Top 5 Communications Equipment Companies To Buy Right Now

The giant in the worldwide data communications equipment business has to be Cisco Systems (CSCO). The growth in data usage by smart connected devices is a bullish trend for Cisco. It is interesting to explore just how quickly data usage is growing and where that growth is coming from.

The recent successful launch of the iPhone 5S and a comment by Tim Cook that NetMarketShare data show that Apple (AAPL) devices are used more extensively that those of competitors made me wonder if Apple's dropping market share was going to limit the growth of the market for data communications equipment. The comment by Tim Cook pointed to data from NetMarketShare, which claimed that 55% of mobile traffic was on devices using iOS versus only 28% for those using Android. Cook relies on that statistic for his view that people use their iPhones and IPads more often than those who use Android devices.

While Tim Cook's comment made me think that demand for Cisco products might be tied somewhat to the success of Apple, more reliable data suggest that is not likley to be the case.

Top 5 Communications Equipment Companies To Buy Right Now: ADT Corp (ADT)

The ADT Corporation (ADT), incorporated on January 18, 2012, is a provider of electronic security, interactive home and business automation, and monitoring services for residences and small businesses in the United States and Canada. The Company�� products and services include ADT Pulse interactive home and business solutions, and home health services. ADT provides business security intrusion detection, which protect the business from burglary, robbery and intruders. Its electronic access control limits unauthorized entry and employee access to the business, as well as complete access. Effective August 2, 2013, The ADT Corp acquired Devcon Security Services Corp, a provider of security protection services, from Devcon International Corp. In November 2013, Kastle Systems International announced that it had acquired Mutual Central Alarm Services and Stat-Land Security Systems from ADT Corporation.

The Company's video surveillance views events in multiple areas of facility, which has control over loss and oversees business. On October 1, 2012, the Company completed the acquisition of Absolute Security.

Advisors' Opinion:

• [By Jim Powell]

  As my top pick for the coming year, I like the long-term outlook for ADT Corporation (ADT), a major home security company that was spun-off from Tyco International last year.

• [By Michael Lewis]

  Home and small-business security company ADT (NYSE: ADT  ) debuted on the markets in October of last year as a spinoff of conglomerate Tyco. While spinoffs are often misunderstood or neglected investment opportunities, this one came out priced high and covered well, eliminating the opportunity for a value play. Since its IPO, the stock has only ticked up around 6% while sales and profits continue to rise. In the past quarter, the company added more than 300,000 new customers, with plenty of room to grow. It's no doubt that ADT is an industry leader, but is the stock still too expensive to warrant a buy?

• [By Chuck Carnevale]

  Although most of these companies are still expected to grow at above-average rates, most of them are not expected to grow at the same rate they historically have. However, the majority are expected to grow at rates greater than the average dividend paying company found in other sectors. Moreover, the majority of these candidates also offer above-market dividend yields and below-market average valuations. Automatic Data Processing (ADT) is an exception and only included because it has historically been priced at a premium valuation to its earnings growth.

Top 5 Communications Equipment Companies To Buy Right Now: Digicore Holdings Ltd (DGC)

Digicore Holdings Limited is a South Africa-based holding company engaged in the manufacturing and distribution of fleet management and vehicle tracking solutions. The Company operates in three segments: South African Distribution, Foreign Distribution, Product Development and Manufacturing and Group Management. The Company's South African distribution segment focuses on distribution of manufactured fleet management and vehicle tracking solutions within the South African consumer market. Foreign distribution focuses on the distribution of manufactured fleet management and vehicle tracking solutions all around the world. Product development and manufacturing segment focuses on investing in research, manufacturing and development of vehicle tracking and fleet management solutions for distribution. Group Management segment renders management services to the Company. On August 31, 2012, the Company obtained an additional 27% shareholding in Ctrack (Pty) Ltd. Advisors' Opinion:

• [By Eric Lam]

  Detour Gold (DGC) plunged 18 percent to C$6.35, an almost five-year low. The company said in a statement it will not reach its 2013 production target of 270,000 ounces of gold and now forecasts 240,000 to 260,000 ounces.

