Click to EnlargeAt its top-secret labs and testing facilities, Boeing (NYSE:BA) is developing a “bunker buster” bomb known as the Massive Ordnance Penetrator (MOP) for the seemingly inevitable U.S. attack on Iran’s nuclear facilities. The MOP is a 30,000-pound guided bomb designed to destroy the world’s deepest bunkers by carving through earth, bedrock and concrete reinforcement to detonate inside. The bomb carries 5,300 pounds of explosive in a 20.5-foot long chassis. One estimate of the final development cost of each bomb is $20.6 million.
My long-term chart shows Boeing’s price reverting to its trend. Buy before it does.
Click to EnlargeYou can see on my relative strength chart what is likely a bottom in EnCana (NYSE:ECA) shares. With EnCana’s competitor Chesapeake Energy (NYSE:CHK) announcing natural gas production cuts, it’s only a matter of time before other production companies do the same. The slowdown in drilling activity should put a bottom on the price of gas. The effect has translated into a bottom on EnCana Corp shares. Buy EnCana Corp. today and lock in a yield near 4%.
Click to EnlargeUnion Pacific (NYSE:UNP) has paid a dividend on its shares every year for 112 years. On Nov. 17, Union Pacific’s board announced a dividend increase of 26%. That was the second dividend increase of 2011, raising the quarterly dividend to 60 cents a share, up from 38 cents at the beginning of the year. Union Pacific is aiming to pay out more.
Take a look at the long record of outperformance on my relative strength chart for UNP. Over the last five years, UNP has outperformed the S&P by over 150%.
Click to EnlargeShortly after Diageo‘s (NYSE:DEO) success in Africa, the company announced the acquisition of Meta Abo Brewery in Ethiopia. Meta Abo is the second-largest brewery in Ethiopia. Its purchase will give Diageo access to the country and a lead-in for its premium spirits brands.
You can see on my price chart that a strong trend in Diageo’s price has developed after the financial crisis. Buy Diageo shares today.
Canadian Pacific Railway
Click to EnlargeWith the Obama administration’s denial of pipeline transportation routes to the south, Canadian oil producers are looking to rail to transport their crude out of Alberta. Canadian Pacific Railway (NYSE:CP) has signed a deal with NuStar Energy (NYSE:NS) to bring oil from the refiner’s Saskatchewan terminal to the coastal cities of Canada for export to emerging markets. CP has a fleet of 1,700 cars for transporting oil.
My long-term chart shows CP shares reverting quickly to trend. Buy.