The Four Top Investors are:

• Warren Buffett, CEO of CEO, Berkshire Hathaway
• Thyra Zerhusen, Chief Investment Officer, Optimum Investment Advisors
• David Herro, Portfolio Co-Manager, Oakmark International Fund
• Susan Byrne, Chief Investment Officer, Westwood Holdings

 Buffett is usually eager to buy American brands like General Electric (NYSE: GE), Coca-Cola (NYSE: KO) and Harley-Davidson (NYSE: HOG) for his investment portfolio—but when the price is right elsewhere, he’ll change direction. And as it turns out, he’s just as willing to make over his company as he is his wardrobe.

Recently Buffett successfully managed the groundbreaking $26.3 billion acquisition of Burlington Northern Santa Fe (NYSE: BNI). To help raise money for the purchase, Berkshire sold shares of long-held names like Johnson & Johnson (NYSE: JNJ), Procter & Gamble (NYSE: PG) and Kraft (NYSE: KFT). And other signs have recently emerged that Buffett is less inclined to play the market: At his 2010 annual shareholder’s meeting, Buffett and his longtime partner Charlie Munger floated the possibility of paying a dividend, a previously sacrilegious idea that would further shrink Berkshire’s pool of investable money.

Here is Buffett’s Top Stock Picks.

Buffett has sold shares of some of his favorite names over the past year, but he’s quietly bought these companies’ stock.

Republic Services (NYSE: RSG)
Fast-growing waste-management company also pays a healthy dividend.

Becton Dickinson (NYSE: BDX)
Uncertainty about health care reform made shares of this medical-device maker look cheap.

Iron Mountain (NYSE: IRM)
Information-management firm is benefiting from fears about cyber-snooping.

Tesco (Other OTC: TSCDY.PK)
UK-based 4,800-store chain has been adept at adapting to local markets worldwide—including, since 2007, in the U.S.

Pharma companies at the 2009 J.P. Morgan Healthcare Conference cited a willingness to do ‘more deals and bigger deals’.  This will hopefully give the required stimulus for the Biotech sector.  J.P. Morgan has released a list of Biotech stocks with “high strategic value” in 2010.

1. Acorda Therapeutics(ACOR)
2. AMAG Pharmaceuticals(AMAG)
3. OSI Pharmaceuticals(OSIP)
4. Medivation(MDVN)
5. United Therapeutics(UTHR)
6. Vertex Pharmaceuticals(VRTX)
7. Human Genome Sciences(HGSI)
8. Seattle Genetics(SGEN)
9. Savient Pharmaceuticals(SVNT)

Lehman Brothers also issued its 2010 biotech forecast “Opportunities for the U.S. biotechnology group are selective and we tend to prefer small-mid cap stocks over large-cap stocks overall”.  Their list includes:

1. Amylin Pharmaceuticals(AMLN)
2. Cephalon(CEPH)
3. Human Genome Sciences
4. Onyx Pharmaceuticals(ONXX)
5. Regeneron Pharmaceuticals(REGN)

Below are lists of the top 10 open-market insider purchases and sales filed at the Securities and Exchange Commission in January 2010,  as ranked by dollar value. Company executives and directors are in the best position to assess the attractiveness of their firms’ shares, and here is how many of them are voting their wallets! Please note, however, that these are factual lists, not buy and sell recommendations. Dollar value is only one metric to assess the importance of an insider transaction.

The Marine Detail Sponge removes scuff and dock marks; polishes propellers; and removes dirt, scum, grease, oil, fish blood and salt residue, all while being safe for use on water crafts, fish finders, and GPS systems. The system also comes with an “Eliminator™ Chamois” which holds 8 times its weight in water and dries each vessel to a high shine.

SpongeTech’s COO Steven Moskowitz commented, “The marine products add significant value to our already popular product lines. We believe this is just what the marine industry needs to help keep boats and water crafts cleaner with an affordable multi-use product.”

The Marine Wash & Wax System is available to purchase online and is expected in retail locations this year.

SpongeTech® Delivery Systems is a company which designs, produces, and markets unique lines of reusable cleaning products for Car Care, Child Care, Home Care and Pet Care usages. These sponge-like products utilize SpongeTech’s proprietary, patent (and patent-pending) technologies and other technologies involving hydrophilic (liquid absorbing) foam, polyurethane matrices or other ingredients. The Company’s sponge-like products are pre-loaded with specially formulated ingredients such as soap, conditioner and/or wax that are released when the sponge is soaked and applied to a surface with minimal pressure. SpongeTech is currently exploring additional applications for its technology in the health, beauty, and medical markets. SpongeTech® Delivery Systems, Inc. intends to globally brand its products as The Smarter Sponge™.

