Friday, June 18, 2010

6/18/10 Fri am Caterpillar Plans $700 Mil Expansion

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Post No. 489. The following is brought to you by Intellivest Securities Research, Inc. Toward the end of this Blog is a list of the Dow 30 current CEOs, a ranking of the Dow 30 components by market capitalization as of 6/4/10 and an update of the Dow 30 component's SEC filings as of 6/4/10.

A read of Friday's Wall Street Journal, Financial Times, New York Times, USA Today, Atlanta Journal Constitution& Daily Report (Georgia) yielded the following stories about Dow Jones Industrial Average 30 component companies and the Dow with stories about the Dow aggregated first and then items about Dow Jones Industrial Average 30 companies presented alphabetically, followed by symbol and Wednesday's stock prices and related data.

Dow:The Dow Jones Industrial Average closed Thursday at 10,434.17 up 24.71 or 0.24 from Wednesday's close of 10,409.46. For the year the Dow is up .06%. Of the 30 Dow Companies: 17 gained and 13 declined. The biggest gainer dollar-wise and percentage-wise was Travlers TRV $51.71 +0.88 1.73% 4,508,299 NYSE. The biggest decliner dollar-wise was American Express AXP $42.06 -0.28 0.66% 7,984,229 NYSE and percentage-wise was Alcoa AA $11.18 -0.23 2.02% 23,708,665 NYSE.

WSJ pC5 "Smucker Jumps 6.6%; Kroger, Aetna Climb" by Donna Yesalavich says stocks rose on a late rally despite disappointing US economic data, as gains in the euro after a successful Spanish bond auction helped firms that export to Europe, including Caterpillar, Kraft and Chevron. Caterpillar was up 0.9%, Kraft was up 0.8% and Chevron climbed 0.5%.

WSJ pC1 "DJIA Rises 24.71 in Late Reversal" by Peter McKay says after spending most of the day in the red, stocks staged a late rally to end slightly higher.

Fin Times p24 "Rally in consumer staples helps offset effect of jobs data" by masa Serdarevic says US stocks pared losses in the final hour of trading eysterday, helped by a rally in consumer staple stocks but a worse than expected jobs report stoked concerns about the pace of the economic recovery.

NYT pB7 "Wall St. manages a Small Gain Despite Reports on Job and Prices" by Christine Hauser says investors made a last minute push on Thurs. that sent stock slightly higher, overcoming new data on jobs and consumer prices that showed the pace of a recovery was likely to be modest. Procter & Gamble rose 57 cents.

USA Today "Despite bad news, stocks eke out gains" by AP says the stock market managed a slender gain Thurs. after traders shook off a pair of disappointing economic reports.

As of the open of the market Friday, the current divisor for the Dow Jones Industrial Average found at page C4 of today's Wall St. Journal is 0.132319125 unchanged, the trailing P/E ratio is 15.17 up from Thursday's 15.13 (year ago it was 12.46) the P/E estimate is 12.56 unchanged from Thursday's 12.56 (year ago it was 14.22) and the current dividend yield is 2.66 unchanged from Thursday's 2.66 (it was 3.41 a year ago). The Dow's all-time high was 14,164.53 on Oct. 9, 2007. The 12 year low close for the Dow was on March 9, 2009 when it fell to 6,547.05.

Thursday's Dow Jones Industrial Average closing numerator was 1,380.64 up 3.27 from Wednesday's closing numerator of 1,377.37. This is the sum of all 30 closing prices. A short cut to the Dow numerator is to multiply the closing Dow by the Divisor. Now, if you divide the Dow numerator increase of 3.27 for Thursday by the divisor (0.132319125) you get the increase in Thursday's Dow of 24.71. A $1 change in the price of any DJIA stock = a 7.56 change in the average.

The average closing price (the closing numerator divided by 30) of Thursday's Dow Jones Industrial Average was $46.02 up 0.11 from Wednesday's Dow Jones Industrial Average average closing price of $45.91. The median closing price of Thursday's Dow Jones Industrial Average was $40.25 down 0.18 rom Wednesday's median price of $40.43. The lowest volume was 3M MMM $81.03 +0.15 0.19% 3,970,249 NYSE and the highest volume again was Bank of America BAC $15.82 -0.05 0.32% 126,751,099 NYSE.

If Thursday morning before the market opened you had purchased 100 shares of each of the Dow Jones Industrial Average 30 shares (assuming you could buy fractional shares and assuming no transaction costs) and sold at the close you would have made $323 ($138,060 - $137,736).

MarketWatch 6/17/10 Thurs. 4:42 pm by Kate Gibson says after a late reversal, U.S. stocks ended higher on Thursday, as gains in technology helped offset the impact of mostly weak economic reports and a successful bond auction in Spain helped soothe concerns over Europe. With the euro continuing to stabilize this week, stocks were also on track for solid gains for the week. After trading lower for most of the session, the Dow Jones Industrial Average (DJIA 10,434, +24.71, +0.24%) ended up 24.71 points, or 0.2%, at 10,434.17, with 17 of its 30 components rising. Insurance giant Travelers (TRV 51.45, -0.26, -0.51%) led the gains for blue chips, while aluminum giant Alcoa Inc. (AA 11.18, -0.23, -2.02%) fell the most, off 2%. The S&P 500 Index (SPX 1,116, +1.43, +0.13%) rose 1.43 points, or 0.1%, to end at 1,116.04. Consumer staples, utilities and technology firms fared the best. The S&P 500, used as a benchmark of the broad market by money managers, is up 2.2% so far this week. The Dow industrials are also up 2.2% week to date. The Nasdaq Composite Index (COMP 2,307, +1.23, +0.05%) finished off 1.23 points, or 0.1%, to 2,307.16. The tech-heavy index is up 2.8% for the week so far. For every 14 shares rising, 14 fell on the New York Stock Exchange, where 1.15 billion shares traded. Composite volume topped 4.7 billion. On the New York Mercantile Exchange, gold futures closed at a record high $1,248.70 an ounce, while crude-oil futures fell 88 cents to end at $76.79 a barrel.
Wall Street's gaze was also trained on televised House subcommittee hearings on Capitol Hill, where BP PLC (BP 31.71, -0.14, -0.44%) CEO Tony Hayward apologized for the devastating oil spill in the Gulf of Mexico. After an initial bout of wavering, stock indexes turned lower after the Philadelphia Federal Reserve reported regional manufacturing continued to expand in June, but at a slower pace than the prior month. This Week in Mutual Funds: high-yield bondsWith signs the U.S. economy is improving, corporate bonds offer more stable income, according to ETF Trends' Tom Lydon, who talks about some investment-grade and high-yield, bond exchange-traded funds investors can consider. Jonathan Burton reports. The vexing manufacturing report came in the wake of data that had the government's count of those filing for first-time jobless benefits rising by 12,000 to 472,000 last week. Other economic reports included the index of U.S. leading indicators, which climbed 0.4% in May, indicating expansion would continue into the second half of 2010. Separately, the Labor Department reported consumer prices fell 0.2% in May for a second month in a row, pushing aside any concerns that the Federal Reserve might have to act to curb inflation. Wall Street had sputtered higher at the start after Spain sold 3.5 billion euros, or $4.3 billion, in bonds, offsetting worries that it would not be able to finance its debt.

AT&T T $25.57 +0.05 0.2% 23,616,831 NYSE: WSJ pB3 "Sides Form as FCC Begins Internet Regulation Effort" by Amy Schatz says the FCC launched a formal effort to give itself the authority to police Internet providers by changing the way Internet lines are regulated and will try to prvent them from favoring their own traffic over that of rivals. Verizon called the FCC's action a terrible idea and ATT called it "troubling" and "unsettling".

Alcoa AA $11.18 -0.23 2.02% 23,708,665 NYSE: No mentions found

American Express AXP $42.06 -0.28 0.66% 7,984,229 NYSE: No mentions found

Bank of America BAC $15.82 -0.05 0.32% 126,751,099 NYSE: No mentions found

Boeing BA $67.26 +0.23 0.34% 3,622,333 NYSE: No mentions found

Caterpillar CAT $64.95 +0.56 10,525,000 NYSE: AJC pA18 "$700 Mil expansion set for Caterpillar" says it plans to invest that amount over the next 4 years to start producing mining shovels and expand production of its trucks at plans in Ill. and India. CAT is the world's largest maker of construction and mining equipment and it will build a new shovel production line at its Aurora, Ill plan and expand its truck plant in Decatur, Ill and Chennai, India.

