Why Tesla Motors, Williams Companies, and Nuance Communications Jumped Today

The major stock-market benchmarks didn't move much, but it was far from a quiet day. Find out more about what made these stocks soar.

Jun 16, 2014 at 8:05PM

The stock market didn't move far in either direction on Monday, as investors struggled to reconcile different takes on market sentiment and crosscurrents in the news flow. Many people seem increasingly concerned about the rising tide of bullishness in the market, but so far, every modest decline has been followed by a solid bounce. Moreover, positive news from high-profile stocks have set a positive tone among many investors, with Tesla Motors (NASDAQ:TSLA), Williams Companies (NYSE:WMB), and Nuance Communications (NASDAQ:NUAN) all jumping substantially today.

Source: Tesla Motors.

Tesla Motors climbed almost 9% on reports that major car companies might be willing to join forces with the electric-car specialist to standardize the way that such cars are able to recharge their batteries. Investors met Tesla's announcement last week that it would open up its intellectual property with some skepticism, as it wasn't initially clear which direction Tesla expected to go with the help of others. Yet given that the major impediment to wider-scale adoption of electric vehicles has been a lack of convenient ways to extend driving range, potential help in creating a network of supercharger stations could lead many more customers to consider purchasing Tesla vehicles in the future.

Energy giant Williams Companies jumped 19% after announcing that it will take full control of the general partnership interests in the Access Midstream Partners master limited partnership in a transaction with its current joint-venture partner. Williams will pay $6 billion in cash for Access, ending up with half of its limited partnership units as well. But the deal for investors will be even better, with Williams promising that its own master limited partnership will boost its distributions by almost a third as a result of the merger. MLPs have huge tax advantages that have motivated past deals, and Williams hopes to get the most from the structure in order to cash in on the boom in the domestic energy market.


Source: Nuance Communications.

Nuance Communications rose about 10% on news that the company behind the Siri voice-recognition application is looking to sell itself. With Nuance looking at a major smartphone provider as well as several private-equity firms, the big question for investors is whether the company will be successful in finding the right buyer at the right price. Despite its well-known product offerings, Nuance has had trouble making money lately, and it's uncertain how much lasting power the company's best-known products actually have. After today's jump, it'll be even harder for Nuance to find an interested acquirer, but for a company with the right fit, a buyout could make a lot of strategic sense.

Leaked: The next smart device (warning -- it may shock you)
A secret-development "dream team" was meant to guarantee that the 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 this 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 the newest smart gizmo, just click here!

Dan Caplinger has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Nuance Communications and Tesla Motors. 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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