“We anticipate nice weather and look forward to meeting all our investors. But even if Mother Nature doesn’t cooperate, our Grand Opening will go on,” said Matthew Schissler, co-founder and CEO. The facility is at 1857 Helm Drive, Las Vegas 89119, near the city’s airport in the Spencer Airport Business Park.

Biotechnology is technology based on biology, agriculture, food science, and medicine. Modern use of the term usually refers to genetic engineering as well as cell- and tissue culture technologies.

Biotechnology has applications in four major industrial areas, including health care (medical), crop production and agriculture, non food (industrial) uses of crops and other products (e.g. biodegradable plastics, vegetable oil, biofuels), and environmental uses.

For example, one application of biotechnology is the directed use of organisms for the manufacture of organic products (examples include beer and milk products). Another example is using naturally present bacteria by the mining industry in bioleaching. Biotechnology is also used to recycle, treat waste, clean up sites contaminated by industrial activities (bioremediation), and also to produce biological weapons.

There are different brances of  Biotechnology as a science. Red biotechnology is applied to medical processes. Some examples are the designing of organisms to produce antibiotics, and the engineering of genetic cures through genomic manipulation.  In this article we will look into red biotechnology primarily.

Most traditional pharmaceutical drugs are relatively simple molecules that have been found primarily through trial and error to treat the symptoms of a disease or illness. Biopharmaceuticals are large biological molecules known as proteins and these usually target the underlying mechanisms and pathways of a malady (but not always, as is the case with using insulin to treat type 1 diabetes mellitus, as that treatment merely addresses the symptoms of the disease, not the underlying cause which is autoimmunity); it is a relatively young industry. They can deal with targets in humans that may not be accessible with traditional medicines. A patient typically is dosed with a small molecule via a tablet while a large molecule is typically injected.

Small molecules are manufactured by chemistry but larger molecules are created by living cells such as those found in the human body: for example, bacteria cells, yeast cells, animal or plant cells.

Modern biotechnology is often associated with the use of genetically altered microorganisms such as E. coli or yeast for the production of substances like synthetic insulin or antibiotics. It can also refer to transgenic animals or transgenic plants, such as Bt corn. Genetically altered mammalian cells, such as Chinese Hamster Ovary (CHO) cells, are also used to manufacture certain pharmaceuticals. Another promising new biotechnology application is the development of plant-made pharmaceuticals.

A newspaper said the state-run airline was claiming 710 million dollars from the US planemaker for failing to deliver 27 B-787 aircraft on time.

“The cancellation orders have already been issued by my engineering department,” Air India chairman and managing director Arvind Jadhav was quoted as saying by the newspaper.

He alleged that Boeing’s failure to deliver the 27 B-787 planes had caused large losses for the company.

“The entire schedule of Air India has gone haywire. We have put a claim of 710 million dollars for their failure to deliver the aircrafts to us in time,” the Air India chief told the newspaper.

Spokesmen for both Air India and Boeing declined immediate comment on the report.

Air India in 2006 signed a formal agreement to buy 68 Boeing airplanes in a deal that was estimated to be worth around eight billion dollars.

The carrier said it would buy 23 777s, 27 787-8 Dreamliners and 18 next-generation 737-800s.

The list price for a single aircraft varies from 165 million to 200 million dollars but Air India was believed to have negotiated a lower price because of its large order.

The airline faces a financial crisis after posting an estimated one billion dollar loss for the fiscal year ended March 31 and is hoping for a big government rescue package.

Faced with a sharp downturn in air traffic and overcapacity, it is also seeking to cut overhead costs by rationalising routes and aircraft deliveries.

The truth is, it’s hard to find a successful large-cap biotechnology company because most get acquired before they reach large-cap status. Companies in biotech  industry are always in need of cash, whereas  big pharmaceutical firms are cash-rich and are  in desperate need of pipeline drugs.  These small-cap biotech start up firms are there easy catch.

Most biotechnology companies are started by a brilliant scientist with an idea, sadly a brilliant scientist is not always a brilliant businessman.  These companies dream of becoming the next Genentech, Amgen, or Genzyme. But building a successful biotechnology company takes a lot more than just a brilliant scientist with a great idea.