Chevron CVX $75.32 +0.37 0.49% 11,076,525 NYSE:

Cisco CSCO $23.169 -0.121 0.52% 52,711,162 NASDAQ-GS:

Coke KO $52.36 -0.04 0.08% 10,335,038 NYSE: No mentions found

DuPont DD $37.8 +0.04 0.11% 6,100,888 NYSE: No mentions found

Disney DIS $35.07 +0.28 0.8% 10,890,648 NYSE: No mentions found

ExxonMobil XOM $62.6 +0.09 0.14% 23,214,735 NYSE: Fin Times p3 "Shell faces tougher scrutiny of Nigeria drilling" by Tom Burgis, William Wallis says this week Nigeria warned ExxonMobil to show more caution following recent offshore spills.

GE $15.91 +0.06 0.38% 56,193,295 NYSE: No mentions found

Hewlett-Packard HPQ $48.24 +0.23 0.48% 16,287,219 NYSE: No mentions found

Home Depot HD $31.91 -0.23 0.72% 23,900,658 NYSE: No mentions found

Intel INTC $21.52 +0.031 0.14% 37,159,188 NASDAQ-GS: No mentions found

IBM $130.98 +0.63 0.48% 5,542,903 NYSE: No mentions found

JPMorgan JPM $38.44 -0.08 0.21% 34,590,239 NYSE: AJC pA18 "WaMu hearings on hold; shareholders seek data" says the bankruptcy hearing is on hold as more info is provided to shareholders about ther eorganization plan for the firm that was taken over by JPMorgan Chase.

Johnson & Johnson JNJ $59.18 -0.06 0.1% 11,660,265 NYSE: No mentions found

Kraft KFT $29.98 +0.25 0.84% 9,981,868 NYSE: No mentions found

McDonald's MCD $70.05 -0.24 0.34% 6,999,687 NYSE: No mentions found

Merck MRK $35.86 -0.15 0.42% 17,812,354 NYSE: No mentions found

Microsoft MSFT $26.37 +0.05 0.19% 47,950,592 NASDAQ-GS: No mentions found

Pfizer PFE $15.47 -0.01 0.06% 49,462,736 NYSE: No mentions found.

Procter & GamblePG $61.76 +0.57 0.93% 12,026,986 NYSE: NYT pB7 "Wall St. manages a Small Gain Despite Reports on Job and Prices" by Christine Hauser says investors made a last minute push on Thurs. that sent stock slightly higher, overcoming new data on jobs and consumer prices that showed the pace of a recovery was likely to be modest. Procter & Gamble rose 57 cents.

3M MMM $81.03 +0.15 0.19% 3,970,249 NYSE: No mentions found

Travlers TRV $51.71 +0.88 1.73% 4,508,299 NYSE: No mentions found

United Technologies UTX $68.56 -0.03 0.04% 4,344,861 NYSE: No mentions found

Verizon VZ $29.09 -0.09 0.31% 20,977,435 Dual Listed: WSJ pB3 "Sides Form as FCC Begins Internet Regulation Effort" by Amy Schatz says the FCC launched a formal effort to give itself the authority to police Internet providers by changing the way Internet lines are regulated and will try to prvent them from favoring their own traffic over that of rivals. Verizon called the FCC's action a terrible idea and ATT called it "troubling" and "unsettling".

Walmart WMT $51.41 +0.43 0.84% 12,580,681 NYSE: No mentions found

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Here are the current CEOs of the Dow 30 Companies:

AT&T T Randall L. Stephenson
Alcoa AA Klaus Kleinfeld
American Express AXP Kenneth I. Chenault
Bank of America BAC Brian T. Moynihan
Boeing BA W. James McNerney, Jr.
Caterpillar CAT Douglas Oberhelman
Chevron CVX John Watson
Cisco CSCO John Chambers
Coca Cola KO Muhtar Kent
Disney DIS Robert Iger
DuPont DD Ellen Kullman
ExxonMobil XOM Rex W. Tillerson
GE Jeffrey R. Immelt
Hewlett-Packard HPQ Mark Hurd
Home Depot HD Frank Blake
Intel INTC Paul S. Otellini
IBM Samuel J. Palmisano
JPMorgan Chase JPM Jamie Dimon
Johnson & Johnson JNJ William C. Weldon
Kraft KFT Irene Rosenfeld
McDonald's MCD Jim Skinner
Merck MRK Robert Clark
Microsoft MSFT Steve Ballmer
Pfizer PFE Jeffrey Kindler
Procter & Gamble PG Bob McDonald
3M MMM George W. Buckley
Travelers TRV Jay S. Fishman
United Technologies UTX Louis Chenevert
Verizon VZ Ivan Seidenberg
Wal-Mart WMT Mike Duke

