This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Buy These 5 Cash-Rich Stocks to Triple Your Gains


Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

It shouldn't come as a surprise that Apple ( AAPL) is on our list. The firm has a reputation for holding more cash than any other - even more at one point in 2011 than the U.S. Treasury in fact. At last count, Apple's cash stood at more than $144.5 billion, with minor offsetting debt. Only around $12 billion of that is actually true net cash the rest is long-term liquid investments managed by Apple's in-house investment firm, Braeburn Capital.

Yes, when you have that much cash on hand, you need your own treasury management firm.

>>Beat the S&P With 5 Stocks Everyone Else Hates

It's been a big week for Apple. Yesterday, at the firm's Worldwide Developers Conference, Apple unveiled a slew of software and hardware updates, including major iterations for its Mac OS X computer operating system and the iOS software that fuels Apple's mobile products. Subjectively, the upgrades look impressive -- almost as impressive as the stats that CEO Tim Cook mentioned during the keynote. A refreshed Mac Pro workstation is a particularly important direction for the company, as it renews its longstanding relationship with power-users. Professional-grade products may contribute a small amount to Apple's revenues, but they contribute a lot to its product innovation.

While shares dipped after the keynote, that's nothing new -- it's happened for the last four straight years. I've made no secret of the fact that I'm a fan of Apple as a company, just not as a stock (yet). But with the downtrend in shares broken in the last month, buyers may have an opportunity to jump in in the very near-term. From a technical standpoint, I'd be a buyer on a move above $460. From a quantitative standpoint, this stock's cash position is signaling a buy.


Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Data management firm NetApp ( NTAP) is riding the rising wave of cloud computing. Data storage is the firm's bread and butter, and as storage and back-up needs increase around the world at a breakneck pace, NTAP is well-positioned to benefit. Better still, shares are cheap from a valuation standpoint: the firm's $4.7 billion net cash position pays for more than 34% of its market capitalization right now.

>>4 Hot Stocks to Trade (or Not)

NetApp is one of the few pure-play storage firms that have been around for a while. As a result, the firm has the advantage of a large customer Rolodex and an established niche in the data game. Because NetApp's network-attached storage devices can be purchased ad-hoc (rather than as part as a major datacenter overhaul), it's an ideal vendor for firms whose storage needs are gradually increasing (and those who don't want to shell out massive capital for all-new IT infrastructure).

NTAP's stellar balance sheet position gives it plenty of options right now, especially as most smaller computer storage names are in a counter-cyclical period; it means that M&A opportunities remain relatively cheap, and the firm can still add value through acquisitions. As NetApp continues to build out its OEM partnerships and increase sales to its established customer base, investors should continue to draw returns from its stock.
3 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
AAPL $95.24 1.30%
ATVI $28.72 -5.90%
CVX $86.05 3.80%
GM $28.68 0.49%
NTAP $22.35 -1.30%


Chart of I:DJI
DOW 16,027.05 -177.92 -1.10%
S&P 500 1,853.44 -26.61 -1.42%
NASDAQ 4,283.7530 -79.3910 -1.82%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs