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2023-12-15 00:00:00 UTC
5 Growth Stocks to Turn $50,000 Into $100,000
DCOMP
https://www.nasdaq.com/articles/5-growth-stocks-to-turn-%2450000-into-%24100000
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips This article is an excerpt from the InvestorPlace Digest newsletter. To get news like this delivered straight to your inbox, click here. When you think of stocks that can double your money, what comes to mind? Tech investors might immediately consider high-growth unicorns. Rocketing startups like Uber Technologies (NYSE:UBER) and Airbnb (NASDAQ:ABNB) can turn small seed investments into billions. On the other hand, some quant-based investors will point to over-the-counter (OTC) stocks. Shares in these off-exchange listings can trade for a penny or less, making 100% returns easier to achieve. According to data from Thomson Reuters, 433 OTC listings have already doubled this year. Profiting from these tech unicorns, however, is usually limited to a handful of individuals. Early stage investing requires significant personal connections to the venture capital world. The first 5,000% returns in Uber came before the stock went public in 2019. Its publicly available stock has only risen 50% since. And profiting from OTC stocks usually involves becoming a high-frequency trader or market maker. Volumes can be so thin that even listing 1,000 shares of a 1-cent stock (i.e., $10) could raise the market “price” of an OTC listing and cause slippage. So, where should regular investors seek these multi-bagger returns that can actually turn a $50,000 investment into $100,000? The answer is relatively straightforward: Investors need to seek 1) moderately fast-growing firms at 2) cheap valuations. In 2023, the 88 companies of the broad-based Russell 3000 Index doubled in price were Faster growing. “Doublers” had 15.8% expected sales growth vs. 10.6% average. Cheaper. These firms traded at 11.7 times forward earnings vs. 15.3X average. These included companies like SkyWest (NASDAQ:SKYW), a low-cost airline, and Affirm Holdings (NASDAQ:AFRM), a buy now, pay later provider. The pattern also holds in other years. In other words, you don’t need to be a venture capitalist or a Wall Street elite to double your money in a year. If you have a nose for good value, there’s a good chance you’ll run across these 100% upside stocks in your everyday life. And to get you started, the writers at InvestorPlace.com, our free news site, dive this week into five “100-percenter” stocks that they feel have this potential… 5 Growth Stocks to Turn $50,000 Into $100,000: Albemarle (ALB) Source: IgorGolovniov/Shutterstock.com Albemarle (NYSE:ALB) is the lowest-cost lithium producer in the world. It’s moderately fast-growing; management expects volumes mined to increase over 30% next year. And a sudden decline in lithium prices this year has priced the firm squarely in the “100-percenters” category. As Ian Cooper writes this week for InvestorPlace.com: The industry’s 800 lb. gorilla had plunged to a low of $123.38 on Nov. 29. It was also trading at six times earnings at the time, I noted, and at less than half of growth. None of which was sustainable. Since then, ALB bounced back to about $128 and could refill its bearish gap around $170. Together, that means Albemarle trades at a wide discount to growth. Shares are priced at 6.5 times forward earnings, while a series of plant openings and mine expansions means the North Carolina-based miner will likely triple its lithium hydroxide production by 2027. It has one of the most visible growth trajectories in its industry. Prices of lithium will also probably increase as Chinese companies work through their stockpiles. Analysts at Morningstar believe that lithium index prices will average over $30,000 for the rest of the decade, which gives Albemarle a $300 value – a 100% upside. Of course, investing in lithium miners involves risk. Energy giant ExxonMobil (NYSE:XOM) plans to enter the industry by 2027. Its enormous cash reserves will allow the oil firm to buy its way into the lithium business. And a sudden economic contraction could sink lithium index prices as low as $15,000 in the short term. A panicked selloff would send shares of Albemarle as low as $100. Still, Albemarle is riding a secular wave of decarbonization. As world governments look to achieve net-zero emissions, lithium batteries – and their miners – will see a surge in demand that will likely last for decades to come. 2. Lithium Americas (LAC) Source: Wirestock Creators / Shutterstock.com Lithium Americas (NYSE:LAC) is a riskier bet on the global lithium markets. The firm is a relative startup – its only mine is still under development. And its eventual production won’t be as low-cost as the brine-based operations in Chile and Argentina, which use cheap, natural evaporation ponds to purify the metal. But Lithium Americas makes up for these shortcomings with even better growth prospects, going from zero production to as much as 80,000 metric tons of annual capacity. The firm also sells at a significant discount to the value of its Thacker Pass mine in Nevada, the largest-known lithium deposit in the U.S. Together, that gives Lithium Americas predictable profitability, as Muslim Farooque writes at InvestorPlace.com this week. “Moreover, analysts are predicting a bright future for LAC, forecasting a swing in profitability within the next 12 months and a potential 110% increase in LAC stock.” Lithium Americas’ value could be even higher. The federal $7,500 tax credit for new electric vehicles only applies to cars that meet critical mineral and battery component requirements (read: non-Chinese). And some automakers have already shown a willingness to pay a premium for Lithium Americas. Plus, General Motors (NYSE:GM) plans to acquire a 25% stake in LAC at a $2.6 billion valuation. With Lithium Americas currently trading at under $1 billion, it’s a clear signal that the company’s fundamental value is far beyond what public markets currently think. 3. ChargePoint (CHPT) Source: Michael Vi / Shutterstock.com Ian Cooper also identifies ChargePoint Holdings (NYSE:CHPT) this week at InvestorPlace.com as a company with incredible upside. He believes that $5,000 invested into this stock could eventually become worth $1 million: While ChargePoint’s chart has been a disaster, don’t write it off. If the U.S. is serious about EV sales, it must build out a massive network of charging stations, including CHPT Essentially, ChargePoint has been hit by incredible bearishness this year. Investors are quickly realizing that the industry is capital intensive, and that the billions invested in these EV charging stocks might never turn into profits. But ChargePoint remains a fast-growing firm riding strong secular tailwinds. Analysts expect growth to reaccelerate to 15% next year, and for sales to surge another 42% after that. Demand for EV charging will naturally have a “hockey stick” shape since EV adoption has a cumulative effect. (i.e., charging stations must charge every EV produced that year, as well as every EV produced in the years before that). Declining interest rates also means that much of ChargePoint’s “millionaire-maker” upside could come in 2024. EV charging stations are worth more when interest rates are low (because their future profit streams are “discounted” back at a lower rate), and even the Federal Reserve’s hint on Wednesday that it would cut rates in 2024 was enough to send CHPT’s stock up 20%. We believe more could be in store. And though ChargePoint remains a risky stock that’s not for everyone, it still has the qualities that 100%-upside stocks generally share. 4. SoFi Technologies (SOFI) Source: rafapress / Shutterstock.com “Are you ready for a Santa Claus rally,” Louis Navellier and the InvestorPlace.com staff ask in this week’s Market360 update. “Now that the federal government’s moratorium on student loan payments expired, SoFi is in a better place.” Investors in SoFi Technologies (NASDAQ:SOFI), an online banking firm, have plenty of reasons to celebrate this holiday season. A federal moratorium on student loans expired in September this year, which reopened SoFi’s business of student loan refinancing. (The firm is a major player in helping borrowers consolidate loans at cheaper rates.) Greater-than-zero interest rates mean the online bank is finally earning significant net interest income from customer deposits. And the 2022 selloff means that SoFi trades at less than half of its SPAC debut price. Together, this puts SoFi at that ideal crossroads of having 1) decent growth prospects and 2) a stunningly cheap valuation. And that’s enough to land the stock on Louis’ 7 top-rated stocks for your December buy list. Consider the first point. As Louis notes, SoFi’s revenues and adjusted profits are on the rise. Sales jumped 27% from a year ago, and analysts believe this trend will continue into fiscal 2024. Earnings are expected to grow even faster. Then there’s valuation. Today, the online banking firm trades for just 0.78 times book value – a multiple more associated with a no-growth bank than a growing fintech. SoFi also has a solid 14.3% Tier 1 capital ratio and a good history of keeping loan losses low. Together, that suggests SoFi’s shares could double in the coming year as prices catch back up with the company’s earning power. 5. Luminar Technologies (LAZR) Source: JHVEPhoto/shutterstock.com Finally, Muslim Farooque picks out lidar maker Luminar Technologies (NASDAQ:LAZR) this week at InvestorPlace.com for being at the forefront of the autonomous vehicle industry. If AI chips are the “brains” of a self-driving car, the light-based radar technology (lidar) that Luminar creates is its “eyes.” And business is booming. Farooque writes: The vehicle autonomy and safety market is on a swift upward trajectory. With forecasts suggesting an impressive surge to a $150 billion valuation by 2030, LAZR’s impactful contributions are becoming increasingly essential. Luminar is the industry’s top lidar maker by market capitalization. The firm has inked deals with Tier 1 self-driving car suppliers like Mobileye Global (NASDAQ:MBLY) and will soon be found in over 20 upcoming new vehicle models. The company’s first-mover advantage is a significant asset. Self-driving cars come with enormous reputational risks, and so automakers have every incentive to pick the providers that everyone else is using, even if they cost a little more. Farooque also notes that Luminar is on a strong financial trajectory: The company reported a robust 33% YOY revenue increase, reaching $17 million. More striking is its forward revenue growth estimate of 80.27%, dramatically surpassing the sector median of 5.53% by over 1,300%. That suggests that Luminar’s $3 stock price is far too low for its potential. The company’s order book alone is set to grow $1 billion this year. And though Luminar won’t earn profits for several more years, its leading position in the industry means shares could be worth as much as $6. A Simple Approach With Limited Risk In 2022, InvestorPlace analyst Luke Lango began recommending shares of Facebook parent Meta Platforms (NASDAQ:META). The firm’s failed “metaverse” experiment and a pullback in digital ad spending meant that Meta’s stock had lost two-thirds of its value. Luke saw an opportunity to buy. The bet paid off. Since then, Meta’s stock has come roaring back. An investor who bought in November 2022 would be sitting on 270% returns. It was the classic case of finding a moderately fast-growing company selling at dirt-cheap prices. You don’t need risky “hypergrowth” stocks to score hypergrowth returns. Today, Luke is back with his fellow chief investment analysts – Eric Fry and Louis Navellier – to recommend an even larger set of these potential winners. These are firms they believe will perform much like Facebook – supply reasonable growth and provide stunning investment returns. And now you can see this for yourself. Eric, Luke, and Louis have developed their own simple strategy that could beat the markets by at least 9X or more next year. It’s an approach, they say, that could show you 2024’s best-performing and most resilient stocks before the New Year arrives. Get the details here. On the date of publication, Thomas Yeung 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. Tom Yeung is a market analyst and portfolio manager of the Omnia Portfolio, the highest-tier subscription at InvestorPlace. He is the former editor of Tom Yeung’s Profit & Protection, a free e-letter about investing to profit in good times and protecting gains during the bad. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 5 Growth Stocks to Turn $50,000 Into $100,000 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.
Shares are priced at 6.5 times forward earnings, while a series of plant openings and mine expansions means the North Carolina-based miner will likely triple its lithium hydroxide production by 2027. If the U.S. is serious about EV sales, it must build out a massive network of charging stations, including CHPT Essentially, ChargePoint has been hit by incredible bearishness this year. Today, Luke is back with his fellow chief investment analysts – Eric Fry and Louis Navellier – to recommend an even larger set of these potential winners.
ChargePoint (CHPT) Source: Michael Vi / Shutterstock.com Ian Cooper also identifies ChargePoint Holdings (NYSE:CHPT) this week at InvestorPlace.com as a company with incredible upside. Luminar Technologies (LAZR) Source: JHVEPhoto/shutterstock.com Finally, Muslim Farooque picks out lidar maker Luminar Technologies (NASDAQ:LAZR) this week at InvestorPlace.com for being at the forefront of the autonomous vehicle industry. A Simple Approach With Limited Risk In 2022, InvestorPlace analyst Luke Lango began recommending shares of Facebook parent Meta Platforms (NASDAQ:META).
And to get you started, the writers at InvestorPlace.com, our free news site, dive this week into five “100-percenter” stocks that they feel have this potential… 5 Growth Stocks to Turn $50,000 Into $100,000: Albemarle (ALB) Source: IgorGolovniov/Shutterstock.com Albemarle (NYSE:ALB) is the lowest-cost lithium producer in the world. Lithium Americas (LAC) Source: Wirestock Creators / Shutterstock.com Lithium Americas (NYSE:LAC) is a riskier bet on the global lithium markets. EV charging stations are worth more when interest rates are low (because their future profit streams are “discounted” back at a lower rate), and even the Federal Reserve’s hint on Wednesday that it would cut rates in 2024 was enough to send CHPT’s stock up 20%.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips The first 5,000% returns in Uber came before the stock went public in 2019. Investors are quickly realizing that the industry is capital intensive, and that the billions invested in these EV charging stocks might never turn into profits.
df02ba4e-c048-4b5b-ad27-ed6c0cc8e77d
711501.0
2023-12-15 00:00:00 UTC
Ready for the Next Bull Market? Discover 3 Undervalued Tech Stocks Set to Soar in the Economic Upswing
DCOMP
https://www.nasdaq.com/articles/ready-for-the-next-bull-market-discover-3-undervalued-tech-stocks-set-to-soar-in-the
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The current economic landscape, shaped by inflation and shifting consumer behaviors, presents both challenges and opportunities for investors. Read on to see three of The Motley Fool's top tech experts dive into three stocks that are rewriting their narratives against the backdrop of these economic shifts. From C-suite makeovers to shifting long-term strategies, these undervalued turnaround stories have it all. Discover the resilience and innovative spirit driving these top-notch companies even while their stocks are available at rock-bottom prices. This beaten-down fintech could expand its strong recovery Billy Duberstein (Marqeta): The Federal Reserve appeared to pivot this week, with inflation coming down without significant job losses. That ideal "soft landing" scenario was thought to be impossible over the past two years, decimating certain rate-sensitive sectors. But perhaps no sector suffered as much as the fintech sector. That's because fintechs generally carry both of the attributes that are heavily affected by interest rates. First, they are usually growth stocks that traded at high multiples prior to the 2022-2023 crash, and they're also economically sensitive as financial stocks dependent on spending and consumer financial health. Card-issuing technology platform Marqeta (NASDAQ: MQ) has certainly taken its lumps, as the stock fell as low as $3.46 per share earlier this year in a dramatic plunge from its $27-per-share IPO price back in June 2021. While the stock has recovered to $6.49 as of this writing, I think there could be much more to go in a new "soft landing" bull market. Marqeta's platform allows for a lot of new use cases for physical and virtual debit and credit cards. These include things like digital banking, buy-now-pay-later, on-demand grocery delivery services, early wage access, and other corporate expense management applications. So if the economy is able to grow as inflation comes down, spending activity should pick up. In addition, Marqeta cleared several key milestones this year that make it primed for growth in 2024. First, the company has a new CEO in Simon Khalaf. After taking over in January for the company's founder during a slowdown, Khalaf has been able to identify new potential clients and reaccelerate Marqeta's bookings. Since new deals take about 12 to 24 months to ramp up and translate into revenue, Marqeta should see a total payment growth (TPV) acceleration in 2024 as a result. Marqeta also renewed a key contract with Block (NYSE: SQ), which was a huge customer that accounted for 78% of Marqeta's revenue and over half its gross profit before the renewal. This summer, Marqeta renewed the contract to power Block's Cash App cards through 2027, then extended the contract through 2028 on the same terms in the frall, when it also renewed its contract for Block's Square merchant cards. The renewal of course came with more favorable lower pricing for Block, as its volumes have greatly increased. So amid this "reset," Marqeta's gross profit fell 9% last quarter. However, now that the renewal is behind Marqeta, those numbers should improve throughout the year, reaching year-over-year growth in Q3 of 2024 when it laps the pricing reset from August. After that, revenue should reaccelerate toward TPV growth, which logged a strong 33% growth rate last quarter. Marqeta also has a huge amount of cash on its balance sheet of about $1.3 billion, encompassing 38% of its market cap. That means the stock may be cheaper than it appears. As growth reaccelerates in the back half of next year, look for Marqeta to potentially rise back toward its IPO price over time. From retargeting to AI: Criteo's evolving business model Anders Bylund (Criteo): France-based advertising technology expert Criteo (NASDAQ: CRTO) recently pulled off an ambitious strategy shift. Traditionally known as an ad retargeting specialist, helping websites and e-commerce hubs monetize their existing user relationships in new ways, Criteo has long worked to diversify its revenue streams. In the recently reported third quarter of 2023, retargeting services accounted for less than half of the company's total sales, for the first time ever. It's a milestone years in the making. Criteo investors should breathe a deep sigh of relief to see that landmark moment in the rearview mirror, especially since Criteo got there in an organic way. Retail media sales rose 29% year over year in the third quarter along with a 31% jump in marketing solutions for e-commerce audiences. "We've successfully moved our business from a single-solution retargeting play to a multi-solution platform offering -- end-to-end AI-enabled ad tech services with a focus on commerce," CEO Megan Clarken said on the earnings call. That's not a bad place to be right now. Criteo uses deep learning and other artificial intelligence (AI) tools to optimize marketing outcomes for its customers. The company also enjoys a unique advantage in its unmatched collection of anonymized consumer data, which will come in handy when the online advertising market finally loses access to third-party cookies next year. Criteo's privacy-respecting end-user data should play well with next-generation alternatives such as the Chrome browser's privacy sandbox. In other words, Criteo is poised to pounce when the digital ad market's deep, dark downturn finally breaks. I expect a whiplash effect when ad buyers loosen their iron grips on those marketing-budget purse strings again. No one is launching major ad campaigns in an inflation-burdened era where consumers aren't ready to buy what you're selling. But development of new and improved products and services never stopped behind the scenes, creating a groundswell of pent-up demand for an effective advertising voice. Advertising optimizers like Criteo should enjoy record-breaking results as that imbalance between limited supply and soaring demand for online ad spaces plays out in 2024 and beyond. Yet, Criteo's stock price has actually fallen more than 5% this year, including a 28% drop in the last 6 months. Shares are changing hands at the bargain-bin valuation of 8.6 times forward earnings and 0.7 times trailing sales. I can't wait to see this spring-loaded stock come back to life in a healthier advertising market -- a natural offshoot of the incoming bull market. A small Intel and AMD competitor more than holding its own Nicholas Rossolillo (Lattice Semiconductor): Field programmable gate array (FPGA) chips are a growing necessity as industrial and automotive digitalization accelerates. What's an FPGA? It's a type of chip that can be reprogrammed after install in a computing system (or reprogrammed in the "field"). The flexibility inherent in these little chip units makes them a go-to especially in applications like industrial AI and manufacturing automation equipment, as well as in the modern car where more electronics are being crammed in by the year. If "FPGA" sounds familiar, perhaps it's because the inventor and market share leader in FPGAs, Xilinx, was acquired by AMD (NASDAQ: AMD) in early 2022. Intel (NASDAQ: INTC) likewise acquired a couple of FPGA leaders in the second half of the 2010s. After all that consolidation, the last FPGA pure-play stock left standing is small chip designer Lattice Semiconductor (NASDAQ: LSCC). Since CEO Jim Anderson took over in 2018, a former executive at none other than AMD, Lattice has become a high-revenue-growth and profit-margin-expansion story. Data by YCharts. Besides work to solidify its core portfolio of FPGA designs, Lattice has been a beneficiary of the FPGA market consolidation. Whenever there are big mergers and acquisitions like what Intel and AMD pulled -- which often means "synergies" are sought, or cost-cutting initiatives -- it leaves the door open for smaller peers to capture some market share. Additionally, as of late, Anderson and the top team have taken the opportunity to launch products into new product categories for Lattice, like data center AI. Nevertheless, some of Lattice's core industrial end markets in industrial equipment have hit a soft patch as of late. The stock has tanked as a result, setting up what looks (to me at least) like a great buying opportunity in 2024. Shares trade for just under 40 times trailing-12-month free cash flow, the cheapest the stock has been in years. That isn't to say the stock is "cheap." However, I believe Lattice's days of growth and higher profit are far from over, so I'm going shopping as the next bull market -- one especially favoring AI, industrial automation, and vehicle technology -- gets rolling. Should you invest $1,000 in Lattice Semiconductor right now? Before you buy stock in Lattice Semiconductor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Lattice Semiconductor wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Anders Bylund has positions in Criteo and Intel. Billy Duberstein has positions in Marqeta and has the following options: short January 2025 $3 puts on Marqeta. His clients may own shares of the companies mentioned. Nicholas Rossolillo has positions in Advanced Micro Devices, Block, and Lattice Semiconductor. The Motley Fool has positions in and recommends Advanced Micro Devices and Block. The Motley Fool recommends Criteo, Intel, and Marqeta and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, and short February 2024 $47 calls on Intel. 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.
"We've successfully moved our business from a single-solution retargeting play to a multi-solution platform offering -- end-to-end AI-enabled ad tech services with a focus on commerce," CEO Megan Clarken said on the earnings call. The company also enjoys a unique advantage in its unmatched collection of anonymized consumer data, which will come in handy when the online advertising market finally loses access to third-party cookies next year. A small Intel and AMD competitor more than holding its own Nicholas Rossolillo (Lattice Semiconductor): Field programmable gate array (FPGA) chips are a growing necessity as industrial and automotive digitalization accelerates.
From retargeting to AI: Criteo's evolving business model Anders Bylund (Criteo): France-based advertising technology expert Criteo (NASDAQ: CRTO) recently pulled off an ambitious strategy shift. Before you buy stock in Lattice Semiconductor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Lattice Semiconductor wasn't one of them. The Motley Fool recommends Criteo, Intel, and Marqeta and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, and short February 2024 $47 calls on Intel.
Card-issuing technology platform Marqeta (NASDAQ: MQ) has certainly taken its lumps, as the stock fell as low as $3.46 per share earlier this year in a dramatic plunge from its $27-per-share IPO price back in June 2021. Before you buy stock in Lattice Semiconductor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Lattice Semiconductor wasn't one of them. The Motley Fool recommends Criteo, Intel, and Marqeta and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, and short February 2024 $47 calls on Intel.
Marqeta also renewed a key contract with Block (NYSE: SQ), which was a huge customer that accounted for 78% of Marqeta's revenue and over half its gross profit before the renewal. As growth reaccelerates in the back half of next year, look for Marqeta to potentially rise back toward its IPO price over time. Before you buy stock in Lattice Semiconductor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Lattice Semiconductor wasn't one of them.
b4f315b9-272e-4a71-b2f6-2e43d24e094c
711502.0
2023-12-15 00:00:00 UTC
If You Invested $1000 in Palo Alto Networks a Decade Ago, This is How Much It'd Be Worth Now
DCOMP
https://www.nasdaq.com/articles/if-you-invested-%241000-in-palo-alto-networks-a-decade-ago-this-is-how-much-itd-be-worth-2
nan
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For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries. The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks. What if you'd invested in Palo Alto Networks (PANW) ten years ago? It may not have been easy to hold on to PANW for all that time, but if you did, how much would your investment be worth today? Palo Alto Networks' Business In-Depth With that in mind, let's take a look at Palo Alto Networks' main business drivers. Santa Clara, CA-based Palo Alto Networks, Inc. offers network security solutions to enterprises, service providers and government entities worldwide. The company's next generation firewall products deliver natively integrated application, user, and content visibility and control through its operating system, hardware and software architecture. It serves the enterprise network security market, which includes Firewall, Unified Threat Management (UTM), Web Gateway, Intrusion Detection and Prevention, and Virtual Private Network technologies. Through its products and subscription services, Palo Alto provides integrated protection against dynamic security threats while simplifying the IT security infrastructure. Its solutions incorporate application-specific integrated circuits, hardware architecture, operating system, and associated security and networking functions. The company’s network security gateways protect customer data, reduce security complexities and lower total cost of ownership. Customers can implement their security policies on traffic between internal networks and the Internet, as well as between internal and private networks shared with partners. The company has a single operating segment. However, the company announces its revenues from products and services separately. For fiscal 2023, the company reported total revenues of $6.89 billion, which grew 25.3% year over year. Palo Alto’s fiscal 2023 revenues from its products increased 15.8% year over year to $1.58 billion. Revenues from subscriptions and support grew 28.4% to $5.31 billion. Further, Palo Alto operates across different geographic regions, including the Americas, Europe, the Middle East, and Africa (EMEA) and the Asia-Pacific and Japan (APAC). The company faces competition from large companies like Cisco and Juniper, independent security vendors such as Symantec, Check Point, Fortinet, FireEye and several other small companies. Bottom Line Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Palo Alto Networks, if you bought shares a decade ago, you're likely feeling really good about your investment today. A $1000 investment made in December 2013 would be worth $17,091.21, or a gain of 1,609.12%, as of December 18, 2023, according to our calculations. This return excludes dividends but includes price appreciation. The S&P 500 rose 165.82% and the price of gold increased 56.24% over the same time frame in comparison. Going forward, analysts are expecting more upside for PANW. Palo Alto has been benefiting from continuous deal wins and the increasing adoption of its next-generation security platforms, attributable to the rise in the hybrid work environment and the heightened need for stronger security. PANW’s back-to-back strong quarterly performances reflect its sustained focus on product innovation, a shift in its business model to subscription-based services, platform integration and continued investments in the go-to-market strategy. The normalization of the supply chain is also aiding growth across the Products, Services and Subscription segments. However, softening IT spending amid macroeconomic headwinds might hurt its near-term prospects. Forex headwinds and higher marketing and sales expenses are likely to continue hurting its profitability. Also, high acquisition-related expenses are denting margins. The stock is up 24.12% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 16 higher, for fiscal 2024. The consensus estimate has moved up as well. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Palo Alto Networks, Inc. (PANW) : 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.
The company's next generation firewall products deliver natively integrated application, user, and content visibility and control through its operating system, hardware and software architecture. Further, Palo Alto operates across different geographic regions, including the Americas, Europe, the Middle East, and Africa (EMEA) and the Asia-Pacific and Japan (APAC). PANW’s back-to-back strong quarterly performances reflect its sustained focus on product innovation, a shift in its business model to subscription-based services, platform integration and continued investments in the go-to-market strategy.
Santa Clara, CA-based Palo Alto Networks, Inc. offers network security solutions to enterprises, service providers and government entities worldwide. Through its products and subscription services, Palo Alto provides integrated protection against dynamic security threats while simplifying the IT security infrastructure. Click to get this free report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report To read this article on Zacks.com click here.
What if you'd invested in Palo Alto Networks (PANW) ten years ago? Palo Alto Networks' Business In-Depth With that in mind, let's take a look at Palo Alto Networks' main business drivers. Click to get this free report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report To read this article on Zacks.com click here.
What if you'd invested in Palo Alto Networks (PANW) ten years ago? It may not have been easy to hold on to PANW for all that time, but if you did, how much would your investment be worth today? Through its products and subscription services, Palo Alto provides integrated protection against dynamic security threats while simplifying the IT security infrastructure.
ed396bfe-3641-4d75-9366-fbbbd6b53c0c
711503.0
2023-12-15 00:00:00 UTC
Dorian LPG (LPG) Stock Jumps 5.2%: Will It Continue to Soar?
DCOMP
https://www.nasdaq.com/articles/dorian-lpg-lpg-stock-jumps-5.2%3A-will-it-continue-to-soar
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Dorian LPG (LPG) shares ended the last trading session 5.2% higher at $42.78. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 8.9% gain over the past four weeks. The Dorian LPG stock has risen for the fourth consecutive day driven by the fact that it stands to benefit from the recent Panama Canal restrictions.Notably, LPG shares have surged 124% in a year's time. This liquified petroleum gas shipping company is expected to post quarterly earnings of $2.27 per share in its upcoming report, which represents a year-over-year change of +76%. Revenues are expected to be $157.43 million, up 52.4% from the year-ago quarter. While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. For Dorian LPG, the consensus EPS estimate for the quarter has been revised 13.5% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on LPG going forward to see if this recent jump can turn into more strength down the road. The stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Dorian LPG is a member of the Zacks Transportation - Shipping industry. One other stock in the same industry, Eneti (NETI), finished the last trading session 4.2% higher at $12.23. NETI has returned 18.2% over the past month. For Eneti, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.15. This represents a change of -53.1% from what the company reported a year ago. Eneti currently has a Zacks Rank of #1 (Strong Buy). Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Dorian LPG Ltd. (LPG) : Free Stock Analysis Report Eneti Inc. (NETI) : 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.
This liquified petroleum gas shipping company is expected to post quarterly earnings of $2.27 per share in its upcoming report, which represents a year-over-year change of +76%. For Dorian LPG, the consensus EPS estimate for the quarter has been revised 13.5% higher over the last 30 days to the current level. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
This liquified petroleum gas shipping company is expected to post quarterly earnings of $2.27 per share in its upcoming report, which represents a year-over-year change of +76%. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Dorian LPG is a member of the Zacks Transportation - Shipping industry. Click to get this free report Dorian LPG Ltd. (LPG) : Free Stock Analysis Report Eneti Inc. (NETI) : Free Stock Analysis Report To read this article on Zacks.com click here.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Dorian LPG is a member of the Zacks Transportation - Shipping industry. Click to get this free report Dorian LPG Ltd. (LPG) : Free Stock Analysis Report Eneti Inc. (NETI) : Free Stock Analysis Report To read this article on Zacks.com click here.
For Dorian LPG, the consensus EPS estimate for the quarter has been revised 13.5% higher over the last 30 days to the current level. For Eneti, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.15. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
75041c9f-961e-4fed-a4f4-5bc40f7b77e8
711504.0
2023-12-15 00:00:00 UTC
FOCUS-Goldman Sachs faces rocky exit from Apple credit card partnership
DCOMP
https://www.nasdaq.com/articles/focus-goldman-sachs-faces-rocky-exit-from-apple-credit-card-partnership
nan
nan
By Saeed Azhar and Lananh Nguyen NEW YORK, Dec 18 (Reuters) - Four years after Goldman Sachs GS.N introduced a credit card with Apple AAPL.O, the Wall Street giant faces a costly exit from a partnership that is seen by other lenders as too risky and unprofitable. In searching for a buyer for its share of the partnership, Goldman will face pressure from bidders to reduce the value of its stake in order to make the price more attractive, according to two sources familiar with the matter who declined to be identified discussing potential talks. Goldman does not break out how much its stake is worth. The expected unwinding of the Apple-Goldman partnership is another blow for CEO David Solomon's consumer strategy, which aimed to broaden the bank's revenue beyond its traditional mainstays of trading and investment banking. The potential writedown on the Apple card would be the latest in a string of losses from Goldman's ill-fated foray into consumer banking, analysts said. Goldman does not break out the financial details of the card business in its results. Goldman Sachs declined to comment. Prospective bidders will likely push Apple to change the terms of the deal, the two sources said. They will likely seek access to Apple's proprietary credit card data, two other sources familiar with the business, said. Apple cardholders' data is not sold to third parties for marketing or advertising, according to its website. Credit card issuers such as Synchrony Financial SYF.N, Citigroup C.N and Capital One COF.N would be logical partners to take on the venture if terms are changed, according to the two sources and another source familiar with the situation. Synchrony declined to comment. Separately, its CEO Brian Doubles said at a conference this month that "you've got to have a really good risk-return equation" for card deals. Citigroup C.N declined to comment. Capital One did not respond to Reuters requests for comment. Apple recently sent a proposal that would enable Goldman to exit the contract in the next 12 to 15 months, The Wall Street Journal reported last month, citing people briefed on the matter. Apple said it was focused on providing an "incredible experience" for customers, but declined to comment on the Goldman deal talks or terms. 'STRATEGIC ALTERNATIVES' After scaling back its retail ambitions last year, Solomon announced in February that Goldman was looking for "strategic alternatives" for its consumer unit. The bank began talks with Apple under former Goldman CEO Lloyd Blankfein, who left in 2018, to create a credit card that would tap into the tech giant's enormous customer base. Stephen Scherr, who led Goldman's consumer division and later became its finance chief, was among its lead negotiators. Solomon took the helm in late 2018 and the Apple card was introduced almost a year later. By 2022, the parties had renegotiated a deal that would last until the end of the decade, according to a person familiar with the situation. Solomon told analysts in October that the bank was trying to get rid of the "drag" on earnings from its credit card business, which also includes a partnership with General Motors. "Our partnerships with Apple and GM are long-term contracts," Solomon said at the time. "And we don't have the unilateral right to exit those partnerships." Analysts interpreted his comments as a signal the card operations were losing money. When Apple first shopped the deal with potential partners, other banks including JPMorgan Chase JPM.N passed because their potential cut of profits was too small, according to one of the sources familiar with the matter and a separate source who was also aware of Apple's original proposal, who declined to be identified discussing private negotiations. JPMorgan declined to comment. New credit card businesses typically lose money in their early years, in part because regulations require banks to set aside about 7% of projected sales to cover expected losses, said Warren Kornfeld, senior vice president at Moody's Investors Service. Goldman was responsible for setting aside the provisions for credit losses instead of sharing them with Apple, according to the two sources familiar with the business. The Apple card also posed an underwriting challenge. Goldman's clients are typically wealthy individuals, and it had little experience making loans to less-affluent customers, according to analysts. As the two companies sought to boost revenue, they granted cards to customers with lower credit scores, according to one of the sources familiar with the situation. As Goldman set aside more money for bad loans, the paper losses for its consumer business mounted, according to earnings filings. The companies also tried to tempt new customers with the promise of "no annual fees, foreign transaction fees, or late fees," Apple said on its website. They also introduced high-yield savings accounts for card holders in April, enabling Goldman to gather $10 billion of deposits by August, Apple said at the time. Actual loan losses would eventually be shared among the two partners, one of the sources familiar with the business said. The business costs were also divided, with Apple paying for marketing while and Goldman handled customer service, the person said. "Goldman had no meaningful presence in the credit card business," said Mike Taiano, vice president at Moody’s. "This was a big deal...they wanted to break into the card business, so they were probably willing to take less favorable economics." (Reporting by Saeed Azhar and Lananh Nguyen in New York, additional reporting by Stephen Nellis in San Francisco, Nupur Anand and Tatiana Bautzer in New York; Editing by Anna Driver) ((Saeed.Azhar@thomsonreuters.com; +1 347 908-6341; Reuters Messaging: saeed.azhar.reuters.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.
By Saeed Azhar and Lananh Nguyen NEW YORK, Dec 18 (Reuters) - Four years after Goldman Sachs GS.N introduced a credit card with Apple AAPL.O, the Wall Street giant faces a costly exit from a partnership that is seen by other lenders as too risky and unprofitable. In searching for a buyer for its share of the partnership, Goldman will face pressure from bidders to reduce the value of its stake in order to make the price more attractive, according to two sources familiar with the matter who declined to be identified discussing potential talks. New credit card businesses typically lose money in their early years, in part because regulations require banks to set aside about 7% of projected sales to cover expected losses, said Warren Kornfeld, senior vice president at Moody's Investors Service.
By Saeed Azhar and Lananh Nguyen NEW YORK, Dec 18 (Reuters) - Four years after Goldman Sachs GS.N introduced a credit card with Apple AAPL.O, the Wall Street giant faces a costly exit from a partnership that is seen by other lenders as too risky and unprofitable. In searching for a buyer for its share of the partnership, Goldman will face pressure from bidders to reduce the value of its stake in order to make the price more attractive, according to two sources familiar with the matter who declined to be identified discussing potential talks. New credit card businesses typically lose money in their early years, in part because regulations require banks to set aside about 7% of projected sales to cover expected losses, said Warren Kornfeld, senior vice president at Moody's Investors Service.
By Saeed Azhar and Lananh Nguyen NEW YORK, Dec 18 (Reuters) - Four years after Goldman Sachs GS.N introduced a credit card with Apple AAPL.O, the Wall Street giant faces a costly exit from a partnership that is seen by other lenders as too risky and unprofitable. When Apple first shopped the deal with potential partners, other banks including JPMorgan Chase JPM.N passed because their potential cut of profits was too small, according to one of the sources familiar with the matter and a separate source who was also aware of Apple's original proposal, who declined to be identified discussing private negotiations. Goldman was responsible for setting aside the provisions for credit losses instead of sharing them with Apple, according to the two sources familiar with the business.
Credit card issuers such as Synchrony Financial SYF.N, Citigroup C.N and Capital One COF.N would be logical partners to take on the venture if terms are changed, according to the two sources and another source familiar with the situation. Apple said it was focused on providing an "incredible experience" for customers, but declined to comment on the Goldman deal talks or terms. Solomon took the helm in late 2018 and the Apple card was introduced almost a year later.
93324409-fea3-4a2b-93c8-2a8adbeca36c
711505.0
2023-12-15 00:00:00 UTC
Quest Diagnostics' (DGX) Haystack Oncology Inks New Deal
DCOMP
https://www.nasdaq.com/articles/quest-diagnostics-dgx-haystack-oncology-inks-new-deal
nan
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Quest Diagnostics’ DGX subsidiary, Haystack Oncology, recently announced a collaboration with the Rutgers Cancer Institute of New Jersey, through which Haystack Oncology's leading, minimal-residual disease (MRD) technology (Haystack MRD) will be used in the clinical study of early-stage triple-negative breast cancer. Rutgers Cancer Institute, together with RWJBarnabas Health, is the state’s only Comprehensive Cancer Center designated by the National Cancer Institute. Quest Diagnostics acquired Haystack Oncology in June 2023, which has positioned the former to enter the high-growth liquid biopsy area of MRD testing. The integration of the business is currently on track and is included in the company’s Diagnostics Information Services (“DIS”) segment. About Rutgers Cancer Institute The institute offers advanced cancer treatment options, including bone marrow transplantation, proton therapy, CAR T-cell therapy and complex surgical procedures. Along with clinical trials and novel therapeutics, such as precision medicine and immunotherapy — many of which are not widely available — patients have access to these cutting-edge therapies at the Rutgers Cancer Institute of New Jersey in New Brunswick and the Rutgers Cancer Institute of New Jersey at University Hospital in Newark, as well as through RWJBarnabas Health facilities. Image Source: Zacks Investment Research About Haystack Oncology’s MRD Testing Haystack Oncology's tumor-informed MRD test is based on 20 years of research and development by cancer genomics pioneers and liquid biopsy experts at the Johns Hopkins School of Medicine. The company, a wholly owned subsidiary of Quest Diagnostics, mainly works with biopharmaceutical companies to advance important therapeutics to global markets, from early-phase clinical development to companion diagnostics. Haystack MRD uses an error-corrected ctDNA technology to detect down to one ctDNA molecule in a million. Quest Diagnostics expects to incorporate this MRD technology into the development of new blood-based clinical lab services for solid tumor cancers, available beginning in 2024. News in Detail The collaboration will help evaluate the therapeutic response and provide molecular insights for a Rutgers Cancer Institute clinical trial examining early-stage triple-negative breast cancer (TNBC) patients undergoing treatment in the adjuvant setting with liposomal doxorubicin and carboplatin. Haystack MRD boasts unparalleled sensitivity, providing a tool for anticipating and evaluating treatment-related benefits to a greater depth than standard clinical and radiographic metrics. This makes it well-equipped to support clinical studies, which are important for advancing cancer care. The company’s spokesperson expressed delight in working with Rutgers Cancer Institute in their efforts to optimize therapeutic strategies for patients with early-stage breast cancer. Industry Prospects According to a Precedence Research report, the global breast cancer market was valued at $28.8 billion in 2022 and is expected to witness a CAGR of 9.9% by 2032. Recent Collaborations Last month, Quest Diagnostics and Scipher Medicine announced a multi-pronged collaboration to expand patient access to diagnostic services, advancing precision medicine for rheumatoid arthritis — an autoimmune disorder affecting approximately 1.3 million people in the United States. DGX will provide advanced RNA extraction and next-generation sequencing services for Scipher's breakthrough PrismRA test. The company also announced a strategic collaboration with Universal DX (“UDX”) to bring UDX's Signal-C, an advanced colorectal cancer screening blood test, to patients and providers in the United States. The partnership aims to combine UDX's innovative liquid biopsy screening technology with Quest Diagnostics' expertise and national scale in the United States. Price Performance In the past six months, shares of DGX have decreased 2.6% compared to the industry’s rise of 2.4%. Zacks Rank and Key Picks Quest Diagnostics currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader medical space are Haemonetics HAE, Insulet PODD and DexCom DXCM. Haemonetics and DexCom each carry a Zacks Rank #2 (Buy), and Insulet sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. Haemonetics’ stock has increased 11.9% in the past year. Earnings estimates for Haemonetics have increased from $3.86 to $3.89 in 2023 and $4.11 to $4.15 in 2024 in the past 30 days. HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 16.1%. In the last reported quarter, it posted an earnings surprise of 5.3%. Estimates for Insulet’s 2023 earnings per share have increased from $1.80 to $1.91 in the past 30 days. Shares of the company have dropped 29.6% in the past year compared with the industry’s decline of 1.4%. PODD’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 105.1%. In the last reported quarter, it delivered an average earnings surprise of 77.5%. Estimates for DexCom’s 2023 earnings per share have increased from $1.43 to $1.44 in the past 30 days. Shares of the company have increased 9.3% in the past year against the industry’s rise of 4.3%. DXCM’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 36.4%. In the last reported quarter, it delivered an average earnings surprise of 47.1%. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Insulet Corporation (PODD) : 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.
Quest Diagnostics expects to incorporate this MRD technology into the development of new blood-based clinical lab services for solid tumor cancers, available beginning in 2024. Haystack MRD boasts unparalleled sensitivity, providing a tool for anticipating and evaluating treatment-related benefits to a greater depth than standard clinical and radiographic metrics. The partnership aims to combine UDX's innovative liquid biopsy screening technology with Quest Diagnostics' expertise and national scale in the United States.
Quest Diagnostics’ DGX subsidiary, Haystack Oncology, recently announced a collaboration with the Rutgers Cancer Institute of New Jersey, through which Haystack Oncology's leading, minimal-residual disease (MRD) technology (Haystack MRD) will be used in the clinical study of early-stage triple-negative breast cancer. Recent Collaborations Last month, Quest Diagnostics and Scipher Medicine announced a multi-pronged collaboration to expand patient access to diagnostic services, advancing precision medicine for rheumatoid arthritis — an autoimmune disorder affecting approximately 1.3 million people in the United States. Click to get this free report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Quest Diagnostics’ DGX subsidiary, Haystack Oncology, recently announced a collaboration with the Rutgers Cancer Institute of New Jersey, through which Haystack Oncology's leading, minimal-residual disease (MRD) technology (Haystack MRD) will be used in the clinical study of early-stage triple-negative breast cancer. Image Source: Zacks Investment Research About Haystack Oncology’s MRD Testing Haystack Oncology's tumor-informed MRD test is based on 20 years of research and development by cancer genomics pioneers and liquid biopsy experts at the Johns Hopkins School of Medicine. Click to get this free report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Quest Diagnostics’ DGX subsidiary, Haystack Oncology, recently announced a collaboration with the Rutgers Cancer Institute of New Jersey, through which Haystack Oncology's leading, minimal-residual disease (MRD) technology (Haystack MRD) will be used in the clinical study of early-stage triple-negative breast cancer. The company, a wholly owned subsidiary of Quest Diagnostics, mainly works with biopharmaceutical companies to advance important therapeutics to global markets, from early-phase clinical development to companion diagnostics. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
aa98610c-c54b-40a0-9526-473c7bbf4b85
711506.0
2023-12-15 00:00:00 UTC
Implied SPHQ Analyst Target Price: $59
DCOMP
https://www.nasdaq.com/articles/implied-sphq-analyst-target-price%3A-%2459
nan
nan
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the Invesco S&P 500— Quality ETF (Symbol: SPHQ), we found that the implied analyst target price for the ETF based upon its underlying holdings is $58.86 per unit. With SPHQ trading at a recent price near $53.69 per unit, that means that analysts see 9.63% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of SPHQ's underlying holdings with notable upside to their analyst target prices are Pioneer Natural Resources Co (Symbol: PXD), TJX Companies, Inc. (Symbol: TJX), and Cisco Systems Inc (Symbol: CSCO). Although PXD has traded at a recent price of $227.15/share, the average analyst target is 13.97% higher at $258.89/share. Similarly, TJX has 12.45% upside from the recent share price of $89.29 if the average analyst target price of $100.41/share is reached, and analysts on average are expecting CSCO to reach a target price of $55.53/share, which is 11.36% above the recent price of $49.87. Below is a twelve month price history chart comparing the stock performance of PXD, TJX, and CSCO: Below is a summary table of the current analyst target prices discussed above: NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET Invesco S&P 500— Quality ETF SPHQ $53.69 $58.86 9.63% Pioneer Natural Resources Co PXD $227.15 $258.89 13.97% TJX Companies, Inc. TJX $89.29 $100.41 12.45% Cisco Systems Inc CSCO $49.87 $55.53 11.36% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research. 10 ETFs With Most Upside To Analyst Targets » Also see: • Top Stocks Held By Carl Icahn • SEVN Dividend History • Institutional Holders of SEPT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Invesco S&P 500— Quality ETF SPHQ $53.69 $58.86 9.63% Pioneer Natural Resources Co PXD $227.15 $258.89 13.97% TJX Companies, Inc. TJX $89.29 $100.41 12.45% Cisco Systems Inc CSCO $49.87 $55.53 11.36% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? 10 ETFs With Most Upside To Analyst Targets » Also see: • Top Stocks Held By Carl Icahn • SEVN Dividend History • Institutional Holders of SEPT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Three of SPHQ's underlying holdings with notable upside to their analyst target prices are Pioneer Natural Resources Co (Symbol: PXD), TJX Companies, Inc. (Symbol: TJX), and Cisco Systems Inc (Symbol: CSCO). Similarly, TJX has 12.45% upside from the recent share price of $89.29 if the average analyst target price of $100.41/share is reached, and analysts on average are expecting CSCO to reach a target price of $55.53/share, which is 11.36% above the recent price of $49.87. Invesco S&P 500— Quality ETF SPHQ $53.69 $58.86 9.63% Pioneer Natural Resources Co PXD $227.15 $258.89 13.97% TJX Companies, Inc. TJX $89.29 $100.41 12.45% Cisco Systems Inc CSCO $49.87 $55.53 11.36% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. Similarly, TJX has 12.45% upside from the recent share price of $89.29 if the average analyst target price of $100.41/share is reached, and analysts on average are expecting CSCO to reach a target price of $55.53/share, which is 11.36% above the recent price of $49.87. A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past.
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. With SPHQ trading at a recent price near $53.69 per unit, that means that analysts see 9.63% upside for this ETF looking through to the average analyst targets of the underlying holdings. Invesco S&P 500— Quality ETF SPHQ $53.69 $58.86 9.63% Pioneer Natural Resources Co PXD $227.15 $258.89 13.97% TJX Companies, Inc. TJX $89.29 $100.41 12.45% Cisco Systems Inc CSCO $49.87 $55.53 11.36% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
09b15a41-4e0e-47db-97d8-e46c685dbb85
711507.0
2023-12-15 00:00:00 UTC
Etsy Is at Risk of Becoming the Next eBay
DCOMP
https://www.nasdaq.com/articles/etsy-is-at-risk-of-becoming-the-next-ebay
nan
nan
Online auction site eBay (NASDAQ: EBAY) was one of the earliest e-commerce players, founded in 1995. eBay grew rapidly for years, but its fortunes eventually diverged from the rest of the e-commerce industry. While Amazon continued to rack up ever-increasing sales, eBay's revenue has barely budged since the company spun off PayPal in 2015. eBay is a profitable company, but less merchandise is moving through its platform today compared to 2015. In the third quarter of this year, eBay's gross merchandise volume totaled $18 billion. In the third quarter of 2015, that metric was $19.6 billion. eBay has grown revenue by bumping up fees, but that strategy can only take you so far. Etsy (NASDAQ: ETSY) finds itself in a similar boat. The handmade and bespoke marketplace grew by leaps and bounds during the pandemic, but growth has now stalled. Gross merchandise sales through Etsy's various marketplaces were $3 billion in the third quarter of this year , down from $3.1 billion in the third quarter of 2021. Struggling to deliver for sellers Like eBay, Etsy has boosted revenue by increasing the amount it takes out of each sale. Etsy's take rate in the third quarter was 20.9%, up from about 17% in the same quarter of 2021. Etsy bumped up its seller transaction fee from 5% to 6.5% in early 2022. Paying a higher fee hasn't yielded additional sales for sellers in aggregate. In a recent email to Etsy employees, CEO Josh Silverman noted that bringing in more sales for its sellers is "the single most important thing we can do for them." Etsy has been failing in that regard for the past two years. Etsy's near-term plan is to become leaner by bringing its headcount back down to early 2022 levels to reflect its stagnation since then. The company announced that it would be laying off about 11% of its workforce last week, which works out to roughly 225 employees. Beyond the layoffs, details of the turnaround plan were scarce. Silverman pointed to a set of initiatives dubbed the "Vital Few" that the company believes will rekindle growth for sellers and increase buyer loyalty, but no information was given about these projects. Etsy has previously talked about a few initiatives that are likely part of the equation. First, the company has been working to improve its website to present a more coherent search experience for buyers. Searching for something and getting a long list of near-identical items that aren't organized in any reasonable way can be jarring for the buyer. Second, Etsy has been focused on providing more reliable and predictable delivery. Etsy isn't known for fast shipping like Amazon, but buyers were likely being turned off by having no clear idea of when their item would actually arrive. Around 99% of Etsy's listings now include an expected delivery date, up from 69% three years ago, and during last year's holiday seasons, 98% of orders were delivered on time. Third, Etsy is positioning its platform for special occasions by enabling buyers to create registries for weddings, babies, and gifts. Paramount to that effort is the improved search experience. Being able to find things to put on one's registry can't be an ordeal for this initiative to be successful. At a crossroads Has Etsy hit a ceiling? Is the online market for the unique items that Etsy sells smaller than assumed? Etsy's total addressable market is probably not the entire global e-commerce market since it's definitely not the place to go for mass-market products. The realistic size of Etsy's market opportunity is hard to pin down. Etsy has carved out a lucrative niche for itself in the e-commerce industry, much like eBay has done in online auctions. But Etsy stock is down more than 70% from its pandemic-era high. For the stock to recover, the company must start growing again. Wringing out profits from a stagnant platform isn't going to deliver good results for shareholders. That's what eBay has done, and its stock has trailed the S&P 500 over the past decade. Reducing its headcount makes sense in light of its sluggish growth, but cutting costs isn't going to solve the company's growth problem. When Etsy reports its holiday-quarter results next year, the company will need to have a clear growth strategy to pitch to investors. Should you invest $1,000 in Etsy right now? Before you buy stock in Etsy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Etsy wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Timothy Green has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Etsy, and PayPal. The Motley Fool recommends eBay and recommends the following options: short December 2023 $67.50 puts on PayPal and short January 2024 $45 calls on eBay. 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.
In a recent email to Etsy employees, CEO Josh Silverman noted that bringing in more sales for its sellers is "the single most important thing we can do for them." Silverman pointed to a set of initiatives dubbed the "Vital Few" that the company believes will rekindle growth for sellers and increase buyer loyalty, but no information was given about these projects. Third, Etsy is positioning its platform for special occasions by enabling buyers to create registries for weddings, babies, and gifts.
In the third quarter of this year, eBay's gross merchandise volume totaled $18 billion. Before you buy stock in Etsy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Etsy wasn't one of them. The Motley Fool recommends eBay and recommends the following options: short December 2023 $67.50 puts on PayPal and short January 2024 $45 calls on eBay.
Etsy (NASDAQ: ETSY) finds itself in a similar boat. Gross merchandise sales through Etsy's various marketplaces were $3 billion in the third quarter of this year , down from $3.1 billion in the third quarter of 2021. Before you buy stock in Etsy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Etsy wasn't one of them.
Before you buy stock in Etsy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Etsy wasn't one of them. See the 10 stocks *Stock Advisor returns as of December 11, 2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. The Motley Fool has positions in and recommends Amazon, Etsy, and PayPal.
1944eabb-e885-44aa-b560-5e30d17b79a6
711508.0
2023-12-15 00:00:00 UTC
Southwest Airlines agrees to $140 million penalty over 2022 holiday meltdown
DCOMP
https://www.nasdaq.com/articles/southwest-airlines-agrees-to-%24140-million-penalty-over-2022-holiday-meltdown
nan
nan
By David Shepardson WASHINGTON, Dec 18 (Reuters) - Southwest Airlines LUV.N agreed to a record-setting $140 million civil penalty over the December 2022 holiday meltdown that led to 16,900 flight cancellations and stranded 2 million passengers, the U.S. government said on Monday. The U.S. Department of Transportation (USDOT) consent order resolves a lengthy government investigation into the massive travel disruption and provides "a strong deterrent," the agency said. The settlement includes a $35 million cash fine and a three-year mandate that Southwest provide $90 million in travel vouchers of $75 or more to passengers delayed at least three hours getting to final destinations because of an airline-caused issue or cancellation. "If airlines fail their passengers, we will use the full extent of our authority to hold them accountable," said Transportation Secretary Pete Buttigieg. The 2022 massive winter storm and subsequent chaos prompted travel horror stories: people missing funerals or long-awaited holiday gatherings, passengers with canceled flights forced to make cross-country drives of 17 or more hours across and some cancer patients could not get treatment. One senior executive told angry lawmakers bluntly: "We messed up." Southwest, which paid over $600 million to passengers impacted by the storm that cost it more than $1 billion, has over the last year made significant technology and consumer service upgrades and other investments including more de-icing equipment across its network, new staffing and softwareand using artificial intelligence to predict network health. The airline has seen significant operational improvements this year. "We are absolutely prepared for winter," Southwest CEO Bob Jordan said in a Reuters interview on Monday pointing to its strong performance this year. He said the airline was pleased to resolve the investigation even though it did not admit wrongdoing. "It was a historic storm that led to a historic week of operational disruption," Jordan said. A disruption of that magnitude "is not going to happen again." The largest penalty previously was $4.5 million imposed on Air Canada AC.TO after USDOT initially sought $25.5 million. Southwest's penalty -- which includes the $35 million fine payable over three years -- is more than all penalties assessed by USDOT combined since 1996. USDOT said in January it planned to start seeking higher fines. USDOT found Southwest violated consumer protection laws by failing to provide adequate customer service assistance "via its call center to hundreds of thousands of customers" as well as failing to provide prompt flight status notifications to more than 1 million passengers and prompt refunds to thousands. Jordan, who said over 99% of refunds were processed within seven days,said the $30 million in vouchers annually is "roughly equivalent to our operational performance.... It's the right number." He said Southwest would make it "really easy" to request the compensation. Asked if Southwest would end the program after three years, Jordan said consumer programs "rarely change or go away." USDOT also said it closed its "unrealistic scheduling investigation" without making any finding. The agency credited Southwest with $33 million toward the penalty for voluntarily awarding frequent flyer points to hundreds of thousands impacted passengers "to incentivize other airlines to take similar measures" during operational woes. In May, President Joe Biden said USDOT would propose new rules requiring airlines compensate passengers with cash for significant flight delays or cancellations when carriers are responsible. USDOT last year asked carriers if they would pay at least $100 for delays of at least three hours caused by airlines and none agreed. Most carriers - including Southwest - voluntarily committed in August 2022 to provide hotels, meals and ground transportation for airline-caused delays or cancellations but resisted providing cash compensation. (Reporting by David Shepardson; Editing by Christian Schmollinger) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The 2022 massive winter storm and subsequent chaos prompted travel horror stories: people missing funerals or long-awaited holiday gatherings, passengers with canceled flights forced to make cross-country drives of 17 or more hours across and some cancer patients could not get treatment. The agency credited Southwest with $33 million toward the penalty for voluntarily awarding frequent flyer points to hundreds of thousands impacted passengers "to incentivize other airlines to take similar measures" during operational woes. In May, President Joe Biden said USDOT would propose new rules requiring airlines compensate passengers with cash for significant flight delays or cancellations when carriers are responsible.
By David Shepardson WASHINGTON, Dec 18 (Reuters) - Southwest Airlines LUV.N agreed to a record-setting $140 million civil penalty over the December 2022 holiday meltdown that led to 16,900 flight cancellations and stranded 2 million passengers, the U.S. government said on Monday. The U.S. Department of Transportation (USDOT) consent order resolves a lengthy government investigation into the massive travel disruption and provides "a strong deterrent," the agency said. In May, President Joe Biden said USDOT would propose new rules requiring airlines compensate passengers with cash for significant flight delays or cancellations when carriers are responsible.
By David Shepardson WASHINGTON, Dec 18 (Reuters) - Southwest Airlines LUV.N agreed to a record-setting $140 million civil penalty over the December 2022 holiday meltdown that led to 16,900 flight cancellations and stranded 2 million passengers, the U.S. government said on Monday. The settlement includes a $35 million cash fine and a three-year mandate that Southwest provide $90 million in travel vouchers of $75 or more to passengers delayed at least three hours getting to final destinations because of an airline-caused issue or cancellation. USDOT found Southwest violated consumer protection laws by failing to provide adequate customer service assistance "via its call center to hundreds of thousands of customers" as well as failing to provide prompt flight status notifications to more than 1 million passengers and prompt refunds to thousands.
Southwest's penalty -- which includes the $35 million fine payable over three years -- is more than all penalties assessed by USDOT combined since 1996. USDOT last year asked carriers if they would pay at least $100 for delays of at least three hours caused by airlines and none agreed. Most carriers - including Southwest - voluntarily committed in August 2022 to provide hotels, meals and ground transportation for airline-caused delays or cancellations but resisted providing cash compensation.
74499021-c803-4138-8b53-32e586afdfb1
711509.0
2023-12-15 00:00:00 UTC
Here's Why Investors Should Retain McDonald's (MCD) Stock Now
DCOMP
https://www.nasdaq.com/articles/heres-why-investors-should-retain-mcdonalds-mcd-stock-now-2
nan
nan
McDonald's Corporation MCD will likely benefit from solid comps growth, digital efforts, and a loyalty program. Also, the focus on expansion initiatives bodes well. However, a challenging macro environment is a concern. Let’s discuss the factors highlighting why investors should retain the stock for the time being. Major Growth Drivers McDonald's continues to impress investors with robust comps growth. In third-quarter 2023, global comps increased 8.8% compared with a rise of 9.5% reported in the prior-year quarter. In the third quarter, comps in the United States, international operated markets and international developmental licensed segment rose 8.1%, 8.3% and 10.5%, respectively. The company gained from robust performance in most markets, led by the U.K. and Germany. McDonald’s’ comps in the quarter benefited from a menu price increase, positive guest counts and marketing initiatives. This and the continued digital and delivery growth contributed to the upside. The company is focused on digitalization to drive growth. During the third quarter of 2023, MCD reported accelerated digital engagement across the markets. It reported more frequent visits and incremental sales on the back of tailored loyalty messages, a strong lineup of mobile app offers and content offerings. During the third quarter of 2023, digital dales (from the top six markets) came in at $9 billion, contributing more than 40% to the company’s system-wide sales. Given a rise in digital adoption, the company is optimistic and anticipates the initiatives to drive sales and average checks in the upcoming periods. McDonald's continues to focus on the loyalty program to drive sales and average checks. It believes the program will help retain existing customers and expand the customer base. During the third quarter of 2023, MCD's digital app boosted fan engagement and loyalty through its exclusive MONOPOLY campaigns in multiple markets. In Australia, MCD's MONOPOLY campaign drove record digital sales with higher app registrations and game piece redemptions during the quarter. The U.K. saw MONOPOLY's 17th consecutive year featuring a double-peel option for app engagement. Spain had similar success, leveraging similar app features, resulting in increased downloads and registrations. The company witnessed impressive customer engagement with over 57 million 90-day active members across its top six markets. McDonald’s believes that there is a huge opportunity to grow all its brands globally by expanding its presence in existing markets and entering new ones. Its expansion efforts continue to drive performance. Despite unfavorable scenarios, the company continues to expand its global footprint. It is planning to open nearly 1,900 restaurants globally in 2023, which includes 400 openings in the United States and 1500 from the international operated markets (IOM) segment. The company expects net restaurant unit expansion to contribute nearly 1.5% to 2023 systemwide sales growth in constant currency. Concerns Image Source: Zacks Investment Research In the past three months, shares of the company have gained 3.3% compared with the Retail - Restaurants industry’s 4.1% growth. A challenging macro environment mainly caused the downside. The company is persistently shouldering higher expenses, which have been detrimental to margins. During the third quarter of 2023, McDonald’s company-operated restaurant expenses came in at $2,135 million compared with $1,779.6 million reported in the prior-year quarter. To enhance its successful Accelerating the Arches strategy, the company incurred various expenses (restructuring charges). It encountered challenges due to a tough macroeconomic landscape, notably affected by increasing interest rates. McDonald’s anticipates the macroeconomic challenges to persist in the fourth quarter. Zacks Rank & Key Picks McDonald's currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the Retail-Wholesale sector include: Arcos Dorados Holdings Inc. ARCO sports a Zacks Rank #1 (Strong Buy). The company has a trailing four-quarter earnings surprise of 28.3% on average. Shares of ARCO have increased by 53.2% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for ARCO’s 2024 sales and earnings per share (EPS) indicates 10.6% and 15.5% growth, respectively, from the year-ago period’s levels. Brinker International, Inc. EAT sports a Zacks Rank #1. It has a trailing four-quarter earnings surprise of 223.6%, on average. Shares of EAT have increased 23.4% in the past year. The Zacks Consensus Estimate for EAT’s 2024 sales and EPS indicates a 5.1% and a 26.2% growth, respectively, from the year-ago period’s levels. Wingstop Inc. WING sports a Zacks Rank #1. It has a trailing four-quarter earnings surprise of 28.9%, on average. The stock has gained 64.7% in the past year. The Zacks Consensus Estimate for Wingstop’s 2024 sales and EPS suggests rises of 15.6% and 17.5%, respectively, from the year-ago period’s levels. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 McDonald's Corporation (MCD) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Arcos Dorados Holdings Inc. (ARCO) : Free Stock Analysis Report Wingstop Inc. (WING) : 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.
During the third quarter of 2023, MCD's digital app boosted fan engagement and loyalty through its exclusive MONOPOLY campaigns in multiple markets. In Australia, MCD's MONOPOLY campaign drove record digital sales with higher app registrations and game piece redemptions during the quarter. Image Source: Zacks Investment Research In the past three months, shares of the company have gained 3.3% compared with the Retail - Restaurants industry’s 4.1% growth.
Arcos Dorados Holdings Inc. ARCO sports a Zacks Rank #1 (Strong Buy). The Zacks Consensus Estimate for ARCO’s 2024 sales and earnings per share (EPS) indicates 10.6% and 15.5% growth, respectively, from the year-ago period’s levels. Click to get this free report McDonald's Corporation (MCD) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Arcos Dorados Holdings Inc. (ARCO) : Free Stock Analysis Report Wingstop Inc. (WING) : Free Stock Analysis Report To read this article on Zacks.com click here.
Image Source: Zacks Investment Research In the past three months, shares of the company have gained 3.3% compared with the Retail - Restaurants industry’s 4.1% growth. The Zacks Consensus Estimate for ARCO’s 2024 sales and earnings per share (EPS) indicates 10.6% and 15.5% growth, respectively, from the year-ago period’s levels. Click to get this free report McDonald's Corporation (MCD) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Arcos Dorados Holdings Inc. (ARCO) : Free Stock Analysis Report Wingstop Inc. (WING) : Free Stock Analysis Report To read this article on Zacks.com click here.
During the third quarter of 2023, MCD reported accelerated digital engagement across the markets. McDonald's continues to focus on the loyalty program to drive sales and average checks. Image Source: Zacks Investment Research In the past three months, shares of the company have gained 3.3% compared with the Retail - Restaurants industry’s 4.1% growth.
21e7e1c9-acca-467e-a531-a1b7fea3e844
711510.0
2023-12-15 00:00:00 UTC
Here's Why You Should Invest in IDEXX (IDXX) Stock Right Now
DCOMP
https://www.nasdaq.com/articles/heres-why-you-should-invest-in-idexx-idxx-stock-right-now-3
nan
nan
IDEXX Laboratories, Inc. IDXX is likely to grow in the coming quarters, backed by the strong performance of the CAG (Companion Animal Group) Diagnostics business. A key element of IDEXX’s customer engagement strategy is the expansion of its commercial footprint in a disciplined approach. Huge demand for the company’s cloud-based products is also encouraging. However, IDEXX’s operations are exposed to macroeconomic challenges, which may impact its results of operations. Also, its debt profile remains concerning. In the past year, this Zacks Rank #3 (Hold) stock has increased 34.6% compared with the 4.3% rise of the industry and a 24.1% increase of the S&P 500 composite. The renowned medical device company has a market capitalization of $35.1 billion. IDEXX has an estimated long-term earnings growth rate of 18% compared with the industry’s 13.3%. IDXX’s earnings surpassed estimates in all the trailing four quarters, delivering an average surprise of 7.64%. Let’s delve deeper. Upsides Consistent Strong Performance of the CAG Segment: The company’s long-term success in the continuing growth of CAG’s recurring diagnostic products and services depends on growing volumes at existing customers by increasing their utilization of existing and new test offerings, acquiring new customers, maintaining high customer loyalty and retention and realizing modest annual price increases. In the third quarter of 2023, IDEXX's CAG Diagnostics recurring revenues increased 9% organically, which remained solidly above sector growth levels. The results were supported by the sustained benefits of execution drivers. In the United States, volume growth was supported by new business gains, high customer retention levels and continued increases in diagnostic frequency and utilization per clinical visit at the practice level. Image Source: Zacks Investment Research Robust Global Performance: The company’s increased commercial presence as a result of seven international commercial expansions since 2020 helped drive solid double-digit year-over-year gains in the international premium instrument installed base across platforms in the third quarter of 2023. Globally, IDEXX continues to achieve strong organic revenue growth across its modalities. In addition, IDEXX’s premium instrument placements continue to benefit from the international launch of ProCyte One. In the third quarter, the company placed 4,571 CAG premium instruments, while ProCyte One surpassed an installed base of more than 12,000 units. The quality of instrument replacements continues to be excellent, as demonstrated by solid global gains in EVI (economic value index) metrics and sustained high, new and competitive catalyst placements in the United States. Cloud-Based Software in Trend: The huge demand for medical services that clients see motivates IDEXX to develop its software solutions. Both individual and corporate customers, in particular, are attracted to these solutions as they become more concerned with leveraging software to standardize their processes at scale. IDEXX’s cloud-based products, including ezyVet and NEO PIMS and Web PACS's imaging software, continue to be in high demand as a response to this trend. Another notable software offering includes an integrated diagnostics portal — VetConnect PLUS with IDEXX DecisionIQ. The company’s software innovation is deeply integrated with its approaches to diagnostics innovations, as evidenced by its highly successful instrument platform strategy, enabled by cloud-based capabilities and connectivity that enhance practice insight and workflow. Downsides Macroeconomic Headwinds Put Pressure on the Bottom Line: In the third quarter, IDXX’s operating expenses suffered an increase, primarily due to higher personnel-related costs and outside services costs. Headwinds from ongoing capacity management challenges at U.S. clinics impacted software trends and caused a relative slowdown in wellness visits in the quarter. The potential macro impacts of these trends led the company to lower its revenue guidance for the fiscal year by $20 million. Debt Profile: At the end of the third quarter of 2023, IDEXX reported a short-term debt of $400 million and corresponding cash and cash equivalents of $331.7 million. With unfavorable solvency, the company is likely to face a challenge in repaying its obligations. Total debt (including the current portion) was $768.8 million, sequentially down from $771.8 million at the end of the second quarter. Estimate Trend The Zacks Consensus Estimate for IDEXX’s 2023 earnings per share (EPS) has remained constant at from $9.83 in the past 30 days. The Zacks Consensus Estimate for the company’s 2023 revenues is pegged at $3.64 billion. This suggests an 8.1% rise from the year-ago reported number. Key Picks Some better-ranked stocks in the broader medical space are Haemonetics HAE, Insulet PODD and DexCom DXCM. Haemonetics has an estimated earnings growth rate of 27.1% for fiscal 2024 compared with the industry’s 17.2%. HAE’s earnings surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 19.39%. Its shares have rallied 11.9% against the industry’s 1.4% fall in the past year. HAE carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Insulet, sporting a Zacks Rank #1 at present, has a long-term estimated earnings growth rate of 41.5% compared with the industry’s 12.2%. Shares of the company have decreased 29.7% compared with the industry’s 1.4% decline over the past year. PODD’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 126.9%. In the last reported quarter, it delivered an average earnings surprise of 58.3%. DexCom, carrying a Zacks Rank #2 at present, has an estimated long-term earnings growth rate of 33.6% compared with the industry’s 14.3%. Shares of DXCM have risen 9.3% compared with the industry’s 4.3% growth over the past year. DXCM’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 36.4%. In the last reported quarter, it delivered an average earnings surprise of 47.1%. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report IDEXX Laboratories, Inc. (IDXX) : Free Stock Analysis Report Insulet Corporation (PODD) : 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.
IDEXX Laboratories, Inc. IDXX is likely to grow in the coming quarters, backed by the strong performance of the CAG (Companion Animal Group) Diagnostics business. The quality of instrument replacements continues to be excellent, as demonstrated by solid global gains in EVI (economic value index) metrics and sustained high, new and competitive catalyst placements in the United States. IDEXX’s cloud-based products, including ezyVet and NEO PIMS and Web PACS's imaging software, continue to be in high demand as a response to this trend.
Upsides Consistent Strong Performance of the CAG Segment: The company’s long-term success in the continuing growth of CAG’s recurring diagnostic products and services depends on growing volumes at existing customers by increasing their utilization of existing and new test offerings, acquiring new customers, maintaining high customer loyalty and retention and realizing modest annual price increases. In the United States, volume growth was supported by new business gains, high customer retention levels and continued increases in diagnostic frequency and utilization per clinical visit at the practice level. Click to get this free report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report IDEXX Laboratories, Inc. (IDXX) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Upsides Consistent Strong Performance of the CAG Segment: The company’s long-term success in the continuing growth of CAG’s recurring diagnostic products and services depends on growing volumes at existing customers by increasing their utilization of existing and new test offerings, acquiring new customers, maintaining high customer loyalty and retention and realizing modest annual price increases. Image Source: Zacks Investment Research Robust Global Performance: The company’s increased commercial presence as a result of seven international commercial expansions since 2020 helped drive solid double-digit year-over-year gains in the international premium instrument installed base across platforms in the third quarter of 2023. Click to get this free report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report IDEXX Laboratories, Inc. (IDXX) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report To read this article on Zacks.com click here.
In the past year, this Zacks Rank #3 (Hold) stock has increased 34.6% compared with the 4.3% rise of the industry and a 24.1% increase of the S&P 500 composite. Cloud-Based Software in Trend: The huge demand for medical services that clients see motivates IDEXX to develop its software solutions. Estimate Trend The Zacks Consensus Estimate for IDEXX’s 2023 earnings per share (EPS) has remained constant at from $9.83 in the past 30 days.
0b948827-c616-44e6-b607-b36fc8afa4a8
711511.0
2023-12-15 00:00:00 UTC
Here's Why You Should Retain Hologic (HOLX) Stock for Now
DCOMP
https://www.nasdaq.com/articles/heres-why-you-should-retain-hologic-holx-stock-for-now-7
nan
nan
Hologic, Inc. HOLX is well-poised for growth in the coming quarters, backed by the witness revenue growth with recovery in procedural volumes and acceleration from new business lines. The company’s Breast Health segment continues to deliver strong growth, driven by higher capital equipment revenues. The significant decline in COVID-19 assay revenues continues to dent the top line. Foreign exchange woes and macroeconomic challenges impede the company’s growth. In the past year, this Zacks Rank #3 (Hold) stock has declined 3.2% against 4.2% growth of the industry and a 24% rise of the S&P 500. The renowned medical device company has a market capitalization of $17.05 billion. Hologic surpassed earnings estimates in all the trailing four quarters, delivering an average surprise of 12.43%. Let’s delve deeper. Factors at Play Strength in Breast Health: Hologic’s has been making impressive progress in the Breast Health arm recently, leveraging its strategic expansion efforts to diversify business across the patient continuum of care. In the fourth quarter of fiscal 2023, the Breast Health arm registered strong growth primarily driven by the recovery in the gantry business. Interventional Breast grew in the low double digits. Increased Trident systems unit sales and higher Faxitron breast-conserving surgery products supported the upside. The increase in volume was driven by the improvement in supply chain constraints related to electronic components, primarily semiconductor chips. Focus on International Operations: The company’s international sales have been a major catalyst in the past few years, with the major driver being the molecular diagnostics business. Hologic is focusing on commercial infrastructure. The company has been progressing impressively with respect to the placement of Panther instruments across the globe. Image Source: Zacks Investment Research Hologic strengthened its international businesses significantly over time. The company’s Breast Health business is getting stronger. Diagnostics benefited from all the additional Panther placements and is growing tremendously internationally. The Surgical arm also continues to shine. In 2023, the international Surgical growth rate was more than double the U.S. growth rate. GYN Surgical’s Strength: GYN Surgical’s growth continues to be driven by strong contributions from a hysteroscopic portfolio of MyoSure, the Fluent fluid management system and NovaSure. The company is encouraged by the strong performance of its latest NovaSure iteration, the NovaSure V5. The laparoscopic portfolio continues to build momentum and is growing into a larger driver for the division. Through Acessa and Bolder acquisitions, the company integrated Acessa’s procedure and Bolder’s advanced vessel sealing portfolio into its product line. Downsides Lower COVID Sales Hamper Growth: During the COVID-19 public health emergency, Hologic launched several assays to detect COVID. However, the company is experiencing a persistent decline in COVID testing-related demand and is expected to continue at much lower levels in 2023 as customer testing and therapy and vaccine demand declines. In the fourth quarter of fiscal 2023, COVID-19 revenues, which consist of COVID-19 assay revenue and other COVID-19 related revenues and revenues from discontinued products, plunged 75.6% on reported and constant currency. Macroeconomic Concerns: Continued concerns about the systemic impact of potential long-term and widespread recession and geopolitical issues, including the war in Ukraine, have contributed to increased market volatility and diminished expectations for economic growth in the world. Hologic business and results of operations have been and may continue to be adversely impacted by changes in macroeconomic conditions, including inflation, rising interest rates and availability of capital markets. Estimate Trends In the past 90 days, the Zacks Consensus Estimate for Hologic’s fiscal 2024 earnings has remained constant at $3.99 per share. The Zacks Consensus Estimate for HOLX’s fiscal 2023 revenues is pegged at $3.98 billion, suggesting a 1.4% fall from the year-ago reported number. Key Picks Some better-ranked stocks in the broader medical space are Haemonetics HAE, Insulet PODD and DexCom DXCM. While Haemonetics and DexCom each carry a Zacks Rank #2 (Buy), Insulet sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. Haemonetics’ stock has risen 11.6% in the past year. Earnings estimates for Haemonetics have increased from $3.82 to $3.86 in 2023 and $4.07 to $4.11 in 2024 in the past 30 days. HAE’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 16.1%. In the last reported quarter, it posted an earnings surprise of 5.3%. Estimates for Insulet’s 2023 earnings per share have increased from $1.61 to $1.90 in the past 30 days. The company's shares have decreased 40.9% in the past year compared with the industry’s decline of 7%. PODD’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 105.1%. In the last reported quarter, it delivered an average earnings surprise of 77.4%. Estimates for DexCom’s 2023 earnings per share have increased from $1.23 to $1.41 in the past 30 days. Shares of the company have fallen 7.8% in the past year compared with the industry’s decline of 7.1%. DXCM’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 36.4%. In the last reported quarter, it delivered an average earnings surprise of 47.1%. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Hologic, Inc. (HOLX) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Insulet Corporation (PODD) : 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.
The company’s Breast Health segment continues to deliver strong growth, driven by higher capital equipment revenues. In the fourth quarter of fiscal 2023, the Breast Health arm registered strong growth primarily driven by the recovery in the gantry business. Hologic business and results of operations have been and may continue to be adversely impacted by changes in macroeconomic conditions, including inflation, rising interest rates and availability of capital markets.
The company’s Breast Health segment continues to deliver strong growth, driven by higher capital equipment revenues. In the fourth quarter of fiscal 2023, the Breast Health arm registered strong growth primarily driven by the recovery in the gantry business. Click to get this free report Hologic, Inc. (HOLX) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report To read this article on Zacks.com click here.
The company’s Breast Health segment continues to deliver strong growth, driven by higher capital equipment revenues. Estimate Trends In the past 90 days, the Zacks Consensus Estimate for Hologic’s fiscal 2024 earnings has remained constant at $3.99 per share. Click to get this free report Hologic, Inc. (HOLX) : Free Stock Analysis Report Haemonetics Corporation (HAE) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report To read this article on Zacks.com click here.
In the fourth quarter of fiscal 2023, the Breast Health arm registered strong growth primarily driven by the recovery in the gantry business. Focus on International Operations: The company’s international sales have been a major catalyst in the past few years, with the major driver being the molecular diagnostics business. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
6d7a0e47-e34b-4492-b94e-7a582715627d
711512.0
2023-12-15 00:00:00 UTC
Kimberly-Clark (KMB) Benefits From Saving Plans Amid High Costs
DCOMP
https://www.nasdaq.com/articles/kimberly-clark-kmb-benefits-from-saving-plans-amid-high-costs
nan
nan
Kimberly-Clark Corporation KMB is focused on revenue growth management, which has been yielding. The consumer products company is taking robust steps to lower costs. Management is committed to its three key strategic growth pillars. However, the company is not immune to an inflationary environment. Let’s delve deeper. Solid Revenue Growth Management Kimberly-Clark is benefiting from a focus on revenue growth management. Effective implementation of revenue growth management strategies (like pricing) and ongoing productivity initiatives have been protecting the gross margin. These factors drove Kimberly-Clark’s third-quarter 2023 performance. Kimberly-Clark’s quarterly sales rose 2% to $5,132 million. Organic sales increased 5% due to a 5% rise in the price as part of KMB’s ongoing revenue growth management programs and a 1% impact of the favorable product mix. The gross margin expanded 530 basis points (bps) to 35.8%, owing to increased net revenue realization, cost savings and lower input costs. Image Source: Zacks Investment Research Savings Program on Track The Zacks Rank #3 (Hold) company has been taking robust steps to lower costs. This is highlighted by Focus on Reducing Costs Everywhere or FORCE Program. The company aggressively cuts costs and enhances supply-chain productivity through the FORCE Program. The program has been generating solid cost savings for a while, which is driving performance. In the third quarter of 2023, the company generated savings of $90 million from the FORCE program. Management expects FORCE savings of $300-$350 million in 2023. Growth Pillars Aid Growth Kimberly-Clark is committed to its three key strategic growth pillars. These include a focus on improving its core business in the developed markets, speeding up growth in the Personal Care segment in developing and emerging markets and enhancing digital and e-commerce capacities. The company expects to meet these objectives through product development across different categories and leveraging capabilities in marketing and sales. The company is progressing well with these objectives, which are aiding its portfolio and expanding global business. In February 2022, Kimberly-Clark Corporation acquired a majority stake in Thinx, Inc. — the pioneer in the reusable period and incontinence underwear category. In October 2020, Kimberly-Clark completed the acquisition of Softex Indonesia — a leading player in the Indonesian personal care market. Cost Woes Stay Kimberly-Clark has been battling an inflationary environment for a while now. Although the company’s gross margin expanded in the third quarter of 2023, it was affected by increased manufacturing costs. During 2023, management expects the operating profit to be affected by input costs to the tune of $50 million. Other manufacturing costs are likely to be a headwind of $250 million for the year. That said, we believe that the upsides mentioned above are likely to offer some respite. Kimberly-Clark’s shares have dropped 4% in the past three months compared with the industry’s 1.4% decline. Top 3 Staple Bets MGP Ingredients, Inc. MGPI produces and markets ingredients and distillery products to the packaged goods industry. The company currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for MGP Ingredients’ current financial year sales and earnings suggests growth of almost 6% and 14.2%, respectively, from the year-ago reported figures. MGPI has a trailing four-quarter earnings surprise of 16.2% on average. Celsius Holdings CELH, which offers functional drinks and liquid supplements, carries a Zacks Rank #2. CELH delivered an earnings surprise of 81.6% in the third quarter of 2023. The Zacks Consensus Estimate for Celsius Holdings’ current financial year sales and earnings suggests growth of 98.5% and 185.2%, respectively, from the year-ago reported numbers. Vital Farms Inc. VITL offers a range of produced pasture-raised foods. It currently has a Zacks Rank #2. VITL has a trailing four-quarter earnings surprise of 145% on average. The Zacks Consensus Estimate for Vital Farms’ current financial year sales suggests growth of 29.4% from the year-ago reported figure. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Kimberly-Clark Corporation (KMB) : Free Stock Analysis Report MGP Ingredients, Inc. (MGPI) : Free Stock Analysis Report Celsius Holdings Inc. (CELH) : Free Stock Analysis Report Vital Farms, Inc. (VITL) : 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.
Organic sales increased 5% due to a 5% rise in the price as part of KMB’s ongoing revenue growth management programs and a 1% impact of the favorable product mix. The Zacks Consensus Estimate for MGP Ingredients’ current financial year sales and earnings suggests growth of almost 6% and 14.2%, respectively, from the year-ago reported figures. The Zacks Consensus Estimate for Celsius Holdings’ current financial year sales and earnings suggests growth of 98.5% and 185.2%, respectively, from the year-ago reported numbers.
The Zacks Consensus Estimate for MGP Ingredients’ current financial year sales and earnings suggests growth of almost 6% and 14.2%, respectively, from the year-ago reported figures. The Zacks Consensus Estimate for Vital Farms’ current financial year sales suggests growth of 29.4% from the year-ago reported figure. Click to get this free report Kimberly-Clark Corporation (KMB) : Free Stock Analysis Report MGP Ingredients, Inc. (MGPI) : Free Stock Analysis Report Celsius Holdings Inc. (CELH) : Free Stock Analysis Report Vital Farms, Inc. (VITL) : Free Stock Analysis Report To read this article on Zacks.com click here.
Solid Revenue Growth Management Kimberly-Clark is benefiting from a focus on revenue growth management. Image Source: Zacks Investment Research Savings Program on Track The Zacks Rank #3 (Hold) company has been taking robust steps to lower costs. Click to get this free report Kimberly-Clark Corporation (KMB) : Free Stock Analysis Report MGP Ingredients, Inc. (MGPI) : Free Stock Analysis Report Celsius Holdings Inc. (CELH) : Free Stock Analysis Report Vital Farms, Inc. (VITL) : Free Stock Analysis Report To read this article on Zacks.com click here.
Kimberly-Clark Corporation KMB is focused on revenue growth management, which has been yielding. Image Source: Zacks Investment Research Savings Program on Track The Zacks Rank #3 (Hold) company has been taking robust steps to lower costs. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
037d2fdb-99eb-4212-aa38-6254312d6597
711513.0
2023-12-15 00:00:00 UTC
Vans owner VF Corp's order fulfillment operations hit by cyber incident
DCOMP
https://www.nasdaq.com/articles/vans-owner-vf-corps-order-fulfillment-operations-hit-by-cyber-incident
nan
nan
Dec 18 (Reuters) - VF Corp VFC.N said on Monday it was investigating "unauthorized" activity on its computer systems that disrupted some operations, including the ability of the Vans sneaker maker to fulfill global customer orders on its e-commerce site. Shares of VF Corp were down about 5% in premarket trade after the company said in a regulatory filing that the incident was likely to continue to have a material impact on its business. The incident, detected on Dec 13, encrypted some systems and compromised data, including personal details. VF Corp added that it was not yet able to determine whether the company's financial condition would also take a hit. Cleaning products maker Clorox's CLX.N order fulfillment facilities were thrown out of gear for more than a month after a cyberattack in August, taking its products off the shelves for a short period. (Reporting by Juveria Tabassum; Editing by Maju Samuel) ((Juveria.Tabassum@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.
Dec 18 (Reuters) - VF Corp VFC.N said on Monday it was investigating "unauthorized" activity on its computer systems that disrupted some operations, including the ability of the Vans sneaker maker to fulfill global customer orders on its e-commerce site. Shares of VF Corp were down about 5% in premarket trade after the company said in a regulatory filing that the incident was likely to continue to have a material impact on its business. The incident, detected on Dec 13, encrypted some systems and compromised data, including personal details.
Dec 18 (Reuters) - VF Corp VFC.N said on Monday it was investigating "unauthorized" activity on its computer systems that disrupted some operations, including the ability of the Vans sneaker maker to fulfill global customer orders on its e-commerce site. Shares of VF Corp were down about 5% in premarket trade after the company said in a regulatory filing that the incident was likely to continue to have a material impact on its business. Cleaning products maker Clorox's CLX.N order fulfillment facilities were thrown out of gear for more than a month after a cyberattack in August, taking its products off the shelves for a short period.
Dec 18 (Reuters) - VF Corp VFC.N said on Monday it was investigating "unauthorized" activity on its computer systems that disrupted some operations, including the ability of the Vans sneaker maker to fulfill global customer orders on its e-commerce site. Shares of VF Corp were down about 5% in premarket trade after the company said in a regulatory filing that the incident was likely to continue to have a material impact on its business. (Reporting by Juveria Tabassum; Editing by Maju Samuel) ((Juveria.Tabassum@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.
Dec 18 (Reuters) - VF Corp VFC.N said on Monday it was investigating "unauthorized" activity on its computer systems that disrupted some operations, including the ability of the Vans sneaker maker to fulfill global customer orders on its e-commerce site. Shares of VF Corp were down about 5% in premarket trade after the company said in a regulatory filing that the incident was likely to continue to have a material impact on its business. The incident, detected on Dec 13, encrypted some systems and compromised data, including personal details.
5068f26c-b02e-43d0-9035-e39a5ccf31b3
711514.0
2023-12-15 00:00:00 UTC
Expecting Tesla to 2X by 2029? Here's What Has to Happen.
DCOMP
https://www.nasdaq.com/articles/expecting-tesla-to-2x-by-2029-heres-what-has-to-happen.
nan
nan
Without a doubt, Tesla (NASDAQ: TSLA) has been one of the best investments in the past decade. As of this writing, shares have soared 2,330% since December 2013. This top automotive stock is now the ninth most valuable company in the world. And it has done this by spearheading the EV (electric vehicle) industry, while also keeping its foot on the gas as it relates to technological innovation. Even at a current market cap of $750 billion, some investors might be hoping that Tesla's stock can double in the next five or so years. Here's what has to happen for this lofty outcome to become a reality. Profitable growth is a necessity Between Q3 2018 and Q3 2023, this business was able to grow revenue from $6.8 billion to $23.4 billion, translating to an unbelievable compound annual rate of 28%. Surely, this top-line metric can be credited for being a key factor driving shares higher. Over the next five years, there's no question that Tesla will need to continue increasing sales. That's not hard to believe. According to Canalys, EV units represented 16% of total light vehicle sales globally in the first half of 2023. Some estimates call for this figure to jump to 86% by 2030. I don't think anyone doubts that Tesla should continue to be a clear leader in the industry far into the future. Perhaps more importantly, this company will need to continue finding ways to boost profitability. To its credit, Tesla generated positive net income in 2020, a trend that hasn't changed. This contrasts wildly with the unprofitable EV operations at rival companies. Bolstering manufacturing capabilities and lowering the cost of production has helped Tesla grow the bottom line. But investors shouldn't easily assume that this business will be able to expand its margins going forward. We've seen macro headwinds, like higher interest rates and inflation, as well as stiff competition, lead Tesla to implement numerous price cuts for its vehicles this year. That's why the operating margin last quarter of 7.6% was meaningfully lower than 17.2% in the year-ago period. Competition isn't going away, which will surely make things more difficult. Nonetheless, the thesis for investors to own Tesla shares likely incorporates the successful rollout of a worldwide robotaxi service. Should this happen, Elon Musk says margins and profitability would skyrocket, and there would be "quasi-infinite demand." "The short-term variances in gross margin and profitability really are minor relative to the long-term picture," Musk said on the Q2earnings call "Autonomy will make all of these numbers look silly." High expectations Whether autonomy happens or not, it's still easy to believe that Tesla will post strong revenue and earnings growth, even if these numbers rise at a slower clip than in the past. But the current valuation presents a major headwind getting in the way of the stock doubling in the next five years. Shares currently trade at 77 times trailing earnings. That's a steep price to pay, even for one of the world's most disruptive companies. If Tesla is successful at finally introducing its full self-driving capabilities to market, an innovative breakthrough that has been delayed multiple times, then the optionality and upside potential is truly massive. However, there is still a ton of uncertainty around this outcome, especially within the next five years. While it hasn't been a smart idea historically to bet against Elon Musk, I think the current valuation represents the enthusiasm that shareholders have toward this company. It's almost as if investors believe that robotaxis are an inevitability, which is not the case. Based on its track record of incredible returns, investors might think Tesla shares are automatically going to double in the next five years. But I don't think it's a sure thing. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for two decades, Motley Fool Stock Advisor, has more than tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Tesla made the list -- but there are 9 other stocks you may be overlooking. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Neil Patel and his clients have no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. 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.
We've seen macro headwinds, like higher interest rates and inflation, as well as stiff competition, lead Tesla to implement numerous price cuts for its vehicles this year. High expectations Whether autonomy happens or not, it's still easy to believe that Tesla will post strong revenue and earnings growth, even if these numbers rise at a slower clip than in the past. If Tesla is successful at finally introducing its full self-driving capabilities to market, an innovative breakthrough that has been delayed multiple times, then the optionality and upside potential is truly massive.
Should this happen, Elon Musk says margins and profitability would skyrocket, and there would be "quasi-infinite demand." After all, the newsletter they have run for two decades, Motley Fool Stock Advisor, has more than tripled the market. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Neil Patel and his clients have no position in any of the stocks mentioned.
Even at a current market cap of $750 billion, some investors might be hoping that Tesla's stock can double in the next five or so years. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Tesla made the list -- but there are 9 other stocks you may be overlooking. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Neil Patel and his clients have no position in any of the stocks mentioned.
Even at a current market cap of $750 billion, some investors might be hoping that Tesla's stock can double in the next five or so years. But I don't think it's a sure thing. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Neil Patel and his clients have no position in any of the stocks mentioned.
24346514-d94c-4d23-ada9-0f223250aa33
711515.0
2023-12-15 00:00:00 UTC
Should You Invest in the First Trust NASDAQ Semiconductor ETF (FTXL)?
DCOMP
https://www.nasdaq.com/articles/should-you-invest-in-the-first-trust-nasdaq-semiconductor-etf-ftxl-2
nan
nan
Looking for broad exposure to the Technology - Semiconductors segment of the equity market? You should consider the First Trust NASDAQ Semiconductor ETF (FTXL), a passively managed exchange traded fund launched on 09/20/2016. While an excellent vehicle for long term investors, passively managed ETFs are a popular choice among institutional and retail investors due to their low costs, transparency, flexibility, and tax efficiency. Sector ETFs are also funds of convenience, offering many ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Technology - Semiconductors is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 6, placing it in top 38%. Index Details The fund is sponsored by First Trust Advisors. It has amassed assets over $1.22 billion, making it one of the larger ETFs attempting to match the performance of the Technology - Semiconductors segment of the equity market. FTXL seeks to match the performance of the Nasdaq US Smart Semiconductor Index before fees and expenses. The Nasdaq US Smart Semiconductor Index is a modified factor weighted index, designed to provide exposure to US companies within the semiconductor industry. 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 0.60%, making it on par with most peer products in the space. It has a 12-month trailing dividend yield of 0.63%. 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 in the Information Technology sector--about 100% of the portfolio. Looking at individual holdings, Intel Corporation (INTC) accounts for about 9.65% of total assets, followed by Broadcom Inc. (AVGO) and Micron Technology, Inc. (MU). The top 10 holdings account for about 64.48% of total assets under management. Performance and Risk Year-to-date, the First Trust NASDAQ Semiconductor ETF has gained about 52.54% so far, and it's up approximately 47.80% over the last 12 months (as of 12/18/2023). FTXL has traded between $51.44 and $80.78 in this past 52-week period. The ETF has a beta of 1.30 and standard deviation of 34.25% for the trailing three-year period. With about 32 holdings, it has more concentrated exposure than peers. Alternatives First Trust NASDAQ Semiconductor 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, FTXL 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. IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. IShares Semiconductor ETF has $10.14 billion in assets, VanEck Semiconductor ETF has $11.40 billion. SOXX has an expense ratio of 0.35% and SMH charges 0.35%. 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 First Trust NASDAQ Semiconductor ETF (FTXL): ETF Research Reports Intel Corporation (INTC) : Free Stock Analysis Report Micron Technology, Inc. (MU) : Free Stock Analysis Report Broadcom Inc. (AVGO) : Free Stock Analysis Report VanEck Semiconductor ETF (SMH): ETF Research Reports iShares Semiconductor ETF (SOXX): 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.
You should consider the First Trust NASDAQ Semiconductor ETF (FTXL), a passively managed exchange traded fund launched on 09/20/2016. It has amassed assets over $1.22 billion, making it one of the larger ETFs attempting to match the performance of the Technology - Semiconductors segment of the equity market. Looking at individual holdings, Intel Corporation (INTC) accounts for about 9.65% of total assets, followed by Broadcom Inc. (AVGO) and Micron Technology, Inc. (MU).
Looking at individual holdings, Intel Corporation (INTC) accounts for about 9.65% of total assets, followed by Broadcom Inc. (AVGO) and Micron Technology, Inc. (MU). IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. Click to get this free report First Trust NASDAQ Semiconductor ETF (FTXL): ETF Research Reports Intel Corporation (INTC) : Free Stock Analysis Report Micron Technology, Inc. (MU) : Free Stock Analysis Report Broadcom Inc. (AVGO) : Free Stock Analysis Report VanEck Semiconductor ETF (SMH): ETF Research Reports iShares Semiconductor ETF (SOXX): ETF Research Reports To read this article on Zacks.com click here.
Alternatives First Trust NASDAQ Semiconductor 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. IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. Click to get this free report First Trust NASDAQ Semiconductor ETF (FTXL): ETF Research Reports Intel Corporation (INTC) : Free Stock Analysis Report Micron Technology, Inc. (MU) : Free Stock Analysis Report Broadcom Inc. (AVGO) : Free Stock Analysis Report VanEck Semiconductor ETF (SMH): ETF Research Reports iShares Semiconductor ETF (SOXX): ETF Research Reports To read this article on Zacks.com click here.
You should consider the First Trust NASDAQ Semiconductor ETF (FTXL), a passively managed exchange traded fund launched on 09/20/2016. The top 10 holdings account for about 64.48% of total assets under management. IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index.
7a8c0788-f7e0-4084-8612-78f9cdbc84cb
711516.0
2023-12-15 00:00:00 UTC
3 Artificial Intelligence Stocks That Could Be Millionaire-Makers
DCOMP
https://www.nasdaq.com/articles/3-artificial-intelligence-stocks-that-could-be-millionaire-makers
nan
nan
When it comes to artificial intelligence (AI), much of the attention has focused on larger companies like Nvidia or Microsoft. One can understand that, given their technical capabilities and financial resources. Nonetheless, a few smaller AI stocks also hold considerable potential for long-term growth. To that end, investors should consider three smaller companies bringing transformation through AI. 1. Super Micro Computer In addition to AI, Super Micro Computer (NASDAQ: SMCI) innovates in the cloud, enterprise, metaverse, and 5G worlds. Describing itself as a "rack-scale total IT solutions provider," the company offers combined hardware and software solutions, creating servers, switches, storage systems, and other products that are AI-ready. Super Micro also emphasizes energy efficiency and reductions in environmental impact, and manufactures its products primarily in the U.S. Despite a relative lack of name recognition, it operates in more than 100 countries, and its rapid growth has attracted increased attention from investors. Although its $2.2 billion in revenue for the first quarter of fiscal 2024 (ended Sept. 30) grew 14%, revenue increased 37% in fiscal 2023. Supply constraints and capital expenditures weighed on the company in fiscal Q1. Those challenges led to net income falling to $157 million versus $184 million in the year-ago quarter. Still, that temporary setback has not deterred investors, who have bid the share price more than 200% higher over the last year. That places its P/E ratio at just 27. Moreover, the market cap of $16 billion has just recently crossed into large-cap status. That market cap may not guarantee that it is going to mint millionaires, but it leaves Super Micro at a size where investors may benefit from its massive growth potential. 2. UiPath UiPath (NYSE: PATH) is a company specializing in robotics process automation (RPA). RPA applies robotics and software to perform repetitive tasks. Admittedly, performing repetitive tasks has long been a purpose of programming. However, UiPath has stood with its end-to-end platform, connecting the company's software with enterprise products and applications. That has attracted companies such as Nielsen to help drive digital transformation or a retailer that used the company's RPA to process nearly all of its invoices. It has also earned business over competitors by fostering a UiPath community. In this community, millions of professionals in the development space create and share applications within the company's ecosystem. The growth continues, as UiPath earned $903 million in revenue in the first nine months of 2023, 20% more than 12 months ago. The company has also slowed expense growth despite reporting operating losses. Still, the $124 million operating losses in the first three quarters of the year fell from $301 million in the same year-ago period. With that growth, UiPath stock is up 90% over the last 12 months, and its price-to-sales (P/S) ratio of 12 is still near historic lows. At a market cap of just $15 billion, it is small enough to potentially make investors millionaires as more customers turn to its RPA technology. 3. Upstart Upstart Holdings (NASDAQ: UPST) has leveraged AI to develop a loan evaluation tool. If successful, it could take market share from Fair Isaac, whose FICO score has been the standard for credit ratings since 1989. But without a major update for FICO, Fair Isaac has left its industry ripe for disruption. According to Upstart, its AI-driven solution can approve 44% more loans without increasing risks, meaning it could serve as that agent for change. The stock fell by as much as 97% from 2021 highs, as rising rates reversed Upstart's massive revenue growth. But now, Chairman Jerome Powell indicated the Federal Reserve would cut rates three times in 2024, which could spur a rebound. Still, that recovery has not occurred yet, as revenue of $408 million in the first nine months of 2023 fell 46% versus the same period in 2022. As Upstart ramped up engineering and product development spending, net losses increased to $198 million in the year's first three quarters, far above the $53 million lost in the same period one year ago. With a recent increase in the stock price, the P/S ratio is now 7, which is well below the peaks in 2021. Still, a market cap of around $4 billion makes it a mid-cap stock, and assuming lower rates will again translate into heightened demand for loans, it could bode well for Upstart as banks seek ways to approve more loans safely. Should you invest $1,000 in Super Micro Computer right now? Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Will Healy has positions in Upstart. The Motley Fool has positions in and recommends Microsoft, Nvidia, UiPath, and Upstart. The Motley Fool recommends Fair Isaac and Super Micro Computer. 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.
Despite a relative lack of name recognition, it operates in more than 100 countries, and its rapid growth has attracted increased attention from investors. That market cap may not guarantee that it is going to mint millionaires, but it leaves Super Micro at a size where investors may benefit from its massive growth potential. At a market cap of just $15 billion, it is small enough to potentially make investors millionaires as more customers turn to its RPA technology.
Super Micro Computer In addition to AI, Super Micro Computer (NASDAQ: SMCI) innovates in the cloud, enterprise, metaverse, and 5G worlds. Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them. The Motley Fool recommends Fair Isaac and Super Micro Computer.
Super Micro Computer In addition to AI, Super Micro Computer (NASDAQ: SMCI) innovates in the cloud, enterprise, metaverse, and 5G worlds. As Upstart ramped up engineering and product development spending, net losses increased to $198 million in the year's first three quarters, far above the $53 million lost in the same period one year ago. Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them.
The growth continues, as UiPath earned $903 million in revenue in the first nine months of 2023, 20% more than 12 months ago. Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them. The Motley Fool recommends Fair Isaac and Super Micro Computer.
01cc4428-7c95-4c9f-9cfd-e2bc08b74d1e
711517.0
2023-12-15 00:00:00 UTC
Implied IYK Analyst Target Price: $216
DCOMP
https://www.nasdaq.com/articles/implied-iyk-analyst-target-price%3A-%24216
nan
nan
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the iShares U.S. Consumer Staples ETF (Symbol: IYK), we found that the implied analyst target price for the ETF based upon its underlying holdings is $216.39 per unit. With IYK trading at a recent price near $189.75 per unit, that means that analysts see 14.04% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of IYK's underlying holdings with notable upside to their analyst target prices are Archer Daniels Midland Co. (Symbol: ADM), Philip Morris International Inc (Symbol: PM), and Casey's General Stores, Inc. (Symbol: CASY). Although ADM has traded at a recent price of $75.75/share, the average analyst target is 20.25% higher at $91.09/share. Similarly, PM has 18.22% upside from the recent share price of $94.46 if the average analyst target price of $111.67/share is reached, and analysts on average are expecting CASY to reach a target price of $306.00/share, which is 14.31% above the recent price of $267.70. Below is a twelve month price history chart comparing the stock performance of ADM, PM, and CASY: Combined, ADM, PM, and CASY represent 9.40% of the iShares U.S. Consumer Staples ETF. Below is a summary table of the current analyst target prices discussed above: NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET iShares U.S. Consumer Staples ETF IYK $189.75 $216.39 14.04% Archer Daniels Midland Co. ADM $75.75 $91.09 20.25% Philip Morris International Inc PM $94.46 $111.67 18.22% Casey's General Stores, Inc. CASY $267.70 $306.00 14.31% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research. 10 ETFs With Most Upside To Analyst Targets » Also see: • JYNT Stock Predictions • GWIV Insider Buying • Institutional Holders of HTGZ The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
iShares U.S. Consumer Staples ETF IYK $189.75 $216.39 14.04% Archer Daniels Midland Co. ADM $75.75 $91.09 20.25% Philip Morris International Inc PM $94.46 $111.67 18.22% Casey's General Stores, Inc. CASY $267.70 $306.00 14.31% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? 10 ETFs With Most Upside To Analyst Targets » Also see: • JYNT Stock Predictions • GWIV Insider Buying • Institutional Holders of HTGZ The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Three of IYK's underlying holdings with notable upside to their analyst target prices are Archer Daniels Midland Co. (Symbol: ADM), Philip Morris International Inc (Symbol: PM), and Casey's General Stores, Inc. (Symbol: CASY). Below is a twelve month price history chart comparing the stock performance of ADM, PM, and CASY: Combined, ADM, PM, and CASY represent 9.40% of the iShares U.S. Consumer Staples ETF. iShares U.S. Consumer Staples ETF IYK $189.75 $216.39 14.04% Archer Daniels Midland Co. ADM $75.75 $91.09 20.25% Philip Morris International Inc PM $94.46 $111.67 18.22% Casey's General Stores, Inc. CASY $267.70 $306.00 14.31% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. Similarly, PM has 18.22% upside from the recent share price of $94.46 if the average analyst target price of $111.67/share is reached, and analysts on average are expecting CASY to reach a target price of $306.00/share, which is 14.31% above the recent price of $267.70. A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past.
For the iShares U.S. Consumer Staples ETF (Symbol: IYK), we found that the implied analyst target price for the ETF based upon its underlying holdings is $216.39 per unit. With IYK trading at a recent price near $189.75 per unit, that means that analysts see 14.04% upside for this ETF looking through to the average analyst targets of the underlying holdings. Below is a twelve month price history chart comparing the stock performance of ADM, PM, and CASY: Combined, ADM, PM, and CASY represent 9.40% of the iShares U.S. Consumer Staples ETF.
27152b5c-4516-437e-a0cc-04dd1c751ee5
711518.0
2023-12-15 00:00:00 UTC
Checkpoint Therapeutics slides after US FDA declines cancer therapy approval
DCOMP
https://www.nasdaq.com/articles/checkpoint-therapeutics-slides-after-us-fda-declines-cancer-therapy-approval
nan
nan
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. Shares of the Waltham, Massachusetts-based company were down 47.3%, to $1.7 in premarket trade, among the worse performing stocks across U.S. stock exchanges. Checkpoint filed the marketing application for cosibelimab, its lead therapy in development, earlier this year. The company said the FDA did not state any concerns about the data or safety of the therapy in its so-called complete response letter. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year. The trial data showed the therapy helped reduce or clear cancerous tumors by 47.4%. Checkpoint also said about 40,000 cases become advanced and it estimates around 15,000 people die of the disease annually. (Reporting by Mariam Sunny and Puyaan Singh in Bengaluru; Editing by Sriraj Kalluvila and Pooja Desai) ((Mariam.ESunny@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.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. The company said the FDA did not state any concerns about the data or safety of the therapy in its so-called complete response letter. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. Shares of the Waltham, Massachusetts-based company were down 47.3%, to $1.7 in premarket trade, among the worse performing stocks across U.S. stock exchanges. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year. (Reporting by Mariam Sunny and Puyaan Singh in Bengaluru; Editing by Sriraj Kalluvila and Pooja Desai) ((Mariam.ESunny@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.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. Shares of the Waltham, Massachusetts-based company were down 47.3%, to $1.7 in premarket trade, among the worse performing stocks across U.S. stock exchanges. Checkpoint filed the marketing application for cosibelimab, its lead therapy in development, earlier this year.
92ce1a4e-6f3a-4eb8-a276-5133d6dadeaf
711519.0
2023-12-15 00:00:00 UTC
US FDA declines to approve Checkpoint Therapeutics' skin cancer therapy
DCOMP
https://www.nasdaq.com/articles/us-fda-declines-to-approve-checkpoint-therapeutics-skin-cancer-therapy
nan
nan
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. Shares of the Waltham, Massachusetts-based company were down 47.3%, to $1.7 in premarket trade, among the worse performing stocks across U.S. stock exchanges. Checkpoint filed the marketing application for cosibelimab, its lead therapy in development, earlier this year. The company said the FDA did not state any concerns about the data or safety of the therapy in its so-called complete response letter. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year. The trial data showed the therapy helped reduce or clear cancerous tumors by 47.4%. Checkpoint also said about 40,000 cases become advanced and it estimates around 15,000 people die of the disease annually. (Reporting by Mariam Sunny and Puyaan Singh in Bengaluru; Editing by Sriraj Kalluvila and Pooja Desai) ((Mariam.ESunny@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.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. The company said the FDA did not state any concerns about the data or safety of the therapy in its so-called complete response letter. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. Shares of the Waltham, Massachusetts-based company were down 47.3%, to $1.7 in premarket trade, among the worse performing stocks across U.S. stock exchanges. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. "We believe we can address the feedback in a resubmission to enable marketing approval in 2024," CEO James Oliviero said in a statement According to the company, cutaneous squamous cell carcinoma is the second most common type of skin cancer in the United States, with around 1 million cases every year. (Reporting by Mariam Sunny and Puyaan Singh in Bengaluru; Editing by Sriraj Kalluvila and Pooja Desai) ((Mariam.ESunny@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.
Adds share movement in paragraphs 1 and 2 Dec 18 (Reuters) - Checkpoint Therapeutics CKPT.O said on Monday the U.S. Food and Drug Administration had declined to approve its experimental therapy to treat a form of skin cancer following an inspection at a contract manufacturer, sending its shares down nearly 50%. Shares of the Waltham, Massachusetts-based company were down 47.3%, to $1.7 in premarket trade, among the worse performing stocks across U.S. stock exchanges. Checkpoint filed the marketing application for cosibelimab, its lead therapy in development, earlier this year.
30f32f82-8873-4a18-a1c5-9d00f465781f
711520.0
2023-12-15 00:00:00 UTC
This Stock Market Sector Could Dominate In 2024. Here's Why.
DCOMP
https://www.nasdaq.com/articles/this-stock-market-sector-could-dominate-in-2024.-heres-why.
nan
nan
The energy sector is down 8.2% so far this year, driven by declines in oil prices and a cooldown from a red-hot 2022. However, the sector can still do very well even at current prices. In fact, many companies are banking on oil staying where it is or suffering only a minor decline. Here's why the energy sector is set up nicely for 2024 and why it could be worth investing in now. Image source: Getty Images. Consolidation is driving the upstream industry The last few months have featured a flurry of mergers and acquisitions on the upstream side of the energy sector. In October, ExxonMobil (NYSE: XOM) announced an all-stock merger with Permian Basin producer Pioneer Natural Resources for $59.5 billion. Later that month, Chevron (NYSE: CVX) announced a merger with Hess for $53 billion, gaining access to the oil reserves offshore Guyana among other global plays. And earlier this month, Occidental Petroleum (NYSE: OXY) announced a $12 billion acquisition of privately held Permian producer CrownRock. In the case of Exxon and Oxy, the idea is to get more acreage in a familiar region. This approach can save costs through synergies and boost free cash flow (FCF) if done right. Chevron's deal is a diversification move. It gives it access to a low-cost offshore oil play, which pairs nicely with its existing Permian and liquefied natural gas position. The deals vary in scope and scale. But the rationale behind them is the same: produce more oil and gas at a lower cost per barrel. It's good old-fashioned leverage that can amplify gains during certain conditions and compound losses if oil prices take a turn for the worse. On Dec. 6, ExxonMobil published a corporate plan centered around doubling its earnings by 2027 based on Brent crude oil (the international benchmark) averaging $60 a barrel. However, it also said that 90% of its planned upstream capital investments over the next five years will be able to return 10% or more even if Brent crude oil is $35 a barrel. That's a massive margin for error on the downside and plenty of upside potential even for mediocre oil prices. Assuming its merger with Hess goes through, Chevron expects to be able to double its free cash flow by 2027. On the downside, Chevron said it is "built for $50 Brent," as it can cover its capital expenditures and dividend payments at that level in addition to its operating costs. Meanwhile, Occidental Petroleum expects to be able to generate an additional $1 billion in free cash flow in the first year following its acquisition, assuming $70 West Texas Intermediate (WTI) crude oil (the U.S. benchmark). Oxy also said that the acquisition increased the portion of its unconventional portfolio that can break even below $40 oil by 33%. Exxon, Chevron, and Oxy are just a few of the many upstream producers. But in general, a lot of upstream corporate plans are based around breaking even somewhere around $40 a barrel, and assuming a price of $60 to $70 to fund long-term growth. For example, ConocoPhillips (NYSE: COP) has a 10-year plan to grow FCF at a compound annual growth rate of 6% to 11% per year based on $60 WTI oil prices. But ConocoPhillips can also achieve FCF breakeven at $35 per barrel of WTI crude. Improved financial strength As much as oil and gas producers will try to build a growth plan around a certain price range, there's simply no telling what energy prices will do in the short term. Even if oil prices take a huge dip, many producers have the balance sheets needed to weather the storm. Sure, companies like Oxy are taking on a lot of debt and banking on at least decent oil prices. But in the case of Exxon, Chevron, and ConocoPhillips, these companies can still fund growth plans even if oil prices fall, and pause buybacks and pull back on spending if prices collapse. Moreover, these three companies sport excellent balance sheets, with total net long-term debt positions and debt-to-capital leverage ratios near 10-year lows. CVX Debt To Capital (Quarterly) data by YCharts In short, the balance sheets and the cost profiles of many top producers should allow these companies to thrive even if oil prices stay the same or fall to an extent. While the industry as a whole should rake in the cash if oil prices rebound to levels they were at just a few months ago (in the $80 to $90 WTI range). What about midstream and downstream? Although the integrated majors and upstream producers make up the majority of the energy sector, there's still the transportation and storage (midstream) and refining and marketing (downstream) segments to consider. Many midstream companies feature slow growth but pay high dividends thanks to the reliability that comes from long-term contracts. These contracts, many of which are take-or-pay (paid no matter what) or fee-based (locked-in prices) limit exposure to oil and gas prices. Many companies want to avoid over-expanding or building infrastructure that won't be needed as the energy transition accelerates in the years to come. Overall, the midstream industry is a good value with manageable debt and attractive dividends. Downstream leaders like Valero, Marathon Petroleum, and Phillips 66 also have inexpensive valuations. Despite excellent results, many downstream stocks have sold off over the last few months. Renewable energy is having a major impact on power generation. And electric vehicles have certainly pierced the passenger vehicle market. But refining crude oil into useful sources is an essential process that underpins modern society and the transportation industry. How to think about 2024 The Energy Select Sector SPDR Fund (NYSEMKT: XLE), which tracks the performance of the broader energy sector, has a yield of 3.6% and a price to earnings ratio of just 7.5. Granted, these earnings are based on the last 12 months, which featured higher oil prices. But still, the sector is cheap and does a good job of unlocking income and value from the integrated majors, conservative producers, the midstream industry, and the downstream industry, which also balances out the high risk and volatility that comes with more aggressive and smaller producers. The sector stands out as a haven for value and passive income, as well as strong earnings results, even if oil and gas prices stay the same or modestly decline. Should you invest $1,000 in ExxonMobil right now? Before you buy stock in ExxonMobil, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and ExxonMobil wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Daniel Foelber has no position in any of the stocks mentioned. The Motley Fool recommends Chevron, Occidental Petroleum, and Pioneer Natural Resources. 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.
Later that month, Chevron (NYSE: CVX) announced a merger with Hess for $53 billion, gaining access to the oil reserves offshore Guyana among other global plays. Meanwhile, Occidental Petroleum expects to be able to generate an additional $1 billion in free cash flow in the first year following its acquisition, assuming $70 West Texas Intermediate (WTI) crude oil (the U.S. benchmark). CVX Debt To Capital (Quarterly) data by YCharts In short, the balance sheets and the cost profiles of many top producers should allow these companies to thrive even if oil prices stay the same or fall to an extent.
Later that month, Chevron (NYSE: CVX) announced a merger with Hess for $53 billion, gaining access to the oil reserves offshore Guyana among other global plays. And earlier this month, Occidental Petroleum (NYSE: OXY) announced a $12 billion acquisition of privately held Permian producer CrownRock. Meanwhile, Occidental Petroleum expects to be able to generate an additional $1 billion in free cash flow in the first year following its acquisition, assuming $70 West Texas Intermediate (WTI) crude oil (the U.S. benchmark).
Improved financial strength As much as oil and gas producers will try to build a growth plan around a certain price range, there's simply no telling what energy prices will do in the short term. But in the case of Exxon, Chevron, and ConocoPhillips, these companies can still fund growth plans even if oil prices fall, and pause buybacks and pull back on spending if prices collapse. CVX Debt To Capital (Quarterly) data by YCharts In short, the balance sheets and the cost profiles of many top producers should allow these companies to thrive even if oil prices stay the same or fall to an extent.
However, it also said that 90% of its planned upstream capital investments over the next five years will be able to return 10% or more even if Brent crude oil is $35 a barrel. Meanwhile, Occidental Petroleum expects to be able to generate an additional $1 billion in free cash flow in the first year following its acquisition, assuming $70 West Texas Intermediate (WTI) crude oil (the U.S. benchmark). Exxon, Chevron, and Oxy are just a few of the many upstream producers.
25f7fb0a-73a7-4ba7-84b0-9f7c573ceba6
711521.0
2023-12-15 00:00:00 UTC
Door maker Masonite to acquire PGT Innovations in $3 bln deal
DCOMP
https://www.nasdaq.com/articles/door-maker-masonite-to-acquire-pgt-innovations-in-%243-bln-deal
nan
nan
Adds deal details in paragraphs 2-4, shares in paragraph 5 Dec 18 (Reuters) - Door maker Masonite International DOOR.N said on Monday it will acquire PGT Innovations PGTI.N, a manufacturer and supplier of windows and doors, for $3 billion in a bid to expand its business. PGT shareholders will receive $41 for each share they own - $33.50 in cash and $7.50 in common shares of Masonite. The offer represents a 13.6% premium to the last closing price of PGT. Masonite intends to fund the cash portion of the deal through cash on hand, borrowings under credit facilities and new debt or equity financing. Shares of Venice, Florida-based PGT Innovations were up 7.3% in premarket trading. (Reporting by Mehr Bedi in Bengaluru; Editing by Saumyadeb Chakrabarty and Arun Koyyur) ((Mehr.Bedi@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.
Adds deal details in paragraphs 2-4, shares in paragraph 5 Dec 18 (Reuters) - Door maker Masonite International DOOR.N said on Monday it will acquire PGT Innovations PGTI.N, a manufacturer and supplier of windows and doors, for $3 billion in a bid to expand its business. Shares of Venice, Florida-based PGT Innovations were up 7.3% in premarket trading. (Reporting by Mehr Bedi in Bengaluru; Editing by Saumyadeb Chakrabarty and Arun Koyyur) ((Mehr.Bedi@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.
Adds deal details in paragraphs 2-4, shares in paragraph 5 Dec 18 (Reuters) - Door maker Masonite International DOOR.N said on Monday it will acquire PGT Innovations PGTI.N, a manufacturer and supplier of windows and doors, for $3 billion in a bid to expand its business. PGT shareholders will receive $41 for each share they own - $33.50 in cash and $7.50 in common shares of Masonite. Shares of Venice, Florida-based PGT Innovations were up 7.3% in premarket trading.
Adds deal details in paragraphs 2-4, shares in paragraph 5 Dec 18 (Reuters) - Door maker Masonite International DOOR.N said on Monday it will acquire PGT Innovations PGTI.N, a manufacturer and supplier of windows and doors, for $3 billion in a bid to expand its business. PGT shareholders will receive $41 for each share they own - $33.50 in cash and $7.50 in common shares of Masonite. (Reporting by Mehr Bedi in Bengaluru; Editing by Saumyadeb Chakrabarty and Arun Koyyur) ((Mehr.Bedi@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.
Adds deal details in paragraphs 2-4, shares in paragraph 5 Dec 18 (Reuters) - Door maker Masonite International DOOR.N said on Monday it will acquire PGT Innovations PGTI.N, a manufacturer and supplier of windows and doors, for $3 billion in a bid to expand its business. PGT shareholders will receive $41 for each share they own - $33.50 in cash and $7.50 in common shares of Masonite. The offer represents a 13.6% premium to the last closing price of PGT.
fe6bbe49-01f1-47f2-bae8-73bfdbe20b51
711522.0
2023-12-15 00:00:00 UTC
2 High-Yield Dividend Stocks That Could Climb 29% and 24% in 2024, According to Wall Street.
DCOMP
https://www.nasdaq.com/articles/2-high-yield-dividend-stocks-that-could-climb-29-and-24-in-2024-according-to-wall-street.
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Investors seeking a blend of capital appreciation and passive income generation can find what they're looking for right now in the healthcare sector. Wall Street analysts who follow a real estate investment trust and one of the world's largest pharmaceutical companies think they aren't getting as much attention as they deserve. In addition to yields that are way above average, the price targets investment bank analysts pinned to these stocks suggest they can climb 29% and 24% over the next 12 months. Before you fill your portfolio with these dividend stocks, it's important to realize that investment bank analysts who set lofty price targets can simply adjust those targets downward if things don't work out later. Image source: Getty Images. Here's a closer look to see if they're a good fit for your portfolio. Medical Properties Trust Shares of Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that owns hundreds of hospitals, have fallen by about 53% this year. Wall Street analysts who follow the company think it can recover some of those losses in 2024. The consensus price target on the stock represents a 29% gain over the next 12 months. Earlier this year, Medical Properties Trust slashed its dividend nearly in half to $0.15 per share. Its stock price has fallen so far that at recent prices, it offers a huge 11.5% yield. Medical Properties Trust is a net lease REIT, which means its cash flows are highly reliable as long as the hospital operators it leases buildings to can pay their rent. Earlier this year, the company had to slash its payout after several tenants had difficulty making ends meet. This REIT offers a high enough yield at recent prices to deliver market-beating gains even if the stock price never rises. Of course, its dividend program won't help you retire any sooner if management needs to slash the payout again. In the third quarter, Medical Properties Trust recorded $0.38 per share in normalized funds from operations, a proxy for earnings used to evaluate REITs. That's more than double the amount needed to meet its dividend commitment. While third-quarter results make this REIT look like it's on solid financial footing, it's also been selling assets to boost liquidity. Folks who are already retired and need dividend payments they can rely on probably want to pass on this stock. With interest rates likely to fall significantly in 2024, though, servicing its debt load could get much easier. For investors with a moderate risk tolerance, adding some shares to a diversified portfolio could be the right move. Pfizer Shares of Pfizer (NYSE: PFE) have fared better than Medical Properties Trust, but they're still down by about 39.5% this year. Wall Street's more than a little optimistic about 2024. The average price target on the stock implies a 24% gain over the next 12 months. At recent prices, Pfizer offers a 6.1% yield. This isn't nearly as exciting as Medical Properties Trust's dividend, but it's still way above average. The average dividend-paying stock in the benchmark S&P 500 index offers a 1.5% yield. Pfizer stock recently tumbled in response to forward-looking estimates that disappointed Wall Street. The top end of management's guided revenue range for 2024 was $1.7 billion below the average Wall Street analyst's expectation. Pfizer's 2024 outlook was disappointing because sales of its COVID vaccine, Comirnaty, and its antiviral treatment, Paxlovid, are only expected to reach $8 billion next year. That is an inconceivable drop when you consider sales of these drugs reached a combined $56.7 billion in 2022. Pfizer recently completed its $43 billion acquisition of Seagen, and the timing could hardly be better. The day after completing the acquisition, the FDA approved Seagen's cancer drug Padcev to treat first-line bladder cancer patients, in combination with Keytruda. The approval makes Padcev plus Keytruda the first chemotherapy-free treatment option for roughly 82,000 Americans who receive their first bladder cancer diagnosis each year. Shares of Pfizer are trading for the relatively low price of just 14.6 times trailing earnings, which doesn't seem to account for Padcev's potential growth spurt over the next few years. That makes now look like the right time to add more shares of this high-yield dividend payer to a diversified portfolio. Should you invest $1,000 in Medical Properties Trust right now? Before you buy stock in Medical Properties Trust, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Medical Properties Trust wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Cory Renauer has positions in Medical Properties Trust. The Motley Fool has positions in and recommends Pfizer. 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.
Wall Street analysts who follow a real estate investment trust and one of the world's largest pharmaceutical companies think they aren't getting as much attention as they deserve. The approval makes Padcev plus Keytruda the first chemotherapy-free treatment option for roughly 82,000 Americans who receive their first bladder cancer diagnosis each year. Shares of Pfizer are trading for the relatively low price of just 14.6 times trailing earnings, which doesn't seem to account for Padcev's potential growth spurt over the next few years.
Wall Street analysts who follow a real estate investment trust and one of the world's largest pharmaceutical companies think they aren't getting as much attention as they deserve. Medical Properties Trust Shares of Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that owns hundreds of hospitals, have fallen by about 53% this year. Before you buy stock in Medical Properties Trust, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Medical Properties Trust wasn't one of them.
Medical Properties Trust Shares of Medical Properties Trust (NYSE: MPW), a real estate investment trust (REIT) that owns hundreds of hospitals, have fallen by about 53% this year. Before you buy stock in Medical Properties Trust, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Medical Properties Trust wasn't one of them. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Cory Renauer has positions in Medical Properties Trust.
Pfizer Shares of Pfizer (NYSE: PFE) have fared better than Medical Properties Trust, but they're still down by about 39.5% this year. This isn't nearly as exciting as Medical Properties Trust's dividend, but it's still way above average. Before you buy stock in Medical Properties Trust, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Medical Properties Trust wasn't one of them.
0c613d8c-c3b7-4fe6-9a85-45707452abc9
711523.0
2023-12-15 00:00:00 UTC
Analysts Expect XLP To Hit $79
DCOMP
https://www.nasdaq.com/articles/analysts-expect-xlp-to-hit-%2479
nan
nan
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the The Consumer Staples Select Sector SPDR Fund ETF (Symbol: XLP), we found that the implied analyst target price for the ETF based upon its underlying holdings is $79.04 per unit. With XLP trading at a recent price near $71.24 per unit, that means that analysts see 10.95% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of XLP's underlying holdings with notable upside to their analyst target prices are Walmart Inc (Symbol: WMT), Mondelez International Inc (Symbol: MDLZ), and Monster Beverage Corp (Symbol: MNST). Although WMT has traded at a recent price of $152.74/share, the average analyst target is 17.86% higher at $180.02/share. Similarly, MDLZ has 13.32% upside from the recent share price of $70.69 if the average analyst target price of $80.11/share is reached, and analysts on average are expecting MNST to reach a target price of $61.84/share, which is 12.26% above the recent price of $55.09. Below is a twelve month price history chart comparing the stock performance of WMT, MDLZ, and MNST: Combined, WMT, MDLZ, and MNST represent 15.37% of the The Consumer Staples Select Sector SPDR Fund ETF. Below is a summary table of the current analyst target prices discussed above: NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET The Consumer Staples Select Sector SPDR Fund ETF XLP $71.24 $79.04 10.95% Walmart Inc WMT $152.74 $180.02 17.86% Mondelez International Inc MDLZ $70.69 $80.11 13.32% Monster Beverage Corp MNST $55.09 $61.84 12.26% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research. 10 ETFs With Most Upside To Analyst Targets » Also see: • JILL market cap history • ZEN Insider Buying • Institutional Holders of ZF The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Below is a twelve month price history chart comparing the stock performance of WMT, MDLZ, and MNST: Combined, WMT, MDLZ, and MNST represent 15.37% of the The Consumer Staples Select Sector SPDR Fund ETF. The Consumer Staples Select Sector SPDR Fund ETF XLP $71.24 $79.04 10.95% Walmart Inc WMT $152.74 $180.02 17.86% Mondelez International Inc MDLZ $70.69 $80.11 13.32% Monster Beverage Corp MNST $55.09 $61.84 12.26% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? 10 ETFs With Most Upside To Analyst Targets » Also see: • JILL market cap history • ZEN Insider Buying • Institutional Holders of ZF The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
For the The Consumer Staples Select Sector SPDR Fund ETF (Symbol: XLP), we found that the implied analyst target price for the ETF based upon its underlying holdings is $79.04 per unit. Three of XLP's underlying holdings with notable upside to their analyst target prices are Walmart Inc (Symbol: WMT), Mondelez International Inc (Symbol: MDLZ), and Monster Beverage Corp (Symbol: MNST). The Consumer Staples Select Sector SPDR Fund ETF XLP $71.24 $79.04 10.95% Walmart Inc WMT $152.74 $180.02 17.86% Mondelez International Inc MDLZ $70.69 $80.11 13.32% Monster Beverage Corp MNST $55.09 $61.84 12.26% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. Similarly, MDLZ has 13.32% upside from the recent share price of $70.69 if the average analyst target price of $80.11/share is reached, and analysts on average are expecting MNST to reach a target price of $61.84/share, which is 12.26% above the recent price of $55.09. A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past.
For the The Consumer Staples Select Sector SPDR Fund ETF (Symbol: XLP), we found that the implied analyst target price for the ETF based upon its underlying holdings is $79.04 per unit. With XLP trading at a recent price near $71.24 per unit, that means that analysts see 10.95% upside for this ETF looking through to the average analyst targets of the underlying holdings. Although WMT has traded at a recent price of $152.74/share, the average analyst target is 17.86% higher at $180.02/share.
