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19300.0
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2022-09-19 00:00:00 UTC
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Investors Heavily Search Apple Inc. (AAPL): Here is What You Need to Know
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AAPL
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https://www.nasdaq.com/articles/investors-heavily-search-apple-inc.-aapl%3A-here-is-what-you-need-to-know-1
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nan
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Apple (AAPL) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Over the past month, shares of this maker of iPhones, iPads and other products have returned -12.1%, compared to the Zacks S&P 500 composite's -9.9% change. During this period, the Zacks Computer - Mini computers industry, which Apple falls in, has lost 13%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate Revisions
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Apple is expected to post earnings of $1.26 per share for the current quarter, representing a year-over-year change of +1.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.3%.
The consensus earnings estimate of $6.11 for the current fiscal year indicates a year-over-year change of +8.9%. This estimate has changed +0.1% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $6.50 indicates a change of +6.5% from what Apple is expected to report a year ago. Over the past month, the estimate has changed +0.2%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Apple is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth Forecast
Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For Apple, the consensus sales estimate for the current quarter of $88.09 billion indicates a year-over-year change of +5.7%. For the current and next fiscal years, $392.28 billion and $410.58 billion estimates indicate +7.2% and +4.7% changes, respectively.
Last Reported Results and Surprise History
Apple reported revenues of $82.96 billion in the last reported quarter, representing a year-over-year change of +1.9%. EPS of $1.20 for the same period compares with $1.30 a year ago.
Compared to the Zacks Consensus Estimate of $81.99 billion, the reported revenues represent a surprise of +1.19%. The EPS surprise was +5.26%.
Over the last four quarters, Apple surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Apple is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Apple. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
FREE Report: The Metaverse is Exploding! Don’t You Want to Cash In?
Rising gas prices. The war in Ukraine. America's recession. Inflation. It's no wonder why the metaverse is so popular and growing every day. Becoming Spider Man and fighting Darth Vader is infinitely more appealing than spending over $5 per gallon at the pump. And that appeal is why the metaverse can provide such massive gains for investors. But do you know where to look? Do you know which metaverse stocks to buy and which to avoid? In a new FREE report from Zacks' leading stock specialist, we reveal how you could profit from the internet’s next evolution. Even though the popularity of the metaverse is spreading like wildfire, investors like you can still get in on the ground floor and cash in. Don't miss your chance to get your piece of this innovative $30 trillion opportunity - FREE.
>>Yes, I want to know the top metaverse stocks for 2022>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Apple Inc. (AAPL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple (AAPL) has recently been on Zacks.com's list of the most searched stocks. Apple Inc. (AAPL): Free Stock Analysis Report Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account.
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Apple (AAPL) has recently been on Zacks.com's list of the most searched stocks. Apple Inc. (AAPL): Free Stock Analysis Report For the next fiscal year, the consensus earnings estimate of $6.50 indicates a change of +6.5% from what Apple is expected to report a year ago.
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Apple (AAPL) has recently been on Zacks.com's list of the most searched stocks. Apple Inc. (AAPL): Free Stock Analysis Report Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions.
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Apple (AAPL) has recently been on Zacks.com's list of the most searched stocks. Apple Inc. (AAPL): Free Stock Analysis Report Earnings Estimate Revisions Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else.
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19301.0
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2022-09-19 00:00:00 UTC
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US STOCKS-Futures fall on rate hike worries
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AAPL
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https://www.nasdaq.com/articles/us-stocks-futures-fall-on-rate-hike-worries
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nan
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nan
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window
Futures down: Dow 0.92%, S&P 0.97%, Nasdaq 1.02%
Sept 19 (Reuters) - Wall Street futures fell on Monday, with rate-sensitive technology and growth stocks leading the declines as investors worried that another massive interest rate hike by the Federal Reserve could tip the U.S. economy into a recession.
The S&P 500 .SPX and the Nasdaq .IXIC logged their worst weekly percentage drop since June on Friday as markets fully priced in at least a 75-basis-point rise in rates during the week, with Fed funds futures showing a 21% chance of a whopping 100 bps increase. FEDWATCH
Unexpectedly hot August inflation data last week also raised bets on increased rate hikes down the road, with the terminal rate for U.S. fed funds now at 4.46%.
Heavyweights Microsoft Corp MSFT.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O, Apple Inc AAPL.O, Tesla Inc TSLA.O and Nvidia Corp NVDA.O fell between 1.0% and 1.4% in premarket trading.
Bank of America BAC.N slipped 1.4% to lead declines among the big U.S. banks.
Focus will also be on new economic projections, due to be published alongside the policy statement at 2 p.m. ET (1800 GMT) on Wednesday.
Goldman Sachs cut its forecast for 2023 U.S. GDP late on Friday as it projects a more aggressive Fed and sees that pushing the jobless rate higher than it previously projected.
Worries of Fed tightening have already contributed to a 18.7% decline in the S&P 500 this year, with a recent dire earnings report from delivery firm FedEx, an inverted U.S. Treasury yield curve and warnings from the World Bank and the IMF about an impending global economic slowdown adding to woes.
The CBOE volatility index .VIX, also known as Wall Street's fear gauge, rose to 27.90 points, inching closer to a more than two-month high.
At 6:26 a.m. ET, Dow e-minis 1YMcv1 were down 285 points, or 0.92%, S&P 500 e-minis EScv1 were down 37.75 points, or 0.97%, and Nasdaq 100 e-minis NQcv1 were down 121.75 points, or 1.02%.
(Reporting by Devik Jain in Bengaluru; Editing by Shounak Dasgupta)
((Devik.Jain@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Heavyweights Microsoft Corp MSFT.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O, Apple Inc AAPL.O, Tesla Inc TSLA.O and Nvidia Corp NVDA.O fell between 1.0% and 1.4% in premarket trading. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Futures down: Dow 0.92%, S&P 0.97%, Nasdaq 1.02% Sept 19 (Reuters) - Wall Street futures fell on Monday, with rate-sensitive technology and growth stocks leading the declines as investors worried that another massive interest rate hike by the Federal Reserve could tip the U.S. economy into a recession. Worries of Fed tightening have already contributed to a 18.7% decline in the S&P 500 this year, with a recent dire earnings report from delivery firm FedEx, an inverted U.S. Treasury yield curve and warnings from the World Bank and the IMF about an impending global economic slowdown adding to woes.
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Heavyweights Microsoft Corp MSFT.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O, Apple Inc AAPL.O, Tesla Inc TSLA.O and Nvidia Corp NVDA.O fell between 1.0% and 1.4% in premarket trading. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Futures down: Dow 0.92%, S&P 0.97%, Nasdaq 1.02% Sept 19 (Reuters) - Wall Street futures fell on Monday, with rate-sensitive technology and growth stocks leading the declines as investors worried that another massive interest rate hike by the Federal Reserve could tip the U.S. economy into a recession. The S&P 500 .SPX and the Nasdaq .IXIC logged their worst weekly percentage drop since June on Friday as markets fully priced in at least a 75-basis-point rise in rates during the week, with Fed funds futures showing a 21% chance of a whopping 100 bps increase.
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Heavyweights Microsoft Corp MSFT.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O, Apple Inc AAPL.O, Tesla Inc TSLA.O and Nvidia Corp NVDA.O fell between 1.0% and 1.4% in premarket trading. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Futures down: Dow 0.92%, S&P 0.97%, Nasdaq 1.02% Sept 19 (Reuters) - Wall Street futures fell on Monday, with rate-sensitive technology and growth stocks leading the declines as investors worried that another massive interest rate hike by the Federal Reserve could tip the U.S. economy into a recession. The S&P 500 .SPX and the Nasdaq .IXIC logged their worst weekly percentage drop since June on Friday as markets fully priced in at least a 75-basis-point rise in rates during the week, with Fed funds futures showing a 21% chance of a whopping 100 bps increase.
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Heavyweights Microsoft Corp MSFT.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O, Apple Inc AAPL.O, Tesla Inc TSLA.O and Nvidia Corp NVDA.O fell between 1.0% and 1.4% in premarket trading. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Futures down: Dow 0.92%, S&P 0.97%, Nasdaq 1.02% Sept 19 (Reuters) - Wall Street futures fell on Monday, with rate-sensitive technology and growth stocks leading the declines as investors worried that another massive interest rate hike by the Federal Reserve could tip the U.S. economy into a recession. The S&P 500 .SPX and the Nasdaq .IXIC logged their worst weekly percentage drop since June on Friday as markets fully priced in at least a 75-basis-point rise in rates during the week, with Fed funds futures showing a 21% chance of a whopping 100 bps increase.
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19302.0
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2022-09-19 00:00:00 UTC
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Should Invesco QQQ (QQQ) Be on Your Investing Radar?
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AAPL
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https://www.nasdaq.com/articles/should-invesco-qqq-qqq-be-on-your-investing-radar-3
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nan
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nan
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Designed to provide broad exposure to the Large Cap Growth segment of the US equity market, the Invesco QQQ (QQQ) is a passively managed exchange traded fund launched on 03/10/1999.
The fund is sponsored by Invesco. It has amassed assets over $157.66 billion, making it the largest ETFs attempting to match the Large Cap Growth segment of the US equity market.
Why Large Cap Growth
Large cap companies usually have a market capitalization above $10 billion. They tend to be stable companies with predictable cash flows and are usually less volatile than mid and small cap companies.
Growth stocks have higher than average sales and earnings growth rates. While these are expected to grow faster than the broader market, they also have higher valuations. Something to keep in mind is the higher level of volatility that is affiliated with growth stocks. Even though growth stocks are more likely to outperform their value counterparts in strong bull markets, value stocks have a record of delivering better returns in almost all markets than growth stocks.
Costs
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.20%, making it one of the cheaper products in the space.
It has a 12-month trailing dividend yield of 0.65%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Information Technology sector--about 55.30% of the portfolio. Consumer Discretionary and Telecom round out the top three.
Looking at individual holdings, Apple Inc (AAPL) accounts for about 12.39% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN).
The top 10 holdings account for about 51.98% of total assets under management.
Performance and Risk
QQQ seeks to match the performance of the NASDAQ-100 Index before fees and expenses. The Nasdaq-100 Index includes 100 of the largest domestic and international nonfinancial companies listed on the Nasdaq Stock Market based on market capitalization.
The ETF has lost about -27.73% so far this year and is down about -23.03% in the last one year (as of 09/19/2022). In the past 52-week period, it has traded between $271.39 and $403.99.
The ETF has a beta of 1.11 and standard deviation of 28.27% for the trailing three-year period, making it a medium risk choice in the space. With about 102 holdings, it effectively diversifies company-specific risk.
Alternatives
Invesco QQQ carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, QQQ is a good option for those seeking exposure to the Style Box - Large Cap Growth area of the market. Investors might also want to consider some other ETF options in the space.
The iShares Russell 1000 Growth ETF (IWF) and the Vanguard Growth ETF (VUG) track a similar index. While iShares Russell 1000 Growth ETF has $59.30 billion in assets, Vanguard Growth ETF has $71.08 billion. IWF has an expense ratio of 0.18% and VUG charges 0.04%.
Bottom-Line
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
Get it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Invesco QQQ (QQQ): ETF Research Reports
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
iShares Russell 1000 Growth ETF (IWF): ETF Research Reports
Vanguard Growth ETF (VUG): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 12.39% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report It has amassed assets over $157.66 billion, making it the largest ETFs attempting to match the Large Cap Growth segment of the US equity market.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 12.39% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Large Cap Growth segment of the US equity market, the Invesco QQQ (QQQ) is a passively managed exchange traded fund launched on 03/10/1999.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 12.39% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report The iShares Russell 1000 Growth ETF (IWF) and the Vanguard Growth ETF (VUG) track a similar index.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 12.39% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Large Cap Growth segment of the US equity market, the Invesco QQQ (QQQ) is a passively managed exchange traded fund launched on 03/10/1999.
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19303.0
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2022-09-19 00:00:00 UTC
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Should You Invest in the iShares Expanded Tech Sector ETF (IGM)?
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AAPL
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https://www.nasdaq.com/articles/should-you-invest-in-the-ishares-expanded-tech-sector-etf-igm-3
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nan
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nan
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Designed to provide broad exposure to the Technology - Broad segment of the equity market, the iShares Expanded Tech Sector ETF (IGM) is a passively managed exchange traded fund launched on 03/13/2001.
Retail and institutional investors increasingly turn to passively managed ETFs because they offer low costs, transparency, flexibility, and tax efficiency; these kind of funds are also excellent vehicles for long term investors.
Investor-friendly, sector ETFs provide many options to gain low risk and diversified exposure to a broad group of companies in particular sectors. Technology - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 8, placing it in top 50%.
Index Details
The fund is sponsored by Blackrock. It has amassed assets over $3.05 billion, making it one of the larger ETFs attempting to match the performance of the Technology - Broad segment of the equity market. IGM seeks to match the performance of the S&P North American Technology Sector Index before fees and expenses.
The S&P North American Expanded Technology Sector Index comprises of North American equities in the technology sector and select North American equities from communication services to consumer discretionary sectors.
Costs
Expense ratios are an important factor in the return of an ETF and in the long term, cheaper funds can significantly outperform their more expensive counterparts, other things remaining the same.
Annual operating expenses for this ETF are 0.40%, making it one of the least expensive products in the space.
It has a 12-month trailing dividend yield of 0.25%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure which minimizes single stock risk, it is still important to look into a fund's holdings before investing. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Information Technology sector--about 81% of the portfolio. Consumer Discretionary and Telecom round out the top three.
Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 8.74% of total assets, followed by Amazon Com Inc (AMZN) and Apple Inc (AAPL).
The top 10 holdings account for about 50.58% of total assets under management.
Performance and Risk
The ETF has lost about -32.21% so far this year and is down about -29.69% in the last one year (as of 09/19/2022). In that past 52-week period, it has traded between $286.48 and $450.49.
The ETF has a beta of 1.16 and standard deviation of 30.09% for the trailing three-year period, making it a medium risk choice in the space. With about 341 holdings, it effectively diversifies company-specific risk.
Alternatives
IShares Expanded Tech Sector ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, IGM is a great option for investors seeking exposure to the Technology ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology ETF (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index. Technology Select Sector SPDR ETF has $38.84 billion in assets, Vanguard Information Technology ETF has $41.39 billion. XLK has an expense ratio of 0.10% and VGT charges 0.10%.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
Get it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
iShares Expanded Tech Sector ETF (IGM): ETF Research Reports
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
Technology Select Sector SPDR ETF (XLK): ETF Research Reports
Vanguard Information Technology ETF (VGT): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 8.74% of total assets, followed by Amazon Com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report It has amassed assets over $3.05 billion, making it one of the larger ETFs attempting to match the performance of the Technology - Broad segment of the equity market.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 8.74% of total assets, followed by Amazon Com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Technology - Broad segment of the equity market, the iShares Expanded Tech Sector ETF (IGM) is a passively managed exchange traded fund launched on 03/13/2001.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 8.74% of total assets, followed by Amazon Com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology ETF (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 8.74% of total assets, followed by Amazon Com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Technology - Broad segment of the equity market, the iShares Expanded Tech Sector ETF (IGM) is a passively managed exchange traded fund launched on 03/13/2001.
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19304.0
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2022-09-19 00:00:00 UTC
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Zacks Investment Ideas feature highlights: Pfizer, Apple and Alphabet
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AAPL
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https://www.nasdaq.com/articles/zacks-investment-ideas-feature-highlights%3A-pfizer-apple-and-alphabet
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nan
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nan
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For Immediate Release
Chicago, IL – September 19, 2022 – Today, Zacks Investment Ideas feature highlights Pfizer PFE, Apple AAPL and Alphabet GOOGL.
3 Mega-Cap Stocks with Unbelievably Strong Free Cash Flow
Scouting for stocks can be challenging at times, especially with thousands of options out there. However, one common metric investors love to focus on is free cash flow.
But what is free cash flow?
Simply put, free cash flow is the total cash a company holds onto after paying for operating costs and capital expenditures.
Free cash flow speaks volumes about a company’s financial health, but in what way?
A high free cash flow allows for more growth opportunities, a higher potential for share buybacks, stable dividend payouts, and the ability to wipe out any debt with ease.
It’s easy to see why it’s such a vital metric.
Generally, companies that display free cash flow strength are well-established and carry highly-successful business operations, undoubtedly perks that any investor looks for.
Three companies within the S&P 500 – Pfizer, Apple and Alphabet – all carry unbelievably strong free cash flow.
Let’s take a deeper dive into each company.
Pfizer
In its latest quarterly print, Pfizer’s quarterly free cash flow came in at a rock-solid $7.4 billion, penciling in a steep 26% sequential increase.
In addition to an inspiring free cash flow, Pfizer shares could be considered undervalued, further displayed by its Style Score of an A for Value.
PFE carries a cheap 7.1X forward P/E ratio, nowhere near its five-year median of 12.7X, representing a staggering 67% discount relative to its Zacks Medical Sector.
Further, the company carries a robust growth profile – earnings are forecasted to soar a double-digit 50% in FY22. And the company’s top line is also in exceptional health, with revenue forecasted to climb 24% in FY22.
Who doesn’t love getting paid? Fortunately, Pfizer is more than dedicated to rewarding its shareholders – the company’s annual dividend yields a steep 3.5%, well above its Zacks Sector average of 1.5%.
Undoubtedly impressive, the company has upped its dividend payout five times over the last five years, paired with a five-year annualized dividend growth rate of a notable 4.8%.
Pfizer has consistently surprised investors, exceeding top and bottom line estimates in five of its last seven quarters.
Apple
Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2.
The tech titan’s free cash flow was reported at a stellar $20.8 billion, good enough for a solid 9.4% uptick from year-ago quarterly free cash flow of $19 billion.
Apple shares could be interpreted as a bit expensive, with its 25.4X forward earnings multiple sitting above its five-year median of 22.8X and representing a 14% premium relative to its Zacks Computer & Technology Sector.
Still, the value is a fraction of 41.5X highs in 2020.
Consistent growth is the name of the game for Apple, and estimates allude to precisely that; earnings are forecasted to climb 9% in FY22 and a further 7% in FY23.
Top line estimates paint a similarly positive story, with revenue projected to climb 7% in FY22 and an additional 5% in FY23.
Apple has a strong earnings track record, exceeding revenue and earnings estimates in nine of its previous ten quarters.
Alphabet
Alphabet came in hot in its latest print, reporting quarterly free cash flow of $12.6 billion, the fourth highest of any S&P 500 company in Q2.
Alphabet’s valuation levels could seriously entice long-term investors; the company’s 20.2X forward P/E ratio is nowhere near its five-year median of 26.8X and represents an attractive 10% discount relative to its Zacks Sector.
GOOGL’s bottom line is forecasted to decline by 7% in FY22. However, the earnings picture kicks back into high gear in FY23, with the Zacks Consensus EPS Estimate of $5.79 suggesting Y/Y bottom line growth of a double-digit 11%.
The company’s top line is in commendable shape – revenue is forecasted to grow by double-digit percentages Y/Y in FY22 and FY23.
Alphabet has missed EPS and revenue expectations in its last two quarters, citing a challenging business environment. Prior to these back-to-back misses, GOOGL exceeded revenue and earnings estimates for seven consecutive quarters.
Bottom Line
Targeting stocks with free cash flow strength is a great way to find well-established companies with a track record of successful business operations.
In addition to free cash flow strength, all three companies above carry solid growth prospects, have steep market capitalizations, and a history of exceeding quarterly estimates.
For investors seeking companies overflowing with cash, Apple, Pfizer and Alphabet would all precisely fit the parameters.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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For Immediate Release Chicago, IL – September 19, 2022 – Today, Zacks Investment Ideas feature highlights Pfizer PFE, Apple AAPL and Alphabet GOOGL. Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. Apple Inc. (AAPL): Free Stock Analysis Report
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Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. For Immediate Release Chicago, IL – September 19, 2022 – Today, Zacks Investment Ideas feature highlights Pfizer PFE, Apple AAPL and Alphabet GOOGL. Apple Inc. (AAPL): Free Stock Analysis Report
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Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. For Immediate Release Chicago, IL – September 19, 2022 – Today, Zacks Investment Ideas feature highlights Pfizer PFE, Apple AAPL and Alphabet GOOGL. Apple Inc. (AAPL): Free Stock Analysis Report
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Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. For Immediate Release Chicago, IL – September 19, 2022 – Today, Zacks Investment Ideas feature highlights Pfizer PFE, Apple AAPL and Alphabet GOOGL. Apple Inc. (AAPL): Free Stock Analysis Report
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19305.0
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2022-09-19 00:00:00 UTC
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87% of Warren Buffett's Secret Portfolio Is Invested in These 5 Stocks
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AAPL
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https://www.nasdaq.com/articles/87-of-warren-buffetts-secret-portfolio-is-invested-in-these-5-stocks
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Few investors have been as successful as Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) CEO Warren Buffett. Over the past 57 years, the Oracle of Omaha, as Buffett is now known, has delivered an average annual return of 20.1% for his company's Class A shares (BRK.A). In aggregate, we're talking about a gain of better than 3,600,000%, which compares to a 30,209% increase, including dividends paid, for the S&P 500 over the same period.
Because of Warren Buffett's incredible track record, it's not uncommon for investors to ride his coattails. Thankfully, because Berkshire Hathaway is required to file Form 13F with the Securities and Exchange Commission every quarter, this is pretty easy to do. A 13F is effectively a portfolio snapshot that allows investors to see what the brightest minds on Wall Street were buying, selling, and holding in the most recent quarter.
Berkshire Hathaway CEO Warren Buffett. Image source: The Motley Fool.
However, Berkshire Hathaway's 13F doesn't tell the full story. Due to an acquisition in 1998 of reinsurance company General Re, Buffett's company owns a specialty investment firm known as New England Asset Management (NEAM). Although Buffett isn't involved in NEAM's investment portfolio, the securities NEAM buys are, ultimately, owned by Buffett's company.
When the June-ended quarter came to a close, 87% of Warren Buffett's more-than-$5.9 billion "secret portfolio" was invested in just five stocks.
Apple: 47.24% of invested assets
Perhaps it's no surprise that New England Asset Management's largest holding by invested assets happens to be the stock that's Berkshire Hathaway's largest holding by a long shot: tech leader Apple (NASDAQ: AAPL). Apple accounted for roughly $2.8 billion of NEAM's $5.92 billion in assets under management, as of June 30, 2022.
What's made Apple such an incredible investment for so long? Both its innovation and its capital return program.
Innovation has helped Apple become the most-valuable brand in the world, according to a report by Kantar BrandZ. The continuing evolution of Apple's iPhone has fueled a loyal customer base and driven sales and profits to record heights.
However, Apple's future is all about promoting subscription services. CEO Tim Cook is presiding over this multiyear transition that will see Apple become more of a platform company. Doing so should boost its operating margins over time, and reduce the sales lumpiness often associated with product replacement cycles.
As for capital returns, Apple has one of the largest nominal dividend payouts on the planet, and has repurchased approximately $520 billion worth of its own common stock since the beginning of 2013. In other words, there's a very good reason Apple is the largest publicly traded company by market cap in the U.S.
U.S. Bancorp: 13.76% of invested assets
Warren Buffett is a big fan of bank stocks, and apparently so is the investment team that's overseeing Warren Buffett's secret portfolio. Regional bank U.S. Bancorp (NYSE: USB), the parent of the more-familiar U.S. Bank, accounted for close to 13.8% of invested assets at the end of June and has been a continuous holding in NEAM's portfolio for more than two decades.
The foundation for U.S. Bancorp's rock-solid operating performance is financial discipline. While most of its peers were making riskier derivative investments prior to the Great Recession, U.S. Bancorp has predominantly stuck to what I call the "bread and butter" of banking: growing its loans and deposits. This may not generate jaw-dropping sales and profit growth, but it does ensure some of the highest return on assets among large banks.
Additionally, U.S. Bancorp has done a phenomenal job of encouraging its customers to bank online or via mobile app. As of May 31, 82% of its active customers were banking digitally, with 64% of total loan sales being completed online or via mobile app. The latter is up from just 45% at the beginning of 2020.
Digital transactions are substantially cheaper for banks than in-person or phone-based interactions. As a result, U.S. Bancorp has been able to lower its noninterest expenses by consolidating some of its physical branches.
Image source: Getty Images.
Bank of America: 11.96% of invested assets
Yet another huge Berkshire Hathaway holding that also makes up a sizable percentage of Warren Buffett's secret portfolio is Bank of America (NYSE: BAC). Whereas NEAM holds close to 22.8 million shares of BofA, Berkshire Hathaway has north of 1 billion in its portfolio.
What makes a money-center giant like Bank of America such an attractive investment is simply time. Even though recessions are an inevitable part of the economic cycle, periods of expansion last considerably longer. Being patient and allowing the U.S. economy to grow over time is what allows a company like BofA to increase its loan portfolio and net interest income.
Another reason Bank of America looks like a stellar investment is its interest-rate sensitivity. With the Federal Reserve having no choice but to aggressively raise interest rates to rein in historically high inflation, Bank of America is set to generate billions of dollars in added net interest income on its outstanding variable-rate loans without having to lift a finger.
And don't overlook the capital return potential of bank stocks, either. When the U.S. economy is humming along, it's not uncommon for a giant like BofA to return in excess of $25 billion, annually, to shareholders via share buybacks and dividends.
HP: 9.12% of invested assets
Warren Buffett's secret portfolio loves a good value stock. That's exactly what NEAM is getting with personal-computing and printing solutions company HP (NYSE: HPQ), at a valuation of less than 7 times Wall Street's forward-year forecast earnings.
The answer to "Why HP?" can be boiled down to three catalysts. First, PC and printing solution sales tend to be highly predictable, even during periods of economic weakness. This is a mature industry that produces plenty of cash flow -- and Wall Street does love companies that are predictable.
Secondly, New England Asset Management's investment team is probably just as enamored as Warren Buffett has been with HP's capital return program. The company increased its base annual payout by 29% in 2021, and has been aggressively repurchasing its common stock. For companies with steady or rising net income, a shrinking outstanding share count can boost earnings per share and make a stock appear more fundamentally attractive to investors.
Thirdly, at less than 7 times forecast earnings for the upcoming year, HP's shares probably have a safe floor built in. Even if the company has few near-term upside catalysts, there's probably not a lot of additional downside, either.
Chevron: 5.26% of invested assets
Rounding out the top five holdings in Warren Buffett's secret portfolio is oil stock Chevron (NYSE: CVX). During the second quarter, HP and Chevron were New England Asset Management's two biggest buys.
One of the reasons Chevron is such a successful energy stock is its integrated structure. Though it generates its juiciest operating margins from its upstream drilling operations, Chevron also owns midstream (transmission pipelines) and downstream (chemical plants and refineries) assets. Midstream assets typically rely on fixed-fee or volume-based contracts that produce very predictable cash flow. Meanwhile, chemical plants and refineries benefit from lower input costs when the price of crude oil falls. In other words, Chevron is well hedged no matter what happens to the prices of oil and natural gas.
However, the next couple of years bode well for oil stocks. Due to the COVID-19 pandemic, global energy majors have purposely pared back their capital investments. That and Russia's invasion of Ukraine make it clear that increasing global oil production is going to be a lengthy and arduous process. That's good news for drilling companies that are counting on a sustainably higher price for crude oil.
To keep with the theme of this list, "big oil" companies like Chevron are also well-known for their bountiful capital return programs. In the wake of historically high oil and natural gas prices, Chevron has pledged to repurchase up to $10 billion worth of its common stock this year, and it pays out one of the largest nominal dividends. Having what's arguably the best balance sheet among integrated oil companies affords Chevron the freedom to reward its long-term investors.
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Bank of America is an advertising partner of The Ascent, a Motley Fool company. Sean Williams has positions in Bank of America. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), and HP. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple: 47.24% of invested assets Perhaps it's no surprise that New England Asset Management's largest holding by invested assets happens to be the stock that's Berkshire Hathaway's largest holding by a long shot: tech leader Apple (NASDAQ: AAPL). As for capital returns, Apple has one of the largest nominal dividend payouts on the planet, and has repurchased approximately $520 billion worth of its own common stock since the beginning of 2013. While most of its peers were making riskier derivative investments prior to the Great Recession, U.S. Bancorp has predominantly stuck to what I call the "bread and butter" of banking: growing its loans and deposits.
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Apple: 47.24% of invested assets Perhaps it's no surprise that New England Asset Management's largest holding by invested assets happens to be the stock that's Berkshire Hathaway's largest holding by a long shot: tech leader Apple (NASDAQ: AAPL). HP: 9.12% of invested assets Warren Buffett's secret portfolio loves a good value stock. In the wake of historically high oil and natural gas prices, Chevron has pledged to repurchase up to $10 billion worth of its common stock this year, and it pays out one of the largest nominal dividends.
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Apple: 47.24% of invested assets Perhaps it's no surprise that New England Asset Management's largest holding by invested assets happens to be the stock that's Berkshire Hathaway's largest holding by a long shot: tech leader Apple (NASDAQ: AAPL). In other words, there's a very good reason Apple is the largest publicly traded company by market cap in the U.S. U.S. Bancorp: 13.76% of invested assets Warren Buffett is a big fan of bank stocks, and apparently so is the investment team that's overseeing Warren Buffett's secret portfolio. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple.
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Apple: 47.24% of invested assets Perhaps it's no surprise that New England Asset Management's largest holding by invested assets happens to be the stock that's Berkshire Hathaway's largest holding by a long shot: tech leader Apple (NASDAQ: AAPL). Berkshire Hathaway CEO Warren Buffett. Chevron: 5.26% of invested assets Rounding out the top five holdings in Warren Buffett's secret portfolio is oil stock Chevron (NYSE: CVX).
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19306.0
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2022-09-19 00:00:00 UTC
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POLL-Taiwan August export orders likely contract as demand eases
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https://www.nasdaq.com/articles/poll-taiwan-august-export-orders-likely-contract-as-demand-eases
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For poll data click: reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/econ-polls?RIC=TWEXOR%3DECI
Orders median forecast -2% y/y (prior month -1.9%)
Data due Tuesday, Sept 20, 4:00 p.m. (0800 GMT)
TAIPEI, Sept 19 (Reuters) - Taiwan's export orders likely contracted for a second straight month in August, and at a similar pace from the previous month as global demand cools, a Reuters poll showed on Monday.
The median forecast from a poll of 13 economists was for export orders to fall 2% from a year earlier. Forecasts ranged from an expansion of 3.4% to a contraction of 3.7%.
The island's export orders, a bellwether of global technology demand, unexpectedly fell in July. Orders shrank 1.9% to $54.26 billion from a year-ago period, taking a larger-than-expected hit from weakening demand for technology and continued economic troubles in its largest market China.
The government has predicted last month's orders to be between 0.9% and 3.7% lower than those of August 2021.
Taiwan's export orders are a leading indicator of demand for hi-tech gadgets and Asian exports, and typically lead actual exports by two to three months.
The island's manufacturers, including the world's largest contract chipmaker Taiwan Semiconductor Manufacturing Co Ltd 2330.TWTSM.N, are a key part of the global supply chain for technology giants including Apple Inc AAPL.O.
The data for August will be released on Tuesday.
(Poll compiled by Anant Chandak, Devayani Sathyan and Carol Lee; Reporting by Ben Blanchard; Editing by Sherry Jacob-Phillips)
((ben.blanchard@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The island's manufacturers, including the world's largest contract chipmaker Taiwan Semiconductor Manufacturing Co Ltd 2330.TWTSM.N, are a key part of the global supply chain for technology giants including Apple Inc AAPL.O. The island's export orders, a bellwether of global technology demand, unexpectedly fell in July. Orders shrank 1.9% to $54.26 billion from a year-ago period, taking a larger-than-expected hit from weakening demand for technology and continued economic troubles in its largest market China.
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The island's manufacturers, including the world's largest contract chipmaker Taiwan Semiconductor Manufacturing Co Ltd 2330.TWTSM.N, are a key part of the global supply chain for technology giants including Apple Inc AAPL.O. For poll data click: reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/econ-polls?RIC=TWEXOR%3DECI Orders median forecast -2% y/y (prior month -1.9%) Data due Tuesday, Sept 20, 4:00 p.m. (0800 GMT) TAIPEI, Sept 19 (Reuters) - Taiwan's export orders likely contracted for a second straight month in August, and at a similar pace from the previous month as global demand cools, a Reuters poll showed on Monday. The island's export orders, a bellwether of global technology demand, unexpectedly fell in July.
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The island's manufacturers, including the world's largest contract chipmaker Taiwan Semiconductor Manufacturing Co Ltd 2330.TWTSM.N, are a key part of the global supply chain for technology giants including Apple Inc AAPL.O. For poll data click: reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/econ-polls?RIC=TWEXOR%3DECI Orders median forecast -2% y/y (prior month -1.9%) Data due Tuesday, Sept 20, 4:00 p.m. (0800 GMT) TAIPEI, Sept 19 (Reuters) - Taiwan's export orders likely contracted for a second straight month in August, and at a similar pace from the previous month as global demand cools, a Reuters poll showed on Monday. Taiwan's export orders are a leading indicator of demand for hi-tech gadgets and Asian exports, and typically lead actual exports by two to three months.
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The island's manufacturers, including the world's largest contract chipmaker Taiwan Semiconductor Manufacturing Co Ltd 2330.TWTSM.N, are a key part of the global supply chain for technology giants including Apple Inc AAPL.O. For poll data click: reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/econ-polls?RIC=TWEXOR%3DECI Orders median forecast -2% y/y (prior month -1.9%) Data due Tuesday, Sept 20, 4:00 p.m. (0800 GMT) TAIPEI, Sept 19 (Reuters) - Taiwan's export orders likely contracted for a second straight month in August, and at a similar pace from the previous month as global demand cools, a Reuters poll showed on Monday. Forecasts ranged from an expansion of 3.4% to a contraction of 3.7%.
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19307.0
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2022-09-18 00:00:00 UTC
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Meta Platforms Stock: Bear vs. Bull
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AAPL
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https://www.nasdaq.com/articles/meta-platforms-stock%3A-bear-vs.-bull-0
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Meta Platforms (NASDAQ: META), the tech giant formerly known as Facebook, has lost 60% of its value over the past 12 months. Part of that decline was caused by rising interest rates and macro headwinds, but investors also seemed to lose faith in Meta's long-term prospects. Should investors consider Meta to be dead money or an undervalued turnaround play? Let's review the bear and bull cases to decide.
Why the bears are betting against Meta
The bears believe Meta will continue to struggle for three reasons: Its advertising business faces existential challenges, it's committed to burning billions of dollars on its experimental metaverse efforts, and it will face intense scrutiny from antitrust regulators for the foreseeable future.
Image source: Meta Platforms.
Meta's Facebook and Instagram are still leaders in the digital advertising market, but they've both been crippled by Apple's (NASDAQ: AAPL) privacy update for iOS -- which enabled its users to opt-out of data-tracking features -- over the past year. Without that targeted data, Meta's ads become a lot less effective at attracting revenue-generating clicks.
As Apple tightened the screws on Meta, ByteDance's TikTok overtook both Instagram and Snap's (NYSE: SNAP) Snapchat as the top social network for U.S. teens, according to Piper Sandler's latest teen survey. TikTok surpassed a billion global users last year, and has blindsided both Meta and Snap in the booming market for short-form videos. Meta is trying to catch up with Facebook Watch and Instagram Reels, but it could be far too late to close that widening gap.
To make matters worse, inflation, a strong dollar, and other macro headwinds have caused many companies to rein in their ad spending this year. All those challenges caused Meta's growth in advertising revenue, which still accounted for 97% of its top line in the first half of 2022, to hit a brick wall:
PERIOD
2019
2020
2021
1H 2022
Ad Revenue
$69.66B
$84.17B
$114.93B
$55.15B
Growth (YOY)
27%
21%
37%
2%
Data source: Meta Platforms. YOY = Year-over-year.
But as Meta's ad sales dried up, it continued to expand the Reality Labs division, which houses its VR headsets, AR smart glasses, and Horizon Worlds metaverse platform. Here's how much money that unit lost over the past three and a half years:
PERIOD
2019
2020
2021
1H 2022
Reality Labs Revenue
$501M
$1.14B
$2.27B
$1.15B
Reality Labs Operating Loss
($4.50B)
($6.62B)
($10.19B)
($5.57B)
Data source: Meta Platforms.
Meta has reportedly postponed and canceled some of its Reality Labs projects to rein in its spending, but the creation of a VR-powered social platform remains one of CEO Mark Zuckerberg's top priorities. However, it can no longer reliably subsidize the expansion of that unprofitable ecosystem with its higher-margin advertising revenue. That's why analysts expect Meta's revenue growth to flatline this year as its earnings tumble 28%.
As Meta's growth decelerates, it faces tougher data-sharing and antitrust regulations in Europe. In the U.S., the Federal Trade Commission (FTC) is also suing Meta and trying to force it divest Instagram and WhatsApp. These regulatory challenges will likely hang over Meta for at least a few more years.
Why the bulls still believe in Meta
Meta clearly faces a lot of near-term challenges, but the bulls will point out that 3.65 billion people still used at least one of its apps every month in the second quarter of 2022, which represented 4% growth from a year earlier. Meta's ability to continue to gain new users (even though it already reaches nearly half of the world's population) indicates it will remain a default advertising platform for most companies.
Apple's iOS update might have throttled its near-term growth, but Meta is already trying to overcome those challenges by gathering more first-party data and rolling out more video-based ads. The bulls believe that once Meta implements those changes and the macro headwinds wane, its advertising business will stabilize and start growing again.
As for the Reality Labs division, the bulls will tell you that it's already established a first-mover's advantage in the niche VR market. The Quest 2 has become the best-selling stand-alone VR headset in the world with about 15 million units sold since its launch in Oct. 2020, while its new Horizon Worlds platform already locked in 300,000 users earlier this year. Those numbers might seem tiny relative to its main social networking platforms, but they could grow exponentially as it develops better hardware and software over the next few years.
Lastly, Meta's stock trades at just 15 times forward earnings, which makes it the cheapest FAANG stock by a wide margin. If Meta can overcome its near-term problems, it could easily double from its current levels.
Its weaknesses still outweigh its strengths
Meta isn't doomed, but it will likely remain out of favor until it stabilizes its core advertising business. Its stock looks cheap, but its lack of near-term catalysts will prevent it from being considered a turnaround play. I personally own some shares of Meta, but I believe it could remain dead money for at least a few more quarters as this bear market drags on.
10 stocks we like better than Meta Platforms, Inc.
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*Stock Advisor returns as of August 17, 2022
Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Leo Sun has positions in Apple and Meta Platforms, Inc. The Motley Fool has positions in and recommends Apple and Meta Platforms, Inc. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Meta's Facebook and Instagram are still leaders in the digital advertising market, but they've both been crippled by Apple's (NASDAQ: AAPL) privacy update for iOS -- which enabled its users to opt-out of data-tracking features -- over the past year. But as Meta's ad sales dried up, it continued to expand the Reality Labs division, which houses its VR headsets, AR smart glasses, and Horizon Worlds metaverse platform. Meta has reportedly postponed and canceled some of its Reality Labs projects to rein in its spending, but the creation of a VR-powered social platform remains one of CEO Mark Zuckerberg's top priorities.
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Meta's Facebook and Instagram are still leaders in the digital advertising market, but they've both been crippled by Apple's (NASDAQ: AAPL) privacy update for iOS -- which enabled its users to opt-out of data-tracking features -- over the past year. Growth (YOY) 27% 21% 37% 2% Data source: Meta Platforms. Meta has reportedly postponed and canceled some of its Reality Labs projects to rein in its spending, but the creation of a VR-powered social platform remains one of CEO Mark Zuckerberg's top priorities.
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Meta's Facebook and Instagram are still leaders in the digital advertising market, but they've both been crippled by Apple's (NASDAQ: AAPL) privacy update for iOS -- which enabled its users to opt-out of data-tracking features -- over the past year. Meta Platforms (NASDAQ: META), the tech giant formerly known as Facebook, has lost 60% of its value over the past 12 months. Why the bulls still believe in Meta Meta clearly faces a lot of near-term challenges, but the bulls will point out that 3.65 billion people still used at least one of its apps every month in the second quarter of 2022, which represented 4% growth from a year earlier.
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Meta's Facebook and Instagram are still leaders in the digital advertising market, but they've both been crippled by Apple's (NASDAQ: AAPL) privacy update for iOS -- which enabled its users to opt-out of data-tracking features -- over the past year. Reality Labs Revenue Why the bulls still believe in Meta Meta clearly faces a lot of near-term challenges, but the bulls will point out that 3.65 billion people still used at least one of its apps every month in the second quarter of 2022, which represented 4% growth from a year earlier.
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19308.0
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2022-09-17 00:00:00 UTC
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3 Stocks to Buy During a Recession
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https://www.nasdaq.com/articles/3-stocks-to-buy-during-a-recession-7
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There are many different ways to invest during a recession. So let's discuss three different ways and suggest three stocks, along with some alternatives for investors. The three stocks, Watsco (NYSE: WSO), Corteva (NYSE: CTVA), and Cognex (NASDAQ: CGNX), have nothing in common, but they all represent investing themes that might work in a downturn.
Three ways to invest in a recession
There isn't one sure-fire way to invest in a recession, but here are some solid options:
Stocks with solid balance sheets and the ability to improve long-term prospects during a recession, like Watsco and Honeywell International.
Stocks whose end markets aren't necessarily affected by the direction of the economy. An example of this is the agriculture sector, with companies like Corteva, Deere, and FMC.
Long-term growth stocks that get beaten up during a recession, providing investors with an opportunistic entry point. There are many options here, including Cognex, PTC, and Fortive.
1. Watsco
The heating, ventilation, air-conditioning, and refrigeration (HVACR) parts distributor's incredible success story over the last couple of decades comes down to its "buy and build" strategy. Its business is relatively simple but highly successful. Service contractors visit to repair/service HVACR equipment and order parts from a distributor like Watsco.
The company has grown by consolidating a highly fragmented market characterized by companies operating in local markets. Via an ongoing series of acquisitions, Watsco has grown geographically and expanded its product range. Since the acquired companies are operating locally, there's little cannibalization. In addition, being part of the Watsco network helps them run more efficiently, with access to more parts and Watsco's digital platforms (e-commerce-enabled websites, etc.).
The key to its "buy in a recession" argument is that any economic weakness may encourage smaller distributors to sell up. Given Watsco's strong balance sheet and leading market position, the company is ideally placed to take advantage.
Data by YCharts
2. Corteva
The agriculture sector tends to march to the beat of its own drum. The earnings of stocks in the sector don't depend on the direction of the economy -- a good quality in a recession. As you can see below, the volatility in the price of key crops like wheat, soybeans, and corn over the years doesn't really reflect the volatility in the global economy.
Data by YCharts
In this line of thought, buying stock in seed and crop protection company Corteva makes sense. The company is interesting because management has a significant margin expansion opportunity through cutting costs and selling more products under its own technology rather than paying costly royalty payments to other companies for complimentary products (for example, another company's herbicide alongside Corteva's herbicide-resistant seeds).
So far, it's going well on that front, with its own Enlist system (crop protection and seeds resistant to said crop protection) being planted on 45% of U.S. soybean acres in 2022. That gives Wall Street the confidence to forecast a big pick up in profit margin in the coming years, and Corteva has plenty of long-term earnings potential.
3. Cognex Corporation
Not much has gone right for machine vision company Cognex in 2022. However, faced with significant supply chain issues and component shortages going into the year, management made the conscious decision to invest (at the expense of profit margins) to deliver products to customers. That's a good thing to do for a company establishing its technology with major customers like Apple (and possibly Amazon).
However, that's where the good news stops, because its three major end markets, logistics (e-commerce warehousing), consumer electronics, and automotive, have all suffered this year. Following a few years of torrid growth, e-commerce companies are scaling back investment, while consumer electronics and automotive production will be weaker than expected at the start of the year due to a slowdown in consumer spending and ongoing supply chain issues. Throw in a fire at its primary contractor (damaging Cognex inventory), and it's been a year to forget.
Unsurprisingly, Cognex stock is down 43% in 2022 and 50% over the last year, and if a recession comes, it could go down even more. However, nothing's really changed about its long-term growth prospects, so if you are willing to buy a stock and ride out some potential near-term volatility, then Cognex is attractive. In addition, the company is establishing strong relationships with leading companies, likely leading to greater adoption of machine vision technology.
10 stocks we like better than Corteva Inc.
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*Stock Advisor returns as of August 17, 2022
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Lee Samaha has positions in Honeywell International. The Motley Fool has positions in and recommends Amazon, Apple, Cognex, and Watsco. The Motley Fool recommends PTC and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Watsco The heating, ventilation, air-conditioning, and refrigeration (HVACR) parts distributor's incredible success story over the last couple of decades comes down to its "buy and build" strategy. That gives Wall Street the confidence to forecast a big pick up in profit margin in the coming years, and Corteva has plenty of long-term earnings potential. However, faced with significant supply chain issues and component shortages going into the year, management made the conscious decision to invest (at the expense of profit margins) to deliver products to customers.
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Given Watsco's strong balance sheet and leading market position, the company is ideally placed to take advantage. Data by YCharts In this line of thought, buying stock in seed and crop protection company Corteva makes sense. The Motley Fool recommends PTC and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
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Three ways to invest in a recession There isn't one sure-fire way to invest in a recession, but here are some solid options: Stocks with solid balance sheets and the ability to improve long-term prospects during a recession, like Watsco and Honeywell International. Data by YCharts In this line of thought, buying stock in seed and crop protection company Corteva makes sense. The company is interesting because management has a significant margin expansion opportunity through cutting costs and selling more products under its own technology rather than paying costly royalty payments to other companies for complimentary products (for example, another company's herbicide alongside Corteva's herbicide-resistant seeds).
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Unsurprisingly, Cognex stock is down 43% in 2022 and 50% over the last year, and if a recession comes, it could go down even more. 10 stocks we like better than Corteva Inc. The Motley Fool has positions in and recommends Amazon, Apple, Cognex, and Watsco.
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19309.0
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2022-09-17 00:00:00 UTC
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3 Stocks You Can Keep Forever
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AAPL
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https://www.nasdaq.com/articles/3-stocks-you-can-keep-forever-4
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nan
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Forever may seem like a long time, but if you park your money in the right places, you'll get solid returns much sooner than you suspect, and that's why it pays to always be packing your portfolio with forever stocks. But what makes a forever stock different from others? Essentially, it's having a killer business model that doesn't need to change much to stay profitable, relevant, and rewarding for shareholders as the years roll by.
With that thought in mind, let's examine a trio of stocks worth buying and holding forever -- and you've probably already heard of all three.
1. Abbott Laboratories
Abbott Laboratories (NYSE: ABT) is a no-brainer stock for indefinite holding because it's always growing its dividend and making share repurchases to boost returns. To accomplish those tasks, it manufactures every kind of healthcare good, from glucose monitors to generic medicines, tools for heart surgery, and even diagnostic tests. And that's how, over the last 10 years, its trailing 12-month net income rose by 307%, reaching more than $8.5 billion.
Because of how many different types of products it makes, the risk of its top line collapsing from competitive pressure in any given segment is minimized. That means as economic conditions and market forces shift over the long term, it can rework its strategy in each of its segments gradually, allowing it to stay relevant when more focused competitors might stumble.
At the moment, its forward dividend yield is nearly 1.8%, which is unremarkable. But, in the last five years alone, Abbott hiked its dividend by 77.3%, and it also hit the milestone of 50 years of continuous annual dividend increases. So even if its shares won't outperform the market, you'll have an ever-rising income stream paid for courtesy of Abbott's sales of medical goods that'll always be in demand.
2. Costco
Costco Wholesale (NASDAQ: COST) is another stock that's worth keeping forever because forever is the period of time for which people will continue to need low-cost groceries and home goods. The company's business model is to charge its customers a membership fee, which allows them to shop at its wholesale warehouses, where they can purchase goods in bulk at close to their cost. While its food options are the most extensive, it also sells consumer goods like clothing and kitchenware. It even offers its members access to low-cost pharmacies, insurance coverage, and vehicle repair services.
Everyone likes inexpensive stuff, so it's no surprise that it brought in net revenue of $45.5 billion and net income of $8.5 billion over the trailing 12 months -- and there's likely more growth in store. The business plans to keep opening new warehouses, initiating new growth campaigns like its recent push into e-commerce, and offering new products to attract consumers, just like it's been doing for the prior two decades and beyond.
In that vein, one of the keys to Costco's enduring success is that its members enjoy shopping there thanks to its combination of good customer service, low prices, and decent quality products. Of the 116.6 million members in May 2022, an estimated 92.3% had opted to renew their subscriptions for the next year. That's a lot of happy customers who will continue to spend at its warehouses. And with inflation surging worldwide, its customers will be seeking out bargains more than ever, which should drive short-term growth too.
3. Apple
As one of the world's most valuable companies and perhaps the world's most valuable brand, Apple (NASDAQ: AAPL) is the third stock here that deserves a forever home in your portfolio. Its cellphones, computers, peripherals, software, accessories, and cloud services are heavily in demand. And its constant work to keep innovating on successful designs has so far made it relevant throughout multiple booms and recessions. In its fiscal third quarter alone, the company brought in revenue of $83 billion and net income of more than $19.4 billion.
With such a roaring business, it can afford to benefit shareholders through stock buybacks. Since its 2012 fiscal year, Apple spent $529.1 billion (!) on repurchasing its shares. And there's no indication that it'll stop anytime soon, either. As long as consumers build their digital lives in the company's ecosystem of products and software, their switching costs will remain high, and they'll be incentivized to keep buying the latest editions of whatever they use the most.
To keep the growth train going even more, Apple is also diversifying into new segments like payment processing. It might eventually go even further by entering new hardware markets or even vehicle markets. What's more, its base of revenue comes from so many different products that losing in any given segment won't bring down the house, much like with Abbott Labs. In total, there aren't many other stocks that are so consistently lucrative to hold, and those who hang onto their shares for the long-term get the biggest boost from its constant efforts to return capital.
10 stocks we like better than Abbott Laboratories
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They just revealed what they believe are the ten best stocks for investors to buy right now... and Abbott Laboratories wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of August 17, 2022
Alex Carchidi has positions in Abbott Laboratories, Apple, and Costco Wholesale. The Motley Fool has positions in and recommends Apple and Costco Wholesale. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple As one of the world's most valuable companies and perhaps the world's most valuable brand, Apple (NASDAQ: AAPL) is the third stock here that deserves a forever home in your portfolio. That means as economic conditions and market forces shift over the long term, it can rework its strategy in each of its segments gradually, allowing it to stay relevant when more focused competitors might stumble. In that vein, one of the keys to Costco's enduring success is that its members enjoy shopping there thanks to its combination of good customer service, low prices, and decent quality products.
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Apple As one of the world's most valuable companies and perhaps the world's most valuable brand, Apple (NASDAQ: AAPL) is the third stock here that deserves a forever home in your portfolio. Costco Costco Wholesale (NASDAQ: COST) is another stock that's worth keeping forever because forever is the period of time for which people will continue to need low-cost groceries and home goods. Everyone likes inexpensive stuff, so it's no surprise that it brought in net revenue of $45.5 billion and net income of $8.5 billion over the trailing 12 months -- and there's likely more growth in store.
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Apple As one of the world's most valuable companies and perhaps the world's most valuable brand, Apple (NASDAQ: AAPL) is the third stock here that deserves a forever home in your portfolio. Abbott Laboratories Abbott Laboratories (NYSE: ABT) is a no-brainer stock for indefinite holding because it's always growing its dividend and making share repurchases to boost returns. Costco Costco Wholesale (NASDAQ: COST) is another stock that's worth keeping forever because forever is the period of time for which people will continue to need low-cost groceries and home goods.
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Apple As one of the world's most valuable companies and perhaps the world's most valuable brand, Apple (NASDAQ: AAPL) is the third stock here that deserves a forever home in your portfolio. But what makes a forever stock different from others? But, in the last five years alone, Abbott hiked its dividend by 77.3%, and it also hit the milestone of 50 years of continuous annual dividend increases.
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19310.0
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2022-09-17 00:00:00 UTC
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10 Small-Cap Stocks Under $10 to Sell Now
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AAPL
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https://www.nasdaq.com/articles/10-small-cap-stocks-under-%2410-to-sell-now
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nan
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Small-cap companies can be some of the most innovative and profitable on the market. Though they are sometimes misinterpreted as only startups or brand-new companies, they are technically just companies whose total market value, or market capitalization (shortened to cap in “small cap”), ranges from about $300 million to $2 billion. Large-cap stocks, in comparison, have a market value of $10 billion or higher.
The appeal of small-cap stocks is that, because they are smaller to begin with and often trade at lower prices, they have a greater chance of big gains. The hope for investors is that one day they could become large-cap stocks – like Apple Inc. (AAPL) or Amazon.com, Inc. (AMZN). Back in March 2004, I actually recommended Amazon at a split-adjusted $2.14 a share. Anyone who held on through 2022 saw as much as 81-fold gains… which could have turned a $10,000 investment into $825,000.
But the reality is that greater growth comes with greater risk and volatility, and small-cap stocks can often lack stability. For example, the Russell 2000 – a market index made up of 2,000 small-cap companies – fell 20% year-to-date. So, if you pick the wrong small-cap stock and end up with an earnings dud, you can do some serious damage to your portfolio.
My point is this: A low price doesn’t always mean a good buy.
And this is why my Portfolio Grader is such a great, useful tool. It helps you easily avoid bad stocks with a simple rating system. And a highly rated superior stock at a low price is definitely a good buy.
My system analyses over 5,000 stocks and grades them according to the features listed in the chart below. The Quantitative Grade you see measures the buying pressure. The Fundamental Grade you see evaluates the stock’s fundamentals. Blend those two grades together (we do it with our proprietary system) and what you get is the Total Grade. The Total Grade gives you my current buy, sell or hold recommendation, just like the ones in school:
A stock with the highest growth and quality ratings gets an “A.”
A stock with miserable ratings gets an “F.”
And if a stock does earn a “D” or “F” grade, it’s a sell.
It really is as easy as A-B-C!
Today, I want to share 10 small-cap stocks that trade under $10 and have “F” ratings in my Portfolio Grader. This means that they’re sells and not a good investment right now, even for bargain hunters.
Here are 10 small-cap stocks trading under $10 to sell:
TICKER COMPANY NAME QUANTITATIVE GRADE FUNDAMENTAL GRADE TOTAL GRADE
BNED Barnes & Noble Education, Inc. F D F
BFI BurgerFi International, Inc. F D F
EXPR Express, Inc. F D F
FLWS 1-800-FLOWERS.COM, Inc. Class A F D F
KIRK Kirkland’s, Inc. F D F
RRGB Red Robin Gourmet Burgers, Inc. F D F
SFIX Stitch Fix, Inc. Class A F D F
TUEM Tuesday Morning Corporation F D F
VRA Vera Bradley, Inc. F D F
SPCE Virgin Galactic Holdings Inc F D F
This doesn’t mean that you should avoid low-priced/small-cap stocks completely – far from it. You just want to make sure you’re picking up shares of ones that are backed by superior fundamentals. I’m talking about companies with strong fundamentals that also see persistent money flow, which ultimately earns them high ratings in Portfolio Grader. I’m pleased to say that my Breakthrough Stocks Buy List is chock-full of these companies.
In fact, my Breakthrough Stocks Buy List remains characterized by 43.3% average annual sales growth and 204.1% average annual earnings growth. I should also add that my Buy List stocks are currently trading at a median price-to-earnings ratio of just 10.9X current earnings and only 4.65X median forecasted earnings.
Join me at Breakthrough Stocks today and you’ll have full access to all my Buy List stocks – including two brand-new recommendations that I released on Thursday.
I’ll also send you my latest special report, 7 Breakthrough Stocks Under $10. In it, I further detail how my proprietary stock-picking system works, and I reveal seven stocks that have the potential to hand you an additional 1,000% in gains over the next few years.
These stocks are trading at discount prices thanks to a rare “Decoupling Event.” It’s been nearly 15 years since an opportunity like this one came around when investors can snap up stocks with world-class fundamentals at such low prices – and you won’t want to miss out.
Click here to become a member today.
Sincerely,
Source: InvestorPlace unless otherwise noted
Louis Navellier
The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below:
Amazon.com, Inc. (AMZN)
Louis Navellier, who has been called “one of the most important money managers of our time,” has broken the silence in this shocking “tell all” video… exposing one of the most shocking events in our country’s history… and the one move every American needs to make today.
The post 10 Small-Cap Stocks Under $10 to Sell Now appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The hope for investors is that one day they could become large-cap stocks – like Apple Inc. (AAPL) or Amazon.com, Inc. (AMZN). BNED Barnes & Noble Education, Inc. F D F BFI BurgerFi International, Inc. F D F EXPR Express, Inc. F D F FLWS 1-800-FLOWERS.COM, Inc. Class A F D F KIRK Kirkland’s, Inc. F D F RRGB Red Robin Gourmet Burgers, Inc. F D F SFIX Stitch Fix, Inc. Class A F D F TUEM Tuesday Morning Corporation F D F VRA Vera Bradley, Inc. F D F SPCE Virgin Galactic Holdings Inc F D F This doesn’t mean that you should avoid low-priced/small-cap stocks completely – far from it. I’m talking about companies with strong fundamentals that also see persistent money flow, which ultimately earns them high ratings in Portfolio Grader.
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The hope for investors is that one day they could become large-cap stocks – like Apple Inc. (AAPL) or Amazon.com, Inc. (AMZN). InvestorPlace - Stock Market News, Stock Advice & Trading Tips Small-cap companies can be some of the most innovative and profitable on the market. And a highly rated superior stock at a low price is definitely a good buy.
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The hope for investors is that one day they could become large-cap stocks – like Apple Inc. (AAPL) or Amazon.com, Inc. (AMZN). InvestorPlace - Stock Market News, Stock Advice & Trading Tips Small-cap companies can be some of the most innovative and profitable on the market. The Total Grade gives you my current buy, sell or hold recommendation, just like the ones in school: A stock with the highest growth and quality ratings gets an “A.” A stock with miserable ratings gets an “F.” And if a stock does earn a “D” or “F” grade, it’s a sell.
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The hope for investors is that one day they could become large-cap stocks – like Apple Inc. (AAPL) or Amazon.com, Inc. (AMZN). The Total Grade gives you my current buy, sell or hold recommendation, just like the ones in school: A stock with the highest growth and quality ratings gets an “A.” A stock with miserable ratings gets an “F.” And if a stock does earn a “D” or “F” grade, it’s a sell. Today, I want to share 10 small-cap stocks that trade under $10 and have “F” ratings in my Portfolio Grader.
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19311.0
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2022-09-17 00:00:00 UTC
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3 Growth Stocks Down 49.6% to 79.9% to Buy Now and Hold Forever
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AAPL
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https://www.nasdaq.com/articles/3-growth-stocks-down-49.6-to-79.9-to-buy-now-and-hold-forever
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Whether you've been investing for decades or are just starting out, this has been a difficult year. The benchmark S&P 500 index lost more ground in the first half of 2022 than it had since 1970.
The thing to remember about market downturns is that bad stocks tend to fall just as easily as great stocks that can deliver market-beating gains. These three growth stocks have what they need to outperform over the long run, but they've fallen between 51% and 80% from the peak prices they reached last year.
Image source: Getty Images.
1. Shopify
Shares of Shopify (NYSE: SHOP) benefited greatly from the surge in demand for online shopping when the pandemic kept us all at home. The former high-flyer has fallen more than 80% from the peak it reached last year.
The bottom fell out from under Shopify shares largely because investors are nervous about the company's ongoing transition from a mainly software company to one that also excels at fulfillment services like its e-commerce rival, Amazon. To this end, Shopify acquired Deliverr for $2.1 billion in July.
Deliverr is a fulfillment technology provider that enables two-day shipping for direct-to-consumer merchants. This will make it easier for more of Shopify's merchant partners to offer ultra-fast fulfillment services without handing control of their customer relationships over to Amazon.
Heavy investment to shore up its fulfillment network combined with a general online shopping slowdown have led to losses on the bottom line for Shopify's e-commerce businesses in the first half of 2022. Investors will be glad to know the company finished June with nearly $7 billion in cash. That's more than enough to keep operations humming along while general e-commerce activity catches up to the company's improved capacity.
2. Duolingo
Duolingo (NASDAQ: DUOL) stock surged during the strictest pandemic lockdowns, but it's fallen by more than half since it peaked last September. This language-focused education company owns the top-grossing education app on Apple's App Store and Google's Play Store.
Learning a new language or brushing up on an old one was one of the top activities for people with extra time on their hands during strict COVID-19-related restrictions. Investors worried that fewer people with extra time on their hands would curtail Duolingo's rapid growth rate and hammered the stock without waiting for evidence.
You wouldn't know it by looking a the stock price, but Duolingo's app is still bringing in new subscribers and retaining old ones. In August, the company reported second-quarter revenue that grew more than 50% from the previous year's period.
Duolingo's relentless focus on improving its lessons in ways that encourage free users to become paid subscribers is working. An impressive 25% of daily active users at the end of June were paid subscribers, up from 21% a year earlier. These impressive gains at a time that should be extra challenging for online education companies to make year-over-year comparisons suggest a bright future ahead.
