5 Best Long Term Stocks To Watch Right Now

Imagine you've located the perfect stock.

Based on your research and intuition, the company will make a very positive impact on your long-term portfolio's bottom line. The only question left is when to buy. 

Although timing into the market isn't as important for long holding periods as it is for short-term trading, investors with an eye on the long term can improve results by implementing the trade entry methods of short-term active traders.  

The difference is that instead of using minute to hour price timeframes for decision making, the long-term investor will use day or week price timeframes in an attempt to nail the perfect entry level. The perfect entry level is one from which the price barely pulls back, if at all, before taking off on the upside. 

There are two schools of thought when it comes to purchasing a stock: momentum and pullback. 

Momentum investing is when one waits for the share price to break out above a level before buying. The theory behind momentum investing is that the underlying pressure lifting the share price will continue after you enter the trade. Momentum investing works best on stocks that are heavily in the news and when a pending catalyst is believed to have a bullish effect. Here's an example of a stock that made for a good momentum entry.

Top 10 Small Cap Companies To Watch In Right Now: Prospect Capital Corporation(PSEC)

Prospect Capital Corporation is a mezzanine finance and private equity firm that specializes in late venture, middle market, mature, mezzanine, buyouts, recapitalizations, growth capital, development, and bridge transactions. It makes secured debt and equity investments. The firm typically invests across all industry sectors, with a particular expertise in the energy and industrial sectors. It invests in oil and gas production, coal production, materials, industrials, consumer discretionary, information technology, utilities, pipeline, storage, power generation and distribution, renewable and clean energy, oilfield services, healthcare, food and beverage, education, business services, and other select sectors. The firm prefers to invest in the United States and Canada. It seeks to invest between $5 million to $50 million in companies with EBITDA between $$ million and $75 million, sales value up to $500 million, and enterprise value of up to $250 million. The firm also co- invests for larger deals. It seeks control acquisitions by providing multiple levels of the capital structure. Prospect Capital Corporation was founded in 1988 and is based in New York, New York.

Advisors' Opinion:

• [By Rick Munarriz]

  We can start with Prospect Capital (NASDAQ: PSEC  ) .

  The business development company declared its next four monthly distributions on Monday of last week, a day before posting fresh financials. Prospect Capital will be increasing its rate every month -- yes, it pays monthly distributions -- from June through at least September.

5 Best Long Term Stocks To Watch Right Now: Schlumberger N.V.(SLB)

Schlumberger Limited, together with its subsidiaries, supplies technology, integrated project management, and information solutions to the oil and gas exploration and production industries worldwide. The company?s Oilfield Services segment provides exploration and production services; wireline technology that offers open-hole and cased-hole services; supplies engineering support, directional-drilling, measurement-while-drilling, and logging-while-drilling services; and testing services. This segment also offers well services; supplies well completion services and equipment; artificial lift; data and consulting services; geo services; and information solutions, such as consulting, software, information management system, and IT infrastructure services that support oil and gas industry. Its WesternGeco segment provides reservoir imaging, monitoring, and development services; and operates data processing centers and multiclient seismic library. This segment also offers variou s services include 3D and time-lapse (4D) seismic surveys to multi-component surveys for delineating prospects and reservoir management. The company?s M-I SWACO segment supplies drilling fluid systems to improve drilling performance; fluid systems and specialty tools to optimize wellbore productivity; production technology solutions to maximize production rates; and environmental solutions that manages waste volumes generated in drilling and production operations. Its Smith Oilfield segment designs, manufactures, and markets drill bits and borehole enlargement tools; and supplies drilling tools and services, tubular, completion services, and other related downhole solutions. The company?s Distribution segment markets pipes, valves, and fittings, as well as mill, safety, and other maintenance products. This segment also provides warehouse management, vendor integration, and inventory management services. Schlumberger Limited was founded in 1927 and is based in Houston, Texas.

Advisors' Opinion:

• [By David Smith]

  I noted in Part 1 that Schlumberger (NYSE: SLB  ) , easily the largest participant in the oilfield services space, is appropriate for subsea investing. The same can be said of seismic. The company's WesternGeco unit leaves its competition in the dust -- or water -- from the perspective of both size and technological sophistication.

5 Best Long Term Stocks To Watch Right Now: Boise Inc (BZ)

Boise Inc., incorporated on February 1, 2007, is a manufacturer of packaging and paper products, including corrugated containers and sheets, containerboard, protective packaging products, imaging papers for the office and home, printing and converting papers, label and release papers, newsprint and market pulp. The Company operates in the United States, Europe, Mexico, and Canada. The Company operates in three segments: Packaging, Paper, and Corporate and Other. The Company�� newsprint is sold primarily to newspaper publishers in the southern and southwestern the United States. During the year ended December 31, 2012, approximately 38% of the Company�� uncoated freesheet paper was sold to OfficeMax Incorporated, its customer.

