J.C. Penney Releases Holiday Sales Numbers; Renren Rallies

Walt Disney stock ends as blue chip bigshot as the Dow Jones edges higher before Janet Yellen speaks

Feb 10, 2014 at 6:16PM

Although we don't believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes -- just in case they're material to our investing thesis.

Wall Street has its proverbial first date with Federal Reserve Chairwoman Janet Yellen tomorrow. Yellen will speak before Congress for the first time since taking the top spot at the central bank from Ben Bernanke on Feb. 1. Stocks were a bit nervous about how it would go for much of the day, but after applying some cologne and talking to itself in the mirror, the Dow Jones Industrial Average (DJINDICES:^DJI) ended with gains on Monday. While the Dow finished in the black, it added just 7 points, or less than 0.1%, to end at 15,801. 

In courting Yellen tomorrow, Wall Street will want to know things like: "Do you even like quantitative easing?" "Are you committed to it for the long term?" and "How big is this stimulus package going to be?" or "How long will it last?"

Walt Disney (NYSE:DIS) stock has all the ingredients it takes for companies to last a long time. My colleague Chad Henage thinks Disney has an entertainment pipeline that allows it to keep clobbering the competition for years to come, and I tend to agree with him. So does Wall Street, which sent the stock up 1.8% today; shares are up more than 10% in the past five sessions, as investors continue to applaud Disney's blowout fourth quarter.

Shares of J.C. Penney (NYSE:JCP) also posted nice gains Monday, adding 3.6% in trading after finally releasing its holiday same-store-sales figures. Many shareholders feared same-store sales growth would be a catastrophe when the department store infamously issued a terse press release about its holiday sales last month -- a press release that included no specific numbers about its holiday sales. Now we know that J.C. Penney's same-store revenue grew by 3.1% in November and December from the same period in 2012, which isn't setting any records, but still gives some hope that the company is on the right path once again.

Lastly, shares of Chinese social networking website Renren (NYSE:RENN) tacked on 5.6% Monday on heavy trading volume. An acquisition offer by e-commerce giant Alibaba to purchase AutoNavi Holdings gave Chinese tech stocks a lift today. The offer doesn't, strictly speaking, affect Renren, which already sold off the remaining portion of its daily deals site Nuomi.com to search giant Baidu in January.

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John Divine has options on J.C. Penney. You can follow him on Twitter, @divinebizkid, and on Motley Fool CAPS, @TMFDivine.

The Motley Fool recommends and owns shares of Baidu and Walt Disney. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

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This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

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David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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