3. SoFi Technologies
Shares of SoFi Technologies (NASDAQ: SOFI) have tumbled around 77% from a high-water mark in early 2021. This company began refinancing student loans around a decade ago, and now it's a full-service consumer bank with 4.3 million members who are using 6.6 million products.
In addition to a full-service consumer banking operation, SoFi owns Galileo and its industry-leading application programming interface (API). When businesses want to create accounts and set up payment cards, they flock to the Galileo API, which enabled 117 million accounts at the end of June.
SoFi is in high-growth mode. It acquired Galileo in 2020 and another tech platform called Technisys in March. Despite making big investments to solidify its unique position, the company has reported positive earnings before interest, taxes, depreciation, or amortization (EBITDA) for two straight years. The stock's price might be volatile, but this well-run bank is set up to deliver market-beating gains over the long run.
Find out why Shopify is one of the 10 best stocks to buy now
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They just revealed their ten top stock picks for investors to buy right now. Shopify is on the list -- but there are nine others you may be overlooking.
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*Stock Advisor returns as of August 17, 2022
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Cory Renauer has positions in Duolingo, Inc., Shopify, and SoFi Technologies, Inc. The Motley Fool has positions in and recommends Amazon, Apple, and Shopify. The Motley Fool recommends the following options: long January 2023 $1,140 calls on Shopify, long March 2023 $120 calls on Apple, short January 2023 $1,160 calls on Shopify, and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Heavy investment to shore up its fulfillment network combined with a general online shopping slowdown have led to losses on the bottom line for Shopify's e-commerce businesses in the first half of 2022. Investors worried that fewer people with extra time on their hands would curtail Duolingo's rapid growth rate and hammered the stock without waiting for evidence. *Stock Advisor returns as of August 17, 2022 John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors.
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SoFi Technologies Shares of SoFi Technologies (NASDAQ: SOFI) have tumbled around 77% from a high-water mark in early 2021. In addition to a full-service consumer banking operation, SoFi owns Galileo and its industry-leading application programming interface (API). The Motley Fool recommends the following options: long January 2023 $1,140 calls on Shopify, long March 2023 $120 calls on Apple, short January 2023 $1,160 calls on Shopify, and short March 2023 $130 calls on Apple.
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The bottom fell out from under Shopify shares largely because investors are nervous about the company's ongoing transition from a mainly software company to one that also excels at fulfillment services like its e-commerce rival, Amazon. Duolingo Duolingo (NASDAQ: DUOL) stock surged during the strictest pandemic lockdowns, but it's fallen by more than half since it peaked last September. The Motley Fool recommends the following options: long January 2023 $1,140 calls on Shopify, long March 2023 $120 calls on Apple, short January 2023 $1,160 calls on Shopify, and short March 2023 $130 calls on Apple.
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These three growth stocks have what they need to outperform over the long run, but they've fallen between 51% and 80% from the peak prices they reached last year. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. The Motley Fool has positions in and recommends Amazon, Apple, and Shopify.
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19312.0
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2022-09-16 00:00:00 UTC
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Why Warren Buffett Loves Apple
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AAPL
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https://www.nasdaq.com/articles/why-warren-buffett-loves-apple-0
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nan
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nan
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With a market capitalization of $2.5 trillion, Apple (NASDAQ: AAPL) is one of the world's largest companies. And one of Apple's biggest fans happens to be Warren Buffett, CEO of Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B).
Since Buffett's lieutenants initially bought Berkshire's first 10 million shares in 2016, Buffett has come to appreciate Apple's business. He has since ditched his flip phone for an iPhone, continued to build Berkshire's stake in Apple, and heaped praise on the company.
Currently comprising nearly 40% of Buffett's portfolio, Apple represents Berkshire's third-largest holding. Let's take a closer look at why Buffett thinks Apple is the greatest company in the world.
A premier brand
If you look at the Berkshire Hathaway portfolio, it's clear that Warren Buffett sees the value in a company's brand. Some of the most recognizable brands in the world are held by Buffett. Most iconic is Coca Cola (NYSE: KO) , a longtime holding of Berkshire's, and currently the fourth-largest investment in the portfolio. Buffett is known for his daily habit of McDonald's (NYSE: MCD) (a former holding) and Coke.
Berkshire's investment in Apple fits into this brand-driven focus as well. It's difficult to think of a more iconic brand within the tech sector, and if we look at it financially, Apple's brand is estimated to be valued at $947 billion.
This strong brand has helped Apple sell a wide variety of hardware devices, as well as a compelling ecosystem that has led to more and more recurring subscription revenue.
Over the first nine months of 2022, Apple has seen all but its iPad category grow revenue year over year. Interestingly, the leading category has been services, which has increased 18% over the same timeframe from 2021. This is important, as services consists of high-margin revenue like AppleCare, digital subscriptions, and payment services, helping with Apple's profitability and cash generation.
Profits galore
In 2018, Buffett was quoted as saying that Apple "earns almost twice as much as the second-most profitable company in the United States," while calling it an "unbelievable company" and regretting not buying it earlier. Not much has changed, as Apple is the most profitable company in the world.
In Apple's most recently reported quarter, it posted net income of $19 billion, and over the past 10 years it has increased its profits by almost 140%. In addition, Apple generates massive amounts of free cash flow that it uses to repurchase its shares. Over the past 10 years the company has reduced its share count by almost 40%.
In the 2021 Berkshire Hathaway annual letter, Buffett wrote that its share of Apple increased from 5.39% to 5.55% entirely from Apple's share repurchases.
A strong management team
In that same annual letter, Buffett heaped praise on Apple CEO Tim Cook, calling him brilliant and pointing out how Apple's shareholders benefit from Cook's devotion to Apple's customers.
That Buffett is drawn to Cook is not a surprise. Berkshire has a long history of acquiring companies and allowing them to operate independently with very little oversight from Buffett. At Berkshire's 1994 annual meeting, Buffett was quoted as saying, "The important thing we do with managers, generally, is to find the .400 hitters and then not tell them how to swing." While this quote relates to businesses Berkshire acquires, it certainly is part of Buffett's attraction to Apple.
A wonderful company at a fair price
As an icon to value investors, Buffett is known for hunting for bargains. However, he's also famous for saying that "it's far better to buy a wonderful company at a fair price than a fair company at a wonderful price." This line of thinking applies to a company like Apple.
Apple may not always appear "cheap," but when the company is of Apple's quality, some premium is justified, even for Warren Buffett.
10 stocks we like better than Apple
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Jeff Santoro has positions in Apple and Berkshire Hathaway (B shares). The Motley Fool has positions in and recommends Apple and Berkshire Hathaway (B shares). The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long January 2024 $47.50 calls on Coca-Cola, long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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With a market capitalization of $2.5 trillion, Apple (NASDAQ: AAPL) is one of the world's largest companies. He has since ditched his flip phone for an iPhone, continued to build Berkshire's stake in Apple, and heaped praise on the company. This strong brand has helped Apple sell a wide variety of hardware devices, as well as a compelling ecosystem that has led to more and more recurring subscription revenue.
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With a market capitalization of $2.5 trillion, Apple (NASDAQ: AAPL) is one of the world's largest companies. And one of Apple's biggest fans happens to be Warren Buffett, CEO of Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B). A strong management team In that same annual letter, Buffett heaped praise on Apple CEO Tim Cook, calling him brilliant and pointing out how Apple's shareholders benefit from Cook's devotion to Apple's customers.
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With a market capitalization of $2.5 trillion, Apple (NASDAQ: AAPL) is one of the world's largest companies. In the 2021 Berkshire Hathaway annual letter, Buffett wrote that its share of Apple increased from 5.39% to 5.55% entirely from Apple's share repurchases. A strong management team In that same annual letter, Buffett heaped praise on Apple CEO Tim Cook, calling him brilliant and pointing out how Apple's shareholders benefit from Cook's devotion to Apple's customers.
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With a market capitalization of $2.5 trillion, Apple (NASDAQ: AAPL) is one of the world's largest companies. A premier brand If you look at the Berkshire Hathaway portfolio, it's clear that Warren Buffett sees the value in a company's brand. In the 2021 Berkshire Hathaway annual letter, Buffett wrote that its share of Apple increased from 5.39% to 5.55% entirely from Apple's share repurchases.
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19313.0
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2022-09-16 00:00:00 UTC
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After Hours Most Active for Sep 16, 2022 : NLY, INVH, CSGP, PENN, AEO, HPP, AAPL, VZ, INTC, HOOD, INFY, RIVN
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AAPL
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https://www.nasdaq.com/articles/after-hours-most-active-for-sep-16-2022-%3A-nly-invh-csgp-penn-aeo-hpp-aapl-vz-intc-hood
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The NASDAQ 100 After Hours Indicator is down -.73 to 11,860.65. The total After hours volume is currently 446,918,710 shares traded.
The following are the most active stocks for the after hours session:
Annaly Capital Management Inc (NLY) is +0.04 at $6.08, with 45,908,888 shares traded. NLY's current last sale is 90.07% of the target price of $6.75.
Invitation Homes Inc. (INVH) is unchanged at $36.86, with 25,760,854 shares traded. As reported by Zacks, the current mean recommendation for INVH is in the "buy range".
CoStar Group, Inc. (CSGP) is unchanged at $70.45, with 17,915,443 shares traded. As reported by Zacks, the current mean recommendation for CSGP is in the "buy range".
PENN Entertainment, Inc. (PENN) is unchanged at $30.56, with 14,737,810 shares traded. As reported by Zacks, the current mean recommendation for PENN is in the "buy range".
American Eagle Outfitters, Inc. (AEO) is -0.05 at $10.90, with 14,211,060 shares traded. AEO's current last sale is 90.83% of the target price of $12.
Hudson Pacific Properties, Inc. (HPP) is unchanged at $12.98, with 13,291,733 shares traded. HPP's current last sale is 76.35% of the target price of $17.
Apple Inc. (AAPL) is -0.1 at $150.60, with 13,102,184 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range".
Verizon Communications Inc. (VZ) is +0.03 at $41.28, with 9,226,467 shares traded. VZ's current last sale is 75.05% of the target price of $55.
Intel Corporation (INTC) is -0.01 at $29.23, with 8,683,945 shares traded. INTC's current last sale is 79% of the target price of $37.
Robinhood Markets, Inc. (HOOD) is +0.04 at $10.29, with 8,618,695 shares traded. HOOD's current last sale is 102.9% of the target price of $10.
Infosys Limited (INFY) is +0.04 at $17.42, with 8,413,115 shares traded., following a 52-week high recorded in today's regular session.
Rivian Automotive, Inc. (RIVN) is -0.0608 at $39.20, with 7,842,678 shares traded. RIVN's current last sale is 65.33% of the target price of $60.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc. (AAPL) is -0.1 at $150.60, with 13,102,184 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". As reported by Zacks, the current mean recommendation for INVH is in the "buy range".
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Apple Inc. (AAPL) is -0.1 at $150.60, with 13,102,184 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". As reported by Zacks, the current mean recommendation for INVH is in the "buy range".
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Apple Inc. (AAPL) is -0.1 at $150.60, with 13,102,184 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The total After hours volume is currently 446,918,710 shares traded.
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Apple Inc. (AAPL) is -0.1 at $150.60, with 13,102,184 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". NLY's current last sale is 90.07% of the target price of $6.75.
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19314.0
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2022-09-16 00:00:00 UTC
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U.S. antitrust officials ask to join arguments in Apple appeal
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AAPL
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https://www.nasdaq.com/articles/u.s.-antitrust-officials-ask-to-join-arguments-in-apple-appeal
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By Stephen Nellis
Sept 16 (Reuters) - Officials from the U.S. Department of Justice have asked to take part in oral arguments next month in "Fortnite" creator Epic Games' appeal of a court loss against Apple Inc AAPL.O, according to court documents filed Friday.
Epic sued Apple in 2020 claiming that the iPhone maker violated antitrust laws with its App Store rules, which require developers to pay commissions to Apple of up to 30% of in-app purchases. Apple emerged mostly victorious, allowing its commissions to stand. At the time of the trial, antitrust experts had said that loss for Epic could close off legal avenues for the Justice Department, which has been probing Apple since 2019, to bring an antitrust complaint.
Epic appealed its loss, with oral arguments set for Oct. 21 at the U.S. Ninth Circuit Court of Appeals, where both Apple and Epic will have 20 minutes each to make their respective cases.
In January, the Justice Department entered the case by filing a brief. Antitrust officials said they did not support either side in the disputes at hand but were concerned that the lower court's ruling had improperly interpreted the Sherman Act, the country's primary antitrust law. On Friday, U.S. officials asked for 10 minutes of argument time.
"The United States believes that its participation at oral argument would be helpful to the court, especially in explaining how the errors (in antitrust law interpretation) could significantly harm antitrust enforcement beyond the specific context of this case," the Justice Department wrote in the filing.
Neither Epic nor Apple opposed the move, though Apple wants the regulators' argument time to come out of Epic's time or to be granted additional time.
(Reporting by Stephen Nellis in San Francisco; Editing by David Gregorio)
((Stephen.Nellis@thomsonreuters.com; (415) 344-4934;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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By Stephen Nellis Sept 16 (Reuters) - Officials from the U.S. Department of Justice have asked to take part in oral arguments next month in "Fortnite" creator Epic Games' appeal of a court loss against Apple Inc AAPL.O, according to court documents filed Friday. Epic sued Apple in 2020 claiming that the iPhone maker violated antitrust laws with its App Store rules, which require developers to pay commissions to Apple of up to 30% of in-app purchases. "The United States believes that its participation at oral argument would be helpful to the court, especially in explaining how the errors (in antitrust law interpretation) could significantly harm antitrust enforcement beyond the specific context of this case," the Justice Department wrote in the filing.
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By Stephen Nellis Sept 16 (Reuters) - Officials from the U.S. Department of Justice have asked to take part in oral arguments next month in "Fortnite" creator Epic Games' appeal of a court loss against Apple Inc AAPL.O, according to court documents filed Friday. Epic appealed its loss, with oral arguments set for Oct. 21 at the U.S. Ninth Circuit Court of Appeals, where both Apple and Epic will have 20 minutes each to make their respective cases. On Friday, U.S. officials asked for 10 minutes of argument time.
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By Stephen Nellis Sept 16 (Reuters) - Officials from the U.S. Department of Justice have asked to take part in oral arguments next month in "Fortnite" creator Epic Games' appeal of a court loss against Apple Inc AAPL.O, according to court documents filed Friday. "The United States believes that its participation at oral argument would be helpful to the court, especially in explaining how the errors (in antitrust law interpretation) could significantly harm antitrust enforcement beyond the specific context of this case," the Justice Department wrote in the filing. Neither Epic nor Apple opposed the move, though Apple wants the regulators' argument time to come out of Epic's time or to be granted additional time.
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By Stephen Nellis Sept 16 (Reuters) - Officials from the U.S. Department of Justice have asked to take part in oral arguments next month in "Fortnite" creator Epic Games' appeal of a court loss against Apple Inc AAPL.O, according to court documents filed Friday. On Friday, U.S. officials asked for 10 minutes of argument time. "The United States believes that its participation at oral argument would be helpful to the court, especially in explaining how the errors (in antitrust law interpretation) could significantly harm antitrust enforcement beyond the specific context of this case," the Justice Department wrote in the filing.
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19315.0
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2022-09-16 00:00:00 UTC
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Why Apple Stock Was Falling Earlier This Morning
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AAPL
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https://www.nasdaq.com/articles/why-apple-stock-was-falling-earlier-this-morning
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What happened
A broad market sell-off following more bad news for the economy weighed on Apple (NASDAQ: AAPL) stock today. As of 11:00 a.m. ET, the shares were down 2.2% on Friday.
As Apple officially released the new iPhone 14, FedEx spoiled the fun by reporting lower-than-expected earnings results, which has stoked investor fears that the economy is tipping over into a recession. The market sell-off has made it a choppy year for Apple stock, which is currently down 16% year to date.
So what
Early signs are pointing to high demand for the pricier iPhone 14 Pro models, while the standard iPhone 14 and 14 Plus are showing low interest. Some models for the Pro version are currently showing delivery times extending to the end of October, exceeding expectations.
Analyst Amit Daryanani at Evercore ISI recently said in a report that this scenario could have a significant positive impact on Apple's profit margin for the quarter.
However, news that FedEx missed on revenue and profits in its latest quarter drowned out positive news around iPhone demand. There was a lot of news out this week sending negative signals to Wall Street about the economy, which weighed on all stocks.
Now what
Analysts expect Apple to report $88.68 billion in revenue for the fiscal fourth quarter ending in September. However, that would only reflect a small slice of the iPhone demand.
Looking ahead through the December quarter, analysts expect revenue to be $127.9 billion, up 3% year over year. Apple will be up against a tough year-ago comparison, when revenue grew 11%. The iPhone maker's ability to continue posting upside to its numbers in a weakening economy is why it's a top tech stock to hold in this bear market.
10 stocks we like better than Apple
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Apple wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of August 17, 2022
John Ballard has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple and FedEx. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What happened A broad market sell-off following more bad news for the economy weighed on Apple (NASDAQ: AAPL) stock today. As Apple officially released the new iPhone 14, FedEx spoiled the fun by reporting lower-than-expected earnings results, which has stoked investor fears that the economy is tipping over into a recession. Analyst Amit Daryanani at Evercore ISI recently said in a report that this scenario could have a significant positive impact on Apple's profit margin for the quarter.
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What happened A broad market sell-off following more bad news for the economy weighed on Apple (NASDAQ: AAPL) stock today. Now what Analysts expect Apple to report $88.68 billion in revenue for the fiscal fourth quarter ending in September. Looking ahead through the December quarter, analysts expect revenue to be $127.9 billion, up 3% year over year.
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What happened A broad market sell-off following more bad news for the economy weighed on Apple (NASDAQ: AAPL) stock today. 10 stocks we like better than Apple When our award-winning analyst team has a stock tip, it can pay to listen. See the 10 stocks *Stock Advisor returns as of August 17, 2022 John Ballard has no position in any of the stocks mentioned.
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What happened A broad market sell-off following more bad news for the economy weighed on Apple (NASDAQ: AAPL) stock today. However, news that FedEx missed on revenue and profits in its latest quarter drowned out positive news around iPhone demand. Now what Analysts expect Apple to report $88.68 billion in revenue for the fiscal fourth quarter ending in September.
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19316.0
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2022-09-16 00:00:00 UTC
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Apple Stock (NASDAQ:AAPL): Watch Out for These Catalysts
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AAPL
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https://www.nasdaq.com/articles/apple-stock-nasdaq%3Aaapl%3A-watch-out-for-these-catalysts
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September has been a forgettable month for the stock market, but it turned out to be the opposite for Apple stock (NASDAQ:AAPL). The tech giant wrapped up its hotly anticipated Far Out event recently, where it unveiled the latest versions of the iPhone, AirPods, and Apple Watch, much to the delight of its loyal customer base. Moreover, despite the headwinds, its steady revenue expansion and EBITDA growth over the past year make it a solid bet over the long term. Hence, we are bullish on AAPL stock.
Similar to previous versions of the iPhone, the newest iteration was able to capture the imaginations of its customer base yet again. Moreover, the biggest surprise was no hike in the price of the iPhone 14 in the U.S. The ability to retain its pricing suggests it's struck an incredible balance between growth and profitability. The strategy is likely to boost sales immensely once it hits the markets.
Furthermore, keeping its prices in check is doubly important now, considering the drop in discretionary spending. High prices will likely make customers fret over spending over $1,000 on an iPhone, but keeping its prices steady is an incredible achievement.
Apple's latest products will likely be a major catalyst for its business. Layer that up with its sticky Apple services, and you have a juggernaut that should steamroll its competition. Most analysts believe these new products will likely elevate its stock price soon. With the current pull-back in prices, it's probably the right move to invest in AAPL stock.
AAPL Stock Could Move Higher in the Near-Term
Despite the economic challenges, AAPL stock was able to kick start a few short-lived rallies. Before the Far Out event, Apple stock was deep in the red, but the event's success kickstarted a rally. Also, the upcoming quarter will be an important litmus test for the business, which could also boost AAPL stock to new heights.
With rising inflation across the globe, most tech companies reported low sales numbers, and their stock prices took a massive beating. However, Apple's third-quarter results were much better than expected, considering the circumstances. With the company's amazing track record, it's tough to count out its growth trajectory.
Apple Had a Remarkable Third Quarter Showing
Apple's revenues came in at $83 billion for Q3, almost a 2% improvement from the prior-year period. Despite the economic downturn, Apple reported its net profit of $19.4 billion and earnings per share of $1.20, which came in $0.04 higher than analyst estimates. Moreover, it generated record sales in its Services segment. The resilient results during the quarter demonstrate the impact of Apple on its massive customer base.
Moreover, the company could generate close to $40.7 billion while dealing with the threat of recession. It seems Apple has done well to manage the impact of inflation and grow its results at a steady pace. It has set itself up for bumper quarters ahead with the release of new products.
Apple Expands Production Outside of China
Apple has announced that it will expand its production outside China to diversify its supply chain and reduce its reliance on a single country. Consequently, Apple invested $1 billion in India, along with expanding into existing facilities in Vietnam and Brazil. The company is also working on setting up a new production line in the U.S.
This represents a major shift for Apple, which has so far relied on China for most of its manufacturing. With the reduction in production-related bottlenecks, Apple can effectively manage its operational costs and boost its bottom-line results in the years to come. With the global supply chain challenges, its imperative for companies to have a diversified production base.
Is Apple Stock a Buy or a Sell?
Turning to Wall Street, AAPL stock maintains a Strong Buy consensus rating. Out of 28 total analyst ratings, 23 Buys, four Holds, and one Sell were assigned over the past three months. The average AAPL price target is $183.56, implying a 20.5% upside potential. Analyst price targets range from a low of $136 per share to a high of $220 per share.
Takeaway: AAPL Stock is the Leader of Big Tech
Apple is the crème de la crème as far as tech companies are concerned. It has a history of producing premium products, which continue to capture the imaginations of its customer base. The iPhone Series has been a cash cow for the company and is unlikely to change anytime soon. It has generated billions of dollars for the company, and every new version of the iPhone proves its naysayers wrong.
Moreover, the company's penchant for innovation and diversification remains its strong suit and is arguably the growth catalyst it needs to be successful in the long haul. Additionally, the company remains consistent in rewarding its shareholders.
Considering its strong customer base, high demand, high returns, and massive free cash flow, it would not be surprising if AAPL stock performs exceedingly well over the long term. It has, time and again, proven its critics wrong by posting incredible results across all its core and non-core segments.
Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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September has been a forgettable month for the stock market, but it turned out to be the opposite for Apple stock (NASDAQ:AAPL). Hence, we are bullish on AAPL stock. With the current pull-back in prices, it's probably the right move to invest in AAPL stock.
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Considering its strong customer base, high demand, high returns, and massive free cash flow, it would not be surprising if AAPL stock performs exceedingly well over the long term. September has been a forgettable month for the stock market, but it turned out to be the opposite for Apple stock (NASDAQ:AAPL). Hence, we are bullish on AAPL stock.
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September has been a forgettable month for the stock market, but it turned out to be the opposite for Apple stock (NASDAQ:AAPL). Takeaway: AAPL Stock is the Leader of Big Tech Apple is the crème de la crème as far as tech companies are concerned. Hence, we are bullish on AAPL stock.
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September has been a forgettable month for the stock market, but it turned out to be the opposite for Apple stock (NASDAQ:AAPL). Hence, we are bullish on AAPL stock. With the current pull-back in prices, it's probably the right move to invest in AAPL stock.
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19317.0
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2022-09-16 00:00:00 UTC
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Pre-Market Most Active for Sep 16, 2022 : SQQQ, TQQQ, AAOI, FDX, QQQ, TSLA, AAPL, NIO, UBER, NOK, AMPX, CCL
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AAPL
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https://www.nasdaq.com/articles/pre-market-most-active-for-sep-16-2022-%3A-sqqq-tqqq-aaoi-fdx-qqq-tsla-aapl-nio-uber-nok
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The NASDAQ 100 Pre-Market Indicator is down -130.28 to 11,797.21. The total Pre-Market volume is currently 27,927,254 shares traded.
The following are the most active stocks for the pre-market session:
ProShares UltraPro Short QQQ (SQQQ) is +1.74 at $49.88, with 4,371,786 shares traded. This represents a 77.19% increase from its 52 Week Low.
ProShares UltraPro QQQ (TQQQ) is -0.89 at $24.20, with 3,903,991 shares traded. This represents a 13.51% increase from its 52 Week Low.
Applied Optoelectronics, Inc. (AAOI) is +0.6101 at $3.11, with 1,446,023 shares traded. As reported in the last short interest update the days to cover for AAOI is 17.104671; this calculation is based on the average trading volume of the stock.
FedEx Corporation (FDX) is -41.75 at $163.12, with 1,187,774 shares traded.FDX is scheduled to provide an earnings report on 9/22/2022, for the fiscal quarter ending Aug2022. The consensus earnings per share forecast is 5.06 per share, which represents a 437 percent increase over the EPS one Year Ago
Invesco QQQ Trust, Series 1 (QQQ) is -3.44 at $287.66, with 1,073,128 shares traded. This represents a 6.83% increase from its 52 Week Low.
Tesla, Inc. (TSLA) is -3.65 at $300.10, with 606,218 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2022. The consensus EPS forecast is $0.91. TSLA's current last sale is 92.39% of the target price of $324.833.
Apple Inc. (AAPL) is -1.76 at $150.61, with 591,297 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range".
NIO Inc. (NIO) is -0.23 at $21.28, with 491,264 shares traded. As reported by Zacks, the current mean recommendation for NIO is in the "buy range".
Uber Technologies, Inc. (UBER) is -1.22 at $31.91, with 441,721 shares traded. As reported by Zacks, the current mean recommendation for UBER is in the "buy range".
Nokia Corporation (NOK) is -0.13 at $4.74, with 414,937 shares traded. As reported by Zacks, the current mean recommendation for NOK is in the "buy range".
Amprius Technologies, Inc. (AMPX) is +8.4001 at $18.40, with 370,456 shares traded.
Carnival Corporation (CCL) is -0.25 at $10.67, with 367,020 shares traded. CCL's current last sale is 79.04% of the target price of $13.5.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc. (AAPL) is -1.76 at $150.61, with 591,297 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". As reported in the last short interest update the days to cover for AAOI is 17.104671; this calculation is based on the average trading volume of the stock.
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Apple Inc. (AAPL) is -1.76 at $150.61, with 591,297 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The total Pre-Market volume is currently 27,927,254 shares traded.
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Apple Inc. (AAPL) is -1.76 at $150.61, with 591,297 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The total Pre-Market volume is currently 27,927,254 shares traded.
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As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Apple Inc. (AAPL) is -1.76 at $150.61, with 591,297 shares traded. As reported in the last short interest update the days to cover for AAOI is 17.104671; this calculation is based on the average trading volume of the stock.
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19318.0
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2022-09-16 00:00:00 UTC
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Is iShares Core Dividend Growth ETF (DGRO) a Strong ETF Right Now?
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AAPL
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https://www.nasdaq.com/articles/is-ishares-core-dividend-growth-etf-dgro-a-strong-etf-right-now-2
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The iShares Core Dividend Growth ETF (DGRO) made its debut on 06/10/2014, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Value category of the market.
What Are Smart Beta ETFs?
Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.
Fund Sponsor & Index
DGRO is managed by Blackrock, and this fund has amassed over $22.95 billion, which makes it one of the largest ETFs in the Style Box - Large Cap Value. This particular fund seeks to match the performance of the Morningstar US Dividend Growth Index before fees and expenses.
The Morningstar US Dividend Growth Index is composed of U.S. equities with a history of consistently growing dividends.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
Operating expenses on an annual basis are 0.08% for DGRO, making it one of the least expensive products in the space.
The fund has a 12-month trailing dividend yield of 2.16%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
DGRO's heaviest allocation is in the Financials sector, which is about 20.50% of the portfolio. Its Information Technology and Healthcare round out the top three.
Taking into account individual holdings, Microsoft Corp (MSFT) accounts for about 3.08% of the fund's total assets, followed by Johnson & Johnson (JNJ) and Apple Inc (AAPL).
The top 10 holdings account for about 25.16% of total assets under management.
Performance and Risk
So far this year, DGRO has lost about -12.14%, and is down about -5% in the last one year (as of 09/16/2022). During this past 52-week period, the fund has traded between $45.84 and $56.06.
The ETF has a beta of 0.90 and standard deviation of 23.72% for the trailing three-year period, making it a medium risk choice in the space. With about 418 holdings, it effectively diversifies company-specific risk.
Alternatives
IShares Core Dividend Growth ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. There are other ETFs in the space which investors could consider as well.
ProShares S&P 500 Dividend Aristocrats ETF (NOBL) tracks S&P 500 DividendAristocrats Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. ProShares S&P 500 Dividend Aristocrats ETF has $9.93 billion in assets, Vanguard Dividend Appreciation ETF has $60.95 billion. NOBL has an expense ratio of 0.35% and VIG charges 0.06%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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iShares Core Dividend Growth ETF (DGRO): ETF Research Reports
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
Johnson & Johnson (JNJ): Free Stock Analysis Report
Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports
ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Taking into account individual holdings, Microsoft Corp (MSFT) accounts for about 3.08% of the fund's total assets, followed by Johnson & Johnson (JNJ) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report The iShares Core Dividend Growth ETF (DGRO) made its debut on 06/10/2014, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Value category of the market.
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Taking into account individual holdings, Microsoft Corp (MSFT) accounts for about 3.08% of the fund's total assets, followed by Johnson & Johnson (JNJ) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Alternatives IShares Core Dividend Growth ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market.
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Taking into account individual holdings, Microsoft Corp (MSFT) accounts for about 3.08% of the fund's total assets, followed by Johnson & Johnson (JNJ) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report ProShares S&P 500 Dividend Aristocrats ETF (NOBL) tracks S&P 500 DividendAristocrats Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index.
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Taking into account individual holdings, Microsoft Corp (MSFT) accounts for about 3.08% of the fund's total assets, followed by Johnson & Johnson (JNJ) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report The iShares Core Dividend Growth ETF (DGRO) made its debut on 06/10/2014, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Value category of the market.
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19319.0
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2022-09-16 00:00:00 UTC
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Should Invesco S&P 500 Revenue ETF (RWL) Be on Your Investing Radar?
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AAPL
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https://www.nasdaq.com/articles/should-invesco-sp-500-revenue-etf-rwl-be-on-your-investing-radar-3
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Looking for broad exposure to the Large Cap Value segment of the US equity market? You should consider the Invesco S&P 500 Revenue ETF (RWL), a passively managed exchange traded fund launched on 02/22/2008.
The fund is sponsored by Invesco. It has amassed assets over $1.45 billion, making it one of the average sized ETFs attempting to match the Large Cap Value segment of the US equity market.
Why Large Cap Value
Large cap companies usually have a market capitalization above $10 billion. Considered a more stable option, large cap companies boast more predictable cash flows and are less volatile than their mid and small cap counterparts.
Value stocks are known for their lower than average price-to-earnings and price-to-book ratios, but investors should also note their lower than average sales and earnings growth rates. Considering long-term performance, value stocks have outperformed growth stocks in almost all markets; however, they are more likely to underperform growth stocks in strong bull markets.
Costs
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts if all other fundamentals are the same.
Annual operating expenses for this ETF are 0.39%, putting it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 1.57%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Healthcare sector--about 19.40% of the portfolio. Consumer Discretionary and Consumer Staples round out the top three.
Looking at individual holdings, Walmart Inc (WMT) accounts for about 4.02% of total assets, followed by Amazon.com Inc (AMZN) and Apple Inc (AAPL).
The top 10 holdings account for about 23.15% of total assets under management.
Performance and Risk
RWL seeks to match the performance of the OFI Revenue Weighted Large Cap Index before fees and expenses. The S&P 500 Revenue-Weighted Index is constructed by using a rules-based methodology that re-weights the constituent securities of the S&P 500 Index according to the revenue earned by the companies in the parent index- subject to a maximum 5% per company weighting.
The ETF has lost about -8.56% so far this year and is down about -0.99% in the last one year (as of 09/16/2022). In the past 52-week period, it has traded between $68.34 and $82.04.
The ETF has a beta of 0.98 and standard deviation of 23.43% for the trailing three-year period, making it a medium risk choice in the space. With about 504 holdings, it effectively diversifies company-specific risk.
Alternatives
Invesco S&P 500 Revenue ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, RWL is a reasonable option for those seeking exposure to the Style Box - Large Cap Value area of the market. Investors might also want to consider some other ETF options in the space.
The iShares Russell 1000 Value ETF (IWD) and the Vanguard Value ETF (VTV) track a similar index. While iShares Russell 1000 Value ETF has $51.42 billion in assets, Vanguard Value ETF has $96.82 billion. IWD has an expense ratio of 0.18% and VTV charges 0.04%.
Bottom-Line
An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Invesco S&P 500 Revenue ETF (RWL): ETF Research Reports
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Walmart Inc. (WMT): Free Stock Analysis Report
Vanguard Value ETF (VTV): ETF Research Reports
iShares Russell 1000 Value ETF (IWD): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Walmart Inc (WMT) accounts for about 4.02% of total assets, followed by Amazon.com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report It has amassed assets over $1.45 billion, making it one of the average sized ETFs attempting to match the Large Cap Value segment of the US equity market.
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Apple Inc. (AAPL): Free Stock Analysis Report Looking at individual holdings, Walmart Inc (WMT) accounts for about 4.02% of total assets, followed by Amazon.com Inc (AMZN) and Apple Inc (AAPL). Performance and Risk RWL seeks to match the performance of the OFI Revenue Weighted Large Cap Index before fees and expenses.
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Looking at individual holdings, Walmart Inc (WMT) accounts for about 4.02% of total assets, followed by Amazon.com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Sector Exposure and Top Holdings It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk.
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Looking at individual holdings, Walmart Inc (WMT) accounts for about 4.02% of total assets, followed by Amazon.com Inc (AMZN) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Considering long-term performance, value stocks have outperformed growth stocks in almost all markets; however, they are more likely to underperform growth stocks in strong bull markets.
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19320.0
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2022-09-16 00:00:00 UTC
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Should Vanguard Growth ETF (VUG) Be on Your Investing Radar?
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AAPL
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https://www.nasdaq.com/articles/should-vanguard-growth-etf-vug-be-on-your-investing-radar-3
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Looking for broad exposure to the Large Cap Growth segment of the US equity market? You should consider the Vanguard Growth ETF (VUG), a passively managed exchange traded fund launched on 01/26/2004.
The fund is sponsored by Vanguard. It has amassed assets over $71.85 billion, making it one of the largest ETFs attempting to match the Large Cap Growth segment of the US equity market.
Why Large Cap Growth
Large cap companies usually have a market capitalization above $10 billion. Considered a more stable option, large cap companies boast more predictable cash flows and are less volatile than their mid and small cap counterparts.
While growth stocks do boast higher than average sales and earnings growth rates, and they are expected to grow faster than the wider market, investors should note these kinds of stocks have higher valuations. Further, growth stocks have a higher level of volatility associated with them. They are likely to outperform value stocks in strong bull markets but over the longer-term, value stocks have delivered better returns than growth stocks in almost all markets.
Costs
Expense ratios are an important factor in the return of an ETF and in the long term, cheaper funds can significantly outperform their more expensive counterparts, other things remaining the same.
Annual operating expenses for this ETF are 0.04%, making it one of the least expensive products in the space.
It has a 12-month trailing dividend yield of 0.60%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Information Technology sector--about 55.80% of the portfolio. Consumer Discretionary and Healthcare round out the top three.
Looking at individual holdings, Apple Inc. (AAPL) accounts for about 12.80% of total assets, followed by Microsoft Corp. (MSFT) and Amazon.com Inc. (AMZN).
The top 10 holdings account for about 49.11% of total assets under management.
Performance and Risk
VUG seeks to match the performance of the CRSP U.S. Large Cap Growth Index before fees and expenses. The CRSP US Large Cap Growth Index represents the growth companies of the CRSP US Large Cap Index.
The ETF has lost about -27.17% so far this year and is down about -22.79% in the last one year (as of 09/16/2022). In the past 52-week period, it has traded between $214.97 and $325.67.
The ETF has a beta of 1.11 and standard deviation of 27.89% for the trailing three-year period, making it a medium risk choice in the space. With about 268 holdings, it effectively diversifies company-specific risk.
Alternatives
Vanguard Growth ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, VUG is a great option for investors seeking exposure to the Style Box - Large Cap Growth segment of the market. There are other additional ETFs in the space that investors could consider as well.
The iShares Russell 1000 Growth ETF (IWF) and the Invesco QQQ (QQQ) track a similar index. While iShares Russell 1000 Growth ETF has $59.85 billion in assets, Invesco QQQ has $157.66 billion. IWF has an expense ratio of 0.18% and QQQ charges 0.20%.
Bottom-Line
Retail and institutional investors increasingly turn to passively managed ETFs because they offer low costs, transparency, flexibility, and tax efficiency; these kind of funds are also excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Vanguard Growth ETF (VUG): ETF Research Reports
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
Invesco QQQ (QQQ): ETF Research Reports
iShares Russell 1000 Growth ETF (IWF): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Apple Inc. (AAPL) accounts for about 12.80% of total assets, followed by Microsoft Corp. (MSFT) and Amazon.com Inc. (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report It has amassed assets over $71.85 billion, making it one of the largest ETFs attempting to match the Large Cap Growth segment of the US equity market.
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Looking at individual holdings, Apple Inc. (AAPL) accounts for about 12.80% of total assets, followed by Microsoft Corp. (MSFT) and Amazon.com Inc. (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report Sector Exposure and Top Holdings Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund.
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Looking at individual holdings, Apple Inc. (AAPL) accounts for about 12.80% of total assets, followed by Microsoft Corp. (MSFT) and Amazon.com Inc. (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report Alternatives Vanguard Growth ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors.
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Looking at individual holdings, Apple Inc. (AAPL) accounts for about 12.80% of total assets, followed by Microsoft Corp. (MSFT) and Amazon.com Inc. (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report They are likely to outperform value stocks in strong bull markets but over the longer-term, value stocks have delivered better returns than growth stocks in almost all markets.
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19321.0
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2022-09-16 00:00:00 UTC
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2 Cryptocurrencies That Could Overtake Bitcoin
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https://www.nasdaq.com/articles/2-cryptocurrencies-that-could-overtake-bitcoin
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While Bitcoin (CRYPTO: BTC) is still the No. 1 cryptocurrency in the world as measured by market capitalization, there are plenty of reasons to think other cryptocurrencies could eventually surpass it. Before this year's crypto market retreat, the conventional wisdom was that Bitcoin was a hedge against inflation and a long-term store of value. Some even called it "digital gold." But those assumptions are now very much in doubt.
So which cryptos could might displace Bitcoin at the top of the crypto heap? Right now, the two best prospects are Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL). Both cryptos offer more utility than Bitcoin, and both are innovation leaders in the blockchain industry, with promising growth prospects.
Ethereum
Ethereum stands out as an innovation leader. The most recognizable developments of the past few years -- including smart contracts, decentralized applications (dApps), and non-fungible tokens (NFTs) -- originated on the Ethereum blockchain.
By nearly any metric, Ethereum is the dominant force in the blockchain industry. For example, Ethereum is the No. 1 player in the NFT market, with an estimated 80% share. In areas such as decentralized finance (DeFi), blockchain gaming, and the metaverse, Ethereum dwarfs every other blockchain in the world.
Image source: Getty Images.
And with The Merge, a broad system upgrade, Ethereum will only become stronger. The current complaint about Ethereum is that it is too slow and too expensive. That is largely because it has been based on a proof-of-work consensus mechanism. With The Merge, Ethereum will transition to a proof-of-stake consensus mechanism, reducing transaction fees and boosting transaction processing speeds. Eventually, when Ethereum 2.0 is complete, it should be able to handle 100,000 transactions per second. In contrast, Bitcoin for now can only process five to 10 transactions per second.
Solana
The path to market dominance is more complicated for Solana because it is a direct rival to Ethereum. Both are Layer 1 blockchains offering users the same functionality and utility. Ethereum has smart contracts, and so does Solana. Ethereum enables the creation of NFTs, and so does Solana. The key selling point is that Solana can do everything Ethereum can do, only faster and cheaper. Solana already offers the capability to process 65,000 transactions per second, and transaction fees are near zero.
While Ethereum has been bogged down in all the technical steps needed to become a proof-of-stake blockchain, Solana has been on an innovation tear. Solana has launched everything from a new merchant payment network (Solana Pay) to an entirely new mobile crypto platform (Solana Mobile). In 2023, Solana plans to debut Saga, the first-ever "crypto phone."
At the same time, Solana is making serious forays into both blockchain gaming and Web3. More than any other crypto, Solana is taking steps to build a recognizable brand for crypto early adopters. When you can layer this brand experience on top of a super-fast, super-inexpensive blockchain, that is a very powerful value proposition.
How soon could Ethereum or Solana topple Bitcoin?
This might be an imprecise analogy, but you can think of what is happening in the crypto industry as similar to what happened in the tech industry a generation ago. Until the 1980s, IBM was the biggest name in the tech industry, and then along came Microsoft and Apple. The rest, as they say, is history.
In many ways, Bitcoin is today's crypto IBM, Ethereum is the new Microsoft, and Solana is the new Apple. There is definitely room for all three to co-exist. The only real question is who gets to sit on top. Big institutional investors may prefer Bitcoin, while everyday investors might prefer Ethereum and Solana.
Right now, Ethereum is about half as big as Bitcoin based on market cap and Solana's is equal to just 3%. So a lot would have to change for either of them to overtake Bitcoin. But again, look at what happened with IBM, Microsoft, and Apple in the tech industry. Microsoft launched in 1975, and it took nearly two decades for Microsoft to pass IBM in market capitalization. Then, after that happened, it took nearly another two decades for Apple to pass Microsoft in market capitalization. So obviously, this is not going to happen overnight, and there will be many twists along the way.
But Ethereum and Solana now offer too much utility to ignore. And they are both innovation leaders, making them both long-term plays if you believe in the future of the crypto industry. If you can handle crypto's volatility, you can put these two cryptos in your portfolio and hold onto them forever.
10 stocks we like better than Ethereum
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Dominic Basulto has positions in Bitcoin and Ethereum. The Motley Fool has positions in and recommends Apple, Bitcoin, Ethereum, Microsoft, and Solana. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Before this year's crypto market retreat, the conventional wisdom was that Bitcoin was a hedge against inflation and a long-term store of value. Both cryptos offer more utility than Bitcoin, and both are innovation leaders in the blockchain industry, with promising growth prospects. The most recognizable developments of the past few years -- including smart contracts, decentralized applications (dApps), and non-fungible tokens (NFTs) -- originated on the Ethereum blockchain.
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With The Merge, Ethereum will transition to a proof-of-stake consensus mechanism, reducing transaction fees and boosting transaction processing speeds. Big institutional investors may prefer Bitcoin, while everyday investors might prefer Ethereum and Solana. The Motley Fool has positions in and recommends Apple, Bitcoin, Ethereum, Microsoft, and Solana.
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Right now, the two best prospects are Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL). In many ways, Bitcoin is today's crypto IBM, Ethereum is the new Microsoft, and Solana is the new Apple. The Motley Fool has positions in and recommends Apple, Bitcoin, Ethereum, Microsoft, and Solana.
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So which cryptos could might displace Bitcoin at the top of the crypto heap? Right now, the two best prospects are Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL). For example, Ethereum is the No.
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19322.0
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St dips as investors look beyond hawkish Fed's next move
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-dips-as-investors-look-beyond-hawkish-feds-next-move
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window
Rail strike averted after unions secure tentative deal
Retail sales post unexpected gain
Weekly jobless claims edge lower
Adobe slides on Figma buyout deal
Indexes down: Dow 0.07%, S&P 0.68%, Nasdaq 1.05%
New throughout, adds NEW YORK dateline, changes byline
By Stephen Culp
NEW YORK, Sept 15 (Reuters) - Wall Street edged lower on Thursday after a raft of economic data failed to alter the expected course of aggressive moves by the Federal Reserve to contain inflation.
The benchmark S&P 500 index reversed earlier gains, testing a closely watched support level, while declining shares of market leaders Microsoft Corp MSFT.O and Apple Inc AAPL.O hit the tech-laden Nasdaq harder.
Interest rate-sensitive banks .SPXPK helped minimize the blue-chip Dow's decline.
"It's been a difficult year and investors are wary," said Matthew Keator, managing partner in the Keator Group, a wealth management firm in Lenox, Massachusetts. "Until something changes the tie’s going to go the runner and that’s been the bear."
A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
"The Fed has communicated pretty well that they were going to front-end load their hikes," Keator added. "(But) after three 75 basis-point hikes, how much more front-end loading can we expect?"
While the retail print surprised to the upside, declining jobless claims reaffirmed the labor market's strength, and a drop in import prices supported the past-peak inflation narrative.
But a surprise drop in industrial production and a contraction of Atlantic region manufacturing provided fodder for economic pessimists.
None of the data appeared to change the calculus regarding Fed expectations. Financial markets have now fully priced in an interest rate increase of at least 75 basis points next Wednesday, with a one-in-five chance of a super-sized, 100-basis-point hike, according to CME's FedWatch tool. FEDWATCH
U.S. railroads remained open after the Biden administration helped broker a tentative deal with unions to avert a strike, thereby avoiding a rail shutdown which would add to supply-chain pressures at the core of hot inflation.
At 2:17PM EDT, the Dow Jones Industrial Average .DJI fell 21.01 points, or 0.07%, to 31,114.08, the S&P 500 .SPX lost 26.82 points, or 0.68%, to 3,919.19 and the Nasdaq Composite .IXIC dropped 122.80 points, or 1.05%, to 11,596.88.
Of the 11 major sectors of the S&P 500, utilities .SPLRCU were suffering the biggest percentage drop, while healthcare .SPXHC led the gainers, boosted by health insurer Humana Inc's HUM.N strong earnings forecast.
Banks .SPXBK, which tend to benefit from a rising rate environment, advanced 2.3%.
Railroad operators Union Pacific UNP.N and Norfolk Southern NSC.N gained 1.9% and 1.1% respectively, but peer CSX Corp CSX.O slipped 2.4% following its announcement of Chief Executive Officer James Foote's impending retirement.
Adobe Inc ADBE.O tumbled 17.0% after the company said it would buy Figma in a cash-and-stock deal that valued the online design startup at about $20 billion.
Declining issues outnumbered advancing ones on the NYSE by a 1.93-to-1 ratio; on Nasdaq, a 1.09-to-1 ratio favored decliners.
The S&P 500 posted no new 52-week highs and 12 new lows; the Nasdaq Composite recorded 10 new highs and 148 new lows.
(Reporting by Stephen Culp in New York Additional reporting by Ankika Biswas in Bengaluru Editing by Maju Samuel and Matthew Lewis)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The benchmark S&P 500 index reversed earlier gains, testing a closely watched support level, while declining shares of market leaders Microsoft Corp MSFT.O and Apple Inc AAPL.O hit the tech-laden Nasdaq harder. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain Weekly jobless claims edge lower Adobe slides on Figma buyout deal Indexes down: Dow 0.07%, S&P 0.68%, Nasdaq 1.05% New throughout, adds NEW YORK dateline, changes byline By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street edged lower on Thursday after a raft of economic data failed to alter the expected course of aggressive moves by the Federal Reserve to contain inflation. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The benchmark S&P 500 index reversed earlier gains, testing a closely watched support level, while declining shares of market leaders Microsoft Corp MSFT.O and Apple Inc AAPL.O hit the tech-laden Nasdaq harder. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain Weekly jobless claims edge lower Adobe slides on Figma buyout deal Indexes down: Dow 0.07%, S&P 0.68%, Nasdaq 1.05% New throughout, adds NEW YORK dateline, changes byline By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street edged lower on Thursday after a raft of economic data failed to alter the expected course of aggressive moves by the Federal Reserve to contain inflation. While the retail print surprised to the upside, declining jobless claims reaffirmed the labor market's strength, and a drop in import prices supported the past-peak inflation narrative.
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The benchmark S&P 500 index reversed earlier gains, testing a closely watched support level, while declining shares of market leaders Microsoft Corp MSFT.O and Apple Inc AAPL.O hit the tech-laden Nasdaq harder. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain Weekly jobless claims edge lower Adobe slides on Figma buyout deal Indexes down: Dow 0.07%, S&P 0.68%, Nasdaq 1.05% New throughout, adds NEW YORK dateline, changes byline By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street edged lower on Thursday after a raft of economic data failed to alter the expected course of aggressive moves by the Federal Reserve to contain inflation. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The benchmark S&P 500 index reversed earlier gains, testing a closely watched support level, while declining shares of market leaders Microsoft Corp MSFT.O and Apple Inc AAPL.O hit the tech-laden Nasdaq harder. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain Weekly jobless claims edge lower Adobe slides on Figma buyout deal Indexes down: Dow 0.07%, S&P 0.68%, Nasdaq 1.05% New throughout, adds NEW YORK dateline, changes byline By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street edged lower on Thursday after a raft of economic data failed to alter the expected course of aggressive moves by the Federal Reserve to contain inflation. "The Fed has communicated pretty well that they were going to front-end load their hikes," Keator added.
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19323.0
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2022-09-15 00:00:00 UTC
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3 Mega-Cap Stocks With Unbelievably Strong Free Cash Flow
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https://www.nasdaq.com/articles/3-mega-cap-stocks-with-unbelievably-strong-free-cash-flow
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Scouting for stocks can be challenging at times, especially with thousands of options out there. However, one common metric investors love to focus on is free cash flow.
But what is free cash flow?
Simply put, free cash flow is the total cash a company holds onto after paying for operating costs and capital expenditures.
Free cash flow speaks volumes about a company’s financial health, but in what way?
A high free cash flow allows for more growth opportunities, a higher potential for share buybacks, stable dividend payouts, and the ability to wipe out any debt with ease.
It’s easy to see why it’s such a vital metric.
Generally, companies that display free cash flow strength are well-established and carry highly-successful business operations, undoubtedly perks that any investor looks for.
Three companies within the S&P 500 – Pfizer PFE, Apple AAPL, and Alphabet GOOGL – all carry unbelievably strong free cash flow.
Below is a year-to-date chart illustrating the share performance of all three companies in 2022, with the S&P 500 blended in as a benchmark.
Image Source: Zacks Investment Research
Let’s take a deeper dive into each company.
Pfizer
In its latest quarterly print, Pfizer’s quarterly free cash flow came in at a rock-solid $7.4 billion, penciling in a steep 26% sequential increase.
Image Source: Zacks Investment Research
In addition to an inspiring free cash flow, Pfizer shares could be considered undervalued, further displayed by its Style Score of an A for Value.
PFE carries a cheap 7.1X forward P/E ratio, nowhere near its five-year median of 12.7X, representing a staggering 67% discount relative to its Zacks Medical Sector.
Image Source: Zacks Investment Research
Further, the company carries a robust growth profile – earnings are forecasted to soar a double-digit 50% in FY22. And the company’s top line is also in exceptional health, with revenue forecasted to climb 24% in FY22.
Who doesn’t love getting paid? Fortunately, Pfizer is more than dedicated to rewarding its shareholders – the company’s annual dividend yields a steep 3.5%, well above its Zacks Sector average of 1.5%.
Undoubtedly impressive, the company has upped its dividend payout five times over the last five years, paired with a five-year annualized dividend growth rate of a notable 4.8%.
Image Source: Zacks Investment Research
Pfizer has consistently surprised investors, exceeding top and bottom line estimates in five of its last seven quarters.
Apple
Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2.
The tech titan’s free cash flow was reported at a stellar $20.8 billion, good enough for a solid 9.4% uptick from year-ago quarterly free cash flow of $19 billion.
Image Source: Zacks Investment Research
Apple shares could be interpreted as a bit expensive, with its 25.4X forward earnings multiple sitting above its five-year median of 22.8X and representing a 14% premium relative to its Zacks Computer & Technology Sector.
Still, the value is a fraction of 41.5X highs in 2020.
Image Source: Zacks Investment Research
Consistent growth is the name of the game for Apple, and estimates allude to precisely that; earnings are forecasted to climb 9% in FY22 and a further 7% in FY23.
Top line estimates paint a similarly positive story, with revenue projected to climb 7% in FY22 and an additional 5% in FY23.
Image Source: Zacks Investment Research
Apple has a strong earnings track record, exceeding revenue and earnings estimates in nine of its previous ten quarters.
Alphabet
Alphabet came in hot in its latest print, reporting quarterly free cash flow of $12.6 billion, the fourth highest of any S&P 500 company in Q2.
Image Source: Zacks Investment Research
Alphabet’s valuation levels could seriously entice long-term investors; the company’s 20.2X forward P/E ratio is nowhere near its five-year median of 26.8X and represents an attractive 10% discount relative to its Zacks Sector.
Image Source: Zacks Investment Research
GOOGL’s bottom line is forecasted to decline by 7% in FY22. However, the earnings picture kicks back into high gear in FY23, with the Zacks Consensus EPS Estimate of $5.79 suggesting Y/Y bottom line growth of a double-digit 11%.
The company’s top line is in commendable shape – revenue is forecasted to grow by double-digit percentages Y/Y in FY22 and FY23.
Image Source: Zacks Investment Research
Alphabet has missed EPS and revenue expectations in its last two quarters, citing a challenging business environment. Prior to these back-to-back misses, GOOGL exceeded revenue and earnings estimates for seven consecutive quarters.
Bottom Line
Targeting stocks with free cash flow strength is a great way to find well-established companies with a track record of successful business operations.
In addition to free cash flow strength, all three companies above carry solid growth prospects, have steep market capitalizations, and a history of exceeding quarterly estimates.
For investors seeking companies overflowing with cash, Apple AAPL, Pfizer PFE, and Alphabet GOOGL would all precisely fit the parameters.
Free Report Reveals How You Could Profit from the Growing Electric Vehicle Industry
Globally, electric car sales continue their remarkable growth even after breaking records in 2021. High gas prices have fueled his demand, but so has evolving EV comfort, features and technology. So, the fervor for EVs will be around long after gas prices normalize. Not only are manufacturers seeing record-high profits, but producers of EV-related technology are raking in the dough as well. Do you know how to cash in? If not, we have the perfect report for you – and it’s FREE! Today, don't miss your chance to download Zacks' top 5 stocks for the electric vehicle revolution at no cost and with no obligation.
>>Send me my free report on the top 5 EV stocks
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Apple Inc. (AAPL): Free Stock Analysis Report
Pfizer Inc. (PFE): Free Stock Analysis Report
Alphabet Inc. (GOOGL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Three companies within the S&P 500 – Pfizer PFE, Apple AAPL, and Alphabet GOOGL – all carry unbelievably strong free cash flow. Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. For investors seeking companies overflowing with cash, Apple AAPL, Pfizer PFE, and Alphabet GOOGL would all precisely fit the parameters.
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Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. Three companies within the S&P 500 – Pfizer PFE, Apple AAPL, and Alphabet GOOGL – all carry unbelievably strong free cash flow. For investors seeking companies overflowing with cash, Apple AAPL, Pfizer PFE, and Alphabet GOOGL would all precisely fit the parameters.
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Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. Three companies within the S&P 500 – Pfizer PFE, Apple AAPL, and Alphabet GOOGL – all carry unbelievably strong free cash flow. For investors seeking companies overflowing with cash, Apple AAPL, Pfizer PFE, and Alphabet GOOGL would all precisely fit the parameters.
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Three companies within the S&P 500 – Pfizer PFE, Apple AAPL, and Alphabet GOOGL – all carry unbelievably strong free cash flow. Apple Apple is the undisputed heavyweight champion of free cash flow – AAPL reported the highest quarterly free cash flow of any S&P 500 company in Q2. For investors seeking companies overflowing with cash, Apple AAPL, Pfizer PFE, and Alphabet GOOGL would all precisely fit the parameters.
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19324.0
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2022-09-15 00:00:00 UTC
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Why Investors Lost Their Taste for Apple Today
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AAPL
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https://www.nasdaq.com/articles/why-investors-lost-their-taste-for-apple-today
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nan
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nan
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What happened
Quick, what's the most-shorted stock on the U.S. market just now?
It's likely your guess wasn't Apple (NASDAQ: AAPL), as it's an enduringly popular stock anchoring a tech brand beloved by millions.
No one likes to hear that their company tops the list of short interest, so investors traded Apple down on Thursday, following the reveal. At the end of the day, the company's share price had slipped by nearly 2%.
So what
The entity behind this revelation is short-interest researcher S3 Partners, which found that Apple recently unseated electric-vehicle (EV) maker Tesla (NASDAQ: TSLA) for the No. 1 most-shorted crown. All told, said position -- i.e., the total value of shares borrowed for shorting purposes -- is just over $18.4 billion for Apple. That tops the current $17.4 billion-plus for Tesla.
The EV company wasn't easy to dislodge. S3 Partners said that the frequently volatile Tesla was the most-shorted stock for 864 days straight, i.e. nearly 2 1/2 years, dating back to April 2020. In a research note, S3 Partners said that, "The change in the top spot in the short interest rankings was primarily based on short sellers cutting their TSLA exposure and not a huge jump in AAPL short selling."
But the "shorts" might also consider Apple vulnerable, given the anticipated slowdown in China -- a key market for the company. Worries about discretionary consumer spending in the face of inflation might also be leading some to effectively place a bet against the company's success.
Now what
While this development is something to keep an eye on, it does need some perspective. Compared to Tesla, Apple is a massively capitalized beast. Its total market cap is over $2.4 trillion (yes, that's trillion), with over 16 billion shares outstanding.
Tesla's figures are a respective $918 billion and 3 billion-plus. So proportionally, Tesla is much more heavily shorted, at 1.9% of outstanding shares, versus only 0.7% for Apple.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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It's likely your guess wasn't Apple (NASDAQ: AAPL), as it's an enduringly popular stock anchoring a tech brand beloved by millions. In a research note, S3 Partners said that, "The change in the top spot in the short interest rankings was primarily based on short sellers cutting their TSLA exposure and not a huge jump in AAPL short selling." So what The entity behind this revelation is short-interest researcher S3 Partners, which found that Apple recently unseated electric-vehicle (EV) maker Tesla (NASDAQ: TSLA) for the No.
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It's likely your guess wasn't Apple (NASDAQ: AAPL), as it's an enduringly popular stock anchoring a tech brand beloved by millions. In a research note, S3 Partners said that, "The change in the top spot in the short interest rankings was primarily based on short sellers cutting their TSLA exposure and not a huge jump in AAPL short selling." The Motley Fool has positions in and recommends Apple and Tesla.
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It's likely your guess wasn't Apple (NASDAQ: AAPL), as it's an enduringly popular stock anchoring a tech brand beloved by millions. In a research note, S3 Partners said that, "The change in the top spot in the short interest rankings was primarily based on short sellers cutting their TSLA exposure and not a huge jump in AAPL short selling." 10 stocks we like better than Apple When our award-winning analyst team has a stock tip, it can pay to listen.
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It's likely your guess wasn't Apple (NASDAQ: AAPL), as it's an enduringly popular stock anchoring a tech brand beloved by millions. In a research note, S3 Partners said that, "The change in the top spot in the short interest rankings was primarily based on short sellers cutting their TSLA exposure and not a huge jump in AAPL short selling." All told, said position -- i.e., the total value of shares borrowed for shorting purposes -- is just over $18.4 billion for Apple.
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19325.0
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St tumbles amid Fed tightening jitters, economic rumblings
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-tumbles-amid-fed-tightening-jitters-economic-rumblings-0
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nan
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nan
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window
Rail strike averted after unions secure tentative deal
Retail sales post unexpected gain
World Bank, IMF warn of global slowdown
Adobe slides on Figma buyout deal
Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43%
Adds after-hours moves after FedEx Corp withdraws guidance
By Stephen Culp
NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession.
The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest.
After the bell, FedEx Corp FDX.N tumbled 14.5% after the package delivery company said its fiscal first-quarter results were hit by global volume softness and it withdrew its financial forecast, saying it expected further deterioration of business conditions.
FedEx's warning sent shares of rival United Parcel Service UPS.N down 5.7% in extended trade.
Earlier, in Thursday's trading session, the benchmark S&P 500 closed a hair above 3,900, seen by many analysts as a key technical support level that has been tested several times over the past two weeks.
Interest rate-sensitive banks .SPXPK helped soften the blue-chip Dow's decline.
"It's been a difficult year and investors are wary," said Matthew Keator, managing partner in the Keator Group, a wealth management firm in Lenox, Massachusetts. "Until something changes the tie’s going to go the runner and that’s been the bear."
That scale tipped further to the bear side after the World Bank and the International Monetary Fund (IMF) warned of an impending global economic slowdown.
A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
"The question is what’s going to happen in November?" said Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut. "If the Fed really wants to handle it properly, it will be 50 basis-point drop in November, a 25 basis-point cut in December, and then they'll reassess."
While the retail print surprised to the upside, declining jobless claims reaffirmed the labor market's strength, and a drop in import prices supported the past-peak inflation narrative.
But a surprise drop in industrial production and a contraction of Atlantic region manufacturing provided fodder for economic pessimists.
