3 Companies Moving the Stock Market Today

Home Depot, World Wrestling Entertainment, and J.C. Penney finish as big movers Monday.

May 19, 2014 at 6:38PM

Stocks ended mostly higher on Monday, led by gains in the tech and health care sectors. Although a lack of new economic data made for mostly smooth sailing in the stock market today, shares of Home Depot (NYSE:HD), World Wrestling Entertainment (NYSE:WWE), and J.C. Penney (NYSE:JCP) each ended as notable laggards. The Dow Jones Industrial Average (DJINDICES:^DJI), for its part, added 20 points, or 0.1%, to end at 16,511.

Home Depot stock lost 1.1% -- ending as the worst performer in the Dow today -- as investors got the pre-earnings jitters. First-quarter results certainly won't send the stock rocketing higher if climatic conditions are any indication. The harsh winter weather seriously affected economic activity and especially walloped the housing market, which Home Depot relies on. Investors should be optimistic, however, about what the number of housing starts in April means for home improvement retailers. Developers broke ground on 13.2% more projects in April than they did in March, as springtime reignites the rapid growth in real estate we've seen in the recovery.


John Cena lays siege to an opponent in a WWE match. Source: WWE

As if Friday's 43% smackdown weren't enough, World Wrestling Entertainment shares went on to lose another 2.8% on Monday after a conference call with management confirmed what Wall Street already knew. Vince McMahon -- the WWE CEO who often plays a central role in the wrestling performances that define his company -- said the deal WWE reached with NBCUniversal last week made management "a little disappointed." The market was severely disappointed, however, as the broadcasting deal, worth around $200 million per year, was far less than expected.

Lastly, J.C. Penney stock shed 3.8%, pulling back after Friday's explosive 16.3% rally on the heels of first-quarter results. But Wall Street research firm Maxim Group gave shares an unflattering evaluation today, saying it thought the stock would trade "perhaps at irrationally high levels, in the direction of momentum" over the short term. Ignoring short-term prognostications for a moment, J.C. Penney's first quarter was downright impressive, so much so that my colleague Rich Duprey even declared Penney's "back from the dead." Still, it's always nice to see a company start actually turning a profit before giving it a full vote of confidence.

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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 Home Depot. 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.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

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.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

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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