Diamonds and Dogs
1/4/2012Cabot Oil & Gas
The Marcellus shale gas explorer is not only the diamond of the day, but was also the best performing stock within the S&P 500 last year rallying over 100%. Cabot is up 4% today after announcing a 2 for 1 stock split and a 33% hike to their dividend. Imagine how well Cabot could do if natural gas prices actually went up. Cabot is off to a good start to be named the best performing S&P 500 stock once again.
Acme Packet is blowing up like Acme Dynamite today (a reference to Road Runner). The network Infrastructure provider is down 19% following disappointing earnings and lowered sales and earnings guidance for the rest of their calendar year. The company is blaming the poor guidance on reduced spending from their top customers AT&T and Verizon. Acme's bad news may be good news for competitor Cisco Systems. Cisco is up 2% to a new recent high today.