None of the data appeared to change the calculus regarding Fed expectations. Financial markets have now fully priced in an interest rate increase of at least 75 basis points next Wednesday, with a one-in-five chance of a super-sized, 100-basis-point hike, according to CME's FedWatch tool. FEDWATCH
U.S. railroads remained open after the Biden administration helped broker a tentative deal with unions to avert a strike, thereby avoiding a rail shutdown which would add to supply-chain pressures at the core of hot inflation.
Shares of railroad operators Union Pacific UNP.N and Norfolk Southern NSC.N outperformed the broader market.
Adobe Inc ADBE.O tumbled after the company said it would buy Figma in a deal valued at about $20 billion.
The Dow Jones Industrial Average .DJI fell 173.27 points, or 0.56%, to 30,961.82, the S&P 500 .SPX lost 44.66 points, or 1.13%, to 3,901.35 and the Nasdaq Composite .IXIC dropped 167.32 points, or 1.43%, to 11,552.36.
Nine the 11 major sectors of the S&P 500 ended the session in negative territory. Energy shares .SPNY showed the largest percentage drop as the tentative rail agreement and demand concerns sent crude prices CLc1 tumbling. O/R
Healthcare .SPXHC posted the biggest advance with an assist from health insurer Humana Inc HUM.N, whose 8.4% surge following its strong earnings forecast made it the top gainer in the S&P 500.
Adobe Inc ADBE.O was the S&P 500's biggest percentage loser, tumbling 16.8% after the company said it would buy Figma in a cash-and-stock deal that valued the online design startup at about $20 billion.
Declining issues outnumbered advancing ones on the NYSE by a 2.79-to-1 ratio; on Nasdaq, a 1.35-to-1 ratio favored decliners.
The S&P 500 posted no new 52-week highs and 21 new lows; the Nasdaq Composite recorded 16 new highs and 206 new lows.
Volume on U.S. exchanges was 11.11 billion shares, compared with the 10.35 billion average over the last 20 trading days.
(Reporting by Stephen Culp in New York Additional reporting Chuck Mikolajczak in New York, Ankika Biswas in Bengaluru and Noel Randewich in Oakland, Calif. Editing by Maju Samuel and Matthew Lewis)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Adds after-hours moves after FedEx Corp withdraws guidance By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Adds after-hours moves after FedEx Corp withdraws guidance By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. That scale tipped further to the bear side after the World Bank and the International Monetary Fund (IMF) warned of an impending global economic slowdown.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Adds after-hours moves after FedEx Corp withdraws guidance By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Adds after-hours moves after FedEx Corp withdraws guidance By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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19326.0
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2022-09-15 00:00:00 UTC
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Alphabet (GOOGL) Enhances Google Photos With Recent Features
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AAPL
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https://www.nasdaq.com/articles/alphabet-googl-enhances-google-photos-with-recent-features
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nan
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nan
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Alphabet’s GOOGL division Google is consistently adding innovative features to its photo-sharing and storage-providing app, Google Photos.
According to 9TO5Google, Google is updating Google Photos with a number of new capabilities.
Google Photos’ most-used feature Memories will include more videos while trimming the long videos to show only the most meaningful moments. Users will be able to view still images, featuring a subtle zoom-in or out. Still images will feature instrumental music from next month. Google Photos will also include limited-time style designs from featured artists.
Moreover, Google is rolling out Cinematic Memories in Google Photos. The feature transforms multiple still pictures into an end-to-end video with music, providing users with a cinematic experience.
Google Photos is getting a feature, which lets users swipe up or down to move between Memories and tap on the left or right edge to move images within a Memories.
Google started rolling out a feature named Shared Memories on Android, through which users will be able to share Memories with friends and family. The feature will be available on iOS and web in the near term.
These apart, Google began releasing a feature in collage editor within Google Photos. The feature lets users choose different designs or styles and use drag-and-drop to rearrange the layout.
With the help of these capabilities, Google focuses on providing an enhanced experience to the users of Google Photos. This is expected to boost the app’s adoption in the days ahead.
Alphabet Inc. Price and Consensus
Alphabet Inc. price-consensus-chart | Alphabet Inc. Quote
Growing Google Photos Initiatives
Apart from the recent move, Google enhanced Google Photos with a pop-up UI, allowing users to share photos and videos directly from the photo-sharing app’s library.
Google also introduced a set of Real Tone filters in Google Photos to let users show their skin in its actual shade.
Additionally, Google rolled out a feature to Google Photos for Android and iOS users. With this capability, users can delete media in albums, and view date and location while browsing.
These growing endeavors will continue to help Google drive momentum among Android, iOS and web users.
This, in turn, is likely to get reflected in the performance of the Google Services segment, which will benefit Alphabet’s overall financial performance.
Google Services generated $62.8 billion revenues (90.2% of total revenues) in second-quarter 2022, up 10.1% from the prior-year quarter’s level.
Moreover, strengthening financial performance will aid GOOGL in winning investors’ confidence in the near term.
Shares of GOOGL have been down 27.6% in the year-to-date period, outperforming the Computer and Technology sector’s decline of 30.1%.
Competitive Scenario
Alphabet faces stiff competition from other technology giants like Microsoft MSFT and Apple AAPL, which are witnessing solid momentum among customers on the back of their photo-sharing and storage services.
Microsoft has lost 25% in the year-to-date period. MSFT’s Microsoft OneDrive lets users easily store and share photos, videos, documents and more from any device.
Security-conscious users can access Microsoft OneDrive’s subfolder Vault, which provides an end-to-end encryption for important files. MSFT customers using the free OneDrive plan can store 5 files in the vault, whereas premium customers can keep unlimited files.
Apple, which lost 12.6% in the same time frame, offers its photo management application, Apple Photos is affordable, feature-rich and highly secure. It has a Shared Albums option, letting users share photos and videos with selective people.
Further, Apple Photos is integrated with iCloud, offering a seamless cloud storage backup and syncing solution across iOS, macOS and iPadOS.
Nevertheless, Alphabet’s consistent efforts toward bringing innovative capabilities are expected to continue helping it gain a competitive edge over its aforesaid peers.
Zacks Rank & Stock to Consider
Currently, Alphabet carries a Zacks Rank #3 (Hold). Investors interested in the broader Zacks Computer & Technology sector can consider the better-ranked stock Monolithic Power Systems MPWR, holding a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Monolithic Power Systems has lost 12.9% in the year-to-date period. The long-term earnings growth rate for MPWR is currently projected at 25%.
Free Report Reveals How You Could Profit from the Growing Electric Vehicle Industry
Globally, electric car sales continue their remarkable growth even after breaking records in 2021. High gas prices have fueled his demand, but so has evolving EV comfort, features and technology. So, the fervor for EVs will be around long after gas prices normalize. Not only are manufacturers seeing record-high profits, but producers of EV-related technology are raking in the dough as well. Do you know how to cash in? If not, we have the perfect report for you – and it’s FREE! Today, don't miss your chance to download Zacks' top 5 stocks for the electric vehicle revolution at no cost and with no obligation.
>>Send me my free report on the top 5 EV stocks
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
Monolithic Power Systems, Inc. (MPWR): Free Stock Analysis Report
Alphabet Inc. (GOOGL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Competitive Scenario Alphabet faces stiff competition from other technology giants like Microsoft MSFT and Apple AAPL, which are witnessing solid momentum among customers on the back of their photo-sharing and storage services. Apple Inc. (AAPL): Free Stock Analysis Report Further, Apple Photos is integrated with iCloud, offering a seamless cloud storage backup and syncing solution across iOS, macOS and iPadOS.
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Competitive Scenario Alphabet faces stiff competition from other technology giants like Microsoft MSFT and Apple AAPL, which are witnessing solid momentum among customers on the back of their photo-sharing and storage services. Apple Inc. (AAPL): Free Stock Analysis Report MSFT’s Microsoft OneDrive lets users easily store and share photos, videos, documents and more from any device.
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Competitive Scenario Alphabet faces stiff competition from other technology giants like Microsoft MSFT and Apple AAPL, which are witnessing solid momentum among customers on the back of their photo-sharing and storage services. Apple Inc. (AAPL): Free Stock Analysis Report Alphabet’s GOOGL division Google is consistently adding innovative features to its photo-sharing and storage-providing app, Google Photos.
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Competitive Scenario Alphabet faces stiff competition from other technology giants like Microsoft MSFT and Apple AAPL, which are witnessing solid momentum among customers on the back of their photo-sharing and storage services. Apple Inc. (AAPL): Free Stock Analysis Report Additionally, Google rolled out a feature to Google Photos for Android and iOS users.
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19327.0
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St tumbles amid Fed tightening jitters, economic rumblings
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-tumbles-amid-fed-tightening-jitters-economic-rumblings
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nan
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nan
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window
Rail strike averted after unions secure tentative deal
Retail sales post unexpected gain
World Bank, IMF warn of global slowdown
Adobe slides on Figma buyout deal
Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43%
Updates with closing prices, adds market details
By Stephen Culp
NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession.
The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest.
The benchmark S&P 500 closed a hair above 3,900, seen by many analysts as a key technical support level that has been tested several times over the past two weeks.
Interest rate-sensitive banks .SPXPK helped soften the blue-chip Dow's decline.
"It's been a difficult year and investors are wary," said Matthew Keator, managing partner in the Keator Group, a wealth management firm in Lenox, Massachusetts. "Until something changes the tie’s going to go the runner and that’s been the bear."
That scale tipped further to the bear side after the World Bank and the International Monetary Fund (IMF) warned of an impending global economic slowdown.
A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
"The question is what’s going to happen in November?" said Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut. "If the Fed really wants to handle it properly, it will be 50 basis-point drop in November, a 25 basis-point cut in December, and then they'll reassess."
While the retail print surprised to the upside, declining jobless claims reaffirmed the labor market's strength, and a drop in import prices supported the past-peak inflation narrative.
But a surprise drop in industrial production and a contraction of Atlantic region manufacturing provided fodder for economic pessimists.
None of the data appeared to change the calculus regarding Fed expectations. Financial markets have now fully priced in an interest rate increase of at least 75 basis points next Wednesday, with a one-in-five chance of a super-sized, 100-basis-point hike, according to CME's FedWatch tool. FEDWATCH
U.S. railroads remained open after the Biden administration helped broker a tentative deal with unions to avert a strike, thereby avoiding a rail shutdown which would add to supply-chain pressures at the core of hot inflation.
Shares of railroad operators Union Pacific UNP.N and Norfolk Southern NSC.N outperformed the broader market.
Adobe Inc ADBE.O tumbled after the company said it would buy Figma in a deal valued at about $20 billion.
The Dow Jones Industrial Average .DJI fell 173.27 points, or 0.56%, to 30,961.82, the S&P 500 .SPX lost 44.66 points, or 1.13%, to 3,901.35 and the Nasdaq Composite .IXIC dropped 167.32 points, or 1.43%, to 11,552.36.
Nine the 11 major sectors of the S&P 500 ended the session in negative territory. Energy shares .SPNY showed the largest percentage drop as the tentative rail agreement and demand concerns sent crude prices CLc1 tumbling. O/R
Healthcare .SPXHC posted the biggest advance with an assist from health insurer Humana Inc HUM.N, whose 8.4% surge following its strong earnings forecast made it the top gainer in the S&P 500.
Adobe Inc ADBE.O was the S&P 500's biggest percentage loser, tumbling 16.8% after the company said it would buy Figma in a cash-and-stock deal that valued the online design startup at about $20 billion.
Declining issues outnumbered advancing ones on the NYSE by a 2.79-to-1 ratio; on Nasdaq, a 1.35-to-1 ratio favored decliners.
The S&P 500 posted no new 52-week highs and 21 new lows; the Nasdaq Composite recorded 16 new highs and 206 new lows.
Volume on U.S. exchanges was 11.11 billion shares, compared with the 10.35 billion average over the last 20 trading days.
(Reporting by Stephen Culp in New York Additional reporting Chuck Mikolajczak in New York and Ankika Biswas in Bengaluru Editing by Maju Samuel and Matthew Lewis)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Updates with closing prices, adds market details By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Updates with closing prices, adds market details By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. That scale tipped further to the bear side after the World Bank and the International Monetary Fund (IMF) warned of an impending global economic slowdown.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Rail strike averted after unions secure tentative deal Retail sales post unexpected gain World Bank, IMF warn of global slowdown Adobe slides on Figma buyout deal Indexes down: Dow 0.56%, S&P 1.13%, Nasdaq 1.43% Updates with closing prices, adds market details By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended sharply lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. That scale tipped further to the bear side after the World Bank and the International Monetary Fund (IMF) warned of an impending global economic slowdown. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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19328.0
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2022-09-15 00:00:00 UTC
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After Hours Most Active for Sep 15, 2022 : CSX, CRBG, INFY, AAPL, TRQ, SNAP, BAC, HBAN, UBER, AMZN, GOOG, QQQ
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AAPL
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https://www.nasdaq.com/articles/after-hours-most-active-for-sep-15-2022-%3A-csx-crbg-infy-aapl-trq-snap-bac-hban-uber-amzn
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nan
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The NASDAQ 100 After Hours Indicator is down -31.18 to 11,896.31. The total After hours volume is currently 96,448,289 shares traded.
The following are the most active stocks for the after hours session:
CSX Corporation (CSX) is unchanged at $30.17, with 3,344,205 shares traded. As reported by Zacks, the current mean recommendation for CSX is in the "buy range".
Corebridge Financial Inc. (CRBG) is -0.18 at $20.55, with 3,264,706 shares traded.
Infosys Limited (INFY) is unchanged at $17.79, with 3,119,948 shares traded. INFY's current last sale is 84.71% of the target price of $21.
Apple Inc. (AAPL) is +0.0998 at $152.47, with 3,002,831 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range".
Turquoise Hill Resources Ltd. (TRQ) is unchanged at $30.98, with 2,516,915 shares traded. As reported by Zacks, the current mean recommendation for TRQ is in the "buy range".
Snap Inc. (SNAP) is unchanged at $11.90, with 2,441,163 shares traded. SNAP's current last sale is 88.15% of the target price of $13.5.
Bank of America Corporation (BAC) is +0.0481 at $34.56, with 2,226,562 shares traded. As reported by Zacks, the current mean recommendation for BAC is in the "buy range".
Huntington Bancshares Incorporated (HBAN) is -0.12 at $14.14, with 2,163,813 shares traded. HBAN's current last sale is 95.86% of the target price of $14.75.
Uber Technologies, Inc. (UBER) is unchanged at $33.13, with 1,976,220 shares traded. As reported by Zacks, the current mean recommendation for UBER is in the "buy range".
Amazon.com, Inc. (AMZN) is +0.07 at $126.35, with 1,968,408 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range".
Alphabet Inc. (GOOG) is +0.05 at $103.95, with 1,884,667 shares traded. As reported by Zacks, the current mean recommendation for GOOG is in the "buy range".
Invesco QQQ Trust, Series 1 (QQQ) is +0.1501 at $291.25, with 1,866,060 shares traded. This represents a 8.16% increase from its 52 Week Low.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Apple Inc. (AAPL) is +0.0998 at $152.47, with 3,002,831 shares traded. Turquoise Hill Resources Ltd. (TRQ) is unchanged at $30.98, with 2,516,915 shares traded.
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As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Apple Inc. (AAPL) is +0.0998 at $152.47, with 3,002,831 shares traded. CSX Corporation (CSX) is unchanged at $30.17, with 3,344,205 shares traded.
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Apple Inc. (AAPL) is +0.0998 at $152.47, with 3,002,831 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". As reported by Zacks, the current mean recommendation for CSX is in the "buy range".
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Apple Inc. (AAPL) is +0.0998 at $152.47, with 3,002,831 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The NASDAQ 100 After Hours Indicator is down -31.18 to 11,896.31.
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19329.0
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St slides amid Fed tightening worries, economic warnings
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-slides-amid-fed-tightening-worries-economic-warnings
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nan
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nan
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By Stephen Culp
NEW YORK, Sept 15 (Reuters) - Wall Street ended lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession.
The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest.
Interest rate-sensitive banks .SPXPK helped soften the blue-chip Dow's decline.
"It's been a difficult year and investors are wary," said Matthew Keator, managing partner in the Keator Group, a wealth management firm in Lenox, Massachusetts. "Until something changes the tie’s going to go the runner and that’s been the bear."
That scale tipped further to the bear side after the World Bank and the International Monetary Fund (IMF) warned of an impending global economic slowdown.
A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
"The question is what’s going to happen in November?" said Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut. "If the Fed really wants to handle it properly, it will be 50 basis-point drop in November, a 25 basis-point cut in December, and then they'll reassess."
While the retail print surprised to the upside, declining jobless claims reaffirmed the labor market's strength, and a drop in import prices supported the past-peak inflation narrative.
But a surprise drop in industrial production and a contraction of Atlantic region manufacturing provided fodder for economic pessimists.
None of the data appeared to change the calculus regarding Fed expectations. Financial markets have now fully priced in an interest rate increase of at least 75 basis points next Wednesday, with a one-in-five chance of a super-sized, 100-basis-point hike, according to CME's FedWatch tool. FEDWATCH
U.S. railroads remained open after the Biden administration helped broker a tentative deal with unions to avert a strike, thereby avoiding a rail shutdown which would add to supply-chain pressures at the core of hot inflation.
Shares of railroad operators Union Pacific UNP.N and Norfolk Southern NSC.N outperformed the broader market.
Adobe Inc ADBE.O tumbled after the company said it would buy Figma in a deal valued at about $20 billion.
According to preliminary data, the S&P 500 .SPX lost 44.40 points, or 1.13%, to end at 3,901.61 points, while the Nasdaq Composite .IXIC lost 166.19 points, or 1.42%, to 11,553.49. The Dow Jones Industrial Average .DJI fell 173.24 points, or 0.56%, to 30,961.85.
(Reporting by Stephen Culp in New York Additional reporting by Ankika Biswas in Bengaluru Editing by Maju Samuel and Matthew Lewis)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. "It's been a difficult year and investors are wary," said Matthew Keator, managing partner in the Keator Group, a wealth management firm in Lenox, Massachusetts. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week's monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
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The sell-off gathered momentum toward the end of the session, with market leaders including Microsoft Corp MSFT.O, Apple Inc AAPL.O and Amazon.com Inc AMZN.O hitting the tech-laden Nasdaq hardest. By Stephen Culp NEW YORK, Sept 15 (Reuters) - Wall Street ended lower on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by the Federal Reserve amid growing warnings of global recession. "If the Fed really wants to handle it properly, it will be 50 basis-point drop in November, a 25 basis-point cut in December, and then they'll reassess."
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19330.0
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2022-09-15 00:00:00 UTC
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AVID Launches New Upgrades to Pro Tools Artist for ALA Students
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AAPL
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https://www.nasdaq.com/articles/avid-launches-new-upgrades-to-pro-tools-artist-for-ala-students
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nan
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nan
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Avid Technology AVID recently announced that its Avid Learning Academy (ALA) program has transitioned to Pro Tools Artist, which will give every student enrolled in the program free access to the new Pro Tools Artist (PTA) software.
The ALA program was built by Avid to help students aspiring to build a career in media and is currently provided in high schools that are looking to build their own media arts program. To further benefit the aspiring students, Avid is providing them with Pro Tools software.
Avid introduced the PTA software in late April 2022 as a new lower-priced tier directed at the music creation community. Music creators can use the software to make beats, write songs, record vocals and instruments and mix studio-quality music.
The initial result from the Pro Tools Artist offering reflected solid demand for the product, which helped to increase Avid’s subscriber base and impacted the subscription revenue growth positively in the second quarter of 2022. The recent offering of PTA software to ALA program students, who mainly belong to high schools, is expected to increase the company’s brand awareness for the product as budding musicians and producers will use the product for developing their music.
Avid Technology, Inc. Price and Consensus
Avid Technology, Inc. price-consensus-chart | Avid Technology, Inc. Quote
Avid’s Subscription Revenue Growth Driving Share Price
Avid Technology realized a 10.6% decline in integrated solutions revenues in second-quarter 2022, as the company continued to face challenges in delivering certain parts of its integrated solutions portfolio to customers due to global supply chain constraints. In the first half of the year, Avid’s unfulfilled contractually committed orders were more than 20 million. This impacted revenue growth negatively.
Further, the company is facing competition across all of its product offerings from companies like ChryonHego corporation, Dell Technologies, Adobe, Yamaha Corporation and big tech giants like Apple AAPL.
Apple has cut into the video editing space as it provides less expensive digital video editing software. Apple’s video editing software uses machine learning to help provide video editing features and is currently available with its latest iPhone offerings which is helping the company to gain market share in the video editing software market.
However, to deal with the rising competition, Avid has forged strategic partnerships with other FAAAM companies like Amazon AMZN and Microsoft MSFT.
Avid has partnered with Amazon studios to help in Amazon’s content production in the cloud with software such as Media Composer, Nexis storage and media control platform.
Avid is also benefiting from its multi-year agreement with Microsoft, which includes technology collaboration, co-development of cloud bases solutions and the launch of several software-as-a-service offerings. This partnership is helping Avid to create new technologies, which are attracting new users to many of its subscription-based product offerings.
In the second quarter, Avid realized net adds of 18,500 subscriptions and delivered year-over-year growth of 22%. As a result, the company, which currently carries a Zacks Rank #3 (Hold) reported subscription revenue growth of 58.7% in the quarter. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
AVID’s shares have slumped 0.1% in the year-to-date period, beating the Zacks Computer - Software industry, which has declined 60.1% in the same period.
The company expects that the effects of the supply chain constraints will start resolving from the second half of 2022 and Avid will be able to cover much of its backlog.
Also, rising inflation has placed huge pressure on media technology budgets, while content output is expected to increase exponentially to meet the rising demand. To attract next-generation creators amidst this market volatility, Avid created the Pro Tools Artist as a low-priced tier, which will contribute to its subscription revenue growth.
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To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Further, the company is facing competition across all of its product offerings from companies like ChryonHego corporation, Dell Technologies, Adobe, Yamaha Corporation and big tech giants like Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report The initial result from the Pro Tools Artist offering reflected solid demand for the product, which helped to increase Avid’s subscriber base and impacted the subscription revenue growth positively in the second quarter of 2022.
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Further, the company is facing competition across all of its product offerings from companies like ChryonHego corporation, Dell Technologies, Adobe, Yamaha Corporation and big tech giants like Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report The initial result from the Pro Tools Artist offering reflected solid demand for the product, which helped to increase Avid’s subscriber base and impacted the subscription revenue growth positively in the second quarter of 2022.
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Further, the company is facing competition across all of its product offerings from companies like ChryonHego corporation, Dell Technologies, Adobe, Yamaha Corporation and big tech giants like Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report Avid Technology AVID recently announced that its Avid Learning Academy (ALA) program has transitioned to Pro Tools Artist, which will give every student enrolled in the program free access to the new Pro Tools Artist (PTA) software.
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Further, the company is facing competition across all of its product offerings from companies like ChryonHego corporation, Dell Technologies, Adobe, Yamaha Corporation and big tech giants like Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report Avid Technology, Inc. Price and Consensus Avid Technology, Inc. price-consensus-chart | Avid Technology, Inc. Quote Avid’s Subscription Revenue Growth Driving Share Price Avid Technology realized a 10.6% decline in integrated solutions revenues in second-quarter 2022, as the company continued to face challenges in delivering certain parts of its integrated solutions portfolio to customers due to global supply chain constraints.
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19331.0
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St ticks lower as rate worries persist
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-ticks-lower-as-rate-worries-persist
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nan
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nan
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window
Railroad stocks gain as strike averted
Retail sales up 0.3% in August vs est 0.0%
Weekly jobless claims fall to 213,000
Adobe slides on Figma buyout deal
Indexes: Dow up 0.05%, S&P off 0.37%, Nasdaq down 0.53%
Updates to market open
By Ankika Biswas and Sruthi Shankar
Sept 15 (Reuters) - Wall Street's main indexes edged lower on Thursday dragged down by technology and growth stocks as investors worried about the U.S. Federal Reserve's aggressive approach to tame inflation ahead of an interest rate decision next week.
The three main indexes were struggling for momentum after a hot consumer price inflation reading on Tuesday sparked the worst selloff in more than two years.
Data earlier on Thursday showed U.S. retail sales unexpectedly rose 0.3% in August, in a sign the economy could tolerate higher interest rates as the Fed tightens monetary policy.
A separate report from the Labor Department showed initial claims for state unemployment benefits fell 5,000 to a seasonally adjusted 213,000 for the week ended Sept. 10, signaling labor market resilience.
"The economic conditions are quite good in the U.S. and it's pretty compatible with the path of the 75-basis-point hike for the next meeting," said Mabrouk Chetouane, head ofglobal marketstrategy at Natixis Investment Managers Solutions.
"If investors are still underestimating the Fed's determination to fight against inflation, one of the key concerns is that we'll see volatility increase in the coming weeks."
Money markets are pricing in an 80% chance of a 75-basis-point hike, while placing 20% odds of a 100-bps hike next week. FEDWATCH
The yield on two-year Treasury notes US2YT=RR, a bellwether for interest rate expectations, touched new 14-year highs at 3.85%. US/
Shares of rate-sensitive growth and technology stocks slipped alongside a rise in bond yields.
Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 1.0% each. Netflix Inc NFLX.O gained 5.1% as Evercore ISI upgraded the stock to "outperform".
Banks .SPXBK, which tend to benefit from a rising rate environment, gained 2.1%. Healthcare stocks .SPXHC got a boost from health insurer Humana Inc's HUM.N strong earnings forecast.
At 10:43 a.m. ET, the Dow Jones Industrial Average .DJI was up 14.73 points, or 0.05%, at 31,149.82, the S&P 500 .SPX was down 14.42 points, or 0.37%, at 3,931.59, and the Nasdaq Composite .IXIC was down 62.03 points, or 0.53%, at 11,657.65.
Union Pacific UNP.N and Norfolk Southern NSC.N gained about 3% each after U.S. railroad operators and unions secured a tentative deal to avert a rail shutdown that could have hit food and fuel supplies across the United States.
CSX Corp CSX.O slipped 1.8% after it said Chief Executive Officer James Foote will retire this month.
Adobe Inc ADBE.O slumped 13.6% after the photoshop maker said it would buy Figma in a cash-and-stock deal that valued the online design startup at about $20 billion.
Declining issues outnumbered advancers for a 1.07-to-1 ratio on the NYSE. Advancing issues outnumbered decliners for a 1.25-to-1 ratio on the Nasdaq.
The S&P index recorded no new 52-week high and seven new lows, while the Nasdaq recorded seven new highs and 80 new lows.
(Reporting by Ankika Biswas in Bengaluru; Editing by Sriraj Kalluvila and Shounak Dasgupta)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 1.0% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes: Dow up 0.05%, S&P off 0.37%, Nasdaq down 0.53% Updates to market open By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes edged lower on Thursday dragged down by technology and growth stocks as investors worried about the U.S. Federal Reserve's aggressive approach to tame inflation ahead of an interest rate decision next week. Data earlier on Thursday showed U.S. retail sales unexpectedly rose 0.3% in August, in a sign the economy could tolerate higher interest rates as the Fed tightens monetary policy.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 1.0% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes: Dow up 0.05%, S&P off 0.37%, Nasdaq down 0.53% Updates to market open By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes edged lower on Thursday dragged down by technology and growth stocks as investors worried about the U.S. Federal Reserve's aggressive approach to tame inflation ahead of an interest rate decision next week. A separate report from the Labor Department showed initial claims for state unemployment benefits fell 5,000 to a seasonally adjusted 213,000 for the week ended Sept. 10, signaling labor market resilience.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 1.0% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes: Dow up 0.05%, S&P off 0.37%, Nasdaq down 0.53% Updates to market open By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes edged lower on Thursday dragged down by technology and growth stocks as investors worried about the U.S. Federal Reserve's aggressive approach to tame inflation ahead of an interest rate decision next week. A separate report from the Labor Department showed initial claims for state unemployment benefits fell 5,000 to a seasonally adjusted 213,000 for the week ended Sept. 10, signaling labor market resilience.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 1.0% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes: Dow up 0.05%, S&P off 0.37%, Nasdaq down 0.53% Updates to market open By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes edged lower on Thursday dragged down by technology and growth stocks as investors worried about the U.S. Federal Reserve's aggressive approach to tame inflation ahead of an interest rate decision next week. The three main indexes were struggling for momentum after a hot consumer price inflation reading on Tuesday sparked the worst selloff in more than two years.
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19332.0
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2022-09-15 00:00:00 UTC
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60% of Warren Buffett's Portfolio Is Invested in These 3 Stocks
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AAPL
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https://www.nasdaq.com/articles/60-of-warren-buffetts-portfolio-is-invested-in-these-3-stocks
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nan
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Warren Buffett is one of the best investors of all time. Since 1965, Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B), the masterfully crafted conglomerate he helped build, has returned over 20% annually, creating fortunes for its shareowners along the way.
Berkshire's public stock portfolio is thus closely watched by investors seeking to build lasting wealth in the stock market. Investing alongside great investors can be an excellent strategy for those seeking outsize returns. Here are Buffett's largest stock holdings.
Warren Buffett. Image source: The Motley Fool.
Apple: 41.6%
Buffett once called Apple (NASDAQ: AAPL) "probably the best business I know in the world." That's high praise from the master investor, who has become one of the richest people in the world by carefully identifying elite businesses with powerful competitive advantages.
It's perhaps unsurprising, then, that Apple is Berkshire's largest position by far. Buffett's investment company owns more than 915 million shares of Apple that are currently valued at a staggering $142 billion.
Buffett values Apple's beloved brand and sticky ecosystem. He has come to understand the iPhone's central place in the lives of more than 1 billion people. Buffett also knows that once someone buys an iPhone, they tend to buy other Apple products and services and remain a loyal customer.
Moreover, Buffett appreciates the tech titan's tremendous cash flow production. Apple generated more than $90 billion in free cash flow during just the first nine months of its fiscal 2022. That whopping sum allows Apple to reward its investors with a steadily rising dividend income stream and a massive stock buyback program. These share purchases have helped to boost Berkshire's ownership percentage of Apple's earnings over time, which Buffett applauds.
Bank of America: 10.2%
Bank of America (NYSE: BAC) is Berkshire's second-largest holding and another Buffett favorite. BofA, as the company is often called, accounts for over 10% of Berkshire's portfolio, a stake valued at roughly $35 billion.
Buffett thinks highly of CEO Brian Moynihan, who has helped to strengthen BofA's operations following its near collapse during the Great Recession and financial crisis of 2007-2009. Since taking the helm on Jan. 1, 2010, Moynihan has prioritized risk management and a return to traditional banking fundamentals.
Although pandemic-related disruptions and a difficult macroeconomic backdrop have been challenging for BofA and other financial institutions, Buffett views the bank as a core, long-term holding. And over longer periods of time, top-tier banks tend to grow and profit along with the expansion of the overall economy.
To maximize its odds of success, BofA is cutting expenses in its traditional branch operations and investing aggressively in digital banking technology. This has positioned BofA to benefit from the boom in mobile banking and app-based transactions -- and gain market share from its less tech-savvy rivals.
With Bank of America's stock price down about 22% in 2022 due mostly to short-term recessionary fears, you currently have the opportunity to scoop up shares of this best-of-breed bank at a hefty discount.
Chevron: 7.8%
The oil sector has recently become the apple of Buffett's eye. It's easy to see why. Energy stocks tend to perform well during inflationary times. And Chevron (NYSE: CVX) is particularly well positioned to profit from higher oil and gas prices.
The war in Ukraine is driving many countries in Europe and around the world to seek out new sources of dependable energy supplies. Chevron is working to meet this vital global need for energy by ramping up its production of oil and liquified natural gas.
The energy titan's profits, in turn, are soaring. Chevron's revenue surged 83% year over year to $68.8 billion in the second quarter, while its adjusted earnings rocketed 245% to $11.4 billion. Chevron is committed to passing on much of its profits to shareholders via a hefty dividend -- its shares currently yield 3.5% -- and stock buybacks.
These factors have no doubt contributed to Buffett's decision to make Chevron Berkshire's third-largest public stock holding. Berkshire owns more than 163 million shares of the oil and gas giant, a stake valued at nearly $27 billion.
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Bank of America is an advertising partner of The Ascent, a Motley Fool company. Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway (B shares). The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple: 41.6% Buffett once called Apple (NASDAQ: AAPL) "probably the best business I know in the world." That's high praise from the master investor, who has become one of the richest people in the world by carefully identifying elite businesses with powerful competitive advantages. Buffett thinks highly of CEO Brian Moynihan, who has helped to strengthen BofA's operations following its near collapse during the Great Recession and financial crisis of 2007-2009.
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Apple: 41.6% Buffett once called Apple (NASDAQ: AAPL) "probably the best business I know in the world." Since 1965, Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B), the masterfully crafted conglomerate he helped build, has returned over 20% annually, creating fortunes for its shareowners along the way. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway (B shares).
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Apple: 41.6% Buffett once called Apple (NASDAQ: AAPL) "probably the best business I know in the world." Berkshire's public stock portfolio is thus closely watched by investors seeking to build lasting wealth in the stock market. See the 10 stocks *Stock Advisor returns as of August 17, 2022 Bank of America is an advertising partner of The Ascent, a Motley Fool company.
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Apple: 41.6% Buffett once called Apple (NASDAQ: AAPL) "probably the best business I know in the world." Warren Buffett is one of the best investors of all time. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway (B shares).
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2022-09-15 00:00:00 UTC
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Apple, Amazon pass on media rights to Saudi-backed LIV Golf - WSJ
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https://www.nasdaq.com/articles/apple-amazon-pass-on-media-rights-to-saudi-backed-liv-golf-wsj
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Sept 15 (Reuters) - Amazon.com Inc AMZN.O and Apple Inc AAPL.O have both passed on the media rights to the LIV Golf tournament, the Wall Street Journal reported on Thursday, citing people familiar with the matter.
Critics have said that LIV Golf, backed by Saudi Arabia's Public Investment Fund, amounts to "sportswashing" by a nation trying to improve its reputation in the face of criticism over its human rights record.
Apple and Amazon's lack of interest in the circuit adds to a growing list of networks with which LIV hasn't been able to strike a deal, including Walt Disney Co's DIS.N ESPN and Comcast Corp's CMCSA.O NBC, the report added. (https://on.wsj.com/3S1T8R4)
Amazon, Apple and LIV did not immediately respond to Reuters requests for comment.
The PGA Tour, the organizer of the main professional golf tours played by men in North America, has suspended members who competed on the rival LIV circuit. Earlier this month, PGA Tour informed such players that they would be ineligible to renew their memberships for the 2022-23 season.
(Reporting by Akash Sriram in Bengaluru; Editing by Devika Syamnath)
((Akash.Sriram@thomsonreuters.com; https://twitter.com/hoodieonveshti;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Sept 15 (Reuters) - Amazon.com Inc AMZN.O and Apple Inc AAPL.O have both passed on the media rights to the LIV Golf tournament, the Wall Street Journal reported on Thursday, citing people familiar with the matter. Apple and Amazon's lack of interest in the circuit adds to a growing list of networks with which LIV hasn't been able to strike a deal, including Walt Disney Co's DIS.N ESPN and Comcast Corp's CMCSA.O NBC, the report added. Earlier this month, PGA Tour informed such players that they would be ineligible to renew their memberships for the 2022-23 season.
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Sept 15 (Reuters) - Amazon.com Inc AMZN.O and Apple Inc AAPL.O have both passed on the media rights to the LIV Golf tournament, the Wall Street Journal reported on Thursday, citing people familiar with the matter. (https://on.wsj.com/3S1T8R4) Amazon, Apple and LIV did not immediately respond to Reuters requests for comment. The PGA Tour, the organizer of the main professional golf tours played by men in North America, has suspended members who competed on the rival LIV circuit.
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Sept 15 (Reuters) - Amazon.com Inc AMZN.O and Apple Inc AAPL.O have both passed on the media rights to the LIV Golf tournament, the Wall Street Journal reported on Thursday, citing people familiar with the matter. Apple and Amazon's lack of interest in the circuit adds to a growing list of networks with which LIV hasn't been able to strike a deal, including Walt Disney Co's DIS.N ESPN and Comcast Corp's CMCSA.O NBC, the report added. The PGA Tour, the organizer of the main professional golf tours played by men in North America, has suspended members who competed on the rival LIV circuit.
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Sept 15 (Reuters) - Amazon.com Inc AMZN.O and Apple Inc AAPL.O have both passed on the media rights to the LIV Golf tournament, the Wall Street Journal reported on Thursday, citing people familiar with the matter. Critics have said that LIV Golf, backed by Saudi Arabia's Public Investment Fund, amounts to "sportswashing" by a nation trying to improve its reputation in the face of criticism over its human rights record. Apple and Amazon's lack of interest in the circuit adds to a growing list of networks with which LIV hasn't been able to strike a deal, including Walt Disney Co's DIS.N ESPN and Comcast Corp's CMCSA.O NBC, the report added.
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St heads for mixed open as rate worries linger
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https://www.nasdaq.com/articles/us-stocks-wall-st-heads-for-mixed-open-as-rate-worries-linger
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By Ankika Biswas and Sruthi Shankar
Sept 15 (Reuters) - Wall Street's main indexes were set for a mixed open on Thursday as a slew of economic data pointed to resilience in the U.S. economy, likely keeping the Federal Reserve on track for aggressive interest rate hikes to tame inflation.
U.S. retail sales unexpectedly rose 0.3% in August as lower gasoline prices supported spending, data showed, in a sign that the economy could tolerate higher interest rates as the Fed tightens monetary policy.
A separate report from the Labor Department showed initial claims for state unemployment benefits fell 5,000 to a seasonally adjusted 213,000 for the week ended Sept. 10, signaling labor market resilience.
"The economic conditions are quite good in the U.S. and it's pretty compatible with the path of the 75-basis-point hike for the next meeting," said Mabrouk Chetouane, head ofglobal marketstrategy at Natixis Investment Managers Solutions.
"If investors are still underestimating the Fed's determination to fight against inflation, one of the key concerns is that we'll see volatility increase in the coming weeks."
The CBOE Volatility index .VIX, also know as Wall Street's fear gauge, edged up to 26.19 points, above its long-term average of 20.
The main stock indexes closed slightly higher on Wednesday after wavering throughout the session as an on-target inflation print provided relief after Tuesday's hotter-than-expected consumer prices data sparked the biggest percentage decline on Wall Street since June 2020.
Investors fear steep rate hikes by the Fed will drive the economy into a recession, with many market observers concerned over the lagging effects of the central bank's tightening phase.
Money markets are pricing in a 74% chance of a 75-basis-point hike, while placing 27% odds of a 100-bps hike next week. FEDWATCH
The yield on two-year Treasury notes US2YT=RR, a bellwether for interest rate expectations, touched new 14 year highs at 3.85%. US/
Shares of rate-sensitive growth and technology stocks slipped alongside a rise in bond yields.
Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. Netflix Inc NFLX.O, however, gained 2.7% as Evercore ISI upgraded the stock to "outperform".
At 08:53 a.m. ET, Dow e-minis 1YMcv1 were up 55 points, or 0.18%, S&P 500 e-minis EScv1 were down 1.75 points, or 0.1%, and Nasdaq 100 e-minis NQcv1 were down 21.25 points, or 0.17%.
Union Pacific UNP.N and CSX Corp CSX.O jumped nearly 3% each after U.S. railroad operators and unions secured a tentative deal to avert a rail shutdown that could have hit food and fuel supplies across the United States.
Adobe Inc ADBE.O slumped 10.2% after the photoshop maker said it would buy Figma in a cash-and-stock deal that valued the online design startup at about $20 billion.
(Reporting by Ankika Biswas in Bengaluru; Editing by Sriraj Kalluvila and Shounak Dasgupta)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes were set for a mixed open on Thursday as a slew of economic data pointed to resilience in the U.S. economy, likely keeping the Federal Reserve on track for aggressive interest rate hikes to tame inflation. U.S. retail sales unexpectedly rose 0.3% in August as lower gasoline prices supported spending, data showed, in a sign that the economy could tolerate higher interest rates as the Fed tightens monetary policy.
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Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes were set for a mixed open on Thursday as a slew of economic data pointed to resilience in the U.S. economy, likely keeping the Federal Reserve on track for aggressive interest rate hikes to tame inflation. U.S. retail sales unexpectedly rose 0.3% in August as lower gasoline prices supported spending, data showed, in a sign that the economy could tolerate higher interest rates as the Fed tightens monetary policy.
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Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes were set for a mixed open on Thursday as a slew of economic data pointed to resilience in the U.S. economy, likely keeping the Federal Reserve on track for aggressive interest rate hikes to tame inflation. The main stock indexes closed slightly higher on Wednesday after wavering throughout the session as an on-target inflation print provided relief after Tuesday's hotter-than-expected consumer prices data sparked the biggest percentage decline on Wall Street since June 2020.
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Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. A separate report from the Labor Department showed initial claims for state unemployment benefits fell 5,000 to a seasonally adjusted 213,000 for the week ended Sept. 10, signaling labor market resilience. The CBOE Volatility index .VIX, also know as Wall Street's fear gauge, edged up to 26.19 points, above its long-term average of 20.
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2022-09-15 00:00:00 UTC
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US STOCKS-Futures subdued ahead of raft of economic data
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https://www.nasdaq.com/articles/us-stocks-futures-subdued-ahead-of-raft-of-economic-data
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window.
Futures: Dow flat, S&P off 0.1%, Nasdaq 0.2%
Sept 15 (Reuters) - U.S. stock index futures struggled for direction on Thursday after lackluster trading in the previous session as investors awaited a slew of economic data that could provide more clarity on the Federal Reserve's monetary policy tightening path.
Wall Street's main indexes closed slightly higher on Wednesday after wavering throughout the session as an on-target inflation print provided relief after Tuesday's hotter-than-expected consumer prices data sparked the biggest percentage decline since June 2020.
Data on tap on Thursday include weekly jobless claims and retail sales that would help assess whether the economy can withstand an extend period of aggressive policy tightening by the Fed.
Around 226,000 Americans are expected to have filed for jobless claims for the week-ended Sept. 10, up from 222,000 in the previous week. Meanwhile, retail sales for August is largely expected to remain unchanged month-on-month.
Money markets are pricing in a 73% chance of a 75-basis-point hike, while placing 27% odds on the U.S. central bank delivering a 100-bps hike next week. FEDWATCH
Union Pacific UNP.N and CSX Corp CSX.O jumped nearly 5% each after U.S. railroads and unions secured a tentative deal to avert a rail shutdown that could have hit food and fuel supplies across the United States.
At 07:19 a.m. ET, Dow e-minis 1YMcv1 were down 1 point, S&P 500 e-minis EScv1 were down 2.75 points, or 0.07%, and Nasdaq 100 e-minis NQcv1 were down 25.25 points, or 0.21%.
Shares of rate-sensitive growth and technology stocks slipped alongside a rise in bond yields. US/
Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading.
(Reporting by Ankika Biswas in Bengaluru; Editing by Sriraj Kalluvila)
((Ankika.Biswas@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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US/ Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. Futures: Dow flat, S&P off 0.1%, Nasdaq 0.2% Sept 15 (Reuters) - U.S. stock index futures struggled for direction on Thursday after lackluster trading in the previous session as investors awaited a slew of economic data that could provide more clarity on the Federal Reserve's monetary policy tightening path. Wall Street's main indexes closed slightly higher on Wednesday after wavering throughout the session as an on-target inflation print provided relief after Tuesday's hotter-than-expected consumer prices data sparked the biggest percentage decline since June 2020.
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US/ Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. Futures: Dow flat, S&P off 0.1%, Nasdaq 0.2% Sept 15 (Reuters) - U.S. stock index futures struggled for direction on Thursday after lackluster trading in the previous session as investors awaited a slew of economic data that could provide more clarity on the Federal Reserve's monetary policy tightening path. Data on tap on Thursday include weekly jobless claims and retail sales that would help assess whether the economy can withstand an extend period of aggressive policy tightening by the Fed.
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US/ Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. Futures: Dow flat, S&P off 0.1%, Nasdaq 0.2% Sept 15 (Reuters) - U.S. stock index futures struggled for direction on Thursday after lackluster trading in the previous session as investors awaited a slew of economic data that could provide more clarity on the Federal Reserve's monetary policy tightening path. Data on tap on Thursday include weekly jobless claims and retail sales that would help assess whether the economy can withstand an extend period of aggressive policy tightening by the Fed.
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US/ Apple Inc AAPL.O, Meta Platforms META.O and Tesla Inc TSLA.O were down 0.2% in premarket trading. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window. Wall Street's main indexes closed slightly higher on Wednesday after wavering throughout the session as an on-target inflation print provided relief after Tuesday's hotter-than-expected consumer prices data sparked the biggest percentage decline since June 2020.
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2022-09-15 00:00:00 UTC
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Should You Invest in the Fidelity MSCI Information Technology Index ETF (FTEC)?
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https://www.nasdaq.com/articles/should-you-invest-in-the-fidelity-msci-information-technology-index-etf-ftec-3
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If you're interested in broad exposure to the Technology - Broad segment of the equity market, look no further than the Fidelity MSCI Information Technology Index ETF (FTEC), a passively managed exchange traded fund launched on 10/21/2013.
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
Sector ETFs also provide investors access to a broad group of companies in particular sectors that offer low risk and diversified exposure. Technology - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 9, placing it in bottom 44%.
Index Details
The fund is sponsored by Fidelity. It has amassed assets over $5.32 billion, making it one of the largest ETFs attempting to match the performance of the Technology - Broad segment of the equity market. FTEC seeks to match the performance of the MSCI USA IMI Information Technology Index before fees and expenses.
The MSCI USA IMI Information Technology Index represents the performance of the information technology sector in the U.S. equity market.
Costs
Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts if all other fundamentals are the same.
Annual operating expenses for this ETF are 0.08%, making it one of the least expensive products in the space.
It has a 12-month trailing dividend yield of 0.87%.
Sector Exposure and Top Holdings
While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Information Technology sector--about 99.90% of the portfolio.
Looking at individual holdings, Apple Inc Common Stock Usd.00001 (AAPL) accounts for about 23.32% of total assets, followed by Microsoft Corp Common Stock Usd.00000625 (MSFT) and Nvidia Corp Common Stock Usd.001 (NVDA).
The top 10 holdings account for about 61.16% of total assets under management.
Performance and Risk
So far this year, FTEC has lost about -25.46%, and is down about -17.65% in the last one year (as of 09/15/2022). During this past 52-week period, the fund has traded between $93.52 and $137.67.
The ETF has a beta of 1.14 and standard deviation of 30.81% for the trailing three-year period, making it a medium risk choice in the space. With about 395 holdings, it effectively diversifies company-specific risk.
Alternatives
Fidelity MSCI Information Technology Index ETF holds a Zacks ETF Rank of 1 (Strong Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, FTEC is a great option for investors seeking exposure to the Technology ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology ETF (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index. Technology Select Sector SPDR ETF has $39.96 billion in assets, Vanguard Information Technology ETF has $42.66 billion. XLK has an expense ratio of 0.10% and VGT charges 0.10%.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Fidelity MSCI Information Technology Index ETF (FTEC): ETF Research Reports
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
NVIDIA Corporation (NVDA): Free Stock Analysis Report
Technology Select Sector SPDR ETF (XLK): ETF Research Reports
Vanguard Information Technology ETF (VGT): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Apple Inc Common Stock Usd.00001 (AAPL) accounts for about 23.32% of total assets, followed by Microsoft Corp Common Stock Usd.00000625 (MSFT) and Nvidia Corp Common Stock Usd.001 (NVDA). Apple Inc. (AAPL): Free Stock Analysis Report Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency.
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Looking at individual holdings, Apple Inc Common Stock Usd.00001 (AAPL) accounts for about 23.32% of total assets, followed by Microsoft Corp Common Stock Usd.00000625 (MSFT) and Nvidia Corp Common Stock Usd.001 (NVDA). Apple Inc. (AAPL): Free Stock Analysis Report Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology ETF (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index.
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Looking at individual holdings, Apple Inc Common Stock Usd.00001 (AAPL) accounts for about 23.32% of total assets, followed by Microsoft Corp Common Stock Usd.00000625 (MSFT) and Nvidia Corp Common Stock Usd.001 (NVDA). Apple Inc. (AAPL): Free Stock Analysis Report Alternatives Fidelity MSCI Information Technology Index ETF holds a Zacks ETF Rank of 1 (Strong Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors.
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Looking at individual holdings, Apple Inc Common Stock Usd.00001 (AAPL) accounts for about 23.32% of total assets, followed by Microsoft Corp Common Stock Usd.00000625 (MSFT) and Nvidia Corp Common Stock Usd.001 (NVDA). Apple Inc. (AAPL): Free Stock Analysis Report If you're interested in broad exposure to the Technology - Broad segment of the equity market, look no further than the Fidelity MSCI Information Technology Index ETF (FTEC), a passively managed exchange traded fund launched on 10/21/2013.
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2022-09-15 00:00:00 UTC
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3 Stocks Warren Buffett Bought Hand Over Fist as the Market Plummeted
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https://www.nasdaq.com/articles/3-stocks-warren-buffett-bought-hand-over-fist-as-the-market-plummeted-0
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There is no doubt about it. Warren Buffett is the greatest investor of all time.
The Oracle of Omaha has helmed Berkshire Hathway (NYSE: BRK.A) (NYSE: BRK.B) for nearly 60 years now, delivering a compound annual return of 20.1% from 1965 to 2021. That's almost double that of the S&P 500 at 10.5% during the same time period. In total, the stock returned 3,641,613% during that period, meaning it would have turned $1,000 into a whopping $36.4 million.
Given that track record, it's not surprising so many investors look to follow Buffett's approach. The famed value investor has been most successful in bear markets, and he's known for his advice to be greedy when others are fearful.
While Buffett hasn't reported what stocks he has bought during the third quarter, it's good a bet that he's taken advantage of the recent sell-off. Let's take a look at a few stocks that Buffett was eagerly buying in the second quarter this year.
1. Apple
Berkshire's move into Apple (NASDAQ: AAPL) has surprised some Buffett acolytes as he has historically avoided tech stocks. Though Buffett wasn't involved in Berkshire's original purchase of Apple back in 2016 -- it was made by one of his deputies -- he has become a big believer in the iPhone maker since then.
He's touted it as an "extraordinary consumer franchise," and said it's probably the best business in the world. Indeed, the tech giant has an impressive set of competitive advantages with an installed base of over 1 billion devices, and huge margins, thanks to its brand, dominance of the smartphone market, and its services business, anchored by the App Store.
Buffett is so confident in Apple that it's become Berkshire's biggest stock holding, and he even said he thinks of it as Berkshire's third business, rather than a stock.
In the second quarter, Berkshire bought nearly 4 million shares of Apple, shelling out roughly $600 million for the purchase. That bet appears to be well timed as Apple stock is up 13% this quarter, outperforming the S&P 500, which has gained just 4%.
Apple stock is still down 15% from its peak at the start of the year, meaning it wouldn't be surprising if Berkshire bought more of it in the third quarter.
2. Chevron
Buffett has long been a believer in the energy sector. Though cash flows are volatile depending on oil prices, there's no question that the global economy still relies on oil and gas, and many energy stocks pay generous dividends to boot.
Berkshire has its own energy subsidiary, Berkshire Hathaway Energy, and also owns stakes in a number of energy stocks, including Chevron (NYSE: CVX), its biggest holding in the sector.
Berkshire bought 2.3 million Chevron shares in the second quarter, spending about $360 million on the energy giant.
Even as oil prices have pulled back in the third quarter, Chevron shares have remained steady, a sign that it may be less at risk from a decline in oil prices than its peers. Buffett has said he believes Chevron is undervalued, and the stock still looks appealing at price-to-earnings ratio of 11 and a dividend yield of 3.5%. If the price of oil stays elevated, Chevron should be a winner.
3. Berkshire Hathaway
Finally, the last stock Berkshire Hathaway couldn't stop buying as the market plummeted is its own. In the second quarter, the company repurchased approximately $1 billion of its own stock, a sign that Buffett continues to view Berkshire shares as undervalued.
Unlike most companies, which have limited share repurchase authorizations determined by the board of directors, Berkshire's policy allows the company to repurchase its stock whenever Buffett and Vice Chairman Charlie Munger see fit, as long as cash and equivalents remain above $30 billion. At one point, Buffett required that the stock be below 1.2 times book value, but now he just uses his estimate of the company's "intrinsic value" as the yardstick for repurchases.
The second-quarter buybacks were actually lower than they've been in other recent quarters, perhaps a sign that the company would rather deploy capital to buy other stocks.
After falling sharply in the second quarter, Berkshire stock has been stable in the third quarter, one indicator that the repurchases likely continued.
Investors don't know what Buffett has purchased this quarter, but there's one thing you can count on: With the bear market persisting, the billionaire value investor has almost certainly been busy buying stocks. If you want to invest along with him, the three names above are a great place to start.
10 stocks we like better than Berkshire Hathaway (A shares)
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Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway (B shares). The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Berkshire's move into Apple (NASDAQ: AAPL) has surprised some Buffett acolytes as he has historically avoided tech stocks. Though Buffett wasn't involved in Berkshire's original purchase of Apple back in 2016 -- it was made by one of his deputies -- he has become a big believer in the iPhone maker since then. Indeed, the tech giant has an impressive set of competitive advantages with an installed base of over 1 billion devices, and huge margins, thanks to its brand, dominance of the smartphone market, and its services business, anchored by the App Store.
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Apple Berkshire's move into Apple (NASDAQ: AAPL) has surprised some Buffett acolytes as he has historically avoided tech stocks. Berkshire bought 2.3 million Chevron shares in the second quarter, spending about $360 million on the energy giant. In the second quarter, the company repurchased approximately $1 billion of its own stock, a sign that Buffett continues to view Berkshire shares as undervalued.
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Apple Berkshire's move into Apple (NASDAQ: AAPL) has surprised some Buffett acolytes as he has historically avoided tech stocks. Buffett is so confident in Apple that it's become Berkshire's biggest stock holding, and he even said he thinks of it as Berkshire's third business, rather than a stock. In the second quarter, the company repurchased approximately $1 billion of its own stock, a sign that Buffett continues to view Berkshire shares as undervalued.
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Apple Berkshire's move into Apple (NASDAQ: AAPL) has surprised some Buffett acolytes as he has historically avoided tech stocks. Apple stock is still down 15% from its peak at the start of the year, meaning it wouldn't be surprising if Berkshire bought more of it in the third quarter. In the second quarter, the company repurchased approximately $1 billion of its own stock, a sign that Buffett continues to view Berkshire shares as undervalued.
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19338.0
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2022-09-15 00:00:00 UTC
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US STOCKS-Wall St slides as economic data backs hawkish Fed
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-slides-as-economic-data-backs-hawkish-fed
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nan
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window
Railroad stocks gain as strike averted
Retail sales up 0.3% in August vs est 0.0%
Weekly jobless claims fall to 213,000
Adobe slides on Figma buyout deal
Indexes down: Dow 0.33%, S&P 0.79%, Nasdaq 1.10%
Updates to afternoon trading
By Ankika Biswas and Sruthi Shankar
Sept 15 (Reuters) - Wall Street's main indexes fell on Thursday, with technology and growth stocks leading the way as a slew of economic data pointed to resilience in the U.S. economy which could keep the Federal Reserve on track for aggressive interest rate hikes.
A hotter-than-expected consumer prices reading on Tuesday sparked Wall Street's worst selloff in more than two years as investors fully priced in a 75 basis point rate hike from the U.S. central bank next week and even saw chances of a full percentage point rate increase.
Data on Thursday showed U.S. retail sales unexpectedly rebounded in August, while another set showed the number of people filing new claims for unemployment benefits fell to the lowest level in more than three months, in signs the economy could tolerate higher interest rates.
"Today's reading for initial unemployment claims was an extremely low number," said Yung-Yu Ma, chief investment strategist, BMO Wealth Management.
"It really solidifies a 75-basis-point increase by the Fed at the upcoming meeting, but also a tighter path for the Fed going forward and reinforces Powell's notion that the labor market is a little bit too tight and he's going be looking to soften that up."
Money markets are pricing in a nearly 80% chance of a 75-basis-point hike at the Fed's policy meeting on Sept. 20-21, while placing 20% odds of a 100-bps hike next week. FEDWATCH
The yield on two-year Treasury notes US2YT=RR, a bellwether for interest rate expectations, touched new 14-year highs at 3.86%. US/
Shares of rate-sensitive growth and technology stocks tumbled as alongside the rise in bond yields.
Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 2% each. Netflix Inc NFLX.O gained 6.5% as Evercore ISI upgraded the stock to "outperform".
Banks .SPXBK, which tend to benefit from a rising rate environment, gained 1.6%. Healthcare stocks .SPXHC got a boost from health insurer Humana Inc's HUM.N strong earnings forecast.
At 12:39 p.m. ET, the Dow Jones Industrial Average .DJI was down 103.83 points, or 0.33%, at 31,031.26, the S&P 500 .SPX was down 31.10 points, or 0.79%, at 3,914.91, and the Nasdaq Composite .IXIC was down 128.85 points, or 1.10%, at 11,590.83.
Union Pacific UNP.N and Norfolk Southern NSC.N gained about 1% each after U.S. railroad operators and unions secured a tentative deal to avert a rail shutdown that could have hit food and fuel supplies across the United States.
CSX Corp CSX.O slipped 2.3% after it said Chief Executive Officer James Foote will retire this month.
Adobe Inc ADBE.O slumped 16.9% after the Photoshop maker said it would buy Figma in a cash-and-stock deal that valued the online design startup at about $20 billion.
Declining issues outnumbered advancers for a 2.03-to-1 ratio on the NYSE and 1.14-to-1 ratio on the Nasdaq.
The S&P index recorded no new 52-week highs and 12 new lows, while the Nasdaq recorded eight new highs and 134 new lows.
(Reporting by Ankika Biswas in Bengaluru; Editing by Sriraj Kalluvila, Shounak Dasgupta and Maju Samuel)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 2% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes down: Dow 0.33%, S&P 0.79%, Nasdaq 1.10% Updates to afternoon trading By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes fell on Thursday, with technology and growth stocks leading the way as a slew of economic data pointed to resilience in the U.S. economy which could keep the Federal Reserve on track for aggressive interest rate hikes. "Today's reading for initial unemployment claims was an extremely low number," said Yung-Yu Ma, chief investment strategist, BMO Wealth Management.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 2% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes down: Dow 0.33%, S&P 0.79%, Nasdaq 1.10% Updates to afternoon trading By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes fell on Thursday, with technology and growth stocks leading the way as a slew of economic data pointed to resilience in the U.S. economy which could keep the Federal Reserve on track for aggressive interest rate hikes. Data on Thursday showed U.S. retail sales unexpectedly rebounded in August, while another set showed the number of people filing new claims for unemployment benefits fell to the lowest level in more than three months, in signs the economy could tolerate higher interest rates.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 2% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes down: Dow 0.33%, S&P 0.79%, Nasdaq 1.10% Updates to afternoon trading By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes fell on Thursday, with technology and growth stocks leading the way as a slew of economic data pointed to resilience in the U.S. economy which could keep the Federal Reserve on track for aggressive interest rate hikes. A hotter-than-expected consumer prices reading on Tuesday sparked Wall Street's worst selloff in more than two years as investors fully priced in a 75 basis point rate hike from the U.S. central bank next week and even saw chances of a full percentage point rate increase.
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Apple Inc AAPL.O, Microsoft MSFT.O and Alphabet Inc GOOGL.O fell about 2% each. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window Railroad stocks gain as strike averted Retail sales up 0.3% in August vs est 0.0% Weekly jobless claims fall to 213,000 Adobe slides on Figma buyout deal Indexes down: Dow 0.33%, S&P 0.79%, Nasdaq 1.10% Updates to afternoon trading By Ankika Biswas and Sruthi Shankar Sept 15 (Reuters) - Wall Street's main indexes fell on Thursday, with technology and growth stocks leading the way as a slew of economic data pointed to resilience in the U.S. economy which could keep the Federal Reserve on track for aggressive interest rate hikes. A hotter-than-expected consumer prices reading on Tuesday sparked Wall Street's worst selloff in more than two years as investors fully priced in a 75 basis point rate hike from the U.S. central bank next week and even saw chances of a full percentage point rate increase.
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19339.0
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2022-09-15 00:00:00 UTC
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What Investors Should Know About Single Stock ETFs
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AAPL
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https://www.nasdaq.com/articles/what-investors-should-know-about-single-stock-etfs
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Single stock ETFs, which started trading in Europe in 2018, made their debut in the US recently. Traders can use these products to bet on or against popular stocks like Apple AAPL, Microsoft MSFT, Amazon AMZN, Google parent Alphabet GOOGL and Tesla TSLA.
Investors should remember that these products are not meant for buy-and-hold investing.They should be used only as short-term trading vehicles by investors who closely monitor their portfolios daily.
The AXS TSLA Bear Daily ETF TSLQ, which provides -1x exposure to the daily price movement of Tesla stock, is the most popular among the products launched so far and has already gathered more than $50 million in assets.
To learn more about these ETFs, please watch the short video above.
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Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
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Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Alphabet Inc. (GOOGL): Free Stock Analysis Report
AXS TSLA Bear Daily ETF (TSLQ): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Traders can use these products to bet on or against popular stocks like Apple AAPL, Microsoft MSFT, Amazon AMZN, Google parent Alphabet GOOGL and Tesla TSLA. Apple Inc. (AAPL): Free Stock Analysis Report Single stock ETFs, which started trading in Europe in 2018, made their debut in the US recently.
