16163

Don’t Overlook Great Companies as Earnings Season Continues

This latest earnings season has given investors more insight into the roll out of AI technologies. Some companies are able to show big revenues and profits from rolling out AI. Others are starting to show signs of stalling out, slowing down, or simply not growing as fast as expected. Either way, that’s creating an opportunity for investors to separate great companies from the mediocre ones. And to determine which companies are best likely to rally in the challenging months ahead. One big ...
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16158

The Beat-and-Raise Stocks Are the Clear Winners This Earnings Season

Earnings season is underway. And this quarter, companies that miss on expectations are getting hit harder than average. However, companies that beat expectations are being rewarded above average. And for companies that aren’t only beating on earnings, but are raising their expectations for the full-year, that trend is even better. As investors demand to see results from companies this quarter, those who can deliver are in great shape. That includes payment company PayPal (PYPL). Shares popped higher after the company beat on ...
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16153

This Down-But-Not-Out Company Could Stage a Rally Over the Summer

Earnings season gives companies an opportunity to not only report how well they’ve done in the most recent quarter, but how they expect the next few quarters to play out. For companies that don’t have good numbers to report now, future expectations can help soothe the markets. That’s especially true when a company has been facing some known challenges. That can include a rise in competition, price pressure, or changing customer tastes. For fast food giant McDonald’s (MCD), it’s been a mix ...
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16148

The Market Rotation Has Arrived – Great Stocks Are Cleared to Jump Higher

For nearly 18 months, big-cap tech stocks have dominated the market. Most stocks have traded flat or even declined over that time. But in the past few weeks, tech stocks have pulled back, but other stocks have started to show signs of life. Given how long the big tech outperformance lasted, there’s more room to run higher. Even for stocks that have already had some big jumps over the past few weeks. That includes industrial conglomerate 3M (MMM). Shares soared over 20% ...
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16139

This Leading Company Is About to Increase Revenues Without Increasing Sales

Usually, companies have to increase their sales to increase their revenues. However, companies that can add new features and services can increase their revenues. Even if they don’t have additional sales or customers either. In an industry that’s built on such add-ons, companies that have offered low-cost frills have built a niche. But having additional add-ons can allow them to continue claiming a cost advantage, while also offering a higher-end experience. That’s likely the move behind Southwest Airline’s (LUV) decision to abandon ...
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16135

Look for Tech Stocks Delivering Revenues, Not Promises of Growth

When investors expect a stock to grow like gangbusters, any sign of slowing growth can pose problems. But many companies offer decent growth right now, but not necessarily exceptional growth. Such companies can likely deliver strong returns, at least for investors who are patient over time. That extends to growth stocks. AI is a trend that will take years to play out, much like the rollout of the internet. Investors who are focused on the fastest-growth stocks now are getting hit ...
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16128

Stick With Conventional Companies Still Growing Profits

During a market boom, it’s tempting to start buying into more speculative companies. While that can potentially mean bigger returns, it also increases the risks. Conversely, companies that have a conventional line of business can continue to grow, even if they also invest in more speculative endeavors. Right now, many companies that have been dabbling in new technologies are seeing lower-than-expected demand. But as long as their core business is strong, shares should continue to rise. For instance, demand for electric vehicles ...
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16125

A Tech Name Worth Buying on Market Dips

Last week’s market selloff was heavy on tech. Given how tech stocks tend to outperform the market, their underperformance in a selloff makes sense. Investors patient enough to wait for a 10-20% pullback in industry-leading tech stocks are often rewarded for their performance afterwards. Getting a reasonable entry price on a high-growth stock can lead to better returns than just buying at the top, or just holding indefinitely. With last week’s selloff hitting the chip space rather hard, semiconductor stocks might be ...
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