The Innovation Index up 3% in 2007

The Innovation Index is off to a fast start in 2007, gaining 3% in just the first two trading days of the year. NASDAQ is up 2%, whereas S & P 500 and the Dow Jones Index are essentially flat during the same time frame.

The Innovation Index closed at 71.64 on January 4, 2007, up 2.26 points from the closing price of 69.38 on December 29, 2006.

The Innovation Index has benefited from adding Yahoo Inc. (NASDAQ: YHOO) which is up 5% in just two days, and America Movile (NYSE: AMX) which is up 2%. Besides Yahoo, Dell (NASDAQ: DELL), eBay (NASDAQ: EBAY), Google (NASDAQ: GOOG), and Intel (NYSE: INTC) are all up 5% in 2007. Research In Motion (NASDAQ: RIMM) is red hot, and leads the pack, already up 8% in 2007. RIMM was up 94% in 2006. Cisco Systems (NASDAQ: CSCO) is also up 4% in 2007, having already gained 60% in 2006. Other notables include Southwest Airlines (NYSE: LUV) and Wal-Mart Stores (NYSE: WMT) gaining 3% each for the year. Out of the top 20 Innovators, only Amazon.com (NASDAQ: AMZN) is in the red at -1%.

Intel made the big news today. Analysts believe that Intel had strong results in December 2006, and quarterly profits will beat forecasts. Meanwhile, Yahoo, which dropped 35% in 2006 and was bound for a correction, announced partnership with Dash Navigation to include Yahoo Search in Dash Express. "When a user (driving a car) enters their search term into their Dash Express, the device wirelessly begins a Yahoo! Local search, and presents results as a listing of nearby businesses." The innovative Yahoo enabled navigation will go to market in Spring 2007 in California, and nationwide in Fall 2007. eBay, which dropped 30% in 2006, is also up 5% in large part due to innovations in business model. eBay will begin charging sellers a nickel more for items with a starting price of between $1 and $9.99 starting later this month. Dell, down 16% in 2006, is up on news of expansion of global supply chain and manufacturing operations in Singapore; also, if Intel has a great quarter, Dell results are also bound to be better. Google is expanding overseas in China by investing into Xunlei Network Technology Ltd., a Chinese peer-to-peer file sharing network operator. Shenzhen-based Xunlei operates China's biggest video downloading service, with 50 million visitors a day, tens of millions of downloads a day, and installed base of over 80 million users (according to China Daily). Google may perhaps acquire Xunlei in the future and gain significant market share in China (similar to buying YouTube). Wal-Mart announced that its December sales were 8.8% higher benefiting from strong sales in electronics. Finally, Southwest Airlines is going to fly higher with lower oil prices, increased routes from Dallas, and new routes from Denver and Washington Dulles. Forbes and Motley Fool are bullish on RIMM based on the highly profitable Q3, 2006 results.

The Innovation Index has returned 119% over the last five years. $100 invested in The Innovation Index on December 31, 2001 returned $219 as of December 29, 2006. By comparison, $100 invested in each of S & P 500, NASDAQ and Dow Jones Index returned $124. The Innovation Index beats the S & P 500, NASDAQ and Dow Jones Index by 77% over the last five years.

The Innovation Index Annual Report

I am planning to post an annual report of the top 20 Innovators of The Innovation Index during the second week of January, 2007. The report will include insights gained from the top 20 Innovators, top Innovations introduced during 2006, lessons learned, 2007 projections, and observations on Disruptors challenging the top 20 Innovators.

Download Apple's Innovation Strategy and Learn how Steve Jobs made Apple the #1 Innovative company in the world.

Download Now

About The Innovation Index

The Innovation Index introduced in December, 2006 is a weighted stock price index of the top 20 Innovators in North America. America Movile (NYSE: AMX) and Yahoo! Inc. (NASDAQ: YHOO) were added to The Innovation Index at the end of 2006.

The alphabetical list of the top 20 Innovators of The Innovation Index along with their stock ticker symbols are presented below:

3M Company - (NYSE: MMM)
Amazon.com, Inc. - (NASDAQ: AMZN)
America Movile - (NYSE: AMX)
Apple Computer, Inc. - (NASDAQ: AAPL)
Cisco Systems, Inc. - (NASDAQ: CSCO)
Dell Inc. - (NASDAQ: DELL)
eBay Inc. - (NASDAQ: EBAY)
General Electric Co. - (NYSE: GE)
Google Inc. - (NASDAQ: GOOG)
Hewlett-Packard Co. - (NYSE: HPQ)
Intel Corporation - (NYSE: INTC)
International Business Machines Corp. - (NYSE: IBM)
Microsoft Corporation - (NASDAQ: MSFT)
Research In Motion Limited - (NASDAQ: RIMM)
Southwest Airlines Co. - (NYSE: LUV)
Starbucks Corporation - (NASDAQ: SBUX)
Target Corp. - (NYSE: TGT)
The Proctor & Gamble Company - (NYSE: PG)
Wal-Mart Stores, Inc. - (NYSE: WMT)
Yahoo! Inc. - (NASDAQ: YHOO)

The Innovation Index will analyze the positions and standings of the top 20 Innovators at the end of each year. For 2007, there will be no further changes in The Innovation Index.

0 Response to "The Innovation Index up 3% in 2007"

Post a Comment

Iklan Atas Artikel

Iklan Tengah Artikel 1

Iklan Tengah Artikel 2

Iklan Bawah Artikel