Tuesday, September 30, 2014

Top Performing Industries For September 30, 2014

Related EBAY Benzinga's Volume Movers eBay Inc-PayPal Split: What The Market Thinks The Mobile Messaging War: And the Winner is … (Fox Business) Related PSO Top Performing Industries For September 16, 2014 Top Performing Industries For September 15, 2014

At 10:25 am, the Dow tumbled 0.08% to 17,057.12, the broader Standard & Poor's 500 index moved down 0.16% to 1,974.55 and the NASDAQ composite index fell 0.25% to 4,494.65.

The industries that are still afloat in the market today are:

Catalog & Mail Order Houses: The industry gained 1.53% by 10:25 am. The top performer in this industry was eBay (NASDAQ: EBAY), which gained 6.4%. The company announced its plans to separate eBay and PayPal into two publicly traded companies in 2015.

Publishing - Books: This industry moved up 0.81% by 10:25 am.The top performer in this industry was Pearson plc (NYSE: PSO), which gained 1%. Pearson's trailing-twelve-month revenue is $8.04 billion.

Diversified Computer Systems: This industry jumped 0.80% by 10:25 am. The top performer in this industry was Hewlett-Packard Company (NYSE: HPQ), which rose 0.9%. Hewlett-Packard's PEG ratio is 1.97.

Gold: This industry rose 0.65% by 10:25 am ET. The top performer in this industry was Sibanye Gold (NYSE: SBGL), which gained 4.9%. Gold futures fell 0.17% to trade at $1,216.70 an ounce.

Posted-In: Top Performing IndustriesNews Intraday Update Markets Movers

© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

  Related Articles (EBAY + HPQ) Top Performing Industries For September 30, 2014 Benzinga's Volume Movers eBay Inc-PayPal Split: What The Market Thinks Morning Market Movers EBay Inc Spinning Off PayPal in A Move Proposed by Carl Icahn Benzinga's Top #PreMarket Gainers Around the Web, We're Lovin

Monday, September 29, 2014

Hello Ello (Peace out, Facebook!)

ello Ello doesn't require your picture or your name to sign up. NEW YORK (CNNMoney) Say hello to Ello, the ad-free social network capitalizing on the perception that it's the "anti-Facebook."

Earlier this month, the social media giant made headlines for suspending the accounts of several gay and transgender entertainers. The rationale? The accounts weren't in the holders' "real" names.

"The more they know about you, the more money they make," said Ello co-founder Paul Budnitz regarding Facebook. "I, quite frankly, don't care."

The platform, which is still in beta, launched just over a month ago with roughly 90 people and is still invite-only. This week, the site has seen an incredible surge in the amount of invite requests. He didn't specify the total number, but said that requests and approvals together often totaled 40,000 an hour.

Budnitz said they didn't expect the site to grow so quickly and are still developing its features. (He acknowledged this could mean a little bit of downtime).

According to Budnitz, Ello has "really been embraced by the LBGT community," as well as artists and performers.

Ello wants its users to feel more like people and less like data points. Users are free to be whoever they want so long as they abide by basic rules, like no bestiality or impersonation of public figures, according to Budnitz.

To join, all you need is an invite from a friend and an email address.

"We're not geo-locating, we're stripping IP addresses, we don't ask your name, your gender or sexual orientation. All I care about is that you obey the rules of Ello," said Budnitz, who is one of its seven founders.

About a year ago, they started the platform as a private social network for friends of friends to share their artwork and communicate. Eventually, they had 1,000 friends of friends who wanted in to the network, so they decided to open up the circle.

They received a $435,000 seed investment from FreshTracks Capital, a Vermont-based VC firm. (Budnitz also lives in Vermont, but other founders are located in Colorado.)

But how does a non-ad supported platform survive once the funding runs dry?

"Isn't it just so sad? Rather than cheering on a new model that actually makes things better, people have to say, 'You can't change things,'" said Budnitz. "Our business model is really ! simple, and proven. It's like an app store."

By that, Budnitz means they'll upsell users on special features to customize their Ello experience -- and he's confident that he'll be able to monetize the platform this way.

"We literally have thousands of people writing to us with feature suggestions, saying: these are the things I'd pay for."

The top request so far? People wanting to control a professional and personal profile with one log-in. Budnitz says they're likely to roll that out in the future and charge a one-time fee of $2.

Saturday, September 27, 2014

Three Largely Unknown But Potentially Tasty Small Cap Restaurant Stocks (BJRI, GTIM & GIGL)

Small cap restaurant stocks BJ's Restaurants, Inc (NASDAQ: BJRI), Good Times Restaurants Inc (NASDAQ: GTIM) and Giggles N Hugs Inc (OTCMKTS: GIGL) aren't well known to most investors and consumers, but they have produced their share of decent returns for investors. Here is what investors need to know about all three small cap restaurant stocks:

BJ's Restaurants, Inc. Back in 1978, two guys with a recipe for deep dish pizza opened the first BJ's in Santa Ana, California, and as years went by, new BJ's restaurants were opened in beach cities along Southern California's coastline. Today, small cap BJ's Restaurants owns and operates 150 restaurants as of May 2014, located in California, Texas, Florida, Arizona, Colorado, Nevada, Washington, Ohio, Oklahoma, Oregon, Kentucky, Indiana, Kansas, Louisiana, Maryland, New Mexico, Virginia and Arkansas. Each of these restaurants is operated either as a BJ's Restaurant & Brewery, which includes a brewery within the restaurant; a BJ's Restaurant & Brewhouse, which receives the beer it sells from an in-house brewery or an approved third-party craft brewer of its proprietary recipe beers; or a BJ's Pizza & Grill, which is a smaller format, full service restaurant with a more limited menu than the company's other restaurants. BJ's Restaurants' menu features award-winning, signature deep-dish pizza, handcrafted beers as well as a wide selection of appetizers, entrees, pastas, sandwiches, specialty salads and desserts including the unique Pizookie dessert. Several of BJ's Restaurant & Brewery restaurants also feature in-house brewing facilities where BJ's proprietary handcrafted beers are produced for many of the company's restaurants. Back in August, BJ's Restaurants approved a $100 million increase to the company's share repurchase program first announced on April 22, 2014. After giving effect to approximately $48 million in repurchases made since the plan was first authorized on April 22, 2014, approximately $102 million of repurchase authorization remains available on the newly expanded plan. In late July, BJ's Restaurants reported that total second quarter revenues increased 10.5% to $219.4 million, comparable restaurant sales declined 1.7% and net income and diluted net income per share of $8.0 million and $0.28, respectively. The CEO commented:

"Our initiatives to leverage our industry-leading guest traffic levels, improve kitchen efficiencies, and manage operating and occupancy costs, combined with the launch of our new menu and branding programs, all contributed to BJ's solid second quarter operating results. New menu items such as our Kale and Roasted Brussels Sprouts Salad and our Mediterranean Chicken Pita Tacos have become guest favorites within their respective categories and highlight the value, innovation and quality of the BJ's menu and dining experience. Reflecting the success of the new menu and our branding campaign, comparable restaurant sales improved on a quarterly sequential basis and BJ's finished the quarter on a strong note with positive guest traffic for June, which benefited from a successful graduation season, Father's Day and the World Cup."