Packaging

In the Packaging segment, the Company manufactures and sells linerboard, containerboard, corrugated containers and sheets, protective packaging products, and newsprint. Linerboard is a paperboard, which when combined with corrugating medium is used in the manufacture of corrugated sheets and containers. Corrugated sheets are containerboard sheets that are sold primarily to converters that produce a variety of corrugated products. Corrugated containers are corrugated sheets that have been fed through converting machines to create containers, which are used in the packaging of fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products. Stock boxes are corrugated containers manufactured to pre-set dimensions.

Protective packaging products include multi-material customized packaging solutions, which may utilize kraft paper-based honeycomb corrugated packaging, foamed plastics, and air pocket packing materials Newsprint is a paper commonly used for printing newspapers, other publications, and advertising material. During the year ended December 31, 2012, its Packaging segment produced approximately 613,000 short tons of linerboard, and its Paper segment produced approximately 135,000 short tons! of corrugating medium. It manufactures linerboard and newsprint on two machines at its mill in DeRidder, Louisiana. It also manufactures corrugated containers and sheets and protective packaging products at 26 plants located in North America and Europe.

Paper

In its Paper segment, the Company manufactures and sells three general categories of products: communication-based papers; packaging-based papers, and market pulp. Its communication-based papers include cut-size office papers, and printing and converting papers. Its Packaging-Demand-Driven Papers include Label and release papers, Flexible packaging papers, and Corrugating medium. Printing and converting papers are used by commercial printers or converters to manufacture envelopes, forms, and other commercial paper products.

Its packaging-based papers include label and release papers and corrugating medium. The Label and release papers include label facestocks, as well as release liners. The coated and uncoated papers sold to customers create packaging products for food and nonfood applications. Market pulp is sold to customers in the open market for use in the manufacture of paper products. The Company manufactures its Paper segment products at three mills, all located in the United States.

Corporate and Other

The Company�� Corporate and Other segment includes transportation assets, such as rail cars and trucks, which it uses to transport its products from its manufacturing sites. The Company provides transportation services not only to its own facilities but also, on a limited basis, to third parties. Rail cars and trucks are typically leased.

The Company competes with International Paper Company, Rock-Tenn Company, Georgia-Pacific LLC, Packaging Corporation of America, Longview Fibre Paper, Packaging, Inc, Green Bay Packaging Inc., KapStone Paper, TexCorr, L.P., Resolute Forest Product, SP Newsprint Co. and Domtar Corporation.

Advisors' Opinion:

• [By David Sterman]

  That was precisely the rationale behind Packaging Corp. of America's (NYSE: PKG) just-announced $2 billion (in cash and assumed debt) acquisition of rival Boise (NYSE: BZ). The deal will create a $6 billion (in sales) behemoth in the cardboard box industry.

5 Best Long Term Stocks To Watch Right Now: Polypore International Inc(PPO)

Polypore International, Inc., a technology filtration company, develops, manufactures, and markets specialized microporous membranes used in separation and filtration processes. It operates in two segments, Energy Storage and Separations Media. The Energy Storage segment offers membranes that provide the function of separating the cathode and anode in applications, including lithium-ion batteries that are used in portable electronic devices, energy storage systems, cordless power tools, and electric drive vehicles; and lead-acid batteries used in automobiles, other motor vehicles, forklifts, and uninterruptible power supply systems. The Separations Media segment provides membranes that are used as high technology filtration element in various medical and industrial applications. This segment?s membranes and membrane modules are used in applications, such as hemodialysis, blood oxygenation, plasmapheresis and various high-performance microfiltration, ultrafiltration, and g asification/degasification applications. Polypore International, Inc. sells its products to manufacturers and converters who incorporate its products into their finished goods. The company sells its products and services in North America, South America, Europe, and Asia through its direct sales force, and distributors and agents. The company is headquartered in Charlotte, North Carolina.

Advisors' Opinion:

• [By John Udovich]

  When most people think of electric vehicle stocks, they probably think of troubled Tesla Motors Inc (NASDAQ: TSLA) or one of the several Chinese stocks active in the space, but North America based large cap Magna International Inc (NYSE: MGA) and small caps Polypore International, Inc (NYSE: PPO), UQM Technologies Inc (NYSEMKT: UQM) and Green Automotive Company (OTCMKTS: GACR) are all players, one way or the other, in the electric vehicle space that most investors have probably overlooked or just aren�� aware of. Of course, we can argue�about whether or not purely electric vehicles or some sort of hybrid vehicles are the way of the future, but what cannot be argued about is the fact that the following electric vehicle stocks are at the forefront of EV or�hybrid technology and design:

• [By Jake L'Ecuyer]

  Shares of Polypore International (NYSE: PPO) got a boost, shooting up 14.54 percent to $39.77 after the company reported Q1 results. DA Davidson upgraded Polypore from Neutral to Buy and lifted the price target from $36.00 to $42.00.