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Traders can use these products to bet on or against popular stocks like Apple AAPL, Microsoft MSFT, Amazon AMZN, Google parent Alphabet GOOGL and Tesla TSLA. Apple Inc. (AAPL): Free Stock Analysis Report The AXS TSLA Bear Daily ETF TSLQ, which provides -1x exposure to the daily price movement of Tesla stock, is the most popular among the products launched so far and has already gathered more than $50 million in assets.
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Traders can use these products to bet on or against popular stocks like Apple AAPL, Microsoft MSFT, Amazon AMZN, Google parent Alphabet GOOGL and Tesla TSLA. Apple Inc. (AAPL): Free Stock Analysis Report The AXS TSLA Bear Daily ETF TSLQ, which provides -1x exposure to the daily price movement of Tesla stock, is the most popular among the products launched so far and has already gathered more than $50 million in assets.
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Traders can use these products to bet on or against popular stocks like Apple AAPL, Microsoft MSFT, Amazon AMZN, Google parent Alphabet GOOGL and Tesla TSLA. Apple Inc. (AAPL): Free Stock Analysis Report Click to get this free report
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19340.0
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2022-09-14 00:00:00 UTC
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Samsung Elec to invest over $5 bln as it targets net zero emissions by 2050
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AAPL
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https://www.nasdaq.com/articles/samsung-elec-to-invest-over-%245-bln-as-it-targets-net-zero-emissions-by-2050
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nan
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nan
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By Joyce Lee
SEOUL, Sept 15 (Reuters) - Samsung Electronics 005930.KS will invest over 7 trillion won ($5.02 billion) by 2030 as part of sweeping environmental initiatives aimed at making the company carbon neutral by 2050, the world's largest chip and mobile maker said on Thursday.
The tech giant will spend the money on research and development for technology aimed at filtering out greenhouse gases and capturing carbon dioxide generated during chip production, and is seeking to make its devices business carbon neutral earlier, by 2030, said Kim Soo-jin, Samsung's head of ESG strategy group. It also plans to boost the recycling of resources such as lithium and plastic.
"These activities are to eventually meet demand from our customers ... so that we raise interest in our products," said Kim. "There are costs, but we will try to forge a business opportunity."
Samsung said it joined a group of global corporations committed to 100% renewable energy called RE100, following in the footsteps of global peers such as Apple AAPL.O, TSMC 2330.TW, and Intel INTC.O.
South Korea also aims to achieve net zero emissions by 2050 but this is challenging for a country with significant heavy industry including shipbuilding and steel, analysts say.
The country relies on coal and gas for over 60% of its electricity generation, while reneweables are only used for 6% of its electricity output, according to industry ministry data.
For Samsung's chip plants and other manufacturers in South Korea, stable and affordable energy is key for competitiveness, but advances in renewable energy have been too slow to meet these criteria so far, according to analysts.
"We are a company that manufactures directly... so there are various, layered challenges," said Kim.
Samsung's customers and investors, with their own carbon neutral goals, have long called for clearer environmental targets from Samsung.
"While its carbon emission number continues to rise, Samsung Electronics had delayed making a clear commitment (on) how to meaningfully reduce carbon emissions. This has been a growing concern for long-term investors," said Yoo-Kyung Park, head of responsible investment and governance for the Asia Pacific region at APG Asset Management, a Samsung shareholder.
The chips and components business accounted for 15.6 million or 90% of the 17.4 million tonnes of greenhouse gases Samsung Electronics emitted in 2021, the company said, while its devices businesses, including mobile, accounted for 10%.
Moreover, Samsung's chip and components business used 144 million tonnes of water in 2021, 88% of the 164 million tonnes the company used. Samsung is aiming to keep water withdrawn from sources at the 2021 level while chip production expands.
In addition to its net zero emissions and water goals, Samsung plans to increase the recycling of resources such as lithium and cobalt used in Samsung devices.
It is currently collecting electronic waste in about 50 countries, adding it is aiming to do this in about 180 countries by 2030.
Samsung is also seeking to bring up the portion of reused plastic in its devices to 50% of all plastic by 2030 and 100% by 2050, and boost production of energy-efficient chips and devices, Kim said.
"In the end, we are a technology company... So we will contribute positively to climate change through technology development," Kim said.
"Since we are a large company and our products are widely used, we will make an impact through scale."
($1 = 1,395.4600 won)
FACTBOX-South Korean companies that have joined RE100
(Reporting by Joyce Lee; Editing by Ana Nicolaci da Costa)
((joyce.lee@tr.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Samsung said it joined a group of global corporations committed to 100% renewable energy called RE100, following in the footsteps of global peers such as Apple AAPL.O, TSMC 2330.TW, and Intel INTC.O. By Joyce Lee SEOUL, Sept 15 (Reuters) - Samsung Electronics 005930.KS will invest over 7 trillion won ($5.02 billion) by 2030 as part of sweeping environmental initiatives aimed at making the company carbon neutral by 2050, the world's largest chip and mobile maker said on Thursday. South Korea also aims to achieve net zero emissions by 2050 but this is challenging for a country with significant heavy industry including shipbuilding and steel, analysts say.
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Samsung said it joined a group of global corporations committed to 100% renewable energy called RE100, following in the footsteps of global peers such as Apple AAPL.O, TSMC 2330.TW, and Intel INTC.O. The tech giant will spend the money on research and development for technology aimed at filtering out greenhouse gases and capturing carbon dioxide generated during chip production, and is seeking to make its devices business carbon neutral earlier, by 2030, said Kim Soo-jin, Samsung's head of ESG strategy group. The chips and components business accounted for 15.6 million or 90% of the 17.4 million tonnes of greenhouse gases Samsung Electronics emitted in 2021, the company said, while its devices businesses, including mobile, accounted for 10%.
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Samsung said it joined a group of global corporations committed to 100% renewable energy called RE100, following in the footsteps of global peers such as Apple AAPL.O, TSMC 2330.TW, and Intel INTC.O. By Joyce Lee SEOUL, Sept 15 (Reuters) - Samsung Electronics 005930.KS will invest over 7 trillion won ($5.02 billion) by 2030 as part of sweeping environmental initiatives aimed at making the company carbon neutral by 2050, the world's largest chip and mobile maker said on Thursday. The tech giant will spend the money on research and development for technology aimed at filtering out greenhouse gases and capturing carbon dioxide generated during chip production, and is seeking to make its devices business carbon neutral earlier, by 2030, said Kim Soo-jin, Samsung's head of ESG strategy group.
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Samsung said it joined a group of global corporations committed to 100% renewable energy called RE100, following in the footsteps of global peers such as Apple AAPL.O, TSMC 2330.TW, and Intel INTC.O. By Joyce Lee SEOUL, Sept 15 (Reuters) - Samsung Electronics 005930.KS will invest over 7 trillion won ($5.02 billion) by 2030 as part of sweeping environmental initiatives aimed at making the company carbon neutral by 2050, the world's largest chip and mobile maker said on Thursday. The tech giant will spend the money on research and development for technology aimed at filtering out greenhouse gases and capturing carbon dioxide generated during chip production, and is seeking to make its devices business carbon neutral earlier, by 2030, said Kim Soo-jin, Samsung's head of ESG strategy group.
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19341.0
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2022-09-14 00:00:00 UTC
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7 Nasdaq Stocks With Superior Fundamentals
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AAPL
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https://www.nasdaq.com/articles/7-nasdaq-stocks-with-superior-fundamentals
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
With the latest market rout, focusing on Nasdaq stocks to buy with superior fundamentals has become even more important. True, heading into a firestorm isn’t the most comforting situation for investors. Nevertheless, if you take a direct approach, it’s better to improve your probabilities with fundamentally sound investments.
According to CNBC, the major equity averages just suffered the worst day since June 2020. The culprit? A hotter-than-expected key inflation report. Although August’s consumer price index only increased by 0.1% against the prior month, the context mattered. The rise in inflation occurred despite a drop in gasoline prices. Thus, investors really need to consider fundamentally strong Nasdaq stocks to buy.
Essentially, the Federal Reserve – which signaled higher interest rates to come – will now need to attack inflation more aggressively. The subsequent rise in borrowing costs will surely impact risk-on investments more acutely. Therefore, Nasdaq stocks to buy don’t look so hot. But it also means that investors should be picky, focusing on the most compelling ideas.
To help navigate the choppy waters and (hopefully) become profitable over the long run, here are Nasdaq stocks to buy with superior fundamentals.
MSFT Microsoft $251.82
CSCO Cisco $44.03
AAPL Apple $155.35
PEP PepsiCo $168.22
KHC Kraft Heinz $34.96
META Meta Platforms $150.80
NVDA Nvidia $131.17
Microsoft (MSFT)
Source: The Art of Pics / Shutterstock.com
In the years since its transformation – when the company finally started delivering products people cared about – Microsoft (NASDAQ:MSFT) evolved into an every-scenario investment. When in doubt, just pick up some shares of MSFT. This “strategy” has done well so far. Over the trailing five years, MSFT returned stakeholders nearly 235% of market value.
No, it’s certainly not the most exciting performance compared to other high-profile Nasdaq stocks to buy. Nevertheless, the point is even through hardships, Microsoft tends to right itself. With its vast business empire, it added to this resilience.
For instance, in terms of desktop operating systems, Microsoft Windows dominates proceedings with nearly 75% market share. Put another way, the business world runs on Microsoft.
What about the gaming sector? According to data from Statista, the company’s Xbox console commanded 53% of the underlying market share in 2021. MSFT isn’t going anywhere, easily making it one of the best Nasdaq stocks to buy.
Cisco (CSCO)
Source: Ken Wolter / Shutterstock.com
During a market rout that may lead to longer-term bearishness, boring names should attract investors’ attention. No guarantee exists that less-than-exciting Nasdaq stocks to buy will flourish. However, flashy names tend to be distractions because they often need capital to keep their enterprises afloat. When borrowing costs rise, that’s a problem.
So, a boring but still incredibly relevant idea to consider is Cisco (NASDAQ:CSCO). An IT and networking specialist, Cisco represents a stalwart in the global business ecosystem. Admittedly, though, its share performance isn’t very encouraging. Down 30% on a year-to-date (YTD) basis, CSCO slipped a bit more than the underlying Nasdaq composite, which fell 26.5% YTD.
Nevertheless, as InvestorPlace contributor Will Ashworth pointed out, Cisco delivered better-than-expected results for its fiscal fourth quarter of 2022. The company beat on the top and bottom lines. More importantly, management delivered optimistic guidance for fiscal 2023, with revenue expected to grow by 5% at the midpoint of its prior forecast.
Apple (AAPL)
Source: Vytautas Kielaitis / Shutterstock.com
While it may be an obvious idea for Nasdaq stocks to buy, investors still ought to consider Apple (NASDAQ:AAPL). Personally, my concerns about the consumer tech giant zeroed in on sentiment for largely discretionary products. While I understand connectivity is critical these days, no one needs the absolute latest gizmo and gadget.
However, recent data demonstrates whether people suffer from inflation, reflation, deflation or whatever-flation, consumers will always flock to Apple. Preorders for the newest-generation iPhone 14 show the company still commands incredible social influence and cachet. Also, the tech giant performed very well for its premium Apple Watch Ultra.
Wedbush Securities’ Dan Ives and John Katsingris stated, “This speaks to the underlying demand story that Apple anticipates for this next iPhone release with our estimates that 240 million of 1 billion iPhone users worldwide have not upgraded their phones in over 3.5 years.”
Until contrasting fundamentals suggest otherwise, AAPL remains one of the best Nasdaq stocks to buy.
PepsiCo (PEP)
Source: suriyachan / Shutterstock.com
A giant in consumer staples, PepsiCo (NASDAQ:PEP) presents a less-orthodox idea among Nasdaq stocks to buy. But don’t get it wrong – PEP looks very attractive, especially under present circumstances. When you’re dealing with products that people need to have every day, like food and water, you enjoy a higher baseline.
Just look at PEP’s market performance. No, it’s not great under absolute terms. It’s not even in positive territory. But with the benchmark S&P 500 index down 18% — dangerously close to bear market territory – losing less than 3% for the year represents a victory. Heck, it would have closed out in the black had it not been for the Sept. 13 meltdown.
Fundamentally, PEP attracts investors seeking shelter from the storm because of its cynical nature. According to Wexner Medical Center at The Ohio State University, the sugar in sodas “causes dopamine releases in the brain, stimulating pleasure centers. For some, it’s not the ingredients that causes the addiction, but the lifestyle habit that leads you to the fridge.” Thus, PEP also benefits from a captive audience situation of sorts.
Kraft Heinz (KHC)
Source: Casimiro PT / Shutterstock.com
Another player among Nasdaq stocks to buy in the literal consumption business, Kraft Heinz (NASDAQ:KHC) specializes in packaged foods and condiments/sauces. Again, it’s not the most exciting name in the tech-centric exchange. Nevertheless, when the unpleasant material hits the proverbial fan, you’ll be glad to have KHC in your portfolio.
To be fair, KHC did take a hit during the Sept. 13 meltdown, suffering a 4.6% blow on the day. However, since the start of the year, KHC is only down 3%. Therefore, it just needs a bit of momentum to get the ship upright again. That’s more than can be said about other formerly popular Nasdaq stocks to buy.
Fundamentally, Kraft Heinz is better geared toward contemporary economic realities. During an inflationary cycle, investors enjoyed a motivation to do something, anything with their money. After all, their funds will diminish in value over time. During a deflationary cycle (i.e. higher borrowing costs), the opposite incentivization rings true.
Here’s why that’s important for Kraft Heinz: Unless you know a way for people to not eat and still live, the company will be in the running for those important grocery dollars.
Meta Platforms (META)
Source: Blue Planet Studio / Shutterstock.com
Heading into the riskiest section of Nasdaq stocks to buy with superior fundamentals, investors ought to consider Meta Platforms (NASDAQ:META). I don’t think anyone is going to tell you META is an easy investment to acquire. On a YTD basis, shares have plummeted 55%. It’s possible they can plunge more, which means the idea is more appropriate for risk-tolerant buyers.
As well, Meta CEO Mark Zuckerberg warned about a slowdown in the digital advertising space. Clearly, when you operate in the social media space, a decline in ad dollars hurts significantly. Also, the warning came amid its first-ever quarterly revenue decline. So, the headline numbers don’t support META as an optimistic trade.
But then, why mention it as one of the Nasdaq stocks to buy? Fundamentally, Meta owns the largest social media network in the world. However, it’s not just about raw numbers but also distribution. If you look at its age demographics, you’ll notice that while skewing young, the company enjoys a diverse mix of age cohorts.
In other words, if you’re going to advertise, you want to do so on the widest canvas possible.
Nvidia (NVDA)
Source: Shutterstock
Back in the early segment of the new normal, semiconductor specialist Nvidia (NASDAQ:NVDA) was flying. With pandemic-related restrictions keeping people at home, video game sales soared. Because Nvidia specializes in graphics processing units (GPUs) that power the latest tech in video games, NVDA stock benefitted handsomely.
Also, the cryptocurrency sector rang up the income for Nvidia. Here, the GPUs that gamers love also feature incredible utility for crypto-mining initiatives. As the digital assets sector went into beast mode, Nvidia churned out whatever products they could. Again, the company enjoyed downwind benefits.
Now, the circumstances have changed dramatically. With pandemic restrictions lifted, people prefer “real” experiences over digital ones. In addition, cryptos plunged badly from their peak valuations, leading to softness for NVDA.
Still, on a fundamental basis, Gurufocus labels Nvidia as “significantly undervalued.” Commanding excellent long-term growth and profitability metrics, NVDA may offer a once-in-a-blue-moon discount.
On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare.
The post 7 Nasdaq Stocks With Superior Fundamentals appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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MSFT Microsoft $251.82 CSCO Cisco $44.03 AAPL Apple $155.35 PEP PepsiCo $168.22 KHC Kraft Heinz $34.96 META Meta Platforms $150.80 NVDA Nvidia $131.17 Microsoft (MSFT) Source: The Art of Pics / Shutterstock.com In the years since its transformation – when the company finally started delivering products people cared about – Microsoft (NASDAQ:MSFT) evolved into an every-scenario investment. Apple (AAPL) Source: Vytautas Kielaitis / Shutterstock.com While it may be an obvious idea for Nasdaq stocks to buy, investors still ought to consider Apple (NASDAQ:AAPL). Wedbush Securities’ Dan Ives and John Katsingris stated, “This speaks to the underlying demand story that Apple anticipates for this next iPhone release with our estimates that 240 million of 1 billion iPhone users worldwide have not upgraded their phones in over 3.5 years.” Until contrasting fundamentals suggest otherwise, AAPL remains one of the best Nasdaq stocks to buy.
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MSFT Microsoft $251.82 CSCO Cisco $44.03 AAPL Apple $155.35 PEP PepsiCo $168.22 KHC Kraft Heinz $34.96 META Meta Platforms $150.80 NVDA Nvidia $131.17 Microsoft (MSFT) Source: The Art of Pics / Shutterstock.com In the years since its transformation – when the company finally started delivering products people cared about – Microsoft (NASDAQ:MSFT) evolved into an every-scenario investment. Apple (AAPL) Source: Vytautas Kielaitis / Shutterstock.com While it may be an obvious idea for Nasdaq stocks to buy, investors still ought to consider Apple (NASDAQ:AAPL). Wedbush Securities’ Dan Ives and John Katsingris stated, “This speaks to the underlying demand story that Apple anticipates for this next iPhone release with our estimates that 240 million of 1 billion iPhone users worldwide have not upgraded their phones in over 3.5 years.” Until contrasting fundamentals suggest otherwise, AAPL remains one of the best Nasdaq stocks to buy.
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MSFT Microsoft $251.82 CSCO Cisco $44.03 AAPL Apple $155.35 PEP PepsiCo $168.22 KHC Kraft Heinz $34.96 META Meta Platforms $150.80 NVDA Nvidia $131.17 Microsoft (MSFT) Source: The Art of Pics / Shutterstock.com In the years since its transformation – when the company finally started delivering products people cared about – Microsoft (NASDAQ:MSFT) evolved into an every-scenario investment. Apple (AAPL) Source: Vytautas Kielaitis / Shutterstock.com While it may be an obvious idea for Nasdaq stocks to buy, investors still ought to consider Apple (NASDAQ:AAPL). Wedbush Securities’ Dan Ives and John Katsingris stated, “This speaks to the underlying demand story that Apple anticipates for this next iPhone release with our estimates that 240 million of 1 billion iPhone users worldwide have not upgraded their phones in over 3.5 years.” Until contrasting fundamentals suggest otherwise, AAPL remains one of the best Nasdaq stocks to buy.
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MSFT Microsoft $251.82 CSCO Cisco $44.03 AAPL Apple $155.35 PEP PepsiCo $168.22 KHC Kraft Heinz $34.96 META Meta Platforms $150.80 NVDA Nvidia $131.17 Microsoft (MSFT) Source: The Art of Pics / Shutterstock.com In the years since its transformation – when the company finally started delivering products people cared about – Microsoft (NASDAQ:MSFT) evolved into an every-scenario investment. Apple (AAPL) Source: Vytautas Kielaitis / Shutterstock.com While it may be an obvious idea for Nasdaq stocks to buy, investors still ought to consider Apple (NASDAQ:AAPL). Wedbush Securities’ Dan Ives and John Katsingris stated, “This speaks to the underlying demand story that Apple anticipates for this next iPhone release with our estimates that 240 million of 1 billion iPhone users worldwide have not upgraded their phones in over 3.5 years.” Until contrasting fundamentals suggest otherwise, AAPL remains one of the best Nasdaq stocks to buy.
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2022-09-14 00:00:00 UTC
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Ready to Get Rich in the Stock Market? 5 Investments You Can't Go Wrong With
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AAPL
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https://www.nasdaq.com/articles/ready-to-get-rich-in-the-stock-market-5-investments-you-cant-go-wrong-with-0
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The stock market has proven to be a great way for normal folks to build wealth over time. If get-rich-quick schemes work, it's usually for the party on the other side of the bet. But investing in great companies at reasonable prices can be a great way to get rich over time.
It can be as simple as investing through index funds for some that don't have the time or inclination to stay involved. But identifying good values and great companies can help boost returns even further. Below are five stock investments that could offer a diversified way to beat the S&P 500 index over the coming years and decades.
Berkshire Hathaway
Some people want others to manage their money, and investing in Warren Buffett's Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) is almost like having a fund manager. But it comes with added benefits. Berkshire has brilliant leadership with Buffett and vice chairman Charlie Munger, who have been mentoring their eventual successors for years. It also offers a mix of stock ownership and cash generating operating businesses.
It owns businesses in manufacturing and retail, an energy and utilities business, BNSF railroad, and insurance. It also holds meaningful investments in a broad mix of companies that include several banks, Apple, Coca-Cola, American Express, as well as automakers. Buffett and Munger have liked buying Berkshire stock, too. The company spent more than $51 billion to repurchase about 9% of its own shares in 2020 and 2021. Its businesses continue to thrive, with operating earnings growing more than 19% year over year in the first six months of 2022. Those share repurchases have continued in 2022, though at a slower pace. Through the first half of the year, Berkshire spent $4.2 billion more on buybacks.
Two consumer favorites
Walt Disney (NYSE: DIS) and Target (NYSE: TGT) have had struggles recently, but these names have proven they can navigate their businesses successfully through many different environments. Disney is pouring money into its streaming services as it builds that business segment. While its streaming business isn't yet profitable, the company can fund that growth from its other segments. In its fiscal 2022 third-quarter report for the period ended July 2, 2022, Disney said its theme parks are thriving. For the nine-month period ending that date, its parks, experiences and products segment almost doubled revenue year over year. Importantly, revenue from the parks segment was also 9% higher compared to the same nine-month period prior to the pandemic in 2019.
Target stock has taken a recent hit after it created an inventory glut trying to work through supply chain constraints. But the company directly addressed the situation with investors and showed confidence in its plan by raising its dividend by 20% at the same time. Target's dividend is one reason an investment is worth considering despite the risks. Having now raised the dividend for 51 consecutive years, the company is on the elite list of Dividend Kings.
While past performance isn't a prediction of future results, Berkshire, Disney, and Target have treated shareholders well for a very long time. All three stocks have handily beaten the S&P 500 in total returns, including dividends, since 2000.
BRK.B Total Return Level data by YCharts
Tap into future trends
The electric vehicle (EV) sector looks to be just getting started, and it would make sense to have a stake in it. Tesla (NASDAQ: TSLA) has been the trailblazer and is the obvious leader. The company isn't just sitting around waiting for others to catch up, either. CEO Elon Musk has the lofty goal of selling 20 million EVs annually. The company is just now ramping up its third and fourth manufacturing plants, and Musk's goal is to have as many as 12.
Tesla is expanding its product offerings with its Semi Truck and Cybertruck scheduled to begin sales this year and next, respectively. It also has a growing energy business that supplies Megapacks for energy storage as well as products for solar generation. Tesla almost ran out of money when its was ramping up its mass production Model 3 vehicle. But it reported $5.5 billion in net income in 2021 and exceeded that in just the first six months of 2022.
Some investors might want to speculate on another EV name since the sector itself is just taking off. Like Tesla, China-based Nio (NYSE: NIO) narrowly avoided bankruptcy just a couple years ago. While it still is losing money, it had about $8 billion in cash on its balance sheet as of June 30, 2022. Nio has been struggling with supply chain issues as well as a drop in demand as China has continued to lock down cities as COVID-19 cases arise.
But those short-term struggles aren't a reason to avoid the stock as part of a diversified portfolio. It continues to launch new vehicles and has started expanding its exports into Europe.
While Nio remains a very high-risk investment, the risk is tempered as part of this group of five stocks. One bad outcome can be overcome by the balance of these names. And the stock market has proven that if one diversifies appropriately, it's the way investors can get rich over time.
10 stocks we like better than Berkshire Hathaway (B shares)
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They just revealed what they believe are the ten best stocks for investors to buy right now... and Berkshire Hathaway (B shares) wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of August 17, 2022
American Express is an advertising partner of The Ascent, a Motley Fool company. Howard Smith has positions in Apple, Berkshire Hathaway (B shares), Nio Inc., Target, and Walt Disney. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), Nio Inc., Target, Tesla, and Walt Disney. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long January 2024 $145 calls on Walt Disney, long January 2024 $47.50 calls on Coca-Cola, long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), short January 2024 $155 calls on Walt Disney, and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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It also holds meaningful investments in a broad mix of companies that include several banks, Apple, Coca-Cola, American Express, as well as automakers. While past performance isn't a prediction of future results, Berkshire, Disney, and Target have treated shareholders well for a very long time. BRK.B Total Return Level data by YCharts Tap into future trends The electric vehicle (EV) sector looks to be just getting started, and it would make sense to have a stake in it.
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Howard Smith has positions in Apple, Berkshire Hathaway (B shares), Nio Inc., Target, and Walt Disney. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), Nio Inc., Target, Tesla, and Walt Disney. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long January 2024 $145 calls on Walt Disney, long January 2024 $47.50 calls on Coca-Cola, long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), short January 2024 $155 calls on Walt Disney, and short March 2023 $130 calls on Apple.
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See the 10 stocks *Stock Advisor returns as of August 17, 2022 American Express is an advertising partner of The Ascent, a Motley Fool company. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), Nio Inc., Target, Tesla, and Walt Disney. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long January 2024 $145 calls on Walt Disney, long January 2024 $47.50 calls on Coca-Cola, long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), short January 2024 $155 calls on Walt Disney, and short March 2023 $130 calls on Apple.
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Its businesses continue to thrive, with operating earnings growing more than 19% year over year in the first six months of 2022. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Berkshire Hathaway (B shares) wasn't one of them! The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), Nio Inc., Target, Tesla, and Walt Disney.
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2022-09-14 00:00:00 UTC
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Apple (AAPL) Outpaces Stock Market Gains: What You Should Know
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AAPL
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https://www.nasdaq.com/articles/apple-aapl-outpaces-stock-market-gains%3A-what-you-should-know-6
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Apple (AAPL) closed the most recent trading day at $155.43, moving +1.03% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.34%. Elsewhere, the Dow gained 0.1%, while the tech-heavy Nasdaq lost 0.05%.
Prior to today's trading, shares of the maker of iPhones, iPads and other products had lost 11.09% over the past month. This has was narrower than the Computer and Technology sector's loss of 12.4% and lagged the S&P 500's loss of 7.95% in that time.
Wall Street will be looking for positivity from Apple as it approaches its next earnings report date. The company is expected to report EPS of $1.26, up 1.61% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $88.09 billion, up 5.68% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.11 per share and revenue of $392.28 billion. These totals would mark changes of +8.91% and +7.23%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Apple. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% higher. Apple is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Apple's current valuation metrics, including its Forward P/E ratio of 25.2. For comparison, its industry has an average Forward P/E of 6.6, which means Apple is trading at a premium to the group.
Also, we should mention that AAPL has a PEG ratio of 1.99. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Mini computers industry currently had an average PEG ratio of 2.41 as of yesterday's close.
The Computer - Mini computers industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 181, which puts it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Apple Inc. (AAPL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple (AAPL) closed the most recent trading day at $155.43, moving +1.03% from the previous trading session. Also, we should mention that AAPL has a PEG ratio of 1.99. Apple Inc. (AAPL): Free Stock Analysis Report
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Apple (AAPL) closed the most recent trading day at $155.43, moving +1.03% from the previous trading session. Also, we should mention that AAPL has a PEG ratio of 1.99. Apple Inc. (AAPL): Free Stock Analysis Report
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Apple (AAPL) closed the most recent trading day at $155.43, moving +1.03% from the previous trading session. Also, we should mention that AAPL has a PEG ratio of 1.99. Apple Inc. (AAPL): Free Stock Analysis Report
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Apple (AAPL) closed the most recent trading day at $155.43, moving +1.03% from the previous trading session. Also, we should mention that AAPL has a PEG ratio of 1.99. Apple Inc. (AAPL): Free Stock Analysis Report
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2022-09-14 00:00:00 UTC
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7 Dividend Stocks to Buy and Hold Forever
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AAPL
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https://www.nasdaq.com/articles/7-dividend-stocks-to-buy-and-hold-forever-1
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
If you’re looking for dividend stocks to buy and hold forever, a good place to start is companies that have done an excellent job increasing their dividends and are expected to keep doing so in the future.
While the first place to look for such names should logically be a list of S&P 500 Dividend Aristocrats, I widened the search to the S&P 1500. That way, I had three times more stocks to choose from, giving me a much better chance of finding special dividend stocks that deliver income and capital appreciation.
From Dec. 31, 1999, to Dec. 31, 2018, the average S&P 1500 stock had a dividend yield of 1.8%. All of the stocks included in this column have yields that meet or exceed that level. In addition, all of the companies have solid balance sheets.
To make things even more interesting, I’ll select only the stocks of companies whose net debt is less than $5 billion.
I’m confident that, after five years, these dividend stocks to buy and hold forever will be very profitable for investors who purchase them now.
CSCO Cisco Systems $43.96
TROW T. Rowe Price Group $115.22
RHI Robert Half International $78.70
GRMN Garmin $88.37
JNJ Johnson & Johnson $164.69
OMC Omnicom Group $68.17
MED Medifast $120.89
Cisco Systems (CSCO)
Source: Valeriya Zankovych / Shutterstock.com
Cisco Systems (NASDAQ:CSCO) currently has a 3.4% dividend yield and net cash of $10.35 billion.
I included Cisco in my recent column called the “7 Tech Stocks to Buy With Superior Fundamentals.” Not only did Cisco deliver better-than-expected fiscal Q4 earnings recently, but it also provided optimistic guidance for fiscal 2023. As I said in my previous article, the company’s free cash flow (FCF) yield is approximately 7.3%. I consider any stock with a FCF yield above 8% to be a value name.
CSCO has Remaining Performance Obligations of over $31 billion. That’s almost three-quarters of its revenue. In the meantime, I’m sure that Cisco will find plenty of new business.
Cisco continues to transform its business from hardware-focused to software subscriptions. The tech firm’s shares might not look like they’re delivering the goods in the near term. However, its FCF generation says otherwise.
Cisco must be at the top of your list if you’re a buy-and-hold, dividend investor.
T. Rowe Price Group (TROW)
Source: Pavel Kapysh / Shutterstock.com
T. Rowe Price Group (NASDAQ:TROW) is in the financial sector. It currently has a 4.1% dividend yield and net cash of $4.68 billion.
Asset managers like T. Rowe Price have seen their assets under management (AUM) drop considerably in 2022. At the end of 2021, TROW had AUM of $1.69 trillion. At the end of August, its AUM had sunk by 20.7% to $1.34 trillion, primarily as a result of the current bear market. But if you’re a dividend investor, that shouldn’t scare you away from the company.
T. Rowe Price has increased its dividend for 35 consecutive years. Over the past decade, its average yearly dividend increase has been a respectable 13%. In July 2021, it even offered a special dividend of $3 per share, paying out a total of $7.32 per share for the entire year. TROW raised its quarterly dividend in March by 12 cents to $1.20. Its annualized payout of $4.80 translates to a high, current dividend yield of 4.1%.
The best part about TROW stock is that its dividend yield is excellent and its shares tend to climb relatively rapidly. Over the past five years, it has had an annualized total return of 11.35%, roughly in-line with the total return of the entire U.S. market.
Robert Half International (RHI)
Robert Half International (NYSE:RHI) is a recruiting firm. As of the end of Q2, it had a 2.2% dividend yield and net cash of $590.1 million.
Another InvestorPlace columnist, Josh Enomoto, recommended that investors consider buying RHI because many workers who participated in the Great Resignation are now regretting the decision and have become eager to return to work. Robert Half, one of the world’s leading staffing companies, would benefit from this change.
In the company’s most recent earnings report, Robert Half’s earnings climbed 18% higher than the same period a year earlier to $176 million, while its revenues increased 17.8% YOY to $1.86 billion.
“Talent solutions led the way with permanent placement and contract talent solutions growing 39 percent and 19 percent, respectively, on a year-over-year basis. Core Protiviti solutions also remained strong. Return on invested capital for the Company was 48 percent in the second quarter,” stated CEO Keith Waddell on July 21.
I’m interested in Robert Half for two reasons: First, it operates in an industry that never goes out of style. That’s because staffing has become increasingly difficult for companies of all sizes.
Moreover, RHI’s services should remain in demand as America’s population ages. And over the past 12 months, Robert Half generated an FCF of $620 million. Its current FCF yield of 7% verges on value territory.
Garmin (GRMN)
Source: Karolis Kavolelis / Shutterstock.com
Garmin (NYSE:GRMN) develops various wireless devices, including fitness watches and watches that are geared to various types of sports. It currently has a 3.3% dividend yield and net cash of $1.61 billion.
Verdict recently published a third-party review of Apple’s (NASDAQ:AAPL) Watch Ultra. While the website liked aspects of the firm’s new watch which is made for athletes and adventurers, Verdict didn’t think that Apple’s product was as good as Garmin’s offerings.
“Most importantly, however, some Garmin Adventure Watches offer battery lives that can last weeks while also offering cutting-edge features that athletes and adventurers want. In contrast, the Watch Ultra has a battery life of a measly 36 hours,” wrote GlobalData Technology.
When it comes to GPS technology, Garmin is a global leader. Its fitness and outdoor products generate 57% of the company’s annual revenue and 70% of its operating income.
Good things will continue to happen for the owners of GRMN stock if the company keeps spending heavily on research and development. In Q3, it expects to spend $201.5 million on R&D, representing 16.2% of its revenue and an 8% YOY increase.
Over the past five years, Garmin’s stock has generated an annualized total return of 15.% That’s 3.05 percentage points higher than the annualized return of the entire U.S. stock market.
Johnson & Johnson (JNJ)
Source: Sundry Photography / Shutterstock.com
Johnson & Johnson (NYSE:JNJ) currently has a 2.8% dividend yield and, as of the end of Q2, it had net debt of just $30 million.
In January, J&J announced that its long-time CEO, Alex Gorsky, had given up that role and had become its Executive Chairman. Joaquin Duato, the company’s Vice Chairman of the Executive Committee, became the new CEO. All told, Duato has spent 30 years at the company, previously serving as Worldwide Chairman of its therapeutics unit and the head of its Covid-19 response.
In his new role, Duato hopes “to harness data science and intelligent automation for insight generation.”
Johnson and Johnson remains one of the world’s biggest healthcare companies. The need for its products won’t disappear because Gorsky is no longer CEO.
Who knows? Maybe Duato can do a better job delivering value for shareholders. In the meantime, get paid 2.8% annually to find out.
Omnicom Group (OMC)
Source: VectorKnight/shutterstock.com
Omnicom Group (NYSE:OMC) is the umbrella holding company for many global advertising and corporate communications agencies.. It currently has a 4% dividend yield and net debt of $2.24 billion
Omnicom’s brands include BBDO, TBWA, and the Omnicom Media Group.
The company’s business has been good, if not spectacular, this year, as its revenue was flat YOY versus Q2 of 2021. However, excluding acquisitions, it generated 11.3% YOY growth, with all its operating segments reporting healthy revenue increases.
Over the past three fiscal years, Omnicom has generated an average FCF of $1.56 billion. That equates to a FCF yield of 10.8%.
OMC stock is cheap, in my estimation, given its consistent FCF generation.
Medifast (MED)
Source: Shutterstock
Medifast (NYSE:MED) markets weight-loss products. It has a 5.3% dividend yield and net cash of $34.1 million.
Over the past ten years, MED stock provided an annualized total return of 18.3%, nearly one-third higher than the average of the entire U.S. market and significantly better than JNJ stock.
Its asset-light business model has enabled it to constantly generate decent free cash flow. In the past three fiscal years, Medifast’s average annual FCF was $108.0 million. Based on a market capitalization of $1.38 billion, that equates to an attractive FCF yield of 7.8%.
Only two analysts cover Medifast stock. One has a “buy” rating on it, while the other has a “hold” rating on the shares. The analyst who rates it a “hold” has a target price of $150, versus its current level of $120.
On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Will Ashworth has written about investments full-time since 2008. Publications where he’s appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. He particularly enjoys creating model portfolios that stand the test of time. He lives in Halifax, Nova Scotia.
The post 7 Dividend Stocks to Buy and Hold Forever appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Verdict recently published a third-party review of Apple’s (NASDAQ:AAPL) Watch Ultra. Another InvestorPlace columnist, Josh Enomoto, recommended that investors consider buying RHI because many workers who participated in the Great Resignation are now regretting the decision and have become eager to return to work. While the website liked aspects of the firm’s new watch which is made for athletes and adventurers, Verdict didn’t think that Apple’s product was as good as Garmin’s offerings.
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Verdict recently published a third-party review of Apple’s (NASDAQ:AAPL) Watch Ultra. CSCO Cisco Systems $43.96 TROW T. Rowe Price Group $115.22 RHI Robert Half International $78.70 GRMN Garmin $88.37 JNJ Johnson & Johnson $164.69 OMC Omnicom Group $68.17 MED Medifast $120.89 Cisco Systems (CSCO) Source: Valeriya Zankovych / Shutterstock.com Cisco Systems (NASDAQ:CSCO) currently has a 3.4% dividend yield and net cash of $10.35 billion. T. Rowe Price Group (TROW) Source: Pavel Kapysh / Shutterstock.com T. Rowe Price Group (NASDAQ:TROW) is in the financial sector.
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Verdict recently published a third-party review of Apple’s (NASDAQ:AAPL) Watch Ultra. InvestorPlace - Stock Market News, Stock Advice & Trading Tips If you’re looking for dividend stocks to buy and hold forever, a good place to start is companies that have done an excellent job increasing their dividends and are expected to keep doing so in the future. CSCO Cisco Systems $43.96 TROW T. Rowe Price Group $115.22 RHI Robert Half International $78.70 GRMN Garmin $88.37 JNJ Johnson & Johnson $164.69 OMC Omnicom Group $68.17 MED Medifast $120.89 Cisco Systems (CSCO) Source: Valeriya Zankovych / Shutterstock.com Cisco Systems (NASDAQ:CSCO) currently has a 3.4% dividend yield and net cash of $10.35 billion.
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Verdict recently published a third-party review of Apple’s (NASDAQ:AAPL) Watch Ultra. From Dec. 31, 1999, to Dec. 31, 2018, the average S&P 1500 stock had a dividend yield of 1.8%. CSCO Cisco Systems $43.96 TROW T. Rowe Price Group $115.22 RHI Robert Half International $78.70 GRMN Garmin $88.37 JNJ Johnson & Johnson $164.69 OMC Omnicom Group $68.17 MED Medifast $120.89 Cisco Systems (CSCO) Source: Valeriya Zankovych / Shutterstock.com Cisco Systems (NASDAQ:CSCO) currently has a 3.4% dividend yield and net cash of $10.35 billion.
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2022-09-14 00:00:00 UTC
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Comcast (CMCSA) Partners With City of Tacoma for Project UP
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AAPL
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https://www.nasdaq.com/articles/comcast-cmcsa-partners-with-city-of-tacoma-for-project-up
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nan
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Comcast CMCSA recently announced that it is partnering with the City of Tacoma to advance digital equity in the region of South Puget Sound, as part of its Project UP.
Project UP is Comcast’s mission of investing $1 billion in various initiatives to reach tens of millions of people over the next 10 years to provide them with the skills, resources and opportunities needed to succeed in a digital world.
The company will be investing $300K into four different organizations whose mission of promoting digital equity is aligned with the company’s plans.
The Thrive Tacoma Business Fund (which will be awarded $150K from Comcast’s contribution) will extend support to small business owners from racial minority groups who have been impacted by the pandemic.
The Boys & Girls Clubs of South Puget Sound (awarded $50K from Comcast’s contribution) is a nonprofit organization that works toward providing education and enhancing programs to young people to bring out their potential.
Goodwill of the Olympics & Rainier Region (will be receiving $50K) will be working on increasing access to digital technology and providing free job training programs for people across its 15-county region.
TeamWrk (which will also receive $50K) will be distributing computers donated by Comcast to the teens to help them learn to use Teams, Zoom, and PowerPoint; create and edit podcasts, graphics, and video content; and learn other digital skills that support their school and career.
Project Up helps Comcast to expand its digital footprint in inaccessible parts of America. The program helps Comcast in addressing the needs of small and medium-sized business owners in these regions.
Comcast Expands Business Operations
The company is undertaking numerous initiatives to boost its prospects. It has started to work on making a network transition to DOCSIS 4.0 technology that will help it to expand much faster and at a lower cost compared to competitors in the broadband space.
Comcast Corporation Price and Consensus
Comcast Corporation price-consensus-chart | Comcast Corporation Quote
Comcast’s second-quarter 2022 results reflected slowing broadband user base addition, primarily due to the reversal of pandemic trends and increased competition.
Comcast’s Xfinity Mobile brand combines the nation’s largest and most reliable 4G LTE network with 19 million Xfinity Wi-Fi hotspots. This promises to deliver a great wireless experience, which can save up to 30% on the monthly wireless bills of customers with Xfinity Mobile service.
This Zacks Rank #3 (Hold) company added 317K wireless lines in the second quarter of 2022, causing wireless revenues to increase 30% to $722 million. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Comcast’s division NBCUniversal’s streaming service, Peacock is gaining significant traction due to its availability on Xfinity with X1 and Flex and is expected to aid growth even further through its original content from WWE and the NFL.
However, Comcast continues to face customer loss in the video segment where it is facing stiff competition from the likes of Netflix NFLX, Disney DIS and Apple AAPL.
Video revenues decreased 2.4% year over year to $5.42 billion in the second quarter of 2022, owing to continued cord-cutting.
Netflix and Disney+ are set to bring a cheaper ad-supported tier to attract new users. Apple TV+, at a much affordable $4.99, is benefiting from quality content with its strong portfolio of original shows and movies. This is further expected to increase competition for Comcast’s Peacock and video businesses.
However, Peacock is well poised to grow, owing to its vast library of IPs and new productions. Comcast is also planning to leverage Sky’s brand and scale to expand Peacock’s footprint internationally.
The upcoming launch of the Comcast-Paramount Global joint venture, SkyShowtime, in the Nordic countries of Denmark, Finland, Norway and Sweden is noteworthy. SkyShowtime promises solid content with thousands of hours of quality entertainment including the exclusive television premieres of first-run theatrical films from Paramount’s studios, Paramount Pictures and Universal Pictures.
Additionally, SkyShowtime will feature new premium scripted series, kids and family content as well as titles from the content library of Universal Pictures, Paramount Pictures, Nickelodeon, DreamWorks Animation, Paramount+, SHOWTIME, Sky Studios and Peacock.
Additionally, recovery in the park and movie business bodes well for Comcast’s profitability in the long haul.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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However, Comcast continues to face customer loss in the video segment where it is facing stiff competition from the likes of Netflix NFLX, Disney DIS and Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report Project UP is Comcast’s mission of investing $1 billion in various initiatives to reach tens of millions of people over the next 10 years to provide them with the skills, resources and opportunities needed to succeed in a digital world.
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However, Comcast continues to face customer loss in the video segment where it is facing stiff competition from the likes of Netflix NFLX, Disney DIS and Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report Comcast Corporation Price and Consensus Comcast Corporation price-consensus-chart | Comcast Corporation Quote Comcast’s second-quarter 2022 results reflected slowing broadband user base addition, primarily due to the reversal of pandemic trends and increased competition.
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However, Comcast continues to face customer loss in the video segment where it is facing stiff competition from the likes of Netflix NFLX, Disney DIS and Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report Project UP is Comcast’s mission of investing $1 billion in various initiatives to reach tens of millions of people over the next 10 years to provide them with the skills, resources and opportunities needed to succeed in a digital world.
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However, Comcast continues to face customer loss in the video segment where it is facing stiff competition from the likes of Netflix NFLX, Disney DIS and Apple AAPL. Apple Inc. (AAPL): Free Stock Analysis Report Goodwill of the Olympics & Rainier Region (will be receiving $50K) will be working on increasing access to digital technology and providing free job training programs for people across its 15-county region.
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19346.0
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2022-09-14 00:00:00 UTC
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ANALYSIS-Google's court setback is good news for landmark EU tech rules
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AAPL
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https://www.nasdaq.com/articles/analysis-googles-court-setback-is-good-news-for-landmark-eu-tech-rules
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nan
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nan
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By Foo Yun Chee
LUXEMBOURG, Sept 14 (Reuters) - Google's GOOGL.O court defeat on Wednesday is set to strengthen EU antitrust regulators' hand against Big Tech as they roll out landmark rules next year to rein in their powers and force them to play fair with rivals.
Critics and rivals of Alphabet unit Google, Amazon AMZN.O, Apple AAPL.O and Meta META.O fear the deep-pocketed tech giants may challenge the new rules known as the Digital Markets Act (DMA) in court, tying up regulators and jamming the process.
The DMA sets out a list of dos and don'ts for gatekeepers, companies that control data and access to their platforms, targeting U.S. tech giants' core businesses and practices which regulators say are aimed at reinforcing their dominance.
To make it easy for users to switch to rivals, the companies will have to allow users to remove pre-installed apps, change default settings, install third-party apps and app stores and unsubscribe from core platform services.
Smaller competitors will be allowed to inter-operate with the dominant company's own services and promote their offers and conclude contracts with their customers outside the gatekeeper's platform.
Under the rules, gatekeepers are banned from using the data of business users with whom they compete, unfairly rank their services and products above rivals, or require apps developers to use their payment systems.
"The judgment strengthens the hand of the Commission. It confirms the Commission can use antitrust proceedings as a backstop threat to enforce rapid compliance with digital regulation also known as the DMA," said Nicolas Petit, professor at European University Institute.
A two-pronged approach will help regulators, said Thomas Hoppner, a partner at law firm Hausfeld.
"Without effective antitrust enforcement and targeted legislation, Google's core platforms will remain unassailable and a major source of distortions of the competitive process online. This case was just the beginning, but a very important first step," he said.
EU lawmaker Andreas Schwab said the judgment underscores the rationale for the DMA.
"Although this judgment comes many years late, I welcome the decision of the General Court that today confirms the need to ban such practices through specific ex ante obligations," he said.
"This is the second strike that Google has received almost a year after its sister judgment on the Google Shopping case, and on the same day that the DMA Regulation is officially signed, we can definitely declare 'game over'," Schwab said.
The Commission should take note of the court's disagreement with its argument on one point, said Ioannis Kokkoris, professor at Queen Mary University of London.
"The reasoning behind annulling part of the decision is based on the evidence submitted and the AEC (as efficient competitor) test while the Court explicitly accepts the conduct being abusive in itself," he said.
An AEC test allows regulators to examine a dominant company's costs and sales prices to see whether it is charging below-cost prices.
"This will be a good lesson on the quality of assessment the Commission will need to conduct in enforcing the DMA when it comes to investigating exclusivity conducts in pre-installation cases," he said.
Google loses challenge against EU antitrust decision, other probes loomID:nL1N30L0E1
TIMELINE-Google's long battle with EU antitrust regulatorsID:nL8N30D2DS
(Reporting by Foo Yun Chee; editing by David Evans)
((foo.yunchee@thomsonreuters.com; +32 2 287 6844; Reuters Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Critics and rivals of Alphabet unit Google, Amazon AMZN.O, Apple AAPL.O and Meta META.O fear the deep-pocketed tech giants may challenge the new rules known as the Digital Markets Act (DMA) in court, tying up regulators and jamming the process. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Google's GOOGL.O court defeat on Wednesday is set to strengthen EU antitrust regulators' hand against Big Tech as they roll out landmark rules next year to rein in their powers and force them to play fair with rivals. The DMA sets out a list of dos and don'ts for gatekeepers, companies that control data and access to their platforms, targeting U.S. tech giants' core businesses and practices which regulators say are aimed at reinforcing their dominance.
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Critics and rivals of Alphabet unit Google, Amazon AMZN.O, Apple AAPL.O and Meta META.O fear the deep-pocketed tech giants may challenge the new rules known as the Digital Markets Act (DMA) in court, tying up regulators and jamming the process. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Google's GOOGL.O court defeat on Wednesday is set to strengthen EU antitrust regulators' hand against Big Tech as they roll out landmark rules next year to rein in their powers and force them to play fair with rivals. The DMA sets out a list of dos and don'ts for gatekeepers, companies that control data and access to their platforms, targeting U.S. tech giants' core businesses and practices which regulators say are aimed at reinforcing their dominance.
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Critics and rivals of Alphabet unit Google, Amazon AMZN.O, Apple AAPL.O and Meta META.O fear the deep-pocketed tech giants may challenge the new rules known as the Digital Markets Act (DMA) in court, tying up regulators and jamming the process. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Google's GOOGL.O court defeat on Wednesday is set to strengthen EU antitrust regulators' hand against Big Tech as they roll out landmark rules next year to rein in their powers and force them to play fair with rivals. The DMA sets out a list of dos and don'ts for gatekeepers, companies that control data and access to their platforms, targeting U.S. tech giants' core businesses and practices which regulators say are aimed at reinforcing their dominance.
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Critics and rivals of Alphabet unit Google, Amazon AMZN.O, Apple AAPL.O and Meta META.O fear the deep-pocketed tech giants may challenge the new rules known as the Digital Markets Act (DMA) in court, tying up regulators and jamming the process. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Google's GOOGL.O court defeat on Wednesday is set to strengthen EU antitrust regulators' hand against Big Tech as they roll out landmark rules next year to rein in their powers and force them to play fair with rivals. The DMA sets out a list of dos and don'ts for gatekeepers, companies that control data and access to their platforms, targeting U.S. tech giants' core businesses and practices which regulators say are aimed at reinforcing their dominance.
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19347.0
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2022-09-14 00:00:00 UTC
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Why Apple Stock Popped Wednesday Morning
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AAPL
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https://www.nasdaq.com/articles/why-apple-stock-popped-wednesday-morning
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nan
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nan
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What happened
Shares of Apple (NASDAQ: AAPL) climbed higher Wednesday, adding as much as 2.1%. As of 1:14 p.m. ET, the stock was still up 1%.
Strong presale data for the iPhone 14 no doubt boosted the stock, but not everyone is convinced. One Wall Street analyst is suggesting that the tech giant's iPhone revenue will actually be lower in fiscal 2023, curtailing the stock's gains.
So what
Apple investors have been flooded with reports of strong iPhone 14 presales, which have historically been a good indicator of continuing consumer demand for the device. Earlier this week, numerous analysts read the digital tea leaves and concluded that strong pre-order data suggests resilient demand for the iPhone, even in the face of macroeconomic headwinds.
Just yesterday, Evercore ISI analyst Amit Daryanani was the latest to jump on the bandwagon, suggesting that longer lead times pointed to robust demand for the latest version of Apple's flagship device, according to The Fly. He was particularly bullish regarding strong user interest in the iPhone 14 Pro, Pro Max, and Plus, the higher-priced models.
But not everyone is convinced. Bernstein analyst Toni Sacconaghi is generally more cautious about Apple's prospects. The analyst suggested iPhone revenue could fall between 3% and 4% next year, a far cry from analysts' consensus estimates, which are calling for an increase of 2%. Sacconaghi worries that after two years of strong sales, upgrade adoption will slow and the remaining buyers will opt for lower-priced devices. It's worth noting that the analyst has a market perform (hold) rating and a price target of $170, which still suggests gains of 11% for investors over the coming year.
Now what
It's important to remember that this is mostly just "fun with numbers." No one knows for sure how many iPhones Apple will sell in a given year or what the product mix will be.
That said, Apple reached an important new milestone in the second quarter, with the iPhone accounting for more than 50% of all smartphones used in the U.S., overtaking Alphabet's Android for the first time.
Given its increasing share, continuing strong demand, and dominance of the high-end smartphone market, Apple stock remains a buy.
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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Danny Vena has positions in Alphabet (A shares) and Apple. The Motley Fool has positions in and recommends Alphabet (A shares), Alphabet (C shares), and Apple. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What happened Shares of Apple (NASDAQ: AAPL) climbed higher Wednesday, adding as much as 2.1%. So what Apple investors have been flooded with reports of strong iPhone 14 presales, which have historically been a good indicator of continuing consumer demand for the device. Earlier this week, numerous analysts read the digital tea leaves and concluded that strong pre-order data suggests resilient demand for the iPhone, even in the face of macroeconomic headwinds.
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What happened Shares of Apple (NASDAQ: AAPL) climbed higher Wednesday, adding as much as 2.1%. The analyst suggested iPhone revenue could fall between 3% and 4% next year, a far cry from analysts' consensus estimates, which are calling for an increase of 2%. Given its increasing share, continuing strong demand, and dominance of the high-end smartphone market, Apple stock remains a buy.
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What happened Shares of Apple (NASDAQ: AAPL) climbed higher Wednesday, adding as much as 2.1%. Given its increasing share, continuing strong demand, and dominance of the high-end smartphone market, Apple stock remains a buy. 10 stocks we like better than Apple When our award-winning analyst team has a stock tip, it can pay to listen.
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What happened Shares of Apple (NASDAQ: AAPL) climbed higher Wednesday, adding as much as 2.1%. ET, the stock was still up 1%. Given its increasing share, continuing strong demand, and dominance of the high-end smartphone market, Apple stock remains a buy.
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19348.0
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2022-09-14 00:00:00 UTC
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US STOCKS-Wall Street rebounds after selloff on rate hike worries
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-rebounds-after-selloff-on-rate-hike-worries
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nan
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nan
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By Devik Jain and Sruthi Shankar
Sept 14 (Reuters) - U.S. stock indexes rose on Wednesday as investors scooped up beaten-down energy and technology shares following a sharp selloff in the previous session on worries about steep interest rate hikes by the Federal Reserve to curb surging prices.
Five of the 11 major S&P sectors were higher, led by a 3.2% jump in the energy sector .SPNY as oil prices rebounded nearly 2% on supply concerns. O/R
Shares of technology and growth companies such as Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O gained between 0.9% and 1.3% after leading declines on Tuesday.
The three major indexes on Tuesday posted their biggest one-day percentage declines since June 2020, as the consumer price report cemented bets that the U.S. central bank will go ahead with its third straight 75-basis-point increase in rates next week.
Wednesday's inflation data was more benign, showing producer prices declined for a second straight month in August as gasoline prices fell further, but was not enough for investors to reconsider the Fed's aggressive stance.
Markets are pricing in a 37% chance of a massive 100 bps increase by the Fed, and expects rates to peak at 4.34% by March 2023. FEDWATCH
"It's plausible if not probable. At the same time, I believe and hope that the Fed is also going to be judicious with regard to how aggressive it is in light of the fact that the economy is slowing," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia.
"From here, it is a matter of whether we can get a ricochet bounce or what we're seeing now is just simply some sellers covering. It will be premature to say that the close we had after yesterday's carnage in equity markets was necessarily the bottom."
Stocks had rallied ahead of the inflation data with the S&P 500 managing to hold the 3,900 level, seen as a significant technical support by analysts, as easing commodity prices, especially oil, raised hopes the Fed would scale back its aggressive policy tightening.
Growing expectations of a more hawkish Fed are an unwanted development for a market already contending with worries that the central bank's efforts to tame inflation could tip the economy into a recession.
September, which is a seasonally weak period for markets, will also see the Fed ramp up the unwinding of its balance sheet to $95 billion per month, a move some investors fear may add to volatility in markets and weigh on the economy.
At 11:59 a.m. ET, the Dow Jones Industrial Average .DJI was up 89.14 points, or 0.29%, at 31,194.11, the S&P 500 .SPX was up 15.84 points, or 0.40%, at 3,948.53, and the Nasdaq Composite .IXIC was up 83.29 points, or 0.72%, at 11,716.87.
The CBOE volatility index .VIX, also known as Wall Street's fear gauge, fell to 26.53 points, after hitting a two-month high in the previous session.
Meanwhile, focus was also on talks in Washington with freight railroad and union officials aimed at heading off a rail shutdown looming as early as Friday that could disrupt cargo shipments, impede food and fuel supplies and add to inflation woes.
Shares of U.S. railroad operators Norfolk Southern NSC.N, CSX Corp CSX.O and Union Pacific Corp UNP.N were down between 2.6% and 4.9%.
Starbucks Corp SBUX.O jumped 6% after the coffee chain lifted its three-year profit and sales outlook.
Advancing issues outnumbered decliners by a 1.23-to-1 ratio on the NYSE and by a 1.22-to-1 ratio on the Nasdaq.
The S&P index recorded two new 52-week highs and 28 new lows, while the Nasdaq recorded 17 new highs and 163 new lows.
(Reporting by Ankika Biswas, Devik Jain and Sruthi Shankar in Bangalore; Editing by Sriraj Kalluvila, Shounak Dasgupta and Maju Samuel)
((Ankika.Biswas@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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O/R Shares of technology and growth companies such as Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O gained between 0.9% and 1.3% after leading declines on Tuesday. By Devik Jain and Sruthi Shankar Sept 14 (Reuters) - U.S. stock indexes rose on Wednesday as investors scooped up beaten-down energy and technology shares following a sharp selloff in the previous session on worries about steep interest rate hikes by the Federal Reserve to curb surging prices. Stocks had rallied ahead of the inflation data with the S&P 500 managing to hold the 3,900 level, seen as a significant technical support by analysts, as easing commodity prices, especially oil, raised hopes the Fed would scale back its aggressive policy tightening.
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O/R Shares of technology and growth companies such as Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O gained between 0.9% and 1.3% after leading declines on Tuesday. By Devik Jain and Sruthi Shankar Sept 14 (Reuters) - U.S. stock indexes rose on Wednesday as investors scooped up beaten-down energy and technology shares following a sharp selloff in the previous session on worries about steep interest rate hikes by the Federal Reserve to curb surging prices. Five of the 11 major S&P sectors were higher, led by a 3.2% jump in the energy sector .SPNY as oil prices rebounded nearly 2% on supply concerns.
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O/R Shares of technology and growth companies such as Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O gained between 0.9% and 1.3% after leading declines on Tuesday. By Devik Jain and Sruthi Shankar Sept 14 (Reuters) - U.S. stock indexes rose on Wednesday as investors scooped up beaten-down energy and technology shares following a sharp selloff in the previous session on worries about steep interest rate hikes by the Federal Reserve to curb surging prices. The three major indexes on Tuesday posted their biggest one-day percentage declines since June 2020, as the consumer price report cemented bets that the U.S. central bank will go ahead with its third straight 75-basis-point increase in rates next week.
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O/R Shares of technology and growth companies such as Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O gained between 0.9% and 1.3% after leading declines on Tuesday. By Devik Jain and Sruthi Shankar Sept 14 (Reuters) - U.S. stock indexes rose on Wednesday as investors scooped up beaten-down energy and technology shares following a sharp selloff in the previous session on worries about steep interest rate hikes by the Federal Reserve to curb surging prices. Wednesday's inflation data was more benign, showing producer prices declined for a second straight month in August as gasoline prices fell further, but was not enough for investors to reconsider the Fed's aggressive stance.
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19349.0
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2022-09-14 00:00:00 UTC
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Noteworthy ETF Outflows: QQQ, AAPL, MSFT, META
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AAPL
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https://www.nasdaq.com/articles/noteworthy-etf-outflows%3A-qqq-aapl-msft-meta
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nan
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nan
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Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Invesco QQQ (Symbol: QQQ) where we have detected an approximate $1.5 billion dollar outflow -- that's a 0.9% decrease week over week (from 550,000,000 to 545,000,000). Among the largest underlying components of QQQ, in trading today Apple Inc (Symbol: AAPL) is up about 0.8%, Microsoft Corporation (Symbol: MSFT) is down about 0.3%, and Meta Platforms Inc (Symbol: META) is lower by about 2.6%. For a complete list of holdings, visit the QQQ Holdings page » The chart below shows the one year price performance of QQQ, versus its 200 day moving average:
Looking at the chart above, QQQ's low point in its 52 week range is $269.28 per share, with $408.71 as the 52 week high point — that compares with a last trade of $293.29. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs experienced notable outflows »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Among the largest underlying components of QQQ, in trading today Apple Inc (Symbol: AAPL) is up about 0.8%, Microsoft Corporation (Symbol: MSFT) is down about 0.3%, and Meta Platforms Inc (Symbol: META) is lower by about 2.6%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Invesco QQQ (Symbol: QQQ) where we have detected an approximate $1.5 billion dollar outflow -- that's a 0.9% decrease week over week (from 550,000,000 to 545,000,000). These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand.
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Among the largest underlying components of QQQ, in trading today Apple Inc (Symbol: AAPL) is up about 0.8%, Microsoft Corporation (Symbol: MSFT) is down about 0.3%, and Meta Platforms Inc (Symbol: META) is lower by about 2.6%. For a complete list of holdings, visit the QQQ Holdings page » The chart below shows the one year price performance of QQQ, versus its 200 day moving average: Looking at the chart above, QQQ's low point in its 52 week range is $269.28 per share, with $408.71 as the 52 week high point — that compares with a last trade of $293.29. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed).