On Thursday, small cap BJ's Restaurants rose 1.31% to $37.77 (BJRI has a 52 week trading range of $25.11 to $38.15 a share) for a market cap of $1.05 billion plus the stock is up 21.7% since the start of the year, up 19.3% over the past year and up 128.1% over the past five years.

Good Times Restaurants Inc. Opening its first restaurant in 1987 in Boulder, Colorado, small cap Good Times Restaurants owns and operates, and franchises, restaurants in Colorado and Wyoming. Good Times Restaurants is a quick service restaurant chain serving a high quality, fresh, unique, proprietary selection of hamburgers made with Meyer All-Natural, All-Angus beef, All-Natural chicken from Springer Mountain Farms, Hatch Valley Green Chile Breakfast Burritos, signature Wild Fries and Fresh Cut Fries, Beer Battered Onion Rings and fresh, creamy Frozen Custard in a variety of flavors, hand-spun shakes and Spoonbenders. Good Times Restaurants operates Good Times Burgers & Frozen Custard, a regional chain of quick service restaurants located primarily in Colorado, in its wholly owned subsidiary, Good Times Drive Thru Inc. In addition, Good Times Restaurants owns and operates Bad Daddy's Burger Bar restaurants as a licensee through its wholly owned subsidiary, BD of Colorado LLC and plans to franchise Bad Daddy's Burger Bar restaurants through its 48% ownership of Bad Daddy's Franchise Development LLC. Bad Daddy's Burger Bar is a full-service, upscale, "small box" restaurant concept featuring a chef-driven menu of gourmet signature burgers, chopped salads, appetizers and sandwiches with a full bar and a focus on a selection of craft microbrew beers in a high energy atmosphere. Earlier this month, Good Times Restaurants announced that same store sales for its Good Times Burgers and Frozen Custard concept increased 12% in August 2014 over the prior year's increase of 18.7%, representing a two-year increase of 30.7%, the eleventh consecutive month of two-year same store increases over 20%. In early August, Good Times Restaurants reported a 16.7% third quarter revenue increase to $7,572,000, a 12.5% same store sales increase for company-owned Good Times restaurants for the sixteenth consecutive quarter of increasing same store sales and a net Income increase to $272,000 from $208,000 last year. The CE! O commented:

"Continuing our trend at Good Times, our sales gains continue to leverage our fixed and semi-fixed operating costs, translating into large increases in our restaurant profitability. While we have certain commodity cost pressures in beef, bacon and dairy, we've been able to maintain our gross profit margin through price increases and menu engineering… The opening of our second Bad Daddy's at much higher sales levels than the system average is very gratifying and we expect it will significantly accelerate our achievement of profitability from the BD of Colorado subsidiary as early as our fourth fiscal quarter this year, but certainly in fiscal 2015 as the first store matures and we bring several new stores online."

On Thursday, small cap Good Times Restaurants fell 0.98% to $5.06 (GTIM has a 52 week trading range of $2.06 to $5.49 a share) for a market cap of $38.25 million plus the stock is up 95.4% since the start of the year, up 110.8% over the past year and up 34.9% over the past five years.

Giggles N Hugs Inc. The first and only restaurant that brings together high-end, organic, nutritious and reasonably priced meals along with active, cutting-edge play and entertainment for children, Southern California based small cap Giggles N' Hugs is an up and coming restaurant stock that offers an upscale, family-friendly atmosphere with a dedicated play area for children 10 and younger that creates a fun, casual, family atmosphere where children can interact with parents and each other.

All of Giggles N' Hugs restaurants feature high-quality menus made from fresh and local foods plus nightly entertainment such as magic shows, concerts, puppet shows and face painting along with party packages for families. The company owns and operates one restaurant in the Westfield Mall in Century City, California; a second restaurant in the Westfield Mall in Topanga, California; and a third restaurant in Glendale Galleria in Glendale, California. In the future, Giggles N' Hugs plans to open a number of themed restaurants in high end malls throughout the country – either using a franchising model or company owned stores. Giggles N' Hugs is also developing new products and services such as curb-side take-out, a beer/wine license, furniture and equipment referrals through a partnership with a baby products supplier to receive commissions for each referral, baby food, merchandising and gift certificates. Already, Giggles N Hugs has been:  

Voted the #1 birthday party place in Los Angeles by Nickelodeon. Voted "Best Pizza in Los Angeles" by Nickelodeon. Listed best family & kid-friendly restaurants by CitySearch and GoCityKids.

In addition and being based in Southern California, Giggles N Hugs has an entire page on its website dedicated to its celebrity customers. On Thursday, small cap Giggles N Hugs fell 1.71% to $0.570 (GIGL has a 52 week trading range of $0.10 to $2.00 a share) for a market cap of $17.96 million plus the stock is up 159.1% since the start of the year and up 153.3% over the past year.

Wednesday, September 24, 2014

5 Hated Earnings Stocks You Should Love

DELAFIELD, Wis. (Stockpickr) -- Short-sellers hate being caught short a stock that reports a blowout quarter. When this happens, we often see a tradable short squeeze develop as the bears rush to cover their positions to avoid big losses. Even the best short-sellers know that it's never a great idea to stay short once a bullish earnings report sparks a big short-covering rally.

Must Read: 5 Big Stocks to Side-Step the Selloff

This is why I scan the market for heavily shorted stocks that are about to report earnings. You only need to find a few of these stocks in a year to help enhance your portfolio returns -- the gains become so outsized in such a short time frame that your profits add up quickly.

