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7 Small Cap Value Stocks that Should Make Your List

7 Small Cap Value Stocks that Should Make Your List

1 2 As you search the market for the next opportunity, it can be difficult to gauge where things will go. With so many stocks significantly off their March lows and seeing earnings deteriorate, it’s possible that the market takes a breather here before establishing its next phase. In the next bull phase, there is a likelihood that small cap stocks begin to outperform. Also, it may not just be any small cap stock, it may be small cap value companies that have solid balance sheets. What capitalization is easy to define, the value of a company can be very subjective. Should it be compare...
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Is the Options Market Signaling Another Down Move in Airlines?

Is the Options Market Signaling Another Down Move in Airlines?

The U.S. Global JETS ETF (NYSEARCA: JETS) is a fund that provides investors access to the global airline industry through airline operators and manufacturers. It’s top three holdings are United Airlines Holdings Inc (NASDAQ: UAL), American Airlines Group Inc (NASDAQ: AAL) and Delta Air Lines, Inc (NYSE: DAL). Other non-airline holdings are Textron Inc (NYSE: TXT) and General Dynamics Corporation (NYSE: GD). When news from Norwegian Cruise Line Holdings Ltd (NYSE: NCLH) came regarding extending the suspension of voyages to September, it was pretty clear that the travel industry will be s...
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Top 4 Undervalued S&P 500 Stocks to Have on your Radar

Top 4 Undervalued S&P 500 Stocks to Have on your Radar

1 2 This is an interesting time to look at value investing opportunities. Earnings trends have been difficult and the potential for a “value trap” is high. A value trap is a company that appears to be trading at a discount but is really in jeopardy of seeing earnings and revenues decline or may have debt issues that may force it into bankruptcy. As you consider whether a company is a value, there’s some different paths you can take. You can focus on the balance sheet and consider the book value of a company and consider how may times the book value the price is trading. This measure i...
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4 Healthcare AI Stocks to Buy

4 Healthcare AI Stocks to Buy

1 2 One of the biggest changes that may be coming in a post COVID-19 world is in healthcare. With so many hospitals having to shut down large portions of their operations in order to be ready for a surge in hospitalizations due to the virus, the financial future seems problematic. The disruptive potential in artificial intelligence (AI) technology is huge and it seems to be hitting at a just the right time. When things normalize, it’s possible that the medical profession will have to streamline and it’s possible that they will be more inclined than ever to seek out technology as a mea...
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The Bullish Unusual Option Activity for this Chinese EV Maker is Piling up

The Bullish Unusual Option Activity for this Chinese EV Maker is Piling up

NIO Inc (NYSE: NIO) is a Chinese company that manufactures electric vehicles that are sold in the People’s Republic of China, Hong Kong, the United States, the United Kingdom and Germany. The company was recently upgraded by Goldman Sachs from neutral to buy and began to really take off after Nikola Corporation (NASDAQ: NKLA) began trading on June 4. The company also announced record deliveries in May on June 4, 2020. As the positive news piles up, so has the option activity. The call option activity on Tuesday was 1.3 times the average with 45% of the volume getting filled at the ask p...
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This was the Most Bought Stock by Insiders Last Week

This was the Most Bought Stock by Insiders Last Week

There are different ways to classify the “most bought.” It could be the number of shares, the number of insiders, the number of buy transactions, and the dollar value of the buying. In this circumstance, it comes down to the number of shares being purchased with a minimum of two transactions. Between June 1 and June 5, RCM Technologies Inc (NASDAQ: RCMT) saw insiders buy 1.1 million shares for a total value of $1.32 million in two separate transactions. RCMT is a microcap that is a business technology company. The buyers were Roger Ballou, director, Kevin Miller, CFO, and Vizi Bradley, ...
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5 Undervalued Tech Stocks to Buy Now

5 Undervalued Tech Stocks to Buy Now

1 2 The technology sector has been a huge outperformer for well over a year. If you were to take a ratio of the tech-heavy Nasdaq 100 to the S&P 500, you would see the trend in the relative strength highly favor the Nasdaq since the December 2018 low. It’s not exactly unusual to see technology lead in a bull market, but that’s not exactly what we’ve been experiencing. However, the predominance of a handful of tech names have weighed heavily on the market and has led to this dynamic. As you break down the Nasdaq, you can look at the percentage of stocks above their 20-day, 50-da...
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3 Retail Stocks with High Short Interest to Buy

3 Retail Stocks with High Short Interest to Buy

1 2 As many parts of the country look to partially reopen after May 1, the opportunity appears to be filtering down to the retail space that has been hit hard. Since April 3, 2020, the SPDR S&P Retail ETF (XRT) has underperformed the S&P 500 by nearly 15%.  That certainly makes sense given the fact that many stores are closed and may see earnings get hit hard if we enter a major recession. However, like many stocks, the market oftentimes looks at the change in expectations as a reason to buy, and opening stores sooner rather than later may change near-term expectations. As you...
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3 Low Debt, High Cash Mid Cap Value Stocks to Buy

3 Low Debt, High Cash Mid Cap Value Stocks to Buy

1 2 As you look at the major market indices, the movement is being dominated by a handful of stocks. You can probably reel off their names by heart because you probably use their devices, software, shopping platform or social media app. These behemoths are the market, and so when the market goes down, these stocks will likely lead it lower. As a result, trying to look behind the scenes at companies that don’t drive the market can be significant. Since indices typically use market capitalization as a measure to weight the individual stock weight, you can use market cap to find smaller ...
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5 Healthcare REITs to Buy Now as the US Now Leads the World in COVID-19 Cases

5 Healthcare REITs to Buy Now as the US Now Leads the World in COVID-19 Cases

1 2 A real estate investment trust is a company that owns, operates or finances real estate. The corporate structure is a pass-through entity for tax purposes as investors pay taxes and not the company. One requirement of the REIT to keep this status is that they have to pass through 90% of the company’s taxable income as dividends. This feature is attractive for investors seeking current income and it helps the REIT attract capital for investment in real estate projects or other investments. Like stocks, REITs fall into different sectors of the economy, but are all classified as REIT...
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