Dynamic Wealth Report
Subscribe to the Dynamic Wealth Report

Can Dad Have A "Star Wars" Toy Too?


The Dynamic Wealth Report
October 23, 2009

by Corey Williams, Editor

I was spending some quality father - son time with my three and half year old a few months back.  And I created a monster.  Not in a bad way… I don’t think.

You see, I thought he might enjoy watching the Star Wars movies.  After all, I loved them as a kid.

I guess the apple didn’t fall too far from the tree on this one.

Since that day, it’s been Star Wars 24/7.  We’ve seen all the movies at least a dozen times.  And the new Clone Wars cartoons have added a whole new dynamic to the story.

Then it hit a whole new level the day we went toy shopping at Wal-Mart. Oh man, there are a lot of Star Wars toys.  This must be payback for something I did to my parents as a child.

There are Star Wars toys of all shapes and sizes.  There’s almost an entire isle full of action figures, light sabers, and costumes.  But it doesn’t end there.  There’s also bedding, t-shirts, and pajamas… it’s never ending.

I can’t count how many times I heard “I want that one daddy”.  I guess I’m bit of a pushover because Star Wars has taken over my son’s room. We’ve got sheets, blankets, t-shirts, pajamas, action figures, and spaceships galore… And now there’s a Star Wars toy Dad wants too.

-------------Sponsor-------------
Where Can You Turn $300 Into $1.3 Million Right Now?

Our own small-company specialist, Robert Morris, has found a way to 'sniff out' tiny penny stocks on the verge of a major breakout.  And the timing for this has never been better.

You see, the system takes advantage of an obscure SEC regulation that sends penny stock prices through the roof.

We've seen some stocks gain 852%... 5,450%... even 17,496% in no time flat.

Click here for the details...
-----------------------------------

I want a ‘Droid’.

For those of you who don’t know, a droid is a robot.  C3PO and R2D2 are two droids playing a supporting role throughout the entire Star Wars saga.  But the Droid I want isn’t a fictional character.  It’s a new smartphone.

The Droid is a joint venture between Google (GOOG), Motorola (MOT), and Verizon (VZ).  It’s set to hit stores in November of this year.  This three-headed monster is taking aim at Apple’s (AAPL) iPhone.

You may have seen the recent iDon’t advertising campaign.  At this point, we don’t have all the details on the Droid.  We don’t even know what it looks like.  But we know it will do some things the iPhone can’t.

I wouldn’t be surprised if the Droid finally breaks the iPhone’s dominance over the smartphone world.  Here’s the thing.  The success of the Droid won’t be the result of its superior features.

Its success will be because of the network and the apps.

I can tell you the only reason I don’t own an iPhone is because of the network it’s on.  The iPhone is exclusively on the AT&T network.  And their coverage in Arizona is horrible.

I know people who have owned an iPhone here.  They’ve all said half of their calls got dropped.  That’s just not acceptable.  AT&T’s 3G coverage simply isn’t up to snuff.

On the other hand, I’ve been with Verizon for the last eight years.  I’d guess less than 1% of my calls are dropped.

That’s the kind of performance I need.  What good is a fancy phone if you can’t connect to the network?

And when it comes to customizing a phone, it’s all about the apps.  Apps are short for applications.  They have apps for just about everything.  You can play games or get the latest news and investing information or order a burrito from Chipotle (CMG).  And just about anything else you can think of.

These programs are designed by other companies and sold through a virtual store on the phone.

Right now the iPhone has a dominant lead in the number off apps available.  But it won’t take long for the Droid to catch up.

I won’t bore you with all the details.  Let’s just say because of the phones open architecture, the companies who create the apps won’t have to jump through as many hoops as they do with the iPhone.

And don’t forget, Verizon has 10 million more wireless customers than AT&T does.  That number could increase quickly if the Droid is everything it’s supposed to be.

Frustrated iPhone users will drop their AT&T service like a bad habit for the more reliable Verizon network.  As the number of potential customers on the Droid increases, it will cause app makers to switch their focus from the iPhone to the Droid.

App makers are going to follow the money.  That creates a better product for Motorola and Verizon to sell.  It a win – win for everyone involved.

I’m not going to go so far as to say the Droid is the iPhone killer.

But it will be a great thing for Verizon and Motorola.  It’s creating a buzz that should get these two stocks moving.

Verizon in particular has lagged behind the rest of the market this year. And Motorola is trading for a fraction of what it commanded five years ago.  I think that’s about to change.  If you don’t already own these two stocks, now might be the perfect time to add them to your portfolio.

***Editor’s Note:  Just a quick reminder that our publisher is offering a 20% discount on Corey’s Elite Option Trader service.  This is the same service that’s hit nine winners in a row, including two up over 300%.  This is exactly the kind of streak that can make you a ton of money very quickly.  Click here to read more about it…


Notable Rating Changes 

• Amazon (AMZN) was upgraded by FBR Capital this week.  They now have an outperform rating on the stock.  They set a price target of $130.  Shares are soaring on a strong Q3 earnings report.

Precision Drilling (PDS) was downgraded to hold by Canaccord Adams.  Q3 earnings came in weaker than expected, but management thinks the worst is behind them.

• Credit Suisse started coverage on Verizon (VZ) this week with an outperform rating.  The launch of the new Droid smartphone should spur growth in the fourth quarter.


Print Page Print Page                                                 Bookmark DWR  Bookmark Us

Issue Date:
 Friday, October 23, 2009


Notable Highs and Lows

•  Vistaprint (VPRT) hit a 52-week high of under $53.  The online provider of small business marketing tools is benefiting from a weak dollar and strong international sales.  Their market cap is now over $2 billion.

•  Expedia (EXPE) hit a new 52-week high of just under $27.  The online travel retailer will report Q3 earnings next week.  Their market cap is now over $7 billion.

•  Microsoft (MSFT) hit a 52-week high of over $29.  The tech giant beat Q3 earnings forecasts by slashing costs.  Their market cap is now over $253 billion.


Quote of the Day

"We don't have a monopoly.  We have market share.  There's a difference."

      -
Steve Ballmer – CEO of Microsoft

 
Special Offer

China Stock Insider


This Week's Winners

Company Gain
Citizens First (CZFC) 96%
HMN Financial (HMNF) 67%
US Energy (USEG) 65%
ES Bancshares (ESBS) 62%
Exceed Ord (EDS) 54%
*Week-to-Date, Stock Price > $5


This Week's Losers


Company Loss
Schmack Biogas (SKBGF) 71%
Conn's (CONN) 42%
TriQuint Semi (TQNT) 32%
Triplecrown Acquisition (TCW) 28%
EnviTec Biogas (EBIOF) 27%
*Week-to-Date, Stock Price > $5


Recent Articles

How To Profit From China’s Energy Crisis
Thursday October 22, 2009

Stay Away From This Trading Behavior
Wednesday, October 21, 2009

Did You Make $1,835 Trading Gold?
Tuesday, October 20, 2009