7397068f-b47c-41ea-8a0c-ba80759b6ee5
711524.0
2023-12-15 00:00:00 UTC
Bear Of The Day: Dorman Products (DORM)
DCOMP
https://www.nasdaq.com/articles/bear-of-the-day%3A-dorman-products-dorm-0
nan
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Dorman Products (DORM) is a Zacks Rank #5 (Strong Sell) and has seen earnings estimates slide lower recently following a rough year with 3 misses and one meet of the of the Zacks Consensus Estimate. This article will look at why this stock is a Zacks Rank #5 (Strong Sell) as it is the Bear of the Day. Description Dorman Products, Inc. is a leading supplier of Dealer Exclusive replacement parts to the Automotive, Medium and Heavy Duty Aftermarkets. Dorman products are marketed under the Dorman, OE Solutions, HELP!, AutoGrade, First Stop, Conduct-Tite, TECHoice, Dorman Hybrid Drive Batteries and Dorman HD Solutions brand names. Earnings History When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see. In the case of DORM, I see three misses of the Zacks Consensus Estimate and one meet. This alone does not make the stock a Zacks Rank #1 (Strong Buy) and it doesn’t make it a Zacks Rank #5 (Strong Sell) either. The Zacks Rank does care about the earnings history, but it is much more heavily influenced by the movement of earnings estimates. Earnings Estimates The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower. For DORM I see annual estimates moving lower of late. The current fiscal year consensus number moved lower from $5.16 to $4.38 over the last 60 days. The next year moved from a gain of $6.06 to $5.22 over the last 60 days. Negative movement in earnings estimates like that is why this stock is a Zacks Rank #5 (Strong Sell). It should be noted that a lot of stocks in the Zacks universe are seeing negative earnings estimate revisions. That means that the stocks that are seeing small but negative earnings estimate revisions are falling to a Zacks Rank #5 (Strong Sell). Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Dorman Products, Inc. (DORM) : 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.
Description Dorman Products, Inc. is a leading supplier of Dealer Exclusive replacement parts to the Automotive, Medium and Heavy Duty Aftermarkets. That means that the stocks that are seeing small but negative earnings estimate revisions are falling to a Zacks Rank #5 (Strong Sell). From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
Dorman Products (DORM) is a Zacks Rank #5 (Strong Sell) and has seen earnings estimates slide lower recently following a rough year with 3 misses and one meet of the of the Zacks Consensus Estimate. Earnings Estimates The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower. Click to get this free report Dorman Products, Inc. (DORM) : Free Stock Analysis Report To read this article on Zacks.com click here.
Dorman Products (DORM) is a Zacks Rank #5 (Strong Sell) and has seen earnings estimates slide lower recently following a rough year with 3 misses and one meet of the of the Zacks Consensus Estimate. This alone does not make the stock a Zacks Rank #1 (Strong Buy) and it doesn’t make it a Zacks Rank #5 (Strong Sell) either. Earnings Estimates The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower.
Dorman Products (DORM) is a Zacks Rank #5 (Strong Sell) and has seen earnings estimates slide lower recently following a rough year with 3 misses and one meet of the of the Zacks Consensus Estimate. Earnings History When I look at a stock, the first thing I do is look to see if the company is beating the number. Earnings Estimates The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower.
59260664-45c1-4fa8-b7af-ad029a7a3b69
711525.0
2023-12-15 00:00:00 UTC
2 Stocks I'm Going to Buy Before 2024
DCOMP
https://www.nasdaq.com/articles/2-stocks-im-going-to-buy-before-2024
nan
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We're approaching the end of 2023, and the last few months have been very good for the stock market as a whole. However, Fool.com contributors Matt Frankel, CFP®, and Tyler Crowe still see massive opportunities in certain areas of the market and share two of them in this video. *Stock prices used were the afternoon prices of Dec. 14, 2023. The video was published on Dec. 15, 2023. Should you invest $1,000 in Vanguard Specialized Funds-Vanguard Real Estate ETF right now? Before you buy stock in Vanguard Specialized Funds-Vanguard Real Estate ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Vanguard Specialized Funds-Vanguard Real Estate ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Matthew Frankel, CFP® has no position in any of the stocks mentioned. Tyler Crowe has positions in Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF. The Motley Fool has positions in and recommends Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF. The Motley Fool has a disclosure policy. Matthew Frankel is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their 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.
However, Fool.com contributors Matt Frankel, CFP®, and Tyler Crowe still see massive opportunities in certain areas of the market and share two of them in this video. Tyler Crowe has positions in Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF. The Motley Fool has positions in and recommends Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF.
Before you buy stock in Vanguard Specialized Funds-Vanguard Real Estate ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Vanguard Specialized Funds-Vanguard Real Estate ETF wasn't one of them. Tyler Crowe has positions in Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF. The Motley Fool has positions in and recommends Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF.
Before you buy stock in Vanguard Specialized Funds-Vanguard Real Estate ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Vanguard Specialized Funds-Vanguard Real Estate ETF wasn't one of them. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Matthew Frankel, CFP® has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Investors Title and Vanguard Specialized Funds-Vanguard Real Estate ETF.
However, Fool.com contributors Matt Frankel, CFP®, and Tyler Crowe still see massive opportunities in certain areas of the market and share two of them in this video. Before you buy stock in Vanguard Specialized Funds-Vanguard Real Estate ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Vanguard Specialized Funds-Vanguard Real Estate ETF wasn't one of them. Their opinions remain their own and are unaffected by The Motley Fool.
12251ef9-c918-4e43-8ad0-632c900011b1
711526.0
2023-12-15 00:00:00 UTC
Study: $56.6 Billion Was Spent on Video Games in 2022. Here Are 3 Gaming Stocks on the Rise.
DCOMP
https://www.nasdaq.com/articles/study%3A-%2456.6-billion-was-spent-on-video-games-in-2022.-here-are-3-gaming-stocks-on-the
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Playing video games has become a mainstream form of entertainment for millions of Americans. Players in the U.S. spent $56 billion on games in 2022, according to the NPD Group, and the figure is much larger when considering worldwide markets. Industry specialist Newzoo estimates that the global revenue from games will be $184 billion in 2023. The industry has been growing for the last 50 years. It's an attractive market in which to find overlooked growth stocks that might be undervalued. Its prospects even led Microsoft to spend $68 billion to keep one of the leading game companies, Activision Blizzard, all to itself. Microsoft's acquisition shows that owning shares of top game producers could be a rewarding move in the next decade. What follows are three video game stocks that would make great buys before the end of 2023. 1. Take-Two Interactive Among the top video game companies in the world, Take-Two Interactive (NASDAQ: TTWO) is one of the best to consider right now. Take-Two is home to popular franchises like Grand Theft Auto and NBA 2K, which sell millions of copies every year. The stock returned 867% over the last 10 years, and there are a few important reasons to expect more upside over the next few years. Take-Two owns 44 proprietary gaming brands, and it selectively publishes games that are licensed, including sports series like NBA 2K and PGA Tour. When you have a game like Grand Theft V that has sold 190 million copies, you don't have to take chances on unproven concepts. Take-Two has leaned into releasing sequels of its existing games, including Red Dead Redemption, that already have a large following. This aligns with management's goal to reduce risks while continuing to grow the value of the business for shareholders. Take-Two's Rockstar Games studio just released the first official trailer for Grand Theft Auto VI (GTA VI), currently scheduled for release in calendar 2025. It garnered more than 146 million views on YouTube in the first 10 days. Management is guiding for record adjusted revenue, or bookings, of nearly $8 billion in fiscal 2025, ending in March. It expects fiscal 2026 revenue to grow again. The stock has been moving higher this year but still trades at a forward price-to-sales ratio of 3.58 based on fiscal 2025 estimates. That leaves room for more upside leading up to the release of this blockbuster. Over the long term, Take-Two has other titles with the potential for growth in sales, including previous hits like L.A. Noire, Borderlands, and future installments in the Red Dead Redemption series, which is made by the same studio that created Grand Theft Auto. 2. Playtika The Israel-based mobile-game maker Playtika (NASDAQ: PLTK) is not as widely recognized as Take-Two but is an up-and-comer in the industry that investors should know about. Mobile games make up about half of the industry's annual revenue, rivaling the spending on more-established gaming platforms like consoles and PCs. Playtika checks an important box for investors with its record of solid financial results. It generated a net profit of $285 million on revenue of $2.5 billion over the last year, and it's been growing those totals at double-digit annual rates in recent years, partly through acquisitions of other game studios. Mobile games can be a high-risk endeavor for an upstart studio, but Playtika's profitable growth since its founding in 2010 demonstrates its ability to make games and acquire other studios that generate growing profits for shareholders. Most importantly, Playtika has shown the ability to monetize its free-to-play games with in-app purchases over many years, which is not easy to do in the mobile market. It released its first game, Slotomania, more than 10 years ago, and it remains the company's largest game based on revenue. The market sell-off last year sent the stock well off its highs, and it is currently trading around 72% below its initial public offering in 2021. However, the shares offer incredible value right now, trading at a forward price-to-earnings ratio of just 9.3. This seems to deeply undervalue Playtika's record of growth and future opportunities in the mobile game market. 3. Roblox The last rising star in this industry that investors should consider is Roblox (NYSE: RBLX). It's a popular platform where players can interact in 3D worlds and engage in experiences beyond games, such as virtual music concerts. Roblox experienced tremendous growth in recent years, but the stock's recent haircut could be a great buying opportunity. Over the last three years, daily active users have nearly doubled from 36 million to 70 million. The platform just launched on Sony's PlayStation console, which led to 15 million downloads in the first month. This bodes well for near-term growth in users and monetization opportunities to grow the value of the business. Revenue has almost tripled since 2020 to $2.6 billion, with bookings up 20% year over year in the third quarter. Most of the company's revenue is generated from sales of virtual currency that players use to purchase premium content. The more the user base grows, the more creators want to make content for the platform, which keeps revenue growing. The stock is trading well off its previous peak but is starting to move higher. Management said it would start to moderate its operating expenses and capital investments. This means more profitable growth that could lift the stock out of its recent slump. Should you invest $1,000 in Take-Two Interactive Software right now? Before you buy stock in Take-Two Interactive Software, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Take-Two Interactive Software wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 John Ballard has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Microsoft, Roblox, and Take-Two Interactive Software. 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.
Take-Two is home to popular franchises like Grand Theft Auto and NBA 2K, which sell millions of copies every year. Over the long term, Take-Two has other titles with the potential for growth in sales, including previous hits like L.A. Noire, Borderlands, and future installments in the Red Dead Redemption series, which is made by the same studio that created Grand Theft Auto. Most importantly, Playtika has shown the ability to monetize its free-to-play games with in-app purchases over many years, which is not easy to do in the mobile market.
Take-Two Interactive Among the top video game companies in the world, Take-Two Interactive (NASDAQ: TTWO) is one of the best to consider right now. This seems to deeply undervalue Playtika's record of growth and future opportunities in the mobile game market. Before you buy stock in Take-Two Interactive Software, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Take-Two Interactive Software wasn't one of them.
It generated a net profit of $285 million on revenue of $2.5 billion over the last year, and it's been growing those totals at double-digit annual rates in recent years, partly through acquisitions of other game studios. Mobile games can be a high-risk endeavor for an upstart studio, but Playtika's profitable growth since its founding in 2010 demonstrates its ability to make games and acquire other studios that generate growing profits for shareholders. Before you buy stock in Take-Two Interactive Software, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Take-Two Interactive Software wasn't one of them.
The stock returned 867% over the last 10 years, and there are a few important reasons to expect more upside over the next few years. It generated a net profit of $285 million on revenue of $2.5 billion over the last year, and it's been growing those totals at double-digit annual rates in recent years, partly through acquisitions of other game studios. Over the last three years, daily active users have nearly doubled from 36 million to 70 million.
dd1f98e6-e798-462d-b9f1-ee81abc47a78
711527.0
2023-12-15 00:00:00 UTC
ATN International Announces Dividend & Share Buyout Hike
DCOMP
https://www.nasdaq.com/articles/atn-international-announces-dividend-share-buyout-hike
nan
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ATN International, Inc. ATNI recently announced a 14% year-over-year hike in its quarterly dividend payout. The proposed dividend of 24 cents per share or 96 cents on an annualized basis is payable on Jan 5, 2024, to shareholders on record as of Dec 15, 2023. Based on the closing price of $36.07 on Dec 15, the proposed dividend affirms a yield of 2.7%. A steady dividend payout is part of ATN International's long-term strategy to provide attractive risk-adjusted returns to its stockholders. In addition, healthy dividend increases at periodic intervals have been one of its strengths. Management further increased its share repurchase authorization to $25 million. This portrays management’s confidence in generating strong cash flow for sustainable growth across its markets. The balanced capital allocation strategy further signifies the prudent investment decisions and healthy debt position of the company. Headquartered in Beverly, MA, ATN International offers digital infrastructure and communications services with a focus on rural and remote markets. The company is progressing steadily with its “Glass-and-Steel” network expansion strategy and is gradually moving away from the legacy wireless wholesale business. The company is in the final stages of this three-year expansion plan that started in 2022. This aims to develop a highly resilient customer base and a steady revenue stream on the back of relatively short-term increases in capital expenditures. In order to accomplish this goal, the company is investing in an elevated class of connectivity to expand its market position, which bodes well for the consistency and durability of future cash flows. The acquisition of Sacred Wind Enterprises by Commnet Broadband, which is a wholly owned subsidiary of ATN International, is likely to extend its geographic footprint with a complementary portfolio. It is aiming to focus more on the rural markets to augment its leading position with support from government stimulus programs for broadband deployment in under-served areas. Zacks Rank and Key Picks ATN International currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Arista Networks, Inc. ANET, carrying a Zacks Rank #2 (Buy), is likely to benefit from strong momentum and diversification across its top verticals and product lines. The company has a software-driven, data-centric approach to help customers build their cloud architecture and enhance their cloud experience. Arista has a long-term earnings growth expectation of 20.4% and delivered an earnings surprise of 12%, on average, in the trailing four quarters. It holds a leadership position in 100-gigabit Ethernet switching share in port for the high-speed datacenter segment. Arista is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in data-driven cloud networking business with proactive platforms and predictive operations. United States Cellular Corporation USM, sporting a Zacks Rank #1, is the fourth largest full-service wireless carrier in the United States. The company provides a range of wireless products and services, and a high-quality network to increase the competitiveness of local businesses and improve efficiency of government operations. U.S. Cellular has taken concrete steps to accelerate subscriber additions and improve churn management. The company aims to offer the best wireless experience to customers by providing superior quality network and national coverage. It is well-positioned to support the investment required for network enhancements, including the deployment of 5G technology. The company is well-positioned for continued demand for broadband. Aviat Networks, Inc. AVNW, presently carrying a Zacks Rank #2, is a solid pick. Headquartered in Austin, TX, Aviat has been a global provider of microwave networking solutions. It offers public and private operators communications networks to cater to the accretive demand for IP-centric, multi-gigabit data services. Backed by avant-garde technology, Aviat simplifies the entire lifecycle of designing, deploying and maintaining wireless transport networks with greater performance and reliability. The company is well-positioned to benefit from robust market dynamics, cost-reduction efforts, favorable customer mix and higher investments in innovative software solutions. A solid liquidity position and healthy balance sheet are likely to aid the company in executing key long-term strategic objectives. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 United States Cellular Corporation (USM) : Free Stock Analysis Report Aviat Networks, Inc. (AVNW) : Free Stock Analysis Report ATN International, Inc. (ATNI) : Free Stock Analysis Report Arista Networks, Inc. (ANET) : 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.
In order to accomplish this goal, the company is investing in an elevated class of connectivity to expand its market position, which bodes well for the consistency and durability of future cash flows. The acquisition of Sacred Wind Enterprises by Commnet Broadband, which is a wholly owned subsidiary of ATN International, is likely to extend its geographic footprint with a complementary portfolio. Arista is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in data-driven cloud networking business with proactive platforms and predictive operations.
Zacks Rank and Key Picks ATN International currently has a Zacks Rank #3 (Hold). Arista Networks, Inc. ANET, carrying a Zacks Rank #2 (Buy), is likely to benefit from strong momentum and diversification across its top verticals and product lines. Click to get this free report United States Cellular Corporation (USM) : Free Stock Analysis Report Aviat Networks, Inc. (AVNW) : Free Stock Analysis Report ATN International, Inc. (ATNI) : Free Stock Analysis Report Arista Networks, Inc. (ANET) : Free Stock Analysis Report To read this article on Zacks.com click here.
Zacks Rank and Key Picks ATN International currently has a Zacks Rank #3 (Hold). Arista is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in data-driven cloud networking business with proactive platforms and predictive operations. Click to get this free report United States Cellular Corporation (USM) : Free Stock Analysis Report Aviat Networks, Inc. (AVNW) : Free Stock Analysis Report ATN International, Inc. (ATNI) : Free Stock Analysis Report Arista Networks, Inc. (ANET) : Free Stock Analysis Report To read this article on Zacks.com click here.
Zacks Rank and Key Picks ATN International currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The company is well-positioned for continued demand for broadband.
04c2bb11-fc19-475c-a61f-492ae0deb8ee
711528.0
2023-12-15 00:00:00 UTC
Analysts Expect 10% Gains Ahead For HDV
DCOMP
https://www.nasdaq.com/articles/analysts-expect-10-gains-ahead-for-hdv
nan
nan
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the iShares Core High Dividend ETF (Symbol: HDV), we found that the implied analyst target price for the ETF based upon its underlying holdings is $112.21 per unit. With HDV trading at a recent price near $102.38 per unit, that means that analysts see 9.60% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of HDV's underlying holdings with notable upside to their analyst target prices are Essential Utilities Inc (Symbol: WTRG), Kinder Morgan Inc. (Symbol: KMI), and General Mills Inc (Symbol: GIS). Although WTRG has traded at a recent price of $36.09/share, the average analyst target is 34.11% higher at $48.40/share. Similarly, KMI has 16.80% upside from the recent share price of $17.49 if the average analyst target price of $20.43/share is reached, and analysts on average are expecting GIS to reach a target price of $72.47/share, which is 11.12% above the recent price of $65.22. Below is a twelve month price history chart comparing the stock performance of WTRG, KMI, and GIS: Below is a summary table of the current analyst target prices discussed above: NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET iShares Core High Dividend ETF HDV $102.38 $112.21 9.60% Essential Utilities Inc WTRG $36.09 $48.40 34.11% Kinder Morgan Inc. KMI $17.49 $20.43 16.80% General Mills Inc GIS $65.22 $72.47 11.12% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research. 10 ETFs With Most Upside To Analyst Targets » Also see: • Funds Holding SHLT • News 13F Filers • HMHC YTD Return The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
iShares Core High Dividend ETF HDV $102.38 $112.21 9.60% Essential Utilities Inc WTRG $36.09 $48.40 34.11% Kinder Morgan Inc. KMI $17.49 $20.43 16.80% General Mills Inc GIS $65.22 $72.47 11.12% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? 10 ETFs With Most Upside To Analyst Targets » Also see: • Funds Holding SHLT • News 13F Filers • HMHC YTD Return The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Three of HDV's underlying holdings with notable upside to their analyst target prices are Essential Utilities Inc (Symbol: WTRG), Kinder Morgan Inc. (Symbol: KMI), and General Mills Inc (Symbol: GIS). Similarly, KMI has 16.80% upside from the recent share price of $17.49 if the average analyst target price of $20.43/share is reached, and analysts on average are expecting GIS to reach a target price of $72.47/share, which is 11.12% above the recent price of $65.22. iShares Core High Dividend ETF HDV $102.38 $112.21 9.60% Essential Utilities Inc WTRG $36.09 $48.40 34.11% Kinder Morgan Inc. KMI $17.49 $20.43 16.80% General Mills Inc GIS $65.22 $72.47 11.12% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. Similarly, KMI has 16.80% upside from the recent share price of $17.49 if the average analyst target price of $20.43/share is reached, and analysts on average are expecting GIS to reach a target price of $72.47/share, which is 11.12% above the recent price of $65.22. A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past.
Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. With HDV trading at a recent price near $102.38 per unit, that means that analysts see 9.60% upside for this ETF looking through to the average analyst targets of the underlying holdings. iShares Core High Dividend ETF HDV $102.38 $112.21 9.60% Essential Utilities Inc WTRG $36.09 $48.40 34.11% Kinder Morgan Inc. KMI $17.49 $20.43 16.80% General Mills Inc GIS $65.22 $72.47 11.12% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
df96fba2-2c10-4456-a418-550b628f9c0b
711529.0
2023-12-15 00:00:00 UTC
3 Stocks You Can Confidently Buy After a Market Downturn
DCOMP
https://www.nasdaq.com/articles/3-stocks-you-can-confidently-buy-after-a-market-downturn-9
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Macroeconomic headwinds in 2022 caused a stock market sell-off that affected countless industries. The Nasdaq Composite index tumbled 33% throughout the year. Tech stocks were some of the hardest hit, as reductions in consumer spending meant multiple quarters of dismal earnings. However, excitement over high-growth industries like artificial intelligence (AI) has triggered a recovery in 2023 and illustrated why a market downturn could be the best time to make a long-term investment in tech stocks. The Nasdaq Composite has surged 41% year to date, rewarding those who either held or bought at the bottom. As a result, it's not a bad idea to get familiar with some of the best companies to invest in during a sell-off and be prepared to strike when the time is right. Here are three stocks you can confidently buy after a market downturn. 1. Nvidia According to research firm Gartner, PC shipments fell 16% year over year in 2022. Spikes in inflation led to reductions in consumer spending on tech, with chipmakers hit hard. As a result, shares in Nvidia (NASDAQ: NVDA) plunged 50% in the 12 months leading to 2023. However, the company came back better than ever this year, with its stock up 231% since Jan. 1 as its earnings hit new heights. The company profited from a boom in AI, which sent chip demand soaring. Nvidia's graphics processing units (GPUs) have become the preferred hardware for AI developers everywhere, with the company's revenue climbing 206% year over year in its most recent quarter (third quarter of fiscal 2024). Data by YCharts As a leading chipmaker, Nvidia supplies its GPUs to markets across tech. The company is an excellent option in a market downturn, as its stock will likely soar over the long term. Additionally, the chart shows Nvidia's price-to-earnings ratio (P/E) and price-to-free cash flow ratio have both plunged since July, meaning its shares are currently trading at their cheapest position in months. 2. Apple As the world's most valuable company, with a market cap above $3 trillion, Apple's (NASDAQ: AAPL) stock rarely goes on sale. In fact, the table shows the iPhone maker outperformed many of the biggest names in tech throughout 2022. Apple's performance amid economic challenges proved its resilience, as it became a haven for many investors. Data by YCharts In 2023, Apple has once again showcased its consistency. Macro headwinds have caught up with the company, as pullback from consumers led to repeated declines in product sales and a 3% year-over-year dip in revenue for fiscal 2023. Yet loyal investors continued to believe in its long-term growth, with Apple's stock up 52% year to date. The company's nearly $100 billion in free cash flow, popular range of products and services, and considerable brand loyalty from consumers make it challenging to question Apple's ability to flourish over the next five to 10 years. Apple remains the biggest name in consumer tech and the home of a digital services business that posted revenue growth of 9% this year. Services are another reason you can confidently invest in the tech giant, with the App Store and platforms like Apple TV+ hitting profit margins of more than 70%. Moreover, Apple's stock has risen 377% over the last five years. Even if the company delivers half that growth over the next five years, it will still more than double the stock growth of competitors Amazon or Alphabet since 2018. As a result, a market downturn could be the perfect time to invest in this tech company and buy its stock at a bargain. 3. Microsoft Like Apple, Microsoft's (NASDAQ: MSFT) stock often trades at a premium. However, years of consistency and stellar gains make it worth its high price tag, especially in a sell-off. The company has become a tech behemoth, with brands such as Windows, Office, Azure, and Xbox granting it lucrative positions in multiple industries. Shares in Microsoft gained 55% this year after tumbling amid last year's market downturn. The tech giant has rallied Wall Street by heavily investing in AI. A close partnership with ChatGPT developer OpenAI allowed Microsoft to introduce AI upgrades across its product lineup as it seeks to become the go-to for consumers and businesses everywhere seeking ways to integrate AI into their daily workflows. Microsoft has significant potential in AI, with the market projected to develop at a compound annual growth rate of 37% until at least 2030. As a result, leading positions in productivity software and cloud computing could see Microsoft profit significantly from the sector as it expands its AI offerings. Data by YCharts This chart shows Microsoft's forward P/E and price-to-free cash flow are high at 33 and 44, indicating its stock isn't exactly a bargain. However, both figures are significantly lower than those of other companies active in AI. Microsoft is a company you can confidently invest in at almost any time, but especially during a market downturn. Should you invest $1,000 in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. 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. Dani Cook has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Amazon, Apple, Meta Platforms, Microsoft, and Nvidia. The Motley Fool recommends Gartner. 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.
However, excitement over high-growth industries like artificial intelligence (AI) has triggered a recovery in 2023 and illustrated why a market downturn could be the best time to make a long-term investment in tech stocks. Macro headwinds have caught up with the company, as pullback from consumers led to repeated declines in product sales and a 3% year-over-year dip in revenue for fiscal 2023. The company's nearly $100 billion in free cash flow, popular range of products and services, and considerable brand loyalty from consumers make it challenging to question Apple's ability to flourish over the next five to 10 years.
Additionally, the chart shows Nvidia's price-to-earnings ratio (P/E) and price-to-free cash flow ratio have both plunged since July, meaning its shares are currently trading at their cheapest position in months. Shares in Microsoft gained 55% this year after tumbling amid last year's market downturn. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Amazon, Apple, Meta Platforms, Microsoft, and Nvidia.
Apple As the world's most valuable company, with a market cap above $3 trillion, Apple's (NASDAQ: AAPL) stock rarely goes on sale. As a result, a market downturn could be the perfect time to invest in this tech company and buy its stock at a bargain. Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them.
Apple remains the biggest name in consumer tech and the home of a digital services business that posted revenue growth of 9% this year. Shares in Microsoft gained 55% this year after tumbling amid last year's market downturn. Should you invest $1,000 in Nvidia right now?
1e0b0483-5692-4060-9dab-717f7d0fa287
711530.0
2023-12-15 00:00:00 UTC
Bad News. Amazon Satellite Internet Could Be Nearly 3 Years Away
DCOMP
https://www.nasdaq.com/articles/bad-news.-amazon-satellite-internet-could-be-nearly-3-years-away
nan
nan
On Dec. 1, 2023, Amazon.com (NASDAQ: AMZN) made a surprising announcement. After refusing to patronize SpaceX rockets for more than a year -- awarding multibillion-dollar satellite launch contracts to essentially every space company in the market but SpaceX -- Amazon reversed course two weeks ago and awarded SpaceX three (of more than 90) contracts to launch Amazon Project Kuiper internet satellites atop SpaceX Falcon 9 rockets. And that wasn't even the most surprising revelation from Amazon's press release. After launching two test satellites for the Project Kuiper satellite internet system earlier this year, Amazon now says it is "preparing to start satellite manufacturing ahead of a full-scale deployment beginning in the first half of 2024." Furthermore, "we expect to have enough satellites deployed to begin early customer pilots in the second half of 2024." A lesson from space history Why was this surprising? Well, consider the example of SpaceX and its satellite internet constellation, Starlink. Like Amazon's Project Kuiper, Starlink started with the launch of a pair of test satellites (dubbed Microsat 2a and Microsat 2b) in February 2018. SpaceX then spent the next 15 months testing these satellites in orbit -- testing their communication with ground stations and with each other, testing their upload and download speeds -- before deciding that all systems were "go," and it was time to begin mass production. Its first launch of a full payload of operational Starlink satellites entered Earth's orbit in May 2019. SpaceX then continued launching satellites until, by October 2020, it had nearly 1,000 satellites in orbit. Only then did SpaceX decide it had reached critical mass and invite customers to sign up for a beta service with Starlink. Add it all up: SpaceX needed 32 months to go from test satellites to beta service. SpaceX. A company with a reputation for moving fast and breaking things, whose unofficial middle name is "Rapid Unplanned Disassembly." Amazon thinks differently Logically, you'd probably expect it to take at least that long -- three or so years -- for Amazon.com, which was founded by Jeff Bezos, whose own space company, Blue Origin, has adopted the motto: "Gradatim Ferociter," or "step-by-step, ferociously." But logic may not apply here. Recall that Amazon launched its first test satellites for Project Kuiper in October 2023. Yet, now, Amazon says it will begin mass launching satellites within the next six months and begin "early customer pilots" -- beta testing -- in fewer than 12 months. (So, not 32 months but rather just 14 months total from testing to beta.) That's an awfully fast timeline Amazon is marking out. And yet, if Amazon is to be believed, it seems customers (and shareholders) can expect it to go from test satellites to generating beta service revenue in less than half the time it took SpaceX to do the same. That's either an incredibly optimistic timeline or means Amazon has spent the last two months testing its first pair of satellites and already concluded that everything is working so perfectly that it feels confident moving up its rollout. Amazon seeks billions in internet profit Confident or desperate or greedy -- or possibly some combination of all three. It's worth pointing out that Amazon has good reason to rush its rollout. When it first received its license to build Project Kuiper, the Federal Communications Commission (FCC) conditioned its approval on Amazon's commitment to have half the constellation's 3,236 satellites in orbit by July 2026 -- so Amazon's working on a deadline here. It's also worth pointing out that -- even for a company with a $1.5 trillion market cap, nearly $515 billion in revenue last year, and more than $12 billion in operating earnings -- Amazon has a big economic incentive to get Project Kuiper up and running. Again, from a standing start, SpaceX has built Starlink into a $3-billion-a-year business in just over five years. It's also doubling its Starlink revenues annually and targeting a 60% operating profit margin on those revenues. The math on this isn't hard. $3 billion x 2 x 0.6 = Starlink potentially generating as much as $3.6 billion in operating profit in 2024, an amount equal to 30% of Amazon's own operating profit last year (according to data from S&P Global Market Intelligence). If Amazon can even come close to duplicating SpaceX's work with Starlink, satellite internet could become a major profit driver for Amazon.com in future years. Whether it takes Amazon three years, or 32 months, or only 14 months to do this -- the race has officially begun. 10 stocks we like better than Walmart When our analyst team has an investing 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 Walmart 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 12/11/2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon. 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.
Amazon thinks differently Logically, you'd probably expect it to take at least that long -- three or so years -- for Amazon.com, which was founded by Jeff Bezos, whose own space company, Blue Origin, has adopted the motto: "Gradatim Ferociter," or "step-by-step, ferociously." And yet, if Amazon is to be believed, it seems customers (and shareholders) can expect it to go from test satellites to generating beta service revenue in less than half the time it took SpaceX to do the same. That's either an incredibly optimistic timeline or means Amazon has spent the last two months testing its first pair of satellites and already concluded that everything is working so perfectly that it feels confident moving up its rollout.
After refusing to patronize SpaceX rockets for more than a year -- awarding multibillion-dollar satellite launch contracts to essentially every space company in the market but SpaceX -- Amazon reversed course two weeks ago and awarded SpaceX three (of more than 90) contracts to launch Amazon Project Kuiper internet satellites atop SpaceX Falcon 9 rockets. After launching two test satellites for the Project Kuiper satellite internet system earlier this year, Amazon now says it is "preparing to start satellite manufacturing ahead of a full-scale deployment beginning in the first half of 2024." Like Amazon's Project Kuiper, Starlink started with the launch of a pair of test satellites (dubbed Microsat 2a and Microsat 2b) in February 2018.
After refusing to patronize SpaceX rockets for more than a year -- awarding multibillion-dollar satellite launch contracts to essentially every space company in the market but SpaceX -- Amazon reversed course two weeks ago and awarded SpaceX three (of more than 90) contracts to launch Amazon Project Kuiper internet satellites atop SpaceX Falcon 9 rockets. After launching two test satellites for the Project Kuiper satellite internet system earlier this year, Amazon now says it is "preparing to start satellite manufacturing ahead of a full-scale deployment beginning in the first half of 2024." Yet, now, Amazon says it will begin mass launching satellites within the next six months and begin "early customer pilots" -- beta testing -- in fewer than 12 months.
After launching two test satellites for the Project Kuiper satellite internet system earlier this year, Amazon now says it is "preparing to start satellite manufacturing ahead of a full-scale deployment beginning in the first half of 2024." Well, consider the example of SpaceX and its satellite internet constellation, Starlink. Yet, now, Amazon says it will begin mass launching satellites within the next six months and begin "early customer pilots" -- beta testing -- in fewer than 12 months.
28cbe068-ca9f-4696-a424-25313f42cac9
711531.0
2023-12-15 00:00:00 UTC
EU opens proceedings against X in first probe under new rules
DCOMP
https://www.nasdaq.com/articles/eu-opens-proceedings-against-x-in-first-probe-under-new-rules
nan
nan
By Supantha Mukherjee PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday said it would launch an investigation of social media company X, formerly known as Twitter, over a suspected breach of obligations in its first such probe under the Digital Services Act (DSA). The DSA, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. The proceedings will focus on countering the dissemination of illegal content in the EU, and the effectiveness of measures taken to combat information manipulation, notably of the "community notes" system, the Commission said. It will also focus on the measures taken by X to increase the transparency of its platform and a suspected deceptive design of the user interface such as checkmarks linked to subscription products, the so-called Blue checks. The Commission said it will now carry out an in-depth investigation as a matter of priority and continue to gather evidence by sending additional requests for information, conducting interviews and inspections. X, owned by Elon Musk, is part of a group of large tech companies facing increased scrutiny under the DSA. Following Hamas' attacks on Israel on Oct. 7, EU industry chief Thierry Breton sent letters to X, Meta META.O, TikTok and Alphabet GOOGL.O reminding them of their obligations under the DSA to tackle harmful and illegal content. The platforms responded promptly to Breton, highlighting steps they have taken to stop disinformation on their platforms but Musk challenged Breton over the disinformation charge. Only X received a formal request for information under the DSA and has responded to the request. The Commission said a preliminary investigation conducted so far included an analysis of a report submitted by X in September, X's transparency report published in November, and X's replies to a formal request for information about illegal content in connection to Hamas' attacks against Israel. X did not immediately respond to Reuters requests for comment. The DSA imposes new rules on content moderation, user privacy and transparency. Any firm found in breach faces a fine worth up to 6% of its global turnover. (Reporting by Tassilo Hummel in Paris and Supantha Mukherjee in Stockholm; Editing by Hugh Lawson) ((tassilo.hummel@thomsonreuters.com ; Twitter handle: @tassilo_hummel;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By Supantha Mukherjee PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday said it would launch an investigation of social media company X, formerly known as Twitter, over a suspected breach of obligations in its first such probe under the Digital Services Act (DSA). The DSA, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. Following Hamas' attacks on Israel on Oct. 7, EU industry chief Thierry Breton sent letters to X, Meta META.O, TikTok and Alphabet GOOGL.O reminding them of their obligations under the DSA to tackle harmful and illegal content.
The DSA, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. X, owned by Elon Musk, is part of a group of large tech companies facing increased scrutiny under the DSA. The Commission said a preliminary investigation conducted so far included an analysis of a report submitted by X in September, X's transparency report published in November, and X's replies to a formal request for information about illegal content in connection to Hamas' attacks against Israel.
By Supantha Mukherjee PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday said it would launch an investigation of social media company X, formerly known as Twitter, over a suspected breach of obligations in its first such probe under the Digital Services Act (DSA). The DSA, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. The Commission said a preliminary investigation conducted so far included an analysis of a report submitted by X in September, X's transparency report published in November, and X's replies to a formal request for information about illegal content in connection to Hamas' attacks against Israel.
By Supantha Mukherjee PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday said it would launch an investigation of social media company X, formerly known as Twitter, over a suspected breach of obligations in its first such probe under the Digital Services Act (DSA). Only X received a formal request for information under the DSA and has responded to the request. The Commission said a preliminary investigation conducted so far included an analysis of a report submitted by X in September, X's transparency report published in November, and X's replies to a formal request for information about illegal content in connection to Hamas' attacks against Israel.
fa5b3209-8cc5-4e5c-9b7f-c6d91270367b
711532.0
2023-12-15 00:00:00 UTC
HEDGE FLOW-Hedge funds' bearish bets get crushed in post-Fed meeting rally
DCOMP
https://www.nasdaq.com/articles/hedge-flow-hedge-funds-bearish-bets-get-crushed-in-post-fed-meeting-rally
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By Carolina Mandl and Summer Zhen NEW YORK/HONG KONG, Dec 15 (Reuters) - Global equities long/short hedge funds' bets against U.S. stocks got squeezed in the last two days after U.S. bond yields slid, two investment banks said in notes that were sent to hedge fund clients and obtained by Reuters. Both Goldman Sachs GS.N and Jefferies JEF.N said long/short hedge funds, which take positions betting stocks will rise and fall, got hit hard after Fed Chair Jerome Powell on Wednesday indicated that the U.S. central bank's historic tightening of monetary policy was likely over. That remark, made in a press conference after the end of a two-day Fed policy meeting, sparked a rally in stocks, with the S&P 500 index .SPX up 1.6% over the past two days. On Friday, the index was largely muted. The yield on U.S. 10-year Treasury notes was little changed at 3.8998% on Friday, after sinking to its lowest level since July on the Fed's dovish pivot. Jefferies' JEF.N trading desk said that long/short hedge funds on Wednesday and Thursday had their "second-worst two-day move ever," as long positions outperformed short bets. The investment bank analyzed a metric called the long/short spread that shows the performance of long versus short trades. Goldman Sachs GS.N said systematic equities long/short hedge funds on Thursday had their worst day in roughly eight years. "Negative performance (was) driven by (a) squeeze in crowded shorts, momentum sell-off and rally in high beta and high volatility stocks," Marco Laicini, a managing director at Goldman, said in the note. The investment bank's global markets team said systematic long/short funds, based on a computer-driven strategy, were down 2.8% on Thursday, the worst single day since at least January 2016. The Goldman note pointed to "crowded trades (mainly shorts), momentum and volatility among key negative drivers," adding that there was high volatility. Still, systematic funds are up roughly 13% on a year-to-date basis. Goldman and Jefferies did not immediately comment on their notes, details of which have not previously been published. Jefferies told its clients that the pain was not limited to long/short hedge funds, with "lots of frustrations and pain on the sidelines from systematic, macro, fundamental long/short managers alike." (Reporting by Carolina Mandl in New York, and Summer Nell, in Hong Kong; Editing by Megan Davies and Paul Simao) ((carolina.mandl@thomsonreuters.com; +1 (917) 891-4931;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Both Goldman Sachs GS.N and Jefferies JEF.N said long/short hedge funds, which take positions betting stocks will rise and fall, got hit hard after Fed Chair Jerome Powell on Wednesday indicated that the U.S. central bank's historic tightening of monetary policy was likely over. Jefferies' JEF.N trading desk said that long/short hedge funds on Wednesday and Thursday had their "second-worst two-day move ever," as long positions outperformed short bets. The investment bank's global markets team said systematic long/short funds, based on a computer-driven strategy, were down 2.8% on Thursday, the worst single day since at least January 2016.
By Carolina Mandl and Summer Zhen NEW YORK/HONG KONG, Dec 15 (Reuters) - Global equities long/short hedge funds' bets against U.S. stocks got squeezed in the last two days after U.S. bond yields slid, two investment banks said in notes that were sent to hedge fund clients and obtained by Reuters. Goldman Sachs GS.N said systematic equities long/short hedge funds on Thursday had their worst day in roughly eight years. "Negative performance (was) driven by (a) squeeze in crowded shorts, momentum sell-off and rally in high beta and high volatility stocks," Marco Laicini, a managing director at Goldman, said in the note.
By Carolina Mandl and Summer Zhen NEW YORK/HONG KONG, Dec 15 (Reuters) - Global equities long/short hedge funds' bets against U.S. stocks got squeezed in the last two days after U.S. bond yields slid, two investment banks said in notes that were sent to hedge fund clients and obtained by Reuters. Both Goldman Sachs GS.N and Jefferies JEF.N said long/short hedge funds, which take positions betting stocks will rise and fall, got hit hard after Fed Chair Jerome Powell on Wednesday indicated that the U.S. central bank's historic tightening of monetary policy was likely over. "Negative performance (was) driven by (a) squeeze in crowded shorts, momentum sell-off and rally in high beta and high volatility stocks," Marco Laicini, a managing director at Goldman, said in the note.
By Carolina Mandl and Summer Zhen NEW YORK/HONG KONG, Dec 15 (Reuters) - Global equities long/short hedge funds' bets against U.S. stocks got squeezed in the last two days after U.S. bond yields slid, two investment banks said in notes that were sent to hedge fund clients and obtained by Reuters. On Friday, the index was largely muted. Goldman Sachs GS.N said systematic equities long/short hedge funds on Thursday had their worst day in roughly eight years.
cef78beb-01c8-4d8d-bf0e-9f97eec59d0a
711533.0
2023-12-15 00:00:00 UTC
Denison Mines Appoints Elizabeth Sidle As Chief Financial Officer
DCOMP
https://www.nasdaq.com/articles/denison-mines-appoints-elizabeth-sidle-as-chief-financial-officer
nan
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(RTTNews) - Denison Mines Corp. (DML.TO), a uranium miner, said on Monday that it has appointed Elizabeth Sidle to the role of Chief Financial Officer, in addition to her current position as Vice President, Finance. Sidle has been serving as Denison's interim CFO since September 1, during the temporary medical leave of absence of the company's previous CFO, Mac McDonald, and since his departure in late October. Sidle joined Denison in 2016, advancing to the position of Vice President of Finance in 2021. Prior to joining Denison, she held various roles at Ernst & Young LLP. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
(RTTNews) - Denison Mines Corp. (DML.TO), a uranium miner, said on Monday that it has appointed Elizabeth Sidle to the role of Chief Financial Officer, in addition to her current position as Vice President, Finance. Sidle joined Denison in 2016, advancing to the position of Vice President of Finance in 2021. Prior to joining Denison, she held various roles at Ernst & Young LLP.
(RTTNews) - Denison Mines Corp. (DML.TO), a uranium miner, said on Monday that it has appointed Elizabeth Sidle to the role of Chief Financial Officer, in addition to her current position as Vice President, Finance. Sidle joined Denison in 2016, advancing to the position of Vice President of Finance in 2021. Prior to joining Denison, she held various roles at Ernst & Young LLP.
(RTTNews) - Denison Mines Corp. (DML.TO), a uranium miner, said on Monday that it has appointed Elizabeth Sidle to the role of Chief Financial Officer, in addition to her current position as Vice President, Finance. Sidle has been serving as Denison's interim CFO since September 1, during the temporary medical leave of absence of the company's previous CFO, Mac McDonald, and since his departure in late October. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
(RTTNews) - Denison Mines Corp. (DML.TO), a uranium miner, said on Monday that it has appointed Elizabeth Sidle to the role of Chief Financial Officer, in addition to her current position as Vice President, Finance. Sidle has been serving as Denison's interim CFO since September 1, during the temporary medical leave of absence of the company's previous CFO, Mac McDonald, and since his departure in late October. Sidle joined Denison in 2016, advancing to the position of Vice President of Finance in 2021.
d6f9cba6-81d8-404c-999f-c2229467bbba
711534.0
2023-12-15 00:00:00 UTC
Bull Of The Day: QuickLogic (QUIK)
DCOMP
https://www.nasdaq.com/articles/bull-of-the-day%3A-quicklogic-quik
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QuickLogic (QUIK) is a Zacks Rank #2 (Buy) that has an F for Value and an A for Growth. This is a semiconductor company that makes and sells ultra low power chips. These are ideal for the smartphone and wearable market. Let’s explore more about this company in this Bull of The Day article. Description QuickLogic Corporation is a semiconductor provider of ultra-low power, comprehensive, flexible sensor processing solutions enabling significantly longer battery life for the Smartphone, Wearable, and IoT markets. They are the only company integrating multi-core processing, programmable logic, sensor fusion and context aware algorithms, and embedded software. QuickLogic accelerates the pace of innovation for always-on motion, light, environmental, location, and voice-enabled user experiences. Earnings History When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see. For QuickLogic, I see two straight beats of the Zacks Consensus Estimate. The company did report two earnings misses over the last year as well. Earnings Estimates Revisions Earnings estimates revisions is what the Zacks Rank is all about. For QUIK estimates are moving higher. This quarter has QUIK expected to earn $0.14, up from $0.07 cent 30 days ago. Next quarter is the first quarter of 2024 and there is no estimate. The full year 2023 has seen estimates move from $0.05 to $0.11 over the last 30 days. Next fiscal year has seen a move higher from $0.32 to $0.36 over the same period. Accelerating Growth This year the company is looking for 30% topline growth and that is great but even better than that is the 2024 is calling for 31% topline growth. Accelerating growth on top is a great signal. Valuation I see a forward PE for QUIK at 116x, but that number drops to 38x when you extend it to the end of 2024. The price to book multiple of 12.6x is a little high, but chips names tend to trade at elevated levels. The company is expected to grow at a 30% rate, but the most recent quarter saw sales growth of 92% on a year over year basis and it that keeps up the growth rates will move dramatically higher. Price to sales comes in at 10x. I see operating margins making some big moves higher. Solid revenue growth and better execution (margins) will lead to higher EPS estimates down the road. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 QuickLogic Corporation (QUIK) : 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.
Description QuickLogic Corporation is a semiconductor provider of ultra-low power, comprehensive, flexible sensor processing solutions enabling significantly longer battery life for the Smartphone, Wearable, and IoT markets. They are the only company integrating multi-core processing, programmable logic, sensor fusion and context aware algorithms, and embedded software. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
Earnings Estimates Revisions Earnings estimates revisions is what the Zacks Rank is all about. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? Click to get this free report QuickLogic Corporation (QUIK) : Free Stock Analysis Report To read this article on Zacks.com click here.
Earnings Estimates Revisions Earnings estimates revisions is what the Zacks Rank is all about. Accelerating Growth This year the company is looking for 30% topline growth and that is great but even better than that is the 2024 is calling for 31% topline growth. The company is expected to grow at a 30% rate, but the most recent quarter saw sales growth of 92% on a year over year basis and it that keeps up the growth rates will move dramatically higher.
QuickLogic (QUIK) is a Zacks Rank #2 (Buy) that has an F for Value and an A for Growth. The company did report two earnings misses over the last year as well. The company is expected to grow at a 30% rate, but the most recent quarter saw sales growth of 92% on a year over year basis and it that keeps up the growth rates will move dramatically higher.
1ef94705-de0a-4956-9c67-93c4f80a092b
711535.0
2023-12-15 00:00:00 UTC
Eastman Chemical (EMN) Shares Up 13% in 3 Months: Here's Why
DCOMP
https://www.nasdaq.com/articles/eastman-chemical-emn-shares-up-13-in-3-months%3A-heres-why
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Eastman Chemical Company’s EMN shares have gained 12.8% over the past three months. The company has also outperformed its industry’s decline of 4.2% over the same time frame. Moreover, it has topped the S&P 500’s 6.1% rise over the same period. Let’s take a look into the factors behind this Zacks Rank #3 (Hold) stock’s price appreciation. Image Source: Zacks Investment Research What’s Favoring EMN? Eastman is benefiting from its actions to manage costs. The company is expected to gain from lower operating costs from its operational transformation program. EMN was able to offset $1.3 billion in inflation from higher raw material, energy and distribution costs through price increases in 2022. It is on track to reduce manufacturing, supply chain and non-manufacturing costs by more than $200 million for 2023, net of inflation. Pricing initiatives and lower raw material and energy costs are also expected to support the company’s bottom line. Moreover, Eastman's goal is to increase new business revenues by utilizing its innovation-driven growth strategy. Due to the company's competence in specialty products, it generated around $550 million in new business revenues from innovation in 2022. Sales volumes are expected to be supported by the innovation and market development initiatives. Eastman Chemical also remains focused on maintaining a disciplined approach to capital allocation. Its operating cash flow more than doubled year over year to $514 million in the third quarter of 2023. The company returned $94 million to shareholders in the third quarter through dividends and share repurchases. Furthermore, it expects to deliver $1.4 billion in operating cash flow in 2023. The company remains committed to continuing its long history of returning cash to stockholders. EMN recently raised its dividend for the 14th straight year. Its board increased the quarterly cash dividend on its common stock from 79 cents to 81 cents per share. The move reflects the board's confidence in the company's ability to deliver solid earnings and maintain its track record of strong cash flow generation. Eastman Chemical Company Price and Consensus Eastman Chemical Company price-consensus-chart | Eastman Chemical Company Quote Stocks to Consider Better-ranked stocks worth a look in the basic materials space include Denison Mines Corp. DNN, Axalta Coating Systems Ltd. AXTA and Hawkins, Inc. HWKN. Denison Mines has a projected earnings growth rate of 100% for the current year. DNN has a trailing four-quarter earnings surprise of roughly 225%, on average. The stock is up around 60% in a year. It currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. In the past 60 days, the Zacks Consensus Estimate for Axalta Coating Systems’ current-year earnings has been revised upward by 8.2%. AXTA, carrying a Zacks Rank #1, beat the Zacks Consensus Estimate in three of the last four quarters while missing in one quarter, with the average earnings surprise being 6.7%. The company’s shares have gained around 35% in the past year. Hawkins has a projected earnings growth rate of 21% for the current year. It currently carries a Zacks Rank #2 (Buy). Hawkins has a trailing four-quarter earnings surprise of roughly 27.5%, on average. HWKN shares have rallied around 85% in a year. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Eastman Chemical Company (EMN) : Free Stock Analysis Report Denison Mine Corp (DNN) : Free Stock Analysis Report Axalta Coating Systems Ltd. (AXTA) : Free Stock Analysis Report Hawkins, Inc. (HWKN) : 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.
Pricing initiatives and lower raw material and energy costs are also expected to support the company’s bottom line. The move reflects the board's confidence in the company's ability to deliver solid earnings and maintain its track record of strong cash flow generation. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
Eastman Chemical Company Price and Consensus Eastman Chemical Company price-consensus-chart | Eastman Chemical Company Quote Stocks to Consider Better-ranked stocks worth a look in the basic materials space include Denison Mines Corp. DNN, Axalta Coating Systems Ltd. AXTA and Hawkins, Inc. HWKN. In the past 60 days, the Zacks Consensus Estimate for Axalta Coating Systems’ current-year earnings has been revised upward by 8.2%. Click to get this free report Eastman Chemical Company (EMN) : Free Stock Analysis Report Denison Mine Corp (DNN) : Free Stock Analysis Report Axalta Coating Systems Ltd. (AXTA) : Free Stock Analysis Report Hawkins, Inc. (HWKN) : Free Stock Analysis Report To read this article on Zacks.com click here.
Eastman Chemical Company Price and Consensus Eastman Chemical Company price-consensus-chart | Eastman Chemical Company Quote Stocks to Consider Better-ranked stocks worth a look in the basic materials space include Denison Mines Corp. DNN, Axalta Coating Systems Ltd. AXTA and Hawkins, Inc. HWKN. AXTA, carrying a Zacks Rank #1, beat the Zacks Consensus Estimate in three of the last four quarters while missing in one quarter, with the average earnings surprise being 6.7%. Click to get this free report Eastman Chemical Company (EMN) : Free Stock Analysis Report Denison Mine Corp (DNN) : Free Stock Analysis Report Axalta Coating Systems Ltd. (AXTA) : Free Stock Analysis Report Hawkins, Inc. (HWKN) : Free Stock Analysis Report To read this article on Zacks.com click here.
Eastman Chemical Company Price and Consensus Eastman Chemical Company price-consensus-chart | Eastman Chemical Company Quote Stocks to Consider Better-ranked stocks worth a look in the basic materials space include Denison Mines Corp. DNN, Axalta Coating Systems Ltd. AXTA and Hawkins, Inc. HWKN. The stock is up around 60% in a year. AXTA, carrying a Zacks Rank #1, beat the Zacks Consensus Estimate in three of the last four quarters while missing in one quarter, with the average earnings surprise being 6.7%.
c517a479-67be-4ec4-ad92-3d66509f26b6
711536.0
2023-12-15 00:00:00 UTC
Itron (ITRI) Appears Primed for Uptrend With 44.1% YTD Gain
DCOMP
https://www.nasdaq.com/articles/itron-itri-appears-primed-for-uptrend-with-44.1-ytd-gain
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Itron ITRI is witnessing robust momentum, with shares having surged 44.1% year to date against the 7.4% growth of the sub-industry. S&P Composite has improved 23.4% over the same period. Headquartered in Liberty Lake, WA, Itron is one of the leading global suppliers of a wide range of standard, advanced and smart meters and meter communication systems. It also provides networks and communication modules, software, services and sensors for the effective management of electricity, gas and water resources for consumers. With healthy fundamentals and strong growth opportunities, this Zacks Rank #2 (Buy) stock appears to be a solid investment option at the moment. Apart from a favorable rank, ITRI has a VGM Score of A. Per Zacks’ proprietary methodology, stocks with a combination of a Zacks Rank #1 (Strong Buy) or 2 and a VGM Score of A or B offer solid investment opportunities. Image Source: Zacks Investment Research ITRI has delivered an earnings surprise of 289.3%, on average, in each of the trailing four quarters. Itron’s revenues are suggested to improve year over year by 20.7% and 5.8% in 2023 and 2024, respectively. The bottom line is anticipated to rise 154.9% and 7.5% on a year-over-year basis in 2023 and 2024, respectively. The Zacks Consensus Estimate for 2023 and 2024 earnings per share is pegged at $2.88 and $3.09, up 31.5% and 10.8%, respectively, in the past 60 days. ITRI’s long-term earnings growth rate is pegged at 23%. Catalysts Driving Growth ITRI’s top-line performance is being driven by robust operational execution, resulting in increased shipments to customers amid improving supply-chain issues. The Device Solutions segment is being driven by increasing demand for Itron’s solutions in the fast-growing Water vertical. The Outcomes segment is benefiting from higher recurring services revenues. Driven by strong third-quarter results, the company made upward revisions to its 2023 guidance. It now projects revenues to be between $2.16 billion and $2.17 billion. Non-GAAP earnings per share are estimated in the band of $2.83-$2.93. Earlier, ITRI predicted revenues in the range of $2.11-$2.14 billion. Non-GAAP earnings per share were envisioned to be between $2.03 and $2.28. Continued momentum in software license sales driven by Distributed Intelligence offerings also bodes well. It expects increased demand for electric vehicles and distributed energy resource management to drive customer bookings in the future. By the end of third-quarter 2023, the company’s bookings were $413 million and its backlog amounted to $4.3 billion. Management expects bookings to be $2 billion for the current year. Accelerating trends in electrification, gas safety, energy transition, grid-edge digitalization and water efficiency are likely to drive demand for the company’s solutions going forward. Management noted that utilities across the Asia-Pacific region are working on improving grid stability and reliability. This represents a solid opportunity for Itron. ITRI’s extensive restructuring efforts to cut down on overhead expenses and streamline its supply chain and manufacturing operations augur well. Strategic collaboration and frequent product launches are added positives. A Few Headwinds Rising operating expenses coupled with a leveraged balance sheet remain major headwinds. Uncertainty prevailing over global macroeconomic conditions, as well as volatile supply-chain dynamics, remain concerning. Other Key Picks Some other top-ranked stocks worth consideration in the broader technology space are Blackbaud BLKB, BlackBerry BB and Woodward WWD, each carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for Blackbaud’s 2023 EPS improved 1.8% in the past 60 days to $3.86. BLKB’s long-term earnings growth rate is 23.4%. Blackbaud’s earnings beat the Zacks Consensus Estimate in each of the last four quarters, the average surprise being 10.6%. Shares of BLKB have surged 53% in the past year. The Zacks Consensus for BlackBerry’s fiscal 2024 EPS has remained unchanged in the past 30 days at 4 cents. BB’s earnings outpaced the Zacks Consensus Estimate in three of the last four quarters while missing in the remaining quarter. The average surprise stands at 55%. Shares of BB have gained 6.3% in the past year. The Zacks Consensus Estimate for Woodward’s fiscal 2024 EPS has improved 7% in the past 60 days to $4.92. WWD’s earnings outpaced the Zacks Consensus Estimate in each of the last four quarters, the average surprise being 14.7%. Shares of WWD have jumped 49.6% in the past year. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Itron, Inc. (ITRI) : Free Stock Analysis Report Blackbaud, Inc. (BLKB) : Free Stock Analysis Report Woodward, Inc. (WWD) : Free Stock Analysis Report BlackBerry Limited (BB) : 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.
Catalysts Driving Growth ITRI’s top-line performance is being driven by robust operational execution, resulting in increased shipments to customers amid improving supply-chain issues. Accelerating trends in electrification, gas safety, energy transition, grid-edge digitalization and water efficiency are likely to drive demand for the company’s solutions going forward. Other Key Picks Some other top-ranked stocks worth consideration in the broader technology space are Blackbaud BLKB, BlackBerry BB and Woodward WWD, each carrying a Zacks Rank #2.
Catalysts Driving Growth ITRI’s top-line performance is being driven by robust operational execution, resulting in increased shipments to customers amid improving supply-chain issues. It expects increased demand for electric vehicles and distributed energy resource management to drive customer bookings in the future. Click to get this free report Itron, Inc. (ITRI) : Free Stock Analysis Report Blackbaud, Inc. (BLKB) : Free Stock Analysis Report Woodward, Inc. (WWD) : Free Stock Analysis Report BlackBerry Limited (BB) : Free Stock Analysis Report To read this article on Zacks.com click here.
Per Zacks’ proprietary methodology, stocks with a combination of a Zacks Rank #1 (Strong Buy) or 2 and a VGM Score of A or B offer solid investment opportunities. The Zacks Consensus Estimate for 2023 and 2024 earnings per share is pegged at $2.88 and $3.09, up 31.5% and 10.8%, respectively, in the past 60 days. Click to get this free report Itron, Inc. (ITRI) : Free Stock Analysis Report Blackbaud, Inc. (BLKB) : Free Stock Analysis Report Woodward, Inc. (WWD) : Free Stock Analysis Report BlackBerry Limited (BB) : Free Stock Analysis Report To read this article on Zacks.com click here.
Itron’s revenues are suggested to improve year over year by 20.7% and 5.8% in 2023 and 2024, respectively. The Zacks Consensus Estimate for Blackbaud’s 2023 EPS improved 1.8% in the past 60 days to $3.86. The Zacks Consensus Estimate for Woodward’s fiscal 2024 EPS has improved 7% in the past 60 days to $4.92.
b0c1a4bb-1a22-467e-9a97-64eb5ef5cac5
711537.0
2023-12-15 00:00:00 UTC
Bet on Winning DuPont Analysis & Pick 5 Top Stocks
DCOMP
https://www.nasdaq.com/articles/bet-on-winning-dupont-analysis-pick-5-top-stocks
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Return on equity (ROE) is one of the most favored metrics of investors. It is a profitability ratio that measures earnings generated by a company from its equity. Investors can follow the ROE trend in companies and compare this to historical or industry benchmarks to pick a winning stock. However, stepping beyond the basic ROE and analyzing it at an advanced level could lead to even better returns. Here is where the DuPont analysis comes into play. It is an analytical method, which examines three major elements – operating management, management of assets and the capital structure – related to the financial condition of a company. Below we show how DuPont breaks down ROE into its different components: ROE = Net Income/Equity Net Income / Equity = (Net Income / Sales) * (Sales / Assets) * (Assets / Equity) ROE = Profit Margin * Asset Turnover Ratio * Equity Multiplier The screener yields winning stocks like Vita Coco Company COCO, EMCOR Group EME, Casey's General Stores CASY, Global Industrial Company GIC and Lifeway Foods LWAY. Why Use DuPont? Although one can’t play down the importance of normal ROE calculation, the fact remains that it doesn’t always provide a complete picture. The DuPont analysis, on the other hand, allows investors to assess the elements that play a dominant role in any change in ROE. It can help investors to segregate companies having higher margins from those having high turnover. For example, high-end fashion brands generally survive on high margin as compared with retail goods, which rely on higher turnover. In fact, it also sheds light on the company’s leverage status, which can go a long way in selecting stocks poised for gains. A lofty ROE could be due to the overuse of debt. Thus, the strength of a company can be misleading if it has a high debt load. So, an investor confined solely to an ROE perspective may be confused if he or she has to judge between two stocks of equal ratio. This is where DuPont analysis wins over and spots the better stock. Investors can simply do this analysis by taking a look at the company’s financials.However, looking at financial statements of each company separately can be a tedious task. Screening tools like Zacks Research Wizard can come to your rescue and help you shortlist the stocks that look impressive with a DuPont analysis. Screening Parameters • Profit Margin more than or equal to 3: As the name suggests, it is a measure of how profitably the business is running. Generally, it is the key contributor to ROE. • Asset Turnover Ratio more than or equal to 2: It allows an investor to assess management’s efficiency in using assets to drive sales. • Equity Multiplier between 1 and 3: It’s an indication of how much debt the company uses to finance its assets. • Zacks Rank less than or equal to 2: Stocks having a Zacks Rank #1 (Strong Buy) or 2 (Buy) generally perform better than their peers in all types of market environment. • Current Price more than $5: This screens out the low priced stocks. However, when looking for lower priced stocks, this criterion can be removed. Here are five out of six stocks that made it through the screen: Vita Coco Company (COCO): The Zacks Rank #1 company provides a beverage platform. You can see the complete list of today’s Zacks #1 Rank stocks here. The average earnings surprise of COCO for the past four quarters is 25.69%. EMCOR Group (EME): This Zacks Rank #1 company is one of the leading providers of mechanical and electrical construction, industrial and energy infrastructure, as well as building services for a diverse range of businesses. The average earnings surprise of EME for the past four quarters is 24.95%. Casey's General Stores (CASY): The Zacks Rank #2 company operates convenience stores under the Casey's and Casey's General Store names in 16 states, mainly Iowa, Missouri and Illinois. The average earnings surprise of CASY for the past four quarters is 17.79%. Global Industrial Company (GIC): The Zacks Rank #1 company, through its operating subsidiaries, is a provider of industrial products principally in North America. The average earnings surprise of GIC for the past four quarters is 8.55%. Lifeway Foods (LWAY): The Zacks Rank #2 company produces Kefir, a drinkable product similar to, but distinct from yogurt, in several flavors sold under the name Lifeway's Kefir. The average earnings surprise of LWAY for the past four quarters is 89.58%. You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge. The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out. Click here to sign up for a free trial to the Research Wizard today. Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Vita Coco Company, Inc. (COCO) : Free Stock Analysis Report EMCOR Group, Inc. (EME) : Free Stock Analysis Report Lifeway Foods, Inc. (LWAY) : Free Stock Analysis Report Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report Global Industrial Company (GIC) : 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.
For example, high-end fashion brands generally survive on high margin as compared with retail goods, which rely on higher turnover. EMCOR Group (EME): This Zacks Rank #1 company is one of the leading providers of mechanical and electrical construction, industrial and energy infrastructure, as well as building services for a diverse range of businesses. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
ROE = Profit Margin * Asset Turnover Ratio * Equity Multiplier The screener yields winning stocks like Vita Coco Company COCO, EMCOR Group EME, Casey's General Stores CASY, Global Industrial Company GIC and Lifeway Foods LWAY. Casey's General Stores (CASY): The Zacks Rank #2 company operates convenience stores under the Casey's and Casey's General Store names in 16 states, mainly Iowa, Missouri and Illinois. Click to get this free report Vita Coco Company, Inc. (COCO) : Free Stock Analysis Report EMCOR Group, Inc. (EME) : Free Stock Analysis Report Lifeway Foods, Inc. (LWAY) : Free Stock Analysis Report Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report Global Industrial Company (GIC) : Free Stock Analysis Report To read this article on Zacks.com click here.
ROE = Profit Margin * Asset Turnover Ratio * Equity Multiplier The screener yields winning stocks like Vita Coco Company COCO, EMCOR Group EME, Casey's General Stores CASY, Global Industrial Company GIC and Lifeway Foods LWAY. Here are five out of six stocks that made it through the screen: Vita Coco Company (COCO): The Zacks Rank #1 company provides a beverage platform. Click to get this free report Vita Coco Company, Inc. (COCO) : Free Stock Analysis Report EMCOR Group, Inc. (EME) : Free Stock Analysis Report Lifeway Foods, Inc. (LWAY) : Free Stock Analysis Report Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report Global Industrial Company (GIC) : Free Stock Analysis Report To read this article on Zacks.com click here.
