The past few weeks have shown that inflation still remains a problem, and that consumers may be close to tapping out. That’s slowed down the move higher in retail stocks, many of which had started moving higher in the autumn ahead of the holiday season. However, the market selloff over the past year has already created a number of values. With fear dominating some sectors today, buying industry leaders may prove ideal for finding market-beating returns in the months and years ahead. For instance, electronics retailerBest Buy (BBY) just received a downgrade ahead of its next earnings ...

Usually, Wall Street loves companies that have recurring revenue. That means they get to charge customers on a regular basis, rather than during a single sale. Many tech companies have embraced the model, as it means a steadier source of revenue. However, shifting to a recurring revenue model can cause some trouble. That’s because some companies have built up other successful models, such as one-time sales or as multi-year contracts that are billed up front. That latter category applies toAutodesk (ADSK). The software design company may see its free cash flow drop in fiscal 2025 as i...

When it comes to tech, it’s easy for investors to get burned. That’s because any one tech company may only play to a trend that goes in and out of fashion. Investors who jumped into alternative energy, cryptocurrencies, or anything related to electric vehicles may agree. However, a tech company that can play to multiple trends can fare well for investors over time. That’s because it can continue to grow, even as some trends go out of favor with the market. That’s why we’re fans ofNvidia (NVDA). The graphics card processing company has had some ups and downs with the crypto market, as...

The information age has rewarded those who can package data in digestible ways. That’s rewarded companies like social media firms, which have allowed for users to share content with those in their networks. And it’s allowed bigger tech companies to consolidate data that can make analytical predictions about consumer tastes and behavior. In short, content is king – and only a few companies are able to consistently profit from it. In China,Baidu (BIDU) has a similar role to the one thatGoogle (GOOG) plays in the United States. It’s an information technology company. And it’s performing...

While the market has had a strong start to the year, stocks are turning down again. That’s not a problem for investors who focus on value. That includes companies with strong brands, as well as on companies that can offer steady and growing dividend payouts. These companies may not always be big winners, but they tend to hold their own in down markets. And that can lead to winning performance over time. That’s particularly true for companies that can pass on higher costs to consumers. One winner isGeneral Mills (GIS). The food producer just raised its forecasts for its fiscal year, e...

Companies exist to provide a product or service. The best and most profitable companies do so in a way that solves a problem – real or perceived – for consumers. Creating new and simplified ways of doing business, for instance, can create a great investment opportunity. That’s because improving a process means that a company can profit from every transaction, even if it’s to such a small degree. This is the way that credit card companies have become a fantastic investment for long-term investors. The payment process has gotten even simpler. Companies likeToast (TOST) have created a w...

Utility companies tend to offer steady returns, but at a cost. Growth is limited, thanks to regulatory concerns. However, some utilities can fare better than others, either because they’re in growing markets, or because they face less regulatory scrutiny. One such area is in waste management, aka, garbage hauling. This service is often provided to municipalities by an oligopoly of companies. These companies are able to earn reasonable returns, particularly for patient investors. The biggest player in the space isWaste Management (WM). It’s up 7 percent over the past year. Compared to...

Stocks and sectors tend to ebb and flow. The unusual economy of the past few years has caused some sectors to get overly bullish, and now with the market pullback over the past year, overly pessimistic. That’s creating some reasonable values for long-term investors, particularly those who are patient waiting for growth trends to play out. That’s especially true with many tech stocks, which got hit hard in last year’s market selloff. In the tech space, chip manufacturers have a bright few  years ahead. However, the outlook now is still murky amid a slowing economy. That hasn’t stopped...

Investors have plenty of trends that they can follow to profits. One of the easiest – or at least biggest source—of profits to follow is the massive amount of government spending. That’s led to some people investing in highly regulated utilities, or even in aerospace and defense contractors for steady profits. However, times are changing. And the battlefields of the 21st century may not even have a physical location. There’s a tech-themed way to invest in this growing area of government spending. That area is in artificial intelligence and big data. And companies likePalantir Technol...

Travel still remains below its pandemic levels, however, that could change this year. Companies in the travel and tourism space report robust demand, even with other parts of the economy showing a decline. One area with reasonable upside here is in hotel-related companies. That’s because booking trends have proven strong, even going into the new year and past the holiday season. Among the hotel stocks,Marriott (MAR) looks well-positioned here. The hotel chain just beat on earnings, and the stock is fairly valued at 21 times forward earnings, down from 30 times last year. With book...