17039

A Small Cap Play on a Thawing Real Estate Market

After being frozen for nearly two years, the real estate market is starting to show signs of life. Listings are on the rise, indicating that homeowners may be ready to sell. While mortgage rates are still near multi-year highs, the Federal Reserve is now starting to lower interest rates. Rates will start trending lower in time, and now may be the time for investors to bet on a real estate rebound. That means that more home transactions are on the horizon, which ...
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17035

This Oligopoly Player Is a Surprise Value Play

Most industries tend to start with a large number of companies competing for market share. Over time, companies that can carve out a successful niche can grow their market share. Eventually, only a few players will remain. When a sector settles down to a few oligopoly players, profits tend to be steady. And investors in those companies tend to fare well over time. It doesn’t matter if it’s in software, credit cards, or consumer brands. One sector with an oligopoly is the ...
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17030

High Profit-Margin Lines of Business Can Lead to Big Profits

One metric that investors often overlook is a profit margin. For a company in the manufacturing business, a single-dollar invested may only earn a total profit of a dime after all the costs involved. For a software company, a dollar invested may yield fifty cents. Over time, it’s clear that the higher-margin business ends up with more capital to expand, pay a dividend, buy back shares, or otherwise reward investors. Any of those activities tend to translate to a higher share ...
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17025

Confident Consumers Point to a Continued Win for this Fast-Growing Play

While the market is having a great year, consumers were feeling lackluster going into the election. That trend is rapidly changing, as it’s likely that economic policies to focus on economic growth will take center stage. That bodes well for growth stocks, especially smaller stocks that could benefit from lower taxes and deregulation. And for investors in the right growth spot, returns can be huge. For instance, investors in Cava Group (CAVA), a fast-growing casual Mediterranean restaurant chain, have already seen revenues ...
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17013

Bet on Strong Consumer Spending

Since the election, markets have shifted back to rally mode. Optimism is back, as it’s likely that growing the economy will be the focus out of Washington for the next four years. If that’s the case, then stocks have more room to rally. And the big winners could be smaller players in their industry that benefit from higher growth and increased deregulation. Traders are already making their bets, but these plays have more room to rally. Given that consumers are getting more ...
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17002

The AI Infrastructure Play Still Has More Room to Run

With stocks breaking out to new all-time highs, the play that kicked off the current market rally over two years ago, AI, remains strong. But investors are breaking out beyond chip plays to other aspects of the AI rollout. That includes everything from hardware such as server racks, to data centers, to the land, electricity, and copper needed to build the physical infrastructure of today’s most-advanced software. With so many avenues open, investors still have plenty of ways to profit. For instance, ...
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16997

This Rallying Play on Law Enforcement Has More Energy Left

One of the big winners of the 2024 election? Law enforcement. From the election of pro-law enforcement Donald Trump to state referendums to get tougher on crime, it’s clear that personal defense could play a big role. It’s also a sign that law enforcement will get more funding for its various activities. That could benefit just a handful of companies that supply law enforcement. That may be whyAxon Enterprise (AXON) may be on a tear. Best known for manufacturing TASER brand stun ...
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16991

This Overlooked Software Play Can Keep Showing Investors Safe Growth

Artificial Intelligence-related stocks continue to be the top tech trend. Many of the big names are growing by leaps and bounds, and smaller firms are retooling to catch up. But that’s just one tech trend out there. Other trends are also at play, and also continue to show signs of strong growth. That includes tech trends that utilize AI tools themselves, particularly software plays. Investors should look for leaders in such tech plays. One overlooked software play is in cybersecurity. Digital threats ...
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