That said, let's not forget that stocks are heavily shorted for a reason, so you have to use trading discipline and sound money management when playing earnings short-squeeze candidates. It's important that you don't go betting the farm on these plays and that you manage your risk accordingly. Sometimes the best play is to wait for the stock to break out following the report before you jump in to profit off a short squeeze. This way, you're letting the trend emerge after the market has digested all of the news.

Of course, sometimes the stock is going to be in such high demand that you risk missing a lot of the move by waiting. That's why it can be worth betting prior to the report -- but only if the stock is acting technically very bullish and you have a very strong conviction that it is going to rip higher. Just remember that even when you have that conviction and have done your due diligence, the stock can still get hammered if Wall Street doesn't like the numbers or guidance.

If you do decide to bet ahead of a quarter, then you might want to use options to limit your capital exposure. Heavily shorted stocks are usually the names that make the biggest post-earnings moves and have the most volatility. I personally prefer to wait until all the earnings-related news is out for a heavily shorted stock and then jump in and trade the prevailing trend.

With that in mind, here's a look at several stocks that could experience big short squeezes when they report earnings this week.

Must Read: 5 Stocks to Trade for Big Breakout Gains

BlackBerry

My first earnings short-squeeze trade idea is wireless communications solutions provider BlackBerry (BBRY), which is set to release numbers on Friday before the market open. Wall Street analysts, on average, expect BlackBerry to report revenue of $945.56 million on a loss of 16 cents per share.

Just recently, Morgan Stanley analyst James Faucette said he expects BlackBerry to report an in-line quarter that demonstrates financial and operational stabilization ahead of key releases in the coming quarter. He currently has an equal weight rating on the stock with no price target.

The current short interest as a percentage of the float for BlackBerry is very high at 18.5%. That means that out of the 479.46 million shares in the tradable float, 89.11 million shares are sold short by the bears. If this company can produce the earnings results the bulls are looking for, then shares of BBRY could easily spike sharply higher post-earnings as the bears rush to cover some of their positions.

From a technical perspective, BBRY is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending over the last two months, with shares moving higher from its low of $8.71 to its recent high of $11.17 a share. During that uptrend, shares of BBRY have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of BBRY within range of triggering a big breakout trade post-earnings.

If you're bullish on BBRY, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some key near-term overhead resistance levels at $11.17 to its 52-week high at $11.65 a share with high volume. Look for volume on that move that hits near or above its three-month average action of 13.96 million shares. If that breakout gets underway post-earnings, then BBRY will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that move are $13 to $14 a share.

I would simply avoid BBRY or look for short-biased trades if after earnings it fails to trigger that breakout and then drops back below some key near-term support levels at $10.11 a share to its 50-day moving average of $10.09 a share with high volume. If we get that move, then BBRY will set up to re-test or possibly take out its next major support levels at its 200-day moving average of $8.92 to $8.71 a share, or even $8 a share.

Must Read: 5 stocks Spiking on Big Volume

Diamond Foods

Another potential earnings short-squeeze play is packaged food player Diamond Foods (DMND), which is set to release its numbers on Thursday after the market close. Wall Street analysts, on average, expect Diamond Foods to report revenue $208.41 million on earnings of 15 cents per share.

The current short interest as a percentage of the float for Diamond Foods is very high at 14.3%. That means that out of the 26.15 million shares in the tradable float, 3.75 million shares are sold short by the bears. Any bullish earnings results from Diamond Foods that the market likes could spark a sharp short-covering rally for this stock post-earnings.

From a technical perspective, DMND is currently trending below both its 50-day and 200-day moving averages, which is bearish. This stock has been trending sideways for the last three months, with shares moving between $25.13 on the downside and $29.49 on the upside. Any high-volume move above the upper-end of its recent sideways trading chart pattern post-earnings could produce a big breakout trade for shares of DMND.

If you're in the bull camp on DMND, then I would wait until after its report and look for long-biased trades if this stock manages to break out above its 50-day moving average of $27.36 to its 200-day moving average at $28.58 a share and then more resistance at $29.20 to $29.49 a share with high volume. Look for volume on that move that hits near or above its three-month average volume of 267,505 shares. If that breakout triggers post-earnings, then DMND will set up to re-test or possibly take out its next major overhead resistance levels at $32 to $33.55 a share, or even $35 a share.

I would simply avoid DMND or look for short-biased trades if after earnings it fails to trigger that breakout and then drops back below some key near-term support at $25.13 a share with high volume. If we get that move, then DMND will set up to re-test or possibly take out its next major support levels at $23.17 to its 52-week low at $20.22 a share.

Must Read: 5 Rocket Stocks Ready for Blastoff This Week

Micron Technology

Another potential earnings short-squeeze candidate is semiconductor solutions provider Micron Technology (MU), which is set to release numbers on Thursday after the market close. Wall Street analysts, on average, expect Micron Technology to report revenue of $4.15 billion on earnings of 80 cents per share.

The current short interest as a percentage of the float for Micron Technology is pretty high at 9.5%. That means that out of the 1.06 billion shares in the tradable float, 101.26 million shares are sold short by the bears. If Micron Technology can produce strong earnings results that the bulls love, then shares of MU could easily rip sharply higher post-earnings as the shorts rush to cover some of their bets.

From a technical perspective, MU is currently trending above its 200-day moving average and just below its 50-day moving average, which is neutral trendwise. This stock has started to form a major bottoming chart pattern over the last month and change, with shares of MU finding buying interest each time it has pulled back to just under $30 a share. That being said, shares of MU have also been making lower highs and over the last month, which is bearish technical price action.

If you're bullish on MU, then I would wait until after its report and look for long-biased trades if this stock manages to break out above its 50-day moving average of $32.12 a share to more near-term overhead resistance at $32.55 a share with high volume. Look for volume on that move that registers near or above its three-month average action of 24.61 million shares. If that breakout kicks off post-earnings, then MU will set up to re-test or possibly take out its next major overhead resistance levels at $33.41 to $33.70, or even $34.28 a share. Any high-volume move above those levels will then give MU a chance to take out its 52-week high of $34.85 a share.

I would avoid MU or look for short-biased trades if after earnings it fails to trigger that breakout and then drops back below some key near-term support levels at $29.73 to $29.38 a share with high volume. If we get that move, then MU will set up to re-test or possibly take out its next major support level at its 200-day moving average of $27.25 a share.

