers tight end Vernon Davis, would go on sale Monday April 28th. This will be the first time athletes will be able to sell stock on their personal brands, branching investing into a whole new realm.

How does one invest in a Pro Athlete?investing in pro athletes

Starting Monday, April 28th Vernon Davis will be selling stock, in himself. The National Football League owns the rights to his likeness when it comes to advertising for the NFL and NFL related fundraisers. Davis is essentially selling off shares of his personal worth to investors that are interested in buying shares that will be sold off at $10 dollars per share. While the shock of this pending transaction is still fresh in our minds, it is important to see this investment as a potentially explosive money making opportunity. The overall worth of these professional athletes isn’t any different than if a company offering a product or service, was looking to sell off shares of ownership in order to gain capital.

Vernon Davis was a sixth overall pick in 2006 and signed a five year extension contract with the 49ers in 2010. He has been named to the Pro Bowl twice during his eight season tenure in the NFL. Davis’ success isn’t only limited to the football field, he is also the owner of an art gallery and a Jamba Juice franchise. Fantex Holdings is currently holding Davis’ IPO and offering to sell 421,000 shares pending the approval by the Securities and Exchange Commission.

Will it work? Can it work?

Fantex thinks it can work. To the holdings company and the investors behind it, this move is the next natural progression from the already widely popular fantasy football leagues. Investors will be able to purchase their shares of these pro athletes only through a closed exchange on fantex.com. Investors then are claiming a financial stake in the success of an individual’s branded income which is not limited to endorsement money either during or after the professional career, team contracts, or anything related to the brand name or image of the athlete. Earlier in the month prior to the Vernon Davis announcement, Fantex had endorsed the same deal when it signed Arian Foster into the program. Foster, the running back for the Houston Texans IPO will offer 1.06 million shares also selling at $10 dollars per share.

investing in pro athletesFantex is 100 percent behind allowing investors to be able to invest in the brand image of pro athletes. Fantex’s CEO Buck French told Forbes.com, “If there are any shares left outstanding, then Fantex Holdings will take over whatever the delta is…We are happy to put our money where our mouth is.”

If successful, Fosters deal will guarantee him $10 million dollars and in turn Fantex will get 20% of his future earnings. Davis’ deal is slightly smaller, granting him $4 million dollars up front and giving Fantex 10% of his future earnings. The way this whole concept works is all dependent upon its success. The key to these shares gaining worth comes from their ability to gain momentum by creating residual income for all investors involved.

 

 

How does Brand Image Ownership work?

According to the holdings company, once an investor buys even a single share of a branded image of a pro athlete they own the share until or even after the athletes career. Hypothetically one can continue to own the rights to profiting off of an athlete’s branded image well beyond his or her career, even beyond their death. Buck French’s thinking on the matter is that certain athletes who achieve sports related infamy will be able to generate income well past their lives. For example take Babe Ruth, well beyond his lifetime any type of signed memorabilia continues to generate massive amounts of income. Those that own the rights to his name, fortune, or estate are the ones that will continually bank of his former greatness. According to Fantex, the same can happen now by opening up the availability of ownership when it comes to a pro athlete’s branded image.

Anytime one comes upon a new form of investing there are always reservations, but there is a difference between cautious investing and conservative investing. When it comes to investing in pro athletes, one can remain cautious and still venture out into the unknown without ruining themselves financially. It will be interesting to see where Fantex goes with this type of brand image IPO sell off and how the next evolutionary stage of fantasy football takes off as well as how it branches into other sports.

 

 

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Investing in Fun Cars

The automotive market in the last few years has become the epitome competitiveness for the industry. Once upon a time there were two types of vehicles being produced, functional and recreational. Now that performance expectations and fuel saving technology has evolved so rapidly, the market demands for fun cars has molded a new type of car. The birth of fun cars has become the product of consumer demands and industry competition, making this type of investment easy for everyone.

Who says Fun Can’t Be Functional?

Who says fun cars can’t be functional cars too. Sure there are some cars that are getting 35+ miles per gallons average, but aren’t any fun to drive. Pretty much the bulk of the fun cars that retain their functional capability are small 1.6 liter four cylinder engines with anywhere from 120 horsepower to 180 horsepower engines. Even the new Dodge Dart is offering a turbo 4 cylinder engine that gets 184 horsepower and near 40 miles per gallon. More and more manufacturers are investing in smaller better performing engines that pack a punch when you need that boost of speed, but not the consumption when you’re just tapping the gas pedal.

