The AI Trade Has Room to Run In the Right Places
Every day brings several reports about companies embracing artificial intelligence (AI) technologies. Some may see a genuine long-term opportunity. Others may see an opportunity to turn their share price around as the market loves this current tech trend.
While big-name tech stocks have largely moved higher, there’s now some potential pockets of overvaluation with the biggest moves so far. That’s creating an opportunity for smaller plays, particularly for companies already rolling out AI tools.
One such player isSalesforce (CRM). The company just ...
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This Mega-Cap Tech Giant May Lead Markets Higher Next
The past few weeks has seen an explosion of interest in artificial intelligence (AI) and chipmaker stocks. That’s allowed a few big-cap tech names to lead the overall market higher. And since the stock market is weighted by market cap, it may have even kept stocks from dropping so far this year.
With the move higher fizzling out, it’s possible that investors are looking to new leaders to keep the 2023 rally going. One company looks set to take the leadership ...
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Growth at a Reasonable Price Rarely Goes Out of Style
Most investment analysis tries to put a company into either a growth category, or a value category. Fortunately, some stocks offer both at the same time. With some sectors of the market rallying strongly and value out of reach, being able to buy value while also seeing a move higher is huge.
And with a solid valuation, the share price can move higher from both higher earnings growth and a higher valuation multiple as the company grows.
One company exhibiting this growth ...
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Use Bad News as an Opportunity to Buy
Companies often fall quickly on bad news. Sometimes, the news is terminal for the company, like a bank being seized and closed down. But most of the time, bad news hits a share price harder than it needs to.
That creates a buying opportunity. It’s just important to separate permanent bad news from temporary bad news. As long as a company can continue operating, it’s likely to overcome its challenge and move higher in time.
Right now, cryptocurrency exchanges have taken a ...
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It’s Time to Buy Stocks Near Lows Now
While the market has held up well thanks to the strong performance of tech stocks, that trend won’t last. It’s possible the overall market could decline as tech stocks shift lower. But we could also see a rotation out of tech and into other sectors.
That’s why several parts of the market look attractive now. Many sectors didn’t join the market’s rally, or have since moved to re-test lows from last year. They could be a potential buy.
For instance, the telecom ...
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This Fearful Part of the Market Has Pockets of Safety
While stocks have trended higher this year overall, investors have been unpleasantly surprised by a series of bank failures. While it’s been largely quiet in the past few weeks, many small and regional banks remain beaten down.
That’s creating an opportunity for investors. Why? While there may still be more bank failures ahead, many names in the space are safe. And because they’ve been beaten down so heavily, they now trade at a steep discount.
For instance, regional bankCitizens Financial Group (CFG) ...
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Consider this Small Cap Play for the AI Revolution
While the stock market has rewarded companies moving into the artificial intelligence (AI) space this year, the ride hasn’t been a smooth one. That’s actually a good thing for investors. Pullbacks create buying opportunities.
And the important thing for investors is to buy smaller AI companies that can see big growth – and share price appreciation – over time. That means looking for companies that have small market caps – under $100 billion – which takes a lot of household tech ...
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The Drop in Spending on Goods Isn’t Over, But the Fear Is Creating Oversold Opportunities
Economic data remains confusing. While the economy is slowing by several measures, we’re still seeing signs of a strong economy, such as the labor market. One trend that’s becoming more clear is that spending is declining on goods, but not necessarily on services.
That’s leading to a drop in retail-related stocks. And while a slowing economy will mean a further slowdown in the sale of goods, it won’t drop to zero.
Consumers still need to consume, if only for basics such as ...
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