Category: Stock Option Advisory

According to a recent article in the Wall Street Journal, “Civilian air-traffic computer networks have been penetrated multiple times in recent years”. The article goes on the describe a disturbing incident in which hackers stole a network administrator’s password and used it to install malicious code on air traffic control computers. Security experts have identified vulnerabilities in current air traffic control software, 763 of which are classified as “high risk”. The potential for hacker to gain access to air traffic control has both the airline industry and the FAA worried about security. The question looming large in the minds of our legislators is, “What could happen if terrorists were to gain access to air traffic control systems?” Of course the question investors are asking is, “Which companies will benefit from the new air-traffic control upgrade?”

We live in an age and environment when, no matter what threat we face, there are organizations that stand to benefit. The current swine flu outbreak (more scientifically known as H1N1) is no exception. Several large international companies are well placed to gain from what is now being referred to as a pandemic. The two essentials in combating this flu will undoubtedly be diagnostics and treatment via antiviral drugs and vaccines.

The Federal Communications Commission, with the support of the Obama administration, has made a commitment to make high-speed, broadband Internet affordable and available to everyone. This initiative is part of the Obama administrations’ plan to help spur economic growth by creating jobs and encouraging innovation. The companies who are most likely to benefit from the implementation of this plan are AT&T Inc. (T), Verizon Communications (VZ), Windstream Corp. (WIN), and General Cable Corp. (BGC).

The fears of an imminent bankruptcy for both General Motors (GM) and Chrysler are already having effects on their sales numbers. In March, Chrysler experienced a 39% decline in sales, GM experienced a 45% decline in sales and Ford Motors (F) experienced a 41% decline in sales. Overall, the number of units sold currently stands at 9.86 million units on an annualized basis. This pales in comparison to the yearly average of 16.8 million units sold in the last decade.

Competition is good. It drives innovation and rewards superior effort. In the current tough economy however, lack of competition is better. Best Buy (BBY), the electronics retailer, has skills honed by competition, and now it also has the advantage of watching its strongest competitor go out of business.

The Congressional wrangling is over, the final House of Representatives and Senate votes tallied, the President’s signature affixed: $789 The American Recovery and Reinvestment Act of 2009 is now law. Among the major earmarks this broad economic stimulus package designed to revitalize flagging industries, the so-called “shovel ready” ones are well represented. $27 billion has been set-aside for highway construction alone, no doubt to the relief of Caterpillar (CAT) the financially struggling manufacturer of earthmoving, construction and material-handling machinery.

Whether you are an experienced financial investor or new to the game, here are five books that will improve your skills in any economy.

With unemployment approaching 7%, people are going to be looking for new ways to enhance their credentials and make themselves more attractive to employers. One of the most popular ways to do this is by going back to school or continuing your education. Employers are always looking for skilled workers who have some formal education in their background. Since most individuals who are being laid off are not likely to attend a typical four-year college or university, most will turn to a more convenient, and in most cases a more cost-effective option; online universities.

In a market where General Motors (GM), Ford (F) and Chrysler collectively known as the Big Three were once part of the booming American auto industry, we could be standing witness to one or more of their final days. On Thursday, CEO’s from the Big Three requested $34 billion in government loans in an effort to avoid filing for bankruptcy. Although declaring Chapter 11 would devastate these brands, as the companies argue, it could spell the takeover of foreign automakers in the United States, and an opportunity for new investments.

With the recent financial bailout of major banks and their owners, there is no doubt the US is headed into a recession, or already in a recession. The only questions that remain is how the economy will be able to recover and turn itself around and how long it will take to do so. In 2001, after the tech bubble burst and recession loomed, the salvation came from homeowners who tapped into their home equity, thusly easing the financial burden and keeping the economy afloat and credit lines healthy. This put the country on a V-shaped, fast road to recovery by re-energizing the market and keeping values of the dollar high. After 8-months it was all over, and the economy was well on it’s way to a healthy state. However, with the recent downfall in the housing market and no light at the end of the financial tunnel, it appears…