Top 10 Japanese Stocks To Own For 2015: TomTom NV (TMOAF.PK)

TomTom NV is the Netherlands-based supplier of location and navigation products and services. The Company�� offer includes maps, speed cameras, portable navigation devices (PND), fleet management services (FMS), and smart phone applications. It consists of four customer-facing segments: Consumer, Automotive, Business Solutions and Licensing. The Consumer segment is engaged in the sale of PNDs, speed cameras, maps and other related navigation services to end customers. Automotive sells in-dash navigation solutions, speed cameras, grade maps and services to companies in automotive segment, as well as PNDs for fitness products. The Business solutions segment provides fleet management services and solutions, such as fleet trackers, to fleet owners. Licensing sells digital maps, mobile applications and other content to customers within multiple market segments. The Company operates in over 35 countries worldwide. In July 2013, it acquired Coordina (Gestion Electronica Logistica, S.L.). Advisors' Opinion:

• [By Genesis Housing]

  Nokia's HERE division is worth E1bn assuming a similar market cap as TomTom (TMOAF.PK) but offers significant upside as maps become the next platform for e-commerce. Assuming Nokia's net cash position declines to E2bn at Q3 from E4.1bn in Q2 (given the E1.7bn NSN deal as well as incremental cash burn due to supporting product launches), the combined value of Nokia's Net Cash, HERE division and NSN division is in line with the current market cap of Nokia.

Top 5 Communications Equipment Companies To Buy Right Now: Motorola Solutions Inc (MSI)

Motorola Solutions, Inc. (Motorola Solutions), incorporated March 9, 1973, provides communication infrastructure, devices, software and services. The Company provides these products and services for enterprise and government customers worldwide. The Company operates in two segments: Government and Enterprise. The Government segment includes sales of public safety communications systems, commercial two-way radio systems and devices, software and services. The Enterprise segment includes sales of rugged and enterprise-grade mobile computers and tablets, laser/imaging/RFID-based data capture products, wireless local area network (WLAN) and integrated digital enhanced network (iDEN) infrastructure, software and services. In January 2014, the Company announced that it has acquired Twisted Pair Solutions, a provider of push-to-talk over broadband applications for secure, real-time communication anywhere, on any device.

Government

The Government segment designs, manufactures, sells, and provides services around voice and data communications systems, devices, security products and applications. These products and services are sold to a range of customers, including government, public safety and first responder agencies, as well as commercial customers who operate private communications networks and manage a mobile workforce.

The Company offer a portfolio of network infrastructure, devices, applications and services, based on Association for Public Safety Communications Officials 25 (APCO), terrestrial trunked radio (TETRA), and digital mobile radio (DMR) standards, as well as broadband technologies (Long-Term Evolution (LTE) and WiFi). Its products and services are sold stand alone, as well as part of an integrated system. In addition, Motorola Solutions offer critical applications in the public safety command center, including voice, computer aided dispatch and multimedia/video. The Company�� service offering includes mobility consulting, system design and installatio! n, network and device management and product support.

The Company competes with Cassidian/EADS, Harris, Hytera, Kenwood, Sepura and Tait.

Enterprise

The Enterprise segment designs, manufactures, sells and provides services around WLAN infrastructure, rugged and enterprise-grade advanced data capture and mobile computing devices, security products and applications. These are sold to a range of enterprise customers, including those in retail and hospitality, transportation and logistics, manufacturing, energy and utilities, education and healthcare. Motorola Solutions offers a portfolio of devices, infrastructure, applications and services, which include rugged and enterprise-grade mobile computers and tablets, laser/imager/RFID based data capture devices and kiosks, WLAN switches/controllers and access points, network and device management software, network and device security software, voice-based devices and software, and systems based iDEN technology.

The Company competes with Apple, Aruba, Bluebird, Cisco, Datalogic, Honeywell, Hewlett Packard, Intermec, Psion, Panasonic and Samsung.