Fun cars can be functional. Understanding that cars are machines is key when looking to invest in a machine that you will use daily and won’t bankrupt your finances. Just as you would research any other type of investment, so too should you when it comes to buying a functional car that can be fun too. Nobody wants to hate buying a long term investment so that they can regret it for the term of the investment. In the U.S., often the coming of age for many teens is when they hit the legal driving age because with the license so too often comes the car and the sense of freedom.  That freedom doesn’t end with your teenage years, so investing in a car that is both functional and fun to drive should be a goal when searching for a car to buy.

fun cars

Hatchback Heaven

The mid 1980’s through the early 1990’s saw sub compact cars as a commuters best friend. Of course there were the gas guzzling monsters that dominated the roads as well, but for the most part cars like the Neon, Sunfire, Civic, or Sentra were cheap and cost effective. Now the market demands has shifted. With gas prices constantly on the rise, many people that had traded in their sub compacts for bigger trucks and SUVs are finding themselves looking for smaller more affordable cars. This is where the current market demands have shows industry leaders that the consumer mentality has changed into the desire for bigger smaller more efficient cars.

Hatchbacks have become the new car to have when looking for a fun car that is fuel efficient and functional for all walks of life. The new designs have made their way into the Prius, Versa Note, Focus and Fiesta models have all taken on this new sense of functionality. People are downsizing in size, not expectations. Smaller engines are being put into these cars, but their performance is still expected to be up to par.

Even The Muscle Cars Show Promisefun cars 1

Even the pony cars are showing a functional and fun side. Let’s be honest the muscle cars always had that fun appeal, but it was their functionality that killed the sale with many drivers. However with the fuel saving technology that has been introduced into the manufacturing side in the last few years may have saved American muscle. The Ford Mustang has gone through a variety of redesigns since the early 2000s. None more influential than the last two redesigns which have allowed the iconic muscle car over 300 horses under the hood and averaging 25 miles per gallon on the highway. The new Dodge Charger is offering a 6 cylinder engine that too boasts 300 horses under the hood, four doors like any other sedan and up to 31, miles per gallon highway. Only a few years ago such performance numbers per gallon was virtually unheard of. It is now possible to own a fun car and have it also be a safe and sound investment.

When it comes to investing in a fun car, you can have some peace of mind knowing that there is no reason to feel guilty in wanting something both functional and fun to drive. Going against the old adage, now when it comes to investing in fun cars, you can have your cake and eat it too. Or in this case, you can drive a fun car and afford it too. Fun cars are here to stay, the market has proven they are a sound investment and the consumer trends have proven to the car manufacturers that this is the way they too should invest.

 

 

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Is Land Still A Safe Investment?

Land has always been a god investment. One of the most influential quotes I heard in my youth, talked about how we could make anything except more land. So as the world population continues to rise and the economy remain shaky at best, the question about land remains. Is land still a safe investment? Or has land as an investment been outplayed by the underlying costs of a bad and faltering economy? Can you invest in land safely or are you playing a fools game?

Investing in land

Investing in land isn’t a bad idea. In fact it can be a great idea when you are educated in what to look for and the types of land available. Just as you would do research before investing in any company stock, the same tenacity should be applied when looking to buy land. And it is important to understand the terminology as well, because by investing in land doesn’t just restrict your investment to land, but to the property and buildings attached. With that aside, diving into buying up property based on outdated advice is a very, very bad idea. While the quote above about land is true, what it fails to take into consideration is location, cost, and market inflation. I had a friend of my family that invested in buying up 10 acres of land is south east Florida. 10 acres, all connected to each other, and only about a block from the beach. He bought it before the housing market collapsed and held onto it all for the last couple of years having a hard time unloading it. He ended up selling all 10 acres for less than $1,000 dollars per acre. His unfortunate invest has taught me a valuable lesson, research town development when buying or investing in land.

Knowing what to look forland

If you conduct your research and see the tell tale signs of economic development being slowly introduced into an area, then your investment will pay off. Signs of economic development would be a major highway system either being rerouted through the area or being built running through it. Are there medical treatment centers, pharmacies and banks popping up or already under construction? All of these signs are great leads to look for when thinking about investing in property because it shows a possible investor that the town will be pouring money into development. Your key to success when buying land is understanding how to turn a profit on your investment. So just as you are looking for a stable yet growing stock to invest your money in, the same applies to land. If the area around your investment is modernizing and being built up and better funded, you are more likely to be able to turn a profit on your initial investment.