It is a profitability ratio that measures earnings generated by a company from its equity. ROE = Profit Margin * Asset Turnover Ratio * Equity Multiplier The screener yields winning stocks like Vita Coco Company COCO, EMCOR Group EME, Casey's General Stores CASY, Global Industrial Company GIC and Lifeway Foods LWAY. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
65cc096d-9568-4906-b7f2-4d0e137e0c66
711538.0
2023-12-15 00:00:00 UTC
Forget Altria: 1 Ultra-High-Yield Dividend Stock I'd Rather Buy
DCOMP
https://www.nasdaq.com/articles/forget-altria%3A-1-ultra-high-yield-dividend-stock-id-rather-buy
nan
nan
Altria (NYSE: MO) and AT&T (NYSE: T) are two big names for many dividend investors, and it's no mystery why. While both stocks are trailing the S&P 500 over the past five years, they offer two of the highest dividend yields in the index. While Altria sports a 9.3% yield at recent prices and AT&T is a few steps behind at 6.7%, I think there are three reasons it takes a back seat to AT&T. 1. AT&T has big trends on its side Smoking in the U.S. has been declining for a while now. In 2005, around 21% of U.S. adults smoked tobacco; in 2021, that had dropped to 11.5%. For Altria, the largest tobacco company in the country, volume growth has felt the effect. In the third quarter, it reported its U.S. shipment volume declined by 11.6%. Luckily for Altria, its pricing power has offset the volume drop over the years. The addictive nature of nicotine means people don't generally stop buying tobacco just because it went up in price. But at some point, the company will need a solution that isn't just raising prices. I think it's hard to know when that will be with Altria consumers, but at some point, the company will need a viable income stream aside from its tobacco products. It's made attempts to adjust to the market by selling its own e-cigarettes, but most of those products have been discontinued with little to no success to show for it. While Altria is experiencing volume issues, AT&T's customer growth is headed in the right direction. With the expansion of 5G coverage in the U.S. and the growth of fiber internet, AT&T has two core business segments that should experience good growth in the coming years. According to Ericsson -- which just struck a five-year, $14 billion deal with AT&T -- 5G will account for around 71.5% of the U.S. mobile market by 2029. Fiber is also only available to around 40% of Americans, so there's plenty of room to go. 2. AT&T has made debt reduction a priority When AT&T decided to pursue its media and entertainment (M&E) ambitions, it took on a lot of debt to make it happen. In retrospect, I think AT&T and its investors would agree that its M&E moves turned out to be some of the worst in its history -- probably topped by its $85 billion acquisition of Time Warner, which closed in 2018. Things have improved since it spun off WarnerMedia in early 2022 for $43 billion. In the first quarter of 2022, AT&T reported $180 billion in long-term debt. It has since knocked that total down to $138 billion (as of Sept. 30). That's still a lot of debt, but the company's free cash flow has given it enough room to be aggressive with its debt repayments over the coming years. T Total Long Term Debt (Quarterly) data by YCharts In the third quarter, AT&T reported $5.2 billion in free cash flow, up $1.4 billion year over year, and raised its full-year free-cash-flow guidance to $16.5 billion. This should help it achieve its goal of a net debt-to-adjusted EBITDA in the 2.5 range by 2025, down from 3.22 in the third quarter of 2022. Altria's was 2.1 at the end of the 2023 third quarter. Altria has much less long-term debt than AT&T (just under $24 billion), but its operations rely heavily on it, as you can see in this comparison of the two companies' debt-to-assets ratios. T Debt to Assets (Quarterly) data by YCharts 3. AT&T's valuation gives it a little more upside AT&T seems to have turned the corner from its recent woes -- maybe not completely, but investors can see brighter days ahead with its recent performance. Altria still seems to have many questions regarding how effective it can be in diversifying away from cigarettes and competing in segments like vaping. It also doesn't help that its failed Juul experiment, which cost it over $12 billion, brought on more skepticism. At recent prices, AT&T is valued around 6 times trailing free cash flow, while Altria is just under 9, making the former more of a value, in my opinion. Add the fact that AT&T seems to have a clear plan, and I believe it has more long-term upside than Altria. 10 stocks we like better than AT&T When our 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 AT&T 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 November 20, 2023 Stefon Walters has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. 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.
The addictive nature of nicotine means people don't generally stop buying tobacco just because it went up in price. In retrospect, I think AT&T and its investors would agree that its M&E moves turned out to be some of the worst in its history -- probably topped by its $85 billion acquisition of Time Warner, which closed in 2018. Altria has much less long-term debt than AT&T (just under $24 billion), but its operations rely heavily on it, as you can see in this comparison of the two companies' debt-to-assets ratios.
That's still a lot of debt, but the company's free cash flow has given it enough room to be aggressive with its debt repayments over the coming years. T Total Long Term Debt (Quarterly) data by YCharts In the third quarter, AT&T reported $5.2 billion in free cash flow, up $1.4 billion year over year, and raised its full-year free-cash-flow guidance to $16.5 billion. At recent prices, AT&T is valued around 6 times trailing free cash flow, while Altria is just under 9, making the former more of a value, in my opinion.
T Total Long Term Debt (Quarterly) data by YCharts In the third quarter, AT&T reported $5.2 billion in free cash flow, up $1.4 billion year over year, and raised its full-year free-cash-flow guidance to $16.5 billion. Altria has much less long-term debt than AT&T (just under $24 billion), but its operations rely heavily on it, as you can see in this comparison of the two companies' debt-to-assets ratios. See the 10 stocks *Stock Advisor returns as of November 20, 2023 Stefon Walters has no position in any of the stocks mentioned.
For Altria, the largest tobacco company in the country, volume growth has felt the effect. In the first quarter of 2022, AT&T reported $180 billion in long-term debt. That's still a lot of debt, but the company's free cash flow has given it enough room to be aggressive with its debt repayments over the coming years.
a50c8b7b-6811-4f9d-8837-1e76bf6907bf
711539.0
2023-12-15 00:00:00 UTC
Strength Seen in Boeing (BA): Can Its 3.1% Jump Turn into More Strength?
DCOMP
https://www.nasdaq.com/articles/strength-seen-in-boeing-ba%3A-can-its-3.1-jump-turn-into-more-strength
nan
nan
Boeing (BA) shares soared 3.1% in the last trading session to close at $264.27. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 24% gain over the past four weeks. UBS Group recently hiked the price target for Boeing’s shares. This might have resulted in the BA’s latest price hike. This airplane builder is expected to post quarterly loss of $0.83 per share in its upcoming report, which represents a year-over-year change of +52.6%. Revenues are expected to be $21.08 billion, up 5.5% from the year-ago quarter. Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements. For Boeing, the consensus EPS estimate for the quarter has been revised 5.5% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on BA going forward to see if this recent jump can turn into more strength down the road. The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Boeing belongs to the Zacks Aerospace - Defense industry. Another stock from the same industry, RTX (RTX), closed the last trading session 1.9% lower at $80.28. Over the past month, RTX has returned 2%. RTX's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $1.25. Compared to the company's year-ago EPS, this represents a change of -1.6%. RTX currently boasts a Zacks Rank of #3 (Hold). Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 The Boeing Company (BA) : Free Stock Analysis Report RTX Corporation (RTX) : 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.
This airplane builder is expected to post quarterly loss of $0.83 per share in its upcoming report, which represents a year-over-year change of +52.6%. For Boeing, the consensus EPS estimate for the quarter has been revised 5.5% lower over the last 30 days to the current level. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Boeing belongs to the Zacks Aerospace - Defense industry. Another stock from the same industry, RTX (RTX), closed the last trading session 1.9% lower at $80.28. Click to get this free report The Boeing Company (BA) : Free Stock Analysis Report RTX Corporation (RTX) : Free Stock Analysis Report To read this article on Zacks.com click here.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Boeing belongs to the Zacks Aerospace - Defense industry. Click to get this free report The Boeing Company (BA) : Free Stock Analysis Report RTX Corporation (RTX) : Free Stock Analysis Report To read this article on Zacks.com click here.
Another stock from the same industry, RTX (RTX), closed the last trading session 1.9% lower at $80.28. Compared to the company's year-ago EPS, this represents a change of -1.6%. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
34b64a69-15b3-4ab3-bc7d-786612365fc9
711540.0
2023-12-15 00:00:00 UTC
SEI Investments (SEIC) Announces Dividend Hike, Buyback Plan
DCOMP
https://www.nasdaq.com/articles/sei-investments-seic-announces-dividend-hike-buyback-plan
nan
nan
SEI Investments Company’s SEIC board of directors has announced enhanced capital distribution plans, including a dividend hike and an increase in the share repurchase program. The company announced a semi-annual cash dividend of 46 cents per share, representing an increase of 7% from the prior payout. The dividend will be paid out on Jan 9, 2024, to shareholders on record as of Dec 28, 2023. SEIC has a record of continuously raising dividends. Prior to this hike, the company announced a dividend raise in December 2022. The amount was increased from 40 cents per share to 43 cents. SEI Investments has raised its semi-annual dividend five times in the last five years. Also, it has a five-year annualized dividend growth rate of 6.59%. Currently, the company's payout ratio is 25% of earnings. Concurrently, the company announced an increase in share buyback authorization by $250 million. This brings SEIC’s available authorization under the program to nearly $289 million. Earlier this April, SEI Investments increased its buyback authorization by $250 million. As of Sep 30, 2023, $101 million worth of shares were left to be repurchased. Supported by its earnings strength and solid balance sheet, the company is expected to continue with efficient capital deployment activities. Through this, SEI Investments will keep enhancing shareholder value. Over the past six months, shares of SEI Investments have gained 4.5%, underperforming the 16.9% rally of the industry it belongs to. Currently, the company carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Dividend Hikes by Other Finance Stocks Raymond James Financial, Inc.’s RJF board of directors has declared a quarterly cash dividend of 45 cents per share, representing an increase of 7.1% from the prior payout. The new dividend will be paid out on Jan 16, 2024, to shareholders on record as of Jan 2, 2024. Raymond James has a track record of regularly raising dividends over the last decade. Prior to the recent hike, the company had announced a 24% increase in its quarterly dividend to 42 cents in December 2022. U.S. Bancorp USB declared a quarterly cash dividend of 49 cents per share, marking an increase of 2.1% from the prior quarter. The dividend will be paid out on Jan 16, 2024, to shareholders of record as of Dec 29, 2023. Prior to the recent hike, USB raised its dividend in September 2022 by 4.3% to 48 cents per share. Also, the company has a five-year annualized dividend growth of 5.7%. Currently, its payout ratio is 42% of earnings. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 U.S. Bancorp (USB) : Free Stock Analysis Report Raymond James Financial, Inc. (RJF) : Free Stock Analysis Report SEI Investments Company (SEIC) : 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.
SEI Investments Company’s SEIC board of directors has announced enhanced capital distribution plans, including a dividend hike and an increase in the share repurchase program. Supported by its earnings strength and solid balance sheet, the company is expected to continue with efficient capital deployment activities. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
SEI Investments Company’s SEIC board of directors has announced enhanced capital distribution plans, including a dividend hike and an increase in the share repurchase program. Dividend Hikes by Other Finance Stocks Raymond James Financial, Inc.’s RJF board of directors has declared a quarterly cash dividend of 45 cents per share, representing an increase of 7.1% from the prior payout. Click to get this free report U.S. Bancorp (USB) : Free Stock Analysis Report Raymond James Financial, Inc. (RJF) : Free Stock Analysis Report SEI Investments Company (SEIC) : Free Stock Analysis Report To read this article on Zacks.com click here.
SEI Investments Company’s SEIC board of directors has announced enhanced capital distribution plans, including a dividend hike and an increase in the share repurchase program. Dividend Hikes by Other Finance Stocks Raymond James Financial, Inc.’s RJF board of directors has declared a quarterly cash dividend of 45 cents per share, representing an increase of 7.1% from the prior payout. Click to get this free report U.S. Bancorp (USB) : Free Stock Analysis Report Raymond James Financial, Inc. (RJF) : Free Stock Analysis Report SEI Investments Company (SEIC) : Free Stock Analysis Report To read this article on Zacks.com click here.
SEIC has a record of continuously raising dividends. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Dividend Hikes by Other Finance Stocks Raymond James Financial, Inc.’s RJF board of directors has declared a quarterly cash dividend of 45 cents per share, representing an increase of 7.1% from the prior payout.
42fb9331-30f4-4437-8d62-771adb05aa6a
711541.0
2023-12-15 00:00:00 UTC
Wyndham's Board Recommends Shareholders Reject Choice Exchange Offer
DCOMP
https://www.nasdaq.com/articles/wyndhams-board-recommends-shareholders-reject-choice-exchange-offer
nan
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(RTTNews) - Wyndham Hotels & Resorts (WH) said its Board has unanimously determined the unsolicited exchange offer from Choice Hotels International, Inc. (CHH) to acquire all outstanding shares of Wyndham is not in the best interests of the company and its shareholders. The Wyndham Board unanimously recommended that shareholders not tender any of their shares into the offer. Stephen Holmes, Chairman of the Board, said: "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan." The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
(RTTNews) - Wyndham Hotels & Resorts (WH) said its Board has unanimously determined the unsolicited exchange offer from Choice Hotels International, Inc. (CHH) to acquire all outstanding shares of Wyndham is not in the best interests of the company and its shareholders. The Wyndham Board unanimously recommended that shareholders not tender any of their shares into the offer. Stephen Holmes, Chairman of the Board, said: "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan."
(RTTNews) - Wyndham Hotels & Resorts (WH) said its Board has unanimously determined the unsolicited exchange offer from Choice Hotels International, Inc. (CHH) to acquire all outstanding shares of Wyndham is not in the best interests of the company and its shareholders. The Wyndham Board unanimously recommended that shareholders not tender any of their shares into the offer. Stephen Holmes, Chairman of the Board, said: "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan."
(RTTNews) - Wyndham Hotels & Resorts (WH) said its Board has unanimously determined the unsolicited exchange offer from Choice Hotels International, Inc. (CHH) to acquire all outstanding shares of Wyndham is not in the best interests of the company and its shareholders. Stephen Holmes, Chairman of the Board, said: "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan." The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
(RTTNews) - Wyndham Hotels & Resorts (WH) said its Board has unanimously determined the unsolicited exchange offer from Choice Hotels International, Inc. (CHH) to acquire all outstanding shares of Wyndham is not in the best interests of the company and its shareholders. The Wyndham Board unanimously recommended that shareholders not tender any of their shares into the offer. Stephen Holmes, Chairman of the Board, said: "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan."
db389b6b-e3da-4a86-9b32-14d9703f2016
711542.0
2023-12-15 00:00:00 UTC
US STOCKS-Futures edge higher as Treasury yields slip, eyes on data
DCOMP
https://www.nasdaq.com/articles/us-stocks-futures-edge-higher-as-treasury-yields-slip-eyes-on-data
nan
nan
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 0.19%, S&P 0.21%, Nasdaq 0.13% Dec 18 (Reuters) - U.S. stock index futures edged higher on Monday as Treasury yields slipped ahead of economic data this week that could offer insights on when the Federal Reserve could start cutting interest rates. The main Wall Street indexes are looking to end 2023 on a high note as signs of slowing inflation and expectations that the U.S. central bank will soon ease its monetary policy attract buyers. The blue-chip Dow .DJI notched its third consecutive session of record high on Friday, while the benchmark S&P 500 .SPX marked a seventh straight week of gains in its longest winning streak since 2017. Economic data this week include the Personal Consumption Expenditure index (PCE) - the Fed's favored inflation gauge - weekly jobless claims, housing starts and the final reading of the third-quarter GDP report. The PCE data, the final set of inflation figures for this year, is expected to show on Friday prices eased marginally in November on a year-over-year basis. U.S. equity markets rallied last week after the Fed left interest rates unchanged and officials' forecasts collectively priced in three quarters of a percentage point in cuts in 2024. Traders are currently pricing in a 75% chance that the Fed will cut interest rates at least by 25 basis points in March, according to CME Group's Fedwatch tool, even as a top Fed policymaker pushed back on the ebullience on Friday. At 5:44 a.m. ET, Dow e-minis 1YMcv1 were up 72 points, or 0.19%, S&P 500 e-minis EScv1 were up 10.25 points, or 0.21%, and Nasdaq 100 e-minis NQcv1 were up 21.25 points, or 0.13%. Meanwhile, Goldman Sachs raised its forecast for the S&P 500, which it now sees ending 2024 at 5,100, while decelerating inflation and Fed easing would keep real yields low. Among single stocks, AppleAAPL.O slipped 0.7% in premarket trading after Bloomberg News reported on Friday that more Chinese agencies and state-backed companies have asked their staff to not bring iPhones and other foreign devices to work. IlluminaILMN.O rose 5.4% the gene sequencing company said it would divest cancer diagnostic test maker Grail GRAL.O after the companies battled U.S. and European antitrust enforcers for more than two years and faced fierce opposition from activist investor Carl Icahn. U.S.-listed shares of NioNIO.N climbed 10.7% after it said it had signed an agreement with CYVN Holdings, an investment vehicle based in Abu Dhabi, for the latter to invest $2.2 billion in the Chinese electric vehicle maker. United States Steel X.N surged 29% after Japan's Nippon Steel 5401.Tsaid it would buy the steelmaker in a deal worth $14.9 billion including debt. (Reporting by Sruthi Shankar in Bengaluru; Editing by Maju Samuel) ((sruthi.shankar@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2787;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The main Wall Street indexes are looking to end 2023 on a high note as signs of slowing inflation and expectations that the U.S. central bank will soon ease its monetary policy attract buyers. U.S. equity markets rallied last week after the Fed left interest rates unchanged and officials' forecasts collectively priced in three quarters of a percentage point in cuts in 2024. Among single stocks, AppleAAPL.O slipped 0.7% in premarket trading after Bloomberg News reported on Friday that more Chinese agencies and state-backed companies have asked their staff to not bring iPhones and other foreign devices to work.
Futures up: Dow 0.19%, S&P 0.21%, Nasdaq 0.13% Dec 18 (Reuters) - U.S. stock index futures edged higher on Monday as Treasury yields slipped ahead of economic data this week that could offer insights on when the Federal Reserve could start cutting interest rates. The PCE data, the final set of inflation figures for this year, is expected to show on Friday prices eased marginally in November on a year-over-year basis. Traders are currently pricing in a 75% chance that the Fed will cut interest rates at least by 25 basis points in March, according to CME Group's Fedwatch tool, even as a top Fed policymaker pushed back on the ebullience on Friday.
Futures up: Dow 0.19%, S&P 0.21%, Nasdaq 0.13% Dec 18 (Reuters) - U.S. stock index futures edged higher on Monday as Treasury yields slipped ahead of economic data this week that could offer insights on when the Federal Reserve could start cutting interest rates. Economic data this week include the Personal Consumption Expenditure index (PCE) - the Fed's favored inflation gauge - weekly jobless claims, housing starts and the final reading of the third-quarter GDP report. Traders are currently pricing in a 75% chance that the Fed will cut interest rates at least by 25 basis points in March, according to CME Group's Fedwatch tool, even as a top Fed policymaker pushed back on the ebullience on Friday.
The main Wall Street indexes are looking to end 2023 on a high note as signs of slowing inflation and expectations that the U.S. central bank will soon ease its monetary policy attract buyers. The PCE data, the final set of inflation figures for this year, is expected to show on Friday prices eased marginally in November on a year-over-year basis. U.S. equity markets rallied last week after the Fed left interest rates unchanged and officials' forecasts collectively priced in three quarters of a percentage point in cuts in 2024.
0b1a535b-a556-4265-873e-7f853fb1679d
711543.0
2023-12-15 00:00:00 UTC
EU opens proceedings against X over its efforts to combat information manipulation
DCOMP
https://www.nasdaq.com/articles/eu-opens-proceedings-against-x-over-its-efforts-to-combat-information-manipulation
nan
nan
Recasts throughout PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday launched formal infringement proceedings against social media company X, formerly known as Twitter, on suspicion of a breach of obligations in its first investigation under the Digital Services Act (DSA). The new regulation, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. The proceedings will focus on countering the dissemination of illegal content in the EU, the effectiveness of measures taken to combat information manipulation, notably of the "community notes" system and measures taken by X to increase the transparency of its platform, the Commission said. The Commission said it will now carry out an in-depth investigation as a matter of priority. X, owned by Elon Musk, is part of a group of large tech companies facing increased scrutiny under sweeping rules introduced under the DSA. EU Commissioner Thierry Breton had in October reprimanded X, TikTok and Meta for not doing enough to tackle the spread of disinformation following Hamas' attack on Israel. (Reporting by Tassilo Hummel in Paris and Supantha Mukherjee in Stockholm; Editing by Hugh Lawson) ((tassilo.hummel@thomsonreuters.com ; Twitter handle: @tassilo_hummel;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Recasts throughout PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday launched formal infringement proceedings against social media company X, formerly known as Twitter, on suspicion of a breach of obligations in its first investigation under the Digital Services Act (DSA). The new regulation, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. X, owned by Elon Musk, is part of a group of large tech companies facing increased scrutiny under sweeping rules introduced under the DSA.
The new regulation, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. The proceedings will focus on countering the dissemination of illegal content in the EU, the effectiveness of measures taken to combat information manipulation, notably of the "community notes" system and measures taken by X to increase the transparency of its platform, the Commission said. X, owned by Elon Musk, is part of a group of large tech companies facing increased scrutiny under sweeping rules introduced under the DSA.
Recasts throughout PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday launched formal infringement proceedings against social media company X, formerly known as Twitter, on suspicion of a breach of obligations in its first investigation under the Digital Services Act (DSA). The new regulation, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. The proceedings will focus on countering the dissemination of illegal content in the EU, the effectiveness of measures taken to combat information manipulation, notably of the "community notes" system and measures taken by X to increase the transparency of its platform, the Commission said.
Recasts throughout PARIS/STOCKHOLM, Dec 18 (Reuters) - The European Union on Monday launched formal infringement proceedings against social media company X, formerly known as Twitter, on suspicion of a breach of obligations in its first investigation under the Digital Services Act (DSA). The new regulation, which entered into force in November last year, requires very large online platforms and search engines to do more to tackle illegal content and risks to public security, and to protect their services against manipulative techniques. The proceedings will focus on countering the dissemination of illegal content in the EU, the effectiveness of measures taken to combat information manipulation, notably of the "community notes" system and measures taken by X to increase the transparency of its platform, the Commission said.
54825947-8861-4e6b-90d9-1019b31ea229
711544.0
2023-12-15 00:00:00 UTC
Nippon Steel To Acquire U. S. Steel In All-cash Deal
DCOMP
https://www.nasdaq.com/articles/nippon-steel-to-acquire-u.-s.-steel-in-all-cash-deal
nan
nan
(RTTNews) - Nippon Steel Corp. and United States Steel Corporation (X) have entered into a definitive agreement pursuant to which Nippon Steel will acquire U. S. Steel in an all-cash deal at $55.00 per share, representing an equity value of approximately $14.1 billion plus the assumption of debt, for a total enterprise value of $14.9 billion. The merger has been unanimously approved by the Board of both NSC and U. S. Steel. The deal is expected to close in the second or third quarter of calendar year 2024. Nippon Steel said the acquisition will enhance its manufacturing and technology capabilities and enable it to expand the geographic areas. As a result of the acquisition of U. S. Steel, its expected total annual crude steel capacity will reach 86 million tonnes. Founded in 1901, U. S. Steel is a leading steel manufacturer. Nippon Steel is Japan's largest steelmaker. The $55.00 per share price represents a 40% premium to U. S. Steel's closing stock price on December 15, 2023. Shares of United States Steel Corporation are up 27% in pre-market trade on Monday. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The deal is expected to close in the second or third quarter of calendar year 2024. Nippon Steel said the acquisition will enhance its manufacturing and technology capabilities and enable it to expand the geographic areas. Shares of United States Steel Corporation are up 27% in pre-market trade on Monday.
(RTTNews) - Nippon Steel Corp. and United States Steel Corporation (X) have entered into a definitive agreement pursuant to which Nippon Steel will acquire U. S. Steel in an all-cash deal at $55.00 per share, representing an equity value of approximately $14.1 billion plus the assumption of debt, for a total enterprise value of $14.9 billion. The $55.00 per share price represents a 40% premium to U. S. Steel's closing stock price on December 15, 2023. Shares of United States Steel Corporation are up 27% in pre-market trade on Monday.
(RTTNews) - Nippon Steel Corp. and United States Steel Corporation (X) have entered into a definitive agreement pursuant to which Nippon Steel will acquire U. S. Steel in an all-cash deal at $55.00 per share, representing an equity value of approximately $14.1 billion plus the assumption of debt, for a total enterprise value of $14.9 billion. As a result of the acquisition of U. S. Steel, its expected total annual crude steel capacity will reach 86 million tonnes. Founded in 1901, U. S. Steel is a leading steel manufacturer.
(RTTNews) - Nippon Steel Corp. and United States Steel Corporation (X) have entered into a definitive agreement pursuant to which Nippon Steel will acquire U. S. Steel in an all-cash deal at $55.00 per share, representing an equity value of approximately $14.1 billion plus the assumption of debt, for a total enterprise value of $14.9 billion. The merger has been unanimously approved by the Board of both NSC and U. S. Steel. The deal is expected to close in the second or third quarter of calendar year 2024.
ff60d380-b953-4e5a-b8d3-a161311c483c
711545.0
2023-12-15 00:00:00 UTC
Should You Invest in the SPDR S&P Semiconductor ETF (XSD)?
DCOMP
https://www.nasdaq.com/articles/should-you-invest-in-the-spdr-sp-semiconductor-etf-xsd-9
nan
nan
If you're interested in broad exposure to the Technology - Semiconductors segment of the equity market, look no further than the SPDR S&P Semiconductor ETF (XSD), a passively managed exchange traded fund launched on 01/31/2006. While an excellent vehicle for long term investors, passively managed ETFs are a popular choice among institutional and retail investors due to their low costs, transparency, flexibility, and tax efficiency. Additionally, sector ETFs offer convenient ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Technology - Semiconductors is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 6, placing it in top 38%. Index Details The fund is sponsored by State Street Global Advisors. It has amassed assets over $1.52 billion, making it one of the larger ETFs attempting to match the performance of the Technology - Semiconductors segment of the equity market. XSD seeks to match the performance of the S&P Semiconductor Select Industry Index before fees and expenses. The S&P Semiconductor Select Industry Index represents the Semiconductor sub-industry portion of the S&P Total Markets Index. The S&P TMI tracks all the U.S. common stocks listed on the NYSE, AMEX, NASDAQ National Market and NASDAQ Small Cap exchanges. The Semiconductor Index is a modified equal weight index. Costs Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same. Annual operating expenses for this ETF are 0.35%, making it one of the least expensive products in the space. It has a 12-month trailing dividend yield of 0.32%. 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 100% of the portfolio. Looking at individual holdings, Synaptics Inc (SYNA) accounts for about 3.23% of total assets, followed by Rambus Inc (RMBS) and Broadcom Inc (AVGO). The top 10 holdings account for about 30.02% of total assets under management. Performance and Risk Year-to-date, the SPDR S&P Semiconductor ETF has gained about 34.40% so far, and was up about 28.26% over the last 12 months (as of 12/18/2023). XSD has traded between $161.43 and $231.97 in this past 52-week period. The ETF has a beta of 1.42 and standard deviation of 36.76% for the trailing three-year period, making it a high risk choice in the space. With about 40 holdings, it has more concentrated exposure than peers. Alternatives SPDR S&P Semiconductor 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, XSD 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. IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. IShares Semiconductor ETF has $10.14 billion in assets, VanEck Semiconductor ETF has $11.40 billion. SOXX has an expense ratio of 0.35% and SMH charges 0.35%. 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 SPDR S&P Semiconductor ETF (XSD): ETF Research Reports Rambus, Inc. (RMBS) : Free Stock Analysis Report Broadcom Inc. (AVGO) : Free Stock Analysis Report Synaptics Incorporated (SYNA) : Free Stock Analysis Report VanEck Semiconductor ETF (SMH): ETF Research Reports iShares Semiconductor ETF (SOXX): 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.
It has amassed assets over $1.52 billion, making it one of the larger ETFs attempting to match the performance of the Technology - Semiconductors segment of the equity market. Looking at individual holdings, Synaptics Inc (SYNA) accounts for about 3.23% of total assets, followed by Rambus Inc (RMBS) and Broadcom Inc (AVGO). The ETF has a beta of 1.42 and standard deviation of 36.76% for the trailing three-year period, making it a high risk choice in the space.
If you're interested in broad exposure to the Technology - Semiconductors segment of the equity market, look no further than the SPDR S&P Semiconductor ETF (XSD), a passively managed exchange traded fund launched on 01/31/2006. IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. Click to get this free report SPDR S&P Semiconductor ETF (XSD): ETF Research Reports Rambus, Inc. (RMBS) : Free Stock Analysis Report Broadcom Inc. (AVGO) : Free Stock Analysis Report Synaptics Incorporated (SYNA) : Free Stock Analysis Report VanEck Semiconductor ETF (SMH): ETF Research Reports iShares Semiconductor ETF (SOXX): ETF Research Reports To read this article on Zacks.com click here.
IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. 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. Click to get this free report SPDR S&P Semiconductor ETF (XSD): ETF Research Reports Rambus, Inc. (RMBS) : Free Stock Analysis Report Broadcom Inc. (AVGO) : Free Stock Analysis Report Synaptics Incorporated (SYNA) : Free Stock Analysis Report VanEck Semiconductor ETF (SMH): ETF Research Reports iShares Semiconductor ETF (SOXX): ETF Research Reports To read this article on Zacks.com click here.
If you're interested in broad exposure to the Technology - Semiconductors segment of the equity market, look no further than the SPDR S&P Semiconductor ETF (XSD), a passively managed exchange traded fund launched on 01/31/2006. Annual operating expenses for this ETF are 0.35%, making it one of the least expensive products in the space. IShares Semiconductor ETF (SOXX) tracks PHLX SOX Semiconductor Sector Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index.
9deec682-52a5-4033-8be6-b5ba411007d3
711546.0
2023-12-15 00:00:00 UTC
Is Pacer US Cash Cows 100 ETF (COWZ) a Strong ETF Right Now?
DCOMP
https://www.nasdaq.com/articles/is-pacer-us-cash-cows-100-etf-cowz-a-strong-etf-right-now-0
nan
nan
Launched on 12/16/2016, the Pacer US Cash Cows 100 ETF (COWZ) is a smart beta exchange traded fund offering 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. Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns. If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies. These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics. 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 The fund is managed by Pacer Etfs. COWZ has been able to amass assets over $17.74 billion, making it one of the largest ETFs in the Style Box - Large Cap Value. This particular fund, before fees and expenses, seeks to match the performance of the Pacer US Cash Cows 100 Index. The Pacer US Cash Cows 100 Index uses an objective, rules-based methodology to provide exposure to large and mid-capitalization U.S. companies with high free cash flow yields. Cost & Other Expenses 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. Operating expenses on an annual basis are 0.49% for this ETF, which makes it on par with most peer products in the space. It's 12-month trailing dividend yield comes in at 1.97%. 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. For COWZ, it has heaviest allocation in the Energy sector --about 35.20% of the portfolio --while Consumer Discretionary and Healthcare round out the top three. When you look at individual holdings, Chevron Corp New (CVX) accounts for about 2.67% of the fund's total assets, followed by Marathon Pete Corp (MPC) and Valero Energy Corp (VLO). Its top 10 holdings account for approximately 22.31% of COWZ's total assets under management. Performance and Risk So far this year, COWZ has added about 13.62%, and is up about 12.20% in the last one year (as of 12/18/2023). During this past 52-week period, the fund has traded between $44.32 and $52.25. The fund has a beta of 1.07 and standard deviation of 19.31% for the trailing three-year period. With about 100 holdings, it effectively diversifies company-specific risk. Alternatives Pacer US Cash Cows 100 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. IShares Russell 1000 Value ETF (IWD) tracks Russell 1000 Value Index and the Vanguard Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. IShares Russell 1000 Value ETF has $54.58 billion in assets, Vanguard Value ETF has $104.74 billion. IWD has an expense ratio of 0.19% and VTV charges 0.04%. 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. 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 Pacer US Cash Cows 100 ETF (COWZ): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Valero Energy Corporation (VLO) : Free Stock Analysis Report Marathon Petroleum Corporation (MPC) : 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.
Launched on 12/16/2016, the Pacer US Cash Cows 100 ETF (COWZ) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. COWZ has been able to amass assets over $17.74 billion, making it one of the largest ETFs in the Style Box - Large Cap Value. Alternatives Pacer US Cash Cows 100 ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market.
Launched on 12/16/2016, the Pacer US Cash Cows 100 ETF (COWZ) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. IShares Russell 1000 Value ETF (IWD) tracks Russell 1000 Value Index and the Vanguard Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. Click to get this free report Pacer US Cash Cows 100 ETF (COWZ): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Valero Energy Corporation (VLO) : Free Stock Analysis Report Marathon Petroleum Corporation (MPC) : 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.
Launched on 12/16/2016, the Pacer US Cash Cows 100 ETF (COWZ) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. 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. Click to get this free report Pacer US Cash Cows 100 ETF (COWZ): ETF Research Reports Chevron Corporation (CVX) : Free Stock Analysis Report Valero Energy Corporation (VLO) : Free Stock Analysis Report Marathon Petroleum Corporation (MPC) : 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.
Launched on 12/16/2016, the Pacer US Cash Cows 100 ETF (COWZ) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies. This particular fund, before fees and expenses, seeks to match the performance of the Pacer US Cash Cows 100 Index.
a63bc68a-a524-4569-9f43-5c60f36287e6
711547.0
2023-12-15 00:00:00 UTC
Is SPDR S&P Biotech ETF (XBI) a Strong ETF Right Now?
DCOMP
https://www.nasdaq.com/articles/is-spdr-sp-biotech-etf-xbi-a-strong-etf-right-now-9
nan
nan
Launched on 01/31/2006, the SPDR S&P Biotech ETF (XBI) is a smart beta exchange traded fund offering broad exposure to the Health Care ETFs category of the market. What Are Smart Beta ETFs? Products that are based on market cap weighted indexes, which are strategies designed to reflect a specific market segment or the market as a whole, have traditionally dominated the ETF industry. Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns. But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market. This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics. 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 XBI is managed by State Street Global Advisors, and this fund has amassed over $6.84 billion, which makes it one of the largest ETFs in the Health Care ETFs. XBI seeks to match the performance of the S&P Biotechnology Select Industry Index before fees and expenses. The S&P Biotechnology Select Industry Index represents the biotechnology sub-industry portion of the S&P Total Markets Index. The S&P TMI tracks all the U.S. common stocks listed on the NYSE, AMEX, NASDAQ National Market and NASDAQ Small Cap exchanges. The Biotech Index is a modified equal weight index. Cost & Other Expenses Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same. Annual operating expenses for XBI are 0.35%, which makes it one of the least expensive products in the space. It's 12-month trailing dividend yield comes in at 0%. 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. Representing 100% of the portfolio, the fund has heaviest allocation to the Healthcare sector. When you look at individual holdings, Mirati Therapeutics Inc (MRTX) accounts for about 2.16% of the fund's total assets, followed by Immunovant Inc (IMVT) and Apellis Pharmaceuticals Inc (APLS). The top 10 holdings account for about 15.82% of total assets under management. Performance and Risk Year-to-date, the SPDR S&P Biotech ETF has added roughly 3.28% so far, and was up about 6.24% over the last 12 months (as of 12/18/2023). XBI has traded between $64.12 and $91.97 in this past 52-week period. The ETF has a beta of 0.94 and standard deviation of 36.09% for the trailing three-year period, making it a high risk choice in the space. With about 137 holdings, it effectively diversifies company-specific risk. Alternatives SPDR S&P Biotech ETF is a reasonable option for investors seeking to outperform the Health Care ETFs segment of the market. However, there are other ETFs in the space which investors could consider. First Trust NYSE Arca Biotechnology ETF (FBT) tracks NYSE Arca Biotechnology Index and the iShares Biotechnology ETF (IBB) tracks Nasdaq Biotechnology Index. First Trust NYSE Arca Biotechnology ETF has $1.26 billion in assets, iShares Biotechnology ETF has $7.16 billion. FBT has an expense ratio of 0.56% and IBB charges 0.45%. Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Health Care ETFs. 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 SPDR S&P Biotech ETF (XBI): ETF Research Reports iShares Biotechnology ETF (IBB): ETF Research Reports Mirati Therapeutics, Inc. (MRTX) : Free Stock Analysis Report First Trust NYSE Arca Biotechnology ETF (FBT): ETF Research Reports Apellis Pharmaceuticals, Inc. (APLS) : Free Stock Analysis Report Immunovant, Inc. (IMVT) : 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.
When you look at individual holdings, Mirati Therapeutics Inc (MRTX) accounts for about 2.16% of the fund's total assets, followed by Immunovant Inc (IMVT) and Apellis Pharmaceuticals Inc (APLS). The ETF has a beta of 0.94 and standard deviation of 36.09% for the trailing three-year period, making it a high risk choice in the space. Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
Launched on 01/31/2006, the SPDR S&P Biotech ETF (XBI) is a smart beta exchange traded fund offering broad exposure to the Health Care ETFs category of the market. First Trust NYSE Arca Biotechnology ETF (FBT) tracks NYSE Arca Biotechnology Index and the iShares Biotechnology ETF (IBB) tracks Nasdaq Biotechnology Index. Click to get this free report SPDR S&P Biotech ETF (XBI): ETF Research Reports iShares Biotechnology ETF (IBB): ETF Research Reports Mirati Therapeutics, Inc. (MRTX) : Free Stock Analysis Report First Trust NYSE Arca Biotechnology ETF (FBT): ETF Research Reports Apellis Pharmaceuticals, Inc. (APLS) : Free Stock Analysis Report Immunovant, Inc. (IMVT) : Free Stock Analysis Report To read this article on Zacks.com click here.
First Trust NYSE Arca Biotechnology ETF (FBT) tracks NYSE Arca Biotechnology Index and the iShares Biotechnology ETF (IBB) tracks Nasdaq Biotechnology Index. 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. Click to get this free report SPDR S&P Biotech ETF (XBI): ETF Research Reports iShares Biotechnology ETF (IBB): ETF Research Reports Mirati Therapeutics, Inc. (MRTX) : Free Stock Analysis Report First Trust NYSE Arca Biotechnology ETF (FBT): ETF Research Reports Apellis Pharmaceuticals, Inc. (APLS) : Free Stock Analysis Report Immunovant, Inc. (IMVT) : Free Stock Analysis Report To read this article on Zacks.com click here.
Launched on 01/31/2006, the SPDR S&P Biotech ETF (XBI) is a smart beta exchange traded fund offering broad exposure to the Health Care ETFs category of the market. XBI seeks to match the performance of the S&P Biotechnology Select Industry Index before fees and expenses. The ETF has a beta of 0.94 and standard deviation of 36.09% for the trailing three-year period, making it a high risk choice in the space.
45493119-2e99-4ca2-bc04-ba2c9befa9e8
711548.0
2023-12-15 00:00:00 UTC
Should Vanguard Mega Cap ETF (MGC) Be on Your Investing Radar?
DCOMP
https://www.nasdaq.com/articles/should-vanguard-mega-cap-etf-mgc-be-on-your-investing-radar-11
nan
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Designed to provide broad exposure to the Large Cap Blend segment of the US equity market, the Vanguard Mega Cap ETF (MGC) is a passively managed exchange traded fund launched on 12/17/2007. The fund is sponsored by Vanguard. It has amassed assets over $4.67 billion, making it one of the larger ETFs attempting to match the Large Cap Blend segment of the US equity market. Why Large Cap Blend 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. Blend ETFs usually hold a mix of growth and value stocks as well as stocks that exhibit both value and growth characteristics. Costs Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same. Annual operating expenses for this ETF are 0.07%, making it one of the least expensive products in the space. It has a 12-month trailing dividend yield of 1.32%. 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 31.80% of the portfolio. Financials and Healthcare round out the top three. Looking at individual holdings, Apple Inc. (AAPL) accounts for about 8.95% of total assets, followed by Microsoft Corp. (MSFT) and Amazon.com Inc. (AMZN). The top 10 holdings account for about 35.49% of total assets under management. Performance and Risk MGC seeks to match the performance of the CRSP US Mega Cap Index before fees and expenses. The CRSP U.S. Mega Cap Index includes the largest U.S. companies, with a target of including the top 70% of investable market capitalization. The index includes securities traded on NYSE, NYSE Market, NASDAQ or ARCA. The ETF has gained about 28% so far this year and was up about 25.89% in the last one year (as of 12/18/2023). In the past 52-week period, it has traded between $130.37 and $167.93. The ETF has a beta of 0.99 and standard deviation of 17.76% for the trailing three-year period, making it a medium risk choice in the space. With about 231 holdings, it effectively diversifies company-specific risk. Alternatives Vanguard Mega Cap 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, MGC 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 $394.06 billion in assets, SPDR S&P 500 ETF has $449.23 billion. IVV has an expense ratio of 0.03% and SPY charges 0.09%. 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 Vanguard Mega Cap ETF (MGC): 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.
It has amassed assets over $4.67 billion, making it one of the larger ETFs attempting to match the Large Cap Blend segment of the US equity market. Thus, MGC is a reasonable option for those seeking exposure to the Style Box - Large Cap Blend area of the market. 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.
Designed to provide broad exposure to the Large Cap Blend segment of the US equity market, the Vanguard Mega Cap ETF (MGC) is a passively managed exchange traded fund launched on 12/17/2007. Why Large Cap Blend Large cap companies usually have a market capitalization above $10 billion. Click to get this free report Vanguard Mega Cap ETF (MGC): 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.
Alternatives Vanguard Mega Cap ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. 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. Click to get this free report Vanguard Mega Cap ETF (MGC): 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.
Designed to provide broad exposure to the Large Cap Blend segment of the US equity market, the Vanguard Mega Cap ETF (MGC) is a passively managed exchange traded fund launched on 12/17/2007. Costs Investors should also pay attention to an ETF's expense ratio. Annual operating expenses for this ETF are 0.07%, making it one of the least expensive products in the space.
0a877738-1682-4087-ab1f-55f22662ecbf
711549.0
2023-12-15 00:00:00 UTC
Time to Buy This Dividend Stock on a Dip?
DCOMP
https://www.nasdaq.com/articles/time-to-buy-this-dividend-stock-on-a-dip
nan
nan
Johnson Controls (NYSE: JCI) is an investing conundrum. It's not a company with a management team holding an excellent track record of meeting guidance. However, it is a good value stock in a highly attractive industry, and its 2.8% dividend yield makes it worth picking up on a dip for patient investors. Here's the how and why. The long-term investment case for Johnson Controls The company operates in four segments. The first is global products, which designs, manufactures, and sells heating, ventilation, air conditioning, and refrigeration (HVACR) products and software to the commercial and residential markets. It also sells controls and fire and security equipment. Global products sales tend to be made through dealers. Its crucial end markets are commercial HVAC (46% of 2023 segment sales) and fire and security products (37%). The other three segments are building solutions in North America, building solutions in Asia Pacific, and building solutions in Europe, the Middle East, Africa, and Latin America (EMEA/LA). Building solutions designs, services, and installs HVAC equipment. Building solution sales tend to be made directly by the company. The table below breaks out 2023 earnings so you can see the relative importance of each segment. The company's fiscal year ended Sept. 30. REGION EARNINGS BEFORE INTEREST, TAXES, AND AMORTIZATION (EBITA), 2023 Global products $1,975 million Building solutions North America $1,394 million Building solutions EMEA/LA $316 million Building solutions Asia Pacific $343 million Data source: Johnson Controls. EBITA figures are adjusted, non-GAAP. The key to the investment case lies in the massive opportunity to help building owners meet their net zero emissions goals by retrofitting toward the company's more efficient HVACR systems and controls. In addition, Johnson Controls' digital platform, OpenBlue, is driving an opportunity to upsell existing customers to its digital smart building solutions while growing higher-margin services sales. What went wrong in 2023 It's a robust investment case, and the company has just finished its fiscal 2023, reporting organic sales growth of 8% and adjusted earnings per share (EPS) growth of 18%. So why is the stock down nearly 20% in 2023 as I write? The answer lies in management overpromising and underdelivering rather than vice versa. On the third-quarterearnings callin August, management disappointed investors by lowering full-year organic sales growth estimates to "high single digits" from a prior estimate of 10%. Fast-forward to its delayed (due to a cyberattack affecting its business) fourth-quarter earnings report, and the company promptly missed its Q4 revenue and earnings guidance. Image source: Getty Images. While the cyberattack is unfortunate, it wasn't the only reason for the miss. For example, Q4 guidance was for organic sales growth of 4% and adjusted EPS of $1.10, but organic sales grew only 2%, and adjusted EPS was $1.05. For reference, management said the cyberattack shaved 1% off revenue growth and $0.04 off EPS in the quarter. Whichever way you look at it, Johnson Controls missed, and the market sold the stock off as analysts scrambled to lower price targets. What about 2024? Moreover, the first-quarter fiscal 2024 guidance (remember that we are almost at the end of the quarter already) is so weak that analysts questioned how the company would meet its full-year guidance. METRIC FULL YEAR 2023 Q1 2024 GUIDANCE FULL-YEAR 2024 GUIDANCE Organic revenue growth 8% Flat Mid-single digits Adjusted EPS $3.50 $0.48-$0.50 $3.65-$3.80 Free-cash-flow conversion from net income 76% "seasonal usage" 85% Data source: Johnson Controls. Management is saying that its global products sales (down 2% organically in Q4) will, in the words of CFO Olivier Leonetti on theearnings call "stabilize in the second half of 2024 as backlog continues to normalize and building solutions converts its higher-margin backlog." Global products sales are weakening because dealers are reducing inventory as lead times improve. In other words, it's taking Johnson Controls less time to deliver products, so dealers no longer need to hold bloated inventory. As for building solutions, orders growth improved to 9% in Q4. That's contributing to ongoing growth in the backlog that Leonetti refers to above. Data source: Johnson Controls presentations. A stock to buy? The midpoint of management's full-year guidance puts the stock at 14.3 times earnings and less than 17 times free cash flow (FCF). Moreover, management believes it can improve its FCF conversion from net income over time to 100%. That would help increase its dividend payout as management aims to return all of its FCF to shareholders through share repurchases and dividends. The valuations are attractive, and while there's weakness in China, residential HVAC, and global products destocking, the building solutions businesses continue to grow orders and backlog buoyed by solid demand from investment in semiconductors, electric vehicles, data centers, and healthcare facilities. If the company hits management's guidance, it's an excellent value, but serious questions will be asked if it falls short. Investors' patience is running thin. Should you invest $1,000 in Johnson Controls International Plc right now? Before you buy stock in Johnson Controls International Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Johnson Controls International Plc wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of the S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. 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.
The key to the investment case lies in the massive opportunity to help building owners meet their net zero emissions goals by retrofitting toward the company's more efficient HVACR systems and controls. Organic revenue growth 8% Flat Mid-single digits Adjusted EPS $3.50 $0.48-$0.50 $3.65-$3.80 Free-cash-flow conversion from net income 76% "seasonal usage" 85% Data source: Johnson Controls. The valuations are attractive, and while there's weakness in China, residential HVAC, and global products destocking, the building solutions businesses continue to grow orders and backlog buoyed by solid demand from investment in semiconductors, electric vehicles, data centers, and healthcare facilities.
Global products $1,975 million Building solutions North America $1,394 million Building solutions EMEA/LA $316 million Building solutions Asia Pacific $343 million Data source: Johnson Controls. Organic revenue growth 8% Flat Mid-single digits Adjusted EPS $3.50 $0.48-$0.50 $3.65-$3.80 Free-cash-flow conversion from net income 76% "seasonal usage" 85% Data source: Johnson Controls. Before you buy stock in Johnson Controls International Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Johnson Controls International Plc wasn't one of them.
The other three segments are building solutions in North America, building solutions in Asia Pacific, and building solutions in Europe, the Middle East, Africa, and Latin America (EMEA/LA). Global products $1,975 million Building solutions North America $1,394 million Building solutions EMEA/LA $316 million Building solutions Asia Pacific $343 million Data source: Johnson Controls. Before you buy stock in Johnson Controls International Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Johnson Controls International Plc wasn't one of them.
Building solutions designs, services, and installs HVAC equipment. As for building solutions, orders growth improved to 9% in Q4. Before you buy stock in Johnson Controls International Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Johnson Controls International Plc wasn't one of them.
f5601621-3821-4428-99e0-c12bd2e5180c
711550.0
2023-12-15 00:00:00 UTC
Is ProShares S&P 500 Dividend Aristocrats ETF (NOBL) a Strong ETF Right Now?
DCOMP
https://www.nasdaq.com/articles/is-proshares-sp-500-dividend-aristocrats-etf-nobl-a-strong-etf-right-now-9
nan
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Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering 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. Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns. If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies. These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics. 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 The fund is managed by Proshares. NOBL has been able to amass assets over $11.73 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. This particular fund, before fees and expenses, seeks to match the performance of the S&P 500 DividendAristocrats Index. The S&P 500 Dividend Aristocrats Index targets companies that are currently members of the S&P 500, have increased dividend payments each year for at least 25 years & meet certain market capitalization & liquidity requirements. Cost & Other Expenses 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. Operating expenses on an annual basis are 0.35% for this ETF, which makes it on par with most peer products in the space. It's 12-month trailing dividend yield comes in at 2.05%. Performance and Risk The ETF has added about 6.47% and is up roughly 5.53% so far this year and in the past one year (as of 12/18/2023), respectively. NOBL has traded between $84.12 and $97.15 during this last 52-week period. NOBL has a beta of 0.90 and standard deviation of 15.30% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 68 holdings, it effectively diversifies company-specific risk. Alternatives ProShares S&P 500 Dividend Aristocrats 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. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $25 billion in assets, Vanguard Dividend Appreciation ETF has $73.35 billion. DGRO has an expense ratio of 0.08% 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. 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 ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): 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.
Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. NOBL has a beta of 0.90 and standard deviation of 15.30% for the trailing three-year period, which makes the fund a medium risk choice in the space. Alternatives ProShares S&P 500 Dividend Aristocrats ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market.
IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $25 billion in assets, Vanguard Dividend Appreciation ETF has $73.35 billion. Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here.
Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here.
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. NOBL has a beta of 0.90 and standard deviation of 15.30% for the trailing three-year period, which makes the fund a medium risk choice in the space. 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.
e1fa2823-760e-4442-afd0-f8e773598161
711551.0
2023-12-15 00:00:00 UTC
Wyndham asks shareholders to reject Choice Hotels' offer
DCOMP
https://www.nasdaq.com/articles/wyndham-asks-shareholders-to-reject-choice-hotels-offer
nan
nan
Dec 18 (Reuters) - Budget hotel operator Wyndham Hotels & Resorts WH.N on Monday asked its shareholders to reject Choice Hotels CHH.N takeover offer, citing regulatory review of up to 24 months and lower valuation. Last week, Choice launched a hostile bid for Wyndham after the New Jersey-based hotel repeatedly rebuffed the overtures. "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan" said Stephen Holmes, chairman of the Wyndham Board. The offer, valued at $7.8 billion in October, comes against the backdrop of rising demand for budget hotels from travelers looking for cheaper options due to still-high inflation. Wyndham also added that reception from franchisees has been extremely negative. About 80% of Wyndham franchisee respondents said a tie-up would hurt their business and about 60% said they would terminate their contract in the event of a merger if they had the option, according to a survey. Wyndham has repeatedly highlighted that the offer undervalues its business and carries regulatory risks. It has also pointed to a combined company's likely high debt level, as well as the slower growth prospects of Choice's business. Choice has also said it was identifying director candidates for nomination to Wyndham's board at its 2024 annual meeting and would file documents with the Federal Trade Commission to kick off a regulatory review process. (Reporting by Aishwarya Jain in Bengaluru; Editing by Sriraj Kalluvila) ((Aishwarya.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.
The offer, valued at $7.8 billion in October, comes against the backdrop of rising demand for budget hotels from travelers looking for cheaper options due to still-high inflation. About 80% of Wyndham franchisee respondents said a tie-up would hurt their business and about 60% said they would terminate their contract in the event of a merger if they had the option, according to a survey. Choice has also said it was identifying director candidates for nomination to Wyndham's board at its 2024 annual meeting and would file documents with the Federal Trade Commission to kick off a regulatory review process.
Dec 18 (Reuters) - Budget hotel operator Wyndham Hotels & Resorts WH.N on Monday asked its shareholders to reject Choice Hotels CHH.N takeover offer, citing regulatory review of up to 24 months and lower valuation. Last week, Choice launched a hostile bid for Wyndham after the New Jersey-based hotel repeatedly rebuffed the overtures. "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan" said Stephen Holmes, chairman of the Wyndham Board.
Dec 18 (Reuters) - Budget hotel operator Wyndham Hotels & Resorts WH.N on Monday asked its shareholders to reject Choice Hotels CHH.N takeover offer, citing regulatory review of up to 24 months and lower valuation. "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan" said Stephen Holmes, chairman of the Wyndham Board. Choice has also said it was identifying director candidates for nomination to Wyndham's board at its 2024 annual meeting and would file documents with the Federal Trade Commission to kick off a regulatory review process.
Dec 18 (Reuters) - Budget hotel operator Wyndham Hotels & Resorts WH.N on Monday asked its shareholders to reject Choice Hotels CHH.N takeover offer, citing regulatory review of up to 24 months and lower valuation. Last week, Choice launched a hostile bid for Wyndham after the New Jersey-based hotel repeatedly rebuffed the overtures. "We are confident Wyndham can deliver long-term shareholder value well in excess of the $85 per share offered by Choice by continuing to execute on our existing business plan" said Stephen Holmes, chairman of the Wyndham Board.
6054e07b-e64a-486b-9418-59ab304aa4ad
711552.0
2023-12-15 00:00:00 UTC
Should You Invest in the Consumer Staples Select Sector SPDR ETF (XLP)?
DCOMP
https://www.nasdaq.com/articles/should-you-invest-in-the-consumer-staples-select-sector-spdr-etf-xlp-9
nan
nan
Designed to provide broad exposure to the Consumer Staples - Broad segment of the equity market, the Consumer Staples Select Sector SPDR ETF (XLP) is a passively managed exchange traded fund launched on 12/16/1998. 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. Sector ETFs also provide investors access to a broad group of companies in particular sectors that offer low risk and diversified exposure. Consumer Staples - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 12, placing it in bottom 25%. Index Details The fund is sponsored by State Street Global Advisors. It has amassed assets over $15.53 billion, making it the largest ETF attempting to match the performance of the Consumer Staples - Broad segment of the equity market. XLP seeks to match the performance of the Consumer Staples Select Sector Index before fees and expenses. The Consumer Staples Select Sector Index seeks to provide an effective representation of the consumer staples sector of the S&P 500 Index. Costs When considering an ETF's total return, expense ratios are an important factor, and cheaper funds can significantly outperform their more expensive counterparts in the long term if all other factors remain equal. Annual operating expenses for this ETF are 0.10%, making it one of the least expensive products in the space. It has a 12-month trailing dividend yield of 2.65%. 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 in the Consumer Staples sector--about 100% of the portfolio. Looking at individual holdings, Procter + Gamble Co/the (PG) accounts for about 14.89% of total assets, followed by Costco Wholesale Corp (COST) and Walmart Inc (WMT). The top 10 holdings account for about 68.11% of total assets under management. Performance and Risk The ETF has lost about -2.62% and is down about -2.79% so far this year and in the past one year (as of 12/18/2023), respectively. XLP has traded between $66.22 and $77.50 during this last 52-week period. The ETF has a beta of 0.61 and standard deviation of 13.59% for the trailing three-year period, making it a medium risk choice in the space. With about 40 holdings, it has more concentrated exposure than peers. Alternatives Consumer Staples Select Sector SPDR 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, XLP is a sufficient option for those seeking exposure to the Consumer Staples ETFs area of the market. Investors might also want to consider some other ETF options in the space. IShares U.S. Consumer Staples ETF (IYK) tracks Dow Jones U.S. Consumer Goods Index and the Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index. IShares U.S. Consumer Staples ETF has $1.31 billion in assets, Vanguard Consumer Staples ETF has $6.38 billion. IYK has an expense ratio of 0.40% and VDC 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 Consumer Staples Select Sector SPDR ETF (XLP): ETF Research Reports Procter & Gamble Company (The) (PG) : Free Stock Analysis Report Walmart Inc. (WMT) : Free Stock Analysis Report Costco Wholesale Corporation (COST) : Free Stock Analysis Report Vanguard Consumer Staples ETF (VDC): ETF Research Reports iShares U.S. Consumer Staples ETF (IYK): 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.
It has amassed assets over $15.53 billion, making it the largest ETF attempting to match the performance of the Consumer Staples - Broad segment of the equity market. Looking at individual holdings, Procter + Gamble Co/the (PG) accounts for about 14.89% of total assets, followed by Costco Wholesale Corp (COST) and Walmart Inc (WMT). The ETF has a beta of 0.61 and standard deviation of 13.59% for the trailing three-year period, making it a medium risk choice in the space.
Designed to provide broad exposure to the Consumer Staples - Broad segment of the equity market, the Consumer Staples Select Sector SPDR ETF (XLP) is a passively managed exchange traded fund launched on 12/16/1998. IShares U.S. Consumer Staples ETF (IYK) tracks Dow Jones U.S. Consumer Goods Index and the Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index. Click to get this free report Consumer Staples Select Sector SPDR ETF (XLP): ETF Research Reports Procter & Gamble Company (The) (PG) : Free Stock Analysis Report Walmart Inc. (WMT) : Free Stock Analysis Report Costco Wholesale Corporation (COST) : Free Stock Analysis Report Vanguard Consumer Staples ETF (VDC): ETF Research Reports iShares U.S. Consumer Staples ETF (IYK): ETF Research Reports To read this article on Zacks.com click here.
Designed to provide broad exposure to the Consumer Staples - Broad segment of the equity market, the Consumer Staples Select Sector SPDR ETF (XLP) is a passively managed exchange traded fund launched on 12/16/1998. IShares U.S. Consumer Staples ETF (IYK) tracks Dow Jones U.S. Consumer Goods Index and the Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index. Click to get this free report Consumer Staples Select Sector SPDR ETF (XLP): ETF Research Reports Procter & Gamble Company (The) (PG) : Free Stock Analysis Report Walmart Inc. (WMT) : Free Stock Analysis Report Costco Wholesale Corporation (COST) : Free Stock Analysis Report Vanguard Consumer Staples ETF (VDC): ETF Research Reports iShares U.S. Consumer Staples ETF (IYK): ETF Research Reports To read this article on Zacks.com click here.
Designed to provide broad exposure to the Consumer Staples - Broad segment of the equity market, the Consumer Staples Select Sector SPDR ETF (XLP) is a passively managed exchange traded fund launched on 12/16/1998. Annual operating expenses for this ETF are 0.10%, making it one of the least expensive products in the space. Alternatives Consumer Staples Select Sector SPDR ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors.
d7a825d5-6a52-45c9-8870-b55864f17e02
711553.0
2023-12-15 00:00:00 UTC
3 Rate-Sensitive Stocks to Gain as Fed Sounds Dovish for 2024
DCOMP
https://www.nasdaq.com/articles/3-rate-sensitive-stocks-to-gain-as-fed-sounds-dovish-for-2024
nan
nan
As widely anticipated, the Federal Reserve held interest rates steady in its latest policy meeting and signaled multiple rate cuts are coming in 2024, with more to be followed in 2025. Utility and real estate players cheer the Fed’s dovish stance as they stand to benefit from the central bank’s motive to lower the policy rate soon. Thus, astute investors should invest in stocks such as American Water Works AWK, CenterPoint Energy CNP and Granite Construction GVA as of now for solid returns. Fed Signals Rate Cuts in 2024 The Fed has held interest rates unchanged at 5.25% to 5.5% for the third successive meeting. The Fed also hinted at three rate cuts in 2024, with further rate cuts expected in 2025 as inflation cools down amid sturdy economic growth. The third-quarter GDP has already increased at the fastest annual rate in two years as consumers opened up their wallets to splurge on discretionary items. Inflationary Pressure Subsides Conversely, inflation came in line with estimates, allowing the Fed to keep interest rates unaltered. The consumer price index (CPI) increased 0.1% month over month in November, while the annual rate went up 3.1%. However, year over year, the CPI declined following an uptick of 3.2% in October. The core CPI that eliminates volatile energy and food prices was up 0.3% month over month and 4% from a year ago. Both data were in line with market’s expectations and changed little from a month earlier. Rate-Sensitive Stocks to Gain With interest rate cuts expected soon, companies from the utility and real estate sectors are poised to gain. Utilities, for instance, are capital-intensive businesses, which compels them to rely on third parties for funding. Thus, they have a high level of debt. In a low-interest-rate environment, they can pay off their debt and register profit. It's also worth pointing out that in case of rising interest rates, credit ratings of utility companies may go down, and they will find it hard to get lenders. Moreover, they can’t borrow at realistic rates, eventually leading to an increase in operating costs. Interest rate hikes are also a drag on real estate activities. The borrowing costs of real estate projects of construction companies increase amid higher interest rates and impact profit margins. Top 3 Choices We have, thus, selected three stocks that are positioned to benefit from the Fed’s intention to slash interest rates. These stocks flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. American Water Works is a water supply and wastewater service provider. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings has increased 0.4% over the past 60 days. AWK’s expected earnings growth rate for the current and next year is 6.9%. CenterPoint Energy provides electric transmission & distribution, natural gas distribution, and competitive natural gas sales and services operations. The company presently has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings has increased 0.7% over the past 60 days. CNP’s expected earnings growth rate for the current and next year are 8.7% and 8%, respectively. Granite Construction is the nation’s largest infrastructure contractor and producer of construction materials. The company at the moment has a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings has increased 9.9% over the past 60 days. GVA’s expected earnings growth rate for the current and next year are 35.1% and 37.5%, respectively. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 CenterPoint Energy, Inc. (CNP) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report Granite Construction Incorporated (GVA) : 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.
Utility and real estate players cheer the Fed’s dovish stance as they stand to benefit from the central bank’s motive to lower the policy rate soon. Thus, astute investors should invest in stocks such as American Water Works AWK, CenterPoint Energy CNP and Granite Construction GVA as of now for solid returns. The borrowing costs of real estate projects of construction companies increase amid higher interest rates and impact profit margins.
Thus, astute investors should invest in stocks such as American Water Works AWK, CenterPoint Energy CNP and Granite Construction GVA as of now for solid returns. The borrowing costs of real estate projects of construction companies increase amid higher interest rates and impact profit margins. Click to get this free report CenterPoint Energy, Inc. (CNP) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report Granite Construction Incorporated (GVA) : Free Stock Analysis Report To read this article on Zacks.com click here.
Fed Signals Rate Cuts in 2024 The Fed has held interest rates unchanged at 5.25% to 5.5% for the third successive meeting. Rate-Sensitive Stocks to Gain With interest rate cuts expected soon, companies from the utility and real estate sectors are poised to gain. Click to get this free report CenterPoint Energy, Inc. (CNP) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report Granite Construction Incorporated (GVA) : Free Stock Analysis Report To read this article on Zacks.com click here.
Rate-Sensitive Stocks to Gain With interest rate cuts expected soon, companies from the utility and real estate sectors are poised to gain. The borrowing costs of real estate projects of construction companies increase amid higher interest rates and impact profit margins. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
560e328c-3d1a-4d11-b66d-8d47aeeb02a6
711554.0
2023-12-15 00:00:00 UTC
Should You Invest in the First Trust Consumer Staples AlphaDEX ETF (FXG)?
