Best China Stocks To Own For 2017

Stifel’s Benjamin Mogil and Kevin Lee Hon Siong argue that investors will place less of an asterisk alongside Walt Disney’s (DIS) film earnings when they report tomorrow. They explain why:

Disney-Marvel/Associated Press

Disney’s “Captain America: Civil War” opened to a strong domestic number of $182mn, and with a very strong second week abroad and in China now stands at $497mn internationally and $687mn globally. The studio reached the domestic billion dollar mark in a record 128 days. While Cable rightfully remains in the forefront of the discussion around Disney given both its share of OI and its share of terminal value expectations, we believe that the level of consistency which the studio has shown and the sheer number of franchises it currently has in the pipeline should lead to less of an asterisk around Studio results.

Best China Stocks To Own For 2017: Navistar International Corporation(NAV)

Advisors' Opinion:

• [By Roberto Pedone]

   

  Another industrial player that insiders are snapping up a large amount of stock in here is Navistar International (NAV), which is a manufacturer of commercial and military trucks buses, diesel engines, and recreational vehicles under the Monaco RV family of brands, as well as a provider of service parts for all makes of trucks and trailers. Insiders are buying this stock into big time strength, since shares are up 67% so far in 2013.

  Navistar International has a market cap of $2.9 billion and an enterprise value of $6.4 billion. This stock trades at a premium valuation, with a forward price-to-earnings of 50.50. Its estimated growth rate for this year is 7.2%, and for next year it's pegged at 107.1%. This is not a cash-rich company, since the total cash position on its balance sheet is $1.09 billion and its total debt is $4.72 billion.

  A director just bought 415,101 shares, or about $14.12 million worth of stock, at $33.90 per share.

  From a technical perspective, NAV is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock recently started to break out above its sideways consolidation pattern after shares cleared $35 to $35.90 a share. That move is now pushing shares of NAV within range of triggering another near-term breakout trade.

  If you're in the bull camp on NAV, then look for long-biased trades as long as this stock is trending above $35 to $34, and then once it breaks out above some near-term overhead resistance levels at $37 to its 52-week high at $38.81 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 1.21 million shares. If that breakout triggers soon, then NAV will set up to enter new 52-week high territory, which is bullish technical price action. Some possible upside targets off that move are $43 to $48 a share.

• [By Lisa Levin]

  
  Benzinga's newsdesk monitors options activity to notice unusual patterns. These large volume (and often out of the money) trades were initially published intraday in Benzinga Professional . These trades were placed during Monday's regular session.

  Navistar International Corp (NYSE: NAV) Jun16 10.0 Puts Sweep: 902 @ ASK $0.35: 15k traded vs 1749 OI: Earnings Today Before Open $12.22 Ref ConocoPhillips (NYSE: COP) Fri 6/10 44.5 Puts (Wkly): 2000 @ ASK $0.43: 4051 traded vs 80 OI: $44.87 Ref SeaWorld Entertainment Inc (NYSE: SEAS) Sep16 17.0 Puts Sweep: 683 @ ASK $1.40: 2749 traded vs 313 OI: $16.52 Ref

  Posted-In: put optionsNews Options Markets

Best China Stocks To Own For 2017: Avid Technology Inc.(AVID)

Advisors' Opinion:

• [By Monica Gerson]

  Avid Technology, Inc. (NASDAQ: AVID) is estimated to post its quarterly earnings at $0.36 per share on revenue of $144.02 million.

  Consolidated Water Co. Ltd. (NASDAQ: CWCO) is expected to post its quarterly earnings at $0.11 per share on revenue of $15.15 million.

Best China Stocks To Own For 2017: Frontline Ltd.(FRO)

Advisors' Opinion:

• [By Lisa Levin]

  In trading on Wednesday, energy shares fell by 1.72 percent. Meanwhile, top losers in the sector included Clean Energy Fuels Corp (NASDAQ: CLNE), down 5 percent, and Frontline Ltd. (NYSE: FRO), down 7 percent.