Don’t Overlook Profit Opportunities In the AI Software Space

So far, this year has been kind to semiconductor companies. That’s because most of them can benefit from the exploding interest in AI technology. However, the hardware companies may have run up a bit too quickly. The software companies behind AI likely have more room to run. There’s a good amount of competition, both in AI prompts, and for developing AI software tools that can combine and leverage the power of multiple pieces of AI software. One big cap winner in the ...
Read More
|

Grab Big Profits In this Latest Consumer Trend

The last year has seen consumers slow down in some parts of the market, but gain in others. The biggest gains have come from travel, leisure, and hospitality services, rather than the sale of goods. For a world that was largely locked down for a considerable amount of time, that trend makes sense. It’s also a trend likely to continue for some time. Investors have a number of ways to play this trend. One safe way to do so is to profit ...
Read More
|

Invest With Companies Getting the Trends Right

In many industries, several companies will compete for leadership. It can change over time, particularly if market conditions provide unusual opportunities. The past few years has seen wild swings in a number of sectors. Tech stocks soared during the pandemic amid the rise for remote work and contactless payments. Then tech stocks came back down, as their valuations were wildly expensive when interest rates started to rise. The media has been on a similar loop. Investors loved any company offering streaming services ...
Read More
|

Caution May Lead to a Buying Opportunity for a Leading Company

Earnings season is in full swing. And investors can once again see good companies falter on less-than-perfect quarterly news. For investors looking beyond the quarterly sprint, however, it may open up some reasonable buying opportunities. That’s true for industry-leading firms. They tend to have higher expectations, and any market disappointment could lead to a buy, even if it’s just a slight discount to where a company would otherwise trade. One great company that often trades at a premium is Visa (V). The ...
Read More
|

This Industry Leader Just Knocked Out a Major Uncertainty

Companies are impacted by any number of uncertainties. Investors who wait for completely clear skies often miss out on the opportunity. But buying when things are starting to turn around can offer the best returns relative to the risk. That’s especially true when buying shares of industry leaders. Taking advantage of a short-term fear can be the best way to get the optimal price for a company’s shares. The most recent industry leader getting a big uncertainty off the table is United ...
Read More
|

There’s Always a Value Play in a Growth Trend

This year’s market returns have been heavily driven by companies working on artificial intelligence (AI). That includes big tech companies in the hardware and software space, as well as smaller companies with a hyperfocus on the new technology. While that trend is playing out, the market has picked the top players in the space, even with dozens of companies working on the trend. Investors who buy into these lesser-liked stocks can benefit from the long-term trend of AI, while also getting ...
Read More
|

Boring Companies Could Give Your Portfolio Safety and Growth Now

One of the truisms about investing is that holding shares of companies with steady, but low growth over time can lead to good results. While it may lack the excitement of getting into a top tech trend, having a few stocks of boring companies can round out a portfolio. These companies can include any good or service, but typically the most boring companies offering great returns will provide a service to businesses rather than having a consumer-facing operation. For instance, most consumers ...
Read More
|

Litigation Fears Can Create Buying Opportunities

The threat of a big lawsuit can cause a company’s valuation to tank. In an extreme case, like the tobacco companies in the 1990s, it can create an exceptional value, even at the risk of a further potential loss. Likewise, even companies that have made positive moves towards resolving big litigation can get a reasonable value. That’s because lawsuits take time to play out, as do the settlements for such lawsuits. Recently, Johnson & Johnson (JNJ) came under fire for litigation regarding ...
Read More
|