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Among the largest underlying components of QQQ, in trading today Apple Inc (Symbol: AAPL) is up about 0.8%, Microsoft Corporation (Symbol: MSFT) is down about 0.3%, and Meta Platforms Inc (Symbol: META) is lower by about 2.6%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Invesco QQQ (Symbol: QQQ) where we have detected an approximate $1.5 billion dollar outflow -- that's a 0.9% decrease week over week (from 550,000,000 to 545,000,000). For a complete list of holdings, visit the QQQ Holdings page » The chart below shows the one year price performance of QQQ, versus its 200 day moving average: Looking at the chart above, QQQ's low point in its 52 week range is $269.28 per share, with $408.71 as the 52 week high point — that compares with a last trade of $293.29.
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Among the largest underlying components of QQQ, in trading today Apple Inc (Symbol: AAPL) is up about 0.8%, Microsoft Corporation (Symbol: MSFT) is down about 0.3%, and Meta Platforms Inc (Symbol: META) is lower by about 2.6%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Invesco QQQ (Symbol: QQQ) where we have detected an approximate $1.5 billion dollar outflow -- that's a 0.9% decrease week over week (from 550,000,000 to 545,000,000). For a complete list of holdings, visit the QQQ Holdings page » The chart below shows the one year price performance of QQQ, versus its 200 day moving average: Looking at the chart above, QQQ's low point in its 52 week range is $269.28 per share, with $408.71 as the 52 week high point — that compares with a last trade of $293.29.
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19350.0
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2022-09-14 00:00:00 UTC
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Wednesday's ETF with Unusual Volume: FCTR
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AAPL
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https://www.nasdaq.com/articles/wednesdays-etf-with-unusual-volume%3A-fctr-0
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nan
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nan
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The First Trust Lunt U.S. Factor Rotation ETF is seeing unusually high volume in afternoon trading Wednesday, with over 207,000 shares traded versus three month average volume of about 76,000. Shares of FCTR were up about 0.6% on the day.
Components of that ETF with the highest volume on Wednesday were Apple, trading up about 1.2% with over 43.3 million shares changing hands so far this session, and Nvidia, down about 0.5% on volume of over 31.6 million shares. Twilio is the component faring the best Wednesday, higher by about 10.5% on the day, while Nucor is lagging other components of the First Trust Lunt U.S. Factor Rotation ETF, trading lower by about 9.6%.
VIDEO: Wednesday's ETF with Unusual Volume: FCTR
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Factor Rotation ETF is seeing unusually high volume in afternoon trading Wednesday, with over 207,000 shares traded versus three month average volume of about 76,000. Components of that ETF with the highest volume on Wednesday were Apple, trading up about 1.2% with over 43.3 million shares changing hands so far this session, and Nvidia, down about 0.5% on volume of over 31.6 million shares. VIDEO: Wednesday's ETF with Unusual Volume: FCTR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Factor Rotation ETF is seeing unusually high volume in afternoon trading Wednesday, with over 207,000 shares traded versus three month average volume of about 76,000. Factor Rotation ETF, trading lower by about 9.6%. VIDEO: Wednesday's ETF with Unusual Volume: FCTR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Factor Rotation ETF is seeing unusually high volume in afternoon trading Wednesday, with over 207,000 shares traded versus three month average volume of about 76,000. Components of that ETF with the highest volume on Wednesday were Apple, trading up about 1.2% with over 43.3 million shares changing hands so far this session, and Nvidia, down about 0.5% on volume of over 31.6 million shares. VIDEO: Wednesday's ETF with Unusual Volume: FCTR The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Factor Rotation ETF is seeing unusually high volume in afternoon trading Wednesday, with over 207,000 shares traded versus three month average volume of about 76,000. Shares of FCTR were up about 0.6% on the day. Twilio is the component faring the best Wednesday, higher by about 10.5% on the day, while Nucor is lagging other components of the First Trust Lunt U.S.
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19351.0
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2022-09-14 00:00:00 UTC
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US STOCKS-Futures slip after rout on Wall Street
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AAPL
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https://www.nasdaq.com/articles/us-stocks-futures-slip-after-rout-on-wall-street
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nan
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nan
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By Ankika Biswas and Devik Jain
Sept 14 (Reuters) - U.S. stock index futures slipped on Wednesday after a sharp selloff on Wall Street in the previous session on rate hike jitters, while investors waited for more inflation data for cues on the pace of monetary policy tightening.
The three major U.S. stock indexes on Tuesday notched their biggest one-day percentage declines since June 2020 after an unexpectedly hot consumer price index report cemented bets that the Federal Reserve would go ahead with the third straight 75 basis points increase in rates next week.
Markets are currently pricing in a 37% chance of a massive 100 bps increase by the central bank, a view echoed by analysts at Nomura, and expects rates to peak at 4.34% by March 2023. FEDWATCH
"The equity markets are presently in no-man's land. Any better macro news to support earnings (ISMs, Jobs) is discounted as the need for further tightening to quash growth, while CPI prints are not declining fast enough – further evidence that the Fed is behind the curve," Sean Darby, global equity strategist at Jefferies wrote in a note.
"The June lows have not been broken... although our inclination is still towards a 'profit or growth recession'."
Stocks had rallied ahead of the inflation data as easing commodity prices, especially oil, had raised hopes the Fed would scale back its aggressive policy tightening even as policymakers reiterated their determination to bring inflation to their 2% target through rate hikes.
Focus turns to producer price index data due at 08:30 a.m. ET, which is seen decelerating to 8.8% year-on-year in August, from a 9.8% rise in July. It will be followed by monthly retail sales data on Thursday.
Growing expectations for a more hawkish Fed are an unwelcome development for a market already contending with worries that the central bank's efforts to tame inflation could tip the economy into a recession.
September, which is a seasonally-weak period for markets, will also see the Fed ramp up the unwinding of its balance sheet to $95 billion per month, a move some investors worry may add volatility in markets and weigh on the economy.
"With the federal funds rate poised to be above 3% after next week's meeting and QT running at full speed, Fed officials may finally start to feel that the pace of tightening can moderate in Q4 and beyond," Wells Fargo economists wrote in a note.
"That said, there is a big difference between slowing the pace of tightening and a full-blown policy pivot."
At 07:56 a.m. ET, Dow e-minis 1YMcv1 were down 41 points, or 0.13%, S&P 500 e-minis EScv1 were down 4.5 points, or 0.11%, and Nasdaq 100 e-minis NQcv1 were down 22.25 points, or 0.18%.
The CBOE volatility index .VIX, also known as Wall Street's fear gauge, rose to 27.51 points, inching closer to a two-month high hit on Tuesday.
Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday.
(Reporting by Ankika Biswas and Devik Jain in Bangalore; Editing by Sriraj Kalluvila)
((Ankika.Biswas@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - U.S. stock index futures slipped on Wednesday after a sharp selloff on Wall Street in the previous session on rate hike jitters, while investors waited for more inflation data for cues on the pace of monetary policy tightening. Any better macro news to support earnings (ISMs, Jobs) is discounted as the need for further tightening to quash growth, while CPI prints are not declining fast enough – further evidence that the Fed is behind the curve," Sean Darby, global equity strategist at Jefferies wrote in a note.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - U.S. stock index futures slipped on Wednesday after a sharp selloff on Wall Street in the previous session on rate hike jitters, while investors waited for more inflation data for cues on the pace of monetary policy tightening. The three major U.S. stock indexes on Tuesday notched their biggest one-day percentage declines since June 2020 after an unexpectedly hot consumer price index report cemented bets that the Federal Reserve would go ahead with the third straight 75 basis points increase in rates next week.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - U.S. stock index futures slipped on Wednesday after a sharp selloff on Wall Street in the previous session on rate hike jitters, while investors waited for more inflation data for cues on the pace of monetary policy tightening. The three major U.S. stock indexes on Tuesday notched their biggest one-day percentage declines since June 2020 after an unexpectedly hot consumer price index report cemented bets that the Federal Reserve would go ahead with the third straight 75 basis points increase in rates next week.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - U.S. stock index futures slipped on Wednesday after a sharp selloff on Wall Street in the previous session on rate hike jitters, while investors waited for more inflation data for cues on the pace of monetary policy tightening. Growing expectations for a more hawkish Fed are an unwelcome development for a market already contending with worries that the central bank's efforts to tame inflation could tip the economy into a recession.
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19352.0
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2022-09-14 00:00:00 UTC
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US STOCKS-Wall Street set for muted open after rout
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-set-for-muted-open-after-rout
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nan
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By Ankika Biswas and Devik Jain
Sept 14 (Reuters) - Wall Street was set for a subdued open on Wednesday following a sharp selloff in the previous session after red-hot inflation data fanned worries about how much and how long the Federal Reserve will hike interest rates.
The three major indexes on Tuesday posted their biggest one-day percentage declines since June 2020, as the consumer price report cemented bets that the U.S. central bank will go ahead with its third straight 75 basis points increase in rates next week.
Markets are also pricing in a 37% chance of a massive 100 bps increase by the central bank, and expects rates to peak at 4.34% by March 2023. FEDWATCH
In the latest data, monthly U.S. producer prices dipped 0.1% in August, while it rose 8.7% year-on-year in August from 9.8% in July. Economists polled by Reuters had forecast the PPI edging up 0.1% and increasing 8.8% year-on-year.
Excluding the volatile food, energy and trade services components, core producer prices rose by higher-than-expected 7.3%. Markets are now likely to look forward to the monthly retail sales data on Thursday.
"After yesterday's sell-off, just about anything would be welcome. And what we see is that the producer price index numbers came in pretty much as expected," said Hugh Johnson, chief economist of Hugh Johnson Economics in Albany, New York.
"It's fairly clear now that they're (Fed) going to raise interest rates by 75 basis points at the September meeting. The expectation is for 50 basis point rate hike in November and maybe another 25 in December."
Stocks had rallied ahead of the inflation data as easing commodity prices, especially oil, had raised hopes the Fed would scale back its aggressive policy tightening even as policymakers reiterated their determination to bring inflation to their 2% target through rate hikes.
Growing expectations for a more hawkish Fed are an unwelcome development for a market already contending with worries that the central bank's efforts to tame inflation could tip the economy into a recession.
September, which is a seasonally-weak period for markets, will also see the Fed ramp up the unwinding of its balance sheet to $95 billion per month, a move some investors worry may add volatility in markets and weigh on the economy.
"With the federal funds rate poised to be above 3% after next week's meeting and QT running at full speed, Fed officials may finally start to feel that the pace of tightening can moderate in Q4 and beyond," Wells Fargo economists wrote in a note.
"That said, there is a big difference between slowing the pace of tightening and a full-blown policy pivot."
At 8:40 a.m. ET, Dow e-minis 1YMcv1 were up 50 points, or 0.16%, S&P 500 e-minis EScv1 were up 11 points, or 0.28%, and Nasdaq 100 e-minis NQcv1 were up 42.5 points, or 0.35%.
The CBOE volatility index .VIX, also known as Wall Street's fear gauge, rose to 27.18 points, inching closer to a two-month high hit on Tuesday.
Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday.
(Reporting by Ankika Biswas and Devik Jain in Bangalore; Editing by Sriraj Kalluvila)
((Ankika.Biswas@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - Wall Street was set for a subdued open on Wednesday following a sharp selloff in the previous session after red-hot inflation data fanned worries about how much and how long the Federal Reserve will hike interest rates. The three major indexes on Tuesday posted their biggest one-day percentage declines since June 2020, as the consumer price report cemented bets that the U.S. central bank will go ahead with its third straight 75 basis points increase in rates next week.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - Wall Street was set for a subdued open on Wednesday following a sharp selloff in the previous session after red-hot inflation data fanned worries about how much and how long the Federal Reserve will hike interest rates. FEDWATCH In the latest data, monthly U.S. producer prices dipped 0.1% in August, while it rose 8.7% year-on-year in August from 9.8% in July.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. By Ankika Biswas and Devik Jain Sept 14 (Reuters) - Wall Street was set for a subdued open on Wednesday following a sharp selloff in the previous session after red-hot inflation data fanned worries about how much and how long the Federal Reserve will hike interest rates. The three major indexes on Tuesday posted their biggest one-day percentage declines since June 2020, as the consumer price report cemented bets that the U.S. central bank will go ahead with its third straight 75 basis points increase in rates next week.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O were mixed in premarket trading after leading declines on Tuesday. FEDWATCH In the latest data, monthly U.S. producer prices dipped 0.1% in August, while it rose 8.7% year-on-year in August from 9.8% in July. "It's fairly clear now that they're (Fed) going to raise interest rates by 75 basis points at the September meeting.
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19353.0
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2022-09-14 00:00:00 UTC
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How Investors Can Use Stoicism to Their Advantage
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AAPL
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https://www.nasdaq.com/articles/how-investors-can-use-stoicism-to-their-advantage
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nan
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In this podcast, Motley Fool producer Ricky Mulvey and Motley Fool contributor Brian Stoffel serve up an introduction to stoicism, and why philosophers from a few thousand years ago have practical advice for investors today.
They discuss:
Fundamentals of stoicism.
The dichotomy of control (and what it means for investors).
Seneca's complex relationship with wealth.
Company leaders that may exhibit some stoic virtues.
To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center. To get started investing, check out our quick-start guide to investing in stocks. A full transcript follows the video.
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This video was recorded on Sept. 10, 2022.
Brian Stoffel: The main trait that I'm zeroing in on here is just equanimity. Never got too high, never got too low. He did have a north-star that replaced just profits, stock-up, which was, we're going to provide the most sustainable benefit to our customers possible. If you look that maps pretty closely with what the company did.
Chris Hill: I'm Chris Hill and that's Motley Fool contributor Brian Stoffel talking about former Costco CEO, Jim Sinegal. Today, Brian and Ricky Mulvey are serving up an introduction to stoicism and how philosophers from a few thousand years ago have practical advice for investors like us today.
Ricky Mulvey: We're beginning our journey into stoic philosophy and investing. It's going to get heady, but I think it can make you a better investor. Joining us now is Motley Fool contributor Brian Stoffel. Thanks for being here.
Brian Stoffel: Thank you for having me. That I'm really looking forward to this conversation.
Ricky Mulvey: Likewise. Before we scare everybody off by saying we're going to talk about stoicism and grit our teeth through the pain. Let's talk about what it is and what it isn't.
Brian Stoffel: Yeah, so I think stoicism has a really rough name for itself. Bernie Brown is one someone that I listen to all the time and I'm sure a lot of other Fools do too. She always talks about other thing you want to avoid is stoicism. For those who don't know where she's a very accomplished author and a licensed clinical social worker. But a lot of people herself included believe that stoicism means you don't feel anything, you just ignore the pain, ignore the joy, and you just grit your teeth and you plow through it and you don't feel anything. The type of stoicism that I think you and I want to talk about today is actually the exact opposite.
It is feeling and accepting everything, the joy, the pain, the discomfort, the excitement. The thing is, is that what that looks like on the outside can be very similar to someone who ignores all their feelings in so much as you have control over your reaction to all those feelings, and that's where you pour all of your effort into your reaction to them. Sometimes it means you might feel pain or joy and you decide, Hey, I feel pain and joy but I'm not going to let that determine what my next action is, and so you can be on the outside and say, oh, that just swept right over her, it swept right over him, they're not even paying attention.
Ricky Mulvey: It's going into life with best intentions in treating the outcome with equanimity, maybe that's the quickest way I can do it. Yes, I totally agree. A lot of other shows you could start out with Epictetus. You could start out with the Roman Emperor Marcus Aurelius. You could start out with Seneca. We're starting with Bernie Brown. I love it. I also think it's important as we dive into this conversation to talk about what stoicism is not. There is a thought, it could be a religious philosophy which it is not.
Brian Stoffel: Right. It is not. There's two parts about that. One, I think when we say philosophy, a lot of times people think that's something that is about big abstract ideas. But this is actually a philosophy that shuns that it actually embraces just the practical, the things that anyone could really do. You don't need a PhD in philosophy to understand it. That's first, but it's not a religion either. It does not have an origin story of the world. It doesn't attempt to connect with any specific deity. It's just a way of moving through life. Although the philosophy itself does have an interesting origin story.
Ricky Mulvey: You want to get into it?
Brian Stoffel: Sure. Well, I think Zeno was his name and I could be wrong about this. While I know some about stoicism, there are people who are listening who might say you got that wrong and I'll say you're probably correct about that. But my understanding is that he was shipwrecked and he lost everything in a foreign country, and that is something that most people would look at as an absolute travesty, and his life was probably terrible after that. But instead, he said, hey, this happened to me. What am I going to do now? Born from that became this philosophy of what matters most in life is actually not what happens to you. It is what you do with what happens to you.
Ricky Mulvey: Let's tie this into investing a little bit. Two parts to this question. One is, how did you personally get into stoicism? Then also, how is your exploration into it affected you as an investor?
Brian Stoffel: Sure. Well, one thing I just want to say in terms of I realized retrospectively, there's certain parts of stoicism I had in my life that I wasn't aware of. This might sound a little silly, but I played football all the way through college, and one of the things that drove me crazy was when we had a penalty on us that went against us, and there were people on my team or in the other team who would just they couldn't drop it, they couldn't let it go. While they weren't dropping it and letting it go, the game was moving on. There was nothing. It wasn't like you're going to say, Sir, I wasn't holding on that play, and then you're still saying that five plays later.
I've never seen an RFP like you know what, you're right. I'm going to take that back. There was nothing to be gained from that. I learned that, hey, there are some things that you just got to drop and move forward. Where I got interested in this and got it like stoicism became the word I associated with an approach that somewhat like this, was from a couple of different angles. One was the writings of Nassim Nicholas Taleb who talks about Buddhism, stoicism. He likes to say stoicism is like Buddhism with an attitude. But also Mr. Money Mustache is a really popular blogger about early retirement and he talks about stoicism a lot. That was where I started to get introduced to it. Then the books of Ryan Holiday really tapped it off.
Ricky Mulvey: How do you think stoicism affects you as an investor? How do you use the philosophy to make investing decisions?
Brian Stoffel: I think that the most important thing that's stoicism offers me, and I don't mean to say that, hey, I'm an expert. I don't think there's any experts. I just think there's veterans. If you've been thinking like a stoic for a long time, you're not an expert. But you are a veteran because you've been trying to do it for a long time. The biggest difference I see between myself now and myself when I started as an investor and I can see it when my friends come to me and they start investing, and some of the concerns that they bring up is anchoring bias. For those that aren't familiar, anchoring bias is, hey, I bought Tesla at $700 a share, it's $500 a share right now.
Then what usually follows is one of two things. One is, I'm going to wait until it gets back up to 700 and then sell. That's the first thing. Or, man, I should probably buy more, not because I think the company is in a better position, but just because I can get it for cheaper, that's anchoring bias, that is trying to control what's already happened. Going back to that football analogy, it doesn't matter that that penalty has been called. It doesn't matter that you've lost $200 a share on Tesla. What matters is what's happening when you look forward. Who cares what Tesla's stock is trading for? Do you still believe in it right now, between now and the future? That is by far the most important thing that as it relates to investing that I've been able to take from stoicism.
Ricky Mulvey: The reverse can be true occasionally as well. I love playing pickup basketball, and one of my favourite phenomenons is when someone's scores, they start celebrating, and then the defense takes the ball and then the person they're supposed to be guarding his wide open for a shot, and then the effect is completely neutralized. Because a lot of stoic philosophy is essentially treating good outcomes and bad outcomes with, I'm going to use the word again, equanimity. The idea that these are now fake like they shouldn't affect your behavior, the past actions. As I say that in investing it's more difficult because you do want to continue to add to your winners. I guess anchoring bias can sometimes work both ways.
Brian Stoffel: Yes, and it really can. I think that one way of thinking about this, we said, let's talk about the dichotomy of control.
Ricky Mulvey: Yeah.
Brian Stoffel: Stoicism is process-oriented. It doesn't ignore the outcomes. Those outcomes are important and the outcomes are important in terms of how they are going to inform changes that you make to the process. But the process is the meat of it and really how you should judge yourself.
Ricky Mulvey: The dichotomy to control it. I don't know if we define that. It's essentially understanding what you can and can't like what is under your control and what is not. In the stoics, I would say had a pretty extreme view of what is not under your control. They essentially said your values, your judgments are under your control, but even things like your property would not qualify as something that is under your control.
Brian Stoffel: Yeah. It would seem like that's ridiculous. Like my house isn't under my control, but let me talk to someone whose house has been hit by lightning, where there's a fire, where there's any number of things that can happen, an earthquake. The thing about that is if you adopt that viewpoint before something bad happens, if you adopt it afterwards, that's fine. That's part of the learning process. If you adopt it beforehand, then when that earthquake does hit, when lightning does strike, when there is a fire, then your ability to deal with that moving forward is probably a lot healthier than if you feel like you lost a part of yourself.
Ricky Mulvey: The full quote from Epictetus about the dichotomy of control I think really captures it. Epictetus was a former slave, famous stoic philosopher. He said, "Some things are within our power while others are not within our power or opinion, motivation, desire aversion and in a word, whatever is of our own doing. Not within our power or our body or property, reputation, office, and in a word, whatever is not of our own doing". I think there's a pretty clear tile also to stock investing with that.
Brian Stoffel: Absolutely. It can be applied in so many different areas of life, but the market doesn't care about you and that's OK. It just it doesn't, and so your job is to take whatever the market or the world however you want to say it is giving you and then decide, OK, this is great or OK, this really sucks. Now, what am I going to do about it? Because that's the only area where I can move the needle.
Ricky Mulvey: A big part of the philosophy is not taking bad things personally, and I think the same could be true during, I feel it myself, during a stock drop or in bear market. I purchased some stocks, let's say late 2021, and then immediately the market falls in the summer of 2022, and I took that as an affront against me. As silly as that sounds. I think a lot of investors felt as similar way which is like this is something being done to me and that it affects your outlook toward essentially like life. If you're around a lot of financial firms during a bear market, the attitude is dour. One thing about the stocks that I find particularly interesting is that they didn't ignore wealth and money as an important tool, if you will. They saw it as something that was called a preferred indifferent. They would put it in the same category as health and education. What does that mean when they were talking about wealth and money as a preferred indifferent, did that mean it wasn't something worth pursuing?
Brian Stoffel: Yeah. It's like the thing that we wrestle with all the time, and if they were wrestling with this thousands of years ago and we're wrestling with this now, we're probably going to continue to wrestle with this for thousands of years into the future, and that is the overlap. If you're drawing a Venn diagram between the good life, whatever that might mean, and wealth and money. Because I think that for myself, I thought that they were separate. In fact, I thought that wealth and money could work against the good life, and as I grow older and I realized, well, there are some tie-ins. Autonomy is really important to me and in the world we live in, you need something to be able to have a certain level of autonomy, I start to realize that maybe there is overlap in that Venn diagram between those two things.
But it's really important to juxtapose them with another group that was around at the time which were the cynics. Now the cynics are people that they rejected all wealth and power, didn't own property. The story that I hear, I can't remember the name of whoever one of the most famous cynics was but he used to only have a cup. Like that was the only thing you had was a cup and he would sleep on the street, and one day he saw a child go to the fountain and drink by cutting his hands together, and he said how stupid I've been and he threw away his cup so then he didn't have anything. The stoics were more moderate view on wealth and power whereas, hey this exists, but if you become a slave to it, that's where you start to run into trouble.
Ricky Mulvey: Then how would, what would the stoic view beyond making yourself a master over your wealth versus having wealth be a master over yourself. Because I know that that's how they viewed a lot of rich people back in the time of the Roman empire.
Brian Stoffel: Well, it's very difficult because it's very easy to slide into making wealth something that you become a slave to instead of it serving you. The problem is if you go the other way and you just try and avoid wealth altogether, you do something, I read this term recently called counter dependency. I've never heard it before. But counter dependency basically means if there's something that you hate and then you're going to disagree with that thing on every level, then you're not really in control anymore. We see this in politics all the time when there are people that go out and ask people, hey, what's your opinion on this piece of legislation, and all they do is they spell out what the legislation is. You might get like 60 percent of Democrats or Republicans supporting it.
Then to a different group, they say, here's this legislation. It was proposed by and then it's the other party and then the amount that are agreeing with it drops to like 10 percent and you're like, you're just shooting yourself in the foot and everybody can do this. So it's the same idea with wealth and money. If you reject wealth and money altogether, well then you're just, you're working in opposition to wealth and money and wealth and money is actually still defining you. The key is is you've got to find something else that's going to define you, and there were different things that the stoics said you should replace that with like equanimity, like peace of mind, like contentment. There were different names for it, but it is a very tenuous relationship.
Ricky Mulvey: There's a lot of argument among the philosophers at the time as well. One of the famous stoic teachers was a guy named Seneca. He gained much of his wealth by working as a writer tutor for the Roman Emperor Nero, he also charged loans with high-interest rates, and so there is a criticism of a lot of his teachings which were treat everything with equanimity and go with the flow and stick only to your values and judgments, and then there would be the opposing side say, well, that's awfully easy for you to say because you're coming from a much higher perch.
Brian Stoffel: Seneca did have a very interesting relationship with wealth, and it's complicated and I don't think anyone's ever going to come to a final conclusion about was Seneca right or not but Seneca set a lot of things that people liked. But then he did a lot of things that weren't always lining up with what he was writing. Now, in the end, I think all that really does is it means that Seneca was a human being. Because we all do that from time-to-time. He gained a lot of power and wealth by working for someone that ended up leading to his own death. But, it again, it gets to this underlying theme of incentives matter, and what you do probably matters more than what you say so be careful about what you say, and look, I'm I fall victim to this to all the time.
Measure what you're doing as opposed to what you're saying. If you do that, if you're able to do that over time, you're probably able to keep yourself more in balance. Seneca's is one where he says, look, money and happiness, they don't have to be that closely related. There is an upside to wealth, but I'm not dependent upon it. Then you can look at them and say, well, you're saying you're not dependent upon it, but you're doing a lot of stuff here that goes against what you say you value so what's going on here? In the end unfortunately, I think Seneca had to conclude that. He had to be able to justify that disconnect by essentially committing suicide. Let's hope that we can find a way to find a better resolution to those tensions that might arise with money and happiness in our own lives.
Ricky Mulvey: Hopefully we can do that. This is a hard hill turn for a topic change, Brian Stoffel. But one thing that the stoics really placed a lot of value on was our ability to reason. The stoics believe that reason in sociability were essentially the two things that made us human. Why did the stoics look to those two things as the highest human values?
Brian Stoffel: Well, I think at that point in time, the belief that humans had this unique ability to reason was really high in the list. They said this is what separates us from all the other animals and things like that. But the thing that I want to tag onto as well with that is, you generally have this juxtaposition between reason and emotion. I think in today's world especially in investing, we say it should all be reason and no emotion and what we talked about on the Mindset in Motley Fool Live all the time is that if you deny emotion, you're actually going to be controlled by emotion. It is something that I'm going to tie it back to Bernie Brown here. She says, a lot of people like to say we are rational beings that have occasional emotional experiences.
She's done more research than I have, than a lot of people have and she says no. What we are is we're emotional beings that have occasional rational experiences. The reason that rational experiences are so highly valued is because they tend to be enduring and we see this with investing all the time. My stock goes down, I want to feel better about it, I sell or my stock goes down, I want to feel better about it, I buy even more because it's on sale. The key being that I haven't investigated the underlying business, it's just about the movement that the stock made. Whereas if we can hit a pause button, then we can let the waves of the emotions come and go. We don't devalue them but we also don't let them get behind the driver's seat and we say, when this subsides and it will subside, what I'm I going to think is the best path forward now.
Ricky Mulvey: Yeah. The stoics were big on essentially, they thought a lot about anger and I think that there's a clear title what you're saying. One thing Seneca wrote on this was, "The greatest remedy for anger is delay, beg anger to grant you this at first, not an order that it may pardon the offense but that it may form a right judgment about it, if it delays, it will come to an end." I think that goes to what you're saying, which is if you're feeling upset about the stock drops, the thing you should actually do is just chill for a sec and that's a much more eloquent way of saying it.
Brian Stoffel: Absolutely. You know one of the things that I think is the greatest tool underappreciated ever of working at The Motley Fool is that we have to wait for permission to buy or sell a stock. That might sound like a pain in the butt, but let me tell you something, it's made me thousands of dollars because it's prevented me from either buying a stock I'm super-excited about, when I first find out about it, and then a week later I'm like, well, yeah, but there's this and this, that wow. I'm not so sure or equally important when a stock tanks because something bad is happening, I can't sell. When March 2020 came around, I couldn't sell anything. There was no way I was going to be able to and guess what? That ended up being enormously beneficial for me. Now, if we could figure out something similar to responding with anger when it comes to parenting, then I think you've got a bazillion dollar product on your hands and I'm interested in buying that.
Ricky Mulvey: We'll call the SEC and see what they can do. Always tying this back to stocks and companies and I want to talk about stoic virtues and how we see them and maybe some of the companies we own, some of the companies we watch. But I think we'd be remiss to have that conversation without first cautioning against giving the stoic caution of declaring people and leaders and organizations as virtuous because the intentions are so difficult to judge, especially from the outside.
Brian Stoffel: Yes. You know what? View what we're about to talk about the same way i said, we should view Seneca as a human being who has ideas and actions might not always match those ideas.
Ricky Mulvey: So when you think about maybe some leaders or some companies with some stoic virtues, what comes to your mind?
Brian Stoffel: I've got two. The first one is Jim Sinegal. He was the founder and CEO for a long time at Costco. He's no longer the CEO anymore. The main trait that I'm zeroing in on here is just equanimity. Never got too high, never got too low and he did have a NorthStar that replaced just profits, profits, stock-up, stock-up, which was, we're going to provide the most sustainable benefit to our customers possible. If you look that maps pretty closely with what the company did. There's a great story about how they made a deal with a hot dog vendor because you can buy those hot dogs and he said, "You know what? You got to go back and rework that deal." The catch is that he said we're not paying them enough. There's no way that there's still going to be around five years from now if we're paying such a low price for these high-quality hot dogs. You hear stories like that often. The other one it's Berkshire Hathaway. I mean, yes, Warren Buffett. But really if you read Charlie Munger, he is a paragon of stoic virtues. I didn't know that he had a whole bunch of really rough things happen in his '30s. Maybe I should know that because everybody has a bunch of rough things happen in their '30s. But you wouldn't know that because he just the way that he moves forward, I heard someone say once, "Look, one of your favorite things to do is to read and you might lose your eyesight." I mean, he's in his '90s. "What are you going to do then?" He said, "I'm going to learn Braille". That's a pretty stoic response. That's what he has control over.
Ricky Mulvey: The one I would go with I would say that the easy example for me to reach for, I shouldn't say the easy example. The example that sticks most prominently in my mind would be Tim Cook and Apple, especially with the privacy changes. With regard to [Meta's] Facebook, Tim Cook said, "We could make a ton of money if we monetized our customer. We've elected not to do that." It is easy to make those decisions when you're one of the most valuable companies on the planet. But I do think it does speak to Cook's customer-focus and then also when he was pegged with this question of how he would react to the privacy changes if he were the CEO of Facebook. He just simply said, "I would not put myself in that position." That seemed to me to be a bit of a stoic response.
Brian Stoffel: Yeah. At the same time, if we're going to take that Sinegal approach, you look at the advertising revenues at Apple and how much they've gone up recently and you could say, well, see following that but I do get what he said about, I wouldn't put myself in that situation. I own a couple of stocks. It's mostly because I run a portfolio with Brian Feroldi and he gets to choose half the stocks. But I tend to shy away from companies where the user and the customer are not the same person. Facebook's users are you and I. Their customers or their advertisers and I think that's what he's getting at when he says that.
Ricky Mulvey: Come on, let's not end this by blaming Feroldi but that I guess is where we will end. Brian Stoffel, thank you so much for your time on this early. Enjoyed the conversation.
Brian Stoffel: Thank you very much for having me. I enjoyed it.
Chris Hill: As always, people on the program may have interest in the stocks they talk about and the Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. I'm Chris Hill. Thanks for listening. We'll see you tomorrow.
Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Brian Stoffel has positions in Tesla. Chris Hill has positions in Apple and Costco Wholesale. Ricky Mulvey has positions in Meta Platforms, Inc. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), Costco Wholesale, Meta Platforms, Inc., and Tesla. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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I love playing pickup basketball, and one of my favourite phenomenons is when someone's scores, they start celebrating, and then the defense takes the ball and then the person they're supposed to be guarding his wide open for a shot, and then the effect is completely neutralized. Ricky Mulvey: A big part of the philosophy is not taking bad things personally, and I think the same could be true during, I feel it myself, during a stock drop or in bear market. He gained much of his wealth by working as a writer tutor for the Roman Emperor Nero, he also charged loans with high-interest rates, and so there is a criticism of a lot of his teachings which were treat everything with equanimity and go with the flow and stick only to your values and judgments, and then there would be the opposing side say, well, that's awfully easy for you to say because you're coming from a much higher perch.
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In this podcast, Motley Fool producer Ricky Mulvey and Motley Fool contributor Brian Stoffel serve up an introduction to stoicism, and why philosophers from a few thousand years ago have practical advice for investors today. Chris Hill: I'm Chris Hill and that's Motley Fool contributor Brian Stoffel talking about former Costco CEO, Jim Sinegal. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple.
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In this podcast, Motley Fool producer Ricky Mulvey and Motley Fool contributor Brian Stoffel serve up an introduction to stoicism, and why philosophers from a few thousand years ago have practical advice for investors today. Brian Stoffel: I think that the most important thing that's stoicism offers me, and I don't mean to say that, hey, I'm an expert. Brian Stoffel: Seneca did have a very interesting relationship with wealth, and it's complicated and I don't think anyone's ever going to come to a final conclusion about was Seneca right or not but Seneca set a lot of things that people liked.
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Let's talk about what it is and what it isn't. Then what usually follows is one of two things. Ricky Mulvey: A big part of the philosophy is not taking bad things personally, and I think the same could be true during, I feel it myself, during a stock drop or in bear market.
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19354.0
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2022-09-14 00:00:00 UTC
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12 Stocks to Buy Now as the NFL Season Kicks Off in 2022
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AAPL
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https://www.nasdaq.com/articles/12-stocks-to-buy-now-as-the-nfl-season-kicks-off-in-2022
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Today, I discuss 12 stocks to buy now as the 2022 NFL season kicks off. Each company benefits from the NFL through partnerships, advertising, and increased sales throughout the season. One of my favorites on the list is SoFi Technologies (NASDAQ: SOFI), which inked a 20-year agreement in 2019 for stadium rights to the Los Angeles Chargers/Rams Stadium. Watch below to see the other 11 stock picks, and don't forget to subscribe.
*Stock prices used in the video were during the trading day of Sept. 13, 2022. The video was published on Sept. 13, 2022.
10 stocks we like better than SoFi Technologies, Inc.
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and SoFi Technologies, Inc. wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of August 17, 2022
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Eric Cuka has positions in Amazon, Apple, Nike, SoFi Technologies, Inc., Walt Disney, and Wingstop and has the following options: long January 2023 $35 calls on SoFi Technologies, Inc. The Motley Fool has positions in and recommends Amazon, Apple, Nike, Walt Disney, Wingstop, and fuboTV, Inc. The Motley Fool recommends Comcast and Verizon Communications and recommends the following options: long January 2024 $145 calls on Walt Disney, long March 2023 $120 calls on Apple, short January 2024 $155 calls on Walt Disney, and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy. Eric is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. * They just revealed what they believe are the ten best stocks for investors to buy right now... and SoFi Technologies, Inc. wasn't one of them! The Motley Fool has positions in and recommends Amazon, Apple, Nike, Walt Disney, Wingstop, and fuboTV, Inc.
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Eric Cuka has positions in Amazon, Apple, Nike, SoFi Technologies, Inc., Walt Disney, and Wingstop and has the following options: long January 2023 $35 calls on SoFi Technologies, Inc. The Motley Fool has positions in and recommends Amazon, Apple, Nike, Walt Disney, Wingstop, and fuboTV, Inc. The Motley Fool recommends Comcast and Verizon Communications and recommends the following options: long January 2024 $145 calls on Walt Disney, long March 2023 $120 calls on Apple, short January 2024 $155 calls on Walt Disney, and short March 2023 $130 calls on Apple.
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See the 10 stocks *Stock Advisor returns as of August 17, 2022 John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Eric Cuka has positions in Amazon, Apple, Nike, SoFi Technologies, Inc., Walt Disney, and Wingstop and has the following options: long January 2023 $35 calls on SoFi Technologies, Inc. The Motley Fool recommends Comcast and Verizon Communications and recommends the following options: long January 2024 $145 calls on Walt Disney, long March 2023 $120 calls on Apple, short January 2024 $155 calls on Walt Disney, and short March 2023 $130 calls on Apple.
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* They just revealed what they believe are the ten best stocks for investors to buy right now... and SoFi Technologies, Inc. wasn't one of them! Eric Cuka has positions in Amazon, Apple, Nike, SoFi Technologies, Inc., Walt Disney, and Wingstop and has the following options: long January 2023 $35 calls on SoFi Technologies, Inc. His opinions remain his own and are unaffected by The Motley Fool.
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19355.0
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2022-09-14 00:00:00 UTC
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This 1 ETF Is My Top Recommendation for New Investors
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AAPL
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https://www.nasdaq.com/articles/this-1-etf-is-my-top-recommendation-for-new-investors
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nan
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The stock market can be intimidating even when it's thriving, but it's especially daunting to invest during periods of volatility.
Stock prices have been shaky over the past several months, but the good news is that now is a fantastic time to buy. When stock prices are lower, you can get more bang for your buck by investing in high-quality stocks at a discount.
While everyone's investing preferences will be different, there's one type of exchange-traded fund (ETF) that's a particularly good fit for new investors and can help keep your money safer: The S&P 500 ETF.
Why invest in an S&P 500 ETF?
An S&P 500 ETF, such as the Vanguard S&P 500 ETF (NYSEMKT: VOO) or iShares Core S&P 500 ETF (NYSEMKT: IVV), is a fund that tracks the S&P 500 index. In other words, it includes the same stocks as the index itself and aims to mirror its performance.
Because you can't invest in the S&P 500 index itself, this type of ETF is the next best thing. It includes stocks from 500 of the largest and strongest companies in the U.S., including household names like Amazon, Apple, and Tesla.
One of the primary advantages of an S&P 500 ETF is that it's extremely likely to recover from market downturns. All investments are subject to short-term volatility, but the S&P 500 itself has a decades-long history of recovering from even the worst crashes, bear markets, and recessions.
While there are never any guarantees when it comes to investing, it's almost certain the index will continue rebounding from future slumps as well. And because the S&P 500 ETF tracks the index, it will recover, too.
Another advantage of an S&P 500 ETF is that it's incredibly low maintenance. With just one fund, you'll own hundreds of strong stocks across a wide variety of industries, creating an instantly diversified portfolio.
You also never need to worry about researching companies or deciding when to buy or sell a stock. All you have to do is invest as much as you can afford, then let the fund take care of the rest.
How much can you earn with this type of investment?
Despite this being one of the safer types of investment, it's possible to make a lot of money with an S&P 500 ETF over time.
Historically, the index itself has earned an average rate of return of around 10% per year. This doesn't necessarily mean you'll earn 10% returns consistently year after year, as the market will always experience some degree of volatility in the short term. Over time, though, the annual highs and lows should average out to around 10% per year.
Say you're investing $200 per month in an S&P 500 ETF earning an average return of around 10% per year. Here's approximately how much you can earn depending on how many years you invest.
NUMBER OF YEARS TOTAL SAVINGS
20 $137,000
25 $236,000
30 $395,000
35 $650,000
40 $1,062,000
Source: Author's calculations via Investor.gov.
Even if you have little investing experience and can't afford to invest thousands of dollars per month, it's still possible to make a lot of money -- and potentially even become a millionaire -- with S&P 500 ETFs. The key is to start now and continue investing for as many years as possible.
Investing in the stock market isn't always easy, especially if you're just getting started. But S&P 500 ETFs are a fantastic beginner-friendly option. Not only can they protect your investments during downturns, but they can also help you make a lot of money over time.
10 stocks we like better than Vanguard S&P 500 ETF
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Vanguard S&P 500 ETF wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of August 17, 2022
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Katie Brockman has positions in Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Amazon, Apple, Tesla, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Stock prices have been shaky over the past several months, but the good news is that now is a fantastic time to buy. All investments are subject to short-term volatility, but the S&P 500 itself has a decades-long history of recovering from even the worst crashes, bear markets, and recessions. With just one fund, you'll own hundreds of strong stocks across a wide variety of industries, creating an instantly diversified portfolio.
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Even if you have little investing experience and can't afford to invest thousands of dollars per month, it's still possible to make a lot of money -- and potentially even become a millionaire -- with S&P 500 ETFs. The Motley Fool has positions in and recommends Amazon, Apple, Tesla, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
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While everyone's investing preferences will be different, there's one type of exchange-traded fund (ETF) that's a particularly good fit for new investors and can help keep your money safer: The S&P 500 ETF. An S&P 500 ETF, such as the Vanguard S&P 500 ETF (NYSEMKT: VOO) or iShares Core S&P 500 ETF (NYSEMKT: IVV), is a fund that tracks the S&P 500 index. Even if you have little investing experience and can't afford to invest thousands of dollars per month, it's still possible to make a lot of money -- and potentially even become a millionaire -- with S&P 500 ETFs.
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Why invest in an S&P 500 ETF? * They just revealed what they believe are the ten best stocks for investors to buy right now... and Vanguard S&P 500 ETF wasn't one of them! The Motley Fool has positions in and recommends Amazon, Apple, Tesla, and Vanguard S&P 500 ETF.
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19356.0
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2022-09-14 00:00:00 UTC
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US STOCKS-Futures rebound after rout on Wall Street
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AAPL
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https://www.nasdaq.com/articles/us-stocks-futures-rebound-after-rout-on-wall-street
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nan
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For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window.
Futures up: Dow 0.43%, S&P 0.57%, Nasdaq 0.63%
Sept 14 (Reuters) - Wall Street futures rose on Wednesday as technology stocks rebounded from sharp declines in the previous session on rate hike jitters, while investors waited for another set of inflation data for cues on path of monetary policy tightening.
All three major U.S. stock indexes notched their biggest one-day percentage declines since June 2020 on Tuesday after a hot consumer price index report cemented bets that the Federal Reserve could go ahead with the third straight 75 basis points increase in rates next week.
Markets are currently pricing in a 37% chance of a massive 100 bps increase by the central bank and expects rates to peak at 4.34% by March 2023. FEDWATCH
Stocks had rallied ahead of the inflation data as easing commodity prices, especially oil, had raised hopes the Fed would scale back its aggressive policy tightening even as policymakers reiterated their determination to bring inflation to their 2% target through rate hikes.
Focus turns to producer price index data due at 08:30 a.m. ET, which is seen decelerating to 8.8% year-on-year in August, from a 9.8% rise in July. It will be followed by monthly retail sales data on Thursday.
At 6:23 a.m. ET, Dow e-minis 1YMcv1 were up 134 points, or 0.43%, S&P 500 e-minis EScv1 were up 22.5 points, or 0.57%, and Nasdaq 100 e-minis NQcv1 were up 75.5 points, or 0.63%.
Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O advanced between 0.4% and 0.9% in premarket trading after leading declines on Tuesday.
(Reporting by Ankika Biswas and Devik Jain in Bangalore; Editing by Sriraj Kalluvila)
((Ankika.Biswas@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O advanced between 0.4% and 0.9% in premarket trading after leading declines on Tuesday. Futures up: Dow 0.43%, S&P 0.57%, Nasdaq 0.63% Sept 14 (Reuters) - Wall Street futures rose on Wednesday as technology stocks rebounded from sharp declines in the previous session on rate hike jitters, while investors waited for another set of inflation data for cues on path of monetary policy tightening. Markets are currently pricing in a 37% chance of a massive 100 bps increase by the central bank and expects rates to peak at 4.34% by March 2023.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O advanced between 0.4% and 0.9% in premarket trading after leading declines on Tuesday. All three major U.S. stock indexes notched their biggest one-day percentage declines since June 2020 on Tuesday after a hot consumer price index report cemented bets that the Federal Reserve could go ahead with the third straight 75 basis points increase in rates next week. Focus turns to producer price index data due at 08:30 a.m.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O advanced between 0.4% and 0.9% in premarket trading after leading declines on Tuesday. Futures up: Dow 0.43%, S&P 0.57%, Nasdaq 0.63% Sept 14 (Reuters) - Wall Street futures rose on Wednesday as technology stocks rebounded from sharp declines in the previous session on rate hike jitters, while investors waited for another set of inflation data for cues on path of monetary policy tightening. All three major U.S. stock indexes notched their biggest one-day percentage declines since June 2020 on Tuesday after a hot consumer price index report cemented bets that the Federal Reserve could go ahead with the third straight 75 basis points increase in rates next week.
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Rate-sensitive shares of technology and growth companies such as Tesla Inc TSLA.O, Apple Inc AAPL.O, Amazon.com AMZN.O, Meta Platforms META.O, Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O advanced between 0.4% and 0.9% in premarket trading after leading declines on Tuesday. For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window. Futures up: Dow 0.43%, S&P 0.57%, Nasdaq 0.63% Sept 14 (Reuters) - Wall Street futures rose on Wednesday as technology stocks rebounded from sharp declines in the previous session on rate hike jitters, while investors waited for another set of inflation data for cues on path of monetary policy tightening.
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19357.0
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2022-09-14 00:00:00 UTC
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7 Stocks to Buy to Protect Your Portfolio From a Super Bubble
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AAPL
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https://www.nasdaq.com/articles/7-stocks-to-buy-to-protect-your-portfolio-from-a-super-bubble
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Market legend Jeremy Grantham has just sounded the alarm that the market is in a super bubble, and it isn’t good news for bulls hoping for a turnaround. He says that several factors will lead to an ultimate bloodbath in both stock markets and housing prices, predictions that investors have met with much anticipation.
The market is unpredictable, and it’s hard to know when stock prices will go up or down. However, if an expert investor makes a prediction, then you should definitely pay attention because their insights can help protect your investments from any potential harm.
The world of finance has many ups and downs every day, but one thing is guaranteed in this environment: the need for preparedness!
Whether buying land before prices skyrocket over time, creating emergency funds using savings accounts so they’re ready whenever life throws us curveballs or purchasing the right kind of stock to protect again a market downturn.
If you want to put every foot right and ensure you are prepared in case of any economic downturn, here are seven stocks that need to be in your back pocket in case Jeremy’s prediction of the super bubble comes true.
DIS The Walt Disney Company $113.44
SBUX Starbucks $88.42
AAPL Apple $155.58
BRK-B Berkshire Hathaway $282.60
PG Procter & Gamble $139.41
WMT Walmart $136.45
HD Home Depot $282.29
Disney (DIS)
Source: chrisdorney / Shutterstock
The Walt Disney Company (NYSE:DIS) is one of the best investments around. The stock has done well regardless of the market and will continue to do well, regardless of any super bubble burst on the horizon.
Even if the market crashes, investors will still flock to Disney because it is a safe haven. In recent years, the company has faced challenges such as Covid-19 and the financial crisis of 2008, but it has always bounced back stronger than ever.
Thanks to its strong brand and reputation for quality, Disney is one of the most resilient companies in the world.
Despite the broader macroeconomic headwinds, Disney’s share price has been surprisingly resilient. This is largely thanks to the success of the company’s streaming service, Disney+. Launched in 2019, Disney+ has already amassed over 152.1 million subscribers by the end of fiscal Q3, becoming a major force in the streaming wars.
In addition, Disney had renewed its focus on its direct-to-consumer strategy, an initiative that was already underway before the pandemic struck. These moves show that Disney is adaptable and willing to change with the times. That makes Disney a safe investment over the long term, even amidst these turbulent times.
Starbucks (SBUX)
Source: Natee Meepian / Shutterstock.com
Starbucks (NASDAQ:SBUX) is one of the most successful brands in the world. It has been able to weather recessions and other economic downturns better than most companies. There are several reasons for this.
Starbucks has a very loyal customer base. These customers are willing to pay more for their coffee than they would at a cheaper chain. This means that Starbucks can still count on its customers to keep spending even in tough times.
Starbucks also has an efficient business model. It sources its coffee beans from all over the world and then roasts them in its own factories. This allows the company to keep costs down and maintain a high level of quality control.
Finally, Starbucks is an expert in marketing and branding. It has built a strong association with luxury and sophistication, making it resistant to economic fluctuations. In short, Starbucks is a super successful brand that is here to stay.
Starbucks is expecting big things for the 2022 fiscal year. The coffee giant forecasted a 13% increase in revenue, bringing the total to $32.9 billion. This growth is due in part to Starbucks’ expanding customer base and initiatives such as its digital transformation strategy.
Its legendary founder Howard Schultz is also helping groom the incoming CEO, another sign indicating that its position is secure.
Apple (AAPL)
Source: sylv1rob1 / Shutterstock.com
Apple (NASDAQ:AAPL) has the ability to keep prices high while still maintaining consistent profits. Apple does this in part by having an extremely loyal customer base that is willing to pay a premium for Apple’s products.
In addition, Apple has designed its ecosystem of products to work best in conjunction with one another, creating a sticky ecosystem that keeps users locked into Apple’s products. As a result, it has maintained high prices and still generates healthy profits.
Over the past few years, Apple has shifted its focus from hardware to services. This is largely due to the fact that services are much more profitable than hardware from a margin perspective.
The company is still dominated by iPhone sales, with 49% of the its revenues accounted for in Q3 FY2022. However, “wearables, home, and accessories” and the services segment were two of the other major contributors to Apple’s latest quarterly earnings.
This trend is likely to continue in the future as Apple continues to invest in its services businesses. Apple Music, iCloud, and the App Store are all examples of Apple’s service offerings that have seen tremendous growth in recent years.
Berkshire Hathaway (BRK-A, BRK-B)
Source: Jonathan Weiss / Shutterstock.com
Berkshire Hathaway (NYSE:BRK-A, NYSE:BRK-B) is a large, diversified company with a history of strong financial performance. It size and diversification help to insulate the company from economic downturns and sector-specific problems.
The company is led by Warren Buffett, one of the most successful investors in history. Buffett has a proven track record of generating superior returns for shareholders over the long term.
Berkshire Hathaway has a conservative approach to risk management. The company does not take on excessive debt or make speculative investments. As a result, Berkshire Hathaway can better weather economic storms and capitalize on opportunities when they arise.
In addition, Berkshire Hathaway has a shareholder-friendly culture. The company does not engage in share buybacks or pay dividends. Instead, Berkshire Hathaway reinvests all of its earnings into the business, which allows the company to compound its growth over time.
Finally, Berkshire Hathaway is an exceptional value creator. The company has a long history of acquiring businesses and growing them successfully. As a result, Berkshire Hathaway has consistently delivered superior returns to shareholders.
For these reasons, Berkshire Hathaway is an attractive investment option for long-term investors looking to hedge against a super bubble.
Procter & Gamble (PG)
Source: Shutterstock
Procter & Gamble (NYSE:PG) is a safe stock to invest in regardless of the economic climate. It produces many items that are essential no matter what the economy is like.
Procter & Gamble have so many different products that there will always be a demand for at least some of them, no matter the state of the economy.
Plus, Procter & Gamble has a strong track record of dividend growth.
It has increased its dividend for 66 consecutive years, and is a dividend aristocrat. It has an annual dividend yield of 2.61%. Procter & Gamble is a great dividend stock for income investors seeking stability and income growth.
Walmart (WMT)
Source: Sundry Photography / Shutterstock.com
Walmart (NYSE:WMT) is a company that has long been a great investment due to its enviable dividend payment history and its ability to perform well regardless of inflationary pressure.
It has consistently paid quarterly dividends since 1974 and has increased its dividend payments ever since. Walmart’s strong performance in the face of inflation is due to the company’s efficient supply chain and pricing strategy.
Walmart’s supply chain is able to source goods at low prices. And Walmart is able to pass these savings on to consumers.
As a result, Walmart is able to maintain high sales volumes even when inflation is driving up the prices of goods. In addition, Walmart’s dividend payments are well-protected against inflation.
Due to inflation and the risk of a super bubble bursting, it can be difficult to find investment opportunities that provide a level of security. Walmart offers strong income stability, as well as the added safety that comes with diversifying your portfolio.
Home Depot (HD)
Source: Jonathan Weiss / Shutterstock.com
Home Depot (NYSE:HD) is a leading home improvement and construction product retailer, providing both DIY and professional customers with a wide range of products and services.
The company has been investing heavily in technology in recent years, which has helped improve store efficiency and drive sales growth.
Revenues and profits are up this year, and the company also offers a great dividend yield, making it one of the best investments for long-term investors.
Home Depot is a well-run company with good growth prospects, and its strong dividend yield makes it an attractive investment for income-seeking investors.
Home Depot is a company that has seen success in the recent past, and it looks poised to continue this trajectory into the future. The firm has an impeccable balance sheet and strong operating momentum, two things the markets love.
The company’s financials are stable, and its business model is sound. Furthermore, Home Depot has a proven track record of success. Given all of these factors, Home Depot is a safe investment for your portfolio if the super bubble bursts.
On the publication date, Faizan Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Faizan Farooque is a contributing author for InvestorPlace.com and numerous other financial sites. Faizan has several years of experience in analyzing the stock market and was a former data journalist at S&P Global Market Intelligence. His passion is to help the average investor make more informed decisions regarding their portfolio.
The post 7 Stocks to Buy to Protect Your Portfolio From a Super Bubble appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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DIS The Walt Disney Company $113.44 SBUX Starbucks $88.42 AAPL Apple $155.58 BRK-B Berkshire Hathaway $282.60 PG Procter & Gamble $139.41 WMT Walmart $136.45 HD Home Depot $282.29 Disney (DIS) Source: chrisdorney / Shutterstock The Walt Disney Company (NYSE:DIS) is one of the best investments around. Apple (AAPL) Source: sylv1rob1 / Shutterstock.com Apple (NASDAQ:AAPL) has the ability to keep prices high while still maintaining consistent profits. Whether buying land before prices skyrocket over time, creating emergency funds using savings accounts so they’re ready whenever life throws us curveballs or purchasing the right kind of stock to protect again a market downturn.
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DIS The Walt Disney Company $113.44 SBUX Starbucks $88.42 AAPL Apple $155.58 BRK-B Berkshire Hathaway $282.60 PG Procter & Gamble $139.41 WMT Walmart $136.45 HD Home Depot $282.29 Disney (DIS) Source: chrisdorney / Shutterstock The Walt Disney Company (NYSE:DIS) is one of the best investments around. Apple (AAPL) Source: sylv1rob1 / Shutterstock.com Apple (NASDAQ:AAPL) has the ability to keep prices high while still maintaining consistent profits. Berkshire Hathaway (BRK-A, BRK-B) Source: Jonathan Weiss / Shutterstock.com Berkshire Hathaway (NYSE:BRK-A, NYSE:BRK-B) is a large, diversified company with a history of strong financial performance.
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DIS The Walt Disney Company $113.44 SBUX Starbucks $88.42 AAPL Apple $155.58 BRK-B Berkshire Hathaway $282.60 PG Procter & Gamble $139.41 WMT Walmart $136.45 HD Home Depot $282.29 Disney (DIS) Source: chrisdorney / Shutterstock The Walt Disney Company (NYSE:DIS) is one of the best investments around. Apple (AAPL) Source: sylv1rob1 / Shutterstock.com Apple (NASDAQ:AAPL) has the ability to keep prices high while still maintaining consistent profits. Berkshire Hathaway (BRK-A, BRK-B) Source: Jonathan Weiss / Shutterstock.com Berkshire Hathaway (NYSE:BRK-A, NYSE:BRK-B) is a large, diversified company with a history of strong financial performance.
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DIS The Walt Disney Company $113.44 SBUX Starbucks $88.42 AAPL Apple $155.58 BRK-B Berkshire Hathaway $282.60 PG Procter & Gamble $139.41 WMT Walmart $136.45 HD Home Depot $282.29 Disney (DIS) Source: chrisdorney / Shutterstock The Walt Disney Company (NYSE:DIS) is one of the best investments around. Apple (AAPL) Source: sylv1rob1 / Shutterstock.com Apple (NASDAQ:AAPL) has the ability to keep prices high while still maintaining consistent profits. Starbucks is expecting big things for the 2022 fiscal year.
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19358.0
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2022-09-14 00:00:00 UTC
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Should WisdomTree U.S. LargeCap Dividend ETF (DLN) Be on Your Investing Radar?
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https://www.nasdaq.com/articles/should-wisdomtree-u.s.-largecap-dividend-etf-dln-be-on-your-investing-radar-3
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Designed to provide broad exposure to the Large Cap Value segment of the US equity market, the WisdomTree U.S. LargeCap Dividend ETF (DLN) is a passively managed exchange traded fund launched on 06/16/2006.
The fund is sponsored by Wisdomtree. It has amassed assets over $3.49 billion, making it one of the average sized ETFs attempting to match the Large Cap Value segment of the US equity market.
Why Large Cap Value
Companies that fall in the large cap category tend to have a market capitalization above $10 billion. They tend to be stable companies with predictable cash flows and are usually less volatile than mid and small cap companies.
Value stocks have lower than average price-to-earnings and price-to-book ratios. They also have lower than average sales and earnings growth rates. Looking at their long-term performance, value stocks have outperformed growth stocks in almost all markets. They are however likely to underperform growth stocks in strong bull markets.
Costs
Expense ratios are an important factor in the return of an ETF and in the long term, cheaper funds can significantly outperform their more expensive counterparts, other things remaining the same.
Annual operating expenses for this ETF are 0.28%, putting it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 2.49%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Healthcare sector--about 16.50% of the portfolio. Information Technology and Consumer Staples round out the top three.
Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 4.20% of total assets, followed by Exxon Mobil Corp (XOM) and Apple Inc (AAPL).
The top 10 holdings account for about 29.54% of total assets under management.
Performance and Risk
DLN seeks to match the performance of the WisdomTree U.S. LargeCap Dividend Index before fees and expenses. The WisdomTree U.S. LargeCap Dividend Index is a fundamentally weighted index that measures the performance of the large-capitalization segment of the U.S. dividend-paying market.
The ETF has lost about -7.76% so far this year and is down about -0.40% in the last one year (as of 09/14/2022). In the past 52-week period, it has traded between $57.22 and $66.91.
The ETF has a beta of 0.88 and standard deviation of 22.99% for the trailing three-year period, making it a medium risk choice in the space. With about 299 holdings, it effectively diversifies company-specific risk.
Alternatives
WisdomTree U.S. LargeCap Dividend ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, DLN is an outstanding option for investors seeking exposure to the Style Box - Large Cap Value segment of the market. There are other additional ETFs in the space that investors could consider as well.
The iShares Russell 1000 Value ETF (IWD) and the Vanguard Value ETF (VTV) track a similar index. While iShares Russell 1000 Value ETF has $51.68 billion in assets, Vanguard Value ETF has $97.20 billion. IWD has an expense ratio of 0.18% and VTV charges 0.04%.
Bottom-Line
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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WisdomTree U.S. LargeCap Dividend ETF (DLN): ETF Research Reports
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
Exxon Mobil Corporation (XOM): Free Stock Analysis Report
Vanguard Value ETF (VTV): ETF Research Reports
iShares Russell 1000 Value ETF (IWD): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 4.20% of total assets, followed by Exxon Mobil Corp (XOM) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Large Cap Value segment of the US equity market, the WisdomTree U.S. LargeCap Dividend ETF (DLN) is a passively managed exchange traded fund launched on 06/16/2006.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 4.20% of total assets, followed by Exxon Mobil Corp (XOM) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Large Cap Value segment of the US equity market, the WisdomTree U.S. LargeCap Dividend ETF (DLN) is a passively managed exchange traded fund launched on 06/16/2006.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 4.20% of total assets, followed by Exxon Mobil Corp (XOM) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Alternatives WisdomTree U.S. LargeCap Dividend ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors.
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Looking at individual holdings, Microsoft Corp (MSFT) accounts for about 4.20% of total assets, followed by Exxon Mobil Corp (XOM) and Apple Inc (AAPL). Apple Inc. (AAPL): Free Stock Analysis Report Designed to provide broad exposure to the Large Cap Value segment of the US equity market, the WisdomTree U.S. LargeCap Dividend ETF (DLN) is a passively managed exchange traded fund launched on 06/16/2006.
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19359.0
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2022-09-14 00:00:00 UTC
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More Cracks Are Emerging in Goldman Sachs' Consumer Banking Division. Should Investors Be Worried?
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https://www.nasdaq.com/articles/more-cracks-are-emerging-in-goldman-sachs-consumer-banking-division.-should-investors-be
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Not long ago, Goldman Sachs' (NYSE: GS) consumer banking efforts led by its digital bank Marcus received lots of praise for its ability to quickly bring in lots of new customers and deposits.
The small but growing consumer bank was seen as a key way for the longtime investment banking powerhouse to diversify and stabilize its earnings. But in recent months as interest rates have been ascending rapidly and the economic outlook has deteriorated, the unit has started to run into problems.
Recently, media outlets reported that the consumer bank has lost about $4 billion since launching in 2016. Reports also surmised that Marcus' checking account launch might be delayed, and now even more cracks are beginning to show. Should investors be worried?
Credit card losses are higher than peers
As part of its consumer offerings, Goldman has offered various credit card programs to customers, including the Apple card. Goldman also acquired General Motors' credit card portfolio and now offers various GM Rewards card programs.
