Why Kraft Foods, Newmont Mining and Ocwen Financial are 3 of Today’s Best Stocks

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A 10% selloff in Swiss stocks after the detachment of its three-year cap on the euro, some poor earnings reports by Bank of America Corp (BAC) and Citigroup Inc (C) and further selling in the oil markets frazzled stocks again for a fifth consecutive day.

Kraft (NYSE:KRFT)The Dow Jones Industrial Average closed 0.6% lower while the S&P 500 slid 0.92%, and the Nasdaq was hit hardest, falling 1.48%. Gold stocks such as Newmont Mining Corp (NEM) were again market leaders, and other individual standouts like Kraft Foods Group Inc (KRFT) and Ocwen Financial Corp (OCN) joined them as today’s best stocks.

Kraft Foods Group Inc (KRFT)

Goldman Sachs added KRFT to its conviction buy list today, upgrading it from its previous neutral rating, saying that Kraft is leveraged to U.S. growth going forward, and will benefit from lower oil prices being paid by consumers. KRFT stock was up more than 4% on the news, and is up about 55% during the past two years, despite the previous tepid rating from GS.

John Cahill was recently installed as the new CEO of Kraft Foods, replacing Tony Vernon in that role.

Newmont Mining Corp (NEM)

The news out of Switzerland this morning propelled most gold and precious metals stocks higher, including NEM, which was up almost 9% on the day. Newmont also stated that fourth-quarter and full-year 2014 operations and financials will be reported after the closing bell on Thursday, Feb. 19, with a conference call to be held the following morning.

NEM stock slid from $27 to $18 last fall, but seems to have put in a bottom, and has been rallying along with other gold stocks since the beginning of the new year.

Ocwen Financial Corp (OCN)

A $60 stock only 14 months ago, OCN has recently fallen on hard times amid accusations by New York State and, more recently, California that the company had engaged in mortgage servicing violations. OCN stock fell hard Tuesday after a report that California might even suspend Ocwen’s mortgage license for failing to produce requested documents by the state.

However, this morning it was reported that hedge fund manager Robert Chapman of Chapman Capital has acquired a stake in the company, and has stated his belief that the stock could double from yesterday’s $7 closing price.

OCN stock bolted more than 11% higher on the Chapman news on 22.9 million shares.

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


Article printed from InvestorPlace Media, https://investorplace.com/2015/01/kraft-foods-newmont-mining-ocwen-financial-3-todays-best-stocks/.

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