Euronext reported a phenomenal Q1 2007 last night, although there was a 4% drop in net profits (EURO0.89/share versus EURO0.93/share last year). This will be the last time Euronext will report separately of its parent, NYSE Group, and it shows that the growth in exchanges lies in Europe. Analysts forecast that Q2 and Q3 combined earnings will be $0.63 and $0.61, respectively. Assuming Q4 will come in at a conservative $0.60, the EPS for the year would be .47+.63+.61+.6 = $2.31. With a 35 multiple this is a $80.85 stock, which I believe is a strong floor. With a 45 multiple this is a $103.95 stock. This is assuming that the stock only meets analysts' expectations at only the earnings level.

My highly speculative play on the bull telecommunications industry. They beat earnings expectations last quarter. Furthermore with the company nearing its 52-week low, the company's head honchos started buying their own stock.

My defensive position, which is getting better and better. It broke through resistance when its rival, Coca-Cola (KO), announced strong earnings for its Q1 2007 and provided a resilient outlook for all non-alcoholic beverage businesses for the remainder of 2007. The overall theme: global sales are up while a stream of new products introduced in North America will keep the lagging geography afloat. Pepsi has the added advantage of owning the global snack market, which it is smartly redesigning to be more healthy, and Gatorade and Propel fitness water will be running wild again for this summer. It has already had a run up from Cramer pumping the CEO, Indra, so I would lean on the side of holding (or buy as long as it is below $70/share).

As many have heard, the hottest gadget to be released this year will the Apple's iPhone. If you haven't nabbed some Apple stock back in the 90s, you may have missed the train. The next train, however, is AT&T (previously Cingular). AT&T has a 5 year contract with Apple to be the sole service provided for the new iPhone using its GSM network. There are a few uphill battles holding back AT&T from sharing the exact same boom that Apple saw this year. 1. A changing of the guards. 2. Increased competition as AT&T becomes the new whipping boy for the telecom industry. 3. A 20% run up already on the stock since March. Those considerations aside, there is still an upside with this company, and just from this year, AT&T has proven to be a good defensive play when the market heads south.

Sears Holdings reported a dismal Q1, but that was only expected. The market had anticipated this fully, and the stock pulled back to the mid 170s weeks before the 5/31 earnings announcement. This is the perfect time to load up again for a run to the 190s or 200 by Q2. The greatest allure here, however, is not necessarily the comp store performance, but rather the management / leadership that is Eddie Lampert. I'm still waiting to see Eddie turn Sears Holdings into the next Berkshire Hathaway. With strong store brands and a fortune of real-estate properties, Eddie is sitting on some huge capital to start his bid for Warren Buffet's position.

They just opened bidding on their properties in lower Manhattan. If this isn't a dead giveaway that they have a buyout deal brewing under the tables, I don't what kind of tell-tale sign you want. Strong trading volumes ever since it announced its IPO in Nov 17th, 2006. Possibly merging with NYX. What's not to like about this stock?