Here are the Dow Jones Industrial Average 30 ranked in order of market capitalization rounded to the nearest 1/2 billion as of 6/4/10 followed by number of shares outstanding rounded to the nearest 1/2 billion:

1. Exxon Mobil XOM $283 [4.5]
2. Procter & Gamble PG 244.5 [4]
3. Microsoft MSFT 229 [9]
4. WalMart WMT 190.5 [4]
5. GE 168 [10.5]
6. IBM 161 [1]
7. Johnson & Johnson JNJ 160 [3]
8. Bank of America BAC 155.5 [10]
9. JPMorgan Chase 152 [4]
10. Chevron CVX 144 [2]
11. AT&T 143 [6]
12. Cisco CSCO 132 [6]
13. Pfizer PFE 120 [8]
14. Coke KO 119 [2.5]
15. Intel INTC 117 [5.5]
16. Hewlett-Packard HPQ 108.5 [2.5]
17. Merck MRK 104 [3]
18. Verizon VZ 77 [3]
19. McDonald's MCD 72 [1]
20. Disney DIS 66.5 [2.5]
21. United Technologies UTX 61 [1]
22. 3M MMM 55 [1]
23. Home Depot 54.5 [1.5]
24. Kraft KFT 50 [2]
25. Boeing BA 47 [1]
26. American Express AXP 47 [1]
27. Caterpillar CAT 36.5 [.5]
28. DuPont DD 31 [1]
29. Travelers 24.5 [.5]
30. Alcoa AA 11 [1]

Here are the latest SEC filings as of 6/4/10 other than ownership filings, registration of shares for employee benefit plans, free writing prospectuses and third party shareholder proposals:

Symbol & Co. Name/Date of Filing/Form Filed/ Comments

AT&T T: 5/24/10 8K: re: sale ofl its Sterling Commerce subsidiary to IBM for $1.4 billion in cash. Sterling Commerce provides business to business applications and integration solutions to more than 18,000 customers worldwide. AT&T expects the transaction to close in the second half of '10, subject to receipt of regulatory approvals . AT&T expects to record a one-time, pre-tax gain of $750 million for the quarter in which the transaction closes.

5/6/10 10-Q

5/4/10 8K: re: results from the annual meeting of the stockholders of AT&T Inc. held on April 30, 2010, in Chattanooga, Tennessee.

Alcoa AA: 5/4/10 8K re: Alcoa Inc.’s 2009 Sustainability Highlights Report.

American Express AXP: 6/2/10 8K re: statistics re: worldwide billed business.

5/17/10 8K re: delinquency and write-off statistics for the lending portfolio of its U.S. Card Services operating segment for the months ended February 28, March 31 and April 30, 2010.

5/5/10 10Q

4/28/10 8-K re: transcript of 4/22/10 American Express live audio conference call/webcast to discuss the Company’s financial results for the three months ended March 31, 2010

Bank of Am BAC: 6/4/10 Free Writing Prospectuses

5/10/10 Rule 424(b) Prospectus

5/7/10 10-Q

Boeing BA: 4/28/10 8-K re: results of its Annual Meeting of Shareholders on April 26, 2010

Caterpiller CAT: 6/1/10 8K re: purchase of Electro-Motive Diesel, Inc. for $820 million in cash from Berkshire Partners LLC and Greenbriar Equity Group LLC.

5/28/10 8K re: retirement of David B. Burritt, VP & CFO as of 6/1/10.

5/20/10 8K re: statistics re: deliveries to users for its Machinery and Engines lines of business.

5/10/10 Definitive Proxy materials

5/510 8-K re: departure of directors and officers

5/3/10 10Q

Chevron CVX: 6/2/10 8K re: results of 5/26/10 vote at annual meeting for election of Directors & other matters.

5/19/10 definitive proxy materials

5/13/10 8K re: certain revisions of 10-K annual report for year ended 12/31/09.