Advisors' Opinion:

• [By Laura Brodbeck]

  Notable earnings released on Wednesday included:

  Caterpillar, Inc. (NYSE: CAT) reported third quarter EPS of $1.45 on revenue of $13.40 billion, compared to last year�� EPS 0f $2.54 on revenue of $16.44 billion. Boeing Company (NYSE: BA) reported EPS of $1.80 on revenue of $22.10 billion, compared to last year�� EPS 0f $1.35 on revenue of $20.01 billion. Bristol-Myers Squibb Company (NYSE: BMY) reported third quarter EPS of $0.46 on revenue of $4.07 billion, compared to last year�� EPS 0f $0.41 on revenue of $3.74 billion. Motorola, Inc (NYSE: MSI) reported third quarter EPS of $1.32 on revenue of $2.11 billion, compared to last year�� EPS 0f $0.84 on revenue of $2.15 billion. AT&T Inc. (NYSE: T) reported third quarter EPS of $0.66 on revenue of $32.20 billion, compared to last year�� EPS of $0.63 on revenue of $31.46 billion.

  Pre-Market Movers

• [By Lauren Pollock]

  Motorola Solutions Inc.(MSI) said its fourth-quarter earnings climbed 2.1% as its government services segment returned to growth. But the company gave a sharply disappointing outlook for its first quarter, sending shares down 8.3% to $61.55 premarket.

• [By John Kell and Lauren Pollock var popups = dojo.query(".socialByline .popC"); ]

  Zebra Technologies made a bid to substantially grow its business, agreeing to buy Motorola Solutions Inc.'s(MSI) enterprise business for $3.45 billion in cash. The deal represents a large expansion for Zebra as the barcode-printing and asset-tracking company looks to strengthen its presence in retail, logistics, transportation and manufacturing. Zebra shares rose 5.54% to $72.04 and Motorola Solutions shares increased 3.5% to $66.01.

Top 5 Communications Equipment Companies To Buy Right Now: ADVA Optical Networking SE (ADV)

ADVA Optical Networking SE is a Germany-based company that develops, manufactures and sells optical and Ethernet-based networking solutions to telecommunications carriers and enterprises to deploy, manage and deliver data storage, voice and video services in metropolitan areas. Its optical transmission solutions are based on wavelength division multiplexing (WDM) technology. Its Ethernet-optimized transmission solutions for fiber- or copper-based lines are used to provide access for enterprises into a carrier's network. Its systems are used by telecommunications services providers, companies, universities and government agencies worldwide. It sells its product portfolio both directly and through an international network of distribution partners. Its optical and Ethernet-based network solutions have been deployed by more than 250 carriers and more than 10,000 enterprises. As of December 31, 2012, the Company had 13 wholly owned subsidiaries across Europe, Asia, North and Latin America. Advisors' Opinion:

• [By Holly LaFon]

  We re-established an investment in CME Group, Inc. (CME) during the period. CME is the largest and most diversified derivatives marketplace in the U.S. Its exchanges support trading across a variety of asset classes, including interest rates, equity indexes, energy, agricultural commodities, foreign exchange and metals. We believe CME has the opportunity to significantly accelerate its growth rates due to the eventual normalization of interest rates and the attendant interest rate volatility. CME's interest rate trading volumes (ADV) have been depressed as a result of the Fed's zero interest rate policy and low interest rate volatility. For example, interest rate ADV was 4.8 million in 2012compared to 7.1 million in 2007, before the financial crisis. However, given the Fed's recent policy statements (discussed above), market participants are starting to anticipate an end to quantitative easing (QE). On May 30, CME experienced record volume for interest rate derivatives with ADV of 19.4 million. With the globalization of CME's business, a host of new products, and the regulatory requirement for interest rate swaps to be cleared on an exchange, we believe CME's interest rate volumes can surpass their prior peak, significantly driving earnings growth for the company.

• [By Adrian Day]

  Adrian Day: Yes, yes, I like the concept of looking up the secondary plays. I mean, you know we own Altius (ALS) for example, rather than Alderon (ADV). Altius owns 30% of Alderon, that is more diversified, has a better balance sheet. If Alderon succeeds, Atius will succeed.