A Buying Opportunity Emerges as This Long-Term Trend Takes a Breather

The real estate market has started to show some signs of slowing down. Homebuilding stocks, which delivered big returns while home prices were rising, have started trending lower in recent sessions. It also doesn’t help that a number of homebuilding firms have now started to lower sales forecasts as well. While supply and labor issues are part of the problem in the short-term, it’s likely that today’s sales trends will rebound in the months to come. KB Home (KBH), a mid-range homebuilder, ...
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Is the Most Important Stock of Earnings Season a Buy Now?

Investors have come to expect big tech stocks to drive the market higher. But for a sign as to how the real economy is performing, there are other sectors to look at. Energy is one player, and gradually rising prices in the space suggest the economic recovery, while uneven, is continuing. Another area is in shipping and logistics. Many headline stories about supply chain issues overlook the fact that labor shortages in shipping has been a big driver of prices. One company ...
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This Commodity’s Rally Is Likely to Continue

The past year has seen a number of commodities rise, and then sometimes fall. The list includes lumber, which at one point was the highest-performing commodity of the year before dropping. The past few weeks have seen a major increase in interest in uranium. While some see the trend as the result of retail traders, hedge funds and family offices are also gaining exposure to the commodity to take advantage of higher prices as well. Some of that demand has gone into ...
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Subscription Revenue Makes for a Successful Long-Term Investment

Wall Street loves a company that can create a subscription-based revenue model. Ensuring that customers come back monthly or annually make it possible for companies to better plan their future with some consistency. While a company with such a model might see lower growth, the consistency of growth tends to be appreciated by investors and analysts alike. Many companies, particularly in the tech space, have been embracing this model. One such company is Cisco (CSCO). The builder of the original Internet with ...
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New Leadership Can Revitalize Even a Top Company

Company leadership changes over time. New leadership can bring about fresh energy, new ideas, and potentially find new ways to grow a business. Such leadership doesn’t always have to come from the CEO seat as well. That could be the case with Goldman Sachs (GS), which just announced a new CFO to replace the retiring one after a three-year tenure. Shares have had some strong performance over the past three years, rebounding strongly from the pandemic to new highs. The investment bank ...
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Don’t Sweat Slowing Earnings Growth in Great Companies

Earnings season has been solid the past few quarters for most stocks. Companies have been reporting numbers that crush pandemic levels from over the past year. Now, however, companies are getting past the worst of the pandemic, and growth has been slowing from the artificial boost from reopening (or providing a useful service during the pandemic. That’s creating some modest selloffs, but also some modest buying opportunities. Case in point? Oracle (ORCL). The tech giant, best known for database technologies, has been ...
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Regulatory Fears Create a Buying Opportunity in One of the World’s Greatest Companies

Times are changing for many tech companies. Regulators around the world are looking into how tech companies collect and store data, or how they provide marketing or payment services to third-party providers. The latest company to take a hit? Apple (AAPL). Last week, a US District Judge ruled that the company need to allow developers alternative payment methods for purchases and apps made in the Apple app store. The ruling led to an immediate drop in Apple shares on Friday, with a ...
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The Hardware Behind This New Megatrend Is Here

There are a number of big-picture trends likely to play out over the next decade. One of the more interesting is the evolution of social media from websites into a veritable “metaverse.” That’s a plan that Facebook (FB) in particular is looking at. The company has just unveiled its Smart Glasses hardware. The device can work with integrated-reality software to create an immersive viewscreen that can likely make a future metaverse interface possible. Priced at $299, the gadget has a number of ...
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