How Southwest Airlines, Baidu, and Western Digital Set New Highs Today

These three stocks hit new yearly highs on Tuesday. Find out why.

Jul 1, 2014 at 7:10PM

On Tuesday, stock markets went through the roof, with most major-market benchmarks hitting new all-time or multi-year highs on optimism that the second half of the year will enjoy stronger economic growth than the first half did. In the wake of the melt-up, which sent the Dow up triple digits on the day, hundreds of stocks hit new yearly highs. Yet among the more impressive of the gains were those of Southwest Airlines (NYSE:LUV), Baidu (NASDAQ:BIDU), and Western Digital (NASDAQ:WDC), which set new highs with more assertive moves.

Source: Southwest Airlines.

Southwest Airlines jumped more than 3% as the airline started offering international service to Caribbean nations for the first time in its long and storied history. Southwest passengers will be able to fly to Jamaica, the Bahamas, and Aruba, and the airline has taken the opportunity to promote its vacation bundles to customers in order to get passengers used to thinking of Southwest as a Caribbean travel option. The move is just the latest in the benefits that Southwest has gotten as it integrates its AirTran acquisition, and Southwest expects to add Mexico and the Dominican Republic later this year.

Baidu rose almost 2.5% as investors anxiously await the initial public offering of Chinese Internet giant Alibaba. Recently, Baidu has seen its market share in the Chinese Internet search arena continue to fall, with latest figures from the first quarter showing that its page-view share dropped below the 60% mark while rival Qihoo 360 jumped above 25%. Yet if Baidu can use its broader array of services, including its greater focus on mobile applications, to its advantage, then Qihoo's challenge could eventually become moot as users gravitate away from PC-based search and toward using mobile devices more prevalently.


Source: Western Digital.

Western Digital gained more than 2% as the maker of hard-disk drives and other storage solutions earned positive comments from stock analysts. In particular, investors see the potential for big gains from both Western Digital and its main hard-disk rival, pointing to the possibility of much higher margins than most investors expect to see. Already, we've seen positive comments throughout the tech space pointing to unexpected gains in PC sales from the need to upgrade unsupported operating-system software. Many of those PCs will have hard-disk drives, helping push sales high and extending the lifespan of Western Digital's hard-disk products. At the same time, Western Digital has seen the need to update its offerings, with efforts to come out with solid-state drives and hybrid drives to provide speed and efficiency to those who can afford to pay for the more expensive storage options.

Leaked: Apple's next smart device (warning -- it may shock you)
Apple recently recruited a secret-development "dream team" to guarantee that 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 even claiming that its everyday impact could trump the iPod, iPhone, and the iPad. In fact, ABI Research predicts that 485 million of these devices 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 to see Apple's newest smart gizmo, just click here!

Dan Caplinger owns shares of Apple. The Motley Fool recommends Baidu and Apple and owns shares of Apple, Baidu, and Western Digital.. 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.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.


Compare Brokers