good stocks to buy now

It’s been a few months since we last talked about Energy Transfer Equity (NYSE:ETE), and a lot has happened since then. The battle to end its merger with Williams Companies (NYSE:WMB) was well fought, but now we’re dealing with protestors of the Dakota Access Pipeline and an excessively high cost of debt. Both of which are manageable and could prove to be near-term overhangs creating a buying opportunity.

At the same time that I was questioning ETE’s ethics, I did note that ETE is an enticing way to play the energy space. It’s been steadfast in not cutting its distribution (thanks, in part, to CEO Kelcy Warren’s ownership structure). The key here has been navigating its balance sheet to keep its distribution intact. That means moving away from an aggressive growth strategy to a survive and maintain one. A strategy that deviates with how Warren has grown ETE into a powerhouse in the pipeline industry. Nonetheless, he’s been ‘impressive’ with his latest initiatives.

But ETE has been forced into the spotlight thanks to the Dakota Access Pipeline. Shares are already up 40% on the year, but still well off the $30/share we saw back in 2015 – and its stock price has been relatively muted of late.

good stocks to buy now: Alliance Fiber Optic Products, Inc.(AFOP)

Advisors’ Opinion:

  • [By Monica Gerson]

    Alliance Fiber Optic Products (NASDAQ: AFOP) shares rose 7.21% to $21.70. The volume of Alliance Fiber Optic Products shares traded was 397% higher than normal. Alliance Fiber Optic lifted its Q3 revenue outlook.

  • [By Lisa Levin]

    Alliance Fiber Optic Products Inc (NASDAQ: AFOP) shares shot up 19 percent to $18.47 after the company agreed to be acquired by Corning Incorporated (NYSE: GLW) for $18.50 per share.

good stocks to buy now: Dean Foods Company(DF)

Advisors’ Opinion:

  • [By Monica Gerson]

    Dean Foods Co (NYSE: DF) is expected to report its quarterly earnings at $0.38 per share on revenue of $1.89 billion.

    Electronic Arts Inc. (NASDAQ: EA) is estimated to post its quarterly earnings at $0.42 per share on revenue of $888.78 million.

  • [By Monica Gerson]

    Analysts are expecting Dean Foods Co (NYSE: DF) to have earned $0.38 per share on revenue of $1.89 billion in the latest quarter. Dean Foods shares slipped 0.30 percent to $18.15 in after-hours trading.

good stocks to buy now: Fluor Corporation(FLR)

Advisors’ Opinion:

  • [By Ben Levisohn]

    Flour (FLR) suffered the biggest drop in the S&P 500 today after missing earnings forecasts and cutting its full year guidance.

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    Shares of Fluor dropped 14% to $44.80 today, while the S&P 500 dipped 0.2% to 2,085.18.

    MKM Partners’ Daniel Scott explains what happened:

    Fluor reported 3Q16 earnings of $0.03/share, including a big charge.Fluor reported earnings of $0.03, compared to our $0.88/share estimate and consensus of $0.87/share. The results were adversely impacted by an after-tax charge of $154 million, or $1.10/share for estimated cost increases on the CPChem ethylene cracker project. Without the charge, the quarter would have been a solid $1.13/share, which included some positive factors like low SG&A expenses. Full-year guidance for 2016 as a result was lowered yet again, now $2.20- 2.40/share compared to previous guidance of $3.25-3.50/share.

    Initial 2017 guidance disappoints. The company expects to encounter continued challenges in its commodity focused segment, and gave initial 2017 guidance of $2.75- 3.25/share. This compares to our previous estimate of $3.50/share and consensus of $3.46/share. Long the blue-chip name in the E&C space,Fluor has been particularly vulnerable to energy/commodity weakness, lowering guidance each call this year. Management sees a “lower for longer” commodity cycle continuing, which is resulting in customers seeking lower prices with higher risk transfer and some competitors displaying some irrational bidding behavior. Furthermore, the company sees continued delays in expected awards into 2017 and a lower win rate as they stick to their disciplined approach.

    Fluor’s market capitalization fell to $6.2 billion from $7.2 billion yesterday.

    In September, Pacific Crest included Fluor in a list of “four cautious engineering, construction picks.“

  • [By David Zeiler]

    Construction stocks Fluor (NYSE: FLR) and Granite Construction Inc. (NYSE: GVA) both rose about 8%; Vulcan Materials Co. (NYSE: VMC) jumped nearly 10%.

good stocks to buy now: Farmer Brothers Company(FARM)

Advisors’ Opinion:

  • [By Peter Graham]

    The Q4 2016 earnings report for small cap coffee manufacturer, wholesaler and distributor Farmer Brothers Co (NASDAQ: FARM) is scheduled for after the market closes on Monday (September 12th). Last Wednesday, our Elite Opportunity Pronewsletter suggested going long on the iPath Bloomberg Coffee Subindex Total Return SM Index ETN (NYSEARCA: JO) and shorting Starbucks Corporation (NASDAQ: SBUX) in anticipation of further upside ahead for coffee as a commodity:

good stocks to buy now: Female Health Company (The)(FHCO)

Advisors’ Opinion:

  • [By Lisa Levin]

    Shares of Female Health Co (NASDAQ: FHCO) were down 15 percent to $1.46 as the company reported that it has entered into a merger agreement with Aspen Park Pharma.