DCOMP
https://www.nasdaq.com/articles/should-you-invest-in-the-first-trust-consumer-staples-alphadex-etf-fxg-9
nan
nan
If you're interested in broad exposure to the Consumer Staples - Broad segment of the equity market, look no further than the First Trust Consumer Staples AlphaDEX ETF (FXG), a passively managed exchange traded fund launched on 05/08/2007. 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. Sector ETFs are also funds of convenience, offering many ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Consumer Staples - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 12, placing it in bottom 25%. Index Details The fund is sponsored by First Trust Advisors. It has amassed assets over $449.72 million, making it one of the average sized ETFs attempting to match the performance of the Consumer Staples - Broad segment of the equity market. FXG seeks to match the performance of the StrataQuant Consumer Staples Index before fees and expenses. The StrataQuant Consumer Staples Index is a modified equal-dollar weighted index designed by the AMEX to objectively identify and select stocks from the Russell 1000 Index that may generate positive alpha relative to traditional passive style indices through the use of the AlphaDEX screening methodology. 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 0.63%, making it one of the more expensive products in the space. It has a 12-month trailing dividend yield of 1.81%. 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 in the Consumer Staples sector--about 86.20% of the portfolio. Healthcare and Materials round out the top three. Looking at individual holdings, Celsius Holdings, Inc. (CELH) accounts for about 5.57% of total assets, followed by Bunge Limited (BG) and Pilgrim's Pride Corporation (PPC). The top 10 holdings account for about 42.74% of total assets under management. Performance and Risk Year-to-date, the First Trust Consumer Staples AlphaDEX ETF has lost about -0.25% so far, and is down about -0.81% over the last 12 months (as of 12/18/2023). FXG has traded between $57.04 and $64.56 in this past 52-week period. The ETF has a beta of 0.69 and standard deviation of 13.97% for the trailing three-year period, making it a medium risk choice in the space. With about 41 holdings, it has more concentrated exposure than peers. Alternatives First Trust Consumer Staples AlphaDEX 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, FXG is a sufficient option for those seeking exposure to the Consumer Staples ETFs area of the market. Investors might also want to consider some other ETF options in the space. Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index and the Consumer Staples Select Sector SPDR ETF (XLP) tracks Consumer Staples Select Sector Index. Vanguard Consumer Staples ETF has $6.38 billion in assets, Consumer Staples Select Sector SPDR ETF has $15.53 billion. VDC has an expense ratio of 0.10% and XLP 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 First Trust Consumer Staples AlphaDEX ETF (FXG): ETF Research Reports Bunge Global SA (BG) : Free Stock Analysis Report Pilgrim's Pride Corporation (PPC) : Free Stock Analysis Report Consumer Staples Select Sector SPDR ETF (XLP): ETF Research Reports Vanguard Consumer Staples ETF (VDC): ETF Research Reports Celsius Holdings Inc. (CELH) : 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.
It has amassed assets over $449.72 million, making it one of the average sized ETFs attempting to match the performance of the Consumer Staples - Broad segment of the equity market. Performance and Risk Year-to-date, the First Trust Consumer Staples AlphaDEX ETF has lost about -0.25% so far, and is down about -0.81% over the last 12 months (as of 12/18/2023). The ETF has a beta of 0.69 and standard deviation of 13.97% for the trailing three-year period, making it a medium risk choice in the space.
Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index and the Consumer Staples Select Sector SPDR ETF (XLP) tracks Consumer Staples Select Sector Index. Vanguard Consumer Staples ETF has $6.38 billion in assets, Consumer Staples Select Sector SPDR ETF has $15.53 billion. Click to get this free report First Trust Consumer Staples AlphaDEX ETF (FXG): ETF Research Reports Bunge Global SA (BG) : Free Stock Analysis Report Pilgrim's Pride Corporation (PPC) : Free Stock Analysis Report Consumer Staples Select Sector SPDR ETF (XLP): ETF Research Reports Vanguard Consumer Staples ETF (VDC): ETF Research Reports Celsius Holdings Inc. (CELH) : Free Stock Analysis Report To read this article on Zacks.com click here.
Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index and the Consumer Staples Select Sector SPDR ETF (XLP) tracks Consumer Staples Select Sector Index. Vanguard Consumer Staples ETF has $6.38 billion in assets, Consumer Staples Select Sector SPDR ETF has $15.53 billion. Click to get this free report First Trust Consumer Staples AlphaDEX ETF (FXG): ETF Research Reports Bunge Global SA (BG) : Free Stock Analysis Report Pilgrim's Pride Corporation (PPC) : Free Stock Analysis Report Consumer Staples Select Sector SPDR ETF (XLP): ETF Research Reports Vanguard Consumer Staples ETF (VDC): ETF Research Reports Celsius Holdings Inc. (CELH) : Free Stock Analysis Report To read this article on Zacks.com click here.
Annual operating expenses for this ETF are 0.63%, making it one of the more expensive products in the space. Alternatives First Trust Consumer Staples AlphaDEX ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index and the Consumer Staples Select Sector SPDR ETF (XLP) tracks Consumer Staples Select Sector Index.
86894e2f-14c9-4a86-84d2-dc928e1a366e
711555.0
2023-12-15 00:00:00 UTC
New Strong Sell Stocks for December 18th
DCOMP
https://www.nasdaq.com/articles/new-strong-sell-stocks-for-december-18th
nan
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Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today: Amtech Systems, Inc. ASYS is a semiconductor equipment company. The Zacks Consensus Estimate for its current year earnings has been revised 55.6% downward over the last 60 days. ChampionX Corporation CHX is a chemical solutions provider company. The Zacks Consensus Estimate for its current year earnings has been revised 5.4% downward over the last 60 days. Heartland Express, Inc. HTLD is a freight carrier company. The Zacks Consensus Estimate for its current year earnings has been revised 80.5% downward over the last 60 days. View the entire Zacks Rank #5 List. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Amtech Systems, Inc. (ASYS) : Free Stock Analysis Report Heartland Express, Inc. (HTLD) : Free Stock Analysis Report ChampionX Corporation (CHX) : 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.
Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today: Amtech Systems, Inc. ASYS is a semiconductor equipment company. The Zacks Consensus Estimate for its current year earnings has been revised 5.4% downward over the last 60 days. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
The Zacks Consensus Estimate for its current year earnings has been revised 55.6% downward over the last 60 days. The Zacks Consensus Estimate for its current year earnings has been revised 5.4% downward over the last 60 days. Click to get this free report Amtech Systems, Inc. (ASYS) : Free Stock Analysis Report Heartland Express, Inc. (HTLD) : Free Stock Analysis Report ChampionX Corporation (CHX) : Free Stock Analysis Report To read this article on Zacks.com click here.
Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today: Amtech Systems, Inc. ASYS is a semiconductor equipment company. The Zacks Consensus Estimate for its current year earnings has been revised 55.6% downward over the last 60 days. Click to get this free report Amtech Systems, Inc. (ASYS) : Free Stock Analysis Report Heartland Express, Inc. (HTLD) : Free Stock Analysis Report ChampionX Corporation (CHX) : Free Stock Analysis Report To read this article on Zacks.com click here.
Be First to New Top 10 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 Amtech Systems, Inc. (ASYS) : Free Stock Analysis Report Heartland Express, Inc. (HTLD) : Free Stock Analysis Report ChampionX Corporation (CHX) : Free Stock Analysis Report To read this article on Zacks.com click here.
01719568-418e-4b35-b2d1-34f79d6ff0f9
711556.0
2023-12-15 00:00:00 UTC
New Strong Buy Stocks for December 18th
DCOMP
https://www.nasdaq.com/articles/new-strong-buy-stocks-for-december-18th
nan
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Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today: ACRES Commercial Realty Corp. ACR: This real estate investment trust has seen the Zacks Consensus Estimate for its current year earnings increasing 12% over the last 60 days. ACRES Commercial Realty Corp. Price and Consensus ACRES Commercial Realty Corp. price-consensus-chart | ACRES Commercial Realty Corp. Quote Photronics, Inc. PLAB: This photomask manufacturer has seen the Zacks Consensus Estimate for its current year earnings increasing 15.6% over the last 60 days. Photronics, Inc. Price and Consensus Photronics, Inc. price-consensus-chart | Photronics, Inc. Quote Ryerson Holding Corporation RYI: This industrial metal company has seen the Zacks Consensus Estimate for its current year earnings increasing 18% over the last 60 days. Ryerson Holding Corporation Price and Consensus Ryerson Holding Corporation price-consensus-chart | Ryerson Holding Corporation Quote Shopify Inc. SHOP: This e-commerce company has seen the Zacks Consensus Estimate for its current year earnings increasing 32.1% over the last 60 days. Shopify Inc. Price and Consensus Shopify Inc. price-consensus-chart | Shopify Inc. Quote Taseko Mines Limited TGB: This mining company has seen the Zacks Consensus Estimate for its current year earnings increasing 50% over the last 60 days. Taseko Mines Limited Price and Consensus Taseko Mines Limited price-consensus-chart | Taseko Mines Limited Quote You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Photronics, Inc. (PLAB) : Free Stock Analysis Report Ryerson Holding Corporation (RYI) : Free Stock Analysis Report Shopify Inc. (SHOP) : Free Stock Analysis Report Taseko Mines Limited (TGB) : Free Stock Analysis Report ACRES Commercial Realty Corp. (ACR) : 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.
Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today: ACRES Commercial Realty Corp. ACR: This real estate investment trust has seen the Zacks Consensus Estimate for its current year earnings increasing 12% over the last 60 days. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024.
Ryerson Holding Corporation Price and Consensus Ryerson Holding Corporation price-consensus-chart | Ryerson Holding Corporation Quote Shopify Inc. SHOP: This e-commerce company has seen the Zacks Consensus Estimate for its current year earnings increasing 32.1% over the last 60 days. Shopify Inc. Price and Consensus Shopify Inc. price-consensus-chart | Shopify Inc. Quote Taseko Mines Limited TGB: This mining company has seen the Zacks Consensus Estimate for its current year earnings increasing 50% over the last 60 days. Click to get this free report Photronics, Inc. (PLAB) : Free Stock Analysis Report Ryerson Holding Corporation (RYI) : Free Stock Analysis Report Shopify Inc. (SHOP) : Free Stock Analysis Report Taseko Mines Limited (TGB) : Free Stock Analysis Report ACRES Commercial Realty Corp. (ACR) : Free Stock Analysis Report To read this article on Zacks.com click here.
ACRES Commercial Realty Corp. Price and Consensus ACRES Commercial Realty Corp. price-consensus-chart | ACRES Commercial Realty Corp. Quote Photronics, Inc. PLAB: This photomask manufacturer has seen the Zacks Consensus Estimate for its current year earnings increasing 15.6% over the last 60 days. Ryerson Holding Corporation Price and Consensus Ryerson Holding Corporation price-consensus-chart | Ryerson Holding Corporation Quote Shopify Inc. SHOP: This e-commerce company has seen the Zacks Consensus Estimate for its current year earnings increasing 32.1% over the last 60 days. Click to get this free report Photronics, Inc. (PLAB) : Free Stock Analysis Report Ryerson Holding Corporation (RYI) : Free Stock Analysis Report Shopify Inc. (SHOP) : Free Stock Analysis Report Taseko Mines Limited (TGB) : Free Stock Analysis Report ACRES Commercial Realty Corp. (ACR) : Free Stock Analysis Report To read this article on Zacks.com click here.
Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today: ACRES Commercial Realty Corp. ACR: This real estate investment trust has seen the Zacks Consensus Estimate for its current year earnings increasing 12% over the last 60 days. Ryerson Holding Corporation Price and Consensus Ryerson Holding Corporation price-consensus-chart | Ryerson Holding Corporation Quote Shopify Inc. SHOP: This e-commerce company has seen the Zacks Consensus Estimate for its current year earnings increasing 32.1% over the last 60 days. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
bc52f801-d52b-4d8b-8440-c3f8297e6821
711557.0
2023-12-15 00:00:00 UTC
Can PayPal Double in 5 Years? Here's What It Would Take
DCOMP
https://www.nasdaq.com/articles/can-paypal-double-in-5-years-heres-what-it-would-take-0
nan
nan
Although a successful industry-leading company, PayPal (NASDAQ: PYPL) hasn't been the best to its shareholders. The stock has lost 28% of its value in the last five years, while the Nasdaq Composite Index has more than doubled. But can this fintech stock double in the next five years? This would translate to a 15% annualized return. It's not totally out of the question. Here's what it would take. Double-digit growth PayPal has been benefiting from the rise of digital payments from the time it was part of eBay to today. The popularity of online shopping, coupled with the digitization and globalization of commerce, has also propelled PayPal. There's no reason to believe this trend won't keep boosting the business. One important metric that needs to grow for the stock to double in the next five years is total payment volume (TPV). This measures the dollar amount of activity PayPal handles in a given period. From $451 billion in 2017 to an annualized pace of nearly $1.6 trillion in the most recent quarter (Q3 2023 ended Sept. 30), the business has clearly been gaining greater adoption. But why does PayPal deserve to keep succeeding? For starters, its digital wallet is the most widely accepted in North America and Europe, with nearly 80% market share among the top 1,500 merchants in these two continents. This wide acceptance puts PayPal in a prime position. Because of the company's more than two-decade track record of successfully handling payments safely and securely, PayPal is a trusted industry name that doesn't go unnoticed. Both enterprises and consumers realize this. Plus, by operating a two-sided ecosystem that can collect data from both individuals and merchants, PayPal is better able to detect fraud while increasing authorization rates than rivals that only deal with one side of a transaction. Of course, TPV growth must translate into revenue gains also. According to Wall Street estimates, PayPal's sales are forecasted to grow at a compound annual rate of 8.4% between 2022 and 2025, which would be a healthy rate. Boosting the bottom line Besides rising revenue and greater usage of PayPal's payments platform, this business might need to demonstrate that it has operating leverage. This won't be an easy task, mainly because PayPal has failed to do this in the past. For example, the company's transaction margin has actually shrunk from 65.1% in Q4 2017 to 45.4% in the most recent quarter. A key reason for this is that PayPal's transaction take rate, or the amount of money it makes from each transaction it processes, has fallen over time. As the payments landscape becomes increasingly competitive, the take rate will likely continue to drop due to pricing pressure. And a valid argument can be made that payments is a commoditized service. Let's turn our attention to the operating margin. In PayPal's defense, this metric has stayed relatively constant over the years, successfully holding up despite the declining take rate. However, it can be discouraging because payments networks should benefit from a widening margin. The technological and communications infrastructure is already built out, so every additional transaction should produce a high margin. Nonetheless, PayPal produces a lot of free cash flow that management uses to aggressively buy back the stock. This helps provide a bump to earnings per share. Higher valuation multiple The last piece of the puzzle for PayPal's stock to double is more love from the investment community. Since the stock has been crushed in the past 2 1/2 years, it trades at a cheap valuation, a price-to-earnings (P/E) multiple of just 18.5. That's cheaper than the broader S&P 500. I have no clue what PayPal's P/E ratio should be in five years, but if revenue and earnings growth remain strong, a higher valuation can provide a major tailwind for the stock price. And this is why I think shares could double in five years. 10 stocks we like better than PayPal When our 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 PayPal 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 November 29, 2023 Neil Patel and his clients have no position in any of the stocks mentioned. The Motley Fool has positions in and recommends PayPal. The Motley Fool recommends eBay and recommends the following options: short December 2023 $67.50 puts on PayPal and short January 2024 $45 calls on eBay. 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.
Because of the company's more than two-decade track record of successfully handling payments safely and securely, PayPal is a trusted industry name that doesn't go unnoticed. Plus, by operating a two-sided ecosystem that can collect data from both individuals and merchants, PayPal is better able to detect fraud while increasing authorization rates than rivals that only deal with one side of a transaction. I have no clue what PayPal's P/E ratio should be in five years, but if revenue and earnings growth remain strong, a higher valuation can provide a major tailwind for the stock price.
Of course, TPV growth must translate into revenue gains also. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Neil Patel and his clients have no position in any of the stocks mentioned. The Motley Fool recommends eBay and recommends the following options: short December 2023 $67.50 puts on PayPal and short January 2024 $45 calls on eBay.
I have no clue what PayPal's P/E ratio should be in five years, but if revenue and earnings growth remain strong, a higher valuation can provide a major tailwind for the stock price. 10 stocks we like better than PayPal When our analyst team has a stock tip, it can pay to listen. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Neil Patel and his clients have no position in any of the stocks mentioned.
A key reason for this is that PayPal's transaction take rate, or the amount of money it makes from each transaction it processes, has fallen over time. And this is why I think shares could double in five years. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Neil Patel and his clients have no position in any of the stocks mentioned.
8557f815-53f3-497e-9cbf-eb15a1a3ebc6
711558.0
2023-12-15 00:00:00 UTC
METALS-Copper slips, but prospect of tight supplies sustains sentiment
DCOMP
https://www.nasdaq.com/articles/metals-copper-slips-but-prospect-of-tight-supplies-sustains-sentiment
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By Pratima Desai LONDON, Dec 18 (Reuters) - Copper prices came under pressure on Monday due to worry about weak demand in top consumer China, but mine closures and disruptions raising the prospect of tighter supplies helped support confidence. Benchmark copper CMCU3 on the London Metal Exchange (LME) was down 0.5% at $8,509 a metric ton by 1050 GMT. Prices of the metal used in the power and construction industries touched four-month highs at $8,640 a ton this month. China's troubled property market has weighed on industrial metals demand for most of this year, despite government measures to support the sector. Julius Baer analyst Carsten Menke expects energy transition demand for copper to offset the slowdown in China. "The past few weeks have shown copper supply is quite vulnerable, Cobre Panama in particular," he said. Copper has been climbing over the past two months due to uncertainty about supplies from First Quantum's FM.TO Cobre mine in Panama, accounting for 1% of global mined supply last year. Also helping sentiment was Anglo American AAL.L cutting its copper production guidance by 20% and 18% for next year and 2025 respectively. Expectations the Federal Reserve could cut U.S. interest rates in the first quarter of next year are weighing on the dollar which is hovering near 4-1/2-month lows against a basket of major currencies. FRX/ A falling U.S. currency makes dollar-priced metals cheaper for holders of other currencies, which could help demand. However, the discount over the three-month copper contract CMCU0-3 near 31-year lows suggests the market does not expect imminent shortages on the LME. Elsewhere, aluminium prices CMAL3 fell after data showed stocks in LME approved warehouses MALSTX-TOTA jumped 59,850 tons to 504,475 tons, the highest since early October. However, the impact was brief as funds cutting short position pushed aluminium prices back towards the five-week highs of $2,269.50 a ton hit on Friday. Three-month aluminium was up 0.6% at $2,261. In other metals, zinc CMZN3 gained 0.6% to $2,547, lead CMPB3 advanced 0.3% to $2,088, tin CMSN3 slipped 0.5% to $25,050 and nickel CMNI3 dropped 1.8% to $16,840. (Reporting by Pratima Desai; editing by Ed Osmond) ((pratima.desai@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.
By Pratima Desai LONDON, Dec 18 (Reuters) - Copper prices came under pressure on Monday due to worry about weak demand in top consumer China, but mine closures and disruptions raising the prospect of tighter supplies helped support confidence. Expectations the Federal Reserve could cut U.S. interest rates in the first quarter of next year are weighing on the dollar which is hovering near 4-1/2-month lows against a basket of major currencies. However, the impact was brief as funds cutting short position pushed aluminium prices back towards the five-week highs of $2,269.50 a ton hit on Friday.
By Pratima Desai LONDON, Dec 18 (Reuters) - Copper prices came under pressure on Monday due to worry about weak demand in top consumer China, but mine closures and disruptions raising the prospect of tighter supplies helped support confidence. China's troubled property market has weighed on industrial metals demand for most of this year, despite government measures to support the sector. Copper has been climbing over the past two months due to uncertainty about supplies from First Quantum's FM.TO Cobre mine in Panama, accounting for 1% of global mined supply last year.
By Pratima Desai LONDON, Dec 18 (Reuters) - Copper prices came under pressure on Monday due to worry about weak demand in top consumer China, but mine closures and disruptions raising the prospect of tighter supplies helped support confidence. Copper has been climbing over the past two months due to uncertainty about supplies from First Quantum's FM.TO Cobre mine in Panama, accounting for 1% of global mined supply last year. Elsewhere, aluminium prices CMAL3 fell after data showed stocks in LME approved warehouses MALSTX-TOTA jumped 59,850 tons to 504,475 tons, the highest since early October.
Copper has been climbing over the past two months due to uncertainty about supplies from First Quantum's FM.TO Cobre mine in Panama, accounting for 1% of global mined supply last year. Expectations the Federal Reserve could cut U.S. interest rates in the first quarter of next year are weighing on the dollar which is hovering near 4-1/2-month lows against a basket of major currencies. Elsewhere, aluminium prices CMAL3 fell after data showed stocks in LME approved warehouses MALSTX-TOTA jumped 59,850 tons to 504,475 tons, the highest since early October.
11da39b2-f232-4fff-bb24-bc06b96b70e7
711559.0
2023-12-15 00:00:00 UTC
Japan's Nippon Steel to buy US Steel in $14.9 billion deal
DCOMP
https://www.nasdaq.com/articles/japans-nippon-steel-to-buy-us-steel-in-%2414.9-billion-deal
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Adds details in paragraph 2, background throughout Dec 18 (Reuters) - Japan's Nippon Steel 5401.T said on Monday it would buy U.S. Steel X.N in a deal worth $14.9 billion including debt, months after the steelmaker put itself up for sale. The per-share offer of $55 represents a premium of about 142% when compared to U.S. Steel stock's closing price before the company announced a strategic review process on Aug. 11. Shares in U.S. Steel were up about 23% in premarket trading. Nippon Steel sees the U.S. as a growth market that can help to offset declining demand in Japan, the Nikkei daily, which earlier reported the deal, said. In the middle of August, U.S. Steel launched a formal review process, after rebuffing a $7.3 billion offer from rival Cleveland-Cliffs Inc CLF.N. While Cliffs continued to participate in the sale process, steelmaking giant ArcelorMittal SA MT.LU was also considering an offer, Reuters reported in August. Pittsburgh-based U.S. Steel's shares had suffered after several quarters of falling revenue and profit, making it an attractive takeover target for rivals looking to add a maker of steel used by the automobile industry. U.S. Steel also supplies to the renewable energy industry and stands to benefit from the Inflation Reduction Act (IRA), which provides tax credits and other incentives for such projects, something that attracted suitors. Companies including U.S. Steel are also set for a strong start to 2024 as steel prices spike following a resolution of the United Auto Workers (UAW) union strike against the Detroit Three automakers. (Reporting by Kiyoshi Takenaka and Rocky Swift in Tokyo and Shivansh Tiwary in Bangalore; editing by Jason Neely, by Sriraj Kalluvila and David Goodman) ((rocky.swift@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.
The per-share offer of $55 represents a premium of about 142% when compared to U.S. Steel stock's closing price before the company announced a strategic review process on Aug. 11. Nippon Steel sees the U.S. as a growth market that can help to offset declining demand in Japan, the Nikkei daily, which earlier reported the deal, said. U.S. Steel also supplies to the renewable energy industry and stands to benefit from the Inflation Reduction Act (IRA), which provides tax credits and other incentives for such projects, something that attracted suitors.
Adds details in paragraph 2, background throughout Dec 18 (Reuters) - Japan's Nippon Steel 5401.T said on Monday it would buy U.S. Steel X.N in a deal worth $14.9 billion including debt, months after the steelmaker put itself up for sale. In the middle of August, U.S. Steel launched a formal review process, after rebuffing a $7.3 billion offer from rival Cleveland-Cliffs Inc CLF.N. While Cliffs continued to participate in the sale process, steelmaking giant ArcelorMittal SA MT.LU was also considering an offer, Reuters reported in August.
Adds details in paragraph 2, background throughout Dec 18 (Reuters) - Japan's Nippon Steel 5401.T said on Monday it would buy U.S. Steel X.N in a deal worth $14.9 billion including debt, months after the steelmaker put itself up for sale. Pittsburgh-based U.S. Steel's shares had suffered after several quarters of falling revenue and profit, making it an attractive takeover target for rivals looking to add a maker of steel used by the automobile industry. Companies including U.S. Steel are also set for a strong start to 2024 as steel prices spike following a resolution of the United Auto Workers (UAW) union strike against the Detroit Three automakers.
Adds details in paragraph 2, background throughout Dec 18 (Reuters) - Japan's Nippon Steel 5401.T said on Monday it would buy U.S. Steel X.N in a deal worth $14.9 billion including debt, months after the steelmaker put itself up for sale. Shares in U.S. Steel were up about 23% in premarket trading. In the middle of August, U.S. Steel launched a formal review process, after rebuffing a $7.3 billion offer from rival Cleveland-Cliffs Inc CLF.N.
bbb99b2a-97b0-4b10-952f-7735628120cc
711560.0
2023-12-15 00:00:00 UTC
Brazilian farmers slow fertilizer buys as drought dampens corn-planting plans
DCOMP
https://www.nasdaq.com/articles/brazilian-farmers-slow-fertilizer-buys-as-drought-dampens-corn-planting-plans
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By Rod Nickel, Ana Mano and Sourasis Bose SAO PAULO, Dec 18 (Reuters) - Brazil's drought is causing farmers there to delay fertilizer purchases for their upcoming corn-planting season, denting sales for global fertilizer suppliers in the world's top corn-exporting country, executives told Reuters. Brazil's soybean harvest is already delayed and that hold-up may push back planting for the main corn season that follows it early next year, which is likely to affect fertilizer companies like Nutrien NTR.TO, Mosaic MOS.N and Yara YAR.OL. Corn is one of the most fertilizer-intensive crops. The drought, related to the El Nino climate phenomenon, illustrates the volatility facing global agriculture as climate change accelerates. Fertilizer companies are already coping with lower profits, as crop and fertilizer prices sag after peaking at the start of the Russia-Ukraine war. Brazilian farmers usually sow less corn when they miss the ideal planting window in January or February, decreasing fertilizer demand. U.S.-based fertilizer producer Mosaic expects "safrinha," production, a Portuguese word referring to Brazil's second corn harvest, to drop by 12% or 12.7 million metric tons, exceeding the Brazil government's view of an 11.1 million ton drop from last year. "I would call it a very plausible downside scenario because of how late the crop's going to go in, how dry it currently is and how it's likely that rains will shut down before that safrinha corn matures," said Mosaic vice-president of market and strategic analysis Andy Jung. Mosaic's estimated crop decline would cut Brazilian demand for potash fertilizer by about 4% or 500,000 tons, Jung said. That volume of potash is worth about $160 million at current prices. A loss of sales on that scale would not be financially material as Mosaic could sell to other countries, Jung said. A worst-case scenario, however, would see safrinha corn harvest fall by 25 million tons or about one-quarter, he added. As of early December, farmers had purchased only 60% of their estimated fertilizer needs in the corn-producing states of Parana and Mato Grosso, compared with 80% usually at this time of year, said Guilherme Schmitz, market development director at Oslo-based Yara's Brazil unit. Safrinha corn represents about 75% of Brazil's national corn output depending on the year. "The combination of low crop prices and the uncertainty about the weather has growers really buying on a just-in-time basis their inputs for the safrinha crop," said Jason Newton, chief economist at Canadian fertilizer company Nutrien. Brazilian potash prices have fallen to around $325 per metric ton, down 36% year over year, according to RBC, illustrating the weak demand. Brazilian full-year potash imports are expected to be record-high, however, based on robust shipments earlier, though some of those imports may sit in retailers' warehouses if farmers buy less. The drought has also forced crop chemical producers FMC FMC.N and Corteva CTVA.N to sell Brazilian stock at a discount because of lower-than-expected demand, said Morningstar analyst Seth Goldstein. Both companies may need to reduce production as rising global chemical demand may not fully offset lost Brazilian sales, he said. "No doubt (the drought) could bring a reduction in the use of technology, including fertilizers, and a reduction in costs to make the harvest viable," said Fernando Cadore, chief of farmer group Aprosoja in Mato Grosso. FMC and Corteva did not respond to requests for comment. Reduced Brazilian production could revive global corn prices and spur U.S. farmers next year to buy more fertilizer to maximize their corn production, offsetting lost Brazilian sales Mosaic's Jung said. Early forecasts suggest U.S. farmers will prioritize planting of soybeans, however, a crop that needs relatively little fertilizer. (Reporting by Rod Nickel in Winnipeg, Manitoba, Ana Mano in Sao Paulo and Sourasis Bose in Bengaluru; Editing by Caroline Stauffer and Aurora Ellis) ((rod.nickel@tr.com; X: @RodNickel_Rtrs;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Brazil's soybean harvest is already delayed and that hold-up may push back planting for the main corn season that follows it early next year, which is likely to affect fertilizer companies like Nutrien NTR.TO, Mosaic MOS.N and Yara YAR.OL. "I would call it a very plausible downside scenario because of how late the crop's going to go in, how dry it currently is and how it's likely that rains will shut down before that safrinha corn matures," said Mosaic vice-president of market and strategic analysis Andy Jung. As of early December, farmers had purchased only 60% of their estimated fertilizer needs in the corn-producing states of Parana and Mato Grosso, compared with 80% usually at this time of year, said Guilherme Schmitz, market development director at Oslo-based Yara's Brazil unit.
By Rod Nickel, Ana Mano and Sourasis Bose SAO PAULO, Dec 18 (Reuters) - Brazil's drought is causing farmers there to delay fertilizer purchases for their upcoming corn-planting season, denting sales for global fertilizer suppliers in the world's top corn-exporting country, executives told Reuters. U.S.-based fertilizer producer Mosaic expects "safrinha," production, a Portuguese word referring to Brazil's second corn harvest, to drop by 12% or 12.7 million metric tons, exceeding the Brazil government's view of an 11.1 million ton drop from last year. Reduced Brazilian production could revive global corn prices and spur U.S. farmers next year to buy more fertilizer to maximize their corn production, offsetting lost Brazilian sales Mosaic's Jung said.
By Rod Nickel, Ana Mano and Sourasis Bose SAO PAULO, Dec 18 (Reuters) - Brazil's drought is causing farmers there to delay fertilizer purchases for their upcoming corn-planting season, denting sales for global fertilizer suppliers in the world's top corn-exporting country, executives told Reuters. U.S.-based fertilizer producer Mosaic expects "safrinha," production, a Portuguese word referring to Brazil's second corn harvest, to drop by 12% or 12.7 million metric tons, exceeding the Brazil government's view of an 11.1 million ton drop from last year. Reduced Brazilian production could revive global corn prices and spur U.S. farmers next year to buy more fertilizer to maximize their corn production, offsetting lost Brazilian sales Mosaic's Jung said.
Brazil's soybean harvest is already delayed and that hold-up may push back planting for the main corn season that follows it early next year, which is likely to affect fertilizer companies like Nutrien NTR.TO, Mosaic MOS.N and Yara YAR.OL. U.S.-based fertilizer producer Mosaic expects "safrinha," production, a Portuguese word referring to Brazil's second corn harvest, to drop by 12% or 12.7 million metric tons, exceeding the Brazil government's view of an 11.1 million ton drop from last year. Reduced Brazilian production could revive global corn prices and spur U.S. farmers next year to buy more fertilizer to maximize their corn production, offsetting lost Brazilian sales Mosaic's Jung said.
e34adcdb-0207-4152-8703-323c1202b3a9
711561.0
2023-12-15 00:00:00 UTC
Wars raise profit outlook for US defense industry in 2024
DCOMP
https://www.nasdaq.com/articles/wars-raise-profit-outlook-for-us-defense-industry-in-2024
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By Mike Stone WASHINGTON, Dec 18 (Reuters) - When the Pentagon pulled the world's biggest defense contractors into a meeting to tell them to ramp up production shortly after Russia invaded Ukraine, one CEO hesitated, saying they did not want to be stuck with a warehouse full of rockets when the fighting stopped, according to three people familiar with the discussion. Nearly two years later, big defense firms are singing a different tune, with several expecting strong demand in 2024 as the U.S. and its allies load up on expensive weaponry and munitions with an eye on what they perceive as more aggressive actions from Russia and China. Since increasing production volumes of older systems is always more profitable than the high investment costs associated with ramping up production of new systems, stronger demand will flow quickly to the corporate bottom line. Shares of the biggest defense companies, which have handily beat the benchmark S&P 500 stock index for the last two years, are expected to keep rising, according to Wall Street estimates. Lockheed Martin LMT.N, General Dynamics GD.N and Northrop Grumman NOC.N shares are forecast to rise between 5% and 7% over the next 12 months, while the S&P is seen making limited gains. US weapons stockpiles were not "full" before Russia invaded Ukraine, said Eric Fanning, chief executive of the U.S. Aerospace Industries Association, and "adversaries are seeing our stockpiles starting thin and being depleted." As a result, demand is being driven by Chinese aggression, fear about Russian aggression and to support allies in the Middle East, he said. Patriot systems production can be broken down to show how sales of basic items will impact a range of companies. To start, RTX RTX.N manufactures the radars and ground systems, and Lockheed Martin manufactures the latest generation interceptor missiles. Boeing BA.N has said over the next few years it will increase its Huntsville, Alabama, factory production capacity for sensors that are used to guide Patriot missiles by more than 30%. Another strong demand signal can be seen in the backlog of solid rocket motors which are used by the vast array of arms in high demand since Russia's full scale invasion of Ukraine in February 2022. The U.S. has two main rocket motor makers, Northrop Grumman, and L3Harris Technologies LHX.N, which both said they have seen demand increase. Northrop said much of the increase is due to demand for its rocket motors and warheads in the Guided Multiple Launch Rocket Systems (GMLRS) which are heavily used in Ukraine. GMLRS are GPS-guided rockets with 200-pound (90kg) warheads. Lockheed Martin makes 10,000 of the missiles per year and is increasing production to 14,000. They have an average cost of $148,000 each according to Army documents and more than 6,100 have been sent to Ukraine so far, according to a Reuters analysis. "Each day the munitions are being fired reinforces the need for substantive stockpiles," Tim Cahill, who runs Lockheed's Missiles and Fire Control business - a prime contractor for Patriot interceptors and GMLRS - said in a Reuters interview. "And I don't see that going down." An executive at a rocket motor maker said the administration of President Joe Biden prioritized munitions in its 2024 Pentagon budget request. (Reporting by Mike Stone in Washington; editing by Chris Sanders and Grant McCool) ((mike.stone1@thomsonreuters.com; https://twitter.com/MichaelStone;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By Mike Stone WASHINGTON, Dec 18 (Reuters) - When the Pentagon pulled the world's biggest defense contractors into a meeting to tell them to ramp up production shortly after Russia invaded Ukraine, one CEO hesitated, saying they did not want to be stuck with a warehouse full of rockets when the fighting stopped, according to three people familiar with the discussion. Nearly two years later, big defense firms are singing a different tune, with several expecting strong demand in 2024 as the U.S. and its allies load up on expensive weaponry and munitions with an eye on what they perceive as more aggressive actions from Russia and China. Shares of the biggest defense companies, which have handily beat the benchmark S&P 500 stock index for the last two years, are expected to keep rising, according to Wall Street estimates.
By Mike Stone WASHINGTON, Dec 18 (Reuters) - When the Pentagon pulled the world's biggest defense contractors into a meeting to tell them to ramp up production shortly after Russia invaded Ukraine, one CEO hesitated, saying they did not want to be stuck with a warehouse full of rockets when the fighting stopped, according to three people familiar with the discussion. The U.S. has two main rocket motor makers, Northrop Grumman, and L3Harris Technologies LHX.N, which both said they have seen demand increase. Northrop said much of the increase is due to demand for its rocket motors and warheads in the Guided Multiple Launch Rocket Systems (GMLRS) which are heavily used in Ukraine.
By Mike Stone WASHINGTON, Dec 18 (Reuters) - When the Pentagon pulled the world's biggest defense contractors into a meeting to tell them to ramp up production shortly after Russia invaded Ukraine, one CEO hesitated, saying they did not want to be stuck with a warehouse full of rockets when the fighting stopped, according to three people familiar with the discussion. Since increasing production volumes of older systems is always more profitable than the high investment costs associated with ramping up production of new systems, stronger demand will flow quickly to the corporate bottom line. Northrop said much of the increase is due to demand for its rocket motors and warheads in the Guided Multiple Launch Rocket Systems (GMLRS) which are heavily used in Ukraine.
The U.S. has two main rocket motor makers, Northrop Grumman, and L3Harris Technologies LHX.N, which both said they have seen demand increase. Northrop said much of the increase is due to demand for its rocket motors and warheads in the Guided Multiple Launch Rocket Systems (GMLRS) which are heavily used in Ukraine. Lockheed Martin makes 10,000 of the missiles per year and is increasing production to 14,000.
e94b7e41-8231-480b-8f2f-ee4561123906
711562.0
2023-12-15 00:00:00 UTC
Why JOBY Stock Could Keep Flying High in 2024
DCOMP
https://www.nasdaq.com/articles/why-joby-stock-could-keep-flying-high-in-2024
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips One can say Joby Aviation (NYSE:JOBY) stock traded sideways for much of the past six months, but it has more-than-doubled in price since January. This “future of transportation” play may have a gradual liftoff in the coming year. Even if its performance is far less impressive in 2024 compared to 2023, that’s not necessarily a reason to stay away. There’s a solid long-term bull case to be made for this stock, given its progress and the potential for eVTOLs to become a major mode of transportation over the next few decades. Read on, as I break down the current situation with this stock, and what may lie ahead. JOBY Stock and its 2023 Performance Going public in 2021, Joby Aviation had a bumpy ride in its first year-and-a-half as a publicly traded company. Yet from early-to-mid 2023, a surge in enthusiasm about eVTOL stocks, plus promising developments from the company itself, resulted in a massive move higher for shares. Trading for under $3.50 per share at the start of the year, JOBY stock at one point reached prices nearing $12 per share, during the height of this summer’s “eVTOL mania.” Again though, JOBY’s performance since then has been far less awe-inspiring. Sure, the stock has been climbing higher in recent weeks. As mentioned above, shares are still up by more than 100% year-to-date. On the other hand, shares are down by around 40% off their 52-week highs. Excitement about eVTOL stocks still hasn’t made a big comeback. Rising short-interest (currently at around 18.8% of float) suggests the “smart money” knows something’s going down (and it’s not good). Like with any speculative growth stock, uncertainty runs high. However, this may work to your advantage. It may take just a small amount of positive news to drive the next liftoff. There may be also be a silver lining to JOBY’s rising short interest. Another Banner Year Ahead? As discussed in my last JOBY stock article, several developments have made the present year a banner one for the company. For instance, in 2023, Joby Aviation has made progress in obtaining the needed certifications from the Federal Aviation Administration needed in order to fully exit the pre-revenue stage. Besides regulatory progress, the company has made progress lining up customers and strategic partners. Several airlines around the world are working with Joby, in their efforts to one day offer air taxi services. Just last week, Joby and its Japanese airline partner, ANA Holdings (OTCMKTS:ALNPY) announced a deal with Nomura Real Estate Development to design and build “vertiports” throughout Japan. While these examples may be best classified as “small wins,” racking up a few more in 2024 could do wonders for JOBY shares. This, plus renewed appreciation for speculative growth stocks, as interest rate trends become more favorable, could fuel a move back in the right direction for this stock. That’s not all. Given the relatively high short interest with JOBY right now, a sudden shift in sentiment back to bullish could really throw the short side in for a loop. The Bottom Line Let’s be clear. While analysts expect Joby to report substantially higher revenue next year ($25 million, versus an estimated $1.12 million for 2023), this company has a ways to go before hitting the big time commercially. Still, a tremendous liftoff could precede the big payoff. The stock could climb to new highs, as investors further price-in future growth. Joby’s eVTOL aircraft may not need a whole lot of runway, but the potential growth runway for this industry is extensive. At least, that’s the view of InvestorPlace’s Luke Lango. Last year, he argued that the total addressable market for eVTOLs could one day hit $3 trillion. Other analysts have cited even higher numbers. With this, if you can handle the risk and volatility, and are bullish on the eVTOL trend, definitely keep JOBY stock on your radar. JOBY stock earns a B rating in Portfolio Grader. 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. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Why JOBY Stock Could Keep Flying High in 2024 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.
Yet from early-to-mid 2023, a surge in enthusiasm about eVTOL stocks, plus promising developments from the company itself, resulted in a massive move higher for shares. Just last week, Joby and its Japanese airline partner, ANA Holdings (OTCMKTS:ALNPY) announced a deal with Nomura Real Estate Development to design and build “vertiports” throughout Japan. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Why JOBY Stock Could Keep Flying High in 2024 appeared first on InvestorPlace.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips One can say Joby Aviation (NYSE:JOBY) stock traded sideways for much of the past six months, but it has more-than-doubled in price since January. As discussed in my last JOBY stock article, several developments have made the present year a banner one for the company. This, plus renewed appreciation for speculative growth stocks, as interest rate trends become more favorable, could fuel a move back in the right direction for this stock.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips One can say Joby Aviation (NYSE:JOBY) stock traded sideways for much of the past six months, but it has more-than-doubled in price since January. JOBY Stock and its 2023 Performance Going public in 2021, Joby Aviation had a bumpy ride in its first year-and-a-half as a publicly traded company. Trading for under $3.50 per share at the start of the year, JOBY stock at one point reached prices nearing $12 per share, during the height of this summer’s “eVTOL mania.” Again though, JOBY’s performance since then has been far less awe-inspiring.
There may be also be a silver lining to JOBY’s rising short interest. This, plus renewed appreciation for speculative growth stocks, as interest rate trends become more favorable, could fuel a move back in the right direction for this stock. The stock could climb to new highs, as investors further price-in future growth.
34aded97-9769-4b04-8b38-f35d8985a614
711563.0
2023-12-15 00:00:00 UTC
3 Ultracheap Stocks to Buy for Big Gains
DCOMP
https://www.nasdaq.com/articles/3-ultracheap-stocks-to-buy-for-big-gains
nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips I generally have two methods for deciding whether stocks are ultracheap. The first method involves comparing the name’s price-earnings or price-sales ratio to its previous growth, and its expected growth in future years. Generally, if a company is growing very rapidly but its valuation is slightly above average or lower, I would view it as very cheap. Similarly, if a firm is expanding at an average rate and its valuation is way below average, I’d consider it to be ultracheap. My second method for identifying cheap stocks involves companies that I believe have tremendous potential. Specifically, if I think that a relatively small firm can easily become the leader of its sector, I try to estimate how much its valuation would probably increase if it achieved that milestone. If I think that the shares would increase at least 300% in such a scenario, I view them as ultracheap. With that said, here are three ultracheap stocks to buy for big gains. Rivian (RIVN) Source: Tada Images / Shutterstock.com Rivian (NASDAQ:RIVN) looks poised to become the next Tesla (NASDAQ:TSLA). And RIVN may ultimately become even more successful than Tesla! Rivian delivered an impressive total of over 15,560 EVs last quarter, way up from 6,584 deliveries in the same period a year earlier. So the firm is clearly growing tremendously, while the demand for its EVs remains very strong. Moreover, the online reviews of its EVs range from very good to excellent, indicating that users are quite happy with their cars. One reason why I believe that Rivian could ultimately become more successful than Tesla is that two huge companies seem to love Rivian’s EVs. Amazon (NASDAQ:AMZN) is deploying tens of thousands of Rivian delivery vans, and AT&T (NYSE:T) recently agreeing to test the start-up’s vans and trucks. I don’t remember any large firms buying Tesla’s vehicles early in its existence, and even now, the only businesses that seem enamored with Teslas are car rental companies. By selling a large number of EVs to both consumers and companies, Rivian could, within several years, become one of the world’s largest automakers. Even after the recent rally of RIVN stock, the shares have a market capitalization of just $21.5 billion, many times below Tesla’s $800 billion. Given that disparity, I view RIVN as one of the best ultracheap stocks to buy. StoneCo (STNE) Source: T. Schneider / Shutterstock.com StoneCo (NASDAQ: STNE) provides financial technology and software solutions that facilitate e-commerce in Brazil. Specializing in serving small-and-medium businesses, it already has 2.5 million customers, and its top line jumped 25% last quarter versus the same period a year earlier to roughly $630 million. The firm’s net income, excluding some items, soared 300% year-over-year to about $87 million. Despite STNE’s rapid growth, its forward price-earnings ratio is just 15.2, which is well below the average P/E ratio of the S&P 500. Also noteworthy is that Bank of America (NYSE:BAC) recently upgraded STNE stock, citing the company’s impressive Q3 results. The bank expects the company’s bottom line to grow at a compound annual rate of 31% between 2024 and 2027. EVgo (EVGO) Source: Sundry Photography / Shutterstock.com Like Rivian, EVgo (NASDAQ:EVGO) is growing very rapidly and looks poised to transform from a fairly small start-up to a huge company in the not-too distant future. Owning and operating one of the largest networks of EV fast chargers in the U.S., EVgo’s top line soared an incredible 234% last quarter versus the same period a year earlier to $35.1 million. Moreover, EVgo is partnering with multiple, major automakers and receiving subsidies from state governments for the construction of hundreds of EV charging stations. As a result, EVGO will have a huge network of EV chargers, while millions of EV drivers will be incentivized by automakers to use its chargers. Consequently, I expect the company to continue growing very quickly for the foreseeable future. Meanwhile, recently agreeing with my belief that the slowdown in EV demand has been greatly exaggerated was investment bank Piper Sandler. Specifically, the firm expects EV sales to reach 33% of the U.S. market in 2025, up from about 9% currently. EVgo should be one of the huge beneficiaries of this development. As a result, it could become the Exxon (NYSE:XOM) or the Chevron (NYSE:CVX) of the 2030s and 2040s. While operating EV chargers won’t be nearly as lucrative as selling oil, there are obviously some similarities between the two businesses. On the date of publication, Larry Ramer held long positions in EVGO and RIVN. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been PLUG, XOM and solar stocks. You can reach him on Stocktwits at @larryramer. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Ultracheap Stocks to Buy for Big Gains 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.
Owning and operating one of the largest networks of EV fast chargers in the U.S., EVgo’s top line soared an incredible 234% last quarter versus the same period a year earlier to $35.1 million. Moreover, EVgo is partnering with multiple, major automakers and receiving subsidies from state governments for the construction of hundreds of EV charging stations. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Ultracheap Stocks to Buy for Big Gains appeared first on InvestorPlace.
StoneCo (STNE) Source: T. Schneider / Shutterstock.com StoneCo (NASDAQ: STNE) provides financial technology and software solutions that facilitate e-commerce in Brazil. EVgo (EVGO) Source: Sundry Photography / Shutterstock.com Like Rivian, EVgo (NASDAQ:EVGO) is growing very rapidly and looks poised to transform from a fairly small start-up to a huge company in the not-too distant future. Owning and operating one of the largest networks of EV fast chargers in the U.S., EVgo’s top line soared an incredible 234% last quarter versus the same period a year earlier to $35.1 million.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips I generally have two methods for deciding whether stocks are ultracheap. EVgo (EVGO) Source: Sundry Photography / Shutterstock.com Like Rivian, EVgo (NASDAQ:EVGO) is growing very rapidly and looks poised to transform from a fairly small start-up to a huge company in the not-too distant future. As a result, EVGO will have a huge network of EV chargers, while millions of EV drivers will be incentivized by automakers to use its chargers.
Generally, if a company is growing very rapidly but its valuation is slightly above average or lower, I would view it as very cheap. Given that disparity, I view RIVN as one of the best ultracheap stocks to buy. As a result, EVGO will have a huge network of EV chargers, while millions of EV drivers will be incentivized by automakers to use its chargers.
3c6106e2-f8c1-4cb4-960e-61ff201cd521
711564.0
2023-12-15 00:00:00 UTC
Best Growth Stocks to Buy for December 18th
DCOMP
https://www.nasdaq.com/articles/best-growth-stocks-to-buy-for-december-18th
nan
nan
Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, December 18: DaVita Inc. DVA:This company which provides kidney dialysis services carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 9.4% over the last 60 days. DaVita Inc. Price and Consensus DaVita Inc. price-consensus-chart | DaVita Inc. Quote DaVita has a PEG ratio of 0.72 compared with 1.36 for the industry. The company possesses a Growth Score of A. DaVita Inc. PEG Ratio (TTM) DaVita Inc. peg-ratio-ttm | DaVita Inc. Quote Brinker International, Inc. EAT: This casual dining restaurant company carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 7.9% over the last 60 days. Brinker International, Inc. Price and Consensus Brinker International, Inc. price-consensus-chart | Brinker International, Inc. Quote Brinker International has a PEG ratio of 0.69 compared with 2.49 for the industry. The company possesses a Growth Score of A. Brinker International, Inc. PEG Ratio (TTM) Brinker International, Inc. peg-ratio-ttm | Brinker International, Inc. Quote Everest Group, Ltd. EG: This company that provides reinsurance and insurance products carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 8.8% over the last 60 days. Everest Group, Ltd. Price and Consensus Everest Group, Ltd. price-consensus-chart | Everest Group, Ltd. Quote Everest Group has a PEG ratio of 0.17 comparedwith 0.76 for the industry. The company possesses a Growth Score of B. Everest Group, Ltd. PEG Ratio (TTM) Everest Group, Ltd. peg-ratio-ttm | Everest Group, Ltd. Quote See the full list of top ranked stocks here. Learn more about the Growth score and how it is calculated here. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 DaVita Inc. (DVA) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Everest Group, Ltd. (EG) : 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.
Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, December 18: DaVita Inc. DVA:This company which provides kidney dialysis services carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 9.4% over the last 60 days. The company possesses a Growth Score of A. Brinker International, Inc. PEG Ratio (TTM) Brinker International, Inc. peg-ratio-ttm | Brinker International, Inc. Quote Everest Group, Ltd. EG: This company that provides reinsurance and insurance products carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 8.8% over the last 60 days. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
The company possesses a Growth Score of A. DaVita Inc. PEG Ratio (TTM) DaVita Inc. peg-ratio-ttm | DaVita Inc. Quote Brinker International, Inc. EAT: This casual dining restaurant company carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 7.9% over the last 60 days. The company possesses a Growth Score of A. Brinker International, Inc. PEG Ratio (TTM) Brinker International, Inc. peg-ratio-ttm | Brinker International, Inc. Quote Everest Group, Ltd. EG: This company that provides reinsurance and insurance products carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 8.8% over the last 60 days. Click to get this free report DaVita Inc. (DVA) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Everest Group, Ltd. (EG) : Free Stock Analysis Report To read this article on Zacks.com click here.
The company possesses a Growth Score of A. DaVita Inc. PEG Ratio (TTM) DaVita Inc. peg-ratio-ttm | DaVita Inc. Quote Brinker International, Inc. EAT: This casual dining restaurant company carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 7.9% over the last 60 days. The company possesses a Growth Score of A. Brinker International, Inc. PEG Ratio (TTM) Brinker International, Inc. peg-ratio-ttm | Brinker International, Inc. Quote Everest Group, Ltd. EG: This company that provides reinsurance and insurance products carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 8.8% over the last 60 days. Click to get this free report DaVita Inc. (DVA) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Everest Group, Ltd. (EG) : Free Stock Analysis Report To read this article on Zacks.com click here.
Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, December 18: DaVita Inc. DVA:This company which provides kidney dialysis services carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 9.4% over the last 60 days. Brinker International, Inc. Price and Consensus Brinker International, Inc. price-consensus-chart | Brinker International, Inc. Quote Brinker International has a PEG ratio of 0.69 compared with 2.49 for the industry. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
7dd0b073-a467-425d-9dec-5a17ee34e567
711565.0
2023-12-15 00:00:00 UTC
Brookfield Asset Management Inc. - Class A Shares Near 52-Week High - Market Mover
DCOMP
https://www.nasdaq.com/articles/brookfield-asset-management-inc.-class-a-shares-near-52-week-high-market-mover
nan
nan
Brookfield Asset Management Inc. - Class A (BAM) shares closed today at 2.0% below its 52 week high of $39.21, giving the company a market cap of $15B. The stock is currently up 37.7% year-to-date, up 45.6% over the past 12 months, and up 18.7% over the past five years. This week, the Dow Jones Industrial Average rose 2.8%, and the S&P 500 rose 2.4%. Trading Activity Trading volume this week was 60.1% higher than the 20-day average. Beta, a measure of the stock’s volatility relative to the overall market stands at 1.3. Technical Indicators The Relative Strength Index (RSI) on the stock was between 30 and 70. MACD, a trend-following momentum indicator, indicates an upward trend. The stock closed below its Bollinger band, indicating it may be oversold. Market Comparative Performance The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Financials industry sector , beats it on a 1-year basis, and lags it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date beats the peer average by 414.4% The company's stock price performance over the past 12 months beats the peer average by 445.3% This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Brookfield Asset Management Inc. - Class A (BAM) shares closed today at 2.0% below its 52 week high of $39.21, giving the company a market cap of $15B. Beta, a measure of the stock’s volatility relative to the overall market stands at 1.3. Market Comparative Performance The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Financials industry sector , beats it on a 1-year basis, and lags it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date beats the peer average by 414.4% The company's stock price performance over the past 12 months beats the peer average by 445.3%
Brookfield Asset Management Inc. - Class A (BAM) shares closed today at 2.0% below its 52 week high of $39.21, giving the company a market cap of $15B. This week, the Dow Jones Industrial Average rose 2.8%, and the S&P 500 rose 2.4%. Market Comparative Performance The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Financials industry sector , beats it on a 1-year basis, and lags it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date beats the peer average by 414.4% The company's stock price performance over the past 12 months beats the peer average by 445.3%
Market Comparative Performance The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Financials industry sector , beats it on a 1-year basis, and lags it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date beats the peer average by 414.4% The company's stock price performance over the past 12 months beats the peer average by 445.3% This story was produced by the Kwhen Automated News Generator. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
This week, the Dow Jones Industrial Average rose 2.8%, and the S&P 500 rose 2.4%. Technical Indicators The Relative Strength Index (RSI) on the stock was between 30 and 70. Market Comparative Performance The company's share price is the same as the S&P 500 Index , beats it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , beats it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Financials industry sector , beats it on a 1-year basis, and lags it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date beats the peer average by 414.4% The company's stock price performance over the past 12 months beats the peer average by 445.3%
dc7b0079-10e8-4401-af94-3defffab7cd8
711566.0
2023-12-15 00:00:00 UTC
3 Stocks Down 30% or More This Year That Wall Street Expects to Skyrocket in 2024
DCOMP
https://www.nasdaq.com/articles/3-stocks-down-30-or-more-this-year-that-wall-street-expects-to-skyrocket-in-2024
nan
nan
Many investors will likely be wearing big smiles as 2023 winds down. The S&P 500 is on track to deliver a gain of over 20% and could hit an all-time high. The Nasdaq-100 has soared more than 50% and continues to set new record highs. But not every investor has a reason to be that happy. However, some of them could have brighter days ahead if analysts are right. Here are three stocks down 30% or more this year that Wall Street expects to skyrocket in 2024. 1. BioNTech BioNTech (NASDAQ: BNTX) stock has fallen close to 32% this year. That's not surprising, considering that sales of Comirnaty, the COVID-19 vaccine the company co-markets with Pfizer, have plunged. BioNTech's total revenue in the first nine months of 2023 was less than one-fifth of the level from the same period in the prior year. Wall Street, though, appears to think that a rebound could be on the way for the beaten-down biotech stock. The average analysts' 12-month price target for BioNTech reflects an upside potential of around 36%. The most optimistic analyst projects that the stock could soar more than 150%. Why do some analysts have such great expectations for BioNTech? It's not because Comirnaty is likely to make a big comeback. Pfizer's recent guidance for 2024 squashed any hopes that would happen. Instead, BioNTech's pipeline could take center stage and provide potential catalysts. The company has two late-stage candidates -- influenza vaccine BNT161 and cancer immunotherapy BNT316. BioNTech also has 37 other programs in phase 1 and phase 2 testing. 2. JD.com Shares of Chinese e-commerce giant JD.com (NASDAQ: JD) have plummeted close to 50% in 2023. China's economy has sputtered. Competition in the country's online shopping market has intensified. JD's growth rate has slowed. You might think that these factors would cause analysts to throw in the towel on JD, but they haven't -- at least not most of them. Of the 37 analysts surveyed by LSEG in December who cover the stock, 32 recommended it as a buy or a strong buy. Only one analyst recommended selling JD.com shares, with four rating the stock as a hold. The average 12-month price target for JD is 61% higher than its current share price. Even the most pessimistic price target reflects an upside potential of nearly 8%. Probably the biggest factor behind the overall bullishness for JD.com is the stock's valuation. JD's shares now trade at a forward earnings multiple of less than 7.9. Many analysts seem to think that this stock has nowhere to go but up. 3. Moderna Moderna (NASDAQ: MRNA) has faced similar challenges as BioNTech this year. Sales of its COVID-19 vaccine Spikevax have cratered. As a result, Moderna's share price is down more than 50% year to date. Some analysts, though, think that Moderna just might make up much its lost ground in 2024. The average 12-month price target for the stock is nearly 50% higher than the current share price. Moderna has given investors some reasons for optimism. The company and its big partner, Merck, recently announced positive results from a phase 2b study of mRNA-4157 in combination with Keytruda in treating melanoma. The two drugmakers are also evaluating this combo in late-stage trials targeting melanoma and non-small cell lung cancer. In addition, Moderna hopes to launch its respiratory syncytial virus (RSV) vaccine next year. It's already ramping up for an anticipated commercial launch of the vaccine. Is Wall Street right about BioNTech, JD.com, and Moderna? Analysts' price targets aren't always achieved. I'm not sure if Wall Street's bullish views about BioNTech, JD.com, and Moderna will be proven correct next year. However, I do think the long-term prospects for all three stocks look good. JD.com really is dirt cheap right now. The company remains a major force in the Chinese e-commerce market. BioNTech and Moderna both have promising pipelines beyond COVID-19. I wouldn't necessarily count on these stocks skyrocketing in 2024 as much as Wall Street projects. But they could deliver market-beating returns for investors over the long run. Should you invest $1,000 in Moderna right now? Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Keith Speights has positions in Pfizer. The Motley Fool has positions in and recommends JD.com, Merck, and Pfizer. The Motley Fool recommends BioNTech Se and Moderna. 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.
The company and its big partner, Merck, recently announced positive results from a phase 2b study of mRNA-4157 in combination with Keytruda in treating melanoma. The two drugmakers are also evaluating this combo in late-stage trials targeting melanoma and non-small cell lung cancer. In addition, Moderna hopes to launch its respiratory syncytial virus (RSV) vaccine next year.
The average analysts' 12-month price target for BioNTech reflects an upside potential of around 36%. The average 12-month price target for JD is 61% higher than its current share price. Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them.
BioNTech BioNTech (NASDAQ: BNTX) stock has fallen close to 32% this year. Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month.
Many analysts seem to think that this stock has nowhere to go but up. As a result, Moderna's share price is down more than 50% year to date. Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them.
7045716d-57a7-429d-8a84-d13836a2a617
711567.0
2023-12-15 00:00:00 UTC
Is First Trust NASDAQ-100 Equal Weighted ETF (QQEW) a Strong ETF Right Now?
DCOMP
https://www.nasdaq.com/articles/is-first-trust-nasdaq-100-equal-weighted-etf-qqew-a-strong-etf-right-now-3
nan
nan
Launched on 04/19/2006, the First Trust NASDAQ-100 Equal Weighted ETF (QQEW) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Growth category of the market. What Are Smart Beta ETFs? The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment. Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns. If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies. This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics. While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results. Fund Sponsor & Index The fund is managed by First Trust Advisors. QQEW has been able to amass assets over $2.18 billion, making it one of the average sized ETFs in the Style Box - Large Cap Growth. This particular fund, before fees and expenses, seeks to match the performance of the NASDAQ-100 Equal Weighted Index. The NASDAQ-100 Equal Weighted Index is the equal-weighted version of the NASDAQ-100 Index which includes 100 of the largest non-financial securities listed on NASDAQ based on market capitalization. Cost & Other Expenses Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same. Annual operating expenses for this ETF are 0.58%, making it on par with most peer products in the space. QQEW's 12-month trailing dividend yield is 0.58%. Sector Exposure and Top Holdings ETFs offer 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. For QQEW, it has heaviest allocation in the Information Technology sector --about 37.40% of the portfolio --while Consumer Discretionary and Healthcare round out the top three. Taking into account individual holdings, Old Dominion Freight Line, Inc. (ODFL) accounts for about 1.28% of the fund's total assets, followed by Pdd Holdings Inc. (adr) (PDD) and Baker Hughes Company (class A) (BKR). QQEW's top 10 holdings account for about 11.87% of its total assets under management. Performance and Risk Year-to-date, the First Trust NASDAQ-100 Equal Weighted ETF has added about 31.39% so far, and it's up approximately 27.80% over the last 12 months (as of 12/18/2023). QQEW has traded between $86.94 and $116.30 in this past 52-week period. The ETF has a beta of 1.05 and standard deviation of 22.16% 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 First Trust NASDAQ-100 Equal Weighted ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Growth segment of the market. There are other ETFs in the space which investors could consider as well. Vanguard Growth ETF (VUG) tracks CRSP U.S. Large Cap Growth Index and the Invesco QQQ (QQQ) tracks NASDAQ-100 Index. Vanguard Growth ETF has $102.64 billion in assets, Invesco QQQ has $225.96 billion. VUG has an expense ratio of 0.04% and QQQ charges 0.20%. 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 Growth. 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 First Trust NASDAQ-100 Equal Weighted ETF (QQEW): ETF Research Reports Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report Invesco QQQ (QQQ): ETF Research Reports Baker Hughes Company (BKR) : Free Stock Analysis Report Vanguard Growth ETF (VUG): ETF Research Reports PDD Holdings Inc. (PDD) : 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.
Launched on 04/19/2006, the First Trust NASDAQ-100 Equal Weighted ETF (QQEW) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Growth category of the market. QQEW has been able to amass assets over $2.18 billion, making it one of the average sized ETFs in the Style Box - Large Cap Growth. Alternatives First Trust NASDAQ-100 Equal Weighted ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Growth segment of the market.