Must Read: Hedge Funds Love These 5 Tech Stocks -- but Should You?

Scholastic

Another earnings short-squeeze prospect is global children's book publishing, education and media player Scholastic (SCHL), which is set to release numbers on Thursday before the market open. Wall Street analysts, on average, expect Scholastic to report revenue of $285 million on a loss of 84 cents per share.

The current short interest as a percentage of the float for Scholastic is pretty high at 11.9%. That means that out of the 27.86 million shares in the tradable float, 3.32 million shares are sold short by the bears. This stock currently sports a high short interest with a very low tradable float. Any bullish earnings news could easily set off a large short-squeeze post-earnings that sends the bears scrambling to cover some of their short positions in SCHL.

From a technical perspective, SCHL is currently trending below its 50-day moving average and just above its 200-day moving average, which is neutral trendwise. This stock has been downtrending over the last month and change, with shares moving lower from its high of $36.71 to its intraday low of $33.72 a share. During that downtrend, shares of SCHL have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of SCHL are now trading very close to a key support level at its 200-day moving average of $33.33 a share.

If you're bullish on SCHL, then I would wait until after its report and look for long-biased trades if this stock manages to break out back above its 50-day moving average of $34.96 a share with high volume. Look for volume on that move that hits near or above its three-month average action of 129,606 shares. If that breakout develops post-earnings, then SCHL will set up to re-test or possibly take out its next major overhead resistance level at its 52-week high of $36.87 a share. Any high-volume move above that level will then give SCHL a chance to tag or take out $40 a share.

I would simply avoid SCHL or look for short-biased trades if after earnings it fails to trigger that breakout and then takes out its 200-day moving average of $33.33 a share to more key support at $32.50 a share with high volume. If we get that move, then SCHL will set up to re-test or possibly take out its next major support levels at $31 to $30.45 a share, or even $29 to $28 a share.

Must Read: Warren Buffett's Top 10 Dividend Stocks

Jabil Circuit

My final earnings short-squeeze play is electronic manufacturing services and solutions provider Jabil Circuit (JBL), which is set to release numbers on Wednesday after the market close. Wall Street analysts, on average, expect Jabil Circuit to report revenue of $3.83 billion on earnings of 2 cents per share.

The current short interest as a percentage of the float for Jabil Circuit sits at 2.5%. That means that out of the 182.67 million shares in the tradable float, 4.69 million shares are sold short by the bears. The bears have also been increasing their bets from the last reporting period by 16.7%, or by 671,000 shares. If the bears get caught pressing their bets into a bullish quarter, then shares of JBL could easily rip sharply higher post-earnings as the shorts rush to cover some of their trades.

From a technical perspective, JBL is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending strong over the last five months, with shares moving higher from its low of $16.92 to its recent high of $21.87 a share. During that uptrend, shares of JBL have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of JBL within range of triggering a big breakout trade post-earnings.

If you're in the bull camp on JBL, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance at $21.87 a share with high volume. Look for volume on that move that registers near or above its three-month average action of 1.60 million shares. If that breakout develops post-earnings, then JBL will set up to re-test or possibly take out its next major overhead resistance levels at $23.92 a share to its 52-week high at $24.13 a share. Any high-volume move above those levels will then give JBL a chance to tag or take out $26 to $27 a share.

I would avoid JBL or look for short-biased trades if after earnings it fails to trigger that breakout, and then drops back below both its 50-day moving average of $20.91 a share to $20 a share with high volume. If we get that move, then JBL will set up to re-test or possibly take out its next major support levels at its 200-day moving average of $18.94 to $17 a share.

Must Read: How to Trade the Market's Most-Active Stocks

To see more potential earnings short squeeze plays, check out the Earnings Short-Squeeze Plays portfolio on Stockpickr.

-- Written by Roberto Pedone in Delafield, Wis.


RELATED LINKS:



>>5 Breakout Stocks Under $10 Set to Soar



>>4 Health Care Stocks Triggering Breakout Trades



>>5 Short-Squeeze Stocks Set to Soar on Bullish Earnings

Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.

Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including

CNBC.com and Forbes.com.

You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.


Monday, September 22, 2014

5 Stocks Spiking on Big Volume

DELAFIELD, Wis. (Stockpickr) -- Professional traders running mutual funds and hedge funds don't just look at a stock's price moves; they also track big changes in volume activity. Often when above-average volume moves into an equity, it precedes a large spike in volatility.

Read More: Warren Buffett's Top 10 Dividend Stocks

Major moves in volume can signal unusual activity, such as insider buying or selling -- or buying or selling by "superinvestors."

Unusual volume can also be a major signal that hedge funds and momentum traders are piling into a stock ahead of a catalyst. These types of traders like to get in well before a large spike, so it's always a smart move to monitor unusual volume. That said, remember to combine trend and price action with unusual volume. Put them all together to help you decipher the next big trend for any stock.

With that in mind, let's take a look at several stocks rising on unusual volume recently.

Read More: 5 Stocks With Big Insider Buying

Inventure Foods

Inventure Foods (SNAK) manufactures and markets specialty snack food products in the U.S. and internationally. This stock closed up 5.3% at $12.26 in Wednesday's trading session.

Wednesday's Volume: 197,897

Three-Month Average Volume: 79,948

Volume % Change: 115%

From a technical perspective, SNAK jumped sharply higher here back above its 50-day moving average of $11.67 with above-average volume. This notable move to the upside on Wednesday is quickly pushing shares of SNAK within range of triggering a near-term breakout trade. That trade will hit if SNAK manages to clear its 200-day moving average of $12.55 to some more near-term overhead resistance at $12.69 with high volume.

Traders should now look for long-biased trades in SNAK as long as it's trending above Wednesday's intraday low of $11.51 and then once it sustains a move or close above those breakout levels with volume that this near or above 79,948 shares. If that breakout triggers soon, then SNAK will set up to re-test or possibly take out its next major overhead resistance levels at $13.30 to $14.

Read More: 5 Short-Squeeze Stocks That Could Pop in September

Apple

Apple (AAPL) and its who'll -owned subsidiaries design, manufacture and market mobile communication and media devices, personal computers and portable digital music players worldwide. This stock closed up 3% at $101 in Wednesday's trading session.

