courtneyk/E+ via Getty Images The August jobs report released yesterday saw unemployment rise to 3.8%, the highest level in a year and a half. This reflects progress in rebalancing the labour market, which Fed Chairman Jay Powell said “remains incomplete” at the annual Jackson Hole Economic Symposium late last month. Here I take a closer…
Robert Way Investors in AI-hype train C3.ai (NYSE:AI) have been remarkably resilient. My previous update on C3 (Sell rating) panned out as AI underperformed the S&P 500 (SPX) over the past three months. However, the extent of the underperformance was less significant than I had anticipated. However, AI still fell nearly 43% from its June…
ferrantraite Thesis Banco Macro (NYSE:BMA) is one of the primary traditional banks in Argentina. It has the largest branch network in the country. The deposit composition is dominated by time deposits and saving accounts. Corporate bond issuance represents 5.1 % of company liabilities. On the other hand, the bank`s loan portfolio is focused on retail…
kontekbrothers/iStock via Getty Images There is a sense of new divergence. Most economists, including the staff at the Federal Reserve, no longer think the US is recession-bound. Unprecedented in modern times, inflation has fallen sharply, and unemployment has not risen, and the economy appears to be enjoying its third consecutive quarter, and the fourth in…
laurence soulez The Copper Investment Thesis Seems Uncertain In The Face Of Over Supply We previously compared Freeport-McMoRan (NYSE:FCX) and Southern Copper Corporation (NYSE:SCCO) in April 2023, discussing the critical role of copper in the electrification and decarbonization cadence over the next few decades, attributed to the global net zero ambitions by 2050. With copper…
Olivier Le Moal Author’s Note: This is our monthly series on Dividend Stocks, usually published in the first week of every month. We scan the universe of roughly 7,500 stocks listed and traded on U.S. exchanges and use our proprietary filtering criteria to select five relatively safe stocks that may be trading cheaper compared to…
Matteo Colombo Investment briefing The biosimilars drug market is forecast to expand at a geometric growth rate of ~18% from 2023—2028, garnishing immense capital inflows along the way. Alvotech (NASDAQ:ALVO) is firmly positioned within the biosimilars value chain and has the potential to unlock compelling value should it successfully convert its pipeline assets. To date,…
imaginima US manufacturers reported another tough month of trading in August. Output has fallen back into decline after a brief respite in July amid an increasingly steep deterioration in order books. Orders are in fact falling faster than factories are cutting output, suggesting firms will need to continue scaling back their production volumes into the…
PM Images While screening for high yielding investments, I came across the SPDR Blackstone High Income ETF (BATS:HYBL). The HYBL ETF is managed by Blackstone, the well-known private equity and alternative asset manager. It seeks to generate high income from a portfolio of leveraged loans and high yield bonds. Although the HYBL ETF pays an…
Tim Boyle Research Brief In today’s analysis, I will be covering CME Group (CME), which is in the financials sector, and financial exchanges subsector. Since my last rating in mid-May, which gave this stock a buy rating, the share price has climbed over 11%. CME – share price since last rating (Seeking Alpha) Since then,…
LSOphoto/iStock via Getty Images Genuine Parts Company (NYSE:GPC) sells replacement parts in the automotive industry. The company has achieved good growth in recent years, but as the company’s growth seems to be maintained only through frequent acquisitions instead of organic growth, I believe investors should stay cautious. The current valuation seems to reflect quite minimal…
tiero The PFE Investment Thesis Remains Shaky Here We previously covered Pfizer (NYSE:PFE) in May 2023, discussing its mediocre historical stock performance compared to its pharmaceutical peers. Most of the pessimism was attributed to the decelerating COVID-19 portfolio and $22B worth of annualized patent cliff from 2025 onwards. This was on top of the overly…
ptasha/iStock via Getty Images The COST Investment Thesis May Never Come Cheap We previously covered Costco Wholesale Corp. (NASDAQ:COST) in June 2023, discussing its excellent prospects as inflation abated and comparable sales expanded. Thanks to the elevated interest rate environment, more consumers also flocked to COST due to its attractively priced offerings, triggering its all-time…
coldsnowstorm 0. Introduction Preface It’s the summer doldrums, and sales were down in July despite heavy discounting. Early indications (from the Chinese Passenger Car Association) are that August 2023 will be only modestly better than July. The press talks of a price war, and if you’re trying to sell cars (or have shareholdings in a…