Launched on 04/19/2006, the First Trust NASDAQ-100 Equal Weighted ETF (QQEW) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Growth category of the market. Vanguard Growth ETF (VUG) tracks CRSP U.S. Large Cap Growth Index and the Invesco QQQ (QQQ) tracks NASDAQ-100 Index. Click to get this free report First Trust NASDAQ-100 Equal Weighted ETF (QQEW): ETF Research Reports Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report Invesco QQQ (QQQ): ETF Research Reports Baker Hughes Company (BKR) : Free Stock Analysis Report Vanguard Growth ETF (VUG): ETF Research Reports PDD Holdings Inc. (PDD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Launched on 04/19/2006, the First Trust NASDAQ-100 Equal Weighted ETF (QQEW) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Growth category of the market. 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. Click to get this free report First Trust NASDAQ-100 Equal Weighted ETF (QQEW): ETF Research Reports Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report Invesco QQQ (QQQ): ETF Research Reports Baker Hughes Company (BKR) : Free Stock Analysis Report Vanguard Growth ETF (VUG): ETF Research Reports PDD Holdings Inc. (PDD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Launched on 04/19/2006, the First Trust NASDAQ-100 Equal Weighted ETF (QQEW) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Growth category of the market. This particular fund, before fees and expenses, seeks to match the performance of the NASDAQ-100 Equal Weighted Index. The ETF has a beta of 1.05 and standard deviation of 22.16% for the trailing three-year period, making it a medium risk choice in the space.
ceca8600-609d-4246-8ef2-5dc6ccc3beb3
711568.0
2023-12-15 00:00:00 UTC
My Top Dividend King to Buy for 2024 (and It's Not Coca-Cola)
DCOMP
https://www.nasdaq.com/articles/my-top-dividend-king-to-buy-for-2024-and-its-not-coca-cola
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2023 has not been a good year so far for Procter & Gamble (NYSE: PG) investors. The stock is down a little over 4% year to date, compared to a near 20% gain for the S&P 500. To be fair, the underperformance is expected. A stodgy dividend-paying stock like P&G is likely to underperform in a great market year, simply because epic years of outperformance are usually driven by growth stocks, not income and value securities. On the flip side, P&G stands a good chance of outperforming the S&P 500 during a below-average year or a down year as we saw in 2022. P&G is an excellent company that's being overlooked in favor of faster-growing, flashier names right now. But long-term investors know that times like this usually prove to be wise buying opportunities over the long run. Here's why P&G is a top Dividend King to buy for 2024 and a better opportunity than another similar Dividend King -- Coca-Cola (NYSE: KO). Image source: Getty Images. P&G serves a specific purpose If you're investing in a stock like P&G, it's not because you're trying to beat the market in a certain year but because you view the company as a good value that will offer passive income for years. P&G has given investors every reason to count on it no matter what the market is doing. The company is one of the longest-tenured Dividend Kings, having paid and raised its dividend for 67 consecutive years. Given the low-growth nature of its portfolio of consumer staples brands, P&G has limited options for efficient capital deployment within its business. Instead, it turns to buying back its own stock and raising its dividend, which makes the stock a better value for long-term investors. P&G has proven its industry leadership What has been particularly impressive about P&G over the last two years or so is its pricing power. P&G's sales volumes have taken a hit due to inflationary pressures. To combat these pressures, the company has turned to steep price increases across its product lines, which have been largely absorbed by customers. In its recent quarter, P&G implemented a 7% average price increase across the board, which contributed all of the organic growth in the face of a 1% overall decline in volume. The company's ability to pass along higher costs to consumers is a testament to its brand power -- which sounds a little strange. After all, is Tide detergent really that much better than the generic brand? But the results indicate that P&G has a secret sauce that's working. 2022 and 2023 provided a stress test for P&G, proving that the company can do well, even in an inflationary environment. It's already known that P&G does well in a recession, given its performance isn't closely correlated to the broader economy. So the fact it did well, given the recent circumstances, is a vote of confidence that the stock is worth buying and holding. Worth the premium price P&G's 23.6 price-to-earnings ratio and 2.6% dividend yield aren't eye-catching on the surface, especially for value investors or those interested in a high yield. But the company makes up for its premium valuation and decent yield with its reliability. After all, what good is a high yield if the capital losses outweigh the dividend income? Over the last five years, P&G has given investors a solid total return (nearly as good as the S&P 500), while boosting its dividend by over 30% and reducing its share count by over 5%. PG Dividend data by YCharts. Over the years, P&G has proven that it isn't solely an income stream, unlike other stodgy dividend stocks that drastically underperform the market. But rather, P&G is likely to produce a blend of dividend income and capital gains over time. Better than alternatives Speaking of stodgy stocks that underperform the market, Coke is another well-known Dividend King with an equally impressive track record of dividend raises. But in terms of the business itself, P&G has done a far better job growing its earnings. PG Shares Outstanding data by YCharts. With both stocks sporting similar forward P/E ratios (P&G at 22.8 and Coke at 22.2), there's really no reason to choose Coke over P&G. With P&G, you aren't just buying the stock for the passive income stream -- you're also getting a consistently low-growth business that can support future dividend raises. Time to go on a buying spree for P&G P&G has the makings of a foundational holding worth buying and owning no matter what. The company executes during difficult climates when many of its peers are struggling. Its margins have stayed strong throughout this inflationary period, thanks to the company's pricing power. P&G trades at a slight premium to the S&P 500 but deserves it. Given the company's likely outperformance during a bear market, it can serve a particularly useful purpose in a portfolio that may be more correlated to the broader market. Should you invest $1,000 in Procter & Gamble right now? Before you buy stock in Procter & Gamble, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Procter & Gamble wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Daniel Foelber has no position in any of the stocks mentioned. The Motley Fool recommends the following options: long January 2024 $47.50 calls on Coca-Cola. 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.
In its recent quarter, P&G implemented a 7% average price increase across the board, which contributed all of the organic growth in the face of a 1% overall decline in volume. Over the years, P&G has proven that it isn't solely an income stream, unlike other stodgy dividend stocks that drastically underperform the market. With P&G, you aren't just buying the stock for the passive income stream -- you're also getting a consistently low-growth business that can support future dividend raises.
2023 has not been a good year so far for Procter & Gamble (NYSE: PG) investors. Better than alternatives Speaking of stodgy stocks that underperform the market, Coke is another well-known Dividend King with an equally impressive track record of dividend raises. Before you buy stock in Procter & Gamble, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Procter & Gamble wasn't one of them.
A stodgy dividend-paying stock like P&G is likely to underperform in a great market year, simply because epic years of outperformance are usually driven by growth stocks, not income and value securities. P&G serves a specific purpose If you're investing in a stock like P&G, it's not because you're trying to beat the market in a certain year but because you view the company as a good value that will offer passive income for years. Before you buy stock in Procter & Gamble, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Procter & Gamble wasn't one of them.
P&G serves a specific purpose If you're investing in a stock like P&G, it's not because you're trying to beat the market in a certain year but because you view the company as a good value that will offer passive income for years. Instead, it turns to buying back its own stock and raising its dividend, which makes the stock a better value for long-term investors. Before you buy stock in Procter & Gamble, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Procter & Gamble wasn't one of them.
4b1234f7-6eab-4fa3-a1bb-8a8e74e92e34
711569.0
2023-12-15 00:00:00 UTC
GS, MA, V: Top Hedge Fund Expert Favors These 3 Financial Stocks
DCOMP
https://www.nasdaq.com/articles/gs-ma-v%3A-top-hedge-fund-expert-favors-these-3-financial-stocks
nan
nan
Given the importance of the financial sector in the global economy, investors may consider investing in financial stocks such as Goldman Sachs Group, Inc. (NYSE:GS), Mastercard, Inc. (NYSE:MA), and Visa, Inc. (NYSE:V). These companies constitute the top three financial picks in the portfolio of leading hedge fund expert Christopher Niemczewski of Marshfield Associates. TipRanks simplifies this process by offering tools like Top Hedge Fund Managers, which rank professionals based on success rates, average returns, and the significance of their trades. Currently, Niemczewski of Marshfield Associates tops the list among 483 covered managers. Since June 2013, Niemczewski’s portfolio has gained 467.74% and witnessed an average return of 18.85% in the last 12 months. A majority of the hedge fund manager’s investments are focused on the Consumer Cyclical sector (42.03%), followed by the financial sector (37.36%). Let's delve deeper. Goldman Sachs Group Goldman Sachs is a global investment bank and financial services firm. The stock forms 6.46% of Niemczewski’s portfolio. Last week, Wells Fargo analyst Mike Mayo raised the price target on Goldman Sachs to $393 from $390 and kept a Buy rating on the stock. Overall, Goldman Sachs stock has a Moderate Buy consensus rating based on 11 Buys and five Holds. Further, the average price target of $388.87 implies a 2.2% upside potential to current levels. So far in 2023, GS shares have gained 13.4%. Mastercard Mastercard is a multinational financial services company specializing in payment technology and services. The stock constitutes 4.72% of Niemczewski’s portfolio. On December 12, Jefferies analyst Surinder Thind raised the price target on MasterCard to $480 from $425 while maintaining a Buy rating. With 23 Buy and two Hold ratings, the stock commands a Strong Buy consensus rating. On TipRanks, the average Mastercard stock price target of $455.87 implies an 8.9% upside potential from current levels. Year-to-date, MA stock has gained 21.4%. Visa, Inc. Visa is a multinational financial services corporation that facilitates electronic fund transfers worldwide. The stock claims a 4.65% portion of Niemczewski’s portfolio. Last week, UBS analyst Tim Chiodo raised the price target on Visa to $305 from $295 while maintaining a Buy rating. On TipRanks, V stock also has a Strong Buy consensus rating. This is based on 18 Buy and three Hold recommendations. The average price target of $281.74 implies 9.2% upside potential. Shares of the company have gained 25.4% year-to-date. Concluding Thoughts Niemczewski's success in delivering remarkable returns confirms the effectiveness of his portfolio allocation strategy, making him a valuable reference for investors seeking well-informed investment decisions. Moreover, investors can consider leveraging TipRanks’ other valuable tools, such as Expert Center and Smart Score, for long-term investment strategies. Disclosure The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
TipRanks simplifies this process by offering tools like Top Hedge Fund Managers, which rank professionals based on success rates, average returns, and the significance of their trades. Last week, Wells Fargo analyst Mike Mayo raised the price target on Goldman Sachs to $393 from $390 and kept a Buy rating on the stock. Concluding Thoughts Niemczewski's success in delivering remarkable returns confirms the effectiveness of his portfolio allocation strategy, making him a valuable reference for investors seeking well-informed investment decisions.
Given the importance of the financial sector in the global economy, investors may consider investing in financial stocks such as Goldman Sachs Group, Inc. (NYSE:GS), Mastercard, Inc. (NYSE:MA), and Visa, Inc. (NYSE:V). TipRanks simplifies this process by offering tools like Top Hedge Fund Managers, which rank professionals based on success rates, average returns, and the significance of their trades. On TipRanks, the average Mastercard stock price target of $455.87 implies an 8.9% upside potential from current levels.
Given the importance of the financial sector in the global economy, investors may consider investing in financial stocks such as Goldman Sachs Group, Inc. (NYSE:GS), Mastercard, Inc. (NYSE:MA), and Visa, Inc. (NYSE:V). Last week, Wells Fargo analyst Mike Mayo raised the price target on Goldman Sachs to $393 from $390 and kept a Buy rating on the stock. Overall, Goldman Sachs stock has a Moderate Buy consensus rating based on 11 Buys and five Holds.
These companies constitute the top three financial picks in the portfolio of leading hedge fund expert Christopher Niemczewski of Marshfield Associates. TipRanks simplifies this process by offering tools like Top Hedge Fund Managers, which rank professionals based on success rates, average returns, and the significance of their trades. Since June 2013, Niemczewski’s portfolio has gained 467.74% and witnessed an average return of 18.85% in the last 12 months.
a59c2f04-a922-4f82-8ba9-c7f2177b5a06
711570.0
2023-12-15 00:00:00 UTC
Iliad Group Proposes Merger Of Iliad Italia And Vodafone Italia - Quick Facts
DCOMP
https://www.nasdaq.com/articles/iliad-group-proposes-merger-of-iliad-italia-and-vodafone-italia-quick-facts
nan
nan
(RTTNews) - The iliad Group has submitted a proposal to Vodafone Group for the merger of iliad's and Vodafone's businesses in Italy through the creation of a new entity, or NewCo. iliad's proposed enterprise value for Vodafone Italia is 10.45 billion euros. Vodafone would obtain 50% of the share capital of NewCo, together with a 6.5 billion euros cash payment and a 2.0 billion euros shareholder loan. Vodafone's equity in NewCo at closing is valued at 1.95 billion euros. iliad Italia is valued at 4.45 billion euros. Iliad would obtain 50% of the share capital of NewCo, together with a 500 million euros cash payment and a 2.0 billion euros shareholder loan. Also, iliad would have a call option on Vodafone's equity stake in new entity, and would be able to acquire a block of 10% of the newco share capital every year at a price per share equal to the equity value at closing. The merged business is anticipated to generate revenues of approximately 5.8 billion euros, and EBITDAaL of approximatively 1.6 billion euros for fiscal year ending March 2024. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
iliad's proposed enterprise value for Vodafone Italia is 10.45 billion euros. Vodafone's equity in NewCo at closing is valued at 1.95 billion euros. Also, iliad would have a call option on Vodafone's equity stake in new entity, and would be able to acquire a block of 10% of the newco share capital every year at a price per share equal to the equity value at closing.
iliad's proposed enterprise value for Vodafone Italia is 10.45 billion euros. Vodafone would obtain 50% of the share capital of NewCo, together with a 6.5 billion euros cash payment and a 2.0 billion euros shareholder loan. Iliad would obtain 50% of the share capital of NewCo, together with a 500 million euros cash payment and a 2.0 billion euros shareholder loan.
Vodafone would obtain 50% of the share capital of NewCo, together with a 6.5 billion euros cash payment and a 2.0 billion euros shareholder loan. Iliad would obtain 50% of the share capital of NewCo, together with a 500 million euros cash payment and a 2.0 billion euros shareholder loan. The merged business is anticipated to generate revenues of approximately 5.8 billion euros, and EBITDAaL of approximatively 1.6 billion euros for fiscal year ending March 2024.
iliad's proposed enterprise value for Vodafone Italia is 10.45 billion euros. Vodafone would obtain 50% of the share capital of NewCo, together with a 6.5 billion euros cash payment and a 2.0 billion euros shareholder loan. Vodafone's equity in NewCo at closing is valued at 1.95 billion euros.
52f07466-dbc4-4ad6-bff5-6d8e65e35037
711571.0
2023-12-15 00:00:00 UTC
4 Reasons I Think Super Micro Computer Should Be in Everyone's Portfolio
DCOMP
https://www.nasdaq.com/articles/4-reasons-i-think-super-micro-computer-should-be-in-everyones-portfolio
nan
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You may think that this year's outperformance from artificial intelligence stocks means they're due for a correction, or at least relative underperformance in 2024. But I think you would be wrong. With the introduction of OpenAI's ChatGPT chatbot just one year ago, we are still just at the beginning of the AI age. For long-term investors, getting in at the relatively early stages of powerful secular long-term trends at reasonable valuations can lead to astounding long-term returns. That's why Super Micro Computer (NASDAQ: SMCI) deserves a spot in everyone's portfolio, highlighted by these four underappreciated attributes. 1. Artificial Intelligence hardware expectations keep going higher Sure, artificial intelligence stocks have climbed a lot this year, but this appears to be based on actual revenue and earnings growth, with AI use cases expanding and becoming, "table stakes" for any company hoping to compete in the 2020s. Looking at one data point, look no further than the escalating predictions for AI chip growth from Advanced Micro Devices CEO Lisa Su. Su has an amazing track record as AMD's CEO, and is certainly one to be taken seriously by the investment community. Back in June, Su predicted the AI chip market would grow from $30 billion in 2023 to $150 billion by 2027. But at AMD's recent December AI event, she greatly upped her own outlook, to a $45 billion market in 2023 growing to a stunning $400 billion market by 2027. While some of that increase is due to non-server markets such as AI PCs, one can safely assume at least half of those chips will be in AI servers, which means Super Micro will have an awful lot of room to grow if it executes. Super Micro has underrated advantages Many investors regard server-makers as just "dumb box" assemblers of highly proprietary chips and networking technologies. But the higher demands of artificial intelligence mean more and more complex parts have to work together, requiring new innovations in server construction such as liquid cooling to dissipate heat from AI's intense computing demands. That plays into the strengths of Super Micro's business model. Super Micro began as a producer of motherboards back in the 90s, before moving onto chassis, backplanes, and other components, before moving to making entire servers and now entire server rack systems. Most recently, SMCI has developed proprietary liquid cooling systems that will be required of more servers going forward in the AI age. Basically, Super Micro started out similar to today's ODMs (original design manufacturer) which make parts and components used by other companies. ODM clients include large companies that construct their own servers (like cloud giants) or other OEMs (original equipment manufacturers) that incorporate third-party parts into their own branded servers. But Super Micro evolved from that model into its own vertically integrated system manufacturer, albeit with all its components designed and optimized in-house. That has enabled a "building block" architecture for its systems. The result is that Super Micro can customize unique models for various needs, rather than offering a limited number of standardized models, which is the model of most OEMs. And its use of entirely in-house components allows SMCI to have incredibly fast time-to-market. It's basically the best of both the ODM and OEM worlds. So in order to compete with SMCI, OEMs would have to change their current ways of doing business to manufacturing their own parts that they currently outsource. And ODMs specializing in one or more components would have to learn how to build entire end-to-end systems. So, it would be difficult for competitors to reconfigure their current models to compete. Image source: Getty Images. A reasonable valuation While many AI-related stocks have climbed a lot this year, Super Micro only trades at 25 times trailing earnings and 15.8 times 2024 earnings estimates, with the 2024 fiscal year ending in June. That's actually a below-market multiple based on 2024 estimates, which seems quite odd given current revenue growth estimates for Super Micro of 49% in 2024 followed by another 26% estimated growth in 2025. In contrast, rival Dell (NYSE: DELL) trades around 10 times forward earnings, but its revenue is expected to contract 13% in fiscal 2024 and only grow 4.7% in fiscal 2025 -- significantly lower than Super Micro. And Hewlett Packard Enterprise (NYSE: HPE) only trades around 8.6 times forward earnings, but its revenue is only forecast to grow 1.6% and 3.6% in each of the next two years. So while Super Micro is slightly more expensive than its two larger rivals, it's also forecast two grow five to 10 times faster. Moreover, both Dell and HPE have relatively high debt loads, whereas Super Micro has a net cash position. A highly motivated founder who's also a large owner Perhaps the most overlooked part of assessing a business is looking at inside ownership, as well as the criteria for management's compensation. Super Micro is fortunate to still be led by its visionary founder Charles Liang, who as of Super Micro's recent proxy report still owns 14.3% of the company. That's a large amount, but if that wasn't motivation enough, Super Micro's new 2023-2028 CEO compensation plan offers even more. Over that time, Liang will only earn $1 in salary and no cash bonuses. Instead, Liang will be eligible for options to purchase up to 500,000 shares across five performance-based benchmarks, with options for 100,000 shares awarded after hitting each tranche before 2029. What's so encouraging is that the two benchmarks encompass revenue growth and the share price, with revenue targets spanning between $13 billion and $21 billion, compared with last year's revenue of just $7.1 billion and this year's guidance for $10.5 billion. Meanwhile, share price targets range from $450 to a whopping $1,100 per share, in contrast with a roughly $273 share price today. As a final exclamation point, all of these options have a strike price of $450 per share, which means SMCI's stock has to clear this hurdle by 2029 for Liang to earn anything! All in all, given increased AI growth expectations, Super Micro's unique business model, and Liang's motivation to generate revenue growth and a much higher stock price, Super Micro belongs in everyone's portfolio today, in spite of its massive two-year outperformance. Should you invest $1,000 in Super Micro Computer right now? Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Billy Duberstein has positions in Super Micro Computer and has the following options: short January 2025 $110 puts on Super Micro Computer, short January 2025 $125 puts on Super Micro Computer, short January 2025 $130 puts on Super Micro Computer, short January 2025 $280 calls on Super Micro Computer, short January 2025 $380 calls on Super Micro Computer, and short January 2025 $85 puts on Super Micro Computer. His clients may own shares of the companies mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices. The Motley Fool recommends Super Micro Computer. 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.
Super Micro has underrated advantages Many investors regard server-makers as just "dumb box" assemblers of highly proprietary chips and networking technologies. A highly motivated founder who's also a large owner Perhaps the most overlooked part of assessing a business is looking at inside ownership, as well as the criteria for management's compensation. As a final exclamation point, all of these options have a strike price of $450 per share, which means SMCI's stock has to clear this hurdle by 2029 for Liang to earn anything!
A reasonable valuation While many AI-related stocks have climbed a lot this year, Super Micro only trades at 25 times trailing earnings and 15.8 times 2024 earnings estimates, with the 2024 fiscal year ending in June. All in all, given increased AI growth expectations, Super Micro's unique business model, and Liang's motivation to generate revenue growth and a much higher stock price, Super Micro belongs in everyone's portfolio today, in spite of its massive two-year outperformance. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Billy Duberstein has positions in Super Micro Computer and has the following options: short January 2025 $110 puts on Super Micro Computer, short January 2025 $125 puts on Super Micro Computer, short January 2025 $130 puts on Super Micro Computer, short January 2025 $280 calls on Super Micro Computer, short January 2025 $380 calls on Super Micro Computer, and short January 2025 $85 puts on Super Micro Computer.
All in all, given increased AI growth expectations, Super Micro's unique business model, and Liang's motivation to generate revenue growth and a much higher stock price, Super Micro belongs in everyone's portfolio today, in spite of its massive two-year outperformance. Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Billy Duberstein has positions in Super Micro Computer and has the following options: short January 2025 $110 puts on Super Micro Computer, short January 2025 $125 puts on Super Micro Computer, short January 2025 $130 puts on Super Micro Computer, short January 2025 $280 calls on Super Micro Computer, short January 2025 $380 calls on Super Micro Computer, and short January 2025 $85 puts on Super Micro Computer.
A reasonable valuation While many AI-related stocks have climbed a lot this year, Super Micro only trades at 25 times trailing earnings and 15.8 times 2024 earnings estimates, with the 2024 fiscal year ending in June. What's so encouraging is that the two benchmarks encompass revenue growth and the share price, with revenue targets spanning between $13 billion and $21 billion, compared with last year's revenue of just $7.1 billion and this year's guidance for $10.5 billion. Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Super Micro Computer wasn't one of them.
f0b325f6-52bf-4b6f-8c63-2c2ab33fbcfd
711572.0
2023-12-15 00:00:00 UTC
2 Stocks Profiting From Unstoppable Trends That Could Make You Rich
DCOMP
https://www.nasdaq.com/articles/2-stocks-profiting-from-unstoppable-trends-that-could-make-you-rich
nan
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Sometimes trends are short-lived, and as a long-term investor, you probably don't want to pay too much attention to them. But certain trends, due to their potential to transform the way things are done for the better, merit a second look -- and even an investment. Today, artificial intelligence (AI) and gene editing both look like this sort of trend, and both have been picking up more and more momentum. How can you benefit from these game-changing technologies as an investor? You scoop up shares of companies that may either develop them or use them to grow their businesses. They could score a win down the road thanks to these unstoppable trends, and that would translate into a win for shareholders. Alone, these stocks won't make you rich, but as part of a diversified portfolio they could play an important role and help you get there over the long term. The idea is to invest in these companies today and hold onto them for a decade or more, offering them the time to benefit from these promising trends -- and allowing your investment some time to grow. Let's check out a top wealth-building AI stock and an exciting gene-editing player to add to your portfolio now. Image source: Getty Images. 1. Amazon Most of us know Amazon (NASDAQ: AMZN) as the e-commerce giant that manages to deliver packages to us quickly, sometimes even on the same day we place the order. And to build up that speed, organize operations in fulfillment centers, and more, the company uses AI. In fact, Amazon has been using it for a while now, but has stepped up its investments in recent times. In e-commerce, AI streamlines operations, which should eventually lower the company's costs. And the use of AI results in better service to customers, which encourages them to come back, translating into more revenue for Amazon. The company also has increased investment in AI as part of its cloud computing service, Amazon Web Services (AWS). For example, Amazon Bedrock offers clients a selection of foundation models they can use to build and scale their own generative AI applications. This fully managed service means clients don't have to start from the ground up or manage infrastructure -- a clear plus for many businesses. So, AI should help increase profitability at both Amazon's e-commerce and cloud computing businesses over time. In the past, Amazon's share price has generally tracked the movement of earnings, so there's reason to be confident that future earnings growth could lead to share-price gains as well. 2. Vertex Pharmaceuticals Vertex Pharmaceuticals (NASDAQ: VRTX) itself isn't a gene-editing specialist. But in recent times, it's partnered with expert CRISPR Therapeutics (NASDAQ: CRSP), and this relationship is proving to be a winning one. Gene editing is the fixing of faulty genes responsible for disease, and CRISPR Therapeutics uses a technique called CRISPR/Cas9 gene editing. It involves cutting DNA in a particular location, then allowing a natural repair process to take over. Together, Vertex and CRISPR Therapeutics developed Casgevy, a treatment for blood disorders, and that product recently won the first-ever regulatory nod for a therapy based on CRISPR gene-editing technology. Gene-editing products, because they actually repair the genome, could result in functional cures. This would make them extremely popular with doctors and patients, even if treatment processes so far are somewhat heavy. For instance, Casgevy treatment takes several months and involves the collection of blood stem cells, among other steps. In fact, Vertex considers the technology so promising that it's licensed it for use in its type 1 diabetes (T1D) program. Gene-editing therapies could trigger a new wave of growth for Vertex, starting now with Casgevy. And this could lift earnings and the share price -- along with your portfolio -- over the long haul. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for two decades, Motley Fool Stock Advisor, has more than tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Amazon made the list -- but there are 9 other stocks you may be overlooking. See the 10 stocks *Stock Advisor returns as of December 11, 2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Adria Cimino has positions in Amazon and Vertex Pharmaceuticals. The Motley Fool has positions in and recommends Amazon, CRISPR Therapeutics, and Vertex Pharmaceuticals. 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.
Alone, these stocks won't make you rich, but as part of a diversified portfolio they could play an important role and help you get there over the long term. For example, Amazon Bedrock offers clients a selection of foundation models they can use to build and scale their own generative AI applications. For instance, Casgevy treatment takes several months and involves the collection of blood stem cells, among other steps.
The company also has increased investment in AI as part of its cloud computing service, Amazon Web Services (AWS). Together, Vertex and CRISPR Therapeutics developed Casgevy, a treatment for blood disorders, and that product recently won the first-ever regulatory nod for a therapy based on CRISPR gene-editing technology. After all, the newsletter they have run for two decades, Motley Fool Stock Advisor, has more than tripled the market.
The idea is to invest in these companies today and hold onto them for a decade or more, offering them the time to benefit from these promising trends -- and allowing your investment some time to grow. The company also has increased investment in AI as part of its cloud computing service, Amazon Web Services (AWS). Together, Vertex and CRISPR Therapeutics developed Casgevy, a treatment for blood disorders, and that product recently won the first-ever regulatory nod for a therapy based on CRISPR gene-editing technology.
The idea is to invest in these companies today and hold onto them for a decade or more, offering them the time to benefit from these promising trends -- and allowing your investment some time to grow. Together, Vertex and CRISPR Therapeutics developed Casgevy, a treatment for blood disorders, and that product recently won the first-ever regulatory nod for a therapy based on CRISPR gene-editing technology. The Motley Fool has positions in and recommends Amazon, CRISPR Therapeutics, and Vertex Pharmaceuticals.
29767562-55f4-4416-8d95-0eaf48a050e0
711573.0
2023-12-15 00:00:00 UTC
3 Dividend-Paying Tech Stocks to Buy for 2024
DCOMP
https://www.nasdaq.com/articles/3-dividend-paying-tech-stocks-to-buy-for-2024
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Technology stocks are known for a handful of common characteristics. Paying dividends is not one of them. These companies typically reinvest the bulk of their profits into developing new and better tech and attempting to grow their sales. If you dig deep enough, though, you can find a handful of technology stocks that pay surprisingly solid dividends. Here are three you may want to consider stepping into before 2024 arrives. Buying now will help you take advantage of higher interest rates that not only work against growth companies but favor dividend-paying value stocks -- no matter what business they're in. 1. HP There's no denying that HP (NYSE: HPQ) (formerly known as Hewlett-Packard) isn't close to being the technology titan it once was. Neither consumers nor corporations buy computers as often as they used to. Further, in the early stages of the pandemic, there was a huge surge in computer purchases as people upgraded their machines so they could work and attend school remotely. That pulled a large volume of business forward, and the resulting ripples of lower demand are still being felt: HP's personal computer revenue fell 19% during the fiscal year that ended in October. Even the ultra-patient Warren Buffett is giving up on the company. Berkshire Hathaway has been selling off the stake in HP it began acquiring early last year, likely locking in modest losses. While Berkshire is backing off, you might want to use this misunderstood outfit's recent weakness as an entry point. Yes, HP is in the computer business. PCs account for about two-thirds of its total sales. That segment is not a particularly great profit producer, though. HP's much smaller (by revenue) printing business produces around 60% of its profits, and its printing business is very, very reliable. That's because the paperless offices that computers were supposed to create when they started to become common back in the 1990s have given us the capacity to print more pages than ever. And workers are using that option to the fullest. Data source: HP. Chart by author. This, of course, is precisely what makes for a great dividend-paying stock -- an underlying business based on a product the world is willing to pay for over and over again. Newcomers will be plugging into the stock while its dividend yield is just a hair under 3.6%. Its quarterly payout, by the way, has grown from $0.16 per share five years ago to a little over $0.27 per share now. That's an annualized growth rate of a little over 9%. 2. IBM Like HP, IBM (NYSE: IBM) was once royalty among technology names. Not any longer. The company mostly missed out on the rise of cloud computing and mobile connectivity. By the time it started to pivot into those arenas in 2016, it was too late. The stock had already begun a sell-off that would last for years, reflecting the company's lost ground. Many investors have forgotten about IBM in the meantime, presuming it wouldn't recover. Well, those people may want to take a fresh look at the stock now. It just hit a six-year high. And, if the company's new business lines and business model are any indication, more new highs could be in the cards. Simply put, IBM's core focus these days is hybrid cloud computing and all of its ancillary businesses. These add-on businesses range from artificial intelligence to cloud management cybersecurity to automation, to name a few. The thing is, offering such turn-key cloud computing solutions means IBM can generate a combination of software, hardware, and consulting revenue from any given client. "Our approach to hybrid cloud is platform-centric," CFO Jim Kavanaugh explained during the Q4 2022earnings callin January. "As we land a platform, we get a multiplier effect across software, consulting, and infrastructure." He didn't divulge specific numbers at the time, but Kavanaugh has commented in the past that "for every dollar that we land on [sales of] the [hybrid cloud] platform, we get $3 to $5 of software and $6 to $8 of services revenue." It seems we're finally seeing the measurable benefit of this dynamic. Last quarter's software revenue was up 8% year over year, while consulting revenue improved 6% on much more modest infrastructure sales growth of only 2%. And this is largely recurring revenue that helps support a dividend. IBM not only maintained its payouts during the rough patch it was going through a few years ago, but it has raised them for 28 consecutive years. At current prices, new investors would be buying the stock with a dividend yield of a little more than 4%. 3. Cisco Systems Last but not least, add Cisco Systems (NASDAQ: CSCO) to your list of dividend-paying technology stocks to buy. Currently, it's yielding a respectable 3.1%. Not unlike IBM and HP, Cisco's glory days came in the late 1990s and early 2000s. That's when it was riding the then-rapid growth of the personal computer market. Cisco's role in that movement was supplying the world with the modems, routers, and switches needed to connect PCs to the internet and to one another. It still manufactures this hardware, although demand isn't quite as fevered now as it was then. New entrants into the ethernet switch and router market are also competitive against market-leading Cisco. The networking hardware business has changed, however, in a way that helps keep Cisco surprisingly competitive. See, in step with other kinds of related technologies, switches, and routers are now powered by adaptable and updatable software. The company did $4.4 billion worth of software business during the fiscal quarter that ended Oct. 28 -- roughly one-third of its total sales. Its subscription-based businesses produced a total of $6.5 billion worth of sales for the quarter, accounting for nearly half of the company's top line. This isn't a coincidence. It's by design. As CEO Chuck Robbins commented during theearnings call "We continue to transform our business toward more software and recurring revenue streams fueled by accelerated innovation." The word "recurring" is key here, as it translates into predictable, reliable cash flow that in turn funds continued dividend payments. To that point, Cisco's annualized rate of recurring revenue stands at $24.5 billion, which is just under half of last year's total top line. You'll probably never get great growth from Cisco stock. You'll certainly get good income, however, from a dividend that management has now raised for 13 consecutive years. Should you invest $1,000 in Cisco Systems right now? Before you buy stock in Cisco Systems, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Cisco Systems wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 James Brumley has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway, Cisco Systems, and HP. The Motley Fool recommends International Business Machines. 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.
That pulled a large volume of business forward, and the resulting ripples of lower demand are still being felt: HP's personal computer revenue fell 19% during the fiscal year that ended in October. He didn't divulge specific numbers at the time, but Kavanaugh has commented in the past that "for every dollar that we land on [sales of] the [hybrid cloud] platform, we get $3 to $5 of software and $6 to $8 of services revenue." As CEO Chuck Robbins commented during theearnings call "We continue to transform our business toward more software and recurring revenue streams fueled by accelerated innovation."
The company did $4.4 billion worth of software business during the fiscal quarter that ended Oct. 28 -- roughly one-third of its total sales. Its subscription-based businesses produced a total of $6.5 billion worth of sales for the quarter, accounting for nearly half of the company's top line. Before you buy stock in Cisco Systems, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Cisco Systems wasn't one of them.
Last quarter's software revenue was up 8% year over year, while consulting revenue improved 6% on much more modest infrastructure sales growth of only 2%. Cisco Systems Last but not least, add Cisco Systems (NASDAQ: CSCO) to your list of dividend-paying technology stocks to buy. Before you buy stock in Cisco Systems, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Cisco Systems wasn't one of them.
Yes, HP is in the computer business. Last quarter's software revenue was up 8% year over year, while consulting revenue improved 6% on much more modest infrastructure sales growth of only 2%. Before you buy stock in Cisco Systems, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Cisco Systems wasn't one of them.
0105cb0e-dc41-42fb-9f01-8391023c1558
711574.0
2023-12-15 00:00:00 UTC
2 No-Brainer Growth Stocks to Buy Now With $100 and Hold Through 2024 (and Beyond)
DCOMP
https://www.nasdaq.com/articles/2-no-brainer-growth-stocks-to-buy-now-with-%24100-and-hold-through-2024-and-beyond
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All three major U.S. financial indexes moved significantly higher in 2023, a welcome turnaround from the steep losses incurred in 2022. Year to date, the Dow Jones Industrial Average is up 12%, the S&P 500 increased 23%, and the Nasdaq Composite jumped 41%. While the markets as a whole improved and valuations escalated, several individual stocks lagged, creating some buying opportunities in the market. PayPal Holdings (NASDAQ: PYPL) and SolarEdge Technologies (NASDAQ: SEDG) look particularly compelling at their current valuations, and both stocks are widely accessible at less than $100 per share. Here's what investors should know about these two growth stocks. 1. PayPal Holdings Fintech company PayPal grew at a steady pace in the third quarter. Revenue increased 8% year over year to $7.4 billion and non-GAAP net income climbed 14% to $1.4 billion as the company continued to focus on cost control. But CEO Alex Chriss, who took the reins from Dan Schulman in September, sees room to make PayPal leaner, more focused, and more profitable. The company plans to sell its reverse logistics subsidiary Happy Returns to UPS while leaning into product development and innovation in areas where it has a strong market presence and a substantial competitive advantage -- namely, digital wallets for consumers and checkout solutions for merchants. Those assets form the crux of the investment thesis for PayPal. Specifically, most payment service providers work exclusively with merchants, but PayPal offers financial services to merchants and consumers, meaning it has a deeper understanding of consumer habits. It uses that data to surface shopper insights, improve authorization rates, and prevent fraud for merchants. CFO Gabrielle Rabinovitch says PayPal has the lowest loss rates and best authorization rates in the industry The upshot of those advantages is that PayPal is the most accepted digital wallet in North America and Europe, and the leader in online payment processing with a 41% market share, according to Statista. In that context, PayPal should grow in lockstep (at a minimum) with retail e-commerce sales, a market forecasted to increase at 7.6% annually through 2030. Benchmarking PayPal to the broader online retail industry leaves room for upside if the company gains traction in physical retail, something it aims to do with the Venmo credit and debit cards. But even if PayPal merely matches the 7.6% annual growth in retail e-commerce, its current valuation of 2.3 times sales looks cheap, especially when the five-year average is 7.6 times sales. That's why this growth stock is a no-brainer buy. 2. SolarEdge Technologies SolarEdge had a dismal third quarter as demand for solar energy products nosedived due to high interest rates. Revenue dropped 13% year over year to $725 million and the company reported a GAAP loss of $61 million, down from a profit of $25 million in the prior year. Management expects similar results while distributors work through inventory backlog in the coming quarters. However, weak near-term guidance does not change the long-term investment thesis. Renewable energy is inevitable, and SolarEdge is well-positioned to benefit as the solar industry expands in the years ahead. SolarEdge primarily provides solar inverters, power optimizers, and monitoring software to residential and commercial customers. Inverters change direct current (DC) electricity into usable alternating current (AC) electricity, and power optimizers maximize the energy production per panel by mitigating problems related to partial shading and manufacturing intolerance. The SolarEdge brand carries weight with its customers (distributors and installers). The company revolutionized the solar industry when it brought the first power optimizer to market about two decades ago, and it has since evolved into the second-largest manufacturer of solar inverters in the world (and the largest outside of China). Beyond those markets, SolarEdge has branched into the adjacent areas of energy storage (batteries), electric vehicle (EV) chargers, and energy management software. For instance, the company introduced a new storage system and EV management software for commercial customers earlier this year. Those solutions integrate with existing products to extend the functionality of the SolarEdge platform, broadening its addressable market. On that note, the solar inverter market is forecasted to increase at 4.5% annually through 2031, and the solar battery market is projected to increase at 15.5% annually through 2030, according to Straits Research. Meanwhile, the power optimizer market is forecasted to grow at 13.4% annually, according to Precedence Research. SolarEdge will probably land somewhere in the middle, meaning the company has a great shot at high-single-digit or even low-double-digit revenue growth through the end of the decade. Indeed, Morningstar analysts expect revenue to grow at 10% annually over the next five years, and Morgan Stanley analysts expect revenue to grow at 9% annually over the next decade. In that context, its current valuation of 1.6 times sales looks cheap, especially when the five-year average is 5.8 times sales. That's why this growth stock is a no-brainer buy. Should you invest $1,000 in PayPal right now? Before you buy stock in PayPal, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and PayPal wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Trevor Jennewine has positions in PayPal and SolarEdge Technologies. The Motley Fool has positions in and recommends PayPal. The Motley Fool recommends SolarEdge Technologies and United Parcel Service and recommends the following options: short December 2023 $67.50 puts on PayPal. 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.
But CEO Alex Chriss, who took the reins from Dan Schulman in September, sees room to make PayPal leaner, more focused, and more profitable. The company plans to sell its reverse logistics subsidiary Happy Returns to UPS while leaning into product development and innovation in areas where it has a strong market presence and a substantial competitive advantage -- namely, digital wallets for consumers and checkout solutions for merchants. SolarEdge will probably land somewhere in the middle, meaning the company has a great shot at high-single-digit or even low-double-digit revenue growth through the end of the decade.
Specifically, most payment service providers work exclusively with merchants, but PayPal offers financial services to merchants and consumers, meaning it has a deeper understanding of consumer habits. But even if PayPal merely matches the 7.6% annual growth in retail e-commerce, its current valuation of 2.3 times sales looks cheap, especially when the five-year average is 7.6 times sales. Beyond those markets, SolarEdge has branched into the adjacent areas of energy storage (batteries), electric vehicle (EV) chargers, and energy management software.
CFO Gabrielle Rabinovitch says PayPal has the lowest loss rates and best authorization rates in the industry The upshot of those advantages is that PayPal is the most accepted digital wallet in North America and Europe, and the leader in online payment processing with a 41% market share, according to Statista. Before you buy stock in PayPal, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and PayPal wasn't one of them. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Trevor Jennewine has positions in PayPal and SolarEdge Technologies.
Indeed, Morningstar analysts expect revenue to grow at 10% annually over the next five years, and Morgan Stanley analysts expect revenue to grow at 9% annually over the next decade. Before you buy stock in PayPal, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and PayPal wasn't one of them. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Trevor Jennewine has positions in PayPal and SolarEdge Technologies.
385d87e4-517c-45a0-90a9-21be6ef786c2
711575.0
2023-12-15 00:00:00 UTC
Macatawa (MCBC) Surges 5.1%: Is This an Indication of Further Gains?
DCOMP
https://www.nasdaq.com/articles/macatawa-mcbc-surges-5.1%3A-is-this-an-indication-of-further-gains
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Macatawa Bank (MCBC) shares ended the last trading session 5.1% higher at $11.44. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 11% gain over the past four weeks. Shares of Macatawa Bank rallied for the third consecutive day and touched a 52-week high of $11.91. The Federal Reserve has signaled end of the current rate cycle and kept the interest rates unchanged at 22-year high of 5.25-5.5% at the end of two-day FOMC meeting. The central bank also indicated three interest rate cuts by 2024-end. These favorable developments turned investor sentiments bullish on bank stocks as high funding costs being faced by the industry players will somewhat come down next year. This will support net interest income and margin growth. Hence, the MCBC stock moved higher. This holding company for Macatawa Bank is expected to post quarterly earnings of $0.32 per share in its upcoming report, which represents a year-over-year change of -8.6%. Revenues are expected to be $26.9 million, down 3.6% from the year-ago quarter. While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. For Macatawa, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on MCBC going forward to see if this recent jump can turn into more strength down the road. The stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Macatawa is a member of the Zacks Banks - Midwest industry. One other stock in the same industry, Lakeland Financial (LKFN), finished the last trading session 0.8% lower at $65.54. LKFN has returned 17.4% over the past month. For Lakeland Financial, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.88. This represents a change of -12.9% from what the company reported a year ago. Lakeland Financial currently has a Zacks Rank of #3 (Hold). Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Macatawa Bank Corporation (MCBC) : Free Stock Analysis Report Lakeland Financial Corporation (LKFN) : 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.
These favorable developments turned investor sentiments bullish on bank stocks as high funding costs being faced by the industry players will somewhat come down next year. This holding company for Macatawa Bank is expected to post quarterly earnings of $0.32 per share in its upcoming report, which represents a year-over-year change of -8.6%. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
Macatawa Bank (MCBC) shares ended the last trading session 5.1% higher at $11.44. For Lakeland Financial, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.88. Click to get this free report Macatawa Bank Corporation (MCBC) : Free Stock Analysis Report Lakeland Financial Corporation (LKFN) : Free Stock Analysis Report To read this article on Zacks.com click here.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Macatawa is a member of the Zacks Banks - Midwest industry. Click to get this free report Macatawa Bank Corporation (MCBC) : Free Stock Analysis Report Lakeland Financial Corporation (LKFN) : Free Stock Analysis Report To read this article on Zacks.com click here.
Macatawa Bank (MCBC) shares ended the last trading session 5.1% higher at $11.44. This holding company for Macatawa Bank is expected to post quarterly earnings of $0.32 per share in its upcoming report, which represents a year-over-year change of -8.6%. Lakeland Financial currently has a Zacks Rank of #3 (Hold).
7057359a-f936-4023-a4fd-283edc49b880
711576.0
2023-12-15 00:00:00 UTC
How Is General Mills' (GIS) Pet Segment Placed in Q2 Earnings?
DCOMP
https://www.nasdaq.com/articles/how-is-general-mills-gis-pet-segment-placed-in-q2-earnings
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General Mills, Inc. GIS is scheduled to come up with second-quarter fiscal 2024 earnings on Dec 20. Let’s take a closer look at the company’s Pet segment, which constituted nearly 12% of its total sales in the first quarter of fiscal 2024. Pet Unit in Detail Although General Mills’ Pet segment has been driving the company’s performance, the unit is likely to have witnessed some hurdles in the quarter to be reported. General Mills, Inc. Price, Consensus and EPS Surprise General Mills, Inc. price-consensus-eps-surprise-chart | General Mills, Inc. Quote GIS is bearing the brunt of the lower impacts of inflation-justified pricing, along with consumers’ shift toward value products stemming from an uncertain economic landscape. The company’s Pet segment retail sales in the first quarter of fiscal 2024 were somewhat affected by these aspects, including pet parents’ shift toward value products and channels, along with smaller pack sizes. Additionally, GIS is witnessing challenges in the wet food and treats categories, with pet parents spending more time at work or away from home. In the first quarter, segment sales remained flat year over year at $580 million as pricing was countered by soft pound volumes. On its lastearnings call management stated that it expects the difficult category dynamics to persist in the Pet segment throughout fiscal 2024 as it does not see any major change in the economic viewpoint for pet parents in the near term. This remains a concern for the quarter under review. Our model suggests Pet segment revenues will grow 4.5% to $619.6 million in the second quarter and form 11.4% of the company’s total revenues. General Mills’ Pet segment mainly constitutes Blue Buffalo Pet Products, Inc., which was acquired by GIS in fiscal 2018. Following this acquisition, General Mills became one of the leading players in the pet food arena. Blue Buffalo manufactures and markets wholesome natural pet food items and is contributing to General Mills’ top line. Additionally, GIS acquired Tyson Foods’ pet treats business in July 2021, which added another leaf to the company’s impressive Pet story. Other Factors General Mills’ commitment to its three priorities as part of its Accelerate strategy is likely to have aided in the quarter under review. These include competing efficiently through brand building and innovation, enhancing the supply chain by boosting Holistic Margin Management cost savings and curtailing costs, undertaking efficient capital allocation, rewarding shareholders and staying committed to reshaping the portfolio via strategic acquisitions and divestitures. Apart from this, General Mills’ input cost inflation has been moderating. On its first-quarterearnings call management stated that the biggest factors impacting its performance in fiscal 2024 are likely to be consumers’ economic status, the moderating rate of cost inflation and the rising stability of supply-chain status. However, continued brand investments may have escalated SG&A expenses in the second quarter. How Are Estimates Shaping Up? The Zacks Consensus Estimate for revenues is pegged at $5.3 billion, suggesting an increase of 2.2% from the prior-year quarter’s reported figure. The consensus mark for quarterly earnings has dropped by a penny, unchanged in the past seven days to $1.15 per share. This indicates a rise of 4.6% from the year-ago quarter’s reported figure. GIS has a trailing four-quarter earnings surprise of 4.5%, on average. General Mills carries a Zacks Rank #3 (Hold) and has an Earnings ESP of -0.41%. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 increases the chances of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Stocks With the Favorable Combination Here are three companies worth considering as our model shows that these have the correct combination to beat on earnings this time: Sysco Corporation SYY has an Earnings ESP of +1.07% and a Zacks Rank #3. The company is likely to witness top-and-bottom-line growth when it reports second-quarter fiscal 2024 results. The Zacks Consensus Estimate for Sysco’s quarterly revenues is pegged at $19.3 billion, which suggests a rise of 3.7% from the figure reported in the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for Sysco’s quarterly EPS has risen by 2.3% in the past 30 days to 88 cents, which suggests an increase of 10% from the year-ago quarter’s level. SYY has a trailing four-quarter negative earnings surprise of 0.03%, on average. Mondelez International MDLZ currently has an Earnings ESP of +1.26% and a Zacks Rank #3. The company is likely to register top-and-bottom-line growth when it reports fourth-quarter 2023 numbers. The Zacks Consensus Estimate for Mondelez’s quarterly revenues is pegged at $9.2 billion, indicating a rise of 5.9% from the figure reported in the prior-year quarter. The Zacks Consensus Estimate for Mondelez’s quarterly earnings of 76 cents suggests an increase of 4.1% from the year-ago quarter’s levels. MDLZ has a trailing four-quarter earnings surprise of 7.3%, on average. Colgate-Palmolive CL currently has an Earnings ESP of +2.12% and a Zacks Rank of 3. The company is likely to register top-line and bottom-line increases when it reports fourth-quarter 2023 numbers. The Zacks Consensus Estimate for Colgate’s quarterly revenues is pegged at $4.9 billion, indicating a rise of 5.3% from the figure reported in the prior-year quarter. The Zacks Consensus Estimate for Colgate’s quarterly earnings of 85 cents suggests an increase of 10.4% from the year-ago quarter’s levels. CL has a trailing four-quarter earnings surprise of 3.6%, on average. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 General Mills, Inc. (GIS) : Free Stock Analysis Report Colgate-Palmolive Company (CL) : Free Stock Analysis Report Sysco Corporation (SYY) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : 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.
Additionally, GIS is witnessing challenges in the wet food and treats categories, with pet parents spending more time at work or away from home. Blue Buffalo manufactures and markets wholesome natural pet food items and is contributing to General Mills’ top line. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
General Mills, Inc. Price, Consensus and EPS Surprise General Mills, Inc. price-consensus-eps-surprise-chart | General Mills, Inc. Quote GIS is bearing the brunt of the lower impacts of inflation-justified pricing, along with consumers’ shift toward value products stemming from an uncertain economic landscape. General Mills’ Pet segment mainly constitutes Blue Buffalo Pet Products, Inc., which was acquired by GIS in fiscal 2018. Click to get this free report General Mills, Inc. (GIS) : Free Stock Analysis Report Colgate-Palmolive Company (CL) : Free Stock Analysis Report Sysco Corporation (SYY) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report To read this article on Zacks.com click here.
The Zacks Consensus Estimate for Sysco’s quarterly revenues is pegged at $19.3 billion, which suggests a rise of 3.7% from the figure reported in the prior-year quarter. The Zacks Consensus Estimate for Mondelez’s quarterly earnings of 76 cents suggests an increase of 4.1% from the year-ago quarter’s levels. Click to get this free report General Mills, Inc. (GIS) : Free Stock Analysis Report Colgate-Palmolive Company (CL) : Free Stock Analysis Report Sysco Corporation (SYY) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report To read this article on Zacks.com click here.
Pet Unit in Detail Although General Mills’ Pet segment has been driving the company’s performance, the unit is likely to have witnessed some hurdles in the quarter to be reported. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 increases the chances of an earnings beat, which is not the case here. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
8b12d077-b8f6-4a19-a47c-f510663f624a
711577.0
2023-12-15 00:00:00 UTC
Thyssenkrupp Nucera expects operating loss in 2024 on start-up costs
DCOMP
https://www.nasdaq.com/articles/thyssenkrupp-nucera-expects-operating-loss-in-2024-on-start-up-costs
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By Christoph Steitz and Tom Käckenhoff FRANKFURT/DUESSELDORF, Dec 18 (Reuters) - Thyssenkrupp Nucera NCH2.DE, which makes electrolysers needed to produce green hydrogen, expects an operating loss in its 2024 fiscal year, citing start-up costs for the division it expects will account for most of its growth in the future. The company, which was listed in one of Europe's biggest IPOs this year, said it expects a loss before interest and tax (EBIT) in the mid-double-digit million euro range, compared with an LSEG estimate for a 22.8 million euro ($25 million) loss. EBIT will primarily be burdened by costs associated with alkaline water electrolysis, the company said, the part of its business that investors are most keen on as it can be scaled up quickly. The company's shares are down more than a third from the high reached a day after it listed in July, reflecting a more cautious approach investors have taken to a technology that is fairly new and depends on political support. Thyssenkrupp Nucera, which competes with Norway's Nel NEL.OL, Britain's ITM Power ITM.L, France's McPhy Energy MCPHY.PA and U.S. company Plug Power PLUG.O, said its order intake fell by more than half to 613 million in 2022/23. Its EBIT nearly tripled to 23.8 million euros in 2022/23, exceeding an LSEG analysts' survey estimate of 16.5 million. Electrolysers can use renewable energy to separate hydrogen from water, and the hydrogen can then be used as an alternative to fossil fuels in hard-to-decarbonise industries - making it a potential growth market in global efforts to cut emissions. Sales in the year to Sept. 30 are expected to grow by a mid double-digit percentage from the 653 million generated in 2022/23, said the group, which is majority-owned by Thyssenkrupp TKAG.DE, in line with a growth forecast of 51% from analysts polled by LSEG. ($1 = 0.9163 euros) (Additional reporting by Rachel More; editing by Jacqueline Wong and Jason Neely) ((christoph.steitz@thomsonreuters.com; +49 30 220 133 647;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
EBIT will primarily be burdened by costs associated with alkaline water electrolysis, the company said, the part of its business that investors are most keen on as it can be scaled up quickly. The company's shares are down more than a third from the high reached a day after it listed in July, reflecting a more cautious approach investors have taken to a technology that is fairly new and depends on political support. Sales in the year to Sept. 30 are expected to grow by a mid double-digit percentage from the 653 million generated in 2022/23, said the group, which is majority-owned by Thyssenkrupp TKAG.DE, in line with a growth forecast of 51% from analysts polled by LSEG.
By Christoph Steitz and Tom Käckenhoff FRANKFURT/DUESSELDORF, Dec 18 (Reuters) - Thyssenkrupp Nucera NCH2.DE, which makes electrolysers needed to produce green hydrogen, expects an operating loss in its 2024 fiscal year, citing start-up costs for the division it expects will account for most of its growth in the future. The company, which was listed in one of Europe's biggest IPOs this year, said it expects a loss before interest and tax (EBIT) in the mid-double-digit million euro range, compared with an LSEG estimate for a 22.8 million euro ($25 million) loss. Its EBIT nearly tripled to 23.8 million euros in 2022/23, exceeding an LSEG analysts' survey estimate of 16.5 million.
By Christoph Steitz and Tom Käckenhoff FRANKFURT/DUESSELDORF, Dec 18 (Reuters) - Thyssenkrupp Nucera NCH2.DE, which makes electrolysers needed to produce green hydrogen, expects an operating loss in its 2024 fiscal year, citing start-up costs for the division it expects will account for most of its growth in the future. The company, which was listed in one of Europe's biggest IPOs this year, said it expects a loss before interest and tax (EBIT) in the mid-double-digit million euro range, compared with an LSEG estimate for a 22.8 million euro ($25 million) loss. Its EBIT nearly tripled to 23.8 million euros in 2022/23, exceeding an LSEG analysts' survey estimate of 16.5 million.
By Christoph Steitz and Tom Käckenhoff FRANKFURT/DUESSELDORF, Dec 18 (Reuters) - Thyssenkrupp Nucera NCH2.DE, which makes electrolysers needed to produce green hydrogen, expects an operating loss in its 2024 fiscal year, citing start-up costs for the division it expects will account for most of its growth in the future. The company, which was listed in one of Europe's biggest IPOs this year, said it expects a loss before interest and tax (EBIT) in the mid-double-digit million euro range, compared with an LSEG estimate for a 22.8 million euro ($25 million) loss. Its EBIT nearly tripled to 23.8 million euros in 2022/23, exceeding an LSEG analysts' survey estimate of 16.5 million.
faac633e-e483-49b1-872a-3bbc3368dfca
711578.0
2023-12-15 00:00:00 UTC
Should SPDR S&P 500 ETF (SPY) Be on Your Investing Radar?
DCOMP
https://www.nasdaq.com/articles/should-spdr-sp-500-etf-spy-be-on-your-investing-radar-10
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Looking for broad exposure to the Large Cap Blend segment of the US equity market? You should consider the SPDR S&P 500 ETF (SPY), a passively managed exchange traded fund launched on 01/29/1993. The fund is sponsored by State Street Global Advisors. It has amassed assets over $449.23 billion, making it the largest ETFs attempting to match the Large Cap Blend segment of the US equity market. Why Large Cap Blend Companies that find themselves in the large cap category 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. Typically holding a combination of both growth and value stocks, blend ETFs also demonstrate qualities seen in value and growth investments. 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 0.09%, making it one of the least expensive products in the space. It has a 12-month trailing dividend yield of 1.79%. 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 to the Information Technology sector--about 28.90% of the portfolio. Financials and Healthcare round out the top three. Looking at individual holdings, Apple Inc (AAPL) accounts for about 7.24% of total assets, followed by Microsoft Corp (MSFT) and Amazon.com Inc (AMZN). The top 10 holdings account for about 31.42% of total assets under management. Performance and Risk SPY seeks to match the performance of the S&P 500 Index before fees and expenses. The S&P 500 Index is composed of five hundred selected stocks, all of which are listed on national stock exchanges and span over 25 separate industry groups. The ETF has added about 23.96% so far this year and is up about 22.13% in the last one year (as of 12/18/2023). In the past 52-week period, it has traded between $376.66 and $472.01. The ETF has a beta of 1 and standard deviation of 17.54% for the trailing three-year period, making it a medium risk choice in the space. With about 503 holdings, it effectively diversifies company-specific risk. Alternatives SPDR S&P 500 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, SPY 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 Vanguard S&P 500 ETF (VOO) and the iShares Core S&P 500 ETF (IVV) track the same index. While Vanguard S&P 500 ETF has $366.77 billion in assets, iShares Core S&P 500 ETF has $394.06 billion. VOO has an expense ratio of 0.03% and IVV charges 0.03%. 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. 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 SPDR S&P 500 ETF (SPY): 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 Vanguard S&P 500 ETF (VOO): 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.
It has amassed assets over $449.23 billion, making it the largest ETFs attempting to match the Large Cap Blend segment of the US equity market. The ETF has a beta of 1 and standard deviation of 17.54% for the trailing three-year period, making it a medium risk choice in the space. Thus, SPY is a reasonable option for those seeking exposure to the Style Box - Large Cap Blend area of the market.
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. 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. Click to get this free report SPDR S&P 500 ETF (SPY): 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 Vanguard S&P 500 ETF (VOO): ETF Research Reports iShares Core S&P 500 ETF (IVV): ETF Research Reports To read this article on Zacks.com click here.
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. 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. Click to get this free report SPDR S&P 500 ETF (SPY): 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 Vanguard S&P 500 ETF (VOO): ETF Research Reports iShares Core S&P 500 ETF (IVV): ETF Research Reports To read this article on Zacks.com click here.
Annual operating expenses for this ETF are 0.09%, making it one of the least expensive products in the space. 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. The top 10 holdings account for about 31.42% of total assets under management.
e07e8cef-aa91-429f-9f9f-6e33c0b99cbf
711579.0
2023-12-15 00:00:00 UTC
The Zacks Analyst Blog Highlights Everest Group, Comcast, 3M, Molson Coors Beverage and DaVita
DCOMP
https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-everest-group-comcast-3m-molson-coors-beverage-and-0
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For Immediate Release Chicago, IL – December 18, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Everest Group Ltd. EG, Comcast Corp. CMCSA, 3M Co. MMM, Molson Coors Beverage Co. TAP and DaVita Inc. DVA. Here are highlights from Friday’s Analyst Blog: 5 Undervalued S&P 500 Stocks to Buy for 2024 After several twists and turns, the S&P 500 has been hitting a series of new highs in 2023, driven by the optimism that the Fed is done with interest rate hikes. The solid trend is likely to continue in 2024, with the Fed turning dovish and several analysts being bullish on the benchmark. The S&P 500 has gained nearly 23% so far this year but is 3% shy of its record high in late 2021. Investors seeking to tap the bullish momentum should invest in undervalued stocks to gain higher returns. Some of these are Everest Group Ltd., Comcast Corp., 3M Co., Molson Coors Beverage Co. and DaVita Inc. These stocks have a solid Zacks Rank #1 (Strong Buy) or 2 (Buy), a VGM Score of B or better, lower P/E than the industry average and a positive estimated earnings growth rate for 2024. A top rank suggests rising earnings estimates, which indicate an optimistic view on earnings by analysts and hence higher chances of outperformance. You can see the complete list of today’s Zacks #1 Rank stocks here. Fed Turns Dovish The Federal Reserve Chair Jerome Powell, in the latest meeting, hinted at a major policy shift as inflation is easing and the economy is holding up better. He signaled three rate cuts for the next year, compared with the previous forecast of two rate cuts in 2024. The federal funds rate is expected in the range of 4.4-4.9%, down from the current 5.25% to 5.50%. This indicates that the Fed will cut rates by a total of 0.75% next year, indicating that the historic rate-hiking campaign might be ending. Following the meeting, markets have been pricing in a nearly 60% chance that the Fed will begin to cut rates at its March meeting, up from 40% the day prior, per the data from CME Group. Analysts Turn Bullish Several analysts and market strategists expect the S&P 500 to touch new highs in 2024. Oppenheimer recently joined a rush of Wall Street analysts who expect all-time highs for U.S. stocks next year. The analyst sees the S&P 500 rising to 5,200 by the end of 2024. Last month, strategists at RBC Capital Markets and Bank of America expressed their optimism by setting a year-end target of 5,000 for 2024. Their bullish stance is based on several factors — a growing positive sentiment in the stock market, a decrease in geopolitical risks, signs of cooling inflation and anticipation of the Fed’s rate-hiking cycle coming to an end. Other Wall Street forecasters are also optimistic, with Deutsche Bank and Société Générale predicting the S&P 500 to hit new highs in 2024. Further, Fundstrat Tom Lee, who has been one of the most persistently bullish forecasters on Wall Street this year, expects stocks will surge to a new all-time high in 2024 as the Fed shifts to a less restrictive monetary policy. He anticipates that the S&P 500 could soar to 5,200 by the end of 2024. Stock Picks for 2024 Everest Group is a property and casualty insurer and reinsurer in all states, the District of Columbia, Puerto Rico and Guam. It underwrites property and casualty reinsurance for insurance and reinsurance companies in the United States and international markets. Everest Group saw a solid earnings estimate revision of $2.58 over the past 30 days for the next year, with an estimated growth rate of 11%. Everest Group has a P/E ratio of 6.96 versus the industry average of 9.81. It sports a Zacks Rank #1 and has a VGM Score of A. Comcast is a global media and technology company with three primary businesses: Comcast Cable, NBCUniversal and Sky. It saw positive earnings estimates of a penny for the next year over the past 30 days. It has an estimated earnings growth rate of 9.79%. Comcast has a P/E ratio of 11.07 versus the industry average of 13.19. It has a Zacks Rank #2 and a VGM Score of A. 3M Company provides diversified technology services in the United States and internationally. The stock saw a solid earnings estimate revision of 7 cents over the past 30 days for the next year, with an estimated growth rate of 8.76%. 3M Company has a P/E ratio of 11.42 compared with the industry average of 17.47. It has a Zacks Rank #2 and a VGM Score of A. Molson Coors, previously known as Molson Coors Brewing Company, was formed by the merger of Molson Inc. and Adolph Coors Co. in February 2005. The global manufacturer and seller of beer and other beverage products has an impressive diverse portfolio of owned and partner brands. Molson Coors saw a positive earnings estimate revision of 28 cents over the past 60 days for the next year and has an estimated earnings growth rate of 2.59%. Molson Coors has a P/E ratio of 12.17 compared with the industry average of 18.05. It has a Zacks Rank #1 and a VGM Score of B. DaVita is a leading provider of dialysis services to patients suffering from chronic kidney failure, also known as end-stage renal disease, in the United States. The company operates kidney dialysis centers and provides related medical services, primarily in dialysis centers and in contracted hospitals across the United States. DaVita saw a solid earnings estimate revision of 30 cents over the past 30 days for the next year and has an estimated earnings growth rate of 4.43%. DaVita has a P/E ratio of 13.48 versus the industry average of 20.45. It sports a Zacks Rank #1 and has a VGM Score of A. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Comcast Corporation (CMCSA) : Free Stock Analysis Report 3M Company (MMM) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report Molson Coors Beverage Company (TAP) : Free Stock Analysis Report Everest Group, Ltd. (EG) : 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.
Their bullish stance is based on several factors — a growing positive sentiment in the stock market, a decrease in geopolitical risks, signs of cooling inflation and anticipation of the Fed’s rate-hiking cycle coming to an end. Further, Fundstrat Tom Lee, who has been one of the most persistently bullish forecasters on Wall Street this year, expects stocks will surge to a new all-time high in 2024 as the Fed shifts to a less restrictive monetary policy. It has a Zacks Rank #1 and a VGM Score of B. DaVita is a leading provider of dialysis services to patients suffering from chronic kidney failure, also known as end-stage renal disease, in the United States.
Stocks recently featured in the blog include: Everest Group Ltd. EG, Comcast Corp. CMCSA, 3M Co. MMM, Molson Coors Beverage Co. Molson Coors saw a positive earnings estimate revision of 28 cents over the past 60 days for the next year and has an estimated earnings growth rate of 2.59%. Click to get this free report Comcast Corporation (CMCSA) : Free Stock Analysis Report 3M Company (MMM) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report Molson Coors Beverage Company (TAP) : Free Stock Analysis Report Everest Group, Ltd. (EG) : Free Stock Analysis Report To read this article on Zacks.com click here.
These stocks have a solid Zacks Rank #1 (Strong Buy) or 2 (Buy), a VGM Score of B or better, lower P/E than the industry average and a positive estimated earnings growth rate for 2024. The stock saw a solid earnings estimate revision of 7 cents over the past 30 days for the next year, with an estimated growth rate of 8.76%. Click to get this free report Comcast Corporation (CMCSA) : Free Stock Analysis Report 3M Company (MMM) : Free Stock Analysis Report DaVita Inc. (DVA) : Free Stock Analysis Report Molson Coors Beverage Company (TAP) : Free Stock Analysis Report Everest Group, Ltd. (EG) : Free Stock Analysis Report To read this article on Zacks.com click here.