Wednesday's Volume: 100.75 million

Three-Month Average Volume: 50.78 million

Volume % Change: 110%

From a technical perspective, AAPL trended notably higher here right above its 50-day moving average of $97.11 with above-average volume. This stock has been uptrending strong for the last four months, with shares moving higher from its low of $82.49 to its recent high of $103.74. During that uptrend, shares of AAPL have been making mostly higher lows and higher highs, which is bullish technical price action. This spike to the upside on Wednesday is starting to push shares of AAPL within range of triggering a near-term breakout trade. That trade will hit if AAPL manages to clear some near-term overhead resistance levels at $103.08 to its 52-week high at $103.74 with high volume.

Traders should now look for long-biased trades in AAPL as long as it's trending above its 50-day at $97.11 and then once it sustains a move or close above those breakout levels with volume that hits near or above 50.78 million shares. If that breakout materializes soon, then AAPL will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $110 to $115.

Read More: 5 Stocks With Big Insider Buying

Leidos

Leidos (LDOS) provides science and technology solutions in the U.S. This stock closed up 6.1% at $35.25 in Wednesday's trading session.

Wednesday's Volume: 1.51 million

Three-Month Average Volume: 473,256

Volume % Change: 190%

From a technical perspective, LDOS ripped sharply higher here right above its recent low of $31.76 with above-average volume. This stock gapped down sharply lower on Tuesday from just over $38 to that low of $31.76 with monster downside volume. That move pushed shares of LDOS into oversold territory, since its relative strength index reading dipped well below 30. Shares of LDOS have now started to rebound higher off oversold levels and it's quickly moving within range of triggering a near-term breakout trade. That trade will hit if LDOS manages to clear its gap-down-day high of $35.57 with high volume.

Traders should now look for long-biased trades in LDOS as long as it's trending above Wednesday's intraday low of $32.89 and then once it sustains a move or close above $35.57 with volume that's near or above 473,256 shares. If that breakout materializes soon, then LDOS will set up to re-fill some of its previous gap-down-day zone that started just above $38.

Read More: 5 Hated Earnings Stocks You Should Love

Imperva

Imperva (IMPV) develops, markets, sells, services and supports data center security solutions that protect high value applications and data assets in physical and virtual data centers. This stock closed up 8.1% at $33.56 in Wednesday's trading session.

Wednesday's Volume: 1.37 million

Three-Month Average Volume: 449,012

Volume % Change: 176%

From a technical perspective, IMPV exploded sharply higher here right above some near-term support at $30 with strong upside volume flows. This big spike higher on Wednesday also pushed shares of IMPV into breakout territory, since the stock clear some near-term overhead resistance at $31.27. This move also pushed shares of IMPV inside its previous gap-down-day zone form last April that started near $50. Market players should now look for a continuation move to the upside in the short-term if IMPV manages to clear Wednesday's intraday high of $33.84 with high volume.

Traders should now look for long-biased trades in IMPV as long as it's trending above Wednesday's intraday low of $31.20 or above more near-term support at $30 and then once it sustains a move or close above $33.94 with volume that's near or above 449,012 shares. If that move gets started soon, then IMPV will set up to re-fill some of its previous gap-down-day zone from last April that started near $50.

Read More: 10 Stocks Billionaire John Paulson Loves in 2014

Noodles & Company

Noodles & Company (NDLS) develops and operates fast casual restaurants in the U.S. This stock closed up 2.9% at $18.26 in Wednesday's trading session.

Wednesday's Volume: 1.46 million

Three-Month Average Volume: 421,250

Volume % Change: 202%

From a technical perspective, NDLS gapped up sharply higher here right above its new 52-week low of $17.15 with above-average volume. This stock has been downtrending badly for the last two months and change, with shares moving lower from its high of $35.82 to that new 52-week low of $17.15. During that move, shares of NDLS have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of NDLS have now started to rebound off that $17.15 low and off oversold levels, since its current relative strength index reading is 25.

Traders should now look for long-biased trades in NDLS as long as it's trending above Wednesday's intraday low of $18.18 or above its 52-week low of $17.15 and then once it sustains a move or close above Wednesday's intraday high of $19.10 with volume that's near or above 421,250 shares. If that move begins soon, then NDLS will set up to re-test or possibly take out its next major overhead resistance levels at $20 to $22.58. Any high-volume move above $22.58 will then give NDLS a chance to re-fill some of its previous gap-down-day zone from August that started near $26.

To see more stocks rising on unusual volume, check out the Stocks Rising on Unusual Volume portfolio on Stockpickr.

-- Written by Roberto Pedone in Delafield, Wis.


RELATED LINKS:



>>4 Big Stocks on Traders' Radars



>>5 Foreign Stocks to Boost Your Gains in September



>>4 Stocks Under $10 Making Big Moves

Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.

Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including

CNBC.com and Forbes.com. You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.


Saturday, September 20, 2014

5 Secrets to Increasing the Profit of Your Rental

Last week we shared with you a step-by-step guide to purchase a buy-and-hold property. Closing on a deal that meets your goals is fantastic.

But it's only half the battle. I am here this week to tell you about the other half of the equation -- keeping it profitable. To actually achieve those profit goals you set in your budget, you need to constantly monitor your investment's performance and tweak things as you move along.

The first thing you need to do after a purchase is what I call stabilizing the property. This means doing the upfront repairs, getting out the bad tenants, getting the good tenants on your lease contract, and getting your long-term financing in place. Once all that is done, then you go into the long-term phase of landlording -- maintaining profitability.

In my 10 years of investing, I have found some key actions that can make a world of difference in maintaining profitability. Here they are in no particular order.

5 ways to maintain profitability

1. Keep your leases current and at market
When I purchase a building with tenants, the lease contracts are usually mismanaged. I find that the leases are month-to-month and at least 15% below market. Typically, this is because the landlords were not tracking the expiration dates of their leases. They were simply letting the original contract with the original rent stay in place. 

We purchased an 18-unit building this year. One of the tenants had a lease that had been in place since 1979, and that person's rent had only increased three times in that entire period!

Most residential leases are one-year contracts and either auto-convert to month-to-month or automatically renew for another year after the first year is up (this may not even be legal in your state, even if your lease calls for it). Neither scenario is good in my opinion.

