One of the most valuable things a company can do is become a key provider of products or services to the point where they can raise prices without losing much, if any, market share. This pricing power can be crucial for beating inflation. And it can also mean a good investment for shareholders, as being able to raise prices ensures that profit margins stay high. One industry leader with pricing power isCorning (GLW). The specialty glassmaker just raised prices by 20 percent, citing higher costs. And as a key supplier for displays such as smartphones and televisions, Corning is unlike...

Many companies were caught during the pandemic as borders shut down. Without reliable just-in-time delivery systems operating, they’ve been working to diversify their manufacturing operations. For higher-level goods such as semiconductors, this means reversing a multi-decade trend to once again make goods in America. Signs of this trend have just started to pop up, and they’ll likely increase in the years ahead. While there may be higher labor costs to manufacture stateside, most businesses see the development as a positive one. For instance,Apple (AAPL) just announced that it will s...

It’s easy to say that there’s a lot of market uncertainty right now. But no matter what happens, there will always be uncertainty. And investors who wait for a clearer picture on how things develop don’t get great prices when buying assets. That’s why value investors start to buy during market panics, even if it’s not near the bottom. Today, investors can find companies that are making big investments now, even amid all the uncertainties facing markets today. While the economy looks like it’s slowing overall, there’s also a lot of spending coming from the government to support the do...

Sometimes a company makes a misstep that can cost it customers in the short term. Other times, a misstep can be more permanent in nature. The question is how each specific opportunity plays out. Since each situation is different, it helps to look at the strength of the market reaction. And how competitors are faring as well. If a company faces trouble in a bear market, it may get overlooked. But it may also shine a favorable light on a competitor. Recently,Anheuser-Busch InBev (BUD) saw sales of Bud Light drop due to a recent advertising controversy. While shares have slid, they’re d...

The economic data in the past week shows a slowdown in consumer spending. As a major part of the economy, that’s a big deal. Yet retailers are reporting better-than-expected numbers. That suggests there may have been too much pessimism in the short term. It also suggests retailers with a cost advantage can likely fare well in today’s environment. That bodes well for most big box players. But one is king of them all. That winner isWalmart (WMT). Their earnings not only beat expectations, but they raised their outlook for the year ahead – in contrast to other major retailers. Althou...

Most investors didn’t expect the banking sector to get into trouble this year. Generally, rising interest rates are good for banks. They make fewer loans, albeit at higher rates. However, many banks used the low-rate era to invest in Treasury bonds at lower yields. That’s led to the second, third, and fourth-largest bank failures in U.S. history this year. It’s possible that they won’t be the last. But while the banking sector is down, it’s not quite out. Several regional banks are updating investors on their deposit levels, and the news is largely good. It’s helpedWestern Alliance B...

While stocks have trended higher overall in the past few months, one part of the market has seen major interest from hedge funds and retail investors alike. That area? Artificial intelligence (AI). Companies that have been developing AI programs or otherwise moved towards servicing the growing tech niche have seen their share price rise. That’s a trend likely to continue. And it may give conservative investors some big-cap names to target. One of the biggest players isNvidia (NVDA). The manufacturer of graphics cards has pushed strongly into developing products that play specifically...

Most industries tend to consolidate over time. That’s because they start out with a large number of players. As those who are overleveraged or poorly managed go bust, the better-run companies start to buy up worthy competitors to build their market share. This trend is currently underway in the gold sector. A number of deals have occurred in the past few years that have set records. And this week saw yet another merger announcement that will further keep competition down. The latest move isNewmont Mining’s (NEM) acquisition of Australian gold and copper company Newcrest. Valued at $1...

While the stock market has fared well so far this year, investors have been more cautious going into earnings. And most companies have reported a slowdown, but overall it hasn’t been as bad as expected. The wild card is the housing market. Rising interest rates and fewer homeowners looking to sell are creating a tight market, but one where prices could potentially drop. In that environment, homeowners may slow down home maintenance or improvements. That’s the fear going into earnings for big box home improvement stores likeHome Depot (HD), which reports earnings this morning. It’s a ...

One of the most powerful long-term investment trends is to invest in a company with a durable competitive advantage. For most companies today, that usually means offering a unique product that’s protected by a copyright or patent. Even though patents are temporary and copyrights won’t last forever, once a brand has been built, it can stand the test of time. And that can lead to higher returns versus investing in generic competitors. In the world of entertainment brands, it’s tough to argue againstThe Walt Disney Company (DIS). Yet the company’s most recent earnings disappointed, part...