According to a recent research note from analysts at JPMorgan Chase, Goldman's credit card net charge-off rate, which looks at debt unlikely to be collected as a percentage of total loans, ticked up to 2.93% in the second quarter -- the highest among its peers.
BANK CREDIT CARD NET CHARGE-OFF RATE Q2 2022
Goldman Sachs 2.93%
JPMorgan Chase 1.47%
Citigroup 1.50%
Bank of America 1.60%
Wells Fargo 2.02%
Capital One 2.34%
Synchrony Financial 2.73%
Discover Financial 2.01%
America Express 1.20%
Source: Financial statements and regulatory filings
One thing to keep in mind here is that Goldman is doing a lot of subprime credit card lending. According to a recent regulatory filing, 28% of Goldman's credit card loans at the end of the second quarter were made to borrowers with FICO scores below 660. Goldman also saw loans that were past due more than double between the end of 2021 and the end of the second quarter of this year.
Additionally, credit card balances this year have risen by about $2 billion as a result of the company's acquisition of GM's credit card portfolio. Goldman noted that it has taken a $185 million provision against the GM portfolio, which, if it has $2 billion in balances outstanding, represents a roughly 9.25% allowance for loan losses, and that is very high.
A lot of Goldman's peers, like JPMorgan and American Express, aren't lending to this many subprime borrowers, so their loss rates should be lower by design. I would compare Goldman's credit card trends to the likes of Wells Fargo, Capital One, and Synchrony.
Wells Fargo has only recently begun to ramp up credit card lending, but of its $41.2 billion of credit card loans, roughly 27% had a FICO score below 680. About 23% of Synchrony's portfolio is nonprime, and roughly 30% of Capital One's credit card loans in the U.S. have been issued to borrowers with FICO scores below 660.
Should investors be concerned?
I certainly don't feel great about seeing Goldman's charge-off rate not only growing but also above all of its peers, including the ones that are heavier in subprime lending. But Goldman has been ramping up its consumer banking business quickly, and when growth comes at the expense of credit quality, it always ends badly.
But right now I am not overly concerned about Goldman specifically. Wells Fargo is an even newer player in credit cards than Goldman, so its loan book may not be fully mature yet. Synchrony is showing a slightly better but similar loss rate with an even smaller amount of its borrowers in the subprime category, and Capital One has been in this business for quite a while, so I would expect them to be better on assessing credit risk.
I am more concerned about the subprime market, in general. This is the area showing more cracks right now and the cohort of consumers that is likely the most impacted by the end of stimulus benefits and things like enhanced unemployment benefits. If the economy tips into a more severe recession, this segment could get hit hard. So yes, I am keeping an eye on Goldman -- but also on all credit card lenders in the subprime business.
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*Stock Advisor returns as of August 17, 2022
Discover Financial Services is an advertising partner of The Ascent, a Motley Fool company. JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Citigroup is an advertising partner of The Ascent, a Motley Fool company. Synchrony Financial is an advertising partner of The Ascent, a Motley Fool company. American Express is an advertising partner of The Ascent, a Motley Fool company. Wells Fargo is an advertising partner of The Ascent, a Motley Fool company. Bram Berkowitz has positions in Citigroup and has the following options: long January 2024 $80 calls on Citigroup. The Motley Fool has positions in and recommends Apple and Goldman Sachs. The Motley Fool recommends Discover Financial Services and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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According to a recent research note from analysts at JPMorgan Chase, Goldman's credit card net charge-off rate, which looks at debt unlikely to be collected as a percentage of total loans, ticked up to 2.93% in the second quarter -- the highest among its peers. A lot of Goldman's peers, like JPMorgan and American Express, aren't lending to this many subprime borrowers, so their loss rates should be lower by design. Synchrony is showing a slightly better but similar loss rate with an even smaller amount of its borrowers in the subprime category, and Capital One has been in this business for quite a while, so I would expect them to be better on assessing credit risk.
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According to a recent research note from analysts at JPMorgan Chase, Goldman's credit card net charge-off rate, which looks at debt unlikely to be collected as a percentage of total loans, ticked up to 2.93% in the second quarter -- the highest among its peers. Goldman Sachs 2.93% JPMorgan Chase 1.47% Citigroup 1.50% Bank of America 1.60% Wells Fargo 2.02% Capital One 2.34% Synchrony Financial 2.73% Discover Financial 2.01% America Express 1.20% Source: Financial statements and regulatory filings One thing to keep in mind here is that Goldman is doing a lot of subprime credit card lending. The Motley Fool recommends Discover Financial Services and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
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Credit card losses are higher than peers As part of its consumer offerings, Goldman has offered various credit card programs to customers, including the Apple card. Goldman Sachs 2.93% JPMorgan Chase 1.47% Citigroup 1.50% Bank of America 1.60% Wells Fargo 2.02% Capital One 2.34% Synchrony Financial 2.73% Discover Financial 2.01% America Express 1.20% Source: Financial statements and regulatory filings One thing to keep in mind here is that Goldman is doing a lot of subprime credit card lending. Wells Fargo has only recently begun to ramp up credit card lending, but of its $41.2 billion of credit card loans, roughly 27% had a FICO score below 680.
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Wells Fargo has only recently begun to ramp up credit card lending, but of its $41.2 billion of credit card loans, roughly 27% had a FICO score below 680. See the 10 stocks *Stock Advisor returns as of August 17, 2022 Discover Financial Services is an advertising partner of The Ascent, a Motley Fool company. The Motley Fool has positions in and recommends Apple and Goldman Sachs.
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19360.0
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2022-09-14 00:00:00 UTC
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This 1 ETF Is My Top Recommendation for New Investors
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https://www.nasdaq.com/articles/this-1-etf-is-my-top-recommendation-for-new-investors-0
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The stock market can be intimidating even when it's thriving, but it's especially daunting to invest during periods of volatility.
Stock prices have been shaky over the past several months, but the good news is that now is a fantastic time to buy. When stock prices are lower, you can get more bang for your buck by investing in high-quality stocks at a discount.
While everyone's investing preferences will be different, there's one type of exchange-traded fund (ETF) that's a particularly good fit for new investors and can help keep your money safer: The S&P 500 ETF.
Why invest in an S&P 500 ETF?
An S&P 500 ETF, such as the Vanguard S&P 500 ETF (NYSEMKT: VOO) or iShares Core S&P 500 ETF (NYSEMKT: IVV), is a fund that tracks the S&P 500 index. In other words, it includes the same stocks as the index itself and aims to mirror its performance.
Because you can't invest in the S&P 500 index itself, this type of ETF is the next best thing. It includes stocks from 500 of the largest and strongest companies in the U.S., including household names like Amazon, Apple, and Tesla.
One of the primary advantages of an S&P 500 ETF is that it's extremely likely to recover from market downturns. All investments are subject to short-term volatility, but the S&P 500 itself has a decades-long history of recovering from even the worst crashes, bear markets, and recessions.
While there are never any guarantees when it comes to investing, it's almost certain the index will continue rebounding from future slumps as well. And because the S&P 500 ETF tracks the index, it will recover, too.
Another advantage of an S&P 500 ETF is that it's incredibly low maintenance. With just one fund, you'll own hundreds of strong stocks across a wide variety of industries, creating an instantly diversified portfolio.
You also never need to worry about researching companies or deciding when to buy or sell a stock. All you have to do is invest as much as you can afford, then let the fund take care of the rest.
How much can you earn with this type of investment?
Despite this being one of the safer types of investment, it's possible to make a lot of money with an S&P 500 ETF over time.
Historically, the index itself has earned an average rate of return of around 10% per year. This doesn't necessarily mean you'll earn 10% returns consistently year after year, as the market will always experience some degree of volatility in the short term. Over time, though, the annual highs and lows should average out to around 10% per year.
Say you're investing $200 per month in an S&P 500 ETF earning an average return of around 10% per year. Here's approximately how much you can earn depending on how many years you invest.
NUMBER OF YEARS TOTAL SAVINGS
20 $137,000
25 $236,000
30 $395,000
35 $650,000
40 $1,062,000
Source: Author's calculations via Investor.gov.
Even if you have little investing experience and can't afford to invest thousands of dollars per month, it's still possible to make a lot of money -- and potentially even become a millionaire -- with S&P 500 ETFs. The key is to start now and continue investing for as many years as possible.
Investing in the stock market isn't always easy, especially if you're just getting started. But S&P 500 ETFs are a fantastic beginner-friendly option. Not only can they protect your investments during downturns, but they can also help you make a lot of money over time.
10 stocks we like better than Vanguard S&P 500 ETF
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*Stock Advisor returns as of August 17, 2022
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Katie Brockman has positions in Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Amazon, Apple, Tesla, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Stock prices have been shaky over the past several months, but the good news is that now is a fantastic time to buy. All investments are subject to short-term volatility, but the S&P 500 itself has a decades-long history of recovering from even the worst crashes, bear markets, and recessions. With just one fund, you'll own hundreds of strong stocks across a wide variety of industries, creating an instantly diversified portfolio.
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Even if you have little investing experience and can't afford to invest thousands of dollars per month, it's still possible to make a lot of money -- and potentially even become a millionaire -- with S&P 500 ETFs. The Motley Fool has positions in and recommends Amazon, Apple, Tesla, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
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While everyone's investing preferences will be different, there's one type of exchange-traded fund (ETF) that's a particularly good fit for new investors and can help keep your money safer: The S&P 500 ETF. An S&P 500 ETF, such as the Vanguard S&P 500 ETF (NYSEMKT: VOO) or iShares Core S&P 500 ETF (NYSEMKT: IVV), is a fund that tracks the S&P 500 index. Even if you have little investing experience and can't afford to invest thousands of dollars per month, it's still possible to make a lot of money -- and potentially even become a millionaire -- with S&P 500 ETFs.
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Why invest in an S&P 500 ETF? * They just revealed what they believe are the ten best stocks for investors to buy right now... and Vanguard S&P 500 ETF wasn't one of them! The Motley Fool has positions in and recommends Amazon, Apple, Tesla, and Vanguard S&P 500 ETF.
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19361.0
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2022-09-14 00:00:00 UTC
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Apple plans to use latest chip tech by Taiwan's TSMC in iPhones, Macs - Nikkei
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https://www.nasdaq.com/articles/apple-plans-to-use-latest-chip-tech-by-taiwans-tsmc-in-iphones-macs-nikkei-0
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Adds Apple's response
Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday.
The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. (https://s.nikkei.com/3eMNG6i)
The A17 will be used in the premium entry in the iPhone lineup slated for release in 2023, it added.
Apple declined to comment, while TSMC did not immediately respond to Reuters request for a comment.
The current iPhone model has an A15 processor chip and in the recent Apple launch event, the company said iPhone 14 Pro models will also have the same.
The chipmaker controls about 54% of theglobal marketfor contractually produced chips, supplying firms including Apple and Qualcomm Inc QCOM.O.
(Reporting by Maria Ponnezhath in Bengaluru; Editing by Rashmi Aich)
((Maria.Ponnezhath@thomsonreuters.com; +91 8061822749;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Adds Apple's response Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. The chipmaker controls about 54% of theglobal marketfor contractually produced chips, supplying firms including Apple and Qualcomm Inc QCOM.O.
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Adds Apple's response Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. The current iPhone model has an A15 processor chip and in the recent Apple launch event, the company said iPhone 14 Pro models will also have the same.
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Adds Apple's response Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The current iPhone model has an A15 processor chip and in the recent Apple launch event, the company said iPhone 14 Pro models will also have the same. (Reporting by Maria Ponnezhath in Bengaluru; Editing by Rashmi Aich) ((Maria.Ponnezhath@thomsonreuters.com; +91 8061822749;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Adds Apple's response Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. (https://s.nikkei.com/3eMNG6i) The A17 will be used in the premium entry in the iPhone lineup slated for release in 2023, it added.
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19362.0
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2022-09-14 00:00:00 UTC
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Google loses challenge against EU antitrust decision, wins 5% fine cut
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AAPL
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https://www.nasdaq.com/articles/google-loses-challenge-against-eu-antitrust-decision-wins-5-fine-cut
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By Foo Yun Chee
LUXEMBOURG, Sept 14 (Reuters) - Alphabet GOOGL.O unit Google on Wednesday suffered its second setback in less than a year as Europe's top court agreed with EU antitrust regulators that it had abused its dominance but trimmed the fine by 5% because of a disagreement on one point.
Google lost its challenge to a 2.42 billion euro ($2.42 billion) fine last year, the first of a trio of cases.
"The General Court largely confirms the Commission's decision that Google imposed unlawful restrictions on manufacturers of Android mobile devices and mobile network operators in order to consolidate the dominant position of its search engine," the court said.
"In order better to reflect the gravity and duration of the infringement, the General Court considers it appropriate however to impose a fine of 4.125 billion euros on Google, its reasoning differing in certain respects from that of the Commission," judges said.
The ruling is a boost for EU antitrust chief Margrethe Vestager following setbacks in cases involving other tech giants such as Intel INTC.O and Qualcomm QCOM.O this year.
The competition chief of the European Commission has cracked down on Big Tech with hefty fines to ensure a level playing field in the 27-country European Union.
The Commission in its 2018 decision said Google used Android to cement its dominance in general internet search via payments to large manufacturers and mobile network operators and restrictions.
Google said it acted like countless other businesses and that such payments and agreements help keep Android a free operating system, criticising the EU decision as out of step with the economic reality of mobile software platforms.
The parties can appeal on matters of law to the EU Court of Justice, Europe's highest.
The case is T-604/18 Google vs European Commission.
($1 = 1.0002 euros)
Google faces $25.4 bln damages claims in UK, Dutch courts over adtech practicesID:nL1N30K0OO
(Reporting by Foo Yun Chee Editing by David Evans)
((foo.yunchee@thomsonreuters.com; +32 2 287 6844; Reuters Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Alphabet GOOGL.O unit Google on Wednesday suffered its second setback in less than a year as Europe's top court agreed with EU antitrust regulators that it had abused its dominance but trimmed the fine by 5% because of a disagreement on one point. "In order better to reflect the gravity and duration of the infringement, the General Court considers it appropriate however to impose a fine of 4.125 billion euros on Google, its reasoning differing in certain respects from that of the Commission," judges said. Google said it acted like countless other businesses and that such payments and agreements help keep Android a free operating system, criticising the EU decision as out of step with the economic reality of mobile software platforms.
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Google lost its challenge to a 2.42 billion euro ($2.42 billion) fine last year, the first of a trio of cases. "The General Court largely confirms the Commission's decision that Google imposed unlawful restrictions on manufacturers of Android mobile devices and mobile network operators in order to consolidate the dominant position of its search engine," the court said. The Commission in its 2018 decision said Google used Android to cement its dominance in general internet search via payments to large manufacturers and mobile network operators and restrictions.
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By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Alphabet GOOGL.O unit Google on Wednesday suffered its second setback in less than a year as Europe's top court agreed with EU antitrust regulators that it had abused its dominance but trimmed the fine by 5% because of a disagreement on one point. "The General Court largely confirms the Commission's decision that Google imposed unlawful restrictions on manufacturers of Android mobile devices and mobile network operators in order to consolidate the dominant position of its search engine," the court said. "In order better to reflect the gravity and duration of the infringement, the General Court considers it appropriate however to impose a fine of 4.125 billion euros on Google, its reasoning differing in certain respects from that of the Commission," judges said.
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By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - Alphabet GOOGL.O unit Google on Wednesday suffered its second setback in less than a year as Europe's top court agreed with EU antitrust regulators that it had abused its dominance but trimmed the fine by 5% because of a disagreement on one point. "The General Court largely confirms the Commission's decision that Google imposed unlawful restrictions on manufacturers of Android mobile devices and mobile network operators in order to consolidate the dominant position of its search engine," the court said. The case is T-604/18 Google vs European Commission.
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19363.0
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2022-09-14 00:00:00 UTC
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Vedanta to create hub to manufacture iPhones, TV equipment in India -CNBC TV18
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AAPL
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https://www.nasdaq.com/articles/vedanta-to-create-hub-to-manufacture-iphones-tv-equipment-in-india-cnbc-tv18-0
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Adds detail, background
NEW DELHI, Sept 14 (Reuters) - Vedanta Ltd VDAN.NS will look at creating a hub to manufacture Apple's AAPL.O iPhones and TV equipment, along with possibly diving into the electric vehicle sector, Chairman Anil Agarwal said in an interview with CNBC TV18 on Wednesday.
Vedanta on Tuesday announced a $19.5 billion investment with Taiwan's Foxconn 2317.TW to set up semiconductor and display production plants in Gujarat.
The company will create a hub in the western Indian state of Maharashtra to manufacture iPhones and other television equipment, Agarwal said in the interview, adding that this would be "kind of forward integration for the Gujarat JV plant".
The oil-to-metals conglomerate could also look at the electric vehicle (EV) sector, Agarwal added.
Rolling out EVs is central to Prime Minister Narendra Modi's carbon reduction agenda. By 2030, India wants electric models to account for 30% of total car sales.
Vedanta shares rose as much as 8% to their highest since June 10.
Apple and Vedanta did not immediately respond to Reuters requests for comment.
(Reporting by Tanvi Mehta; editing by Louise Heavens and Jason Neely)
((tanvi.mehta@thomsonreuters.com; https://twitter.com/TanviMehta710;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Adds detail, background NEW DELHI, Sept 14 (Reuters) - Vedanta Ltd VDAN.NS will look at creating a hub to manufacture Apple's AAPL.O iPhones and TV equipment, along with possibly diving into the electric vehicle sector, Chairman Anil Agarwal said in an interview with CNBC TV18 on Wednesday. Vedanta on Tuesday announced a $19.5 billion investment with Taiwan's Foxconn 2317.TW to set up semiconductor and display production plants in Gujarat. The company will create a hub in the western Indian state of Maharashtra to manufacture iPhones and other television equipment, Agarwal said in the interview, adding that this would be "kind of forward integration for the Gujarat JV plant".
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Adds detail, background NEW DELHI, Sept 14 (Reuters) - Vedanta Ltd VDAN.NS will look at creating a hub to manufacture Apple's AAPL.O iPhones and TV equipment, along with possibly diving into the electric vehicle sector, Chairman Anil Agarwal said in an interview with CNBC TV18 on Wednesday. The company will create a hub in the western Indian state of Maharashtra to manufacture iPhones and other television equipment, Agarwal said in the interview, adding that this would be "kind of forward integration for the Gujarat JV plant". The oil-to-metals conglomerate could also look at the electric vehicle (EV) sector, Agarwal added.
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Adds detail, background NEW DELHI, Sept 14 (Reuters) - Vedanta Ltd VDAN.NS will look at creating a hub to manufacture Apple's AAPL.O iPhones and TV equipment, along with possibly diving into the electric vehicle sector, Chairman Anil Agarwal said in an interview with CNBC TV18 on Wednesday. The company will create a hub in the western Indian state of Maharashtra to manufacture iPhones and other television equipment, Agarwal said in the interview, adding that this would be "kind of forward integration for the Gujarat JV plant". (Reporting by Tanvi Mehta; editing by Louise Heavens and Jason Neely) ((tanvi.mehta@thomsonreuters.com; https://twitter.com/TanviMehta710;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Adds detail, background NEW DELHI, Sept 14 (Reuters) - Vedanta Ltd VDAN.NS will look at creating a hub to manufacture Apple's AAPL.O iPhones and TV equipment, along with possibly diving into the electric vehicle sector, Chairman Anil Agarwal said in an interview with CNBC TV18 on Wednesday. Vedanta on Tuesday announced a $19.5 billion investment with Taiwan's Foxconn 2317.TW to set up semiconductor and display production plants in Gujarat. Rolling out EVs is central to Prime Minister Narendra Modi's carbon reduction agenda.
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19364.0
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2022-09-14 00:00:00 UTC
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EU court's Wed ruling on record $4.4 bln Google fine may set precedent
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AAPL
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https://www.nasdaq.com/articles/eu-courts-wed-ruling-on-record-%244.4-bln-google-fine-may-set-precedent
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By Foo Yun Chee
LUXEMBOURG, Sept 14 (Reuters) - A ruling on Wednesday by Europe's General Court on whether Alphabet's GOOGL.O Google should face a record EU antitrust fine of 4.34 billion euro ($4.4 billion) for using its Android mobile operating system to quash rivals could set a precedent for other regulators looking into its business practices.
Google will be looking to reverse its fortune after losing its challenge to a 2.42-billion-euro fine last year, the first of a trio of cases, while EU antitrust chief Margrethe Vestager needs a win following setbacks in cases involving other tech giants like Intel INTC.O and Qualcomm QCOM.O this year.
The competition chief of the European Commission has cracked down against Big Tech with hefty fines to ensure a level playing field in the 27-country European Union.
Vestager is currently also investigating Google's digital advertising business, its Jedi Blue ad deal with Meta META.O, Apple's AAPL.O App Store rules, Meta's marketplace and data use and Amazon's AMZN.O online selling and market practices.
A court judgment against Google, a dominant player in the phone market along with rival Apple, could impact some of these cases, especially in terms of whether the EU antitrust watchdog should take into account the rivalry between the two giants.
The European Commission in its 2018 decision said Google used Android to cement its dominance in general internet search via payments to large manufacturers and mobile network operators and restrictions.
Google said it acted like countless other businesses and that such payments and agreements help keep Android a free operating system, criticising the EU decision as out of step with the economic reality of mobile software platforms.
Pan-European consumer group BEUC, which backs the Commission, pointed to the importance of the court judgment.
"It is crucially important that the Court confirms that Google's behaviour for all these past years was illegal and cannot continue, thereby ensuring that consumers can benefit from a more open and innovative digital environment," BEUC Director General Monique Goyens said.
Even if Google wins, it will have to halt the practices singled out by the Commission under landmark tech rules known as the Digital Markets Act that will apply next year, aimed at curbing the powers of U.S. tech giants.
The parties can appeal on matters of law to the EU Court of Justice, Europe's highest.
The case is T-604/18 Google vs European Commission.
($1 = 0.9830 euros)
Google faces $25.4 bln damages claims in UK, Dutch courts over adtech practicesID:nL1N30K0OO
(Reporting by Foo Yun Chee Editing by Bernadette Baum)
((foo.yunchee@thomsonreuters.com; +32 2 287 6844; Reuters Messaging: foo.yunchee.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Vestager is currently also investigating Google's digital advertising business, its Jedi Blue ad deal with Meta META.O, Apple's AAPL.O App Store rules, Meta's marketplace and data use and Amazon's AMZN.O online selling and market practices. A court judgment against Google, a dominant player in the phone market along with rival Apple, could impact some of these cases, especially in terms of whether the EU antitrust watchdog should take into account the rivalry between the two giants. Google said it acted like countless other businesses and that such payments and agreements help keep Android a free operating system, criticising the EU decision as out of step with the economic reality of mobile software platforms.
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Vestager is currently also investigating Google's digital advertising business, its Jedi Blue ad deal with Meta META.O, Apple's AAPL.O App Store rules, Meta's marketplace and data use and Amazon's AMZN.O online selling and market practices. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - A ruling on Wednesday by Europe's General Court on whether Alphabet's GOOGL.O Google should face a record EU antitrust fine of 4.34 billion euro ($4.4 billion) for using its Android mobile operating system to quash rivals could set a precedent for other regulators looking into its business practices. Google will be looking to reverse its fortune after losing its challenge to a 2.42-billion-euro fine last year, the first of a trio of cases, while EU antitrust chief Margrethe Vestager needs a win following setbacks in cases involving other tech giants like Intel INTC.O and Qualcomm QCOM.O this year.
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Vestager is currently also investigating Google's digital advertising business, its Jedi Blue ad deal with Meta META.O, Apple's AAPL.O App Store rules, Meta's marketplace and data use and Amazon's AMZN.O online selling and market practices. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - A ruling on Wednesday by Europe's General Court on whether Alphabet's GOOGL.O Google should face a record EU antitrust fine of 4.34 billion euro ($4.4 billion) for using its Android mobile operating system to quash rivals could set a precedent for other regulators looking into its business practices. Google will be looking to reverse its fortune after losing its challenge to a 2.42-billion-euro fine last year, the first of a trio of cases, while EU antitrust chief Margrethe Vestager needs a win following setbacks in cases involving other tech giants like Intel INTC.O and Qualcomm QCOM.O this year.
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Vestager is currently also investigating Google's digital advertising business, its Jedi Blue ad deal with Meta META.O, Apple's AAPL.O App Store rules, Meta's marketplace and data use and Amazon's AMZN.O online selling and market practices. By Foo Yun Chee LUXEMBOURG, Sept 14 (Reuters) - A ruling on Wednesday by Europe's General Court on whether Alphabet's GOOGL.O Google should face a record EU antitrust fine of 4.34 billion euro ($4.4 billion) for using its Android mobile operating system to quash rivals could set a precedent for other regulators looking into its business practices. Google will be looking to reverse its fortune after losing its challenge to a 2.42-billion-euro fine last year, the first of a trio of cases, while EU antitrust chief Margrethe Vestager needs a win following setbacks in cases involving other tech giants like Intel INTC.O and Qualcomm QCOM.O this year.
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19365.0
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2022-09-14 00:00:00 UTC
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The Only Stock Warren Buffett Has Bought in Each of the Last 2 Bear Markets
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https://www.nasdaq.com/articles/the-only-stock-warren-buffett-has-bought-in-each-of-the-last-2-bear-markets
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Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) CEO Warren Buffett has a track record that speaks for itself. Since taking the reins as CEO of Berkshire in 1965, he's overseen the creation of nearly $630 billion in shareholder value and delivered a jaw-dropping average annual return of 20.1% for the company's Class A shares (BRK.A). To put this return into context, a $1,000 investment in the company's Class A shares 57 years ago would have been worth over $36 million by the end of 2021.
In other words, when Warren Buffett buys or sells shares of company, everyone from Wall Street professionals to everyday investors wisely pays close attention.
Berkshire Hathaway CEO Warren Buffett. Image source: The Motley Fool.
When bear markets arise, Warren Buffett goes on the offensive
Investors looking to ride the Oracle of Omaha's coattails can do so pretty easily by keeping tabs on Berkshire Hathaway's quarterly Form 13F filings with the Securities and Exchange Commission. Wealthy investors and institutional money managers with more than $100 million in assets under management are required to file a 13F within 45 days following the end of a quarter. A 13F provides a snapshot of what the brightest minds on Wall Street have been buying, selling, and holding.
As you can probably imagine, Warren Buffett has seen his fair share of stock market corrections and bear markets throughout history. He's well aware of the velocity and unpredictability of downside moves during bear markets. However, he more importantly recognizes that buying these dips during bear market declines is a genius move for long-term investors.
In other words, it shouldn't be a surprise that the current bear market has seen the Oracle of Omaha deploy tens of billions of Berkshire Hathaway's dollars into more than a dozen stocks.
The Oracle of Omaha has purchased a number of high-profile stocks in 2022
Berkshire Hathaway's second-quarter 13F filing, which corresponds with the period both the benchmark S&P 500 and tech-centric Nasdaq Composite entered their respective bear markets in 2022, saw Buffett and his investment team pile into energy stocks. More specifically, oil stocks Chevron (NYSE: CVX) and Occidental Petroleum (NYSE: OXY) combined to account for more than 10% of Berkshire Hathaway's invested assets.
Normally, bear markets are an abysmal time to be holding oil stocks due to the fear of reduced oil and natural gas demand. But these are unique times, and Warren Buffett likely foresees energy commodity prices remaining elevated for years. Russia's invasion of Ukraine is liable to hinder the global energy supply chain, especially in Europe. Meanwhile, major energy companies reducing their capital spending in response to the COVID-19 pandemic will make it difficult to quickly ramp-up production.
The Oracle of Omaha also took the time to add to Berkshire Hathaway's tech stock holdings. Buffett oversaw the addition to his company's top holding, Apple (NASDAQ: AAPL), as well as a sizable initial buy into personal-computing and printing solutions company HP (NYSE: HPQ).
HP looks to be an intriguing value play at less than 7 times Wall Street's forecast earnings for the upcoming year. Even with PC demand weakening a bit as employees return to the workplace, operating cash flow for HP tends to be highly predictable. Couple this with HP's share buyback program and 3.5% yield, and you have a prototypical, value-driven Buffett stock.
As for Apple, Warren Buffett has described the innovative tech company as one of Berkshire Hathaway's "four giants." Apple is the most-valuable brand in the world, according to a study by Kantar BrandZ, and has an incredibly loyal customer base. More importantly, it's a company that's had its sales and profits powered by innovation and not just price hikes.
With CEO Tim Cook overseeing Apple's transformation into a subscription services company, the expectation is for operating margins to improve over time as the revenue lumpiness associated with iPhone replacement cycles wanes.
Image source: Getty Images.
The one stock Warren Buffett has bought in each of the past two bear markets
However, you might be surprised to learn that Berkshire Hathaway's 13F filings don't tell the entire story of what the Oracle of Omaha has been buying. When examining both the company's 13Fs and its quarterly operating results, only one stock has been purchased in each of the past two bear markets (the coronavirus crash of March 2020 and the current bear market). That stock is (drum roll) ... Berkshire Hathaway.
Prior to July 17, 2018, Berkshire Hathaway's board of directors granted Warren Buffett and his right-hand man Charlie Munger the ability to repurchase shares if they were trading at or below 120% of book value (i.e., no more than 20% above the company's book value). For more than a half-decade leading up to July 17, 2018, Berkshire's share price never reached a level where buybacks could be made.
But after amendments were passed by the board on July 17, 2018, the Oracle of Omaha and Munger had more freedom to deploy their capital to repurchase Berkshire Hathaway's Class A and B shares. As long as the company has at least $30 billion in cash, cash equivalents, and U.S. Treasuries on its balance sheet, and both Buffett and Munger believe Berkshire Hathaway's share price is intrinsically inexpensive, buybacks can be made without any cap.
Seemingly making up for lost time, Warren Buffett has presided over the repurchase of $62.1 billion worth of Berkshire Hathaway's stock in a four-year time span. This includes $6.74 billion in cumulative buybacks during the first-half of 2020, and $4.19 billion worth of buybacks in the first-half of 2022.
Publicly traded companies with steady or increasing net income that repurchase their common stock over time will often generate higher earnings per share as a result of having fewer shares outstanding. Fundamentally, this can make a company's shares appear more attractive to value-oriented investors.
Warren Buffett continuing to repurchase his company's stock during each of the two bear markets is also a testament that he's willing to bet on himself and the vast network of companies Berkshire Hathaway owns and has invested in. Many of Berkshire Hathaway's investments are in cyclical businesses that benefit from the disproportionately long amount of time the U.S. and global economy spend expanding, relative to contracting.
If Warren Buffett is willing to aggressively bet on himself, perhaps investors should consider following in his footsteps.
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Sean Williams has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway (B shares), and HP. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Buffett oversaw the addition to his company's top holding, Apple (NASDAQ: AAPL), as well as a sizable initial buy into personal-computing and printing solutions company HP (NYSE: HPQ). When bear markets arise, Warren Buffett goes on the offensive Investors looking to ride the Oracle of Omaha's coattails can do so pretty easily by keeping tabs on Berkshire Hathaway's quarterly Form 13F filings with the Securities and Exchange Commission. With CEO Tim Cook overseeing Apple's transformation into a subscription services company, the expectation is for operating margins to improve over time as the revenue lumpiness associated with iPhone replacement cycles wanes.
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Buffett oversaw the addition to his company's top holding, Apple (NASDAQ: AAPL), as well as a sizable initial buy into personal-computing and printing solutions company HP (NYSE: HPQ). Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) CEO Warren Buffett has a track record that speaks for itself. In other words, it shouldn't be a surprise that the current bear market has seen the Oracle of Omaha deploy tens of billions of Berkshire Hathaway's dollars into more than a dozen stocks.
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Buffett oversaw the addition to his company's top holding, Apple (NASDAQ: AAPL), as well as a sizable initial buy into personal-computing and printing solutions company HP (NYSE: HPQ). The Oracle of Omaha has purchased a number of high-profile stocks in 2022 Berkshire Hathaway's second-quarter 13F filing, which corresponds with the period both the benchmark S&P 500 and tech-centric Nasdaq Composite entered their respective bear markets in 2022, saw Buffett and his investment team pile into energy stocks. Warren Buffett continuing to repurchase his company's stock during each of the two bear markets is also a testament that he's willing to bet on himself and the vast network of companies Berkshire Hathaway owns and has invested in.
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Buffett oversaw the addition to his company's top holding, Apple (NASDAQ: AAPL), as well as a sizable initial buy into personal-computing and printing solutions company HP (NYSE: HPQ). Berkshire Hathaway CEO Warren Buffett. That's right -- they think these 10 stocks are even better buys.
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19366.0
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2022-09-13 00:00:00 UTC
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U.S. to discuss new chips bill with Taiwan next month
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https://www.nasdaq.com/articles/u.s.-to-discuss-new-chips-bill-with-taiwan-next-month
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By Sarah Wu
TAIPEI, Sept 14 (Reuters) - The United States will hold talks with Taiwan next month to discuss new U.S. legislation designed to boost the American semiconductor industry, the top U.S. diplomat in Taipei said on Wednesday.
Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorised about $52 billion in government subsidies for U.S. semiconductor production and research, as well as an investment tax credit for chip plants estimated to be worth $24 billion.
The United States has been encouraging foreign tech firms to manufacture in the country, and the government has welcomed investments by Taiwan's TSMC 2330.TWTSM.N and GlobalWafers Co 6488.TWO.
Sandra Oudkirk, director of the American Institute in Taiwan, told an industry forum that the US-Taiwan Technology Trade and Investment Collaboration framework, or TTIC, has helped elevate and prioritise U.S.-Taiwan economic engagements.
"The TTIC is a powerful platform which we are already using to address challenges in the semiconductor space, such as critical chip shortages which adversely affect multiple industry sectors," she said of the framework, which was launched last year.
The next "engagement" under the framework will happen in Washington from Oct. 12-14, she added.
"At this event, we plan to host a roundtable discussion to share more on how the Chips and Science Act will be implemented in the United States," Oudkirk said, without elaborating.
"In addition to Taiwan investments in hardware and technology via the incentives provided by the Chips and Science Act, the United States seeks Taiwan's industry's continued support as we connect talent here and the innovative ecosystem here to the United States and other like-minded partners."
Taiwan has been keen to show the United States, its most important international backer and arms supplier despite the lack of formal diplomatic ties, that it is a reliable friend as a global chip crunch continues to impact auto production and consumer electronics.
TSMC, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, is constructing a $12 billion plant in the U.S. state of Arizona.
(Reporting by Sarah Wu; Writing by Ben Blanchard; Editing by Kenneth Maxwell)
((ben.blanchard@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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TSMC, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, is constructing a $12 billion plant in the U.S. state of Arizona. Sandra Oudkirk, director of the American Institute in Taiwan, told an industry forum that the US-Taiwan Technology Trade and Investment Collaboration framework, or TTIC, has helped elevate and prioritise U.S.-Taiwan economic engagements. "The TTIC is a powerful platform which we are already using to address challenges in the semiconductor space, such as critical chip shortages which adversely affect multiple industry sectors," she said of the framework, which was launched last year.
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TSMC, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, is constructing a $12 billion plant in the U.S. state of Arizona. By Sarah Wu TAIPEI, Sept 14 (Reuters) - The United States will hold talks with Taiwan next month to discuss new U.S. legislation designed to boost the American semiconductor industry, the top U.S. diplomat in Taipei said on Wednesday. Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorised about $52 billion in government subsidies for U.S. semiconductor production and research, as well as an investment tax credit for chip plants estimated to be worth $24 billion.
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TSMC, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, is constructing a $12 billion plant in the U.S. state of Arizona. By Sarah Wu TAIPEI, Sept 14 (Reuters) - The United States will hold talks with Taiwan next month to discuss new U.S. legislation designed to boost the American semiconductor industry, the top U.S. diplomat in Taipei said on Wednesday. Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorised about $52 billion in government subsidies for U.S. semiconductor production and research, as well as an investment tax credit for chip plants estimated to be worth $24 billion.
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TSMC, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, is constructing a $12 billion plant in the U.S. state of Arizona. By Sarah Wu TAIPEI, Sept 14 (Reuters) - The United States will hold talks with Taiwan next month to discuss new U.S. legislation designed to boost the American semiconductor industry, the top U.S. diplomat in Taipei said on Wednesday. Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorised about $52 billion in government subsidies for U.S. semiconductor production and research, as well as an investment tax credit for chip plants estimated to be worth $24 billion.
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19367.0
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2022-09-13 00:00:00 UTC
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Apple plans to use latest chip tech by Taiwan's TSMC in iPhones, Macs - Nikkei
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AAPL
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https://www.nasdaq.com/articles/apple-plans-to-use-latest-chip-tech-by-taiwans-tsmc-in-iphones-macs-nikkei
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nan
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Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday.
The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. (https://s.nikkei.com/3eMNG6i)
The A17 will be used in the premium entry in the iPhone lineup slated for release in 2023, it added.
The current iPhone model has an A15 processor chip and in the recent Apple launch event, the company said iPhone 14 Pro models will also have the same.
The chipmaker controls about 54% of theglobal marketfor contractually produced chips, supplying firms including Apple and Qualcomm Inc QCOM.O.
Apple and TSMC did not immediately respond to Reuters requests for comment.
(Reporting by Maria Ponnezhath in Bengaluru; Editing by Rashmi Aich)
((Maria.Ponnezhath@thomsonreuters.com; +91 8061822749;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. The chipmaker controls about 54% of theglobal marketfor contractually produced chips, supplying firms including Apple and Qualcomm Inc QCOM.O.
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Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. The current iPhone model has an A15 processor chip and in the recent Apple launch event, the company said iPhone 14 Pro models will also have the same.
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Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. The current iPhone model has an A15 processor chip and in the recent Apple launch event, the company said iPhone 14 Pro models will also have the same.
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Sept 14 (Reuters) - Apple Inc AAPL.O is planning to use an updated version of Taiwanese chipmaker TSMC's 2330.TW latest chip producing technology in iPhones and Macbooks next year, the Nikkei Asia newspaper reported on Wednesday. The A17 mobile processor, which is currently under development, will be mass-produced using TSMC's N3E chipmaking tech, expected to be available in the second half of next year, the report said, citing people familiar with the matter. (https://s.nikkei.com/3eMNG6i) The A17 will be used in the premium entry in the iPhone lineup slated for release in 2023, it added.
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19368.0
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2022-09-13 00:00:00 UTC
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Stock Market Today: Dow Sinks 1,276 Points After Alarming CPI Report
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AAPL
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https://www.nasdaq.com/articles/stock-market-today%3A-dow-sinks-1276-points-after-alarming-cpi-report
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nan
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nan
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Stocks were crushed Tuesday as the latest inflation update showed consumer prices remained elevated in August – dashing hopes that price pressures had peaked.
Looking at the numbers, the Labor Department this morning said its consumer price index (CPI), which tracks what consumers are paying for goods and services, was up 8.3% year-over-year in August. While this was down from the annual increases seen in both June (+9.1%) and July (+8.5%), the core CPI, which excludes more volatile energy and food prices, was up 6.3% from the year-ago period – more than the 5.9% jump seen in each of the two prior months. And month-over-month, core CPI accelerated 0.6%, much quicker than July's 0.3%.
SEE MORE 16 Dividend Kings for Decades of Dividend Growth
"Like the payroll report a couple of weeks ago, today's CPI report showed that this year's trends of persistent inflation and an excessively tight labor market are taking longer to move towards the Fed's targeted levels than originally expected," says Rick Rieder, BlackRock's chief investment officer of global fixed income.
Today's data will give the central bank "fodder to make another historically large rate hike of 75 basis points [at next week's policy meeting]," Rieder said. "The Fed's desire to take a vacation from raising rates almost definitively can't happen until the holiday season, and maybe a bit longer now."
Dustin Thackeray, chief investment officer at Crewe Advisor, echoes this outlook. "With today's higher-than-expected CPI data, the Fed's goal of attempting a soft landing just got more difficult," he says. "In an attempt to maintain the price stability target, the Fed will need to continue its stance of aggressive rate hikes, balance sheet reduction and hawkish rhetoric."
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The sizzling inflation update triggered a stock market selloff on Wall Street, with the major market indexes spiraling. The Nasdaq Composite plunged 5.2% to 11,633, while the S&P 500 Index (-4.3% to 3,932) and the Dow Jones Industrial Average (-3.9% to 31,104) suffered massive declines of their own. It was the market's worst day since June 2020.
SEE MORE 10 Low-Volatility ETFs for a Roller-Coaster Market
"Markets will likely continue to experience elevated volatility as this new information is digested and as the Fed continues in its attempt to tame higher than target inflation," Thackeray adds.
YCharts
Other news in the stock market today:
The small-cap Russell 2000 plunged 3.9% to 1,831.
U.S. crude futures slipped 0.5% to $97.31 per barrel.
Strength in the U.S. dollar sent gold futures down 1.3% to $1,717.40 an ounce.
Bitcoin wasn't immune to the selling, with the cryptocurrency shedding 9.4% to $20,309.23. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m.)
Large-cap tech stocks spiraled after this morning's inflation update sent the 10-year Treasury yield spiking 4.8 basis points to 3.41%. Apple (AAPL, -5.9%), Amazon.com (AMZN, -7.1%), Meta Platforms (META, -9.4%) and Netflix (NFLX, -7.8%) were among the day's biggest decliners.
Rent the Runway (RENT) plummeted 38.7% after the online clothing retailer reported earnings. While RENT recorded a narrower-than-expected per-share loss of 53 cents on higher-than-anticipated revenue of $76.5 million, active subscribers were down 8% quarter-over-quarter. The company also said it is slashing 24% of its workforce by the end of the fiscal year. "We thought Q2 could showcase solid consumer trial amid a multi-year peak in social events (weddings, parties, travel)," says Credit Suisse analyst Michael Binetti, who downgraded RENT to Neutral (Hold). "The significant deterioration in Active Customer trends in the quarter suggest that RENT is more susceptible to macro pressure on the aspirational consumer than we expected."
Use Fixed-Income Plays to Protect Against Inflation
One of the biggest concerns that cropped up in today's inflation report was that 0.6% rise in core CPI, says Gargi Chaudhuri, head of iShares investment strategy. The increase was driven primarily by housing costs, she adds, and this sticky inflation point could linger for longer, with rents expected to rise even more as the market for buying houses cools. "Housing and rental prices comprise 42% of core CPI inflation, the largest weighting of the CPI measure, because of their outsized share in most people's budgets," Chaudhuri continues.
SEE MORE How to Invest $1,000: Buy Fractional Shares (of Great Companies)
But the strategist says that investors have options to combat persistently high inflation, with products such as short-duration Treasury Inflation Protected Securities, or TIPS, which are bonds that are indexed to inflation via the CPI. "Investors should also consider investing in short-term bonds as a replacement for cash or a driver of income in their portfolios," she adds.
Those looking to bulk up the fixed-income section of their portfolios can do so through bond mutual funds and bond exchange-traded funds (ETFs). On both fronts, many of our recommendations are designed to counter the effects of higher prices. And better yet, our bond ETF picks do so at a low cost to investors. Check them out.
Karee Venema was long AAPL and AMZN as of this writing.
SEE MORE The Best Online Brokers and Trading Platforms, 2022
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple (AAPL, -5.9%), Amazon.com (AMZN, -7.1%), Meta Platforms (META, -9.4%) and Netflix (NFLX, -7.8%) were among the day's biggest decliners. Karee Venema was long AAPL and AMZN as of this writing. Today's data will give the central bank "fodder to make another historically large rate hike of 75 basis points [at next week's policy meeting]," Rieder said.
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Apple (AAPL, -5.9%), Amazon.com (AMZN, -7.1%), Meta Platforms (META, -9.4%) and Netflix (NFLX, -7.8%) were among the day's biggest decliners. Karee Venema was long AAPL and AMZN as of this writing. Stocks were crushed Tuesday as the latest inflation update showed consumer prices remained elevated in August – dashing hopes that price pressures had peaked.
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Apple (AAPL, -5.9%), Amazon.com (AMZN, -7.1%), Meta Platforms (META, -9.4%) and Netflix (NFLX, -7.8%) were among the day's biggest decliners. Karee Venema was long AAPL and AMZN as of this writing. SEE MORE 16 Dividend Kings for Decades of Dividend Growth "Like the payroll report a couple of weeks ago, today's CPI report showed that this year's trends of persistent inflation and an excessively tight labor market are taking longer to move towards the Fed's targeted levels than originally expected," says Rick Rieder, BlackRock's chief investment officer of global fixed income.
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Apple (AAPL, -5.9%), Amazon.com (AMZN, -7.1%), Meta Platforms (META, -9.4%) and Netflix (NFLX, -7.8%) were among the day's biggest decliners. Karee Venema was long AAPL and AMZN as of this writing. Stocks were crushed Tuesday as the latest inflation update showed consumer prices remained elevated in August – dashing hopes that price pressures had peaked.
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19369.0
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2022-09-13 00:00:00 UTC
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After Hours Most Active for Sep 13, 2022 : AAPL, INTC, SWN, KO, NVDA, IQ, CMCSA, CWK, AMZN, VALE, UBER, NEM
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AAPL
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https://www.nasdaq.com/articles/after-hours-most-active-for-sep-13-2022-%3A-aapl-intc-swn-ko-nvda-iq-cmcsa-cwk-amzn-vale
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nan
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The NASDAQ 100 After Hours Indicator is down -3.68 to 12,029.94. The total After hours volume is currently 111,462,657 shares traded.
The following are the most active stocks for the after hours session:
Apple Inc. (AAPL) is -0.19 at $153.65, with 4,834,597 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range".
Intel Corporation (INTC) is unchanged at $29.29, with 3,539,943 shares traded., following a 52-week high recorded in today's regular session.
Southwestern Energy Company (SWN) is +0.01 at $7.70, with 3,276,952 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2022. The consensus EPS forecast is $0.34. SWN's current last sale is 83.24% of the target price of $9.25.
Coca-Cola Company (The) (KO) is -0.03 at $60.44, with 3,114,090 shares traded. As reported by Zacks, the current mean recommendation for KO is in the "buy range".
NVIDIA Corporation (NVDA) is -0.31 at $131.00, with 2,999,656 shares traded., following a 52-week high recorded in today's regular session.
iQIYI, Inc. (IQ) is +0.01 at $3.36, with 2,977,138 shares traded. IQ's current last sale is 56% of the target price of $6.
Comcast Corporation (CMCSA) is -0.03 at $33.43, with 2,869,333 shares traded., following a 52-week high recorded in today's regular session.
Cushman & Wakefield plc (CWK) is unchanged at $14.72, with 2,803,314 shares traded. As reported by Zacks, the current mean recommendation for CWK is in the "buy range".
Amazon.com, Inc. (AMZN) is -0.09 at $126.73, with 2,578,565 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range".
VALE S.A. (VALE) is +0.02 at $13.17, with 2,545,476 shares traded. VALE's current last sale is 82.31% of the target price of $16.
Uber Technologies, Inc. (UBER) is -0.04 at $31.28, with 2,413,240 shares traded. As reported by Zacks, the current mean recommendation for UBER is in the "buy range".
Newmont Corporation (NEM) is -0.06 at $42.97, with 2,174,283 shares traded. NEM's current last sale is 71.62% of the target price of $60.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc. (AAPL) is -0.19 at $153.65, with 4,834,597 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Intel Corporation (INTC) is unchanged at $29.29, with 3,539,943 shares traded., following a 52-week high recorded in today's regular session.
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Apple Inc. (AAPL) is -0.19 at $153.65, with 4,834,597 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Intel Corporation (INTC) is unchanged at $29.29, with 3,539,943 shares traded., following a 52-week high recorded in today's regular session.
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Apple Inc. (AAPL) is -0.19 at $153.65, with 4,834,597 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The total After hours volume is currently 111,462,657 shares traded.
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Apple Inc. (AAPL) is -0.19 at $153.65, with 4,834,597 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The following are the most active stocks for the after hours session:
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19370.0
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2022-09-13 00:00:00 UTC
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US STOCKS-Wall St tumbles to biggest loss in two years following CPI data
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-st-tumbles-to-biggest-loss-in-two-years-following-cpi-data
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nan
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nan
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By Stephen Culp
NEW YORK, Sept 13 (Reuters) - A broad sell-off sent U.S. stocks reeling on Tuesday after a hotter-than-expected inflation report dashed hopes that the Federal Reserve could relent and scale back its policy tightening in the coming months.
All three major U.S. stock indexes veered sharply lower, snapping four-day winning streaks and notching their biggest one-day percentage drops since June 2020 during the throes of the COVID-19 pandemic.
Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest.
"(The sell-off) is not a surprise given the rally running up to the data," said Paul Nolte, portfolio manager at Kingsview Asset Management in Chicago.
The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes.
Core CPI, which strips out volatile food and energy prices, increased more than expected, rising to 6.3% from 5.9% in July.
The report points to "very persistent inflation and that means the Fed is going to remain engaged and raise rates," Nolte added. "And that’s an anathema to equities."
Financial markets have fully priced in an interest rate hike of at least 75 basis points at the conclusion of the FOMC's policy meeting next week, with a 32% probability of a super-sized, full-percentage-point increase to the Fed funds target rate, according to CME's FedWatch tool. FEDWATCH
"The Fed has increased (interest rates) by three full percentage points in the last six months," Nolte said. "We have not yet felt the full impact of all those increases. But we will feel it."
"We are at recession’s doorstep."
Worries persist that a prolonged period of policy tightening from the Fed could tip the economy over the brink of recession.
The inversion of yields on two- and 10-year Treasury notes, regarded as a red flag of impending recession, widened further. US/
The Dow Jones Industrial Average .DJI fell 1,276.37 points, or 3.94%, to 31,104.97, the S&P 500 .SPX lost 177.72 points, or 4.32%, to 3,932.69 and the Nasdaq Composite .IXIC dropped 632.84 points, or 5.16%, to 11,633.57.
All 11 major sectors of the S&P 500 ended the session deep in red territory.
Communications services .SPLRCL, consumer discretionary .SPLRCD and tech .SPLRCT shares all plummeted more than 5%, while the tech subset semiconductor sector .SOX sank 6.2%.
Declining issues outnumbered advancing ones on the NYSE by a 7.76-to-1 ratio; on Nasdaq, a 3.64-to-1 ratio favored decliners.
The S&P 500 posted 1 new 52-week high and 16 new lows; the Nasdaq Composite recorded 29 new highs and 163 new lows.
Volume on U.S. exchanges was 11.58 billion shares, compared with the 10.33 billion average over the last 20 trading days.
(Reporting by Stephen Culp in New York Additional reporting by Devik Jain, Ankika Biswas in Bengaluru and Sinead Carew in New York Editing by Matthew Lewis)
((stephen.culp@thomsonreuters.com; 646-223-6076;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. By Stephen Culp NEW YORK, Sept 13 (Reuters) - A broad sell-off sent U.S. stocks reeling on Tuesday after a hotter-than-expected inflation report dashed hopes that the Federal Reserve could relent and scale back its policy tightening in the coming months. The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes. FEDWATCH "The Fed has increased (interest rates) by three full percentage points in the last six months," Nolte said.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. Financial markets have fully priced in an interest rate hike of at least 75 basis points at the conclusion of the FOMC's policy meeting next week, with a 32% probability of a super-sized, full-percentage-point increase to the Fed funds target rate, according to CME's FedWatch tool. FEDWATCH "The Fed has increased (interest rates) by three full percentage points in the last six months," Nolte said.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. The report points to "very persistent inflation and that means the Fed is going to remain engaged and raise rates," Nolte added. FEDWATCH "The Fed has increased (interest rates) by three full percentage points in the last six months," Nolte said.
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19371.0
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2022-09-13 00:00:00 UTC
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3 Best Index Funds to Buy Now
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AAPL
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https://www.nasdaq.com/articles/3-best-index-funds-to-buy-now
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nan
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The modern exchange-traded fund (ETF) was invented in 1975 by John Bogle, who founded the investing firm Vanguard Group. Today, it has more than $7 trillion of assets under management.
Bogle noticed that most money managers failed to beat the annual return of the stock market. He concluded that if investors can’t beat the market return through stock picking, they should give up and simply track the performance of the market itself. Rather than pool a bunch of stocks together in a mutual fund, Bogle devised a way to track and approximate the market’s overall performance. Thus, the ETF industry was born.
Today, the industry exceeds a value of $10 trillion. Perhaps best of all, the passive investing style of ETFs lead to much lower fees and costs than actively managed mutual funds. Given the benefits of ETFs, it should come as no surprise they remain a preferred investment vehicle.
Here are three of the best index funds to buy now.
Best Index Funds to Buy: iShares U.S. Energy ETF (IYE)
Source: Dmitry Demidovich / Shutterstock
Oil and gas stocks have been the lone bright spot in the overall market this year. With crude oil prices as high as $110 per barrel this summer, its highest level since the market collapsed in 2014 and 2015, stocks of major oil and gas companies have skyrocketed.
Shares of Occidental Petroleum (NYSE:OXY) are up 108% year-to-date (YTD), Exxon Mobil (NYSE:XOM) stock is up 51% and Devon Energy’s (NYSE:DVN) share price has gained 52%. All this occurred while both the S&P 500 and Nasdaq indexes fell into a bear market. For this reason, investors may want to add some exposure to the oil and gas sector to their portfolio through a leading energy ETF.
Among ETFs that cover the oil and gas industry, the iShares U.S. Energy ETF (NYSEARCA:IYE) is the very best in terms of the coverage and diversification it offers, as well as the fees it charges. With the IYE, investors get exposure to most of the major oil production and exploration companies in the U.S.
In addition to the aforementioned oil stocks, the IYE ETF also includes Chevron (NYSE:CVX), ConocoPhillips (NYSE:COP) and Marathon Oil (NYSE:MRO), to name only a few. The fund is up 65% over the past year, pays a quarterly dividend of 34 cents per share and charges a management fee of 0.41%.
Vanguard 500 Index Fund (VOO)
Source: Shutterstock
Perhaps the best ETF to track the overall market, the Vanguard 500 Index Fund (NYSEARCA:VOO) mirrors the performance of the benchmark S&P 500.
The nice thing about this index is that, owing to its size, it includes stocks that have small, mid-sized and large market capitalizations and provides built-in diversification to investors. Some of the most prominent investors of all-time, including Vanguard founder John Bogle and Berkshire Hathaway (NYSE:BRK-B) chief executive Warren Buffett, urge most investors to focus on an ETF that tracks the S&P 500.
“I recommend the S&P 500 index fund and have for a long, long time to people,” said Buffett at Berkshire Hathaway’s annual meeting in 2021. In fact, VOO is one of the few ETFs that Buffett holds within Berkshire’s massive stock portfolio that is worth more than $300 billion.
With Vanguard’s S&P 500 ETF, investors gain exposure to many of the largest and best-performing stocks in the world. The fund’s top 10 holdings include blue-chip names such as Apple (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), UnitedHealth (NYSE:UNH) and Berkshire Hathaway. It provides an enormous amount of diversification across economic sectors that include health care, real estate, energy, technology and consumer discretionary stocks.
While VOO is down almost 17% this year at $365 per share, the drop reflects the fact that the S&P 500 index itself is down this year. But over 10 years, the fund has gained 14.36%. And best of all, Vanguard’s S&P 500 ETF is extremely affordable to own, with an expense ratio of only 0.03%.
Best Index Funds to Buy: Invesco QQQ Trust (QQQ)
Source: Shutterstock
Technology stocks are down this year, but they’re far from out. Many of the best-run and most profitable companies in the world are in the technology space, including Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG) and Nvidia (NASDAQ:NVDA).
Long-term technology stocks can be expected to rebound and thrive, especially the market-leading names in the space. One of the best ways for investors to gain exposure to technology stocks and innovation is by investing in the Invesco QQQ ETF (NASDAQ:QQQ), which tracks the Nasdaq 100 index that is comprised of the largest tech stocks by market weighting.
Often referred to as the “Triple Q” or simply the “Q,” the Invesco QQQ Trust gives investors access to the aforementioned tech giants, as well as stocks such as Apple, Amazon (NASDAQ:AMZN), Tesla (NASDAQ:TSLA) and Meta Platforms (NASDAQ:META). The QQQ ETF is down 26% year-to-date at $297 per share, mirroring the decline in the Nasdaq. But over the last decade, the Invesco QQQ Trust has delivered a 20% return to investors.
The expense ratio is also relatively affordable at 0.2%. Additionally, the QQQ is one of the best known and largest ETFs available to investors, with assets under management of $168 billion.
On the date of publication, Joel Baglole held long positions in MSFT, NVDA, GOOGL and AAPL. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.
The post 3 Best Index Funds to Buy Now appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The fund’s top 10 holdings include blue-chip names such as Apple (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), UnitedHealth (NYSE:UNH) and Berkshire Hathaway. On the date of publication, Joel Baglole held long positions in MSFT, NVDA, GOOGL and AAPL. Best Index Funds to Buy: iShares U.S. Energy ETF (IYE) Source: Dmitry Demidovich / Shutterstock Oil and gas stocks have been the lone bright spot in the overall market this year.
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The fund’s top 10 holdings include blue-chip names such as Apple (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), UnitedHealth (NYSE:UNH) and Berkshire Hathaway. On the date of publication, Joel Baglole held long positions in MSFT, NVDA, GOOGL and AAPL. Best Index Funds to Buy: iShares U.S. Energy ETF (IYE) Source: Dmitry Demidovich / Shutterstock Oil and gas stocks have been the lone bright spot in the overall market this year.
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The fund’s top 10 holdings include blue-chip names such as Apple (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), UnitedHealth (NYSE:UNH) and Berkshire Hathaway. On the date of publication, Joel Baglole held long positions in MSFT, NVDA, GOOGL and AAPL. Best Index Funds to Buy: iShares U.S. Energy ETF (IYE) Source: Dmitry Demidovich / Shutterstock Oil and gas stocks have been the lone bright spot in the overall market this year.
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The fund’s top 10 holdings include blue-chip names such as Apple (NASDAQ:AAPL), Johnson & Johnson (NYSE:JNJ), UnitedHealth (NYSE:UNH) and Berkshire Hathaway. On the date of publication, Joel Baglole held long positions in MSFT, NVDA, GOOGL and AAPL. For this reason, investors may want to add some exposure to the oil and gas sector to their portfolio through a leading energy ETF.
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19372.0
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2022-09-13 00:00:00 UTC
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US STOCKS-Wall Street slides as CPI data locks in another hefty Fed rate hike
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-slides-as-cpi-data-locks-in-another-hefty-fed-rate-hike
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nan
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By Stephen Culp
NEW YORK, Sept 13 (Reuters) - Wall Street tumbled in a broad sell-off on Tuesday after hotter-than-expected inflation data dashed hopes that the Federal Reserve could relent and scale back its policy tightening in the near future.
The S&P 500, the Dow and the Nasdaq all veered sharply lower, snapping a four-day winning streak and erasing a sizeable chunk of recent gains.
Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest.
The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes.
Core CPI, which strips out volatile food and energy prices, increased more than expected, rising to 6.3% from 5.9% in July.
"This was another disappointment," said Mona Mahajan, senior investment strategist at Edward Jones in St Louis. "It's the old Charlie Brown analogy - every time we're ready to kick the ball, it's moved away from us."
"It's two steps forward and one step backwards and this may be a step back today."
Financial markets have fully priced in an interest rate hike of at least 75 basis points at the conclusion of the FOMC's policy meeting next week, with an 18% probability of a super-sized, full-percentage-point increase to the Fed funds target rate, according to CME's FedWatch tool. FEDWATCH
"Bottom line, (the CPI report) only fortifies the Fed’s hand for a tougher inflation fight," said Peter Cardillo, chief market economist at Spartan Capital Securities.
Worries persist that a prolonged period of policy tightening from the Fed could tip the economy over the brink of recession.
The inversion of yields on two- and 10-year Treasury notes, regarded as a red flag of impending recession, widened further. US/
The CBOE Market Volatility index .VIX, often dubbed "the fear index," was set for its biggest one-day point jump since late August.
The Dow Jones Industrial Average .DJI fell 904.26 points, or 2.79%, to 31,477.08, the S&P 500 .SPX lost 127.23 points, or 3.10%, to 3,983.18 and the Nasdaq Composite .IXIC dropped 478.03 points, or 3.9%, to 11,788.38.
All 11 of major sectors in the S&P 500 were deep in red territory, with communications services .SPLRCL tumbling the most.
Consumer discretionary .SPLRCD, tech .SPLRCT and the tech subset semiconductor sector .SOX were suffering steeper drops than the broader market.
Declining issues outnumbered advancing ones on the NYSE by a 7.82-to-1 ratio; on Nasdaq, a 3.62-to-1 ratio favored decliners.
The S&P 500 posted 1 new 52-week high and 2 new lows; the Nasdaq Composite recorded 23 new highs and 122 new lows.
