Stocks To Buy

This earnings season has been a mixed bag. Companies are reporting big layoffs and warning on an economic slowdown and the impact of inflation. Yet what sounds like bad news now could be bullish later on. That’s because companies laying off staff are finding that they can do as much – if not more – with a reduced headcount. Lower staffing costs could lead to a further cost savings that increases profitability – which could be a boon for shareholders. Of the ...
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Markets are cyclical, and often so are companies. A great product or service won’t last forever. Once the market has been saturated, new products or features are needed to keep revenues growing at a company. For tech companies, this constant iteration is fantastic. It’s inexpensive to develop new ideas and roll them out. And for many tech services, new features can be added while keeping customers on a monthly payment plan. So it’s no surprise that a number of activist investors are ...
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Customers will pay more for a brand-name product that they know and love. That’s true with everything from home goods to restaurants, and even to choices of entertainment. A company that invests in building a strong brand can create excess returns for shareholders over time. But even great companies will see setbacks. That can create reasonable buying opportunities to get in on the long-term wealth-creation benefits of owning great companies. That may be the case with Activision Blizzard (ATVI). The company owns ...
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The past few years has seen investors shift interest first towards alternative and green energy plays, and then away from them. That’s due to a view that the technology could be scaled up quickly. But that may not be the reality. That’s led to a strong performance in the energy sector, and one that’s likely to continue. It’s being aided by companies announcing that they’re scaling back their alternative energy investments. The latest company to scale back its alternative energy plans is ...
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Investors have gone crazy for artificial intelligence (AI) stocks since the start of the year. That’s thanks to the popularity of chatbot ChatGPT. While the money flowing into AI stocks specifically will likely peter out in the coming weeks, AI as an investment concept isn’t going away. Rather than speculate on a small startup company, it may make more sense to invest in a large, big tech company that’s working on the space. One company that will likely end up being a ...
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While the market has had a strong start to the year, plenty of companies are still well off their highs. For the right companies, this can create an opportunity to build substantial wealth and a growing stream of income. That’s especially true in parts of the market that tend to get overlooked. In a bull market, the focus tends to be on tech stocks. So far this bear market, investors have flocked to energy and utilities. That’s why other areas like industrial ...
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In a bull market, all sorts of investment ideas come into play. When there’s a bear market, investors can stay safe but also make money by focusing on companies that provide products and services that customers need. Defensive stocks don’t have to just be utilities and telecoms. There are a number of other sectors that fit the bill, such as industrial stocks. That space tends to get overlooked. One such player is conglomerate Honeywell (HON). The manufacturer of power units, avionics, and ...
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There are many ways that a company’s stock can rise over time. Its earnings can grow over time, indicating a more valuable company. Or the multiple that investors are willing to pay for a company can rise as well. In today’s economic uncertainty, companies that can grab increased market share are capable seeing their multiples rise over time. And chances are when the economy recovers, so too will earnings and profit margins. One company that’s faring well on the market share front ...
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