This Slow-and-Steady Sector Can Win the Investment Race

Some industries are cyclical, with big booms and busts. Other industries tend to be steadier. Which wins out over time? It depends on whether you get in at a good price – or wait to jump in once a trade idea has already gotten hot. Investors can trade while also using bear markets to build up positions in steady players. This helps take advantage of the market’s long-term returns, without being beholden to short-term trades succeeding 100 percent of the time. One ...
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Follow Real Operational Growth for Big Profits, Not Just a Fast-Moving Stock

While a share of stock is a fraction of a company, its valuation can vary wildly. Intense fear or greed can lead to big swings in valuation, often quickly. Over time, however, growing earnings and revenue tend to be a reliable indicator of a company’s performance. But if you combine a company with improving operational results that’s also seeing interest in its shares exploding higher, you may be on track to profit from a big trend. That’s how investors feel about C3.ai ...
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Companies Growing Service Revenues Now Will Reward Investors Later

The economy continues to send mixed signals. By most conventional measures, things have slowed considerably. That’s seen in everything from housing to the job market. But things were also running red hot before, so the full picture still looks strong. At the corporate level, companies are largely cutting back. But in some areas, they’re continuing to invest now. One space where that’s happening is in IT spending. That’s a boon for companies that cater to that need. Companies that provide IT services ...
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Seek Out Growth and Profitability In Uncertain Times

Investors have had a challenging year, and face the prospect of continued challenges as inflation stays higher than expected. Growth stocks tend to fare poorly in a slow economy gripped with high inflation. Yet today’s problems will get fixed in time. Those who find opportunities can find plenty right now. Many companies still have big growth potential in the years ahead. And returns will be better for companies that can improve their profit margins in today’s uncertain times. One space riddled with ...
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Cautious Companies that Are Performing Well Now Will Likely Lead Markets Later

It’s a time for corporate executives to be honest. With a slowing economy, having a realistic outlook matters. But companies that report caution in their forward-looking statements tend to get punished by the market… at least in the short-term. That means investors should position themselves to buy these companies, especially if they’re performing well now. When the economy improves, these companies are likely to see big benefits from being overly cautious now. A number of companies have been careful about looking forward ...
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The Big Money Is Made in Fearful Markets

The past few weeks have shown that inflation still remains a problem, and that consumers may be close to tapping out. That’s slowed down the move higher in retail stocks, many of which had started moving higher in the autumn ahead of the holiday season. However, the market selloff over the past year has already created a number of values. With fear dominating some sectors today, buying industry leaders may prove ideal for finding market-beating returns in the months and years ...
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Recurring Revenue Companies Are Still Worth Buying in Market Chaos

Usually, Wall Street loves companies that have recurring revenue. That means they get to charge customers on a regular basis, rather than during a single sale. Many tech companies have embraced the model, as it means a steadier source of revenue. However, shifting to a recurring revenue model can cause some trouble. That’s because some companies have built up other successful models, such as one-time sales or as multi-year contracts that are billed up front. That latter category applies to Autodesk (ADSK) ...
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Could This Be the Perfect Tech Stock for Long-Term Investors?

When it comes to tech, it’s easy for investors to get burned. That’s because any one tech company may only play to a trend that goes in and out of fashion. Investors who jumped into alternative energy, cryptocurrencies, or anything related to electric vehicles may agree. However, a tech company that can play to multiple trends can fare well for investors over time. That’s because it can continue to grow, even as some trends go out of favor with the market. That’s ...
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