(Reporting by Stephen Culp in New York Additional reporting by Devik Jain, Ankika Biswas in Bengaluru and Sinead Carew in New York Editing by Matthew Lewis)
((stephen.culp@thomsonreuters.com; 646-223-6076;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. By Stephen Culp NEW YORK, Sept 13 (Reuters) - Wall Street tumbled in a broad sell-off on Tuesday after hotter-than-expected inflation data dashed hopes that the Federal Reserve could relent and scale back its policy tightening in the near future. The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. By Stephen Culp NEW YORK, Sept 13 (Reuters) - Wall Street tumbled in a broad sell-off on Tuesday after hotter-than-expected inflation data dashed hopes that the Federal Reserve could relent and scale back its policy tightening in the near future. The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. Financial markets have fully priced in an interest rate hike of at least 75 basis points at the conclusion of the FOMC's policy meeting next week, with an 18% probability of a super-sized, full-percentage-point increase to the Fed funds target rate, according to CME's FedWatch tool. The Dow Jones Industrial Average .DJI fell 904.26 points, or 2.79%, to 31,477.08, the S&P 500 .SPX lost 127.23 points, or 3.10%, to 3,983.18 and the Nasdaq Composite .IXIC dropped 478.03 points, or 3.9%, to 11,788.38.
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Surging risk-off sentiment pulled every major sector deep into negative territory, with interest-rate-sensitive tech and tech-adjacent market leaders, led by Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O weighing heaviest. By Stephen Culp NEW YORK, Sept 13 (Reuters) - Wall Street tumbled in a broad sell-off on Tuesday after hotter-than-expected inflation data dashed hopes that the Federal Reserve could relent and scale back its policy tightening in the near future. The Labor Department's consumer price index (CPI) came in above consensus, interrupting a cooling trend and throwing cold water on hopes that the Federal Reserve could relent after September and ease up on its interest rate hikes.
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19373.0
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2022-09-13 00:00:00 UTC
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Why Nvidia, Amazon, and Apple Stocks All Slumped Tuesday Morning
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AAPL
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https://www.nasdaq.com/articles/why-nvidia-amazon-and-apple-stocks-all-slumped-tuesday-morning
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What happened
If there is a single watchword that defines 2022, it would be inflation. Consumers and investors alike have been looking for signs that rising prices will eventually ease.
When the latest government report on inflation hit the wire Tuesday morning, it revealed that while prices weren't increasing as quickly as they had been, the news was still worse than expected, sparking a wide-ranging sell-off on Wall Street.
With that as a backdrop, shares of Nvidia (NASDAQ: NVDA) tumbled as much as 7.8%, Amazon (NASDAQ: AMZN) slumped as much as 6%, and Apple (NASDAQ: AAPL) slipped as much as 4.5%. As of 12:45 p.m. ET, the trio were still trading lower, down 7.5%, 5.1%, and 4.2%, respectively.
To be clear, there was little in the way of company-specific news driving these technology stocks lower -- and what could be found was decidedly positive. This suggests that investors were hyperfocused on the macroeconomic data and what it means for the future.
So what
The monthly report from the U.S. Bureau of Labor Statistics laid out the state of inflation during the month of August, and things were even worse than many expected. The Consumer Price Index (CPI), the most widely followed government measure of inflation, increased 0.1% for the month and rose 8.3% year over year.
To give this number context, it's lower than the 8.5% that prices increased in July. Unfortunately it was also worse than the 8.1% forecast issued by economists. The "core" data, which strips out highly volatile food and energy prices, still climbed a miserable 6.3% over the preceding 12 months.
If there was a silver lining in the cloudy inflation data, it was that energy prices continued to ease off recent highs, declining 5% for the month. The biggest contributor to the drop was lower prices at the pump, as the gasoline index fell by a hefty 10.6%.
The declines were more than offset by increases in many basic necessities, including higher food prices, which notched an 11.4% increase year over year, the largest yearly increase since 1979.
Now what
The persistent inflation is weighing on investor sentiment, but even as this dreary macroeconomic data gave them pause, there is actually some positive company-specific data that suggests investors should actually consider buying these stocks.
Reports suggest that Nvidia and Taiwan Semiconductor Manufacturing are working on a solution that would daisy-chain multiple graphics processing units (GPU) together in a new way, which would be deployed for artificial intelligence (AI) uses. This could help fuel Nvidia's sales, as the company has been increasingly focused on technology used in cloud computing, data centers, and AI, which has quickly become one of the company's biggest growth engines.
In the case of Apple, early presale data for the iPhone 14 suggests robust demand. Over the past couple of days, various analysts tracking the data have reported that wait times are growing for the iconic device. History suggests that longer ship times correlate with strong demand.
Early Tuesday, noted Apple follower Evercore ISI analyst Amit Daryanani joined that chorus, noting that lead times are long, particularly for the iPhone 14 Pro, Pro Max, and Plus models, according to The Fly. The data suggests that consumers are opting for these higher-priced models, which could have a materially positive impact on the average selling price (ASP) of iPhones -- and Apple's margins.
For its part, Amazon announced the debut of the latest model of its Kindle e-reader. The entry-level model, which the company calls its "lightest and most compact," comes with numerous upgrades, providing a tempting alternative for users looking to join the digital reading crowd or replace an existing e-reader.
Electronic devices represent just a small part of Amazon's business, so it certainly won't move the needle. That said, it helps make Amazon's ecosystem stickier, attracting new customers and hanging on to existing ones.
In the face of the ongoing Nasdaq bear market, shares of Nvidia, Amazon, and Apple are currently trading down 60%, 30%, and 14% off their respective highs. Furthermore, these industry leaders are currently selling at 10, 6, and 2 times next years' sales, respectively, each near their lowest valuations in several years. Given that they dominate their respective industries and have a long track record of overcoming challenges -- macroeconomic and otherwise -- this might be a great opportunity to buy shares of these iconic companies at a discount.
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John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Danny Vena has positions in Amazon, Apple, and Nvidia. The Motley Fool has positions in and recommends Amazon, Apple, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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With that as a backdrop, shares of Nvidia (NASDAQ: NVDA) tumbled as much as 7.8%, Amazon (NASDAQ: AMZN) slumped as much as 6%, and Apple (NASDAQ: AAPL) slipped as much as 4.5%. When the latest government report on inflation hit the wire Tuesday morning, it revealed that while prices weren't increasing as quickly as they had been, the news was still worse than expected, sparking a wide-ranging sell-off on Wall Street. Reports suggest that Nvidia and Taiwan Semiconductor Manufacturing are working on a solution that would daisy-chain multiple graphics processing units (GPU) together in a new way, which would be deployed for artificial intelligence (AI) uses.
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With that as a backdrop, shares of Nvidia (NASDAQ: NVDA) tumbled as much as 7.8%, Amazon (NASDAQ: AMZN) slumped as much as 6%, and Apple (NASDAQ: AAPL) slipped as much as 4.5%. Early Tuesday, noted Apple follower Evercore ISI analyst Amit Daryanani joined that chorus, noting that lead times are long, particularly for the iPhone 14 Pro, Pro Max, and Plus models, according to The Fly. The Motley Fool has positions in and recommends Amazon, Apple, Nvidia, and Taiwan Semiconductor Manufacturing.
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With that as a backdrop, shares of Nvidia (NASDAQ: NVDA) tumbled as much as 7.8%, Amazon (NASDAQ: AMZN) slumped as much as 6%, and Apple (NASDAQ: AAPL) slipped as much as 4.5%. The declines were more than offset by increases in many basic necessities, including higher food prices, which notched an 11.4% increase year over year, the largest yearly increase since 1979. Now what The persistent inflation is weighing on investor sentiment, but even as this dreary macroeconomic data gave them pause, there is actually some positive company-specific data that suggests investors should actually consider buying these stocks.
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With that as a backdrop, shares of Nvidia (NASDAQ: NVDA) tumbled as much as 7.8%, Amazon (NASDAQ: AMZN) slumped as much as 6%, and Apple (NASDAQ: AAPL) slipped as much as 4.5%. The Consumer Price Index (CPI), the most widely followed government measure of inflation, increased 0.1% for the month and rose 8.3% year over year. In the case of Apple, early presale data for the iPhone 14 suggests robust demand.
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2022-09-13 00:00:00 UTC
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Apple (AAPL) Shares Gain on Strong iPhone 14 Pro Max Demand
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AAPL
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https://www.nasdaq.com/articles/apple-aapl-shares-gain-on-strong-iphone-14-pro-max-demand
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nan
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Apple’s AAPL shares increased 3.85% to close at $163.43 on Sep 12, following strong pre-order data for its latest iPhone 14 devices, particularly the iPhone Pro Max. Per Bloomberg data, this was Apple’s biggest one-day gain since May 27.
Apple unveiled four new iPhone models — iPhone 14, iPhone 14 Plus, iPhone 14 Pro and iPhone 14 Pro Max — on Sep 7, at its biggest product launch event of the year. The company also launched the next-gen Airpods Pro, the Apple Watch Series 8, the new Apple Watch SE, Apple Watch Ultra and updates to Fitness+ at the event.
Apple’s 5G-supported iPhone 14 (6.1-inch) and iPhone 14 Plus (6.7-inch) are powered by the A15 Bionic chip with a 5-core GPU and feature an eSIM. The iPhone Pro (6.1-inch) and Pro Max (6.7-inch) models feature Dynamic Island (a new design) and the Always-On display. These models are powered by an A16 Bionic chip.
Apple enhanced the safety features of iPhone 14 models with the introduction of Crash Detection and Emergency SOS via satellite. The latter feature will be available to users in the United States and Canada in November, and the service will be free for two years.
iPhone 14 Pro and iPhone 14 Pro Max will be available in four colors, deep purple, silver, gold, and space black. iPhone 14 Pro and Pro Max will be available beginning Sep 16. iPhone 14 and iPhone 14 Plus will be available in five new colors — midnight, blue, starlight, purple and red — beginning Oct 7.
Apple Inc. Price and Consensus
Apple Inc. price-consensus-chart | Apple Inc. Quote
New iPhones to Boost Apple’s Prospects
Apple has been struggling in 2022, primarily due to coronavirus-induced supply-chain disruptions, industry-wide silicon shortage, unfavorable forex and the Russia-Ukraine conflict.
The near-term outlook is not enthusiastic, given the headwinds. Apple did not provide revenue guidance for the third quarter of fiscal 2022. Apple expects COVID-induced supply chain disruptions and the industry-wide silicon shortage to hurt its top line by $4-$8 billion. Unfavorable forex is also expected to hurt revenues by 300 basis points (bps).
Moreover, the absence of revenues from Russia is expected to hurt the top line by 150 bps. Apple paused all sales in Russia during the fiscal second quarter (March quarter).
Nevertheless, the strong pre-order data for iPhones is encouraging for Apple. The company also released iOS 16 for iPhone users. The latest version offers features including new edit, undo send, and mark conversations as unread features as well as a completely customizable lock screen.
Apple TV+ Gains More Recognition
Apple is expected to benefit from the strong momentum of the Services portfolio, of which Fitness+ and Apple TV+ are a part. This Zacks Rank #3 (Hold) stock had more than 860 million paid subscribers across its Services portfolio at the end of the fiscal third quarter. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Apple TV+’s hit show – Ted Lasso – won an Emmy for Outstanding Comedy Series. Jason Sudeikis also won an Emmy for Lead Actor.
Apple TV+’s growing recognition bodes well for the Services segment. The streaming service faces stiff competition from the likes of Netflix NFLX, Disney’s DIS Disney+, Warner Bros. Discovery’s WBD HBO Max, Amazon Prime Video, Peacock and Paramount+.
At this year’s Emmy, Netflix won 26 awards but trailed HBO Max, which won 37. Apple TV+ won a total of seven awards while both Disney+ and Amazon Prime Video won six each.
Shares of the iPhone maker have been down 8% year to date. Nevertheless, the stock has managed to outperform the Zacks Computer & Technology sector’s decline of 27.1%. Shares of Netflix, Disney and Warner Bros. Discovery are down 60.8%, 24.9% and 43.5% year to date, respectively.
Netflix and Disney+ are set to bring a cheaper ad-supported tier to attract new users. Apple TV+, at a much affordable $4.99, is benefiting from quality content with its strong portfolio of original shows and movies. Its upcoming original movies include The Greatest Beer Run Ever starring Zac Efron, Causeway starring Jennifer Lawrence and Spirited starring Will Ferrell and Ryan Reynolds.
Apple TV+ has been signing deals with the likes of Maya Rudolph's production company, Animal Pictures, Scott Free Productions, Appian Way, Sikelia Productions and Green Door Pictures to build its content portfolio.
Apple TV+ also won exclusive rights to broadcast Major League Soccer worldwide for 10 years, starting from 2023.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple’s AAPL shares increased 3.85% to close at $163.43 on Sep 12, following strong pre-order data for its latest iPhone 14 devices, particularly the iPhone Pro Max. Apple Inc. (AAPL): Free Stock Analysis Report Apple enhanced the safety features of iPhone 14 models with the introduction of Crash Detection and Emergency SOS via satellite.
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Apple’s AAPL shares increased 3.85% to close at $163.43 on Sep 12, following strong pre-order data for its latest iPhone 14 devices, particularly the iPhone Pro Max. Apple Inc. (AAPL): Free Stock Analysis Report Apple unveiled four new iPhone models — iPhone 14, iPhone 14 Plus, iPhone 14 Pro and iPhone 14 Pro Max — on Sep 7, at its biggest product launch event of the year.
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Apple’s AAPL shares increased 3.85% to close at $163.43 on Sep 12, following strong pre-order data for its latest iPhone 14 devices, particularly the iPhone Pro Max. Apple Inc. (AAPL): Free Stock Analysis Report Apple unveiled four new iPhone models — iPhone 14, iPhone 14 Plus, iPhone 14 Pro and iPhone 14 Pro Max — on Sep 7, at its biggest product launch event of the year.
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Apple’s AAPL shares increased 3.85% to close at $163.43 on Sep 12, following strong pre-order data for its latest iPhone 14 devices, particularly the iPhone Pro Max. Apple Inc. (AAPL): Free Stock Analysis Report Apple unveiled four new iPhone models — iPhone 14, iPhone 14 Plus, iPhone 14 Pro and iPhone 14 Pro Max — on Sep 7, at its biggest product launch event of the year.
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2022-09-13 00:00:00 UTC
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Apple Stock Remains a Buy After These Product Announcements
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AAPL
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https://www.nasdaq.com/articles/apple-stock-remains-a-buy-after-these-product-announcements
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
There’s no denying it: people love Apple (NASDAQ:AAPL) products. They’re willing to pay top dollar for them, yet Apple made a savvy move in not raising the price of its least expensive new iPhone model. Furthermore, Apple has new, feature-rich products besides the iPhone 14. Sensible investors can continue to hold AAPL stock with confidence.
When Apple comes out with a new iPhone version, it’s almost like a national holiday in America. It’s not just the shoppers who are waiting with anticipation, though. Apple’s investors are also bracing for a fresh wave of sales and revenue, and hoping for a share-price boost as well.
So, let’s celebrate Apple’s latest offerings and delve into the details of Apple’s carefully considered iPhone 14 roll-out. At the same time, understand that there’s more to Apple than the iPhone, as the company has other gadgets to capture tech lovers’ attention.
AAPL Apple $156.50
What’s Happening with AAPL Stock?
It’s not every day that we can discern such a cut-and-dried resistance line as we see with AAPL stock. The share price has to break through its long-standing resistance at $180 before it can move much higher.
Patience will be the key to success for Apple’s loyal investors. Just remember that you’re invested in a great company, and the shares certainly aren’t overpriced. After all, Apple’s trailing 12-month price-to-earnings (P/E) ratio is quite reasonable at 25.98.
Also, investors should know that Apple is making all the right moves in its iPhone 14 roll-out. Despite high inflation, Apple kept the starting price of the iPhone 14 at $799. Anyone who assumed that Apple would make its phones unaffordable was proven wrong.
Don’t Ignore Apple’s Other Products
Everybody and his uncle is probably going to focus their attention on the new iPhones. That’s understandable, as it’s an iconic product. You can go here and here to get the details on the latest versions.
Yet, both consumers and investors shouldn’t ignore Apple’s other tech-enhanced products. These are important revenue sources for Apple, after all.
For one thing, Apple’s rolling out its latest iteration of the Airpods Pro. These feature a new H2 chip along with major upgrades to Active Noise Cancellation and Transparency mode.
Then, in the watch category, there are the Apple Watch Series 8 and SE. The Series 8 includes “a large, Always-On Retina display and a strong crack-resistant front crystal” as well as “all-day 18-hour battery life.” As for the Apple Watch SE, it offers “Activity tracking, high and low heart rate notifications, and Emergency SOS,” among other features.
Plus, there’s a notable inclusion in the software category. Ready to get your heart rate going? If so, then you might be interested in Apple’s fitness and wellness service known as Fitness+. This fall, Apple Fitness+ will be “available for all iPhone users to subscribe to and enjoy, even if they don’t have an Apple Watch.”
What You Can Do Now
Are we trying to sell you on Apple products? Not really, though Apple’s investors ought to have a firm belief that people will cough up for these high-tech gadgets.
Chances are, shoppers will gladly pay for these feature-packed offerings. Apple obviously put a lot of thought into these new products and their prices – and you might want to put some thought into how many AAPL stock shares you’d like to own now.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.
Louis Navellier, who has been called “one of the most important money managers of our time,” has broken the silence in this shocking “tell all” video… exposing one of the most shocking events in our country’s history… and the one move every American needs to make today.
The post Apple Stock Remains a Buy After These Product Announcements appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips There’s no denying it: people love Apple (NASDAQ:AAPL) products. Sensible investors can continue to hold AAPL stock with confidence. AAPL Apple $156.50 What’s Happening with AAPL Stock?
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips There’s no denying it: people love Apple (NASDAQ:AAPL) products. Sensible investors can continue to hold AAPL stock with confidence. AAPL Apple $156.50 What’s Happening with AAPL Stock?
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Apple obviously put a lot of thought into these new products and their prices – and you might want to put some thought into how many AAPL stock shares you’d like to own now. InvestorPlace - Stock Market News, Stock Advice & Trading Tips There’s no denying it: people love Apple (NASDAQ:AAPL) products. Sensible investors can continue to hold AAPL stock with confidence.
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips There’s no denying it: people love Apple (NASDAQ:AAPL) products. Sensible investors can continue to hold AAPL stock with confidence. AAPL Apple $156.50 What’s Happening with AAPL Stock?
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19376.0
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2022-09-13 00:00:00 UTC
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Better Buy: Apple vs. Microsoft
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AAPL
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https://www.nasdaq.com/articles/better-buy%3A-apple-vs.-microsoft
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nan
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nan
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It's been over a decade since Apple (NASDAQ: AAPL) ran its "Get a Mac" campaign, a series of TV ads featuring a casually dressed man named Mac and a formally dressed man in a suit and tie representing a Microsoft (NASDAQ: MSFT) personal computer (PC). The ads ran from 2006 to 2009 and often depicted Apple computers as faster and hipper, while Microsoft's PCs were slow and outdated.
Now a piece of history in the tech world, the ad campaign was one of the last times Apple and Microsoft were truly put up against each other for all to see, as the businesses have slightly diverged. These days, Apple is more often compared to companies such as Samsung for its smartphones or even Netflix when discussing video streaming. Meanwhile, Microsoft is in a very heated console war with Sony.
However, Microsoft has gone after Apple in recent years with its line of premium Surface laptops and tablets to more closely compete with MacBooks and iPads. As a result, tech investors might wonder which company's stock is the better buy. Let's find out.
Microsoft: A better short-term buy
Tech stocks have fallen out of favor in 2022, with the Nasdaq-100 Technology Sector index down 30% year to date as rising inflation and fears of a recession slow consumer spending. Microsoft has similarly been affected, losing a more moderate 20% in its stock price during the same period. The company is home to leading brands such as Xbox, Windows, and Office, and yet decreased demand in the PC market has sent its stock tumbling. Its recent dip might make it an excellent stock for investors with more short-term goals.
Microsoft's price-to-earnings ratio sits at 25% less than it was a year ago and considerably less than its average, suggesting its financials are in better standing than its stock price represents. Since July 2021, Microsoft's revenue has grown 18% to $198 billion, with free cash flow rising 16% to $65 billion. Meanwhile, its cloud computing service, Azure, claimed 24% of cloud infrastructure spending in the second quarter of 2022, an increase of 22% from the previous year.
As Microsoft's cloud business flourishes, its gaming endeavors are also ramping up. Its planned acquisition of games company Activision Blizzard will see Microsoft become the third-biggest game company by revenue after Tencent Holdings and Sony. The historic deal -- worth $68.7 billion -- is expected to close in the middle of 2023 after a review from regulators. Warren Buffett has made headlines on multiple occasions by buying up Activision stock ahead of the acquisition, most recently increasing Berkshire Hathway's shares in August from 64.3 million to 68.4 million (worth $5.3 billion).
Apple: A great stock for patient investors
Microsoft offers much to like, but as one of the most consistently innovative companies in the world, Apple is the better stock for investors looking to buy and hold for the long haul. The iPhone company has proven its relative stability in 2022 with its stock down just 10% year to date -- half of Microsoft's decline.
The company doesn't have any known acquisitions or events as significant as Microsoft's purchase of Activision coming soon, but it has posted increasing revenue and net income for the past three years despite a global pandemic. In 2019, Apple's net sales totaled $260.2 billion; in 2020, it was $274.5 billion; and in 2021, it jumped to $365.8 billion. Net income also increased by 71.3% in the same period, reaching $94.7 billion.
Apple has continued to prove it's a stock worth hanging on to, reporting $83 billion in revenue in the fiscal third quarter of 2022 (ended June 25) -- a record for the company -- and up 2% from the previous year. Like clockwork, the company has forecast strong iPhone sales in 2023, with its current quarter likely receiving a boost from its new lineup of products announced on Sept. 7. The products include four new iPhones, which have received substantial price increases abroad, and a totally new Apple Watch Ultra that caters to a new market -- the outdoor adventurer.
Microsoft and Apple are both promising companies with bright futures. Both would make good investments. As for which is the better buy, the answer depends on your investment strategy. Investors looking for a stock to buy on a 20% dip should set their sights on Microsoft. However, those in search of a stock to hold onto for years, with the chance for continued innovation, should look to Apple.
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Dani Cook has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Activision Blizzard, Apple, Berkshire Hathaway (B shares), Microsoft, and Netflix. The Motley Fool recommends the following options: long January 2023 $200 calls on Berkshire Hathaway (B shares), long March 2023 $120 calls on Apple, short January 2023 $200 puts on Berkshire Hathaway (B shares), short January 2023 $265 calls on Berkshire Hathaway (B shares), and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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It's been over a decade since Apple (NASDAQ: AAPL) ran its "Get a Mac" campaign, a series of TV ads featuring a casually dressed man named Mac and a formally dressed man in a suit and tie representing a Microsoft (NASDAQ: MSFT) personal computer (PC). Microsoft: A better short-term buy Tech stocks have fallen out of favor in 2022, with the Nasdaq-100 Technology Sector index down 30% year to date as rising inflation and fears of a recession slow consumer spending. The company doesn't have any known acquisitions or events as significant as Microsoft's purchase of Activision coming soon, but it has posted increasing revenue and net income for the past three years despite a global pandemic.
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It's been over a decade since Apple (NASDAQ: AAPL) ran its "Get a Mac" campaign, a series of TV ads featuring a casually dressed man named Mac and a formally dressed man in a suit and tie representing a Microsoft (NASDAQ: MSFT) personal computer (PC). Warren Buffett has made headlines on multiple occasions by buying up Activision stock ahead of the acquisition, most recently increasing Berkshire Hathway's shares in August from 64.3 million to 68.4 million (worth $5.3 billion). The Motley Fool has positions in and recommends Activision Blizzard, Apple, Berkshire Hathaway (B shares), Microsoft, and Netflix.
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It's been over a decade since Apple (NASDAQ: AAPL) ran its "Get a Mac" campaign, a series of TV ads featuring a casually dressed man named Mac and a formally dressed man in a suit and tie representing a Microsoft (NASDAQ: MSFT) personal computer (PC). Apple: A great stock for patient investors Microsoft offers much to like, but as one of the most consistently innovative companies in the world, Apple is the better stock for investors looking to buy and hold for the long haul. Apple has continued to prove it's a stock worth hanging on to, reporting $83 billion in revenue in the fiscal third quarter of 2022 (ended June 25) -- a record for the company -- and up 2% from the previous year.
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It's been over a decade since Apple (NASDAQ: AAPL) ran its "Get a Mac" campaign, a series of TV ads featuring a casually dressed man named Mac and a formally dressed man in a suit and tie representing a Microsoft (NASDAQ: MSFT) personal computer (PC). Apple has continued to prove it's a stock worth hanging on to, reporting $83 billion in revenue in the fiscal third quarter of 2022 (ended June 25) -- a record for the company -- and up 2% from the previous year. That's right -- they think these 10 stocks are even better buys.
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19377.0
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2022-09-13 00:00:00 UTC
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Notable Tuesday Option Activity: SAVE, COST, AAPL
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AAPL
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https://www.nasdaq.com/articles/notable-tuesday-option-activity%3A-save-cost-aapl
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nan
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nan
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Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in Spirit Airlines Inc (Symbol: SAVE), where a total of 62,351 contracts have traded so far, representing approximately 6.2 million underlying shares. That amounts to about 449.1% of SAVE's average daily trading volume over the past month of 1.4 million shares. Particularly high volume was seen for the $26 strike call option expiring October 28, 2022, with 20,180 contracts trading so far today, representing approximately 2.0 million underlying shares of SAVE. Below is a chart showing SAVE's trailing twelve month trading history, with the $26 strike highlighted in orange:
Costco Wholesale Corp (Symbol: COST) options are showing a volume of 44,306 contracts thus far today. That number of contracts represents approximately 4.4 million underlying shares, working out to a sizeable 247.6% of COST's average daily trading volume over the past month, of 1.8 million shares. Especially high volume was seen for the $542.50 strike call option expiring September 30, 2022, with 2,195 contracts trading so far today, representing approximately 219,500 underlying shares of COST. Below is a chart showing COST's trailing twelve month trading history, with the $542.50 strike highlighted in orange:
And Apple Inc (Symbol: AAPL) saw options trading volume of 1.5 million contracts, representing approximately 148.4 million underlying shares or approximately 206.2% of AAPL's average daily trading volume over the past month, of 72.0 million shares. Especially high volume was seen for the $160 strike call option expiring September 16, 2022, with 123,453 contracts trading so far today, representing approximately 12.3 million underlying shares of AAPL. Below is a chart showing AAPL's trailing twelve month trading history, with the $160 strike highlighted in orange:
For the various different available expirations for SAVE options, COST options, or AAPL options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Especially high volume was seen for the $160 strike call option expiring September 16, 2022, with 123,453 contracts trading so far today, representing approximately 12.3 million underlying shares of AAPL. Below is a chart showing COST's trailing twelve month trading history, with the $542.50 strike highlighted in orange: And Apple Inc (Symbol: AAPL) saw options trading volume of 1.5 million contracts, representing approximately 148.4 million underlying shares or approximately 206.2% of AAPL's average daily trading volume over the past month, of 72.0 million shares. Below is a chart showing AAPL's trailing twelve month trading history, with the $160 strike highlighted in orange: For the various different available expirations for SAVE options, COST options, or AAPL options, visit StockOptionsChannel.com.
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Below is a chart showing COST's trailing twelve month trading history, with the $542.50 strike highlighted in orange: And Apple Inc (Symbol: AAPL) saw options trading volume of 1.5 million contracts, representing approximately 148.4 million underlying shares or approximately 206.2% of AAPL's average daily trading volume over the past month, of 72.0 million shares. Especially high volume was seen for the $160 strike call option expiring September 16, 2022, with 123,453 contracts trading so far today, representing approximately 12.3 million underlying shares of AAPL. Below is a chart showing AAPL's trailing twelve month trading history, with the $160 strike highlighted in orange: For the various different available expirations for SAVE options, COST options, or AAPL options, visit StockOptionsChannel.com.
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Below is a chart showing COST's trailing twelve month trading history, with the $542.50 strike highlighted in orange: And Apple Inc (Symbol: AAPL) saw options trading volume of 1.5 million contracts, representing approximately 148.4 million underlying shares or approximately 206.2% of AAPL's average daily trading volume over the past month, of 72.0 million shares. Especially high volume was seen for the $160 strike call option expiring September 16, 2022, with 123,453 contracts trading so far today, representing approximately 12.3 million underlying shares of AAPL. Below is a chart showing AAPL's trailing twelve month trading history, with the $160 strike highlighted in orange: For the various different available expirations for SAVE options, COST options, or AAPL options, visit StockOptionsChannel.com.
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Below is a chart showing COST's trailing twelve month trading history, with the $542.50 strike highlighted in orange: And Apple Inc (Symbol: AAPL) saw options trading volume of 1.5 million contracts, representing approximately 148.4 million underlying shares or approximately 206.2% of AAPL's average daily trading volume over the past month, of 72.0 million shares. Below is a chart showing AAPL's trailing twelve month trading history, with the $160 strike highlighted in orange: For the various different available expirations for SAVE options, COST options, or AAPL options, visit StockOptionsChannel.com. Especially high volume was seen for the $160 strike call option expiring September 16, 2022, with 123,453 contracts trading so far today, representing approximately 12.3 million underlying shares of AAPL.
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19378.0
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2022-09-13 00:00:00 UTC
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US STOCKS-Wall Street plunges as inflation data stokes bets of large rate hikes
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-plunges-as-inflation-data-stokes-bets-of-large-rate-hikes
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nan
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nan
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By Devik Jain, Ankika Biswas and Sinéad Carew
Sept 13 (Reuters) - U.S. stocks slumped on Tuesday, with technology shares taking the biggest hit, after data showed monthly consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week.
The Fed has raised borrowing costs faster this year than at any time since the 1980s, showing its determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs and above the Fed's target of 2%.
The Labor Department's consumer price index (CPI) report showed monthly CPI gained 0.1% in August from July, against expectation of a 0.1% dip. Excluding the volatile food and energy components, core CPI increased to 6.3% from 5.9% in July.
"Until we get inflation prints, not just one, but two, three, maybe four, moving downward steadily, that's when we can call a trend and the Fed may feel some comfort in at least taking a pause," said Mona Mahajan, senior investment strategist at Edward Jones.
All eyes are now on producer price index report due on Wednesday.
All of the 11 S&P sectors declined, led by a 4.3% slump in the communication services sector .SPLRCL. The small cap Russell 2000 index .RUT dipped 2.9%.
The S&P 500 growth stocks index .IGX, which houses rate-sensitive technology and growth shares, fell 3.8% as Treasury yields rose, while its value counterpart .IVX lost 2.2%.
Mega-cap technology stocks Apple Inc AAPL.O, Microsoft Corp MSFT.O and Tesla Inc TSLA.O dropped 4.1% each, while Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O slid between 4.8% and 7.4%.
Money markets are now pricing in at least a 75 bps increase in rates, with 23% chance of a whopping 100 bps hike by the Fed at its Sept. 20-21 meeting, while expecting rates to peak at around 4.28% in March 2023. FEDWATCH
"Initially everybody was convinced that the Fed was going to try to hike to, say 3.5% or 4%, and we were really concerned about the journey to that destination. But now, it seems like the destination is now a little bit more in question," said Brian Jacobsen, senior investment strategist, Allspring Global Investments.
"The big risk is that next week, the Fed tries to convince the markets that they're not going to just try to go for 4% with the Fed funds rate, but that they could push it to something closer to four and a half percent."
At 12:09 p.m. ET, the Dow Jones Industrial Average .DJI was down 848.07 points, or 2.62%, at 31,533.27, the S&P 500 .SPX was down 122.57 points, or 2.98%, at 3,987.84, and the Nasdaq Composite .IXIC was down 470.90 points, or 3.84%, at 11,795.51.
The gap between yields on the two- and 10-year notes US2US10=RR, often seen as an indicator of a looming recession, inverted further. Rate-sensitive bank stocks .SPXBK dropped 2.8%.
The three major indexes had rallied in the last four sessions as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
The CBOE volatility index .VIX, also known as Wall Street's fear gauge, rose to 25.74 points.
Declining issues outnumbered advancers for a 9.56-to-1 ratio on the NYSE and for a 4.31-to-1 ratio on the Nasdaq.
The S&P index recorded one new 52-week high and one new low, while the Nasdaq recorded 19 new highs and 105 new lows.
(Reporting by Devik Jain, Ankika Biswas in Bengaluru and Sinead Carew in New York; Editing by Shounak Dasgupta and Anil D'Silva)
((Devik.Jain@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Mega-cap technology stocks Apple Inc AAPL.O, Microsoft Corp MSFT.O and Tesla Inc TSLA.O dropped 4.1% each, while Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O slid between 4.8% and 7.4%. By Devik Jain, Ankika Biswas and Sinéad Carew Sept 13 (Reuters) - U.S. stocks slumped on Tuesday, with technology shares taking the biggest hit, after data showed monthly consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. "Until we get inflation prints, not just one, but two, three, maybe four, moving downward steadily, that's when we can call a trend and the Fed may feel some comfort in at least taking a pause," said Mona Mahajan, senior investment strategist at Edward Jones.
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Mega-cap technology stocks Apple Inc AAPL.O, Microsoft Corp MSFT.O and Tesla Inc TSLA.O dropped 4.1% each, while Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O slid between 4.8% and 7.4%. By Devik Jain, Ankika Biswas and Sinéad Carew Sept 13 (Reuters) - U.S. stocks slumped on Tuesday, with technology shares taking the biggest hit, after data showed monthly consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The Labor Department's consumer price index (CPI) report showed monthly CPI gained 0.1% in August from July, against expectation of a 0.1% dip.
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Mega-cap technology stocks Apple Inc AAPL.O, Microsoft Corp MSFT.O and Tesla Inc TSLA.O dropped 4.1% each, while Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O slid between 4.8% and 7.4%. By Devik Jain, Ankika Biswas and Sinéad Carew Sept 13 (Reuters) - U.S. stocks slumped on Tuesday, with technology shares taking the biggest hit, after data showed monthly consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The Fed has raised borrowing costs faster this year than at any time since the 1980s, showing its determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs and above the Fed's target of 2%.
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Mega-cap technology stocks Apple Inc AAPL.O, Microsoft Corp MSFT.O and Tesla Inc TSLA.O dropped 4.1% each, while Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O slid between 4.8% and 7.4%. The Labor Department's consumer price index (CPI) report showed monthly CPI gained 0.1% in August from July, against expectation of a 0.1% dip. "The big risk is that next week, the Fed tries to convince the markets that they're not going to just try to go for 4% with the Fed funds rate, but that they could push it to something closer to four and a half percent."
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19379.0
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2022-09-13 00:00:00 UTC
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DuckDuckGo, Mozilla and others support Klobuchar bill in rein in big tech
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AAPL
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https://www.nasdaq.com/articles/duckduckgo-mozilla-and-others-support-klobuchar-bill-in-rein-in-big-tech
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nan
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nan
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WASHINGTON, Sept 13 (Reuters) - A group of 13 companies urged the U.S. Congress on Tuesday to approve a bill that would rein in giant tech companies like Alphabet's GOOGL.O Google and Meta's META.O Facebook.
DuckDuckGo, Mozilla, Proton and other companies that advertise themselves as pro-privacy expressed support for a bill to ban self-preferencing by Big Tech platforms like Google and Amazon.com AMZN.O.
A U.S. congressional leader on antitrust, Senator Amy Klobuchar, has spent much of the summer urging the Senate to pass the bill to no avail. Klobuchar, a lead sponsor along with Republican Chuck Grassley, has said she has the 60 votes needed for passage but prospects of it becoming law this year appear to be dimming.
In a letter to Senate and House leadership, the companies said that the big tech firms have used their dominance to steer consumers away from services that offer more privacy protections.
"While more and more Americans are embracing privacy-first technologies, some dominant firms still use their gatekeeper power to limit competition and restrict user choice," they wrote in the letter.
(Reporting by Diane Bartz; Editing by Cynthia Osterman)
((Diane.Bartz@thomsonreuters.com; 1 202 898 8313;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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DuckDuckGo, Mozilla, Proton and other companies that advertise themselves as pro-privacy expressed support for a bill to ban self-preferencing by Big Tech platforms like Google and Amazon.com AMZN.O. In a letter to Senate and House leadership, the companies said that the big tech firms have used their dominance to steer consumers away from services that offer more privacy protections. "While more and more Americans are embracing privacy-first technologies, some dominant firms still use their gatekeeper power to limit competition and restrict user choice," they wrote in the letter.
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WASHINGTON, Sept 13 (Reuters) - A group of 13 companies urged the U.S. Congress on Tuesday to approve a bill that would rein in giant tech companies like Alphabet's GOOGL.O Google and Meta's META.O Facebook. In a letter to Senate and House leadership, the companies said that the big tech firms have used their dominance to steer consumers away from services that offer more privacy protections. (Reporting by Diane Bartz; Editing by Cynthia Osterman) ((Diane.Bartz@thomsonreuters.com; 1 202 898 8313;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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WASHINGTON, Sept 13 (Reuters) - A group of 13 companies urged the U.S. Congress on Tuesday to approve a bill that would rein in giant tech companies like Alphabet's GOOGL.O Google and Meta's META.O Facebook. DuckDuckGo, Mozilla, Proton and other companies that advertise themselves as pro-privacy expressed support for a bill to ban self-preferencing by Big Tech platforms like Google and Amazon.com AMZN.O. In a letter to Senate and House leadership, the companies said that the big tech firms have used their dominance to steer consumers away from services that offer more privacy protections.
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WASHINGTON, Sept 13 (Reuters) - A group of 13 companies urged the U.S. Congress on Tuesday to approve a bill that would rein in giant tech companies like Alphabet's GOOGL.O Google and Meta's META.O Facebook. DuckDuckGo, Mozilla, Proton and other companies that advertise themselves as pro-privacy expressed support for a bill to ban self-preferencing by Big Tech platforms like Google and Amazon.com AMZN.O. A U.S. congressional leader on antitrust, Senator Amy Klobuchar, has spent much of the summer urging the Senate to pass the bill to no avail.
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19380.0
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2022-09-13 00:00:00 UTC
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MSFT, AAPL, META: How’s the Road Ahead for These Top Tech Stocks?
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AAPL
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https://www.nasdaq.com/articles/msft-aapl-meta%3A-hows-the-road-ahead-for-these-top-tech-stocks
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nan
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nan
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Tech stocks have been on a roller-coaster ride this year. The first half of the year saw major sell-offs, with recovery seen only in the beginning of the second half. However, the stocks are again on a downward spiral due to concerns over another round of interest rate hikes by the Fed later this month. Given the current scenario, we will take a look at three tech stocks, Microsoft (NASDAQ:MSFT), Apple (NASDAQ:AAPL), and Meta Platforms (NASDAQ:META), and understand Wall Street's take on them.
Now, with the help of the TipRanks Stock Comparison tool, let's determine which stock could be a better buy for your investment portfolio.
Microsoft Corp. (MSFT)
Microsoft is a technology company, which offers a wide range of software, services, solutions, and devices like personal computers, tablets, and gaming consoles to its users. MSFT stock has lost over 20% so far this year.
According to UBS analyst Sundeep Gantori, “AI, big data and cybersecurity are at an inflection point that should see faster adoptions in the next few years.”
He believes that demand will remain robust on the back of strong momentum in the automation, analytics, and security space.
What Is the Future of MSFT Stock?
Analysts are unanimously optimistic about Microsoft’s prospects. The stock commands a Strong Buy consensus rating based on 28 Buys and two Holds. Also, MSFT’s average price forecast of $327.41 suggests 23.2% upside potential.
Gantori highlights that Microsoft’s “valuation is still attractive compared to its large-cap peers on a free-cash-flow basis.”
Further, hedge funds seem to be very positive about the prospects of MSFT stock and have collectively increased their holdings in the company by 12.7 million shares in the last quarter.
Apple, Inc. (APPL)
Apple designs, manufactures, and sells smartphones, personal computers, tablets, wearables, and accessories. It also offers a range of related services. Its products include iPhone, Mac, iPad, Apple TV, Apple Watch, Beats products, HomePod and AirPods.
Apple stock has been more resilient compared to its tech peers, gaining about 8% over the past six months. However, the stock is down more than 5% over the last 30 days.
Last week, Apple launched new versions of its iPhone, Apple Watch, and AirPods Pro. Despite inflation and an uncertain macro backdrop, demand for its products, especially the new iPhone 14, looks robust.
Are Apple Shares a Good Buy?
Turning to Wall Street, the analyst consensus is also optimistic about Apple stock, with a Strong Buy rating based on 23 Buys, four Holds, and 1 Sell. Apple’s average price target of $183.56 indicates upside potential of 12.6%.
Wamsi Mohan from Bank of America Securities highlights that the preliminary iPhone pre-order data looks positive for Apple.
Further, Apple boasts a “Perfect 10” Smart Score on TipRanks, implying that the stock has a solid potential to outperform the market.
Meta Platforms (META)
Formerly known as Facebook, Meta Platforms is an American multinational technology company headquartered in California. The company’s product portfolio includes Facebook, Instagram, WhatsApp, and other products and services.
Meta stock has lost half of its market capitalization over the past year. It is trading near its 52-week lows at $169.
Trading at 14x P/E, the valuations look very compelling compared to its own five-year historical average of 25x. Furthermore, it is relatively cheaper than its tech peers that are trading at P/E multiples of over 25x.
Is META Stock Expected to Go Up?
Analysts on TipRanks are cautious but optimistic about the prospects of META, giving it a Moderate Buy consensus rating, which is based on 27 Buys, five Holds, and two Sells. Meta Platforms’s average price prediction of $223.70 implies 32.4% upside potential.
Markedly, making the most of the cheap valuation of Meta Platforms, hedge fund managers are buying its stock.
TipRanks’ Hedge Fund Trading Activity tool shows that the confidence in META is currently Very Positive, as some of the top hedge funds that were active in the last quarter increased their cumulative holdings by 4.5 million shares.
Bottom Line
The current sell-off in the tech space has led to an erosion in the market capitalization of many big tech players. As a result, the current price levels present a good investment opportunity for investors to take positions in big tech names like Microsoft, Apple, and Meta Platforms.
Read full Disclosure
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Given the current scenario, we will take a look at three tech stocks, Microsoft (NASDAQ:MSFT), Apple (NASDAQ:AAPL), and Meta Platforms (NASDAQ:META), and understand Wall Street's take on them. According to UBS analyst Sundeep Gantori, “AI, big data and cybersecurity are at an inflection point that should see faster adoptions in the next few years.” He believes that demand will remain robust on the back of strong momentum in the automation, analytics, and security space. Gantori highlights that Microsoft’s “valuation is still attractive compared to its large-cap peers on a free-cash-flow basis.” Further, hedge funds seem to be very positive about the prospects of MSFT stock and have collectively increased their holdings in the company by 12.7 million shares in the last quarter.
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Given the current scenario, we will take a look at three tech stocks, Microsoft (NASDAQ:MSFT), Apple (NASDAQ:AAPL), and Meta Platforms (NASDAQ:META), and understand Wall Street's take on them. Turning to Wall Street, the analyst consensus is also optimistic about Apple stock, with a Strong Buy rating based on 23 Buys, four Holds, and 1 Sell. TipRanks’ Hedge Fund Trading Activity tool shows that the confidence in META is currently Very Positive, as some of the top hedge funds that were active in the last quarter increased their cumulative holdings by 4.5 million shares.
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Given the current scenario, we will take a look at three tech stocks, Microsoft (NASDAQ:MSFT), Apple (NASDAQ:AAPL), and Meta Platforms (NASDAQ:META), and understand Wall Street's take on them. Gantori highlights that Microsoft’s “valuation is still attractive compared to its large-cap peers on a free-cash-flow basis.” Further, hedge funds seem to be very positive about the prospects of MSFT stock and have collectively increased their holdings in the company by 12.7 million shares in the last quarter. Turning to Wall Street, the analyst consensus is also optimistic about Apple stock, with a Strong Buy rating based on 23 Buys, four Holds, and 1 Sell.
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Given the current scenario, we will take a look at three tech stocks, Microsoft (NASDAQ:MSFT), Apple (NASDAQ:AAPL), and Meta Platforms (NASDAQ:META), and understand Wall Street's take on them. Gantori highlights that Microsoft’s “valuation is still attractive compared to its large-cap peers on a free-cash-flow basis.” Further, hedge funds seem to be very positive about the prospects of MSFT stock and have collectively increased their holdings in the company by 12.7 million shares in the last quarter. Meta stock has lost half of its market capitalization over the past year.
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19381.0
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2022-09-13 00:00:00 UTC
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Company News for Sep 13, 2022
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AAPL
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https://www.nasdaq.com/articles/company-news-for-sep-13-2022
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nan
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nan
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Shares of Apple Inc. AAPL gained 3.9% in the broader tech rally, days after announcing updates to its iPhone and Apple Watch product lines
Shares of Bristol-Myers Squibb Company BMY rose 3.1% as the Food and Drug Administration approved its psoriasis drug.
Twitter, Inc.’s TWTR shares fell 1.9% after the majority of its shareholders voted in favor of the social media company’s sale to Elon Musk, even as the legal battle continues.
Shares of Gilead Sciences, Inc. GILD jumped 4.2% after the company announced that it had settled a patent case over its HIV therapies with generic drugmakers.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Apple Inc. (AAPL): Free Stock Analysis Report
Bristol Myers Squibb Company (BMY): Free Stock Analysis Report
Gilead Sciences, Inc. (GILD): Free Stock Analysis Report
Twitter, Inc. (TWTR): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Shares of Apple Inc. AAPL gained 3.9% in the broader tech rally, days after announcing updates to its iPhone and Apple Watch product lines Shares of Bristol-Myers Squibb Company BMY rose 3.1% as the Food and Drug Administration approved its psoriasis drug. Apple Inc. (AAPL): Free Stock Analysis Report Twitter, Inc.’s TWTR shares fell 1.9% after the majority of its shareholders voted in favor of the social media company’s sale to Elon Musk, even as the legal battle continues.
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Apple Inc. (AAPL): Free Stock Analysis Report Shares of Apple Inc. AAPL gained 3.9% in the broader tech rally, days after announcing updates to its iPhone and Apple Watch product lines Shares of Bristol-Myers Squibb Company BMY rose 3.1% as the Food and Drug Administration approved its psoriasis drug. Bristol Myers Squibb Company (BMY): Free Stock Analysis Report
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Apple Inc. (AAPL): Free Stock Analysis Report Shares of Apple Inc. AAPL gained 3.9% in the broader tech rally, days after announcing updates to its iPhone and Apple Watch product lines Shares of Bristol-Myers Squibb Company BMY rose 3.1% as the Food and Drug Administration approved its psoriasis drug. Bristol Myers Squibb Company (BMY): Free Stock Analysis Report
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Shares of Apple Inc. AAPL gained 3.9% in the broader tech rally, days after announcing updates to its iPhone and Apple Watch product lines Shares of Bristol-Myers Squibb Company BMY rose 3.1% as the Food and Drug Administration approved its psoriasis drug. Apple Inc. (AAPL): Free Stock Analysis Report Want the latest recommendations from Zacks Investment Research?
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19382.0
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2022-09-13 00:00:00 UTC
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US STOCKS-Wall Street set to drop after hot August inflation report
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-set-to-drop-after-hot-august-inflation-report
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nan
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nan
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By Devik Jain and Stephen Culp
Sept 13 (Reuters) - Wall Street's main indexes were set to open sharply lower on Tuesday after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week.
The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction. On a year-on-year basis it increased by 8.3%, while economists were anticipating a rise of 8.1%, according to a Reuters poll.
Excluding the volatile food and energy components, core CPI increased to 6.3% from 5.9% in July, putting further pressure on the Fed to continue on its rate-hike spree.
"Bottom line, it only fortifies the Fed's hand for a tougher inflation fight," said Peter Cardillo, chief market economist at Spartan Capital Securities in New York.
"The chance of the Fed moving back to less aggressive rate hikes over the next quarter is off the table".
Policymakers last week emphasized their determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs and above the Fed's target of 2%.
Money markets now see a 85% chance of a 75-basis-point increase in rates and 15% chance of a whopping 100 bps hike by the Fed at its Sept. 20-21 meeting, while expecting rates to peak around 4.21% in March 2023. FEDWATCH
The dollar =USD, which has risen sharply this year in part due to expectations of aggressive rate hikes by the Fed, erased losses to turn positive.
Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% in premarket trading as Treasury yields moved higher. FRX/US/
The gap between yields on the two- and 10-year notes US2US10=RR, often seen as an indicator of a looming recession, inverted further.
At 8:54 a.m. ET, Dow e-minis 1YMcv1 were down 507 points, or 1.57%, S&P 500 e-minis EScv1 were down 84.75 points, or 2.06%, and Nasdaq 100 e-minis NQcv1 were down 338.5 points, or 2.66%.
The three major indexes logged their fourth consecutive session of gains on Monday as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
Eastman Chemical EMN.N slid 6.3% after the company forecast a downbeat third-quarter profit, citing demand slowdown in consumer durables market, higher costs and a hit from a stronger dollar.
(Reporting by Devik Jain in Bengaluru and Stephen Culp in New York; Editing by Shounak Dasgupta)
((Devik.Jain@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% in premarket trading as Treasury yields moved higher. By Devik Jain and Stephen Culp Sept 13 (Reuters) - Wall Street's main indexes were set to open sharply lower on Tuesday after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The three major indexes logged their fourth consecutive session of gains on Monday as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% in premarket trading as Treasury yields moved higher. By Devik Jain and Stephen Culp Sept 13 (Reuters) - Wall Street's main indexes were set to open sharply lower on Tuesday after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% in premarket trading as Treasury yields moved higher. By Devik Jain and Stephen Culp Sept 13 (Reuters) - Wall Street's main indexes were set to open sharply lower on Tuesday after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. Money markets now see a 85% chance of a 75-basis-point increase in rates and 15% chance of a whopping 100 bps hike by the Fed at its Sept. 20-21 meeting, while expecting rates to peak around 4.21% in March 2023.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% in premarket trading as Treasury yields moved higher. By Devik Jain and Stephen Culp Sept 13 (Reuters) - Wall Street's main indexes were set to open sharply lower on Tuesday after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction.
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19383.0
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2022-09-13 00:00:00 UTC
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US STOCKS-Futures tumble after hot August inflation report
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AAPL
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https://www.nasdaq.com/articles/us-stocks-futures-tumble-after-hot-august-inflation-report
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nan
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nan
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By Devik Jain
Sept 13 (Reuters) - U.S. stock index futures fell sharply on Tuesday after data showed a faster-than-expected rise in August consumer prices, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week.
The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction, while on a year-on-year basis it edged down to 8.3% from 8.5%.
Excluding the volatile food and energy components, core CPI likely increased to 6.3% from 5.9% in July, putting further pressure on the Fed to continue on its rate-hiking spree.
Policymakers last week emphasized their determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs and above the Fed's target of 2%.
Money markets now see a 79% chance of a 75-basis-point increase in rates and 21% chance of a whopping 100 bps hike by the Fed at its Sept. 20-21 meeting. FEDWATCH
At 8:36 a.m. ET, Dow e-minis 1YMcv1 were down 332 points, or 1.03%, S&P 500 e-minis EScv1 were down 59.75 points, or 1.45%, and Nasdaq 100 e-minis NQcv1 were down 265.5 points, or 2.08%.
The dollar =USD, which has risen sharply this year in part due to expectations of aggressive rate hikes by the Fed, erased losses to turn positive.
Mega-cap technology stocks including Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% as Treasury yields moved higher. FRX/US/
(Reporting by Devik Jain in Bengaluru; Editing by Shounak Dasgupta)
((Devik.Jain@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Mega-cap technology stocks including Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% as Treasury yields moved higher. By Devik Jain Sept 13 (Reuters) - U.S. stock index futures fell sharply on Tuesday after data showed a faster-than-expected rise in August consumer prices, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The dollar =USD, which has risen sharply this year in part due to expectations of aggressive rate hikes by the Fed, erased losses to turn positive.
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Mega-cap technology stocks including Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% as Treasury yields moved higher. By Devik Jain Sept 13 (Reuters) - U.S. stock index futures fell sharply on Tuesday after data showed a faster-than-expected rise in August consumer prices, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction, while on a year-on-year basis it edged down to 8.3% from 8.5%.
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Mega-cap technology stocks including Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% as Treasury yields moved higher. By Devik Jain Sept 13 (Reuters) - U.S. stock index futures fell sharply on Tuesday after data showed a faster-than-expected rise in August consumer prices, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction, while on a year-on-year basis it edged down to 8.3% from 8.5%.
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Mega-cap technology stocks including Apple Inc AAPL.O and Microsoft Corp MSFT.O fell about 2% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.5% and 3.2% as Treasury yields moved higher. The Labor Department's consumer price index (CPI) report showed monthly CPI rose 0.1% in August from July, against expectation of a 0.1% contraction, while on a year-on-year basis it edged down to 8.3% from 8.5%. Policymakers last week emphasized their determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs and above the Fed's target of 2%.
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19384.0
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2022-09-13 00:00:00 UTC
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Is Apple Stock a Buy?
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AAPL
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https://www.nasdaq.com/articles/is-apple-stock-a-buy
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nan
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nan
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Apple (NASDAQ: AAPL) is one of the most well-known businesses in the world. Understandably, investors want to know if the stock is a buy right now. The video below answers that question using my six-step framework for analysis.
Stock prices used were the afternoon prices of Sept. 12, 2022. The video was published on Sept. 12, 2022.
10 stocks we like better than Apple
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Apple wasn't one of them! That's right -- they think these 10 stocks are even better buys.
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Parkev Tatevosian has positions in Apple. The Motley Fool has positions in and recommends Apple. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through fool.com/parkev, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple (NASDAQ: AAPL) is one of the most well-known businesses in the world. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Apple wasn't one of them!
|
Apple (NASDAQ: AAPL) is one of the most well-known businesses in the world. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. The Motley Fool has positions in and recommends Apple.
|
Apple (NASDAQ: AAPL) is one of the most well-known businesses in the world. 10 stocks we like better than Apple When our award-winning analyst team has a stock tip, it can pay to listen. See the 10 stocks *Stock Advisor returns as of August 17, 2022 Parkev Tatevosian has positions in Apple.
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Apple (NASDAQ: AAPL) is one of the most well-known businesses in the world. That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of August 17, 2022 Parkev Tatevosian has positions in Apple.
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19385.0
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2022-09-13 00:00:00 UTC
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Should iShares S&P 100 ETF (OEF) Be on Your Investing Radar?
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AAPL
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https://www.nasdaq.com/articles/should-ishares-sp-100-etf-oef-be-on-your-investing-radar-2
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nan
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nan
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The iShares S&P 100 ETF (OEF) was launched on 10/23/2000, and is a passively managed exchange traded fund designed to offer broad exposure to the Large Cap Blend segment of the US equity market.
The fund is sponsored by Blackrock. It has amassed assets over $8.27 billion, making it one of the largest ETFs attempting to match the Large Cap Blend segment of the US equity market.
Why Large Cap Blend
Large cap companies typically have a market capitalization above $10 billion. They tend to be stable companies with predictable cash flows and are usually less volatile than mid and small cap companies.
Blend ETFs are aptly named, since they tend to hold a mix of growth and value stocks, as well as show characteristics of both kinds of equities.
Costs
Expense ratios are an important factor in the return of an ETF and in the long term, cheaper funds can significantly outperform their more expensive counterparts, other things remaining the same.
Annual operating expenses for this ETF are 0.20%, putting it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 1.30%.
Sector Exposure and Top Holdings
ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Information Technology sector--about 35% of the portfolio. Healthcare and Consumer Discretionary round out the top three.
Looking at individual holdings, Apple Inc (AAPL) accounts for about 9.94% of total assets, followed by Microsoft Corp (MSFT) and Amazon Com Inc (AMZN).
The top 10 holdings account for about 41.34% of total assets under management.
Performance and Risk
OEF seeks to match the performance of the S&P 100 Index before fees and expenses. The S&P 100 Index measures the performance of the large-capitalization sector of the U.S. equity market. It is a subset of the S&P 500 and consists of blue chip stocks from diverse industries in the S&P 500 with exchange listed options & the Index represented approximately 45% of the market capitalization of listed U.S. equities.
The ETF has lost about -15.14% so far this year and is down about -7.69% in the last one year (as of 09/13/2022). In the past 52-week period, it has traded between $166.91 and $221.63.
The ETF has a beta of 0.99 and standard deviation of 24.35% for the trailing three-year period, making it a medium risk choice in the space. With about 105 holdings, it effectively diversifies company-specific risk.
Alternatives
IShares S&P 100 ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, OEF is a reasonable option for those seeking exposure to the Style Box - Large Cap Blend area of the market. Investors might also want to consider some other ETF options in the space.
The iShares Core S&P 500 ETF (IVV) and the SPDR S&P 500 ETF (SPY) track a similar index. While iShares Core S&P 500 ETF has $308.08 billion in assets, SPDR S&P 500 ETF has $371.05 billion. IVV has an expense ratio of 0.03% and SPY charges 0.09%.
Bottom-Line
Retail and institutional investors increasingly turn to passively managed ETFs because they offer low costs, transparency, flexibility, and tax efficiency; these kind of funds are also excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
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iShares S&P 100 ETF (OEF): ETF Research Reports
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Apple Inc. (AAPL): Free Stock Analysis Report
Microsoft Corporation (MSFT): Free Stock Analysis Report
SPDR S&P 500 ETF (SPY): ETF Research Reports
iShares Core S&P 500 ETF (IVV): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 9.94% of total assets, followed by Microsoft Corp (MSFT) and Amazon Com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report The iShares S&P 100 ETF (OEF) was launched on 10/23/2000, and is a passively managed exchange traded fund designed to offer broad exposure to the Large Cap Blend segment of the US equity market.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 9.94% of total assets, followed by Microsoft Corp (MSFT) and Amazon Com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report The iShares S&P 100 ETF (OEF) was launched on 10/23/2000, and is a passively managed exchange traded fund designed to offer broad exposure to the Large Cap Blend segment of the US equity market.
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Looking at individual holdings, Apple Inc (AAPL) accounts for about 9.94% of total assets, followed by Microsoft Corp (MSFT) and Amazon Com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
|
Looking at individual holdings, Apple Inc (AAPL) accounts for about 9.94% of total assets, followed by Microsoft Corp (MSFT) and Amazon Com Inc (AMZN). Apple Inc. (AAPL): Free Stock Analysis Report The iShares S&P 100 ETF (OEF) was launched on 10/23/2000, and is a passively managed exchange traded fund designed to offer broad exposure to the Large Cap Blend segment of the US equity market.
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19386.0
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2022-09-13 00:00:00 UTC
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Taiwan's GlobalWafers sees Nov groundbreaking for $5 bln Texas plant
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AAPL
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https://www.nasdaq.com/articles/taiwans-globalwafers-sees-nov-groundbreaking-for-%245-bln-texas-plant-0
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nan
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nan
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By Sarah Wu
TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday.
The company said in June it would build the plant to make 300-millimetre silicon wafers used in semiconductors, switching from a defunct plan to invest in Germany.
Chairwoman and chief executive Doris Hsu told reporters in Taipei that the groundbreaking ceremony was expected to be around the end of November.
The United States has been encouraging foreign tech firms to manufacture in the country, and the government has welcomed the investment by GlobalWafers.
Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorized about $52 billion in government subsidies for U.S. semiconductor production and research, and an investment tax credit for chip plants estimated to be worth $24 billion.
Hsu said that subsidies, while important, were not the only consideration.
"We received government subsidy proposals from not only the United States but from other places as well. But our assessment looks at the overall score. The Chips Act is a very important factor but it is not the only factor," Hsu said.
"I think the U.S. market lacks silicon wafers. When we discuss carbon footprints, localization, and green solutions, I think there needs to be a local solution."
GlobalWafer's investment will be the first silicon wafer facility to be built in the United States in more than two decades, according to the U.S. Commerce Department.
Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion.
GlobalWafers' Taipei-listed shares closed 1% lower on Tuesday, underpeforming the broader market .TWII, which ended up 0.6%. The company's shares are down 48% so far this year.
(Reporting by Sarah Wu; Writing by Ben Blanchard; Editing by Bradley Perrett)
((ben.blanchard@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. The company said in June it would build the plant to make 300-millimetre silicon wafers used in semiconductors, switching from a defunct plan to invest in Germany.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorized about $52 billion in government subsidies for U.S. semiconductor production and research, and an investment tax credit for chip plants estimated to be worth $24 billion.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorized about $52 billion in government subsidies for U.S. semiconductor production and research, and an investment tax credit for chip plants estimated to be worth $24 billion.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. The company said in June it would build the plant to make 300-millimetre silicon wafers used in semiconductors, switching from a defunct plan to invest in Germany. The Chips Act is a very important factor but it is not the only factor," Hsu said.
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19387.0
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2022-09-13 00:00:00 UTC
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Apple Stock: Headed to $220?
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AAPL
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https://www.nasdaq.com/articles/apple-stock%3A-headed-to-%24220
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nan
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nan
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Shares of Apple (NASDAQ: AAPL) rose sharply on Monday as two analysts said they believed pre-orders for the newest iPhone models were looking good. Some investors may have worried that the new iPhone models, without any major changes to their form factors, would fail to provide sufficient catalysts for a meaningful upgrade cycle from smartphone users. But according to Wedbush analyst Daniel Ives and Bank of America analyst Wamsi Mohan, pre-order demand for the latest Apple smartphones is promising.
Furthermore, both analysts are bullish on the stock. The more bullish of the two analysts, Ives, has an aggressive 12-month price target for the tech stock of $220. Impressively, this represents about 34%. A one-year return like this would not only be rewarding for shareholders, but likely even market-beating.
