Stocks To Buy

A number of companies have been warning this earnings season about potential supply chain shortages. While many retailers may see some partially bare shelves, those that have embraced a different business model are faring just fine. One such company isOverstock (OSTK). The company is an online-retailer. Its business model involves acquiring and selling inventory that other retailers have already tried to sell, although today it also carries new items. While many were expecting retail to struggle, the company’s most recent financials show ...
Read More About This

Studies have shown that as much as half of an investor’s total return over a lifetime can come from receiving and reinvesting dividends. Combined with the timing of a trader, investors who buy into out-of-favor income stocks can lock in relatively high yields and see further capital gains. The pandemic caused a number of companies to reduce or even cut dividends entirely. Some have brought them back, some haven’t. The overall result? A fewer number of companies defined as dividend aristocrats. Investors ...
Read More About This

While the semiconductor chip shortage appears likely to continue well into next year, a number of tech plays are still able to avoid the challenge presented by that shortage. One particularly strong tech niche is one that has exploded during the pandemic era, specifically that of cloud services. As the world has continued to work remotely, companies playing to the cloud trend have done exceptionally well. There’s no better case study for this trend thanMicrosoft (MSFT). The tech giant saw its cloud-software ...
Read More About This

Led by Bitcoin, cryptocurrencies are moving higher. That’s great for cryptos themselves, as well as a number of companies that play to integrating cryptos into the existing financial system and the public’s mind. However, many tech companies have been burned, as crypto mining has gone in and out of favor over the years. That’s created a lot of uncertainty for a number of companies in terms of marginal demand, and the market hates uncertainty. Case in point?Nvidia (NVDA). The leading producer of ...
Read More About This

Some stocks in the same industry may have a vastly different valuation than others. This is typically the market’s way of indicating which company is the industry leader. That may be higher profit margins, or a better product, or even more loyal customers. This notion recently appeared on the market when chipmakerIntel (INTC) reported earnings. As with its prior reports, the numbers were okay, but poor guidance and a sense that the company was treading water operationally led to a selloff. While ...
Read More About This

Investors are looking for how companies are navigating the worst environment for inflation in 25 years. Many companies are doing well, having found ways to cut costs, or raise prices without losing out on sales. Some of the best companies do a little bit of both. That’s the case withChipotle Mexican Grill (CMG). The company reported solid earnings, as higher costs were offset by higher menu prices, allowing the company to report earnings of $7.02 per share, beating estimates of $6.32. The ...
Read More About This

Merger and acquisition activity is alive and well. More importantly, even rumors of a possible deal are capable of moving shares of companies large and small alike. That’s the case withPinterest (PINS). News broke that the social media site might be acquired around $70 per share, at a valuation of nearly $39 billion. The potential buyer? Payment services companyPayPal (PYPL). On its face, the deal doesn’t seem to make a lot of sense. These are two very different companies in different sectors ...
Read More About This

Some companies are still seeing sales and revenues below their 2019 pre-Covid peak. For these firms, changes in how we live and travel continue to impact their returns. And when it comes to how their stocks perform, it comes down to now how much a company loses, but whether or not it’s more or less than expected. That’s the case withUnited Airlines (UAL). The major carrier reported a smaller-than-expected loss in its most recent quarter. The carrier also reported that its top-line ...
Read More About This