These stocks have a solid Zacks Rank #1 (Strong Buy) or 2 (Buy), a VGM Score of B or better, lower P/E than the industry average and a positive estimated earnings growth rate for 2024. A top rank suggests rising earnings estimates, which indicate an optimistic view on earnings by analysts and hence higher chances of outperformance. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
7dea2bdf-6304-4138-9f83-ce3662756d6c
711580.0
2023-12-15 00:00:00 UTC
Festive food and fizz top Europeans' Christmas shopping list
DCOMP
https://www.nasdaq.com/articles/festive-food-and-fizz-top-europeans-christmas-shopping-list
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By James Davey and Helen Reid LONDON, Dec 18 (Reuters) - Supermarkets in the UK and Europe are offering more own-brand festive food from roast duck to truffle crackers as cash-strapped families spend on Christmas meals at home while cutting down on gifts and eating out. Festive meals are being prioritised as inflation forces households to adjust their budgets, executives and market analysts say. For some grocers, it's a chance to upsell to consumers that can afford to splash out during the holidays. "The trend on groceries is strong," Simon Roberts, CEO of Sainsbury's SBRY.L, Britain's second biggest grocer, told Reuters last month. "We're set for a strong food Christmas." Sainsbury's has broadened its own-brand "Taste the Difference" premium food range, adding 170 new Christmas food products including a ready meal for four of duck, potatoes and cranberry sauce for 28 pounds ($36), and canapés like mini smoked salmon terrine slices for 3.75 pounds. Britons expect to spend around 105 pounds more on Christmas this year than in 2022, according to Barclays research, with festive food and drink expected to be the largest contributor - rising by an average of almost 26 pounds. UK market leader Tesco TSCO.L has bought more turkeys than last year, CEO Ken Murphy said, as it expects people will go out less and spend more time at home with friends and family. "I am doing a lot of hosting in the next couple of weeks, and we do prefer to do stuff at home - it's just more relaxing," said Robyn Asher, 55, as she shopped in a Sainsbury's supermarket in East Dulwich, London. "You can drink much nicer wine at home, because the mark-up is way too much in restaurants," she added. In her trolley were five bottles of wine and one of champagne for her family's Christmas celebrations, to take advantage of the supermarket's offer of 25% off for six bottles. James Simpson, managing director of champagne producer Pol Roger, said although champagne sales growth will likely slow overall in 2023, he anticipated strong sales over Christmas when even thrifty consumers tend to splash out and treat themselves. Britons have bought 3.9 million litres of champagne this year, down 9% from last year, according to Kantar data on the 52 weeks ending Nov 26. In France, shoppers aim to cut their overall Christmas spending this year, with the average budget down by 19 euros compared to 2022 according to a survey by Cofidis and CSA Research. They aim to cut their spending the most on gifts. Supermarket chain Carrefour CARR.PA is trying to attract shoppers with low prices like a 0.99 euro ($1.09) chocolate advent calendar, among 60 new own-brand Christmas food products the retailer has introduced this year. Supermarkets have increased their range of alternatives to branded foods as a large majority (78%) of consumers in France, Germany, Italy, Spain and the UK, across income groups, say they are switching to cheaper products or shopping at lower-priced retailers, according to McKinsey research. Polish supermarket chain Biedronka JMT.LS said its range of own-brand chocolates and sweets including gingerbread biscuits is at least 20% cheaper than big-brand alternatives. Dutch supermarket Albert Heijn AD.AS said its premium "AH Excellent" range has 200 holiday products this year, more than in 2022. In Portugal, supermarket Pingo Doce has launched new items in its "Iguarias" (delicacies) range including a meat, chestnut and vegetable puff pastry starter for 5.49 euros and truffle crackers for 1.99 euros. ($1 = 0.7846 pounds) ($1 = 0.9106 euros) Fizzling out: UK champagne sales down 20% from 2019 https://tmsnrt.rs/3uY7JXA (Reporting by James Davey and Helen Reid; Additional reporting by Emma Rumney; Editing by Kirsten Donovan) ((Helen.Reid@thomsonreuters.com; +44 7584 155 200 ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By James Davey and Helen Reid LONDON, Dec 18 (Reuters) - Supermarkets in the UK and Europe are offering more own-brand festive food from roast duck to truffle crackers as cash-strapped families spend on Christmas meals at home while cutting down on gifts and eating out. Supermarket chain Carrefour CARR.PA is trying to attract shoppers with low prices like a 0.99 euro ($1.09) chocolate advent calendar, among 60 new own-brand Christmas food products the retailer has introduced this year. Supermarkets have increased their range of alternatives to branded foods as a large majority (78%) of consumers in France, Germany, Italy, Spain and the UK, across income groups, say they are switching to cheaper products or shopping at lower-priced retailers, according to McKinsey research.
By James Davey and Helen Reid LONDON, Dec 18 (Reuters) - Supermarkets in the UK and Europe are offering more own-brand festive food from roast duck to truffle crackers as cash-strapped families spend on Christmas meals at home while cutting down on gifts and eating out. Sainsbury's has broadened its own-brand "Taste the Difference" premium food range, adding 170 new Christmas food products including a ready meal for four of duck, potatoes and cranberry sauce for 28 pounds ($36), and canapés like mini smoked salmon terrine slices for 3.75 pounds. ($1 = 0.7846 pounds) ($1 = 0.9106 euros) Fizzling out: UK champagne sales down 20% from 2019 https://tmsnrt.rs/3uY7JXA (Reporting by James Davey and Helen Reid; Additional reporting by Emma Rumney; Editing by Kirsten Donovan) ((Helen.Reid@thomsonreuters.com; +44 7584 155 200 ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By James Davey and Helen Reid LONDON, Dec 18 (Reuters) - Supermarkets in the UK and Europe are offering more own-brand festive food from roast duck to truffle crackers as cash-strapped families spend on Christmas meals at home while cutting down on gifts and eating out. Sainsbury's has broadened its own-brand "Taste the Difference" premium food range, adding 170 new Christmas food products including a ready meal for four of duck, potatoes and cranberry sauce for 28 pounds ($36), and canapés like mini smoked salmon terrine slices for 3.75 pounds. Britons expect to spend around 105 pounds more on Christmas this year than in 2022, according to Barclays research, with festive food and drink expected to be the largest contributor - rising by an average of almost 26 pounds.
By James Davey and Helen Reid LONDON, Dec 18 (Reuters) - Supermarkets in the UK and Europe are offering more own-brand festive food from roast duck to truffle crackers as cash-strapped families spend on Christmas meals at home while cutting down on gifts and eating out. Britons expect to spend around 105 pounds more on Christmas this year than in 2022, according to Barclays research, with festive food and drink expected to be the largest contributor - rising by an average of almost 26 pounds. James Simpson, managing director of champagne producer Pol Roger, said although champagne sales growth will likely slow overall in 2023, he anticipated strong sales over Christmas when even thrifty consumers tend to splash out and treat themselves.
b759434e-07dc-4466-8b26-883d5838ab9b
711581.0
2023-12-15 00:00:00 UTC
Best Value Stocks to Buy for December 18th
DCOMP
https://www.nasdaq.com/articles/best-value-stocks-to-buy-for-december-18th
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Here are three stocks with buy rank and strong value characteristics for investors to consider today, December 18: ACRES Commercial Realty Corp. ACR: This real estate investment trust carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 12% over the last 60 days. ACRES Commercial Realty Corp. Price and Consensus ACRES Commercial Realty Corp. price-consensus-chart | ACRES Commercial Realty Corp. Quote ACRES has a price-to-earnings ratio (P/E) of 3.68, compared with 10.40 for the industry. The company possesses a Value Score of A. ACRES Commercial Realty Corp. PE Ratio (TTM) ACRES Commercial Realty Corp. pe-ratio-ttm | ACRES Commercial Realty Corp. Quote Ryerson Holding Corporation RYI: This industrial metal company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 18% over the last 60 days. Ryerson Holding Corporation Price and Consensus Ryerson Holding Corporation price-consensus-chart | Ryerson Holding Corporation Quote Ryerson has a price-to-earnings ratio (P/E) of 9.02 compared with 22.20 for the industry. The company possesses a Value Score of A. Ryerson Holding Corporation PE Ratio (TTM) Ryerson Holding Corporation pe-ratio-ttm | Ryerson Holding Corporation Quote Atmus Filtration Technologies Inc. ATMU: This filtration products manufacturer carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 5.1% over the last 60 days. Atmus Filtration Technologies Inc. Price and Consensus Atmus Filtration Technologies Inc. price-consensus-chart | Atmus Filtration Technologies Inc. Quote Atmus Filtration Technologies has a price-to-earnings ratio (P/E) of 10.89 compared with 25.40 for the industry. The company possesses a Value Score of B. Atmus Filtration Technologies Inc. PE Ratio (TTM) Atmus Filtration Technologies Inc. pe-ratio-ttm | Atmus Filtration Technologies Inc. Quote See the full list of top ranked stocks here. Learn more about the Value score and how it is calculated here. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Ryerson Holding Corporation (RYI) : Free Stock Analysis Report ACRES Commercial Realty Corp. (ACR) : Free Stock Analysis Report Atmus Filtration Technologies Inc. (ATMU) : 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.
Here are three stocks with buy rank and strong value characteristics for investors to consider today, December 18: ACRES Commercial Realty Corp. ACR: This real estate investment trust carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 12% over the last 60 days. The company possesses a Value Score of A. Ryerson Holding Corporation PE Ratio (TTM) Ryerson Holding Corporation pe-ratio-ttm | Ryerson Holding Corporation Quote Atmus Filtration Technologies Inc. ATMU: This filtration products manufacturer carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 5.1% over the last 60 days. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
ACRES Commercial Realty Corp. PE Ratio (TTM) ACRES Commercial Realty Corp. pe-ratio-ttm | ACRES Commercial Realty Corp. Quote Ryerson Holding Corporation RYI: This industrial metal company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 18% over the last 60 days. The company possesses a Value Score of A. Ryerson Holding Corporation PE Ratio (TTM) Ryerson Holding Corporation pe-ratio-ttm | Ryerson Holding Corporation Quote Atmus Filtration Technologies Inc. ATMU: This filtration products manufacturer carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 5.1% over the last 60 days. Click to get this free report Ryerson Holding Corporation (RYI) : Free Stock Analysis Report ACRES Commercial Realty Corp. (ACR) : Free Stock Analysis Report Atmus Filtration Technologies Inc. (ATMU) : Free Stock Analysis Report To read this article on Zacks.com click here.
ACRES Commercial Realty Corp. PE Ratio (TTM) ACRES Commercial Realty Corp. pe-ratio-ttm | ACRES Commercial Realty Corp. Quote Ryerson Holding Corporation RYI: This industrial metal company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 18% over the last 60 days. The company possesses a Value Score of A. Ryerson Holding Corporation PE Ratio (TTM) Ryerson Holding Corporation pe-ratio-ttm | Ryerson Holding Corporation Quote Atmus Filtration Technologies Inc. ATMU: This filtration products manufacturer carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 5.1% over the last 60 days. Click to get this free report Ryerson Holding Corporation (RYI) : Free Stock Analysis Report ACRES Commercial Realty Corp. (ACR) : Free Stock Analysis Report Atmus Filtration Technologies Inc. (ATMU) : Free Stock Analysis Report To read this article on Zacks.com click here.
The company possesses a Value Score of A. The company possesses a Value Score of A. Ryerson Holding Corporation PE Ratio (TTM) Ryerson Holding Corporation pe-ratio-ttm | Ryerson Holding Corporation Quote Atmus Filtration Technologies Inc. ATMU: This filtration products manufacturer carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 5.1% over the last 60 days. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
b6c60baa-b38f-4d31-935c-6fced3360fb3
711582.0
2023-12-15 00:00:00 UTC
Forget Hot Dogs and Rotisserie Chickens: This Is Costco's New Hot Product
DCOMP
https://www.nasdaq.com/articles/forget-hot-dogs-and-rotisserie-chickens%3A-this-is-costcos-new-hot-product
nan
nan
Benjamin Franklin wrote, "Nothing is certain except death and taxes." But warehouse-style retail chain Costco Wholesale (NASDAQ: COST) is making a strong case for two more certainties. Costco's combo meal for a hot dog and a soda costs $1.50, and its rotisserie chicken costs $4.99. These prices haven't changed since 1984 and 2009, respectively, even though inflation has sent the price of everything else soaring during this time. Whether it's their price stability or just how tasty they are, these foods have given Costco an extraordinary fanbase. The company sells over 150 million hot-dog combos annually, which reportedly outpaces combined hot-dog sales across all of Major League Baseball. Moreover, Costco sold 117 million rotisserie chickens in 2022 and probably even more this year. Judging by the line of customers waiting for more chickens to be brought out, it still might not be completely meeting demand. Hot dogs and rotisserie chickens are big business for Costco, and there's a lesson in there for investors. But before I tackle that, I want to point out that the company has a new and surprising "hot" product that captivated its members in the most recent quarter. The surprise item to kick off fiscal 2024 Costco reported financial results for its fiscal first quarter of 2024 on Dec. 14. During Q1 (which ended on Nov. 26), management said that it sold $100 million in gold. That's not exactly what you'd expect from a retailer mostly selling food. Costco started selling gold online to only its members last quarter, with a two-per-member limit. And on the earnings call, CFO Richard Galanti said that they'd sell out within hours. This is somewhat surprising because these one-ounce gold bars reportedly sold for a small premium to the spot price of gold. No matter what the exact reason was for the enthusiasm, Costco's members apparently believe buying gold is a good perk. And that's good news for investors. How Costco makes money The late great Charlie Munger said he was addicted to Costco stock because he was in love with the business model. The company doesn't intend to operate as many locations as other big-box competitors. Rather, it focuses on more limited markets that can support heavy sales volume per location. From fewer than 900 locations, Costco generated more than $237 billion in sales in its fiscal 2023 -- an incredible volume. However, the company makes surprisingly little profit from its sales. Its gross margin on merchandise was a paltry 11% in fiscal 2023. Add in operating expenses, and it's virtually a breakeven business. Costco's goal is to deliver value for its members, so operating near breakeven is important. But the company makes up the difference with its membership fees. It has 72 million member households as of Q1. And with a greater-than 90% membership renewal rate, they obviously believe the Costco membership is worth it. From an investment perspective, the great thing about Costco's model is that new membership fees drop down to the bottom line, allowing profit growth to outpace revenue growth. The chart below shows the trend between revenue and free cash flow (on a per-share basis) over the last 10 years. COST data by YCharts. Costco's stock price might have gotten a little ahead of free cash flow lately. But the stock price has unsurprisingly followed the company's cash flow higher over the long term. Therefore, the name of the game for Costco is to keep its members happy and attract more. In so doing, it can earn more membership fees, and cash flow can increase. That's where hot dogs, rotisserie chickens, and even gold bars come in to this discussion. Due to their its popularity, Costco is determined to maintain this pricing on its most popular items. To keep things as close to breakeven as possible, the company has opted to reduce its costs rather than increase its prices. And this has led to some out-of-the-box maneuvers for the discount-warehouse chain. More than a decade ago, Costco opened its own hot-dog manufacturing facility in California to reduce its cost basis. Then in 2019, the company opened a chicken plant in Nebraska that can process two million chickens daily. It's a lot of work for Costco to vertically integrate food production like this. But it supports keeping prices low for more than 100 million chickens and over 150 million hot dogs. Keeping prices low keeps members happy. And that's what it's all about. Costco has yet to announce its own gold mine. But given how far the company will go to please its members (insert tongue in cheek), shareholders shouldn't completely rule it out. Should you invest $1,000 in Costco Wholesale right now? Before you buy stock in Costco Wholesale, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Costco Wholesale wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Jon Quast has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. 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.
But warehouse-style retail chain Costco Wholesale (NASDAQ: COST) is making a strong case for two more certainties. No matter what the exact reason was for the enthusiasm, Costco's members apparently believe buying gold is a good perk. More than a decade ago, Costco opened its own hot-dog manufacturing facility in California to reduce its cost basis.
But warehouse-style retail chain Costco Wholesale (NASDAQ: COST) is making a strong case for two more certainties. The company sells over 150 million hot-dog combos annually, which reportedly outpaces combined hot-dog sales across all of Major League Baseball. Before you buy stock in Costco Wholesale, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Costco Wholesale wasn't one of them.
How Costco makes money The late great Charlie Munger said he was addicted to Costco stock because he was in love with the business model. Costco's stock price might have gotten a little ahead of free cash flow lately. Before you buy stock in Costco Wholesale, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Costco Wholesale wasn't one of them.
But warehouse-style retail chain Costco Wholesale (NASDAQ: COST) is making a strong case for two more certainties. However, the company makes surprisingly little profit from its sales. Before you buy stock in Costco Wholesale, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Costco Wholesale wasn't one of them.
bab4f37c-ea78-4536-a33a-777958327ea5
711583.0
2023-12-15 00:00:00 UTC
Everyone Is Talking About This Stock. Is It a Good Long-Term Option?
DCOMP
https://www.nasdaq.com/articles/everyone-is-talking-about-this-stock.-is-it-a-good-long-term-option-17
nan
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Nvidia (NASDAQ: NVDA) is one of the market's most talked-about stocks. The chipmaker's shares soared 1,220% over the past five years as it evolved from a maker of gaming graphics processing units (GPUs) into the gatekeeper of the booming artificial intelligence (AI) market. Nvidia achieved that evolution by developing high-end GPUs for accelerating AI tasks at data centers. Unlike central processing units (CPUs), which process one piece of data at a time, GPUs can process a broad range of data points simultaneously. That's why the top generative AI platforms -- including OpenAI's ChatGPT and DALL-E -- are currently powered by Nvidia's GPUs. Nvidia CEO Jensen Huang. Image source: Nvidia. The AI market's explosive expansion over the past few years sparked a buying frenzy in Nvidia's data center GPUs. That growth offset the lumpier growth of its gaming GPU business, which accelerated throughout the pandemic but faced a tough slowdown as the PC market cooled off. In its latest quarter, Nvidia generated 80% of its revenue from its data center chips and just 16% of its revenue from its gaming business. Analysts expect Nvidia's revenue to soar 118% in fiscal 2024 (which ends in January 2024) and grow at a compound annual growth rate (CAGR) of 35% from fiscal 2024 to fiscal 2026. Those growth rates are stunning, but is it a good long-term play? The bull case is straightforward As the clear leader in high-end GPUs for data centers, Nvidia is poised to profit from the long-term expansion of the AI market. Precedence Research expects the broader AI market to grow at a CAGR of 19.1% from 2023 to 2032. Within that market, Fortune Business Insights believes the higher-growth generative AI niche will expand at a CAGR of 47.5% from 2022 to 2030. During Nvidia's latest conference call in November, CFO Colette Kress said investments in "infrastructure for training and inferencing large language models, deep learning recommender systems, and generative AI applications is fueling strong broad-based demand" for its data center GPUs. Kress also said Nvidia had "significantly increased" its supply "every quarter this year" and will continue to do so next year" to "meet a growing and diverse set of AI opportunities." Nvidia also remains far ahead of Advanced Micro Devices in the gaming GPU market. It controlled 87% of the discrete GPU market in the second quarter of 2023, according to JPR, compared to AMD's meager 10% share. Therefore, the development of more graphically intensive games should continue to drive the growth of its gaming business. All these catalysts suggest Nvidia's stock still has plenty of room to run -- and it doesn't look too expensive at 24 times forward earnings and 13 times next year's sales. The bear case is more complicated Nvidia's strengths are easy to see, but it also has three glaring weaknesses. First, the AI market might be due for a breather from its feverish growth over the past few years. That slowdown could result in a supply glut and lower GPU prices. Second, there's no guarantee Nvidia will maintain its early-mover advantage in the data center GPU market over the next decade. OpenAI, its biggest backer Microsoft, Meta Platforms, and Alphabet's Google have all been developing their own first-party AI accelerators to curb their dependence on Nvidia's chips. Smaller companies like Graphcore have also been trying to develop more cost-efficient AI accelerator chips. Lastly, the escalating tech war between the U.S. and China could curb Nvidia's long-term growth. The U.S. government already blocked Nvidia from selling its top-tier A100 and H100 data center chips to Chinese customers last year, but Nvidia shrewdly offset that by selling more of its lower-end A800 and H800 chips in China instead. However, the U.S. closed that loophole in October, banning those sales as well. Nvidia believes it can mitigate that by diverting its China-bound chips to other markets, but that's only a short-term solution to a longer-term problem. The tighter export restrictions could drive Chinese chipmakers to develop their own homegrown AI chips to replace Nvidia's technology -- and those chips could eventually seep into other overseas markets. Is Nvidia a good long-term investment? Nvidia isn't a bulletproof investment, but I believe its strengths outweigh its weaknesses. The AI market could cool off, but it still has plenty of room to grow as companies adopt more AI tools to optimize and accelerate their operations. Nvidia should also generate plenty of cash to develop new chips before any meaningful competitors actually arrive in the data center GPU market, and its scale should prevent those rivals from gaining much ground as the AI market expands. Its future in China remains unclear, but it can continue to grow in other markets that aren't as exposed to the trade tensions between the U.S. and China. It will also likely take Chinese chipmakers a long time to develop comparable AI chips on their own. Therefore, Nvidia's rally might stall out as the AI fever dies down, but it's still a sound investment for long-term investors who can tune out all the near-term noise. Should you invest $1,000 in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. 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 Alphabet and Meta Platforms. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Meta Platforms, Microsoft, and Nvidia. 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.
The chipmaker's shares soared 1,220% over the past five years as it evolved from a maker of gaming graphics processing units (GPUs) into the gatekeeper of the booming artificial intelligence (AI) market. During Nvidia's latest conference call in November, CFO Colette Kress said investments in "infrastructure for training and inferencing large language models, deep learning recommender systems, and generative AI applications is fueling strong broad-based demand" for its data center GPUs. OpenAI, its biggest backer Microsoft, Meta Platforms, and Alphabet's Google have all been developing their own first-party AI accelerators to curb their dependence on Nvidia's chips.
The AI market's explosive expansion over the past few years sparked a buying frenzy in Nvidia's data center GPUs. 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. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Meta Platforms, Microsoft, and Nvidia.
The U.S. government already blocked Nvidia from selling its top-tier A100 and H100 data center chips to Chinese customers last year, but Nvidia shrewdly offset that by selling more of its lower-end A800 and H800 chips in China instead. Nvidia should also generate plenty of cash to develop new chips before any meaningful competitors actually arrive in the data center GPU market, and its scale should prevent those rivals from gaining much ground as the AI market expands. Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them.
That growth offset the lumpier growth of its gaming GPU business, which accelerated throughout the pandemic but faced a tough slowdown as the PC market cooled off. OpenAI, its biggest backer Microsoft, Meta Platforms, and Alphabet's Google have all been developing their own first-party AI accelerators to curb their dependence on Nvidia's chips. Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them.
618208cb-00da-4463-b5ee-6c0dbb0bd05d
711584.0
2023-12-15 00:00:00 UTC
The Zacks Analyst Blog Highlights JPMorgan Chase, Abbott Laboratories, Qualcomm, Johnson & Johnson and BHP
DCOMP
https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-jpmorgan-chase-abbott-laboratories-qualcomm-johnson
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For Immediate Release Chicago, IL – December 18, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: JPMorgan Chase & Co. JPM, Abbott Laboratories ABT, Qualcomm Inc. QCOM, Johnson & Johnson JNJ and BHP Group Ltd. BHP. Here are highlights from Friday’s Analyst Blog: Top Stock Reports for JPMorgan, Abbott Labs and Qualcomm The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., Abbott Laboratories and Qualcomm Inc. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today. You can see all of today’s research reports here >>> Shares of JPMorgan have outperformed the Zacks Banks - Major Regional industry over the past year (+29.8% vs. +17.7%). High interest rates, buyouts, global expansion efforts and decent loan demand will aid net interest income (NII), though rising funding costs will weigh on it. According to the Zacks analyst estimates for NII (managed) and loans imply a CAGR of 9.8% and 7.2%, respectively, by 2025. Aided by solid earnings strength and balance sheet, it will be able to sustain capital distributions. Despite visibility of some greenshoots in the investment banking (IB) business, IB fees are less likely to improve soon. This, along with the volatile nature of the capital markets business and high mortgage rates, will likely hamper fee income growth. Owing to these challenges, we expect total non-interest income (managed) to witness a CAGR of just 3.6% by 2025. Mounting costs are a woe and we expect it to rise 11% in 2023. (You can read the full research report on JPMorgan here >>>) Abbott shares have outperformed the Zacks Medical - Products industry over the past year (+2.1% vs. -0.1%). The company is strategically expanding its global presence to address the unmet demand for advanced medical technologies. Within the EPD business, which is solely based in emerging markets, the Zacks analyst expects Abbott to register a sales CAGR of nearly 6% through fiscal 2025. Within Core Diagnostics, Abbott is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. Within Diabetes Care, Abbott is scaling up the production of Libre and gaining reimbursement approval in several countries. Innovations and market expansion efforts are helping it offset the impact of inflation and supply disruptions. However, a steep year-over-year decline in COVID testing-related sales hurt growth. Further, the decision to exit the pediatric nutrition business in China continues to impede overall growth in Nutrition. (You can read the full research report on Abbott here >>>) Shares of Qualcomm have outperformed the Zacks Wireless Equipment industry over the past year (+24.6% vs. +9.2%). The company is well poised to benefit from solid 5G traction, greater visibility and a diversified revenue stream. Strength in the snapdragon portfolio is an additional tailwind as exemplified by the multi-year. Apple deals for 5G modems for iPhones. It is focusing on a seamless transition from a wireless communications firm for the mobile industry to a connected processor firm for the intelligent edge. Qualcomm is also witnessing solid momentum in IoT. However, it reported relatively soft fourth-quarter fiscal 2023 results owing to a challenging macroeconomic environment, inflationary pressures and soft recovery in China, resulting in lower-than-expected demand and elevated inventory levels. Weakness in the smartphone industry and cautious client approach are weighing on margins. Rising geopolitical conflicts and high debt burden remain headwinds. (You can read the full research report on QUALCOMM here >>>) Other noteworthy reports we are featuring today include Johnson & Johnson and BHP Group Ltd. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report QUALCOMM Incorporated (QCOM) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report BHP Group Limited Sponsored ADR (BHP) : 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.
Within the EPD business, which is solely based in emerging markets, the Zacks analyst expects Abbott to register a sales CAGR of nearly 6% through fiscal 2025. Within Core Diagnostics, Abbott is gaining market share following the end of the public health emergency, particularly in the United States and Europe region. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security.
Stocks recently featured in the blog include: JPMorgan Chase & Co. JPM, Abbott Laboratories ABT, Qualcomm Inc. QCOM, Johnson & Johnson JNJ and BHP Group Ltd. BHP. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., Abbott Laboratories and Qualcomm Inc. Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report QUALCOMM Incorporated (QCOM) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report BHP Group Limited Sponsored ADR (BHP) : Free Stock Analysis Report To read this article on Zacks.com click here.
Here are highlights from Friday’s Analyst Blog: Top Stock Reports for JPMorgan, Abbott Labs and Qualcomm The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co., Abbott Laboratories and Qualcomm Inc. Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report QUALCOMM Incorporated (QCOM) : Free Stock Analysis Report Johnson & Johnson (JNJ) : Free Stock Analysis Report BHP Group Limited Sponsored ADR (BHP) : Free Stock Analysis Report To read this article on Zacks.com click here.
Here are highlights from Friday’s Analyst Blog: Top Stock Reports for JPMorgan, Abbott Labs and Qualcomm The Zacks Research Daily presents the best research output of our analyst team. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
dceaca46-e76f-4a3d-a3f7-ff0423a9fdd7
711585.0
2023-12-15 00:00:00 UTC
Beat the S&P 500 With This Cash-Gushing Dividend Stock
DCOMP
https://www.nasdaq.com/articles/beat-the-sp-500-with-this-cash-gushing-dividend-stock
nan
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Enbridge (NYSE: ENB) has been a superior performer over the years. The Canadian energy infrastructure giant has handily beaten the S&P 500 over the long term. Fueling its success is its cash-gushing business model, which gives it the money to pay a very generous and growing dividend. The company should have plenty of fuel to continue growing its payout in the future. That makes it a great dividend stock for those seeking market-beating total return potential. A history of enriching investors Enbridge is a proven value creator. It has consistently grown its earnings and dividends, which has helped power market-crushing total returns: Image source: Enbridge. As that graphic showcases, Enbridge has delivered an 11.4% average annual total shareholder return over the last 15 years. That has significantly outpaced the S&P 500's 8.9% average annual total return. Enbridge's ability to allocate its abundant cash flow to grow its earnings and dividend is a big driver of its outsized returns. The pipeline and utility company produces very stable cash flow, with 98% backed by predictable cost-of-service arrangements and long-term contracts. It typically pays out 60%-70% of its steady cash flow in dividends. It uses the remaining funds and its balance sheet capacity to expand its durable pipeline and utility businesses to grow its cash flow. This low-risk business model has enabled Enbridge to steadily increase its dividend. The midstream giant recently announced its 29th consecutive annual dividend increase. The fuel to continue rising Enbridge currently generates 12 billion Canadian dollars ($9 billion) of cash flow each year. It expects to pay CA$7 billion ($5.2 billion) in dividends in 2024 at its recently increased rate. That leaves it with CA$5 billion ($3.7 billion) in excess free cash flow to allocate toward growing shareholder value. The company needs to reinvest CA$1 billion ($750 million) to maintain its legacy assets. Meanwhile, it has already lined up CA$5 billion ($3.7 billion) of expansion projects to fund in 2024. Enbridge has the balance sheet capacity to fund the remaining capital and roll over maturing debt. That forecast doesn't include any impact from the company's pending acquisitions of three natural gas utilities from Dominion. Enbridge is paying $14 billion, which it's funding with its strong balance sheet, new stock, and asset sales. That deal will grow the company's stable cash flows over the next few years as it benefits from its incremental income and CA$1.7 billion ($1.3 billion) of planned annual expansion-related investments across those utilities over the next three years. Those expansion projects will enhance Enbridge's already sizable capital project backlog. The company will have CA$24 billion ($17.9 billion) of commercially secured expansion projects that should come online through 2028. Future projects include offshore wind farms in Europe, natural gas pipeline expansions in North America, and a Canadian liquified natural gas export facility. The company's secured capital project backlog and rising rates across its legacy assets support a solid base earnings growth rate of 2% to 4% annually over the next few years. On top of that, Enbridge has the investment capacity to add another 2% to its bottom line each year as it secures additional expansion projects and makes acquisitions. It has already made several acquisitions over the past year, including its pending acquisition of three gas utilities from Dominion. That drives Enbridge's view it can deliver 5% annual earnings growth over the medium term. The company's steadily rising earnings should give it the fuel to continue increasing its already attractive dividend (currently yielding 7.6%). The fuel to produce strong total returns Enbridge's massive cash flows give it the money to pay a very attractive dividend. That 7.6% yielding payout provides investors with a nice base return. Meanwhile, the company still retains plenty of cash to fund a healthy growth rate that should average around 5% annually over the medium term. Add it up, and Enbridge could produce average annual total returns in the double digits, putting it in a strong position to continue outperforming the S&P 500. Should you invest $1,000 in Enbridge right now? Before you buy stock in Enbridge, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Enbridge wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Matthew DiLallo has positions in Enbridge. The Motley Fool has positions in and recommends Enbridge. The Motley Fool recommends Dominion Energy. 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.
On top of that, Enbridge has the investment capacity to add another 2% to its bottom line each year as it secures additional expansion projects and makes acquisitions. The fuel to produce strong total returns Enbridge's massive cash flows give it the money to pay a very attractive dividend. Add it up, and Enbridge could produce average annual total returns in the double digits, putting it in a strong position to continue outperforming the S&P 500.
The company's secured capital project backlog and rising rates across its legacy assets support a solid base earnings growth rate of 2% to 4% annually over the next few years. The company's steadily rising earnings should give it the fuel to continue increasing its already attractive dividend (currently yielding 7.6%). The fuel to produce strong total returns Enbridge's massive cash flows give it the money to pay a very attractive dividend.
The fuel to continue rising Enbridge currently generates 12 billion Canadian dollars ($9 billion) of cash flow each year. That deal will grow the company's stable cash flows over the next few years as it benefits from its incremental income and CA$1.7 billion ($1.3 billion) of planned annual expansion-related investments across those utilities over the next three years. Before you buy stock in Enbridge, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Enbridge wasn't one of them.
It expects to pay CA$7 billion ($5.2 billion) in dividends in 2024 at its recently increased rate. That deal will grow the company's stable cash flows over the next few years as it benefits from its incremental income and CA$1.7 billion ($1.3 billion) of planned annual expansion-related investments across those utilities over the next three years. The fuel to produce strong total returns Enbridge's massive cash flows give it the money to pay a very attractive dividend.
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711586.0
2023-12-15 00:00:00 UTC
Warren Buffett Has Gained Over $196 Billion From Only 4 Stocks
DCOMP
https://www.nasdaq.com/articles/warren-buffett-has-gained-over-%24196-billion-from-only-4-stocks
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When Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) CEO Warren Buffett speaks, investors of all walks pay attention. That's because the Oracle of Omaha has been running circles around Wall Street's major indexes for more than a half-century. Since taking the reins at Berkshire, Buffett has doubled the annualized total return, including dividends, of the benchmark S&P 500 (19.8% vs. 9.9%), as of the end of 2022. Yet what's particularly noteworthy about Buffett's success is that it's the result of prescient investments in a relatively small number of companies. Based on a combination of reported and estimated cost bases, Wall Street's most-revered investor and his team are sitting on $196.2 billion in unrealized gains (not counting dividends received) from just four well-known companies. Berkshire Hathaway CEO Warren Buffett. Image source: The Motley Fool. Apple: $140.59 billion in unrealized gains (estimated) Perhaps this comes as no surprise, but the largest holding in Berkshire Hathaway's $364 billion investment portfolio has been one heck of an investment. Based on the $39.62-per-share cost basis estimated by WhaleWisdom.com, tech stock Apple (NASDAQ: AAPL) is responsible for a greater than $140 billion unrealized gain for Buffett's company. Not bad for a stock that Berkshire has been holding for less than eight years. Apple's greatness largely derives from its innovation. It's been a leading provider of smartphones since introducing the original iPhone in 2007. In the U.S., it's consistently accounted for half or more of smartphone market share since upgrading the iPhone to handle 5G download speeds in the fourth quarter of 2020. But what investors seem most excited about is Apple's ongoing evolution. Under CEO Tim Cook, Apple is becoming a platforms company that's emphasizing subscription services. Make no mistake, Apple has exceptionally loyal customers and plenty of pricing power. It's also not abandoning the physical products that consumers obviously love (iPhone, Mac, and iPad). However, bolstering its portfolio to include subscription services will increase its operating margin over time, further enhance loyalty to Apple's ecosystem of products and services, and is expected to smooth out the revenue lumpiness associated with major iPhone upgrade cycles. American Express: $24.24 billion in unrealized gains Although it trails Apple by a wide margin, credit-services provider American Express (NYSE: AXP) has been nothing short of an incredible investment for Warren Buffett and his team, which included the late, great Charlie Munger. With Berkshire reporting a cost basis in AmEx of approximately $8.49 per share, Buffett's company is sitting on more than $24 billion in unrealized gains, not including dividends. American Express's success as a business is a function of its ability to play both sides of the transaction aisle. In addition to being the No. 3 payment processor by credit card network purchase volume in the U.S., AmEx is a lender to businesses and consumers. This allows it to collect interest income and/or annual fees from its cardholders. Something else working in favor of American Express is its choice to focus on high-earning consumers. Well-to-do cardholders are far less likely to alter their spending habits or fail to pay their bills than the average American. This positions AmEx to navigate economic downturns better than its peers. Don't forget that macroeconomic factors are also AmEx's friend. Although financial stocks are cyclical and struggle during periods of contraction, recessions are short-lived. Only three of the 12 recessions since the end of World War II have lasted at least 12 months, and none have surpassed 18 months. Meanwhile, two economic expansions over the past 78 years have endured longer than a decade. Financial stocks like American Express benefit from long-winded periods of expansion. Image source: Coca-Cola. Coca-Cola: $22.32 billion in unrealized gains The third Buffett stock that's generated a veritable smorgasbord of gains for the Oracle of Omaha's company is beverage giant Coca-Cola (NYSE: KO). Coke is Berkshire's longest continuous holding (since 1988) and sports a cost basis of just $3.2475 per share. With a current share price north of $59, it means Buffett and his investing aides are sitting on gains of well over $22 billion. Also, keep in mind that Coca-Cola has raised its base annual dividend for 61 consecutive years, and is currently doling out $1.84 per share. Relative to Berkshire Hathaway's cost basis, Buffett's company is netting a nearly 57% yield on cost. Put another way, the Oracle of Omaha's company is more than doubling its initial investment in Coca-Cola every two years based solely on the dividend income it's receiving. Geographic diversity is a big reason Coca-Cola has been such a bubbling investment for the past 35 years. Aside from North Korea, Cuba, and Russia, it has operations in every other country. This allows Coke to generate predictable operating cash flow in developed markets, while also benefiting from stronger organic growth opportunities in emerging market countries. The company has 26 brands generating at least $1 billion in worldwide sales. Coca-Cola's other source of success is its top-tier marketing. It's been aggressively investing in digital advertising and relying on artificial intelligence to cater ads to younger audiences. Meanwhile, Coke has decades-long ties to the holidays and can lean on well-known brand ambassadors to connect with more mature consumers. Moody's: $9.07 billion in unrealized gains The fourth and final stock that, collectively with Apple, American Express, and Coca-Cola, is responsible for generating more than $196 billion in unrealized gains for Warren Buffett and his team is credit-rating agency Moody's (NYSE: MCO). The theme of this list tends to be patience. Apple's large gains are a function of its outperformance since Berkshire's initial investment in the first quarter of 2016. Meanwhile, AmEx, Coca-Cola, and Moody's have been continuous holdings since 1991, 1988, and 2000, respectively. It's the epitome of allowing time and compounding to work their magic. According to Warren Buffett's letter to shareholders that was released last year, Berkshire has a per-share cost basis of $10.05 in Moody's. With Moody's stock climbing above $377 on Dec. 11, it means Berkshire stake has increased in value by more than $9 billion, not including dividends paid. For more than a decade, Moody's credit-rating segment has been its driving force. Historically low interest rates encouraged companies to borrow in order to hire, acquire, innovate, and expand. The need to rate new debt issuances kept Moody's analysts busy, as well as lined the company's pockets. But things have changed as interest rates have soared over the past 21 months. With fewer corporate debt issuances, Moody's Analytics segment is now doing the heavy lifting. This division, which helps businesses stay compliant with regulations and assists with risk assessment, is perfectly positioned to thrive in the current economic climate. Should you invest $1,000 in Apple right now? Before you buy stock in Apple, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Apple wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 American Express is an advertising partner of The Ascent, a Motley Fool company. Sean Williams has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway, and Moody's. The Motley Fool recommends the following options: long January 2024 $47.50 calls on Coca-Cola. 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.
Based on the $39.62-per-share cost basis estimated by WhaleWisdom.com, tech stock Apple (NASDAQ: AAPL) is responsible for a greater than $140 billion unrealized gain for Buffett's company. With Berkshire reporting a cost basis in AmEx of approximately $8.49 per share, Buffett's company is sitting on more than $24 billion in unrealized gains, not including dividends. This division, which helps businesses stay compliant with regulations and assists with risk assessment, is perfectly positioned to thrive in the current economic climate.
Based on a combination of reported and estimated cost bases, Wall Street's most-revered investor and his team are sitting on $196.2 billion in unrealized gains (not counting dividends received) from just four well-known companies. With Berkshire reporting a cost basis in AmEx of approximately $8.49 per share, Buffett's company is sitting on more than $24 billion in unrealized gains, not including dividends. Moody's: $9.07 billion in unrealized gains The fourth and final stock that, collectively with Apple, American Express, and Coca-Cola, is responsible for generating more than $196 billion in unrealized gains for Warren Buffett and his team is credit-rating agency Moody's (NYSE: MCO).
American Express: $24.24 billion in unrealized gains Although it trails Apple by a wide margin, credit-services provider American Express (NYSE: AXP) has been nothing short of an incredible investment for Warren Buffett and his team, which included the late, great Charlie Munger. Moody's: $9.07 billion in unrealized gains The fourth and final stock that, collectively with Apple, American Express, and Coca-Cola, is responsible for generating more than $196 billion in unrealized gains for Warren Buffett and his team is credit-rating agency Moody's (NYSE: MCO). Before you buy stock in Apple, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Apple wasn't one of them.
Should you invest $1,000 in Apple right now? Before you buy stock in Apple, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Apple wasn't one of them. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway, and Moody's.
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711587.0
2023-12-15 00:00:00 UTC
Moderna Just Took a Step Closer to Its Product Launch Goal. Is the Stock a Buy?
DCOMP
https://www.nasdaq.com/articles/moderna-just-took-a-step-closer-to-its-product-launch-goal.-is-the-stock-a-buy
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Moderna (NASDAQ: MRNA) today is known for its one and only product: the coronavirus vaccine now known as Spikevax. But the company has big goals, aiming to launch as many as 15 new products over the next five years. The biotech has a solid pipeline, with various late-stage candidates across multiple treatment areas. So the elements are in place for Moderna to become more than a one-product company -- if all goes well during clinical trials. And in recent days, it took a step closer to its product launch goal, reporting positive new data from a trial of the personalized cancer vaccine mRNA-4157 it developed with collaborator Merck (NYSE: MRK). The candidate, in combination with Merck's Keytruda, cut the risk of relapse by half after three years. Moderna chief executive officer Stéphane Bancel told CNBC last week that some countries could approve the therapy as early as 2025. Does this make Moderna a stock to buy now? Image source: Getty Images. Why investors have avoided Moderna First, let's talk about why investors have been avoiding Moderna recently. Its coronavirus vaccine has brought the company billions of dollars in earnings over the past couple of years. But now, considering the decline in demand as we head toward a post-pandemic situation, investors are concerned about Moderna's growth. As mentioned above, right now the company relies completely on its coronavirus vaccine for product revenue. But the situation may be evolving -- and quickly. Right now, regulators are reviewing Moderna's respiratory syncytial virus (RSV) vaccine candidate, and aim to issue a decision early next year. Though two other RSV vaccines exist on the commercial market, Moderna's would be the only one available in a prefilled syringe; this ease of use could give it the upper hand. If all goes well during the regulatory review, Moderna may become a two-product company in a matter of months. Now let's consider the personalized cancer vaccine candidate. The combination of mRNA-4157 and Keytruda cut the risk of recurrence or death by 49% in patients with high-risk stage 3/4 melanoma -- the most deadly type of skin cancer. This is over a period of about three years. The latest report follows two-year data reported earlier this year, that showed the treatment combination reduced risk by 44%. Moderna and Merck advanced into a phase 3 trial in July, using the combination as an adjuvant treatment (one following primary treatment) in patients with high-risk melanoma. The companies also are studying the combination in a phase 3 trial in non-small cell lung cancer. A personalized approach to treating cancer Considering the candidate's progress in clinical trials and Moderna's additional work to prepare it for regulatory review, mRNA-4157 could become another near- to medium-term launch. The product may stand out because it's designed to specifically attack each patient's tumor type. So far, this personalized approach is clearly producing positive results; if this continues, the eventual product could be a game changer in the world of oncology. Now, let's get back to our question. Is Moderna stock a buy now, thanks to the latest positive data? I wouldn't buy shares based on this data alone, but it definitely adds to the buy case for this beaten-down stock. Moderna shares have declined more than 50% this year, leaving them trading at about 8.5 times forward earnings estimates, which is a steal -- even if Moderna only makes it part of the way to its product launch goal. And if it does attain its launch target and you buy the stock today, you may be setting yourself up for significant gains over time. That said, Moderna's shares may not take off immediately. Declining coronavirus vaccine revenue is still weighing on earnings -- and on investor sentiment. But, to win in investing, it's key to take a long-term view, and this often involves buying a stock when everyone else has turned their backs on it. So if you invest in Moderna now, it's important to be patient and imagine what the company will look like five years down the road. And from this angle, the picture looks very promising, making this biotech stock a great buy. Should you invest $1,000 in Moderna right now? Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Merck. The Motley Fool recommends Moderna. 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.
And in recent days, it took a step closer to its product launch goal, reporting positive new data from a trial of the personalized cancer vaccine mRNA-4157 it developed with collaborator Merck (NYSE: MRK). Right now, regulators are reviewing Moderna's respiratory syncytial virus (RSV) vaccine candidate, and aim to issue a decision early next year. A personalized approach to treating cancer Considering the candidate's progress in clinical trials and Moderna's additional work to prepare it for regulatory review, mRNA-4157 could become another near- to medium-term launch.
And in recent days, it took a step closer to its product launch goal, reporting positive new data from a trial of the personalized cancer vaccine mRNA-4157 it developed with collaborator Merck (NYSE: MRK). The candidate, in combination with Merck's Keytruda, cut the risk of relapse by half after three years. Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them.
Why investors have avoided Moderna First, let's talk about why investors have been avoiding Moderna recently. Moderna shares have declined more than 50% this year, leaving them trading at about 8.5 times forward earnings estimates, which is a steal -- even if Moderna only makes it part of the way to its product launch goal. Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them.
But the company has big goals, aiming to launch as many as 15 new products over the next five years. But, to win in investing, it's key to take a long-term view, and this often involves buying a stock when everyone else has turned their backs on it. Before you buy stock in Moderna, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Moderna wasn't one of them.
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711588.0
2023-12-15 00:00:00 UTC
Financial Gamechangers: 3 FinTech Stocks Set to Dominate 2024
DCOMP
https://www.nasdaq.com/articles/financial-gamechangers%3A-3-fintech-stocks-set-to-dominate-2024
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips A seismic shift is underway for fintech stocks as three financial juggernauts emerge as the vanguards of fintech innovation, setting the stage for a transformative 2024. These titans wield disruptive strategies that promise to reshape the landscape of consumer finance and transaction processing. These three fintech stocks aren’t just companies; they are architects of change, sculpting the future of financial technology. The article delves into their strategies, strengths and market trajectories, uncovering the secrets behind their meteoric rise and the innovations reshaping the very fabric of fintech. SoFi (SOFI) Source: Poetra.RH / Shutterstock.com SoFi (NASDAQ:SOFI) demonstrates a growing market presence across various sectors and a notable competitor among fintech stocks. Notable market share includes 60% in student loan refinancing, 9.5% in unsecured lending within a specific credit box and a mere 0.1% in the home loan market, suggesting substantial headroom for expansion. The fundamental factor in play here is SoFi’s comprehensive product portfolio. It addresses diverse macro environments, enabling strong performance across varying market conditions. The suite includes offerings like SoFi Money, home loans, personal loans and investment services. These offerings are positioning the company well in high- and low-rate environments. On the other hand, looking at strategic partnerships, collaborations with notable partners like BlackRock (NYSE:BLK) and establishing a $2 billion forward flow agreement underscore strong demand and the potential for further structured deals. These agreements present avenues for asset monetization and flexible deal structures, enhancing overall economics. Additionally, SoFi’s strategy focuses on driving customer acquisition costs down through effective cross-buy rates, with around 30% of new accounts originating from existing members. This approach ensures cost-efficient growth and shorter payback periods for direct deposit members, contributing to targeted margins. While expanding its offerings, SoFi maintains a prudent approach to growth. The company approves only about 25% of loan applicants and monetizes the remaining 75% through referral fees. This strategy and a conservative underwriting approach ensure sustained growth without compromising credit quality. Finally, SoFi strategically targets high-prime or super-prime customers with an average FICO score of 746 and a weighted average income of $160K. Therefore, this profile supports the company’s ability to offer strong interest rates and maintain healthy credit performance, with annualized losses at 3.4% in the personal loans book, leading to dominance in fintech. Block (SQ) Source: Sergei Elagin / Shutterstock.com Cash App is critical to Block’s (NYSE:SQ) ecosystem. Cash App’s performance, marked by a substantial 27% year-over-year increase in gross profit, underscores the segment’s robust growth trajectory. The Cash App’s ability to sustain increasing popularity and user engagement can be observed in recent Q3 2023 numbers. Notably, the growth in monthly transacting actives by 11% year-over-year to 55 million demonstrates Cash App’s ability to attract and retain users. There is a consistent growth in user engagement metrics, such as inflows per transacting active averaging $1,132 in the third quarter (up 8% year-over-year), highlighting the app’s ability to drive user activity and monetization. Furthermore, Cash App’s monetization rate, excluding contributions from the Buy Now, Pay Later platform, increased by eight basis points year-over-year to 1.43%. This improvement reflects Cash App’s ability to effectively monetize its user base and the progress of Block’s revenue-generating strategies. On the other hand, the Buy Now, Pay Later (BNPL) platform contributed $94 million in gross profit to both Square and Cash App in Q3, demonstrating its growing importance as a revenue stream. Also, the gross merchandise volume (GMV) growth of a 24% year-over-year increase suggests the platform’s increasing consumer adoption. Favorably, the decrease in losses on consumer receivables to 0.84% of GMV reflects the company’s effective management of credit risks. This improvement signifies the maturation of the BNPL platform and its contribution to Block’s overall profitability. Lastly, Block decided to integrate the BNPL platform into the Cash App. The decision signifies its focus on leveraging synergies between its different product offerings. Therefore, this integration strategy aims to streamline operations and enhance the user experience, potentially driving further growth. Upstart (UPST) Source: T. Schneider / Shutterstock.com Upstart’s (NASDAQ:UPST) core strength lies in its AI lending platform. The platform continuously evolves to enhance accuracy and efficiency in assessing loan risks. The company focuses on refining models, supported by the launch of Model 15.0. Upstart significantly improved model accuracy by approximately 15%, the most significant improvement observed since tracking began in 2018. This continuous improvement in accuracy contributes to better risk assessment, allowing Upstart to offer loans more precisely to potential borrowers. Fundamentally, the company’s focus on AI isn’t just about developing new models and improving existing ones. Introducing personalized timing curves and macro effects demonstrates Upstart’s dedication to refining and fine-tuning its algorithms. These advancements bolster its ability to assess risk accurately, offering competitive advantages in the lending marketplace. On the other hand, Upstart’s expansion into auto retail platforms and the home equity market diversifies its offerings, tapping into new customer segments and markets. Collaborating with a major original equipment manufacturer (OEM) in implementing software for consumer reservations, deposits and dealership customization demonstrates Upstart’s potential to revolutionize the vehicle purchasing experience. Additionally, Upstart facilitated approximately 114K loan transactions during Q3 2023. This sequentially marked a 5% increase, indicating a sustained and growing demand for loans through the platform. Interestingly, out of the 114K loan transactions, over 70K were attributed to new borrowers. This influx of new borrowers suggests Upstart’s success in continuously attracting fresh customers to its lending platform. Finally, the average loan size remained steady sequentially at $11K, with 9% year-over-year growth. This stability in loan amounts suggests a consistent borrowing pattern among Upstart’s clientele. Therefore, these trends suggest the fundamental progress of the company toward a leading position in fintech. As of this writing, Yiannis Zourmpanos held a long position in SOFI. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Yiannis Zourmpanos is the founder of Yiazou Capital Research, a stock-market research platform designed to elevate the due diligence process through in-depth business analysis. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Financial Gamechangers: 3 FinTech Stocks Set to Dominate 2024 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.
On the other hand, looking at strategic partnerships, collaborations with notable partners like BlackRock (NYSE:BLK) and establishing a $2 billion forward flow agreement underscore strong demand and the potential for further structured deals. Therefore, this profile supports the company’s ability to offer strong interest rates and maintain healthy credit performance, with annualized losses at 3.4% in the personal loans book, leading to dominance in fintech. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Financial Gamechangers: 3 FinTech Stocks Set to Dominate 2024 appeared first on InvestorPlace.
SoFi (SOFI) Source: Poetra.RH / Shutterstock.com SoFi (NASDAQ:SOFI) demonstrates a growing market presence across various sectors and a notable competitor among fintech stocks. Therefore, this profile supports the company’s ability to offer strong interest rates and maintain healthy credit performance, with annualized losses at 3.4% in the personal loans book, leading to dominance in fintech. Cash App’s performance, marked by a substantial 27% year-over-year increase in gross profit, underscores the segment’s robust growth trajectory.
SoFi (SOFI) Source: Poetra.RH / Shutterstock.com SoFi (NASDAQ:SOFI) demonstrates a growing market presence across various sectors and a notable competitor among fintech stocks. Notable market share includes 60% in student loan refinancing, 9.5% in unsecured lending within a specific credit box and a mere 0.1% in the home loan market, suggesting substantial headroom for expansion. Therefore, this profile supports the company’s ability to offer strong interest rates and maintain healthy credit performance, with annualized losses at 3.4% in the personal loans book, leading to dominance in fintech.
SoFi (SOFI) Source: Poetra.RH / Shutterstock.com SoFi (NASDAQ:SOFI) demonstrates a growing market presence across various sectors and a notable competitor among fintech stocks. This improvement reflects Cash App’s ability to effectively monetize its user base and the progress of Block’s revenue-generating strategies. This continuous improvement in accuracy contributes to better risk assessment, allowing Upstart to offer loans more precisely to potential borrowers.
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711589.0
2023-12-15 00:00:00 UTC
The Zacks Analyst Blog Highlights Meta Platforms, NVIDIA, Intel, ServiceNow and CrowdStrike
DCOMP
https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-meta-platforms-nvidia-intel-servicenow-and-crowdstrike
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For Immediate Release Chicago, IL – December 18, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Meta Platforms Inc. META, NVIDIA Corp. NVDA, Intel Corp. INTC, ServiceNow Inc. NOW and CrowdStrike Holdings Inc. CRWD. Here are highlights from Friday’s Analyst Blog: Fed Ensures a Tech Rally in 2024: 5 Top Picks The Fed set the stage for this year’s Santa Claus rally in mid-December after its latest FOMC meeting. U.S. stock markets have soared amid a clear indication from the central bank that the current interest rate hike cycle, which elevated the Fed fund rate to a 22-year high of 5.25-5.50% from 0-0.25% in March 2022, finally ended. Moreover, the December FOMC meeting dot-plot has shown that on average, Fed officials are expecting at least three rate cuts of 25 basis points each in 2024, followed by four more rate cuts of a full one percentage point in 2025. The dot plot has also indicated three more rate cuts in 2026, which would take down the benchmark lending rate to the range of 2-2.25%. Following the Fed’s decision, the yield on the benchmark 10-Year U.S. Treasury Note fell less than 4% for the first time since March 2023. The yield topped more than 5% in October. Fed officials currently expect core inflation to fall 3.2% in 2023, 2.4% in 2024, and then to 2.2% in 2025. Finally, it should decline to the 2% target in 2026. Despite rigorous interest rate hikes, the fundamentals of the U.S. economy remain strong. On Dec 14, the Atlanta Fed predicted the U.S. GDP to grow by 2.6% in fourth-quarter 2023, a notable improvement from the 1.2% estimated on Dec 7. This eliminates the fear of a recession in 2024 thereby boosting investors’ confidence in a possible soft landing for the U.S. economy. Technology Sector to Benefit the Most Buoyed by steadily decreasing inflation and a simultaneous reduction in the magnitude and number of interest rate hikes by the Fed, the technology sector has witnessed an astonishing rally in 2023. The impressive northbound journey of Wall Street this year after a highly disappointing 2022, has been predominantly driven by a tech rally. Despite its higher valuation, the tech rally is likely to gather more pace in 2024 as a low market rate of interest always boosts growth stocks like technology. Investment in growth stocks creates wealth over a long period of time. A lower market interest rate will decrease the discount rate, which in turn will raise the net present value of investment. Moreover, many of these companies depend on the chip source of credit for the business to grow. The tech rally in 2023 was led by a massive thrust toward artificial intelligence (AI), especially generative AI. The rapid penetration of digital technologies and the Internet worldwide during the lockdown period, ushered in significant adoption of AI. Some financial and technology experts believe that AI is much-hyped and may lead to a bubble. We believe the AI-space has yet to unfold in the United States and international markets. Once that happens, it will generate huge business opportunities for technology companies producing high-end products. Our Top Picks We have narrowed our search to five technology behemoths (market capital > $50 billion) that have strong potential for 2024. These stocks have seen positive earnings estimate revisions in the last 60 days. Each of our picks carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Meta Platforms Inc. is benefiting from steady user growth across all regions, particularly Asia Pacific. Increased engagement for its products like Instagram, WhatsApp, Messenger and Facebook has been a major growth driver. META is considered to have pioneered the concept of social networking. However, as developed regions mature, Meta Platforms has taken measures to drive penetration in emerging markets of South East Asia, Latin America and Africa. Of all places, India deserves a-special mention in terms of user growth. The world’s second-largest populated country offers tremendous potential for META. With China off the radar, India can prove to be a terrific growth engine for Meta. Meta Platforms has an expected revenue and earnings growth rate of 13.4% and 22.7%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 0.1% over the last 30 days. NVIDIA Corp. is gaining from the strong growth of artificial intelligence, high-performance computing and accelerated computing, which is boosting its Compute & Networking revenues. The datacenter end-market business is likely to benefit from the growing demand for generative AI and large language models using GPUs based on NVIDIA Hopper and Ampere architectures. A surge in Hyperscale demand and a solid uptake of AI-based smart cockpit infotainment solutions are acting as tailwinds for NVDA. Collaboration with Mercedes-Benz and Audi is likely to advance NVDA’s presence in the autonomous vehicles and other automotive electronics space. NVIDIA has an expected revenue and earnings growth rate of 53.1% and 61.5%, respectively, for next year (ending January 2025). The Zacks Consensus Estimate for next-year earnings has improved 19.4% over the last 30 days. Intel Corp. designs, develops, manufactures, markets, and sells computing and related products worldwide. INTC operates through the Client Computing Group, Data Center and AI, Network and Edge, Mobileye, Accelerated Computing Systems and Graphics, Intel Foundry Services, and Other segments. INTC mainly offers platform products, such as central processing units and chipsets, system-on-chip and multichip packages, accelerators, boards and systems, connectivity products, and memory and storage products. Intel has an expected revenue and earnings growth rate of 13.5% and 97.5%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 13.9% over the last 60 days. ServiceNow Inc. has been benefiting from the rising adoption of its workflows by enterprises undergoing digital transformation. NOW’s expanding global presence, solid partner base and strategic buyouts are positives. New solutions — Automated Service Suggestions, Service Request Playbook and Workplace Scenario Planning — are helping NOW win new customers. An expanding portfolio with new generative AI solutions is expected to drive top-line growth for NOW. ServiceNow has an expected revenue and earnings growth rate of 20.6% and 22.5%, respectively, for next year. The Zacks Consensus Estimate for next-year earnings has improved 8.1% over the last 60 days. CrowdStrike Holdings Inc. is benefiting from the rising demand for cyber-security solutions owing to the slew of data breaches and the increasing necessity for security and networking products amid the growing hybrid working trend. Continued digital transformation and cloud-migration strategies adopted by organizations are the key growth drivers. CRWD’s portfolio strength, mainly the Falcon platform’s 10 cloud modules, boosts its competitive edge and helps add users. Additionally, strategic acquisitions, like that of Humio and Preempt, are expected to drive growth for CRWD. CrowdStrike has an expected revenue and earnings growth rate of 28.2% and 23.9%, respectively, for next year (ending January 2025). The Zacks Consensus Estimate for next-year earnings has improved 5.2% over the last 30 days. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Intel Corporation (INTC) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report ServiceNow, Inc. (NOW) : Free Stock Analysis Report CrowdStrike (CRWD) : Free Stock Analysis Report Meta Platforms, Inc. (META) : 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.
However, as developed regions mature, Meta Platforms has taken measures to drive penetration in emerging markets of South East Asia, Latin America and Africa. The datacenter end-market business is likely to benefit from the growing demand for generative AI and large language models using GPUs based on NVIDIA Hopper and Ampere architectures. CrowdStrike Holdings Inc. is benefiting from the rising demand for cyber-security solutions owing to the slew of data breaches and the increasing necessity for security and networking products amid the growing hybrid working trend.
Stocks recently featured in the blog include: Meta Platforms Inc. META, NVIDIA Corp. NVDA, Intel Corp. INTC, ServiceNow Inc. NOW and CrowdStrike Holdings Inc. CRWD. NVIDIA Corp. is gaining from the strong growth of artificial intelligence, high-performance computing and accelerated computing, which is boosting its Compute & Networking revenues. Click to get this free report Intel Corporation (INTC) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report ServiceNow, Inc. (NOW) : Free Stock Analysis Report CrowdStrike (CRWD) : Free Stock Analysis Report Meta Platforms, Inc. (META) : Free Stock Analysis Report To read this article on Zacks.com click here.
U.S. stock markets have soared amid a clear indication from the central bank that the current interest rate hike cycle, which elevated the Fed fund rate to a 22-year high of 5.25-5.50% from 0-0.25% in March 2022, finally ended. Meta Platforms has an expected revenue and earnings growth rate of 13.4% and 22.7%, respectively, for next year. Click to get this free report Intel Corporation (INTC) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report ServiceNow, Inc. (NOW) : Free Stock Analysis Report CrowdStrike (CRWD) : Free Stock Analysis Report Meta Platforms, Inc. (META) : Free Stock Analysis Report To read this article on Zacks.com click here.
Meta Platforms has an expected revenue and earnings growth rate of 13.4% and 22.7%, respectively, for next year. Intel has an expected revenue and earnings growth rate of 13.5% and 97.5%, respectively, for next year. ServiceNow has an expected revenue and earnings growth rate of 20.6% and 22.5%, respectively, for next year.
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711590.0
2023-12-15 00:00:00 UTC
European shares ease as auto, luxury stocks take a knock
DCOMP
https://www.nasdaq.com/articles/european-shares-ease-as-auto-luxury-stocks-take-a-knock
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By Khushi Singh and Ankika Biswas Dec 18 (Reuters) - European shares slipped on Monday after strong gains last week as automobile and luxury stocks fell, while comments from major central bank officials tamped down bets of early interest rate cuts. The pan-European STOXX 600 .STOXX edged 0.1% lower by 0922 GMT, after logging a five-week winning streak since April as the Federal Reserve's dovish pivot last week boosted rate cut bets. Automobiles .SXAP lost 0.9%, with Germany's Mercedes Benz MBGn.DE, BMW Group BMWG.DE and Volkswagen VOWG_p.DE shedding more than 1% each. Germany's electrical vehicle subsidy programme is set to end prematurely on Monday after paying out some 10 billion euros since 2016. Luxury giants LVMH LVMH.PA, Richemont CFR.S and Hermes HRMS.PA were also down over 1%, with the broader sector index .STXLUXP losing 1.4%. Swedish financial services provider Nordnet SAVE.STdropped 5.5% to the bottom of STOXX 600 after Barclays downgraded the stock to "underweight" from "overweight", also reducing their price target. DiaSorin DIAS.MI dropped 3.3% after the Italian diagnostics firm issued its 2024-2027 business plan. Meanwhile, energy .SXEP was the top sectoral gainer, adding 0.9%, on higher crude prices. OCIOCI.AS jumped 12.5%, leading gains on the pan-European index, as the Dutch chemicals maker is set to sell its stake in Iowa Fertilizer Company for $3.6 billion. Vodafone VOD.L gained 6.4% on Iliad's ILD.PAproposal to merge their Italian businesses, steering a 0.5% rise in telecoms .SXKP. Danish shipping company A.P. Moller-MaerskMAERSKb.CO rose 1.2% after Iranian-backed Houthi militants in Yemen stepped up attacks on vessels in the Red Sea. Reuters reported ECB policymakers are keen on retaining the higher-for-longer interest rates message until March, making any cuts before June difficult. Policymaker Bostjan Vaslesaid expectations for rate cut in March or April are premature. "In Europe, economic activity is stagnating at best and even now the ECB comes across as being reluctant to counter a rate cut, even though a reduction in borrowing costs is clearly needed, given that headline inflation is back within touching distance of its 2% target," said Michael Hewson, chief market analyst at CMC Markets. For more clues on the state of the global monetary policy cycle, investors will monitor the euro zone's November consumer prices, Japan's central bank decision and the Fed's preferred inflation gauge- personal consumption expenditure for November throughout this week. (Reporting by Khushi Singh and Ankika Biswas; Editing by Rashmi Aich and Saumyadeb Chakrabarty) ((Khushi.Singh@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.