The bull case for Apple stock
Mohan and Ives, who have $185 and $220 12-month price targets for Apple shares, respectively, both cited the same data to support their optimistic notes to investors Monday morning. The stated delivery timeframes for orders of new iPhones on Apple's website are pushing out further (at a faster rate) than they were with previous-generation iPhone models, the two analysts say. This is true for both Apple's own website and mobile carrier websites, Mohan said.
Mohan added that a push-out of ship dates globally is particularly impressive, given that the company rolled out some price increases for its iPhone lineup in regions where the strong U.S. dollar is working against the company.
Another reason to consider giving weight to the growing lead times for iPhone shipments as a bullish indicator for the company is that supply shortages are less likely to be as big an inhibitor to sales this time around. This time last year, supply chain challenges were having a massive effect on the company's ability to move product. This made extending shipment times less relevant as a demand indicator. Going into Apple's holiday quarter last year, the company said in its fiscal 2021 fourth-quarterearnings callthat it expected supply constraints to negatively affect revenue by $6 billion or more.
But management said in its fiscal 2022 first-quarter earnings call that constraints for the period ended up being even worse than expected. Since then, Apple has generally been saying that supply constraints have been improving, with Apple's last reported quarter's constraints actually being less than management had anticipated for the period.
The iPhone 14 Pro and Pro Max. Image source: Apple.
With ship times for new iPhones slipping even faster and further than last year in many markets, while the company's supply chain challenges are seemingly easing, Mohan and Ives may be right to be bullish on the stock. Demand for the new iPhones really might be robust enough to drive substantial sales growth for the company.
iPhone sales are key
While some investors might believe it's shortsighted to read into slipping ship times for iPhone sales, it's important to note that demand indicators for new iPhones say a lot about the company's current state and its future potential. First and foremost, it suggests that Apple's largest product line remains attractive to consumers globally. Second, it implies that the latest iPhones could achieve strong sales not just this quarter, but throughout fiscal 2023. Historically, strong initial demand for new iPhone lineups has been proven to provide a glimpse into how demand for the devices could fare throughout the year.
Still, investors might be wise to refrain from materially adjusting their thesis on the stock yet. The most surefire way to gauge how well the new iPhone lineup is performing is to wait until Apple reports its fiscal fourth-quarter results. While sales of the latest iPhone models will only account for a few weeks of the fiscal quarter's sales, management will likely provide some useful commentary on how demand is faring.
Whatever the case, the data cited by these two analysts is at least promising. Furthermore, Apple shares were arguably already looking undervalued anyway, so this new data just strengthens an already strong case for owning the stock.
10 stocks we like better than Apple
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Apple wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of August 17, 2022
Daniel Sparks has positions in Apple. His clients may own shares of the companies mentioned. The Motley Fool has positions in and recommends Apple. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Shares of Apple (NASDAQ: AAPL) rose sharply on Monday as two analysts said they believed pre-orders for the newest iPhone models were looking good. Some investors may have worried that the new iPhone models, without any major changes to their form factors, would fail to provide sufficient catalysts for a meaningful upgrade cycle from smartphone users. Going into Apple's holiday quarter last year, the company said in its fiscal 2021 fourth-quarterearnings callthat it expected supply constraints to negatively affect revenue by $6 billion or more.
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Shares of Apple (NASDAQ: AAPL) rose sharply on Monday as two analysts said they believed pre-orders for the newest iPhone models were looking good. But according to Wedbush analyst Daniel Ives and Bank of America analyst Wamsi Mohan, pre-order demand for the latest Apple smartphones is promising. The bull case for Apple stock Mohan and Ives, who have $185 and $220 12-month price targets for Apple shares, respectively, both cited the same data to support their optimistic notes to investors Monday morning.
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Shares of Apple (NASDAQ: AAPL) rose sharply on Monday as two analysts said they believed pre-orders for the newest iPhone models were looking good. The bull case for Apple stock Mohan and Ives, who have $185 and $220 12-month price targets for Apple shares, respectively, both cited the same data to support their optimistic notes to investors Monday morning. With ship times for new iPhones slipping even faster and further than last year in many markets, while the company's supply chain challenges are seemingly easing, Mohan and Ives may be right to be bullish on the stock.
|
Shares of Apple (NASDAQ: AAPL) rose sharply on Monday as two analysts said they believed pre-orders for the newest iPhone models were looking good. With ship times for new iPhones slipping even faster and further than last year in many markets, while the company's supply chain challenges are seemingly easing, Mohan and Ives may be right to be bullish on the stock. While sales of the latest iPhone models will only account for a few weeks of the fiscal quarter's sales, management will likely provide some useful commentary on how demand is faring.
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19388.0
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2022-09-13 00:00:00 UTC
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Taiwan's GlobalWafers sees Nov groundbreaking for $5 bln Texas plant
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AAPL
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https://www.nasdaq.com/articles/taiwans-globalwafers-sees-nov-groundbreaking-for-%245-bln-texas-plant
|
nan
|
nan
|
By Sarah Wu
TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday.
The company said in June it would build the plant to make 300-millimetre silicon wafers used in semiconductors, switching from a defunct plan to invest in Germany.
Chairwoman and chief executive Doris Hsu told reporters in Taipei that the groundbreaking ceremony was expected to be around the end of November.
The United States has been encouraging foreign tech firms to manufacture in the country, and the government has welcomed the investment by GlobalWafers.
Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorized about $52 billion in government subsidies for U.S. semiconductor production and research, and an investment tax credit for chip plants estimated to be worth $24 billion.
Hsu said they had received proposals not just from the United States but other countries for building a factory and while government subsidies were an important factor it was not the only one.
"We received government subsidy proposals from not only the United States but from other places as well. But our assessment looks at the overall score. The Chips act is a very important factor but it is not the only factor," she added.
Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion.
GlobalWafers' Taipei-listed shares closed 1% lower on Tuesday, underpeforming the broader market .TWII, which ended up 0.6%. The company's shares are down 48% so far this year.
(Reporting by Sarah Wu; Writing by Ben Blanchard; Editing by Bradley Perrett)
((ben.blanchard@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. The company said in June it would build the plant to make 300-millimetre silicon wafers used in semiconductors, switching from a defunct plan to invest in Germany.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. Hsu said they had received proposals not just from the United States but other countries for building a factory and while government subsidies were an important factor it was not the only one.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorized about $52 billion in government subsidies for U.S. semiconductor production and research, and an investment tax credit for chip plants estimated to be worth $24 billion.
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Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, a major Apple Inc AAPL.O supplier and the world's largest contract chipmaker, last year started construction of a semiconductor factory in Arizona on which it plans to spend $12 billion. By Sarah Wu TAIPEI, Sept 13 (Reuters) - Taiwan's GlobalWafers Co Ltd 6488.TWO expects to start construction in November of its new $5 billion plant in Texas, the company's chairwoman and CEO said on Tuesday. Hsu said they had received proposals not just from the United States but other countries for building a factory and while government subsidies were an important factor it was not the only one.
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19389.0
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2022-09-13 00:00:00 UTC
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HBO reclaims its Emmy crown with 'Succession,' 'White Lotus' wins
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AAPL
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https://www.nasdaq.com/articles/hbo-reclaims-its-emmy-crown-with-succession-white-lotus-wins
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nan
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nan
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By Dawn Chmielewski
Sept 12 (Reuters) - The dysfunctional dynasty of "Succession," the teen drama "Euphoria" and a comedy series set in the fictional White Lotus resort helped propel HBO to the top of the Emmy Awards heap Monday, surpassing streaming rival Netflix Inc NFLX.O.
The Warner Bros Discovery Inc WBD.O division entered the night with the most nominations of any network or streaming service, with a total of 140 nominations for HBO and its companion online offering, HBO Max.
The network came away with 38 Emmy Awards, including outstanding anthology series for "The White Lotus," best drama series for "Succession," lead actress in a drama series for "Euphoria" star Zendaya, and lead comedy actress for "Hacks" star Jean Smart, who portrays a standup comedian.
Netflix received a total of 105 nominations, including 14 for the South Korean drama "Squid Game," the first non-English language series to be nominated for a primetime Emmy. The streaming pioneer won 26 awards, including milestones for "Squid Game" director, Hwang Dong-hyuk, and the drama's lead actor, Lee Jung-jae, who are the first Asian winners in their respective categories.
The embattled streaming service, which has lost subscribers this year amid intensifying competition, became a butt of jokes early in the show, as host Kenan Thompson drew a comedic parallel between Netflix and the popular show.
"'Squid Game' is a contest you enter when you're in massive debt and desperate for money," Thompson dead-panned. "Joining the cast next season? Netflix."
"Ted Lasso," the acclaimed comedy series about an American coach of a fictional English football team, and the dystopian office drama series "Severance" helped bring Apple Inc's AAPL.O Apple TV+ a total of 52 Emmy nominations.
Apple walked away with six Emmys, including awards for "Ted Lasso" as best comedy and for best actor in a comedy, Jason Sudeikis, the show's creator, who portrays the title character.
Walt Disney Co DIS.N collected 117 nominations across its various platforms, including the ABC, FX and National Geographic television networks and the streaming services Disney+ and Hulu.
It received a total of 26 Emmys, including for lead actor in a limited series awarded to Michael Keaton for his portrayal of a small-town doctor coping with the opioid crisis in "Dopesick," Amanda Seyfried as Elizabeth Holmes, the founder of Theranos Inc. who was later convicted of fraud, in "The Dropout," and "Abbott Elementary" creator Quinta Brunson for outstanding writing for a comedy series.
(Reporting by Dawn Chmielewski in Los Angeles; Editing by Stephen Coates)
((Dawn.Chmielewski@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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"Ted Lasso," the acclaimed comedy series about an American coach of a fictional English football team, and the dystopian office drama series "Severance" helped bring Apple Inc's AAPL.O Apple TV+ a total of 52 Emmy nominations. By Dawn Chmielewski Sept 12 (Reuters) - The dysfunctional dynasty of "Succession," the teen drama "Euphoria" and a comedy series set in the fictional White Lotus resort helped propel HBO to the top of the Emmy Awards heap Monday, surpassing streaming rival Netflix Inc NFLX.O. The streaming pioneer won 26 awards, including milestones for "Squid Game" director, Hwang Dong-hyuk, and the drama's lead actor, Lee Jung-jae, who are the first Asian winners in their respective categories.
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"Ted Lasso," the acclaimed comedy series about an American coach of a fictional English football team, and the dystopian office drama series "Severance" helped bring Apple Inc's AAPL.O Apple TV+ a total of 52 Emmy nominations. By Dawn Chmielewski Sept 12 (Reuters) - The dysfunctional dynasty of "Succession," the teen drama "Euphoria" and a comedy series set in the fictional White Lotus resort helped propel HBO to the top of the Emmy Awards heap Monday, surpassing streaming rival Netflix Inc NFLX.O. The network came away with 38 Emmy Awards, including outstanding anthology series for "The White Lotus," best drama series for "Succession," lead actress in a drama series for "Euphoria" star Zendaya, and lead comedy actress for "Hacks" star Jean Smart, who portrays a standup comedian.
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"Ted Lasso," the acclaimed comedy series about an American coach of a fictional English football team, and the dystopian office drama series "Severance" helped bring Apple Inc's AAPL.O Apple TV+ a total of 52 Emmy nominations. By Dawn Chmielewski Sept 12 (Reuters) - The dysfunctional dynasty of "Succession," the teen drama "Euphoria" and a comedy series set in the fictional White Lotus resort helped propel HBO to the top of the Emmy Awards heap Monday, surpassing streaming rival Netflix Inc NFLX.O. The network came away with 38 Emmy Awards, including outstanding anthology series for "The White Lotus," best drama series for "Succession," lead actress in a drama series for "Euphoria" star Zendaya, and lead comedy actress for "Hacks" star Jean Smart, who portrays a standup comedian.
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"Ted Lasso," the acclaimed comedy series about an American coach of a fictional English football team, and the dystopian office drama series "Severance" helped bring Apple Inc's AAPL.O Apple TV+ a total of 52 Emmy nominations. By Dawn Chmielewski Sept 12 (Reuters) - The dysfunctional dynasty of "Succession," the teen drama "Euphoria" and a comedy series set in the fictional White Lotus resort helped propel HBO to the top of the Emmy Awards heap Monday, surpassing streaming rival Netflix Inc NFLX.O. Netflix received a total of 105 nominations, including 14 for the South Korean drama "Squid Game," the first non-English language series to be nominated for a primetime Emmy.
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19390.0
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2022-09-13 00:00:00 UTC
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US STOCKS-Wall Street tumbles as inflation data stokes bets of large rate hikes
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-tumbles-as-inflation-data-stokes-bets-of-large-rate-hikes
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nan
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nan
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By Devik Jain and Ankika Biswas
Sept 13 (Reuters) - U.S. stock indexes fell sharply on Tuesday, snapping a four-day winning streak, after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week.
All of the 11 S&P sectors declined in early trading, led by a 3.3% slump in the communication services sector .SPLRCL. The small cap Russell 2000 index .RUT dropped 2.5%.
The S&P 500 growth stocks index .IGX, which houses rate-sensitive technology and growth stocks, fell 3% as Treasury yields rose, while its value counterpart .IVX lost 1.6%.
Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell more than 2.3% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.7% and 5.6% to weigh the most on the S&P 500 and the Nasdaq.
The Labor Department's consumer price index (CPI) report showed monthly CPI gained 0.1% in August from July, against expectation of a 0.1% dip. On a year-on-year basis it increased by 8.3%, while economists were anticipating a rise of 8.1%, according to a Reuters poll.
Excluding the volatile food and energy components, core CPI increased to 6.3% from 5.9% in July, putting further pressure on the Fed to continue on its rate-hike spree.
"The longer term view is pretty clear here, that monetary policy is a very blunt instrument and anybody that thought inflation would start to roll over just because the Fed hiked a couple times is pretty ignorant to the way economics works," said Doug Fincher, portfolio manager at Ionic Capital Management.
Policymakers last week emphasized their determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs and above the Fed's target of 2%.
Money markets now see an 81% chance of a 75-basis-point increase in rates and 19% chance of a whopping 100 bps hike by the Fed at its Sept. 20-21 meeting, while expecting rates to peak around 4.28% in March 2023. FEDWATCH
The dollar =USD, which has risen sharply this year in part due to expectations of aggressive rate hikes by the Fed, erased early morning losses to climb 1%.
The gap between yields on the two- and 10-year notes US2US10=RR, often seen as an indicator of a looming recession, inverted further. Rate-sensitive bank stocks .SPXBK dropped 2%.
At 9:46 a.m. ET, the Dow Jones Industrial Average .DJI was down 606.02 points, or 1.87%, at 31,775.32, the S&P 500 .SPX was down 94.40 points, or 2.30%, at 4,016.01, and the Nasdaq Composite .IXIC was down 376.36 points, or 3.07%, at 11,890.06.
The three major indexes had rallied recently as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
Eastman Chemical EMN.N slid 5% after the company forecast a downbeat third-quarter profit, citing demand slowdown in consumer durables market, higher costs and a hit from a stronger dollar.
The CBOE volatility index .VIX, also known as Wall Street's fear gauge, rose to 24.97 points.
Declining issues outnumbered advancers for a 11.92-to-1 ratio on the NYSE and a 6.29-to-1 ratio on the Nasdaq.
The S&P index recorded no new 52-week high and no new low, while the Nasdaq recorded 9 new highs and 62 new lows.
(Reporting by Devik Jain and Ankika Biswas in Bengaluru; Editing by Shounak Dasgupta)
((Devik.Jain@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell more than 2.3% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.7% and 5.6% to weigh the most on the S&P 500 and the Nasdaq. By Devik Jain and Ankika Biswas Sept 13 (Reuters) - U.S. stock indexes fell sharply on Tuesday, snapping a four-day winning streak, after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The three major indexes had rallied recently as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell more than 2.3% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.7% and 5.6% to weigh the most on the S&P 500 and the Nasdaq. By Devik Jain and Ankika Biswas Sept 13 (Reuters) - U.S. stock indexes fell sharply on Tuesday, snapping a four-day winning streak, after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The S&P 500 growth stocks index .IGX, which houses rate-sensitive technology and growth stocks, fell 3% as Treasury yields rose, while its value counterpart .IVX lost 1.6%.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell more than 2.3% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.7% and 5.6% to weigh the most on the S&P 500 and the Nasdaq. By Devik Jain and Ankika Biswas Sept 13 (Reuters) - U.S. stock indexes fell sharply on Tuesday, snapping a four-day winning streak, after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The S&P 500 growth stocks index .IGX, which houses rate-sensitive technology and growth stocks, fell 3% as Treasury yields rose, while its value counterpart .IVX lost 1.6%.
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Mega-cap technology stocks Apple Inc AAPL.O and Microsoft Corp MSFT.O fell more than 2.3% each, while Tesla Inc TSLA.O, Alphabet Inc GOOGL.O, Amazon.com Inc AMZN.O and Meta Platforms Inc META.O dropped between 2.7% and 5.6% to weigh the most on the S&P 500 and the Nasdaq. By Devik Jain and Ankika Biswas Sept 13 (Reuters) - U.S. stock indexes fell sharply on Tuesday, snapping a four-day winning streak, after data showed monthly U.S. consumer prices unexpectedly rose in August, cementing bets of a third straight 75-basis-point rate hike from the Federal Reserve next week. The S&P 500 growth stocks index .IGX, which houses rate-sensitive technology and growth stocks, fell 3% as Treasury yields rose, while its value counterpart .IVX lost 1.6%.
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19391.0
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2022-09-13 00:00:00 UTC
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Where Will Apple Stock Be in 2030?
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AAPL
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https://www.nasdaq.com/articles/where-will-apple-stock-be-in-2030
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nan
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nan
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There's no doubt about it -- Apple (NASDAQ: AAPL) is one incredible company. Since going public in 1980, the stock has gone up more than 120,000%, excluding dividends. While past markets don't predict the future, the famed iPhone maker appears well positioned for success in the years to come. That said, there's a great chance that its operations will change.
Not only has its products segment reached maturity, but the technology sector is rapidly changing. Being the great company that Apple is, it will need to continue adapting to emerging trends and find new ways to facilitate growth. Keeping that in mind, where will the tech giant be in 2030?
I know that's a loaded question, but let's dive in and try to come up with an answer.
Image source: Getty Images.
It's all about Apple's services business
In fiscal 2021, Apple generated $366 billion in annual sales. $297 billion, or 81%, came from its products segment, which includes the iPhone, iPad, and Mac. The other $68 billion, or 19%, came from its services segment, which includes the App Store, advertising, cloud services, Apple TV+, Apple Music, and AppleCare, among others. Fast forward to its most recent quarter and its products segment fell 0.9% year over year to $63 billion, equal to 76% of total revenue; its services segment rose 12.1% to roughly $20 billion, representing 24% of sales.
Looking at the numbers, it's evident that Apple's future growth picture is dependent on its services category, but how profitable is each segment?
In Q3, the products segment's gross profit margin decreased 152 basis points year over year to 34.5%, and the services segment's gross profit margin climbed 169 basis points to finish at 71.5%. So its services segment is not only growing much faster, but it's also a much more profitable business. It's clear that Apple could be a much more profitable company by the end of the decade, as its services segment continues to outpace its products category in top-line growth and profitability.
Let's estimate that the products segment can expand at a compound annual growth rate (CAGR) of 3% through fiscal 2030 from 2021 to $388 billion, and its services segment can rise at a CAGR of 18% to $304 billion. That would bring Apple's total sales in fiscal 2030 to $692 billion, which is slightly above analysts' forecasts of $676 billion, according to data from S&P Global Market Intelligence. To boot, the products segment would represent just 56% of revenue, versus 76% in the latest quarter, and its services category would make up 44% of sales, quite the uptick from 24% in Q3. No one knows exactly how the situation will pan out, but based on recent business trends, it's reasonable to assume that Apple's services segment will easily outrun its products segment in growth through the end of the decade.
Regardless of exact estimates, I think it's safe to say that Apple's future will be determined largely by its services segment, not its hardware products. So investors should keep a close eye on the performance of the services category. It has important implications in regards to Apple's long-term success, and it's vital that the segment continue to succeed if the tech giant wants to sustain meaningful growth.
Should investors pounce on Apple stock?
With its one-of-a-kind brand and its $48.2 billion in cash and marketable securities, I'm confident that Apple's services segment will thrive in the long run. If you already own Apple stock, hold it forever. If you're looking to start a position or accumulate more shares, I'd wait for the time being. The stock currently trades at 26 times earnings, above its five-year mean of 23.1. I'd suggest that investors wait until its price-to-earnings multiple falls below its historical average.
Apple is a tremendous company, but identifying a good business is only one part of being a great investor. The other part is determining when to buy. In the iPhone maker's case, now is not the time. Be patient, though -- the right moment always comes.
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Luke Meindl has positions in Apple. The Motley Fool has positions in and recommends Apple. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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There's no doubt about it -- Apple (NASDAQ: AAPL) is one incredible company. To boot, the products segment would represent just 56% of revenue, versus 76% in the latest quarter, and its services category would make up 44% of sales, quite the uptick from 24% in Q3. It has important implications in regards to Apple's long-term success, and it's vital that the segment continue to succeed if the tech giant wants to sustain meaningful growth.
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There's no doubt about it -- Apple (NASDAQ: AAPL) is one incredible company. Fast forward to its most recent quarter and its products segment fell 0.9% year over year to $63 billion, equal to 76% of total revenue; its services segment rose 12.1% to roughly $20 billion, representing 24% of sales. In Q3, the products segment's gross profit margin decreased 152 basis points year over year to 34.5%, and the services segment's gross profit margin climbed 169 basis points to finish at 71.5%.
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There's no doubt about it -- Apple (NASDAQ: AAPL) is one incredible company. The other $68 billion, or 19%, came from its services segment, which includes the App Store, advertising, cloud services, Apple TV+, Apple Music, and AppleCare, among others. It's clear that Apple could be a much more profitable company by the end of the decade, as its services segment continues to outpace its products category in top-line growth and profitability.
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There's no doubt about it -- Apple (NASDAQ: AAPL) is one incredible company. Fast forward to its most recent quarter and its products segment fell 0.9% year over year to $63 billion, equal to 76% of total revenue; its services segment rose 12.1% to roughly $20 billion, representing 24% of sales. It's clear that Apple could be a much more profitable company by the end of the decade, as its services segment continues to outpace its products category in top-line growth and profitability.
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19392.0
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2022-09-12 00:00:00 UTC
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Monday's ETF with Unusual Volume: PBP
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AAPL
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https://www.nasdaq.com/articles/mondays-etf-with-unusual-volume%3A-pbp-0
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nan
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nan
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The Invesco S&P 500 BuyWrite ETF is seeing unusually high volume in afternoon trading Monday, with over 153,000 shares traded versus three month average volume of about 29,000. Shares of PBP were up about 1% on the day.
Components of that ETF with the highest volume on Monday were Apple, trading up about 3.9% with over 60.5 million shares changing hands so far this session, and Advanced Micro Devices, down about 1.3% on volume of over 50.6 million shares. Bristol-myers Squibb is the component faring the best Monday, up by about 5.1% on the day, while Mosaic is lagging other components of the Invesco S&P 500 BuyWrite ETF, trading lower by about 6%.
VIDEO: Monday's ETF with Unusual Volume: PBP
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The Invesco S&P 500 BuyWrite ETF is seeing unusually high volume in afternoon trading Monday, with over 153,000 shares traded versus three month average volume of about 29,000. Components of that ETF with the highest volume on Monday were Apple, trading up about 3.9% with over 60.5 million shares changing hands so far this session, and Advanced Micro Devices, down about 1.3% on volume of over 50.6 million shares. VIDEO: Monday's ETF with Unusual Volume: PBP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The Invesco S&P 500 BuyWrite ETF is seeing unusually high volume in afternoon trading Monday, with over 153,000 shares traded versus three month average volume of about 29,000. Bristol-myers Squibb is the component faring the best Monday, up by about 5.1% on the day, while Mosaic is lagging other components of the Invesco S&P 500 BuyWrite ETF, trading lower by about 6%. VIDEO: Monday's ETF with Unusual Volume: PBP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The Invesco S&P 500 BuyWrite ETF is seeing unusually high volume in afternoon trading Monday, with over 153,000 shares traded versus three month average volume of about 29,000. Components of that ETF with the highest volume on Monday were Apple, trading up about 3.9% with over 60.5 million shares changing hands so far this session, and Advanced Micro Devices, down about 1.3% on volume of over 50.6 million shares. VIDEO: Monday's ETF with Unusual Volume: PBP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Components of that ETF with the highest volume on Monday were Apple, trading up about 3.9% with over 60.5 million shares changing hands so far this session, and Advanced Micro Devices, down about 1.3% on volume of over 50.6 million shares. Bristol-myers Squibb is the component faring the best Monday, up by about 5.1% on the day, while Mosaic is lagging other components of the Invesco S&P 500 BuyWrite ETF, trading lower by about 6%. VIDEO: Monday's ETF with Unusual Volume: PBP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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19393.0
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2022-09-12 00:00:00 UTC
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Top Stocks To Buy Now? 4 Dow 30 Stocks To Know
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AAPL
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https://www.nasdaq.com/articles/top-stocks-to-buy-now-4-dow-30-stocks-to-know
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nan
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nan
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4 Dow Jones Stocks To Watch Today
The Dow Jones Industrial Average is a stock market index that includes 30 of the largest and most influential companies in the United States. In brief, Dow 30 stocks are widely referred to as a bellwether for the overall health of the economy. As a result, they are closely watched by investors around the world. In addition, these stocks tend to pay dividend payments, which can provide a source of income for investors. For these reasons, Dow 30 stocks are an attractive option for many investors.
Next, the Dow Jones Industrial Average is calculated by taking the average stock price of all 30 Dow Jones stocks. Though it’s important to note the specific stocks that make up the Dow Jones Industrial Average can change over time. In detail, the index is currently made up of companies such as; Boeing Company (NYSE: BA), Caterpillar Inc. (NYSE: CAT), Coca-Cola Company (NYSE: KO), and JPMorgan Chase & Co. (NYSE: JPM) to name a few. Many of these companies are leaders in their respective industries, and they tend to be less volatile than smaller companies. As a result, Dow 30 stocks offer investors a measure of safety and stability. If this has you interested in learning more about Dow 30 stocks, here are four to watch in the stock market today.
Dow 30 Stocks To Buy [Or Sell] Now
Apple, Inc. (NASDAQ: AAPL)
The Walt Disney Company (NYSE: DIS)
3M Company (NYSE: MMM)
Nike Inc. (NYSE: NKE)
Apple (AAPL Stock)
Kicking off this list is consumer tech giant Apple, Inc. (AAPL). For starters, Apple is an American multinational technology company headquartered in Cupertino, California. The company focuses on designing, developing, and selling consumer electronics, computer software, and online services. Most notably, the company’s most popular products include the iPhone smartphone, the iPad tablet computer, the Mac personal computer, the iPod portable media player, and the Apple Watch smartwatch. Shares of Apple stock are up over 4% to start the trading week at $163.76 per share on Monday afternoon.
This comes after just last week, Apple announced its new product updates to investors. In detail, the company said it will be launching a new iPhone® 14 Pro and iPhone 14 Pro Max. In detail, this new iPhone will have additional features such as an Always-On display, the first-ever 48MP camera on an iPhone, and more. What’s more, Apple also introduced the new Apple Watch® Series 8 and the new Apple Watch SE®.
Additionally, Jeff Williams, Apple’s chief operating officer, commented, “Apple Watch Series 8 reinforces our commitment in these areas with the addition of pioneering technology, while Apple Watch SE brings advanced core features at a new starting price. Powered by watchOS 9, the best smartwatches deliver more capabilities than ever before.” Given all the excitement surrounding this, will you be adding AAPL stock to your radar today?
Source: TD Ameritrade TOS
[Read More] Best Stocks To Buy Today? 4 Utility Stocks For September 2022
Walt Disney Company (DIS Stock)
Next, Walt Disney Company (DIS) is one of the largest media and entertainment companies in the world. In brief, the company’s primary business is the production of motion pictures and television programs. In addition to that, Walt Disney also owns and operates a number of theme parks and resorts around the world, including Disneyland, Walt Disney World, and Tokyo Disney Resort. The company’s consumer products division markets a wide range of products based on its film and television properties, including toys, clothes, and home decor.
In August, Walt Disney Company reported better-than-estimated third-quarter 2022 financial results. Diving in, the company reported earnings per share of $1.09, while posting revenue of $21.5 billion for Q3. This is compared with analysts’ consensus estimates for Q3 2022 were earnings per share of $0.94 and revenue of $20.1 billion. Additionally, the company reported revenue growth of 26.3% on a year-over-year basis. What’s more, Disney’s park, experiences, and product revenues for Q3 jumped to $7.4 billion, versus $4.3 billion during the same period, a year prior.
Over the last 5 days of trading, DIS stock has rebounded over 3% as of Monday’s trading session at $116.22 per share. With this in mind, is now a good time to buy Walt Disney stock?
Source: TD Ameritrade TOS
3M Company (MMM Stock)
Following that, 3M Company (MMM) is an American multinational company operating in the fields of industry, worker safety, US health care, and consumer goods. The company produces over 60,000 products under several brand names, including 3M, Ademco, Command, Scotch-Brite, Nexcare, and Vikuiti. 3M has operations in more than 70 countries and sells its products in over 200. 3M is a component of the Dow Jones Industrial Average and was one of the 30 stocks that made up the original Dow index. Today, MMM pays its shareholders an annual dividend yield of 4.78%.
Last month, 3M reported its second-quarter financial results. In the report, the company reported earnings per share of $2.48. While notching in revenue of $8.7 billion for the quarter. The Street’s consensus estimates for Q2 were $2.41 earnings per share and revenue estimates of $8.8 billion. In addition, 3M reported that it estimates full-year fiscal 2022 earnings of $10.30 to $10.80 per share and revenue of $34.47 billion to $35.18 billion.
With that, shares of MMM stock are still down over 29% since the start of the year. Meanwhile, on Monday afternoon 3M stock is trading at $124.73 per share. Considering this, could today be a good time to add MMM stock into your long-term portfolio at these prices?
Source: TD Ameritrade TOS
[Read More] 3 Consumer Discretionary Stocks To Watch This Week
Nike (NKE Stock)
Closing out this list, Nike, Inc. (NKE) is a major American sportswear and footwear company, headquartered in Beaverton, Oregon. Nike produces a wide range of sports equipment, including shoes, shirts, balls, and uniforms for a variety of sports. The company is also responsible for the endorsement of many high-profile athletes and sports teams.
Last month, Nike announced its Board Of Directors declared a quarterly cash dividend of $0.305 per share on common stock. As of today, the company has an annual dividend yield of 1.16%. Also in August, Nike reported that it will announce its first quarter 2023 financial results on Thursday, September 29th, 2022 after the market closes. In their most recent financial reporting back in June, Nike posted an earnings per share of $0.90, and revenue of $12.2 billion.
Also in that report, the company said it estimates first-quarter 2023 revenue of approximately $12.23 billion. Over the past five trading days, shares of NKE stock have rallied over 6% as of Monday afternoon’s session at $112.51 per share. Do you think Nike stock is a good addition to your list of Dow 30 stocks to watch now?
Source: TD Ameritrade TOS
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Powered by watchOS 9, the best smartwatches deliver more capabilities than ever before.” Given all the excitement surrounding this, will you be adding AAPL stock to your radar today? Dow 30 Stocks To Buy [Or Sell] Now Apple, Inc. (NASDAQ: AAPL) The Walt Disney Company (NYSE: DIS) 3M Company (NYSE: MMM) Nike Inc. (NYSE: NKE) Apple (AAPL Stock) Kicking off this list is consumer tech giant Apple, Inc. (AAPL). Last month, Nike announced its Board Of Directors declared a quarterly cash dividend of $0.305 per share on common stock.
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Dow 30 Stocks To Buy [Or Sell] Now Apple, Inc. (NASDAQ: AAPL) The Walt Disney Company (NYSE: DIS) 3M Company (NYSE: MMM) Nike Inc. (NYSE: NKE) Apple (AAPL Stock) Kicking off this list is consumer tech giant Apple, Inc. (AAPL). Powered by watchOS 9, the best smartwatches deliver more capabilities than ever before.” Given all the excitement surrounding this, will you be adding AAPL stock to your radar today? Source: TD Ameritrade TOS 3M Company (MMM Stock) Following that, 3M Company (MMM) is an American multinational company operating in the fields of industry, worker safety, US health care, and consumer goods.
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Dow 30 Stocks To Buy [Or Sell] Now Apple, Inc. (NASDAQ: AAPL) The Walt Disney Company (NYSE: DIS) 3M Company (NYSE: MMM) Nike Inc. (NYSE: NKE) Apple (AAPL Stock) Kicking off this list is consumer tech giant Apple, Inc. (AAPL). Powered by watchOS 9, the best smartwatches deliver more capabilities than ever before.” Given all the excitement surrounding this, will you be adding AAPL stock to your radar today? 4 Utility Stocks For September 2022 Walt Disney Company (DIS Stock) Next, Walt Disney Company (DIS) is one of the largest media and entertainment companies in the world.
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Dow 30 Stocks To Buy [Or Sell] Now Apple, Inc. (NASDAQ: AAPL) The Walt Disney Company (NYSE: DIS) 3M Company (NYSE: MMM) Nike Inc. (NYSE: NKE) Apple (AAPL Stock) Kicking off this list is consumer tech giant Apple, Inc. (AAPL). Powered by watchOS 9, the best smartwatches deliver more capabilities than ever before.” Given all the excitement surrounding this, will you be adding AAPL stock to your radar today? Source: TD Ameritrade TOS 3M Company (MMM Stock) Following that, 3M Company (MMM) is an American multinational company operating in the fields of industry, worker safety, US health care, and consumer goods.
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19394.0
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2022-09-12 00:00:00 UTC
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Emmy nominees hit red carpet ahead of 'Succession' and 'Squid Game' showdown
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AAPL
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https://www.nasdaq.com/articles/emmy-nominees-hit-red-carpet-ahead-of-succession-and-squid-game-showdown
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nan
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nan
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By Lisa Richwine and Danielle Broadway
LOS ANGELES, Sept 12 (Reuters) - Hollywood stars gathered on Monday to toast the best of television at the annual Emmy awards, where back-stabbing drama "Succession" will battle South Korean sensation "Squid Game" for the top prize.
The two are competing for the best drama series trophy at the red-carpet ceremony that will be broadcast live on Comcast Corp's CMCSA.O NBC network and streamed on Peacock. Longtime "Saturday Night Live" cast member Kenan Thompson will host the event starting at 5 p.m. local time (8 p.m. Eastern/midnight GMT) in downtown Los Angeles.
"Ted Lasso" star and nominee Hannah Waddingham arrived on the red carpet wearing a strapless pink dress with a full skirt that hid white tennis shoes with glitter on top. Issa Rae, a nominee for "Insecure," chose a long black-and-white dress with spaghetti straps.
Henry Winkler said he wore his lucky yellow tie, the same one he donned in 2018 when he won a supporting actor Emmy for playing an acting coach on "Barry." Winkler is in contention for the same award on Monday.
Host Thompson promised "just a good time."
"We're going to open with a bang. I think we've got great presenters, and some surprises in there," he said on the red carpet.
The competition for trophies is tough, according to awards experts, with several shows and stars back in the running after COVID-related filming disruptions kept them away last year.
"We're seeing a lot of categories with contenders who have been mainstays for years, and they're competing against each other," said Entertainment Weekly editor-in-chief Patrick Gomez.
"Succession," an HBO WBD.BLUE series starring Brian Cox as the patriarch of a family jockeying for control of a media dynasty, is a favorite for best drama after racking up a leading 25 nominations. It won the award in 2020.
Newcomer "Squid Game" could pull off a win, however, and if so it would make history as the first non-English language program to claim a series Emmy. The show about life-or-death contests offering the possibility of riches became a global phenomenon when it debuted on Netflix Inc NFLX.O a year ago.
But don't rule out a surprise, awards experts said. Apple TV+ AAPL.O workplace thriller "Severance" has generated recent buzz in Hollywood. Other competitors include Netflix's "Ozark" and AMC's "Better Call Saul," which voters might want to honor for their final seasons.
In the comedy race, Apple TV+ feel-good series "Ted Lasso" is back for more after being named best comedy last year. Its rivals include Hulu's "Only Murders in the Building," starring Steve Martin, Martin Short and Selena Gomez as neighbors who become true-crime podcasters, and ABC's "Abbott Elementary" about teachers at a predominantly Black school in Philadelphia.
Short and Martin are competing against each other for best comedy actor, along with "Lasso" star Jason Sudeikis. Contenders for lead comedy actress include Quinta Brunson, the 32-year-old creator and star of "Abbott Elementary, "Insecure" star Issa Rae, and Jean Smart of "Hacks."
(Reporting by Lisa Richwine, Editing by Rosalba O'Brien)
((lisa.richwine@thomsonreuters.com; Follow me on Twitter @LARichwine; 1-424-434-7324; Reuters Messaging: lisa.richwine.thomsonreuters.com@reuters.net))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple TV+ AAPL.O workplace thriller "Severance" has generated recent buzz in Hollywood. By Lisa Richwine and Danielle Broadway LOS ANGELES, Sept 12 (Reuters) - Hollywood stars gathered on Monday to toast the best of television at the annual Emmy awards, where back-stabbing drama "Succession" will battle South Korean sensation "Squid Game" for the top prize. "Ted Lasso" star and nominee Hannah Waddingham arrived on the red carpet wearing a strapless pink dress with a full skirt that hid white tennis shoes with glitter on top.
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Apple TV+ AAPL.O workplace thriller "Severance" has generated recent buzz in Hollywood. By Lisa Richwine and Danielle Broadway LOS ANGELES, Sept 12 (Reuters) - Hollywood stars gathered on Monday to toast the best of television at the annual Emmy awards, where back-stabbing drama "Succession" will battle South Korean sensation "Squid Game" for the top prize. In the comedy race, Apple TV+ feel-good series "Ted Lasso" is back for more after being named best comedy last year.
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Apple TV+ AAPL.O workplace thriller "Severance" has generated recent buzz in Hollywood. By Lisa Richwine and Danielle Broadway LOS ANGELES, Sept 12 (Reuters) - Hollywood stars gathered on Monday to toast the best of television at the annual Emmy awards, where back-stabbing drama "Succession" will battle South Korean sensation "Squid Game" for the top prize. The competition for trophies is tough, according to awards experts, with several shows and stars back in the running after COVID-related filming disruptions kept them away last year.
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Apple TV+ AAPL.O workplace thriller "Severance" has generated recent buzz in Hollywood. Winkler is in contention for the same award on Monday. The competition for trophies is tough, according to awards experts, with several shows and stars back in the running after COVID-related filming disruptions kept them away last year.
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19395.0
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2022-09-12 00:00:00 UTC
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After Hours Most Active for Sep 12, 2022 : NEE^Q, PLTK, KGC, AMZN, AAPL, IS, MSFT, CMCSA, CSCO, BEKE, T, ORCL
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AAPL
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https://www.nasdaq.com/articles/after-hours-most-active-for-sep-12-2022-%3A-nee%5Eq-pltk-kgc-amzn-aapl-is-msft-cmcsa-csco-beke
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nan
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nan
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The NASDAQ 100 After Hours Indicator is up 8.7 to 12,748.42. The total After hours volume is currently 91,067,948 shares traded.
The following are the most active stocks for the after hours session:
NextEra Energy, Inc. (NEE^Q) is unchanged at $54.24, with 4,426,625 shares traded.
Playtika Holding Corp. (PLTK) is unchanged at $11.39, with 3,703,975 shares traded. As reported by Zacks, the current mean recommendation for PLTK is in the "buy range".
Kinross Gold Corporation (KGC) is unchanged at $3.56, with 3,183,127 shares traded. As reported by Zacks, the current mean recommendation for KGC is in the "buy range".
Amazon.com, Inc. (AMZN) is +0.19 at $136.64, with 2,967,611 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range".
Apple Inc. (AAPL) is +0.29 at $163.72, with 2,510,606 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range".
ironSource Ltd. (IS) is +0.19 at $4.37, with 2,367,949 shares traded. As reported by Zacks, the current mean recommendation for IS is in the "buy range".
Microsoft Corporation (MSFT) is +0.847 at $267.50, with 2,131,639 shares traded. As reported by Zacks, the current mean recommendation for MSFT is in the "buy range".
Comcast Corporation (CMCSA) is unchanged at $35.69, with 2,008,207 shares traded. As reported by Zacks, the current mean recommendation for CMCSA is in the "buy range".
Cisco Systems, Inc. (CSCO) is +0.07 at $46.47, with 1,879,021 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Jul 2023. The consensus EPS forecast is $0.83. CSCO's current last sale is 87.68% of the target price of $53.
KE Holdings Inc (BEKE) is unchanged at $18.30, with 1,814,208 shares traded. As reported by Zacks, the current mean recommendation for BEKE is in the "buy range".
AT&T Inc. (T) is +0.01 at $17.39, with 1,615,203 shares traded. T's current last sale is 78.16% of the target price of $22.25.
Oracle Corporation (ORCL) is -0.01 at $77.07, with 1,565,969 shares traded. Smarter Analyst Reports: Oracle Posts Upbeat Q2 Results; Shares Jump
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Apple Inc. (AAPL) is +0.29 at $163.72, with 2,510,606 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Kinross Gold Corporation (KGC) is unchanged at $3.56, with 3,183,127 shares traded.
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Apple Inc. (AAPL) is +0.29 at $163.72, with 2,510,606 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". As reported by Zacks, the current mean recommendation for PLTK is in the "buy range".
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As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Apple Inc. (AAPL) is +0.29 at $163.72, with 2,510,606 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range".
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Apple Inc. (AAPL) is +0.29 at $163.72, with 2,510,606 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Kinross Gold Corporation (KGC) is unchanged at $3.56, with 3,183,127 shares traded.
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19396.0
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2022-09-12 00:00:00 UTC
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Wall Street posts fourth straight day of gains ahead of CPI report
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AAPL
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https://www.nasdaq.com/articles/wall-street-posts-fourth-straight-day-of-gains-ahead-of-cpi-report
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nan
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nan
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By Stephen Culp
NEW YORK, Sept 12 (Reuters) - Wall Street extended its winning streak on Monday, rallying to a sharply higher close as investors awaited crucial inflation data that could provide clues about the duration and severity of the Federal Reserve's tightening policy.
Energy .SPNY and technology .SPLRCT shares helped the three major U.S. stock indexes touch two-week highs and notch their fourth straight session of gains, in which growth .IGX stocks were slightly favored over value .IVX.
The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any signs regarding the number and size of future interest rate hikes from the Fed.
"CPI is expected to see a little bit of a decrease," said Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut. "The market is hoping that news translates into smaller rate hikes after the Sept FOMC meeting."
"Because of that, you're seeing a risk-on type of mentality today," Pavlik added.
On Thursday, Fed Chair Jerome Powell affirmed the central bank remains "strongly committed" to tackling decades-high inflation, and that it would "keep at it until the job is done."
Economists polled by Reuters expect monthly CPI to have contracted 0.1% in August from July, edging down to 8.1% year-on-year, mainly due to the recent cool-down of commodity prices.
Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
"The market has now fully priced in 75 basis points for September," Pavlik said. "The market is hoping the next one is 50 basis points and that we'll see a slight decrease in rate hikes after that, and Wall Street can live with that."
The Dow Jones Industrial Average .DJI rose 229.63 points, or 0.71%, to 32,381.34, the S&P 500 .SPX gained 43.05 points, or 1.06%, to 4,110.41 and the Nasdaq Composite .IXIC added 154.10 points, or 1.27%, to 12,266.41.
All 11 major sectors of the S&P 500 closed green. Energy companies .SPNY, boosted by rising crude prices CLc1, enjoyed the biggest percentage gain.
Economically sensitive transports .DJT outperformed the broader market, while market-leading megacaps provided the most lift.
A 3.9% jump in Apple Inc AAPL.O shares gave the S&P 500 and the Nasdaq their biggest boost, days after the gadget maker unveiled updates to its iPhone and Apple Watch.
Drugmaker Bristol-Myers Squibb BMY.N rose 3.1% following the Food and Drug Administration's approval of its psoriasis drug late on Friday.
Rival Amgen Inc AMGN.O, maker of psoriasis drug Otezla, slid 4.1%.
Twitter Inc TWTR.K ended the session down 1.8% amid its legal wrangling against Tesla Inc TSLA.O chief Elon Musk for scrapping a deal to acquire the social media platform.
Car selling platform Carvana Co CVNA.N hopped 15.5% higher following Piper Sandler's upgrade of the stock to "overweight."
Advancing issues outnumbered declining ones on the NYSE by a 3.37-to-1 ratio; on Nasdaq, a 1.78-to-1 ratio favored advancers.
The S&P 500 posted 11 new 52-week highs and no new lows; the Nasdaq Composite recorded 47 new highs and 59 new lows.
Volume on U.S. exchanges was 9.63 billion shares, compared with the 10.22 billion average over the last 20 trading days.
(Reporting by Stephen Culp in New York; Additional reporting by Sinead Carew; Editing by Matthew Lewis and Cynthia Osterman)
((stephen.culp@thomsonreuters.com; 646-223-6076;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A 3.9% jump in Apple Inc AAPL.O shares gave the S&P 500 and the Nasdaq their biggest boost, days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street extended its winning streak on Monday, rallying to a sharply higher close as investors awaited crucial inflation data that could provide clues about the duration and severity of the Federal Reserve's tightening policy. The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any signs regarding the number and size of future interest rate hikes from the Fed.
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A 3.9% jump in Apple Inc AAPL.O shares gave the S&P 500 and the Nasdaq their biggest boost, days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street extended its winning streak on Monday, rallying to a sharply higher close as investors awaited crucial inflation data that could provide clues about the duration and severity of the Federal Reserve's tightening policy. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
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A 3.9% jump in Apple Inc AAPL.O shares gave the S&P 500 and the Nasdaq their biggest boost, days after the gadget maker unveiled updates to its iPhone and Apple Watch. Energy .SPNY and technology .SPLRCT shares helped the three major U.S. stock indexes touch two-week highs and notch their fourth straight session of gains, in which growth .IGX stocks were slightly favored over value .IVX. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
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A 3.9% jump in Apple Inc AAPL.O shares gave the S&P 500 and the Nasdaq their biggest boost, days after the gadget maker unveiled updates to its iPhone and Apple Watch. Energy .SPNY and technology .SPLRCT shares helped the three major U.S. stock indexes touch two-week highs and notch their fourth straight session of gains, in which growth .IGX stocks were slightly favored over value .IVX. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
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19397.0
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2022-09-12 00:00:00 UTC
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US STOCKS-Wall Street closes higher ahead of CPI report
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-closes-higher-ahead-of-cpi-report
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nan
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nan
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By Stephen Culp
NEW YORK, Sept 12 (Reuters) - Wall Street rallied on Monday, extending its winning streak as investors awaited crucial inflation data that could provide clues about the duration and severity of the Federal Reserve's tightening policy.
Energy .SPNY and technology .SPLRCT shares helped the tthree major U.S. stock indexes touch two-week highs and notch their fourth straight session of gains, in which growth .IGX was slightly favored over value .IVX.
The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any signs regarding the number and size of future interest rate hikes from the Fed.
"CPI is expected to see a little bit of a decrease," said Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut. "The market is hoping that news translates into smaller rate hikes after the Sept FOMC meeting."
"Because of that, you're seeing a risk-on type of mentality today," Pavlik added.
On Thursday, Fed Chair Jerome Powell affirmed the central bank remains "strongly committed" to tackling decades-high inflation, and that they would "keep at it until the job is done."
Economists polled by Reuters expect monthly CPI to have contracted 0.1% in August from July, edging down to 8.1% year-on-year, mainly due to the recent cool-down of commodity prices.
Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
"The market has now fully priced in 75 basis points for September," Pavlik said. "The market is hoping the next one is 50 basis points and that we'll see a slight decrease in rate hikes after that, and Wall Street can live with that."
According to preliminary data, the S&P 500 .SPX gained 43.80 points, or 1.08%, to end at 4,111.16 points, while the Nasdaq Composite .IXIC gained 155.48 points, or 1.28%, to 12,267.78. The Dow Jones Industrial Average .DJI rose 235.39 points, or 0.73%, to 32,387.10.
Economically sensitive transports .DJT outperformed the broader market, while market-leading megacaps provided the most lift.
A jump in Apple Inc AAPL.O shares, beaten up this year, came days after the gadget maker unveiled updates to its iPhone and Apple Watch.
Drugmaker Bristol-Myers Squibb BMY.N surged following the Food and Drug Administration's approval of its psoriasis drug late on Friday.
Rival Amgen Inc AMGN.O, maker of psoriasis drug Otezla, dropped.
Twitter Inc TWTR.K slipped amid its legal wrangling against Tesla Inc TSLA.O chief Elon Musk for scrapping a deal to acquire the social media platform.
KFC and Pizza hut operator Yum Brands Inc YUM.N advanced in the wake of its $2 billion share buyback announcement.
Car selling platform Carvana Co CVNA.N hopped higher following Piper Sandler's upgrade of the stock to "overweight."
(Reporting by Stephen Culp in New York; Additional reporting by Sinead Carew; Editing by Matthew Lewis and Cynthia Osterman)
((stephen.culp@thomsonreuters.com; 646-223-6076;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A jump in Apple Inc AAPL.O shares, beaten up this year, came days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street rallied on Monday, extending its winning streak as investors awaited crucial inflation data that could provide clues about the duration and severity of the Federal Reserve's tightening policy. Energy .SPNY and technology .SPLRCT shares helped the tthree major U.S. stock indexes touch two-week highs and notch their fourth straight session of gains, in which growth .IGX was slightly favored over value .IVX.
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A jump in Apple Inc AAPL.O shares, beaten up this year, came days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street rallied on Monday, extending its winning streak as investors awaited crucial inflation data that could provide clues about the duration and severity of the Federal Reserve's tightening policy. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
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A jump in Apple Inc AAPL.O shares, beaten up this year, came days after the gadget maker unveiled updates to its iPhone and Apple Watch. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool. "The market is hoping the next one is 50 basis points and that we'll see a slight decrease in rate hikes after that, and Wall Street can live with that."
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A jump in Apple Inc AAPL.O shares, beaten up this year, came days after the gadget maker unveiled updates to its iPhone and Apple Watch. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool. "The market is hoping the next one is 50 basis points and that we'll see a slight decrease in rate hikes after that, and Wall Street can live with that."
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19398.0
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2022-09-12 00:00:00 UTC
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US STOCKS-Wall Street looks to extend its winning streak ahead of CPI report
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-looks-to-extend-its-winning-streak-ahead-of-cpi-report
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nan
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nan
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By Stephen Culp
NEW YORK, Sept 12 (Reuters) - Wall Street advanced to two-week highs on Monday with few impediments to thwart a three-day winning streak as investors awaited crucial inflation data.
All three major U.S. stock indexes appeared set to notch their fourth straight session of gains in a broad rally which evenly favored growth .IGX and value .IVX stocks.
"There are no real catalysts today to my knowledge," said Peter Tuz, president of Chase Investment Counsel in Charlottesville, Virginia. "I thought the market would be flat to down, because there’s a lot riding on CPI."
The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any clues regarding the length and severity of the Federal Reserve's policy tightening phase.
On Thursday, Fed Chair Jerome Powell affirmed the central bank remains "strongly committed" to tackling decades-high inflation, and that they would "keep at it until the job is done."
Economists polled by Reuters expect monthly CPI to have contracted 0.1% in August, edging down to 8.1% year-on-year, mainly due to the recent cool-down of commodity prices.
Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
"(The market has) pretty much got a 75 basis-point (interest) rate hike baked in," Tuz added. "It would take a monumental event to swing that up or down."
The Dow Jones Industrial Average .DJI rose 212.19 points, or 0.66%, to 32,363.9, the S&P 500 .SPX gained 39.58 points, or 0.97%, to 4,106.94 and the Nasdaq Composite .IXIC added 137.49 points, or 1.14%, to 12,249.80.
All 11 major sectors of the S&P 500 were green, with tech .SPLRCT enjoying the biggest percentage gain, followed by energy companies .SPNY.
Economically sensitive transports .DJT were outperforming the broader market.
Shares of Apple Inc AAPL.O, beaten up this year, jumped 4.2% days after the gadget maker unveiled updates to its iPhone and Apple Watch.
Drugmaker Bristol-Myers Squibb BMY.N surged 4.9% following the Food and Drug Administration's approval of its psoriasis drug late on Friday.
Rival Amgen Inc AMGN.O, maker of psoriasis drug Otezla, dropped 3.6%.
Twitter Inc TWTR.K slipped 2.0% amid its legal wrangling against Tesla Inc TSLA.O chief Elon Musk for scrapping a deal to acquire the social media platform.
KFC and Pizza hut operator Yum Brands Inc YUM.N advanced 1.0% in the wake of its $2 billion share buyback announcement.
Car selling platform Carvana Co CVNA.N hopped 13.1% higher following Piper Sandler's upgrade of the stock to "overweight."
Advancing issues outnumbered declining ones on the NYSE by a 3.73-to-1 ratio; on Nasdaq, a 1.93-to-1 ratio favored advancers.
The S&P 500 posted 11 new 52-week highs and no new lows; the Nasdaq Composite recorded 33 new highs and 52 new lows.
(Reporting by Stephen Culp in New York Editing by Matthew Lewis)
((stephen.culp@thomsonreuters.com; 646-223-6076;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Shares of Apple Inc AAPL.O, beaten up this year, jumped 4.2% days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street advanced to two-week highs on Monday with few impediments to thwart a three-day winning streak as investors awaited crucial inflation data. The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any clues regarding the length and severity of the Federal Reserve's policy tightening phase.
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Shares of Apple Inc AAPL.O, beaten up this year, jumped 4.2% days after the gadget maker unveiled updates to its iPhone and Apple Watch. The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any clues regarding the length and severity of the Federal Reserve's policy tightening phase. Financial markets have currently priced in a 92% probability that the Federal Open Markets Committee (FOMC) will implement its third straight 75-basis-point interest rate hike at the conclusion of next week's policy meeting, according to CME's FedWatch tool.
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Shares of Apple Inc AAPL.O, beaten up this year, jumped 4.2% days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street advanced to two-week highs on Monday with few impediments to thwart a three-day winning streak as investors awaited crucial inflation data. The Labor Department's consumer price index (CPI), expected before Tuesday's opening bell, is this week's main event, and will be scrutinized for any clues regarding the length and severity of the Federal Reserve's policy tightening phase.
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Shares of Apple Inc AAPL.O, beaten up this year, jumped 4.2% days after the gadget maker unveiled updates to its iPhone and Apple Watch. By Stephen Culp NEW YORK, Sept 12 (Reuters) - Wall Street advanced to two-week highs on Monday with few impediments to thwart a three-day winning streak as investors awaited crucial inflation data. All three major U.S. stock indexes appeared set to notch their fourth straight session of gains in a broad rally which evenly favored growth .IGX and value .IVX stocks.
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19399.0
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2022-09-12 00:00:00 UTC
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US STOCKS-Wall Street hits more than two-week high on energy, tech gains
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AAPL
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https://www.nasdaq.com/articles/us-stocks-wall-street-hits-more-than-two-week-high-on-energy-tech-gains-0
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nan
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nan
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By Devik Jain and Ankika Biswas
Sept 12 (Reuters) - Energy and technology shares powered U.S. stock indexes to their highest in more than two weeks on Monday ahead of a crucial inflation reading this week that could determine the pace of interest rate hikes by the Federal Reserve.
The three major indexes have gained for four consecutive sessions as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
All eyes are on consumer prices data on Tuesday for any signs that price pressures may be easing. Headline inflation is expected to rise at an 8.1% pace over the year in August, compared with 8.5% in July.
Core CPI, which strips out volatile factors such as energy and food, is expected to increase to 6.1% from 5.9% in the previous month.
A recent retreat in commodity prices, especially oil, has boosted hopes that the worst of price pressures is over, with the New York Fed's monthly consumer expectations survey on Monday showing U.S. consumers' inflation expectations over the next 12 months slid further in August.
"It's possible that we see the headline (inflation) number flattish, maybe even negative. The equity market is of the belief that the Fed will blink in the face of weaker economic data because of the rate hiking that they've been doing from the beginning of the year," said Paul Nolte, portfolio manager at Kingsview Asset Management in Chicago.
"I don't think they're going to dial back anytime soon ... the issue right now is that even with a good inflation number, it is still going to be well above the Fed's target of 2%."
Policymakers last week downplayed the importance of any single data point, and emphasized their determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs.
Money markets are pricing in a 91% chance of a third straight 75 basis point increase by the U.S. central bank on Sept. 21. FEDWATCH
At 11:50 a.m. ET, the Dow Jones Industrial Average .DJI was up 221.67 points, or 0.69%, at 32,373.38, the S&P 500 .SPX was up 36.68 points, or 0.90%, at 4,104.04, and the Nasdaq Composite .IXIC was up 112.19 points, or 0.93%, at 12,224.49.
Analysts also noted the recent rally in the S&P 500 came after the benchmark index tested and held the 3,900 level, seen as a significant technical support level, on several occasions over the past two weeks.
All of the S&P 500 sectoral indexes rose, led by a 2.2% jump in energy .SPNY shares. Oil prices climbed as supply concerns mounted amidst uncertainty over Iranian nuclear talks. O/R
Rate-sensitive technology and growth stocks such as Microsoft Corp MSFT.O, Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O added between 0.7% and 3%, providing the biggest boost to S&P 500 .SPX and the Nasdaq .IXIC.
Bristol-Myers Squibb Co BMY.N gained 5.5% after the U.S. Food and Drug Administration approved the company's oral treatment for adults with plaque psoriasis.
Shares of Amgen AMGN.O, which makes psoriasis drug Otezla, fell 3.5%.
Carvana Co CVNA.N jumped 8.2% as Piper Sandler upgraded the online used-car seller's stock to "overweight" from "neutral", saying it is grossly undervalued.
Twitter Inc TWTR.N slipped 1.7% after the social media company said it did not breach any agreement for paying a whistleblower and that Elon Musk's attempt to terminate his $44 billion deal was invalid.
Advancing issues outnumbered decliners by a 4.14-to-1 ratio on the NYSE and by a 1.81-to-1 ratio on the Nasdaq.
The S&P index recorded 11 new 52-week highs and no new low, while the Nasdaq recorded 29 new highs and 36 new lows.
(Reporting by Devik Jain and Ankika Biswas in Bengaluru; Editing by Anil D'Silva and Maju Samuel)
((Devik.Jain@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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O/R Rate-sensitive technology and growth stocks such as Microsoft Corp MSFT.O, Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O added between 0.7% and 3%, providing the biggest boost to S&P 500 .SPX and the Nasdaq .IXIC. The three major indexes have gained for four consecutive sessions as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it. Policymakers last week downplayed the importance of any single data point, and emphasized their determination to keep raising rates until there is a sustained drop in inflation, which has been running at 40-year highs.
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O/R Rate-sensitive technology and growth stocks such as Microsoft Corp MSFT.O, Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O added between 0.7% and 3%, providing the biggest boost to S&P 500 .SPX and the Nasdaq .IXIC. By Devik Jain and Ankika Biswas Sept 12 (Reuters) - Energy and technology shares powered U.S. stock indexes to their highest in more than two weeks on Monday ahead of a crucial inflation reading this week that could determine the pace of interest rate hikes by the Federal Reserve. A recent retreat in commodity prices, especially oil, has boosted hopes that the worst of price pressures is over, with the New York Fed's monthly consumer expectations survey on Monday showing U.S. consumers' inflation expectations over the next 12 months slid further in August.
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O/R Rate-sensitive technology and growth stocks such as Microsoft Corp MSFT.O, Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O added between 0.7% and 3%, providing the biggest boost to S&P 500 .SPX and the Nasdaq .IXIC. By Devik Jain and Ankika Biswas Sept 12 (Reuters) - Energy and technology shares powered U.S. stock indexes to their highest in more than two weeks on Monday ahead of a crucial inflation reading this week that could determine the pace of interest rate hikes by the Federal Reserve. The three major indexes have gained for four consecutive sessions as investors took advantage of a sharp drop in stock prices since mid-August that was triggered by concerns over soaring inflation and the impact of tighter monetary policy to curb it.
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O/R Rate-sensitive technology and growth stocks such as Microsoft Corp MSFT.O, Amazon.com AMZN.O, Tesla Inc TSLA.O and Apple Inc AAPL.O added between 0.7% and 3%, providing the biggest boost to S&P 500 .SPX and the Nasdaq .IXIC. By Devik Jain and Ankika Biswas Sept 12 (Reuters) - Energy and technology shares powered U.S. stock indexes to their highest in more than two weeks on Monday ahead of a crucial inflation reading this week that could determine the pace of interest rate hikes by the Federal Reserve. A recent retreat in commodity prices, especially oil, has boosted hopes that the worst of price pressures is over, with the New York Fed's monthly consumer expectations survey on Monday showing U.S. consumers' inflation expectations over the next 12 months slid further in August.
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