[arduino] Convert serial.read() into a useable string using Arduino?

Use string append operator on the serial.read(). It works better than string.concat()

char r;
string mystring = "";

while(serial.available()){
    r = serial.read();
    mystring = mystring + r; 
}

After you are done saving the stream in a string(mystring, in this case), use SubString functions to extract what you are looking for.