By Khushi Singh and Ankika Biswas Dec 18 (Reuters) - European shares slipped on Monday after strong gains last week as automobile and luxury stocks fell, while comments from major central bank officials tamped down bets of early interest rate cuts. The pan-European STOXX 600 .STOXX edged 0.1% lower by 0922 GMT, after logging a five-week winning streak since April as the Federal Reserve's dovish pivot last week boosted rate cut bets. Reuters reported ECB policymakers are keen on retaining the higher-for-longer interest rates message until March, making any cuts before June difficult.
By Khushi Singh and Ankika Biswas Dec 18 (Reuters) - European shares slipped on Monday after strong gains last week as automobile and luxury stocks fell, while comments from major central bank officials tamped down bets of early interest rate cuts. Reuters reported ECB policymakers are keen on retaining the higher-for-longer interest rates message until March, making any cuts before June difficult. (Reporting by Khushi Singh and Ankika Biswas; Editing by Rashmi Aich and Saumyadeb Chakrabarty) ((Khushi.Singh@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.
By Khushi Singh and Ankika Biswas Dec 18 (Reuters) - European shares slipped on Monday after strong gains last week as automobile and luxury stocks fell, while comments from major central bank officials tamped down bets of early interest rate cuts. OCIOCI.AS jumped 12.5%, leading gains on the pan-European index, as the Dutch chemicals maker is set to sell its stake in Iowa Fertilizer Company for $3.6 billion. "In Europe, economic activity is stagnating at best and even now the ECB comes across as being reluctant to counter a rate cut, even though a reduction in borrowing costs is clearly needed, given that headline inflation is back within touching distance of its 2% target," said Michael Hewson, chief market analyst at CMC Markets.
By Khushi Singh and Ankika Biswas Dec 18 (Reuters) - European shares slipped on Monday after strong gains last week as automobile and luxury stocks fell, while comments from major central bank officials tamped down bets of early interest rate cuts. OCIOCI.AS jumped 12.5%, leading gains on the pan-European index, as the Dutch chemicals maker is set to sell its stake in Iowa Fertilizer Company for $3.6 billion. Policymaker Bostjan Vaslesaid expectations for rate cut in March or April are premature.
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711591.0
2023-12-15 00:00:00 UTC
The Zacks Analyst Blog Highlights Organogenesis, Riskified, Hooker Furniture, Stoneridge and VirTra
DCOMP
https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights-organogenesis-riskified-hooker-furniture-stoneridge-and
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For Immediate Release Chicago, IL – December 18, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Organogenesis ORGO, Riskified RSKD, Hooker Furniture Corp. HOFT, Stoneridge SRI and VirTra VTSI. Here are highlights from Friday’s Analyst Blog: 5 Reasons Why Small-Cap Stocks Can Surge in 2024: 5 Picks In the first half of 2023, U.S. small-cap stocks showed decent trends but lagged the S&P 500 (up about 16%) and the Nasdaq Composite (up about 31.7%). The small-cap Russell 2000, an index tracking U.S. small-cap stocks, saw modest gains of around 7.2% during that period. But Wall Street has seen a surge in small-cap stocks lately. This rally coincides with cooling inflation data and hopes of Fed rate cuts in 2024. Against this backdrop, the following small-cap stocks emerge as winning picks. Below, we highlight a few reasons why small-cap stocks should soar higher in the coming days.. Decent U.S. GDP Growth The U.S. economy expanded an annualized 4.9% in the third quarter of 2023, the maximum since the last quarter of 2021, above market forecasts of 4.3% and a 2.1% expansion in Q2, the advance estimate showed, per tradingeconomics. Consumer spending grew 4%, the most since Q4 of 2021, thanks to the consumption of housing and utilities, health care, financial services and insurance, food services and accommodations and nondurable goods (led by prescription drugs), recreational goods and vehicles. A Dovish Fed Going Forward? The latest datapoints indicate that inflation is on the decline. This may cause a less hawkish Fed in the near term. There is even a chance of a 75 bps rate cut in 2024. Cheaper Valuation of Small Caps Eric Green, CIO of Penn Capital Management, believes that the latest rally in small-caps has been long overdue, given the prolonged outperformance of large-cap stocks, as quoted on Yahoo Finance. Valuations for small-cap companies have become compressed relative to their larger counterparts, making them an attractive option for investors. Small Caps: Key Beneficiary of Likely Fed Rate Cuts in 2024 Fundstrat's head of research, Tom Lee, also projects a small-cap rally in 2024, as quoted on Yahoo Finance. Lee indicated that small caps, which have more short-term debt than other companies, could benefit from the cost of capital coming down as the Fed is expected to cut rates in 2024. M&A Activities to Pick up in Small-Cap Space? Apart from reduced inflation, other factors are contributing to the rally in small-cap stocks. Per strategists, seasonality tends to benefit small caps toward the end of the year, making this an opportune time for their growth. Additionally, the valuation gap between large and small-cap companies, as well as private and public markets, suggests that merger and acquisition (M&A) activity may pick up. Companies may find it more attractive to acquire smaller, faster-growing firms, taking advantage of the valuation discrepancy. Stock Picks We highlight five stocks below that have a market capitalization less than $1 billion. These stocks have witnessed positive earnings estimate revisions for the upcoming quarter in the last 30 days. Each of our picks carries a Zacks Rank #1 (Strong Buy) or 2 (Buy) and has an has an upbeat VGM Score A or B. Organogenesis is a leading regenerative medicine company focused on the development, manufacture and commercialization of solutions for the Advanced Wound Care and Surgical & Sports Medicine markets. The stock has seen 500% positive earnings estimate revisions for the upcoming fiscal year in the last 30 days. It has a VGM Score of B. ORGO currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here. Riskified provides a fraud management platform, enabling frictionless eCommerce. The company's platform identifies the individual behind each online interaction, helping merchants eliminate risk and uncertainty from their business. The stock has seen 175% positive earnings estimate revisions for the upcoming fiscal year in the last 30 days and has a VGM Score of B. RSKD has a Zacks Rank #2 at present. Hooker Furniture Corp. is a leading manufacturer and importer of residential furniture, primarily targeted at the upper-medium price range. The company offers diversified products, consisting primarily of home office, entertainment centers, imported occasional, bedroom, and wall systems, across many style categories within this price range. The Zacks Rank #1company has seen 77.30% positive earnings estimate revisions for the upcoming fiscal year in the last 30 days. HOFT has a VGM Score of A. Stoneridge is an independent designer and manufacturer of highly engineered electrical and electronic components, modules and systems for the automotive, medium and heavy-duty trucks and agricultural vehicle markets. TheZacks Rank #2 company has seen 50% positive earnings estimate revisions for the upcoming fiscal year in the last 30 days. SRI has a VGM Score of B. VirTra develops, manufactures, markets and sells personal computer and non-personal computer-based products for training/simulation and advertising/promotion markets. VTSI has seen 39.13% positive earnings estimate revisions for the upcoming fiscal in the last 30 days. Zacks Rank #1VTSI has a VGM Score of A. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Stoneridge, Inc. (SRI) : Free Stock Analysis Report Hooker Furnishings Corp. (HOFT) : Free Stock Analysis Report VirTra, Inc. (VTSI) : Free Stock Analysis Report Organogenesis (ORGO) : Free Stock Analysis Report Riskified Ltd. (RSKD) : 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.
Cheaper Valuation of Small Caps Eric Green, CIO of Penn Capital Management, believes that the latest rally in small-caps has been long overdue, given the prolonged outperformance of large-cap stocks, as quoted on Yahoo Finance. The company offers diversified products, consisting primarily of home office, entertainment centers, imported occasional, bedroom, and wall systems, across many style categories within this price range. HOFT has a VGM Score of A. Stoneridge is an independent designer and manufacturer of highly engineered electrical and electronic components, modules and systems for the automotive, medium and heavy-duty trucks and agricultural vehicle markets.
Stocks recently featured in the blog include: Organogenesis ORGO, Riskified RSKD, Hooker Furniture Corp. HOFT, Stoneridge SRI and VirTra VTSI. The stock has seen 175% positive earnings estimate revisions for the upcoming fiscal year in the last 30 days and has a VGM Score of B. RSKD has a Zacks Rank #2 at present. Click to get this free report Stoneridge, Inc. (SRI) : Free Stock Analysis Report Hooker Furnishings Corp. (HOFT) : Free Stock Analysis Report VirTra, Inc. (VTSI) : Free Stock Analysis Report Organogenesis (ORGO) : Free Stock Analysis Report Riskified Ltd. (RSKD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Here are highlights from Friday’s Analyst Blog: 5 Reasons Why Small-Cap Stocks Can Surge in 2024: 5 Picks In the first half of 2023, U.S. small-cap stocks showed decent trends but lagged the S&P 500 (up about 16%) and the Nasdaq Composite (up about 31.7%). The stock has seen 175% positive earnings estimate revisions for the upcoming fiscal year in the last 30 days and has a VGM Score of B. RSKD has a Zacks Rank #2 at present. Click to get this free report Stoneridge, Inc. (SRI) : Free Stock Analysis Report Hooker Furnishings Corp. (HOFT) : Free Stock Analysis Report VirTra, Inc. (VTSI) : Free Stock Analysis Report Organogenesis (ORGO) : Free Stock Analysis Report Riskified Ltd. (RSKD) : Free Stock Analysis Report To read this article on Zacks.com click here.
The small-cap Russell 2000, an index tracking U.S. small-cap stocks, saw modest gains of around 7.2% during that period. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
f8591faf-cd0c-4561-847c-71d03340924d
711592.0
2023-12-15 00:00:00 UTC
Zacks Industry Outlook Highlights Lithia Motors, AutoNation and Group 1 Automotive
DCOMP
https://www.nasdaq.com/articles/zacks-industry-outlook-highlights-lithia-motors-autonation-and-group-1-automotive
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For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Equity Research discusses Lithia Motors LAD, AutoNation AN and Group 1 Automotive GPI. Industry: Autos Link: https://www.zacks.com/commentary/2198399/3-auto-retailers-to-watch-despite-subdued-industry-prospects The Zacks Auto Retail and Whole Sales industry’s prospects look muted amid concerns related to the slowing growth rate of new vehicle sales. Also, while auto loan rates are declining, they are still quite high, causing potential buyers to defer purchases. Although enticing incentives are providing some relief to consumers, they are eroding retailers’ profits. Amid these complex industry dynamics, auto retailers like Lithia Motors, AutoNation and Group 1 Automotive seem better equipped to navigate the challenges. Industry Overview The automotive sector’s performance depends on its retail and wholesale network. Through dealership and retail chains, companies in the Zacks Auto Retail and Whole Sales industry carry out several tasks. These include the sale of new and used vehicles, light trucks as well as auto parts, execution of repair and maintenance services along with the arrangement of vehicle financing. The industry, being consumer cyclical, is dependent on business cycles and economic conditions. Consumers and businesses spend more on big-ticket items when they have higher disposable income. On the contrary, when income is tight, discretionary expenses are the first to be slashed. Importantly, the coronavirus pandemic has brought considerable changes in the operating environment, with the industry laying more emphasis on e-commerce retailing, and the trend is here to stay. Key Trends Defining the Industry's Prospects New Vehicle Sales Growth Slows Down: In November, auto sales volume witnessed a modest uptick compared to October. However, the growth was subdued, failing to surpass the sales pace observed in September and October. This signals a slowdown in the growth of new vehicle sales. Although vehicle prices are declining and auto loan rates have retreated from recent peaks, they continue to present a hurdle, deterring some potential buyers from purchasing these big-ticket items. These factors indicate a complex landscape for the auto retail sector, where despite improvements, such as the normalization of inventory levels, the slowing growth rate of new vehicle sales and financing constraints pose challenges to industry players. High Incentives Squeezing Retailers’ Margins: In November 2023, the U.S. new vehicle average transaction price experienced marginal growth month over month but declined 1.5% year over year, reaching $48,247, according to Kelley Blue Book. This marks the third consecutive month of year-over-year declines in transaction prices. Notably, new vehicle sales incentives surpassed 5% of the average transaction price for the first time since September 2021, climbing 136% year over year. This surge in incentives reflects a shift toward a buyer's market, placing increased pressure on retailers. While consumers may benefit from lower vehicle prices, dealers are grappling with squeezed profit margins. As inventory levels normalize and incentives rise to stimulate sales, dealers are experiencing the financial impact of heightened downward price pressure in the competitive auto retail landscape. Digitization Ramp-Up is Here to Stay: Since the pandemic, digitization has been in high gear. Online traffic is on the rise, with auto retailers ramping up digital capabilities to make deals with customers and arrange for home deliveries of vehicles. Initiatives like ship-to-home next day, curbside pick-up option, and buy online, pick-up in stores options are picking pace, driving additional traffic to companies’ online sites. Enhanced digital solutions are providing shoppers with a truly comprehensive and personal experience. With digitization gathering steam, auto retail companies are poised to reach new heights. But achieving that requires a delicate balance between digital innovation, cost management, operational optimization and an unwavering focus on enhancing the customer experience. Zacks Industry Rank Indicates Dim Outlook The Zacks Auto Retail & Whole Sales industry is within the broader Zacks Auto-Tires-Trucks sector. The industry currently carries a Zacks Industry Rank #214, which places it in the bottom 15% of around 250 Zacks industries. The group’s Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates bleak near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. The industry’s positioning in the bottom 50% of the Zacks-ranked industries is a result of a negative earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are losing confidence in this group’s earnings growth potential. Since Dec 31, 2022, the Zacks Consensus Estimate for the industry’s 2023 earnings has declined 18.7%. Despite the gloomy industry outlook, there are a few stocks worth watching. But before we present those stocks that you may want to consider for your portfolio, let’s take a look at the industry’s recent stock market performance and valuation picture. Industry Tops Sector and S&P 500 The Zacks Auto Retail & Whole Sales industry has outperformed the Zacks S&P 500 composite as well as the Auto, Tires and Truck sector over the past year. The industry has gained 27.1% over this period compared with the sector and S&P 500’s growth of 22.8% and 22.5%, respectively. Industry's Current Valuation Since automotive companies are debt-laden, it makes sense to value them based on the enterprise value/earnings before interest tax depreciation and amortization (EV/EBITDA) ratio. On the basis of the trailing 12-month EV/EBITDA, the industry is currently trading at 6.84X compared with the S&P 500’s 13.61X and the sector’s trailing 12-month EV/EBITDA of 14X. Over the past five years, the industry has traded as high as 10.71X, as low as 4.35X and at a median of 6.77X. 3 Auto Retailers to Keep a Tab On Lithia: Its diversified product mix and multiple streams of income reduce its risk profile and position it for long-term top- and bottom-line growth. Enhanced digital solutions — including the Driveway e-commerce program — are helping LAD to further boost profitability and market presence. Strategic buyouts are helping the auto retailer increase its market share and solidify its portfolio. Since launching its five-year plan in mid-2020, Lithia has acquired roughly $17.5 billion in annualized revenues, representing 87.5% of the total $20 billion originally targeted by 2025. Robust cash flows and investor-friendly moves of the firm are driving shareholders’ confidence. Lithia carries a Zacks Rank #3 (Hold) and has a Value Score of B. The Zacks Consensus Estimate for LAD’s 2024 sales and earnings implies growth of 9.5% and 2.3%, respectively. AutoNation: It is one of the largest automotive retailers in the United States. Its diversified product mix and multiple streams of income reduce risk profile and augur well for sales growth. Strong footprint, large dealer network and aggressive store expansion efforts along with brand extension strategy and alliances are praiseworthy. With the launch of its digital platform AutoNation Express, the company has stepped up its digitization game. Increased focus on cost discipline is anticipated to aid margins. The firm is committed to shareholder value maximization, with a robust buyback program in place. AutoNation currently carries a Zacks Rank #3 and has a Value Score of A. The Zacks Consensus Estimate for its 2024 EPS has moved north by 14 cents over the past 30 days. AutoNation managed to pull off an earnings beat in the last four quarters, with the average surprise being 6.6%. Group 1: It is one of the leading automotive retailers in the world, with operations primarily located in the United States and the UK. Group 1’s acquisitions of dealerships and franchises to expand and optimize its portfolio are fueling growth. The company has acquired revenues of more than $1 billion this year. GPI’s diversified product mix and omnichannel efforts bode well. The AcceleRide platform, its online retailing initiative, active at most of the firm’s U.S. dealerships, allows the company to enjoy higher productivity. Group 1’s investor-friendly moves instill optimism. Group 1 carries a Zacks Rank #3 and has a Value Score of A. The Zacks Consensus Estimate for GPI’s 2023 sales implies growth of 9.5%. The consensus mark for 2023 and 2024 EPS has moved north by 23 cents and 3 cents, respectively, in the past 30 days. The company surpassed earnings estimates in the last four quarters, the average being 7.3%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/ Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 AutoNation, Inc. (AN) : Free Stock Analysis Report Group 1 Automotive, Inc. (GPI) : Free Stock Analysis Report Lithia Motors, Inc. (LAD) : 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.
These factors indicate a complex landscape for the auto retail sector, where despite improvements, such as the normalization of inventory levels, the slowing growth rate of new vehicle sales and financing constraints pose challenges to industry players. As inventory levels normalize and incentives rise to stimulate sales, dealers are experiencing the financial impact of heightened downward price pressure in the competitive auto retail landscape. 3 Auto Retailers to Keep a Tab On Lithia: Its diversified product mix and multiple streams of income reduce its risk profile and position it for long-term top- and bottom-line growth.
High Incentives Squeezing Retailers’ Margins: In November 2023, the U.S. new vehicle average transaction price experienced marginal growth month over month but declined 1.5% year over year, reaching $48,247, according to Kelley Blue Book. Initiatives like ship-to-home next day, curbside pick-up option, and buy online, pick-up in stores options are picking pace, driving additional traffic to companies’ online sites. Click to get this free report AutoNation, Inc. (AN) : Free Stock Analysis Report Group 1 Automotive, Inc. (GPI) : Free Stock Analysis Report Lithia Motors, Inc. (LAD) : Free Stock Analysis Report To read this article on Zacks.com click here.
Industry: Autos Link: https://www.zacks.com/commentary/2198399/3-auto-retailers-to-watch-despite-subdued-industry-prospects The Zacks Auto Retail and Whole Sales industry’s prospects look muted amid concerns related to the slowing growth rate of new vehicle sales. Zacks Industry Rank Indicates Dim Outlook The Zacks Auto Retail & Whole Sales industry is within the broader Zacks Auto-Tires-Trucks sector. Industry Tops Sector and S&P 500 The Zacks Auto Retail & Whole Sales industry has outperformed the Zacks S&P 500 composite as well as the Auto, Tires and Truck sector over the past year.
Zacks Industry Rank Indicates Dim Outlook The Zacks Auto Retail & Whole Sales industry is within the broader Zacks Auto-Tires-Trucks sector. But before we present those stocks that you may want to consider for your portfolio, let’s take a look at the industry’s recent stock market performance and valuation picture. Industry Tops Sector and S&P 500 The Zacks Auto Retail & Whole Sales industry has outperformed the Zacks S&P 500 composite as well as the Auto, Tires and Truck sector over the past year.
c2c95d7f-686b-488e-94da-1539a8add40f
711593.0
2023-12-15 00:00:00 UTC
3 Stock-Split Stocks With 51% to 128% Upside in 2024, According to Select Wall Street Analysts
DCOMP
https://www.nasdaq.com/articles/3-stock-split-stocks-with-51-to-128-upside-in-2024-according-to-select-wall-street
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Investing on Wall Street can sometimes feel like a roller-coaster ride. Over the past four years, the stock market's three major indexes have vacillated between bear and bull markets with each passing year. Although volatility is inherent on Wall Street, wild swings often encourage investors to seek out the safety of companies that offer a history of outperformance. For the past decade, the FAANG stocks are a good example of a group of companies that have excelled. But over the past two years and change, it's businesses enacting splits that have garnered the attention of investors. Image source: Getty Images. A stock-split is an event that allows a publicly traded company to alter its share price and outstanding share count by the same magnitude, without having any impact on its market cap or daily operations. A forward-stock split is used to make shares of a company more nominally affordable for everyday investors, while a reverse-stock split increases a company's share price to ensure it meets the minimum listing requirements of a major stock exchange. Most investors -- and this includes Wall Street professionals -- are honed in on forward-stock splits. Since July 2021, nine high-profile outperformers have conducted forward splits: Nvidia (NASDAQ: NVDA): 4-for-1 split Amazon (NASDAQ: AMZN): 20-for-1 split DexCom (NASDAQ: DXCM): 4-for-1 split Shopify (NYSE: SHOP): 10-for-1 split Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG): 20-for-1 split Tesla (NASDAQ: TSLA): 3-for-1 split Palo Alto Networks (NASDAQ: PANW): 3-for-1 split Monster Beverage (NASDAQ: MNST): 2-for-1 split Novo Nordisk (NYSE: NVO): 2-for-1 split Among these nine stock-split stocks are three highfliers that a select group of Wall Street analysts believe offer upside of as much as 128% upside in 2024. Nvidia: Implied upside of 128% The stock-split stock with the greatest upside potential in the new year, according to one Wall Street analyst, is semiconductor company Nvidia. Analyst Hans Mosesmann of Rosenblatt Securities has a lofty $1,100 price target on shares of Nvidia. Based on its closing price of $483.50 on Dec. 14, this represents a potential gain to shareholders of 128% in 2024. Mosesmann's optimism for the top-performing megacap stock of 2023 has to do with its role as the infrastructure backbone of the artificial intelligence (AI) movement. Nvidia's A100 and H100 graphics processing units (GPUs) account for between 80% and 90% of the share of GPUs currently deployed in high-compute data centers. With chip fabrication company Taiwan Semiconductor Manufacturing looking to potentially double its chip of wafer on substrate capacity over the next year, the expectation is that Nvidia's ability to meet strong demand for its A100 and H100 chips will improve. More units to sell should increase Nvidia's sales and profits next year. However, there's another side to this story. More specifically, Nvidia's doubling sales in its current fiscal year is almost exclusively the result of exceptional pricing power caused by AI-GPU scarcity. As it increases its own production, and new competitors enter the arena -- Advanced Micro Devices (NASDAQ: AMD) and Intel (NASDAQ: INTC) -- there's a good likelihood that Nvidia's pricing power and gross margin will take a hit. AMD introduced its MI300X GPU for AI-accelerated data centers in June, but expects to ramp up production in 2024. Meanwhile, Intel intends to bring its Falcon Shores GPU to market in 2025, which will be a direct competitor to Nvidia. Things may be as good as they're going to get for Nvidia. The last thing to note about next-big-thing investments is that they have a strong tendency to form early stage bubbles. Investors have overestimated the demand or uptake of every major trend for the past three decades, and I doubt AI is going to be the exception. This makes reaching Mosesmann's $1,100 price target for Nvidia highly unlikely. Amazon: Implied upside of 56% A second stock-split stock with incredible upside in 2024, based on the price target of at least one bullish Wall Street analyst, is e-commerce giant Amazon. According to analyst Alex Haissl of Redburn Atlantic, Amazon's stock can hit $230 per share. If Haissl proves accurate, shareholders would enjoy upside of 56% in the new year. The biggest knock against Amazon is that its top revenue segment is cyclical. It generates most of its sales from its world-leading online marketplace. If economic growth slows or a recession takes shape domestically or abroad, it wouldn't be a surprise to see Amazon's online revenue decline. But here's the thing about Amazon: Its e-commerce segment isn't all that important to its cash flow generation or profitability. Rather, a trio of ancillary segments are what will power the company forward. No segment is more critical to Amazon's success than Amazon Web Services (AWS). AWS accounted for 31% of global cloud infrastructure services spend, as of the September-ended quarter. Not only is enterprise cloud spending still in its early innings, but cloud-service margins run circles around razor-thin online retail sales margins. Despite accounting for around a sixth of Amazon's net sales, AWS is responsible for the bulk of the company's operating income. Subscription services is another key division for Amazon. Back in April 2021, then-CEO Jeff Bezos noted that more than 200 million people had signed up for a Prime subscription. These subscriptions keep users loyal to Amazon's ecosystem of products and services, as well as generate predictable cash flow. The third ancillary segment of interest is advertising services. With Amazon attracting more than 2 billion unique visitors to its website each month, it's no surprise that advertisers will pay a premium to get their message in front of potentially motivated shoppers. Amazon remains historically cheap relative to its future cash flow potential. Deliveries of the Cybertruck began in late November. Image source: Tesla. Tesla: Implied upside of 51% The third stock-split stock offering mouthwatering upside in 2024, based on the prognostication of one Wall Street analyst, is electric-vehicle (EV) maker Tesla. Analyst Adam Jonas at Morgan Stanley, who has a history of placing lofty price targets on Tesla's stock, expects shares to reach $380. Should Jonas's forecast be reached, Tesla's shares would appreciate by 51% in the new year. The most front-and-center catalyst for Tesla is the ongoing rollout of its Cybertruck. Deliveries of the company's fifth production model (3, S, X, and Y being the other four) began at the end of November. What'll be of interest is whether refundable cash deposits for Cybertruck, which previously topped 1 million, according to CEO Elon Musk, translate into actual orders. Additionally, Tesla is the only pure-play EV maker that's generating a recurring profit on the basis of generally accepted accounting principles (GAAP). While legacy automakers are profitable as a whole, their EV divisions are bleeding red. Tesla's first-mover advantages, coupled with its recuring GAAP profits, have made it a popular stock to own. But like Nvidia, Tesla has a number of challenges that lie ahead, which have the potential to lead to a breakdown. For starters, the company initiated a price war with its competitors earlier this year, which is wreaking havoc on its margins. Tesla has slashed the sales price on its four production models (i.e., not counting Cybertruck), leading to a more-than-halving of its operating margin over the trailing-12-month period (17.2% to 7.6%). According to Musk, his company's pricing strategy is dictated by demand. With Tesla reducing the sales price of its production models on more than a half-dozen occasions, it signals that both demand is down and inventory levels are rising. Another issue for Tesla is its CEO. Aside from drawing the ire of securities regulators on a couple of occasions, Musk has a habit of overpromising and underdelivering when it comes to new vehicles and innovations. Tesla's market cap has a number of promised innovations baked in, but many of these promises have, thus far, gone unfulfilled. Lastly, Tesla's valuation is already otherworldly. Whereas most automakers trade at price-to-earnings ratios of 6 to 8, Tesla's forward-year earnings multiple is 71. Reaching Jonas's price target in 2024 looks virtually impossible. Should you invest $1,000 in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Sean Williams has positions in Alphabet, Amazon, and Intel. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Amazon, Monster Beverage, Nvidia, Palo Alto Networks, Shopify, Taiwan Semiconductor Manufacturing, and Tesla. The Motley Fool recommends DexCom, Intel, and Novo Nordisk and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, and short February 2024 $47 calls on Intel. 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.
More specifically, Nvidia's doubling sales in its current fiscal year is almost exclusively the result of exceptional pricing power caused by AI-GPU scarcity. With Amazon attracting more than 2 billion unique visitors to its website each month, it's no surprise that advertisers will pay a premium to get their message in front of potentially motivated shoppers. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Amazon, Monster Beverage, Nvidia, Palo Alto Networks, Shopify, Taiwan Semiconductor Manufacturing, and Tesla.
Since July 2021, nine high-profile outperformers have conducted forward splits: Nvidia (NASDAQ: NVDA): 4-for-1 split Amazon (NASDAQ: AMZN): 20-for-1 split DexCom (NASDAQ: DXCM): 4-for-1 split Shopify (NYSE: SHOP): 10-for-1 split Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG): 20-for-1 split Tesla (NASDAQ: TSLA): 3-for-1 split Palo Alto Networks (NASDAQ: PANW): 3-for-1 split Monster Beverage (NASDAQ: MNST): 2-for-1 split Novo Nordisk (NYSE: NVO): 2-for-1 split Among these nine stock-split stocks are three highfliers that a select group of Wall Street analysts believe offer upside of as much as 128% upside in 2024. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Amazon, Monster Beverage, Nvidia, Palo Alto Networks, Shopify, Taiwan Semiconductor Manufacturing, and Tesla. The Motley Fool recommends DexCom, Intel, and Novo Nordisk and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, and short February 2024 $47 calls on Intel.
Since July 2021, nine high-profile outperformers have conducted forward splits: Nvidia (NASDAQ: NVDA): 4-for-1 split Amazon (NASDAQ: AMZN): 20-for-1 split DexCom (NASDAQ: DXCM): 4-for-1 split Shopify (NYSE: SHOP): 10-for-1 split Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG): 20-for-1 split Tesla (NASDAQ: TSLA): 3-for-1 split Palo Alto Networks (NASDAQ: PANW): 3-for-1 split Monster Beverage (NASDAQ: MNST): 2-for-1 split Novo Nordisk (NYSE: NVO): 2-for-1 split Among these nine stock-split stocks are three highfliers that a select group of Wall Street analysts believe offer upside of as much as 128% upside in 2024. Nvidia: Implied upside of 128% The stock-split stock with the greatest upside potential in the new year, according to one Wall Street analyst, is semiconductor company Nvidia. Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Nvidia wasn't one of them.
Nvidia: Implied upside of 128% The stock-split stock with the greatest upside potential in the new year, according to one Wall Street analyst, is semiconductor company Nvidia. Amazon: Implied upside of 56% A second stock-split stock with incredible upside in 2024, based on the price target of at least one bullish Wall Street analyst, is e-commerce giant Amazon. Tesla has slashed the sales price on its four production models (i.e., not counting Cybertruck), leading to a more-than-halving of its operating margin over the trailing-12-month period (17.2% to 7.6%).
6fc6275b-0f61-409b-b493-a08cf8c1e96d
711594.0
2023-12-15 00:00:00 UTC
Shipping stocks rise in Europe after Red Sea attacks
DCOMP
https://www.nasdaq.com/articles/shipping-stocks-rise-in-europe-after-red-sea-attacks
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By 0930 GMT, D'Amico International Shipping B7C.MI, Hapag Lloyd HLAG.DE and Hafnia HAFNI.OL gained between 3 and 4%. Frankfurt-listed shares in Scorpio Tankers S0QA.F and Nordic American Tankers NAT.N rose 5.6 and 8.9%, respectively. "We believe that the decision to avoid the Red Sea route for crude/product cargoes will increase transport time and may put further upward pressure on freight rates if this condition persist," Massimo Bonisoli, an analyst at Equita, said. Jefferies said should ships avoid the Red Sea and sail around the Cape of Good Hope, the utilisation impact would be significant, with containers and tankers the most affected. "The Suez Canal is a vital link in seaborne trade and the global merchant fleet is being stretched as ships change trade patterns. All segments are active in the region and likely will see stronger rates in the near-term," Jefferies analysts said. A tanker from the Middle East would take 17 days to get to Europe via Suez and 41 days by going around Africa, it noted, adding that military-supported convoys could be a better alternative than going around the Cape of Good Hope. Maersk on Friday paused all its container shipments through the Red Sea until further notice, and was joined on Saturday by the Swiss-based MSC and French shipping group CMA CGM. (Reporting by Danilo Masoni; Editing by Amanda Cooper) ((Danilo.Masoni@TR.com; Reuters Messaging: danilo.masoni.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.
"We believe that the decision to avoid the Red Sea route for crude/product cargoes will increase transport time and may put further upward pressure on freight rates if this condition persist," Massimo Bonisoli, an analyst at Equita, said. Jefferies said should ships avoid the Red Sea and sail around the Cape of Good Hope, the utilisation impact would be significant, with containers and tankers the most affected. Maersk on Friday paused all its container shipments through the Red Sea until further notice, and was joined on Saturday by the Swiss-based MSC and French shipping group CMA CGM.
"We believe that the decision to avoid the Red Sea route for crude/product cargoes will increase transport time and may put further upward pressure on freight rates if this condition persist," Massimo Bonisoli, an analyst at Equita, said. Jefferies said should ships avoid the Red Sea and sail around the Cape of Good Hope, the utilisation impact would be significant, with containers and tankers the most affected. A tanker from the Middle East would take 17 days to get to Europe via Suez and 41 days by going around Africa, it noted, adding that military-supported convoys could be a better alternative than going around the Cape of Good Hope.
"We believe that the decision to avoid the Red Sea route for crude/product cargoes will increase transport time and may put further upward pressure on freight rates if this condition persist," Massimo Bonisoli, an analyst at Equita, said. Jefferies said should ships avoid the Red Sea and sail around the Cape of Good Hope, the utilisation impact would be significant, with containers and tankers the most affected. A tanker from the Middle East would take 17 days to get to Europe via Suez and 41 days by going around Africa, it noted, adding that military-supported convoys could be a better alternative than going around the Cape of Good Hope.
By 0930 GMT, D'Amico International Shipping B7C.MI, Hapag Lloyd HLAG.DE and Hafnia HAFNI.OL gained between 3 and 4%. Frankfurt-listed shares in Scorpio Tankers S0QA.F and Nordic American Tankers NAT.N rose 5.6 and 8.9%, respectively. Jefferies said should ships avoid the Red Sea and sail around the Cape of Good Hope, the utilisation impact would be significant, with containers and tankers the most affected.
fa850212-c616-49dd-9efb-b9cff5350f79
711595.0
2023-12-15 00:00:00 UTC
Zacks Industry Outlook Highlights Berkshire Hathaway, Chubb, Arch Capital, W.R. Berkley and Cincinnati Financial
DCOMP
https://www.nasdaq.com/articles/zacks-industry-outlook-highlights-berkshire-hathaway-chubb-arch-capital-w.r.-berkley-and
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For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Equity Research discusses Berkshire Hathaway Inc. (BRK.B), Chubb Ltd. CB, Arch Capital Group ACGL, W.R. Berkley Corp. WRB and Cincinnati Financial Corp. CINF. Industry: P&C Insurance Link: https://www.zacks.com/commentary/2198499/5-stocks-to-buy-from-the-prospering-pc-insurance-industry The Zacks Property and Casualty Insurance (P&C) industry is likely to benefit from better pricing, prudent underwriting and exposure growth. Industry players like Berkshire Hathaway Inc., Chubb Ltd., Arch Capital Group, W.R. Berkley Corp. and Cincinnati Financial Corp. are poised to grow despite a rise in catastrophic activities. Given an active catastrophe environment, the policy renewal rate should accelerate. Also, the increasing adoption of technology and the emergence of insurtech will help the industry players function smoothly. Though the industry is witnessing an increase in premium pricing, the magnitude has decreased in the last 11 quarters. Nonetheless, an improvement in surplus and accelerated economic activities set the stage for a better M&A environment. About the Industry The Zacks Property and Casualty Insurance industry comprises companies that provide commercial and personal property insurance, and casualty insurance products and services. Such insurance helps to safeguard property in case of any natural or man-made disasters. Liability coverages are also provided by some industry players. The insurance coverage offered also includes automobiles, professional risk, marine, excess casualty, aviation, personal accident, commercial multi-peril, and professional indemnity and surety. Premiums are the primary source of revenues for these insurers. These companies invest a portion of premiums to meet their commitments to policyholders. The Fed has already made four hikes in 2023, taking the tally to 11 since March 2022. An improving rate environment is a boon for insurers, especially long-tail insurers. 3 Trends Shaping the Future of the Property and Casualty Insurance Industry Improved pricing to help navigate claims: Catastrophes are a concern for insurers due to the high degree of losses incurred. Insurers implement price hikes to ensure uninterrupted claims payment. Global commercial insurance prices rose for 24 straight quarters though the magnitude has slowed down over the last 11 quarters, per Marsh Global Insurance Market Index. Better pricing will help insurers write higher premiums and address claims payment prudently. Per Fitch Ratings, personal auto is likely to deliver better performance in 2024. This coupled with better investment results and lower claims should fuel insurers' performance next year per Fitch Ratings. Per Deloitte Insights, gross premiums are estimated to increase sixfold to $722 billion by 2030. China and North America should account for more than two-thirds of theglobal market per the report. Analysts at Swiss Re Institute predict premiums to grow 7.5% in 2023 and 5.5% in 2024. Per reports published in Carrier Management, direct premiums written across the P&C business in 2023 are estimated to grow in double digits. Catastrophe loss induces volatility in underwriting profits: The property and casualty insurance industry is susceptible to catastrophe events, which drag down underwriting profits. Per reports in Gallagher Re, total economic losses were estimated to be $290 billion in the first nine months of 2023. According to AM Best, total net underwriting loss was $32.2 billion in the first nine months of 2023, much higher than $24.6 billion incurred in the year-ago period, largely attributable to rising loss costs, above-average catastrophe activity and adverse trends in personal auto. The combined ratio was 103.5 for the same time frame per the credit rating giant, to which catastrophe losses added 980 basis points. Per a report in Insurance Journal, the combined net ratio in 2023 is estimated to be 102.2. Underwriting losses are expected to be primarily due to soft performance in personal lines, which are expected to witness higher catastrophe losses per Insurance Information Institute and Milliman. However, exposure growth, better pricing, prudent underwriting and favorable reserve development will help withstand the blow. Also, frequent occurrences of natural disasters should accelerate the policy renewal rate. Increased adoption of technology: The industry is witnessing increased use of technology like blockchain, artificial intelligence, advanced analytics, telematics, cloud computing and robotic process automation that expedite business operations and save cost. The industry has also witnessed the emergence of insurtech — technology-led insurers — which creates competition for incumbent players. The focus of insurtech is mainly on the property and casualty insurance industry. Insurers continue to invest heavily in technology to improve basis points, scale and efficiencies. However, with insurtechs using the latest technologies and concepts that the incumbents are just beginning to experiment with, there remains a huge market risk. The use of technology also poses cyber threats. Zacks Industry Rank Indicates Bright Prospects The group's Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates rosy prospects in the near term. The Zacks Property and Casualty Insurance industry, which is housed within the broader Zacks Finance sector, currently carries a Zacks Industry Rank #30, which places it in the top 12% of more than 250 Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperforms the bottom 50% by a factor of more than 2 to 1. The industry’s positioning in the top 50% of the Zacks-ranked industries is a result of a positive earnings outlook for the constituent companies in aggregate. Earnings estimates have increased 4.9% since August 2023. Before we present a few property and casualty stocks that you may want to consider for your portfolio, let’s take a look at the industry’s recent stock-market performance and valuation picture. Industry Outperforms Sector, Underperforms S&P 500 The Property and Casualty Insurance industry has outperformed the sector but underperformed the Zacks S&P 500 composite over the past year. The stocks in this industry have collectively risen 16.1% in a year compared with the Finance sector and the Zacks S&P 500 composite’s increases of 14.1% and 21.3%, respectively. Current Valuation On the basis of the trailing 12-month price-to-book (P/B), which is commonly used for valuing insurance stocks, the industry is currently trading at 1.47X compared with the S&P 500’s 5.95X and the sector’s 3.3X. Over the past five years, the industry has traded as high as 1.55X, as low as 0.97X and at the median of 1.39X. 5 Property and Casualty Insurance Stocks to Add to Your Portfolio We are recommending one Zacks Rank #1 (Strong Buy) stock and four Zacks Rank #2 (Buy) stocks from the P&C Insurance industry. You can see the complete list of today’s Zacks #1 Rank stocks here. W.R. Berkley: Based in Greenwich, CT., W.R. Berkley is one of the nation’s largest commercial lines property casualty insurance providers. Better pricing, expansion of international business, reserving discipline, a solid balance sheet and prudent capital management policy poise this Zacks Rank #1 insurer well for growth. The Zacks Consensus Estimate for WRB’s 2024 earnings suggests 20.2% year-over-year growth. The consensus estimate has moved up 0.5% in the past 30 days. The expected long-term earnings growth rate is pegged at 9%. Arch Capital Group: Pembroke, Bermuda-based Arch Capital Group offers insurance, reinsurance and mortgage insurance across the world. New business opportunities, rate increases, growth in existing accounts, growth in Australian single premium mortgage insurance and increases across most lines of business poise this Zacks Rank #2 insurer well for growth. The Zacks Consensus Estimate for Arch Capital’s 2024 earnings suggests 1.1% year-over-year growth. The consensus estimate has moved up 2 cents in the past 30 days. ACGL’s earnings surpassed estimates in each of the last four quarters, the average surprise being 35.15%. The expected long-term earnings growth rate is pegged at 10%. Berkshire Hathaway: Omaha, NE-based Berkshire Hathaway owns more than 90 subsidiaries in insurance, railroads, utilities, manufacturing services, retail and homebuilding. BRK.B boasts one of the largest property and casualty insurance companies measured by premium volume. BRK.B, carrying a Zacks Rank #2, should continue to benefit from its growing Insurance business as well as Manufacturing, Service and Retailing, and Finance and Financial Products segments. Continued insurance business growth fuels an increase in float, drives earnings and generates maximum return on equity. With Warren Buffett at its helm, Berkshire continues to create tremendous value for shareholders. The Zacks Consensus Estimate for 2024 bottom line suggests a year-over-year increase of 11.1%. The consensus estimate has moved up 0.9% in the past 30 days. The expected long-term earnings growth rate is 7%. Cincinnati Financial: This Fairfield, OH-based company markets property and casualty insurance. Several growth initiatives and price increases, a well-performing Commercial Lines segment, a higher level of insured exposures, rate increase, an agent-focused business model, consistent cash flow generation and favorable reserve release position it well for growth. This Zacks Rank #2 insurer has a solid track of raising dividends in the last 62 years. The Zacks Consensus Estimate for 2024 earnings has moved 3.1% north in the past 60 days. The consensus estimate for 2024 earnings indicates an improvement of 8.4% year over year. The expected long-term earnings growth rate is 18.2%, better than the industry average of 12.3%. Chubb: Based in Zurich, Switzerland, Chubb is one of the world’s largest providers of P&C insurance and reinsurance. It has diversified through acquisitions into many specialty lines and also provides specialized insurance products. This Zacks Rank #2 insurer is poised to benefit from its focus on capitalizing on the potential of middle-market businesses and strategic initiatives, which pave the way for long-term growth. The Zacks Consensus Estimate for 2024 bottom line has moved north by 0.1% in the past 30 days. The Zacks Consensus Estimate for 2024 earnings indicates an improvement of 7.4% year over year. The expected long-term earnings growth rate is 10%. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/ Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 Chubb Limited (CB) : Free Stock Analysis Report W.R. Berkley Corporation (WRB) : Free Stock Analysis Report Berkshire Hathaway Inc. (BRK.B) : Free Stock Analysis Report Cincinnati Financial Corporation (CINF) : Free Stock Analysis Report Arch Capital Group Ltd. (ACGL) : 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.
For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Equity Research discusses Berkshire Hathaway Inc. (BRK.B), Chubb Ltd. CB, Arch Capital Group ACGL, W.R. Berkley Corp. WRB and Cincinnati Financial Corp. CINF. Industry players like Berkshire Hathaway Inc., Chubb Ltd., Arch Capital Group, W.R. Berkley Corp. and Cincinnati Financial Corp. are poised to grow despite a rise in catastrophic activities. Better pricing, expansion of international business, reserving discipline, a solid balance sheet and prudent capital management policy poise this Zacks Rank #1 insurer well for growth.
For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Equity Research discusses Berkshire Hathaway Inc. (BRK.B), Chubb Ltd. CB, Arch Capital Group ACGL, W.R. Berkley Corp. WRB and Cincinnati Financial Corp. CINF. Several growth initiatives and price increases, a well-performing Commercial Lines segment, a higher level of insured exposures, rate increase, an agent-focused business model, consistent cash flow generation and favorable reserve release position it well for growth. Click to get this free report Chubb Limited (CB) : Free Stock Analysis Report W.R. Berkley Corporation (WRB) : Free Stock Analysis Report Berkshire Hathaway Inc. (BRK.B) : Free Stock Analysis Report Cincinnati Financial Corporation (CINF) : Free Stock Analysis Report Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report To read this article on Zacks.com click here.
About the Industry The Zacks Property and Casualty Insurance industry comprises companies that provide commercial and personal property insurance, and casualty insurance products and services. The Zacks Property and Casualty Insurance industry, which is housed within the broader Zacks Finance sector, currently carries a Zacks Industry Rank #30, which places it in the top 12% of more than 250 Zacks industries. 5 Property and Casualty Insurance Stocks to Add to Your Portfolio We are recommending one Zacks Rank #1 (Strong Buy) stock and four Zacks Rank #2 (Buy) stocks from the P&C Insurance industry.
About the Industry The Zacks Property and Casualty Insurance industry comprises companies that provide commercial and personal property insurance, and casualty insurance products and services. 5 Property and Casualty Insurance Stocks to Add to Your Portfolio We are recommending one Zacks Rank #1 (Strong Buy) stock and four Zacks Rank #2 (Buy) stocks from the P&C Insurance industry. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research?
38695c81-3b4a-4f9d-bcc6-c701afa506a5
711596.0
2023-12-15 00:00:00 UTC
Zacks Investment Ideas feature highlights: DocuSign, Walmart and Target
DCOMP
https://www.nasdaq.com/articles/zacks-investment-ideas-feature-highlights%3A-docusign-walmart-and-target
nan
nan
For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Investment Ideas feature highlights DocuSign, Inc. DOCU, Nike, Inc. NKE, Target TGT and Walmart WMT. 3 Highly Ranked Stocks to Buy Now for a Big 2024 Comeback Today’s episode of Full Court Finance at Zacks explores the bullish market rally following the Fed’s rate cut outlook. Despite the impressive run for the Nasdaq and the S&P 500 in 2023, many large-cap stocks have underperformed for various reasons. The three highly-ranked stocks we dig into today are all trading at least 30% below their highs and could be poised for serious comebacks in 2024. Jay Powell and the Fed gave the green light to the bulls on Wednesday when the world’s most important central bank signaled the possibility of three rate cuts in 2024. The 10-year U.S. Treasury is back below 4% (3.92%) after sitting at 5% in late October as Wall Street rapidly prices in lower rates. The Fed’s newfound dovishness finally confirms what the bulls have been saying and doing for a large chunk of 2023 and certainly since the end of October. The S&P 500 appears on the cusp of summiting a new peak by the end of 2023 or early 2024. All of this strength came before we even entered the official Santa Claus rally period, which includes the final five trading days of the year and the first two trading days of the new year. There will likely be some selling and choppiness in the weeks and months ahead. Still, more money is poised to flow into stocks in 2024 as the calculus on cash and bonds changes and investors grow increasingly nervous about missing out again. DocuSign, Inc. DocuSign crushed our Q3 FY24 EPS estimate on December 7 and raised its guidance to help it land a Zacks Rank #1 (Strong Buy) right now. DOCU stock has soared 30% in the last month to retake its 50-day, its 200-day, and its long-term 50-week moving averages. Yet, the e-signature stock still trades over 80% below its record highs after it got crushed for slowing growth and weak bottom-line results. DOCU’s revenue soared following its 2018 IPO, including four straight years of between 35% to 49% growth (19% last year in FY23). The company remains a powerhouse of electronic signatures, document generation, and beyond as medical forms, legal documents, and much more are becoming increasingly paperless. DocuSign has responded to its slower growth and higher rate environment by cutting costs, changing leadership, and rolling out other efforts to streamline its business. DocuSign’s valuation levels remain sky-high. But DOCU is focused on the bottom line. Investors might want to consider the e-signature and digital document firm with 1.4 million customers as Wall Street begins to search high and low for technology stocks that are still trading far below their highs. Nike, Inc. Nike trades around 30% below its highs heading into its Q2 FY24 earnings release on December 21. Wall Street sold Nike shares based on fears about growing competition and other headwinds. NKE also got caught up in the broader consumer discretionary selloff. Nike certainly faces increased competition from relative newcomers Hoka and On in the running shoe segment and among consumers looking for maximum comfort and support at their jobs. Adidas, Lululemon, and digital native upstarts are also fighting for a larger share of the so-called streetwear market or the fashion end of sportswear. Despite more challengers, Nike remains the heavyweight champion of sportswear and one of the most valuable brands in the world alongside the likes of Coca-Cola. NKE has treaded down a new direct-to-consumer-heavy path in both brick-and-mortar and e-commerce. Nike’s sales are projected to climb 4% this year and over 8% higher next year to help boost its adjusted earnings by 16% and 17%, respectively, based on Zacks estimates. Nike’s earnings revisions help it land a Zacks Rank #2 (Buy) right now and its Shoes and Retail Apparel segment is in the top 23% of over 250 Zacks industries. Nike has climbed 850% during the last 15 years vs. the S&P 500’s 420% and its sector’s 220%. Nike is up 73% in the past five years, even though it trades 30% below its highs. Nike has retaken its 50-day and 200-day and is on the cusp of climbing above its very long-term 50-month moving average. Nike trades near its 10-year median at 29.7X forward 12-month earnings and pays a dividend. Target Target posted blowout Q3 earnings results in mid-November and provided upbeat guidance that helped it capture a Zacks Rank #2 (Buy). The strong bottom-line performance extended its recent rebound that has TGT stock up 30% since the start of the fourth quarter. Even with the comeback, the retail standout trades 45% below its highs. TGT’s resurgence has taken it right to its 50-week moving average and solidly above its 200-day and 50-day. Target trades at a 30% discount to its sector, 32% below Walmart, and close to TGT’s 10-year median. TGT stock is far more than a plummeting pandemic winner. Target crushed Walmart over the last 15 years, up 310% vs. 170% despite its massive fall from its 2021 highs. Target, like many others, failed to adapt to quickly changing consumer shopping patterns over the last year-plus. The firm is also dealing with other setbacks. But it appears that TGT is finally finding its footing again. TGT’s adjusted earnings are projected to soar 39% this year and then climb another 9% higher next year. And its dividend yields 3.2% right now. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 NIKE, Inc. (NKE) : Free Stock Analysis Report Target Corporation (TGT) : Free Stock Analysis Report Walmart Inc. (WMT) : Free Stock Analysis Report DocuSign (DOCU) : 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.
For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Investment Ideas feature highlights DocuSign, Inc. DOCU, Nike, Inc. NKE, Target TGT and Walmart WMT. 3 Highly Ranked Stocks to Buy Now for a Big 2024 Comeback Today’s episode of Full Court Finance at Zacks explores the bullish market rally following the Fed’s rate cut outlook. Jay Powell and the Fed gave the green light to the bulls on Wednesday when the world’s most important central bank signaled the possibility of three rate cuts in 2024.
For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Investment Ideas feature highlights DocuSign, Inc. DOCU, Nike, Inc. NKE, Target TGT and Walmart WMT. DocuSign, Inc. DocuSign crushed our Q3 FY24 EPS estimate on December 7 and raised its guidance to help it land a Zacks Rank #1 (Strong Buy) right now. Click to get this free report NIKE, Inc. (NKE) : Free Stock Analysis Report Target Corporation (TGT) : Free Stock Analysis Report Walmart Inc. (WMT) : Free Stock Analysis Report DocuSign (DOCU) : Free Stock Analysis Report To read this article on Zacks.com click here.
For Immediate Release Chicago, IL – December 18, 2023 – Today, Zacks Investment Ideas feature highlights DocuSign, Inc. DOCU, Nike, Inc. NKE, Target TGT and Walmart WMT. 3 Highly Ranked Stocks to Buy Now for a Big 2024 Comeback Today’s episode of Full Court Finance at Zacks explores the bullish market rally following the Fed’s rate cut outlook. Click to get this free report NIKE, Inc. (NKE) : Free Stock Analysis Report Target Corporation (TGT) : Free Stock Analysis Report Walmart Inc. (WMT) : Free Stock Analysis Report DocuSign (DOCU) : Free Stock Analysis Report To read this article on Zacks.com click here.
Investors might want to consider the e-signature and digital document firm with 1.4 million customers as Wall Street begins to search high and low for technology stocks that are still trading far below their highs. Nike, Inc. Nike trades around 30% below its highs heading into its Q2 FY24 earnings release on December 21. Nike’s earnings revisions help it land a Zacks Rank #2 (Buy) right now and its Shoes and Retail Apparel segment is in the top 23% of over 250 Zacks industries.
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711597.0
2023-12-15 00:00:00 UTC
Zacks Value Investor Highlights: American Eagle Outfitters, Comtech, Solo Brands, Brinker International and Oshkosh
DCOMP
https://www.nasdaq.com/articles/zacks-value-investor-highlights%3A-american-eagle-outfitters-comtech-solo-brands-brinker
nan
nan
For Immediate Release Chicago, IL – December 18, 2023 – Zacks Value Investor is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here: https://www.zacks.com/stock/news/2198282/screening-for-stocks-on-sale Screening for Stocks on Sale Welcome to Episode #353 of the Value Investor Podcast. (0:45) - Where Should Value Investors Be Looking To Buy Heading Into 2024? (5:00) - Screening For Top Value Stocks: Stock Screen Criteria (9:15) - Tracey’s Top Stock Picks (19:55) - Episode Roundup: URI, AEO, CMTL, DTC, EAT, OSK Podcast@Zacks.com Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks. With the end of the year fast approaching, it’s time for value investors to reflect back on the year. It was a volatile year for value stocks as energy, the best performing sector in 2021 and 2022, reversed course in 2023. Additionally, the banking industry had a crisis in the spring and those stocks struggled all year. However, there were industries such as infrastructure and the homebuilders which had fantastic years. Where are the stocks that are on sale to end the year? A Simple Value Stock Screen Screening for value stocks can be easy. Tracey looked for companies with a price-to-sales ratio under 1.0, which indicates value, and a PEG ratio under 1.0. A PEG ratio under 1.0 usually means a company has both value and growth, a rare combination. She also added the Zacks Ranks of #1 (Strong Buy) and #2 (Buy) in order to get earnings estimates that were being revised higher heading into 2024. Running this simple screen returned 18 stocks. 5 Stocks on Sale in 2023 1. American Eagle Outfitters, Inc. AEO American Eagle Outfitters is a specialty retailer in apparel and accessories. Even though shares of American Eagle are up 46% year-to-date, it’s still cheap. American Eagle Outfitters has a P/S ratio of just 0.8. It also pays a dividend, yielding 1.9%. Should American Eagle Outfitters, a Zacks Rank #2 (Buy), be on your value stock short list? 2. Comtech Telecommunications, Inc. CMTL Comtech Telecommunications is a global technology company providing terrestrial and wireless network solutions, next generation 9-11 emergency services, satellite and space communications technologies, and cloud native capabilities to commercial and government customers. Shares of Comtech have fallen 39% year-to-date. It’s dirt cheap, with a P/S ratio of 0.4. Comtech pays a dividend, currently yielding 1.3%. Should Comtech be on your short list? 3. Solo Brands, Inc. DTC Solo Brands sells outdoor goods including Solo Stove, paddleboards, fire pits, and swim trunks, among other things. Shares are up in 2023, rising 39% year-to-date. But Solo Brans is still cheap, with a PEG ratio of 0.4. Solo Brands is a Zacks Rank #2 (Buy). Should it be on your short list? 4. Brinker International, Inc. EAT Brinker International owns Chili’s and Maggiano’s Little Italy restaurants. Shares of Brinker are up 28% year-to-date. But it, too, is still on sale, with a PEG ratio of 0.7. Brinker is a Zacks Rank #1 (Strong Buy). Should Brinker be on your short list? 5. Oshkosh Corp. OSK Oshkosh makes specialty trucks and access equipment. Shares of Oshkosh have gained 15.4% year-to-date. It remains cheap, with a PEG of just 0.2. Oshkosh pays a dividend, yielding 1.6%. Should Oshkosh be on your value short list for 2024? What Else Do You Need to Know About Stocks on Sale? Tune into this week’s podcast to find out. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Tracey Ryniec is the Value Stock Strategist for Zacks.com. She is also the Editor of the Insider Trader and Value Investor services. You can follow her on twitter at @TraceyRyniec and she also hosts the Zacks Market Edge Podcast on iTunes. About Zacks Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Click here for your free subscription to Profit from the Pros. Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/ Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com/performance Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 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 American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Comtech Telecommunications Corp. (CMTL) : Free Stock Analysis Report Oshkosh Corporation (OSK) : Free Stock Analysis Report Solo Brands, Inc. (DTC) : 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.
Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%.
For Immediate Release Chicago, IL – December 18, 2023 – Zacks Value Investor is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. (5:00) - Screening For Top Value Stocks: Stock Screen Criteria (9:15) - Tracey’s Top Stock Picks (19:55) - Episode Roundup: URI, AEO, CMTL, DTC, EAT, OSK Podcast@Zacks.com Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks. Click to get this free report American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Comtech Telecommunications Corp. (CMTL) : Free Stock Analysis Report Oshkosh Corporation (OSK) : Free Stock Analysis Report Solo Brands, Inc. (DTC) : Free Stock Analysis Report To read this article on Zacks.com click here.
(5:00) - Screening For Top Value Stocks: Stock Screen Criteria (9:15) - Tracey’s Top Stock Picks (19:55) - Episode Roundup: URI, AEO, CMTL, DTC, EAT, OSK Podcast@Zacks.com Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks. Should American Eagle Outfitters, a Zacks Rank #2 (Buy), be on your value stock short list? Click to get this free report American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report Brinker International, Inc. (EAT) : Free Stock Analysis Report Comtech Telecommunications Corp. (CMTL) : Free Stock Analysis Report Oshkosh Corporation (OSK) : Free Stock Analysis Report Solo Brands, Inc. (DTC) : Free Stock Analysis Report To read this article on Zacks.com click here.
(5:00) - Screening For Top Value Stocks: Stock Screen Criteria (9:15) - Tracey’s Top Stock Picks (19:55) - Episode Roundup: URI, AEO, CMTL, DTC, EAT, OSK Podcast@Zacks.com Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks. With the end of the year fast approaching, it’s time for value investors to reflect back on the year. Should American Eagle Outfitters, a Zacks Rank #2 (Buy), be on your value stock short list?
edbb8986-95d9-4776-ae46-bf5d1db526dd
711598.0
2023-12-15 00:00:00 UTC
3 Best Stocks to Buy Now, 12/18/2023, According to Top Analysts
DCOMP
https://www.nasdaq.com/articles/3-best-stocks-to-buy-now-12-18-2023-according-to-top-analysts
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Which stocks are best to buy now? According to Top Wall Street Analysts, the three stocks listed below are Strong Buys. Each stock received a new Buy rating recently and has a significant upside as well. To find more stocks like these, take a look at TipRanks’ Analyst Top Stocks tool. It shows you a real-time list of all stocks that have been recently rated by Top-ranking Analysts. Here are today’s top stock picks, according to analysts. Click on any ticker to thoroughly research the stock before you decide whether to add it to your portfolio. Olema Pharmaceuticals (NASDAQ:OLMA) –  This is a s a clinical-stage biopharmaceutical company that develops therapies for the treatment of women's cancers. Yesterday, LifeSci Capital Analyst Sam Slutsky reiterated a Buy rating on the stock with a price target of $26. Interestingly, all four Top Analysts who rated the stock gave it a Buy. Collectively, their 12-month price targets imply an upside of nearly 116%. Digi International (NASDAQ:DGII) – Digi International is a leading provider of IoT products and solutions. On Friday, Canaccord Genuity analyst Michael Walkley reiterated a Buy rating on the stock with a price target of $45. In the last three months, all five Top Analysts covering the stock have rated it a Buy. Taken together, their 12-month price targets imply an upside of about 50%. Nvidia (NASDAQ:NVDA) – This is an American multinational technology company. On Friday, Morgan Stanley analyst Joseph Moore reiterated a Buy rating on the stock with a price target of $700. Interestingly, 26 out of the 29 Top Analysts who recently rated the stock gave it a Buy. Taken together, their 12-month price targets imply an upside of about 34%. Who are the Top Analysts? TipRanks ranks financial analysts according to the success rates of their ratings and the average return on each of their ratings. The Top Analysts have each earned a five-star ranking, thanks to the accuracy and profitability of their ratings over time. See real-time analyst rankings and learn more about the performance of Top Analysts on TipRanks’ Top Wall Street Analysts page. Disclosure The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Yesterday, LifeSci Capital Analyst Sam Slutsky reiterated a Buy rating on the stock with a price target of $26. On Friday, Canaccord Genuity analyst Michael Walkley reiterated a Buy rating on the stock with a price target of $45. On Friday, Morgan Stanley analyst Joseph Moore reiterated a Buy rating on the stock with a price target of $700.
Digi International (NASDAQ:DGII) – Digi International is a leading provider of IoT products and solutions. Interestingly, 26 out of the 29 Top Analysts who recently rated the stock gave it a Buy. See real-time analyst rankings and learn more about the performance of Top Analysts on TipRanks’ Top Wall Street Analysts page.
On Friday, Canaccord Genuity analyst Michael Walkley reiterated a Buy rating on the stock with a price target of $45. Interestingly, 26 out of the 29 Top Analysts who recently rated the stock gave it a Buy. See real-time analyst rankings and learn more about the performance of Top Analysts on TipRanks’ Top Wall Street Analysts page.
Which stocks are best to buy now? Interestingly, all four Top Analysts who rated the stock gave it a Buy. Who are the Top Analysts?
a57b8ca5-5c59-4f96-bb01-65324e2e96f4
711599.0
2023-12-15 00:00:00 UTC
CRH Intends To Acquire Adbri
DCOMP
https://www.nasdaq.com/articles/crh-intends-to-acquire-adbri
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(RTTNews) - CRH plc (CRH, CRH.L), together with the Barro Group, have entered into an agreement with Adbri Ltd in relation to a potential deal to acquire Adbri. The partners have submitted a non-binding offer to acquire 100% of the ordinary shares of Adbri for a cash price of A$3.20 per share. Adbri, formerly known as Adelaide Brighton, is a building materials business in Australia, listed on the ASX. As per the proposal, CRH would partner with Barro, an approximately 43% shareholder of Adbri. CRH currently has a 4.6% interest in Adbri via a cash settled derivative and would acquire the remaining approximately 57% of Adbri's shares not owned by Barro with the intention to delist Adbri from the ASX. The Independent Board Committee of Adbri has agreed to provide CRH exclusive due diligence access to progress the proposal and plans to recommend that Adbri shareholders vote in favour of the proposed deal. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Adbri, formerly known as Adelaide Brighton, is a building materials business in Australia, listed on the ASX. As per the proposal, CRH would partner with Barro, an approximately 43% shareholder of Adbri. The Independent Board Committee of Adbri has agreed to provide CRH exclusive due diligence access to progress the proposal and plans to recommend that Adbri shareholders vote in favour of the proposed deal.
(RTTNews) - CRH plc (CRH, CRH.L), together with the Barro Group, have entered into an agreement with Adbri Ltd in relation to a potential deal to acquire Adbri. As per the proposal, CRH would partner with Barro, an approximately 43% shareholder of Adbri. CRH currently has a 4.6% interest in Adbri via a cash settled derivative and would acquire the remaining approximately 57% of Adbri's shares not owned by Barro with the intention to delist Adbri from the ASX.
(RTTNews) - CRH plc (CRH, CRH.L), together with the Barro Group, have entered into an agreement with Adbri Ltd in relation to a potential deal to acquire Adbri. CRH currently has a 4.6% interest in Adbri via a cash settled derivative and would acquire the remaining approximately 57% of Adbri's shares not owned by Barro with the intention to delist Adbri from the ASX. The Independent Board Committee of Adbri has agreed to provide CRH exclusive due diligence access to progress the proposal and plans to recommend that Adbri shareholders vote in favour of the proposed deal.
(RTTNews) - CRH plc (CRH, CRH.L), together with the Barro Group, have entered into an agreement with Adbri Ltd in relation to a potential deal to acquire Adbri. Adbri, formerly known as Adelaide Brighton, is a building materials business in Australia, listed on the ASX. As per the proposal, CRH would partner with Barro, an approximately 43% shareholder of Adbri.
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