A month-to-month lease is not good because the tenant can terminate the contract with very short notice -- normally 30 days. The good side of this is that the landlord can change the terms of the lease with the same notice as well. This fact is a huge downside for the tenant and is usually the incentive I use to enroll good tenants in a renewal lease versus staying in a month-to-month agreement. I will forgo the landlord's benefits of a month-to-month lease in lieu of having the stability of at least a one-year contract with a good tenant in place.

An auto-renewed lease is not good for you either, even if the lease has a rental increase built in. If you miss the deadline, you can't make changes. If you rent in an area that does not have rent control, you may be leaving money on the table. What if market-rate rents have increased substantially? There are also other things you may want to change aside from the rent.

What if you added amenities to the building like designated parking spaces, or if you separated the utilities? If you let the lease auto-renew, all the terms of the old contract stay in place, including the rent.

So the bottom line is that it pays to visit your lease contracts every year. Mark the date that you have to put a renewal in front of your tenant on your calendar. When that date comes up, take the opportunity to restructure things if you need to. All we do is send the tenants a one-page renewal with any lease changes, the new rent amount, and the date it takes effect. They have a certain number of days to sign it and return it, and we are both protected by a current contract.

2. Budget for and monitor expenses
It sounds funny to say that you need to expect to spend some money maintaining your rental portfolio, right? That being said, there are many landlords who don't project what their expenses are going to be for the current year. If you are one of those landlords, all I can say that if you don't plan for expenses to come up, then every expense that does will be an unwelcome surprise.

Having a budget will not only allow you to project how much money you are going to spend; it also allows you to know how much you are going to make. When Liz and I were looking to have a baby, we needed to know what our income would be a year ahead. Because we have solid financials, I was able to make financial projections that I could stand behind. When our son, Zachary, joined us, we had enough confidence in our financial stability for Liz to take some time off to be with him.

Additionally, if you plan on enrolling investors in your business, it's imperative to have solid financial projections. We are able to tell our investors where our profitability will stand not just next year, but three to five years out.

It's not that hard to create a budget. If you have owned the property for more than a year, all you need to do is look back at what you paid through the prior year. If you are already using accounting software, this is as simple as running a report. If not, just go through your prior year and categorize everything into a spreadsheet. Assuming no major one-time expenses came up (see Item 3 coming up, on capital improvements), you can project that what you will pay in expenses this year will be similar to the prior year. I even mark up my expenses from the last year by a few percent to factor for inflation.

3. Set aside for capital
Capital improvements are things you do to your rental that improve the value of the property. In accounting terms, they are not a one-year expense like a utility expense or maintenance repair would be. They are capitalized into the value of the building -- adding their cost to the value of the property -- and depreciate over time.

Typical examples are roof replacements and new furnaces. You can also apply major renovations, new appliances, cabinets, and windows as capital improvements if you can say that they add to the value of the property. It's a good conversation to have with your CPA before tax time comes around.

That being said, if you don't set aside a few dollars each month to cover these things when they come up, you can end up blowing your annual budget when the furnace needs to be replaced. By setting aside some money per unit into a side savings account, you will develop a capital improvement fund for things like roof replacements or other major expenses that could be capitalized. A good rule of thumb in my area is $400 per unit per year.

4. Plan for preventative maintenance
Some landlords wait for problems to occur before they send someone out to do a repair. That can be very costly, as the tenant may not make you aware of an issue until it gets way out of hand. Little things can turn into big things, and you can't wait for a tenant to decide when you should do some upkeep on your investment.

We do preventative-maintenance walkthroughs on all our properties twice per year. We carry along a checklist and look for two kinds of issues during our walkthrough -- proactive repairs and opportunities to reduce expenses.

Proactive repairs can be done immediately at a reasonable price, before they become a big expense or liability. The small roof leak the tenant didn't want to bother you with will turn into a larger one, sooner or later. The smoke detector with the dead battery is unsafe for the tenant and a liability issue for you. The broken gutter downspout will eventually cause a water leak in your roof or basement. The list goes on and on. You can schedule to address these small things in a reasonable timeframe versus addressing them when they become an expensive emergency.

Expense reductions are ways that we as the landlords can reduce our overhead on the building, primarily by reducing utility expenses on multi-family properties. Put simply, we find things that are leaking that aren't supposed to be! That includes faucets, toilets, window seals, and door seals. We own a few four-unit buildings that are identical and right next door to each other. When I got the water bill, I saw that Building A had a water bill that was $200 higher than Building B for the same quarter. On a site inspection the culprit was found -- a toilet in a tenant's apartment was running all the time!

A simple fix and savings of $800 per year.

5. Evict
If you did smart profit projections for your property, you included a line item for vacancy, even for a single-family home. To maintain or beat that vacancy rate, you can't allow a tenant to stay in a unit for any longer than a month without paying -- the reason being that if you have the person removed, you will still need to spend the time and money to get the apartment turned around for the next occupant.

Filing eviction is tough. Even I have a problem with this one because I am a big softie. Every tenant who is back on rent has a reason he or she can't pay, and there are times that it is a heart-wrenching one. I have looked the other way for many tenants while they got their act together. There have been a few times that these tenants were able to get back on track, but there have been more situations where they have not been able to. Fortunately, I don't have this problem anymore because I hired an office manager to deal with the tenants. She is not a softie and sticks to the rules that she and I established.

Our rent is due on the 1st, and it's late after the 5th. On the 6th we send a letter reminding the tenants that they are past due and informing them that we will be filing eviction on the 10th. If a tenant contacts us and is in distress, we will put that person on a written payment plan with most of what he or she owes paid within 30 days.

If we don't get a response, we send the file to our attorney, whose fees are paid by the tenant if the tenant wants to stay (it's written in our lease). In our area you can get from an eviction filing to removal within four to six weeks. I have heard much longer time windows in other parts of the country -- all the more reason to file immediately and get the process moving. The tenant can always catch up after you file, and unfortunately some tenants won't take you seriously until you show them that you are willing to evict.

Conclusion

Don't get me wrong -- buying a rental property with great potential feels great. But potential is just that, and it will never be realized as cash flow until you implement a proper management plan.

Buying great deals is a necessary first step. Maintaining your rental's financial performance is the second step and your long-term wealth builder.

This article originally appeared on The Bigger Pockets Blog.

