Two great stocks with great potential

Yesterday a friend of mine talked about two stocks that have great potential because of his kind of business.

The first one is Nuance Communications (NUAN). Is a provider of voice solutions for technology devices like mobile telephones. Its benefits are growing at 15% annually.  Has a PE of 18 times after several years of losing money. It has done a lot of acquisitions in the last year. Today with a capitalization of 9b$, the 75% of its sales come from USA and 40% from health care devices. The mobile and consumer devices are nearly 30% of its revenues and are growing. The insiders have very few shares of the company but there are 743 mutual funds invested there.

If it can stay over the 29$ can go on in its up path.

The second one is Yum Brands (YUM). It is an operator of 37000 franchise quick service restaurants in 110 countries. KFC, Pizza Hut, Taco Bell, Long John Silvers and All-American Food Restaurants are the brand that they operate. It's a mature company but this year will open 1500 restaurant mainly in Asia.

It has a benefit that grows 15% every year and a PE of 22 times. Has a great ROE of 73% and very little debt. It has a capitalization of 29b$ with very few debt.  Pays a dividend that represents a yield of 1,5%. Hasn't significant insiders and 1403 mutual funds are invested there.

After it has gone throw 57$, has been in a solid up with no resistance. When it forms a new base could be a good stock pick.