These 2 Stocks Should Be on Your Radar

Last week, Jason Moser joined Barry Armstrong on his radio show Financial Exchange on WRKO AM 680 in Boston and shared two stock ideas for investors to consider today: Chipotle and Carter's.

Jun 10, 2014 at 2:08PM

Last week, I had the good fortune to join Barry Armstrong on his radio show Financial Exchange on WRKO AM 680 in Boston. Every so often, we get to talk stocks for a few minutes, and I gave him and his listeners two stock ideas that I think are worthy of your watchlist today. You can listen to our segment by clicking here. And you can read more about my choices below.

Chipotle Mexican Grill (NYSE:CMG)
One of the big topics regarding Chipotle lately has been the phenomenal comp numbers it continues to put up. For its most recent quarter, Chipotle reported comps of 13.4% -- its highest in nearly eight years. Co-CEO Monty Moran stated that the single biggest driver of Chipotle's comps today boils down to the concept itself: a great food culture coupled with a great people culture. In addition, catering and successful local advertising campaigns have also added about a percentage point each to the company's overall performance.

Throughput continues to be a source of pride for Chipotle. Management's four pillars to throughput continue to serve as a beacon, but management is always questioning how they can get better. Chipotle's highest throughput restaurants work 350 transactions per hour through the line during lunch. The average throughput overall though is less than half of that. Management sees this as an opportunity and will continue to try to capitalize on its model of efficiency.

Carter's (NYSE:CRI)
When it comes to what kids want versus what they need, well, clothing is certainly a need. And this is right up Carter's alley, as it has brands such as its namesake Carter's as well as OshKosh. As the U.S. population continues to grow, so too will the population of children, which will serve Carter's well. The beauty of Carter's versus other specialty retailers is that with the parents buying the clothes, Carter's doesn't have exposure to fashion risk like, say, teen retailers, for example.

Carter's has more than 17,000 wholesale points of distribution today with partners like Target and Costco, among others. But even better news for investors (and parents) is Carter's growing direct-to-consumer retail part of the business. With more than 650 of its own stores in the U.S., more than 100 in Canada, and a growing e-commerce segment, Carter's is not only poised for growth, but for more profitability as well.

Here's what to do next
Of course, these are just ideas, and I can't recommend strongly enough that you do your own due diligence to determine whether or not either of these ideas fit into your overall investing strategy. But both companies have market opportunities set to grow in the coming years, which is great for investors. You may just want to consider digging in a little deeper.

Keep this development on your radar, too: Apple's next smart device
Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out, and some early viewers are claiming its everyday impact could trump the iPod, iPhone, and the iPad. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!

Jason Moser owns shares of Chipotle Mexican Grill. The Motley Fool recommends Carter's, Chipotle Mexican Grill, and Costco Wholesale. The Motley Fool owns shares of Chipotle Mexican Grill and Costco Wholesale. Try any of our Foolish newsletter services free for 30 days. We Fools may not 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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