Why Adobe (ADBE), Talisman Energy (TLM) and Frontline (FRO) are 3 of Today’s Best Stocks

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Another round of selling hit Wall Street markets hard today after the International Energy Agency lowered its outlook for oil’s global demand. The news sent crude oil below $58 per barrel, the lowest prices seen since May, 2009. The fear on Wall Street could be noted by the CBOE volatility index once again climbing higher today, and gaining 72% total for the week. As was the case on Wednesday, no sectors were in the green today.

Why Adobe (ADBE), Talisman Energy (TLM) and Frontline (FRO) are 3 of Today's Best StocksThe Dow Jones Industrial Average lost 1.75%, while the S&P 500 slid 1.6% and the Nasdaq dropped 1.16%. Although the major averages tanked, several stocks still managed to post solid days, including Adobe Systems Incorporated (ADBE), Talisman Energy Inc. (USA) (TLM) and Frontline Ltd. (FRO).

Adobe Systems Incorporated (ADBE)

ADBE stock blistered up 9%, setting all-time highs in the process, after announcing Street-beating quarterly earnings, as well as plans to buy Fotolia, a stock photography community, for $800 million. Adobe earnings of 36 cents per share that bested expectations by 6 cents, and a quarterly jump in Creative Cloud subscribers to 644,000. Several brokerages also raised their price targets on ADBE stock as a result.

InvestorPlace contributor Joseph Hargett predicted a possible big price increase on ADBE only a few days ago, and was spot-on with his pick.

Talisman Energy Inc. (USA) (TLM)

TLM stock soared 16% on word that senior executives of Repsol SA (ADR) (REPYY) are in Calgary, Canada, to meet for discussions about buying Talisman Energy for up to $8 billion. Repsol wants the merger to take place because the company wants more exposure into North America. The two companies are in talks to determine a fair price for TLM stock, which would appear to be somewhere between $6 and $8 per share.

TLM stock closed today at only $4.28, but the stock sold for $11 as recently as late August.

Frontline Ltd. (FRO)

For the second consecutive day, there was a huge amount of buying on FRO stock amid reports that China has begun stockpiling oil at current low prices, and as a result, a record number of oil tankers are now sailing to China. FRO stock blasted up over 38% today on heavy volume of 7 million shares.

Frontline supplies oceanic transportation of crude oil and oil products. As a result of heavy demand, FRO has been able to raise its shipping prices. FRO stock has surged 53% in the last two days, and a total of 88% in just the last two weeks. Frontline beat estimates on earnings and revenue in late November, but the Street had been punishing FRO stock because of a $190 million bond payment it has due in April 2015.

As of this writing, Ethan Roberts did not hold a position in any of the aforementioned securities.


Article printed from InvestorPlace Media, https://investorplace.com/2014/12/adobe-talisman-energy-tlm-fro-adbe-best-stocks/.

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