Most of the biotech companies trade at sub-$1 levels, because biotech drug development is both extremely expensive and very high-risk. As a result, most biotechnology companies either fail in the clinical program or run out of money while trying.  Most pharmaceutical names are sitting on billions of dollars in cash, while their late-stage research pipelines are drying up.

Most Biotech company management  are overconfident, under experienced, and fail to truly understand the competitive landscape for their drug. This results in biotech companies reluctant to partner with pharmaceutical companies too early in the development process, because they think they can either do it alone or they will command a far greater price the further along they develop the asset. 

In theory, this is true. The difficulties of commercializing a successful biotech drug, however, only increase as development pushes further along. And successfully completing a Phase III trial is not the finish line, it is just the start of a whole new marathon that now includes preparing an NDA/BLA, getting that application passed by the FDA, manufacturing the drug, and then, managing a sales force, as well as Wall Street expectations. As a result, an asset that was partnerable after encouraging Phase II data becomes unpartnerable after the Phase III trial fails or the FDA requests additional data prior to approval.

What  they are  Penny Stocks?

While we all dream about investing in the next Microsoft or the next Home Depot, the truth is, the odds of you finding that once in a decade success story are slim. These companies are either starting out and purchased a shell company because it was cheaper than an IPO, or they simply do not have a business plan compelling enough to justify investment banker’s money for an IPO. This doesn’t make them a bad investment, but it should make you be realistic about the kind of company that you are investing in.

Trading Volumes

Look for a consistent high volume of shares being traded. Looking at the average volume can be misleading. If ABC trades 1 million shares today, and doesn’t trade for the rest of the week, the daily average will appear to be 200 000 shares. In order to get in and out at an acceptable rate of return, you need consistent volume. Also look at the number of trades per day. Is it 1 insider selling or buying? Liquidity should be the first thing to look at. If there is no volume, you will end up holding “dead money”, where the only way of selling shares is to dump at the bid, which will put more selling pressure, resulting in an even lower sell price.

 Does the company know how to make a profit?

While its not unusual to see a start up company run at a loss, its important to look at why they are losing money. Is it manageable? Will they have to seek further financing (resulting in dilution of your shares) or will they have to seek a joint partnership that favors the other company?

If your company knows how to make a profit, the company can use that money to grow their business, which increases shareholder value. You have to do some research to find these companies, but when you do, you lower the risk of a loss of your capital, and increase the odds of a much higher return. 

Have an entry and exit plan – and stick to it

Penny stocks are volitile. They will quickly move up, and move down just as quickly. Remember, if you buy a stock at $0.10 and sell it at $0.12, that represents a 20% return on your investment. A 2 cent decline leaves you with a 20% loss. Many stocks trade in this range on a daily basis. If your investment capital is $10 000, a 20% loss is a $2000 loss. Do this 5 times and you’re out of money. Keep your stops close. If you get stopped out, move on to the next opportunity. The market is telling you something, and whether you want to admit it or not, its usually best to listen.

If your plan was to sell at $0.12 and it jumps to $0.13, either take the 30% gain, or better still, place your stop at $0.12. Lock in your profits while not capping the upside potential.

How did you find out about the stock?

Most people find out about penny stocks through a mailing list. There are many excellent penny stock newsletters, however, there are just as many who are pumping and dumping. They, along with insiders, will load up on shares, then begin to pump the company to unsuspecting newsletter subscribers. These subscribers buy while insiders are selling. Guess who wins here.

Not all newsletters are bad. Having worked in the industry for the last 8 years, I have seen my share of unscrupulous companies and promoters. Some are paid in shares, sometimes in restricted shares (an agreement whereby the shares cannot be sold for a predetermined period of time), others in cash.

How to spot the good companies from the bad? Simply subscribe, and track the investments. Was there a legitimate opportunity to make money? Do they have a track record of providing subscribers with great opportunities? You’ll start to notice quickly if you have subscribed to a good newsletter or not.

One other tip I would offer to you is not to invest more than 20% of your overall portfolio in penny stocks. You are investing to make money and preserve capital to fight another battle. If you put too much of your capital at risk, you increase the odds of losing your capital. If that 20% grows, you’ll have more than enough money to make a healthy rate of return. Penny stocks are risky to begin with, why put your money more at risk?