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Sunday, September 14, 2014

SAP's Long-Term Growth Prospects Are Bright

Enterprise application software service supplier SAP (SAP) is making solid moves in the cloud. The organization turned in an outstanding performance in the first quarter, conveying solid development in cloud and cloud-related products. Furthermore, SAP is progressing admirably in the customer relationship administration space, giving intense rivalry to Oracle (ORCL) and Salesforce.com (CRM).

SAP shares are down this year, providing investors an opportunity to purchase the stock for next to nothing. We should examine the various reasons why SAP looks set for long haul development.

Strong results and a stronger future

SAP conveyed strong results in the first quarter as its revenue surpassed its direction range. The organization witnessed considerable development in all areas. Cloud subscriptions increased 38%, in front of expectations. Indeed, its cloud business has accomplished a yearly revenue run rate of close to $1.5 billion, developing 1.5 times faster than its closest rival.

The organization is picking up footing with the appropriation of HANA, its continuous business stage. It boasts of 1,000 customers for SAP Business Suite on HANA. This is a momentous performance considering that the stage was dispatched just one year back. SAP is focused on continuously developing its center products, and this has prompted solid development in its customer base.

Also, SAP is also uniting Ariba and HANA. Ariba is a software and data engineering services organization procured by SAP in 2012. Ariba's Spend Visibility solution is presently running on HANA, and switched in excess of 5 million users instantaneously with zero downtime to the system. Presently, companies on this system will have the capacity to break down a lot of spending information in fractions of a second. The organization is also stretching its HANA Enterprise Cloud server farm to new locations, including China, Australia, Russia, Canada, Mexico, India, and Brazil.

Advancement, acquisitions, and partnerships to drive development

SAP's business model is not quite the same as its peers as it is more focused on advancement. SAP has helped retailers with omni-channel stage, banks with corporate-to-bank integration, insurance companies with universal administrative agreeability, and a lot of people more to make their businesses more effective.

Truth be told, today, SAP claims to give the most comprehensive end-to-end HR Cloud solution. To upgrade its capability here, it has procured Fieldglass, which will permit the organization tap the fast-developing business for adaptable workforce administration.

Hybris also operates on HANA, which is one of the key development drivers for the organization. It enables customers to profit from joining, be it an enterprise cloud, people in general cloud, or on-premise solutions. Consequently, more companies are embracing HANA from several domains such as telecommunications, utilities, fiscal services, retail and so on.

At present, SAP has more than 900 partners in its cloud ecosystem. It has collaborated with Accenture to structure the Accenture and SAP Business Solutions Group. In this gathering, experts from both companies will mutually create industry-specific solutions, which will be controlled by HANA. This will reclassify customer engagement and maintenance in the fast-changing and exceedingly aggressive consumer world.

SAP and the opposition

SAP faces rivalry from Oracle and Salesforce, both of which are attempting to aggressively tap the cloud. Salesforce is developing at a fast pace.

Determined by a strong arrangement movement, Salesforce increased its fiscal 2015 revenue direction by $100 million to $5.3 billion. In the event that the organization attains this much revenue, it will convey an outstanding development of 30% this year. Also, Salesforce expects its non-GAAP profit to increase 125-150 basis points. The organization is the heading player in the customer relationship administration space, in front of SAP, and given the quantity of deals it is making, it may pull ahead.

Prophet, then, is proceeding with its strategy of acquisitions. The organization as of late made an alternate expensive purchase, getting Micros Systems for more than $5 billion, its biggest purchase since Sun Microsystems. Micros counts enormous names such as the Hilton, Hyatt and Marriott lodging chains as clients, so this acquisition will bolster Oracle's presence in the hospitality industry.

Micros makes equipment and software for the hospitality and retail industries, incorporating engineering used in purpose of-sale cash registers. It has been an Oracle accomplice for 15 years. As a result, the acquisition should result in strong synergies. Henceforth, SAP needs to keep an eye on Oracle.

Conclusion

SAP's focus on development and the prevalence of its HANA stage are key reasons why the stock looks like a solid investment. Also, SAP also makes some smart acquisitions to strengthen its position

Tuesday, September 9, 2014

All Bets Are On for Britain's Next Royal Baby Name

Britain Prince George AP Pool/John StillwellYoung Prince George will soon have to get used to sharing mummy and daddy's attention. But what will Prince William and Kate Duchess of Cambridge name their second-born? Prince William and Kate Middleton, aka the Duke and Duchess of Cambridge, are expecting another baby, so the odds are good that a lot of people will lay bets on what name that child is going get about seven months from now. British bookmakers have already cranked up their odds-making machines, taking bets on baby names and even whether Kate will end up with twins, triplets, or more. The odds are 20-1 on her having twins, according to Ladbrokes. In early odds-making, Ladbrokes has James as the top pick for the new baby's name, at 6-1. That's followed by Arthur, Elizabeth and Victoria, all tied at 8-1. Meanwhile, the bookmaker PaddyPower has Elizabeth, Victoria, Mary and Philip atop its leader board, all tied at 10-1. For those who want to take a big risk for a potentially big reward, among the names with the longest odds are Caledonia and Macbeth at 500-1, according to PaddyPower. Other regal names in play are Arthur (12-1), Charles (12-1), Henry (14-1) and William (14-1) for a boy; and Charlotte (12-1), Alexandra (12-1), Alice (14-1) and Catherine/Kate (14-1) for a girl. William and Kate don't have to do much to get worldwide attention, and when Kate's first pregnancy was announced the betting on names ramped up right away. And that time, the oddsmakers were spot on -- the betting lines pegged George as a 5-2 favorite, and that's the name the baby prince received. So we should expect the royals won't stray far from the predictable this time around either -- which is why Ringo is such a big longshot at 500-1. More from Mitch Lipka
•McDonald's Wants to Start Your Day With a Free Cup of Coffee •Disney and Marvel Kids Sunglasses Recalled Due to Lead Paint •Tempted by Leaked Celeb Pics? BBB Warns: Don't Click!

Monday, September 8, 2014

Apple's big event: Here's what to expect

See blueprints for Apple's smartwatch   See blueprints for Apple's smartwatch NEW YORK (CNNMoney) After months of anticipation, the tech industry event of 2014 is upon us: Apple's product launch day.

The tech giant has said almost nothing publicly about what's in store Tuesday, but industry observers have some ideas.