Once upon a time, the key to turning a profit on a land investment was by buying up undeveloped property with the hope that a builder or contractor would come along and buy out your land. And that still may be the case, but location is key. By understanding what to look for as far as township or county plans for modernizing, you can give yourself a leg up before spending money. A successful investor is the one who researches before a sale, not one who pours money into an investment after the purchase is made.

Cost of the economyland

The cost of the economy has definitely taken its toll on those who invest in land and those who currently have land investments already. The biggest issue when it comes to investing money in land, is that when it comes to selling the land, that process can take time. With stocks, if you want to sell them, regardless of price, you can sell them almost instantly. Land however, takes time. The only difference is that you can tie up money in land and sell it off when the market and demand shifts upwards. But with the economy and the job market shaky at best, the once surplus in spending cash has made land sales difficult at best. This economy has left many people land rich and cash poor, unable to pay their bills and mortgages (yes you can mortgage land in some states too).

Depending on who you ask, will give you a difference in opinion. Investing in land may not be the most sound investment if you are looking to turn a quick profit. However, if you are looking at a long term profit with the ability to gain a residual income by developing the land purchased, then investing in land may be for you. Categorizing land as a safe investment would be dependent on who you ask, but the research you put in prior to the sale would give you the best chance to invest safely to begin with.

 

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3 Steps to Wealth Build

The difference between every generation’s financial successes or failures usually comes down to how they saved and spent. The current generation has taken a bad rap while inheriting one of the worst economic depressions in recent history. Success and failure is often measured by the implementation of knowledge, which makes knowing how to wealth build a key to securing one’s future. Using the knowledge here can help you start putting money aside and securing you a better more financially secure future. Here are 3 steps to wealth build, all starting with your base paycheck and moving on from there.

Step One: Make a Plan

While this step may seem a little obvious, a lot of people tend to just jump right into situations or ideas without giving it the right amount of planning first. Sitting down and working out your monthly or weekly finances is a great way to help start yourself on the road to wealth building. The key term is wealth building, which constitutes that you will be accruing monetary gains for an extended period of time. Do not force yourself into thinking that this is a get rich quick scheme. The key to this first step is planning out the stability in which you will be able to sustain wealth building long term. So take your time and review your numbers, this often overlooked step is probably one of the most important.

Step Two: Put Aside MoneyWealth Build 1

Put aside money every time you get paid. Seem simple enough, right? Depending on how frequently you get paid, will really decide the percentage you may be able to afford putting to the side that won’t interfere with living expenses. If you get paid weekly, you might be able to put aside as much as 15% of your weekly income. Bi-monthly perhaps only 7% to 10%, but every little bit helps because at the end of the day you are using it to build your own wealth. The most sound and practiced savings advice given to young people states: pay yourself first. The purpose being that out of all the money you are going to make to live, pay rent or your mortgage payments, and all your living expenses and bills; it is easy to forget that you are working towards a goal. That goal being not to work the rest of your life away! So the first step in building wealth is putting aside money. The purpose behind putting money aside is because you can use it to invest in yourself. This money that you are to be putting aside is not to be taken from your already allocated funds for retirement because you don’t want to lose the tax benefits that come from contributing to those funds.

Step Three: Invest in Yourself

Investing in yourself is not hard. Usually we define investing in ourselves as a long weekend or saving up for a vacation and while that too serves an important purpose, we are focusing in on wealth building. So when I say invest in yourself, I mean take the money you are putting aside and invest it in something that will appreciate over time. We are looking for stocks or bonds, or even hobbies that you can wisely invest your time and money into and see a return as profit. Whether you are looking at the more traditional ways of investing or the more current alternative ways of investing your money, it is important to understand that you are investing your money in what is essentially your future. Find something you are interested in and can turn into a long term investment, you are more likely to pay attention to how the investment will or can mature without feeling so stressed out. Often when investing in things we find interests us, we can eliminate the stress that comes with the uncertainty of what we are pouring time, effort, and money into. At the end of the day, you are looking to gain the biggest return you can on this investment, so why would you want to make that return be unneeded stress?

These three steps can help you find stability as well as success in wealth building for the rest of your working career. Understand that there is more than one way to help build wealth for your future but these three steps are to help you get there a little more wisely. Whether you choose to invest in yourself in the more traditional forms of investing or follow the trends that have been established in more recent years, do so as best educated as you can. Sometimes investing in something you enjoy is the best way to invest your money for the purpose of wealth building because you are more likely to be more invested personally than just financially.

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