Apple (AAPL, Tech30) is widely expected to unveil a pair of larger iPhones measuring 4.7 inches and 5.5 inches, up from four inches on the iPhone 5S. The company may also unveil a smartwatch, its first entry into the nascent wearable devices sector, and a mobile payments system that works with the new iPhones.

All that's just speculation at this point, of course, and Apple will ultimately be judged not on concepts, but execution. Here are a few things we'd like to see that would help make Tuesday's product launch a success:

- Stronger iPhone screens: If Apple is going to make the new iPhone screens bigger, it ought to make them stronger as well. For all the amazing things that the iPhone can do, it's still prone to scratches and cracks if it's mishandled. Apple could go a long way to addressing this problem by using scratch-resistant sapphire screens -- the material that covers the TouchID fingerprint sensor on the 5s -- on the new phones.

- Water-resistant exteriors: Samsung's Galaxy S5 is already dust-resistant out of the box, and can withstand depths of up to 1 meter of water. The new iPhones should do the same.

- Better iPhone gaming: Rumor has it that the new phones will come with new 64-bit A8 processors, which would improve battery life and support more vivid gaming experiences than are possible on older iPhones and iPads.

- A smartwatch that's useful even without your smartphone: There are a variety of smartwatches on the market already, but so far, they've underwhelmed reviewers and have failed to catch on with consumers. That's because most of these devices are little more than a second screen for interacting with your smartphone; they can't do much on their own.

The Moto 360 in 60 (seconds)   The Moto 360 in 60 (seconds)

Apple could change that by unveili! ng a smartwatch that can communicate independently with other connected devices, like your car or your home appliances. Linking the device to Apple's new HealthKit software, through features like sleep-tracking and a heart-rate monitor, is a no-brainer.

- ... and a watch that's actually stylish: In addition to offering limited functionality, the flagship smartwatches from LG and Samsung just aren't very attractive. The bands are boring and the watch faces are clunky -- it's almost like having one of those old Casio calculator watches. The Moto 360 is a step forward, but look for Apple and design guru Jony Ive to improve on this.

- A mobile payments system people will actually use: Smartphone-based systems like Isis and Googl (GOOGL, Tech30)Wallet have been around for years without catching on. Now, Apple may be poised the reenergize the sector.

The company has reportedly been working with major credit card companies on an iPhone-based payment system. It already has more than 800 million credit cards on file thanks to iTunes and App Store accounts, according to some estimates, giving it a massive ready customer base.

Will BlackBerry gain from Apple iCloud woes?   Will BlackBerry gain from Apple iCloud woes?

An Apple payments system could be especially attractive if the new iPhones and iWatch make use of Near Field Communication technology, which would allow them to exchange information with payment terminals simply by being located in close proximity. Add to that the security of the iPhone's fingerprint identification system and Apple could finally push merchants and consumers to ditch plastic and move to smartphone-based transactions.

- ... and a payments system that's easy for merchants to adopt: The key to success for an Apple payments system is quick! , widespr! ead adoption by both customers AND merchants. That means having a cheap, ready-to-use device that makes it easy for store owners to accept payments from Apple devices right away.

All this may be a lot to ask, but Apple has set the expectations high. Apple software head Eddy Cue said in May that the company has "the best product pipeline that I've seen in my 25 years at Apple," and the company has moved to a larger venue for Tuesday's event.

Stay tuned.

Friday, September 5, 2014

How Far Your Spending Money Goes in Each State

Last week, an infographic from the Tax Foundation went viral showing the relative value of $100 in each state. As I wrote then: "the above data doesn't tell the full story. ... A large portion of the differences in price parity is based on the cost of rent or the comparable mortgage payments." If this were not the case, it would make sense for New Yorkers to shop in Mississippi for high-priced items. If you exclude housing, the real value of $100 doesn't shift nearly as much as you might think.

Read on to learn more.

Source: Tax Foundation.

The Tax Foundation calculated the value of $100 in each state by using data from the Bureau of Economic Analysis on regional price parities. The $100 level is based on the national average; each state's data is then relative to that level.

The main factor in these wild swings in the value of $100 is housing. By state, in terms of housing, your dollars go the furthest in Mississippi, where the relative value of $100 is $161.03. In the continental U.S., your dollars get you the least in terms of housing in California, with a relative value of $67.84. That means the same amount of money for housing is worth 135% more in Mississippi than in California.

While the housing-related value of $100 varies greatly from state to state, the value of goods you can buy doesn't vary anywhere near as much.

There's barely any variation from the national average. In the two most extreme cases, if you're buying goods in New York, your $100 will be worth $92.51 relative to the national average, whereas in Missouri your $100 will buy you $107.76 worth of goods compared with the national average. That 16% difference from bottom to top is nothing compared with the 150% difference between the bottom and top in housing.

There are a multitude of reasons that the cost of housing varies greatly. The cost of goods, though, doesn't vary nearly as much, as goods are easily portable, and thus any price differences can be arbitraged away. Also, given the prevalence of e-commerce outlets like Amazon.com, if the prices for a good are abnormally high in your area, you can usually buy online for less.

The exceptionally high prices in certain states generally owe to the challenges of transporting goods to the local consumers. A prime example is Hawaii, which is roughly 2,500 miles away from the rest of the U.S. Most goods need to be shipped to the state either by boat or by plane, so it is no wonder that a Benjamin will get you only $93 worth of goods compared to the national average.

New York City is another great example. The population density of the area and the fact that Manhattan is an island with limited access points make it time-consuming and expensive to operate trucks in Manhattan. Depending on the size of the truck and time of day, it can cost anywhere from $40 to $85 in tolls alone for a commercial truck to enter New York City. Trucks are also limited to certain roads, so once in the city, they cannot get around as easily as a car, and they still have to deal with all the traffic of a dense city, taking up more of the driver's time. Those costs get passed on to consumers in the form of higher prices.

Yet outside the New York City metropolitan area, goods in the state of New York are relatively cheap, even though the city, with its high prices and huge population, skews the state average to the most expensive extreme. In New York City metropolitan areas, $100 buys you $91.66 worth of goods, while in non-metropolitan areas your $100 gets you $101 worth of goods compared to the national average.

Bottom line
While the cost of living and the real value of housing vary greatly across each state, the cost of goods doesn't change nearly as much. If you're thinking of moving to a new state, the most important thing to consider is the housing costs; the cost of goods is secondary.

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