PixelsEffect Steadily growing business travel demand helped the US hotel REIT sector turn in stronger operating results for the second quarter. Buoyed by strong occupancy and room rate, the sector’s same store revenue per available room (RevPAR) grew 3.8% compared to a very strong 2Q22. S&P Global Market Intelligence Surpassing pre-pandemic RevPAR metrics, however, hasn’t…
ridvan_celik Investment Thesis Imagine the benefits as an investor when building a dividend-income investment portfolio with a reduced risk level that helps you generate extra income (which can help you cover your monthly expenses or be used to reinvest) and to increase this amount year over year. Such a dividend strategy can further help you…
Chun han/E+ via Getty Images Main Thesis & Background The purpose of this article is to evaluate the state of the broader market and why commodities – whether specific ones or a broad basket fund – may offer a decent value proposition at present. The reason for bringing this up is that I continue to…
John Moore/Getty Images News Sociedad Quimica y Minera de Chile S.A. (NYSE:SQM) investors have suffered since SQM’s upward momentum topped out in early July before retracing nearly all its gains from its April lows. I assessed that the selloff on SQM over the past two months was steep, likely spooking dip buyers who loaded up…
Nature, food, landscape, travel/iStock via Getty Images Introduction It has been almost eight months since I last discussed Flagship Communities REIT (OTCPK:MHCUF) ((MHC.UN:CA)) and as the REIT has reported on the financial results of three quarters since the publication of my previous article, I figured an update on its financial performance would be useful. I’m…
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deepblue4you/iStock via Getty Images Introduction JDE Peet’s (OTCPK:JDEPF) (OTC:JDEPY) is one of the largest coffee distributors in the world (with brands like L’Or, Senseo, and Tassimo in its portfolio). As it doesn’t look like the coffee drinking contingent of the world is decreasing, I like the company’s strong position and very robust cash flows. This…
Urupong S&P 500 futures were up 0.7% immediately following the release of Friday’s August payrolls data. Non-farm job gains of 187,000 were marginally above the 170,000 consensus estimate (with July’s gain revised 30k lower). At 0.2% (0.24%), the increase in Average Hourly Earnings was below the 0.3% forecast and July’s 0.4% – and was the…
Olga Tsyvinska Average prices charged by factories for their goods edged higher for the first time in four month during August, according to the JPMorgan Global Manufacturing Purchasing Managers’ Index™ (PMI™) compiled by S&P Global. Companies reported sustained upward pressure from wages alongside reviving upward pressure on prices from energy and raw material costs. The…
Eamonn M. McCormack/Getty Images Entertainment Paramount Global (NASDAQ:PARA) (NASDAQ:PARAA) hit a 52-week low on Friday, September 1 (perhaps in part because of a warning by media insider Barry Diller). That price point was $13.62 (for PARA), and the 13-handle finds itself versus a 25-handle for the 52-week-high. Here’s a chart of the stock: Data by…
buzbuzzer CrossAmerica Partners LP (NYSE:CAPL) is a limited partnership that conducts business with distribution of fuels to gas stations as its main business and the company also has a side business that owns or operates convenience stores, most of which are located within fuel centers such as major gas stations. This can be a solid…
Yuri_Arcurs/iStock via Getty Images Purpose I look at the high frequency weekly indicators because while they can be very noisy, they provide a good nowcast of the economy, and will telegraph the maintenance or change in the economy well before monthly or quarterly data is available. They are also an excellent way to “mark your…
MarsYu By Andrew Ang, PhD Seven mega cap US-based companies – Apple (AAPL) , Microsoft (MSFT), Amazon (AMZN), Google (GOOG,GOOGL), Nvidia (NVDA), Tesla (TSLA), and META (Facebook) – have stayed top of mind for many investors this year. These companies have been dubbed the “Magnificent Seven” (not to be confused with the 1960s movie or…
frender This article was coproduced with Dividend Sensei. It’s been years since NextEra Energy (NYSE:NEE) was finally reasonably priced or a good buy. FAST Graphs, FactSet NextEra hasn’t been reasonably priced for five years. For the first time in half a decade, prudent income growth investors can buy it without paying an absurd premium as…
Marco VDM/E+ via Getty Images Ground-mounting tracking systems are produced by Array Technologies (NASDAQ:ARRY) for use in solar energy installations. ARRY announced solid Q2 FY23 results. The company’s financial and fundamental situation has improved a lot. In this report, I will review its Q2 FY23 results. I believe the setup of ARRY is quite favorable,…
Justin Sullivan By Breakingviews Alphabet (GOOG, GOOGL) is poised to welcome the autumn harvest. Ruth Porat, the web search giant’s chief financial officer and a former technology investment banker at Morgan Stanley, will move into a new role next month that includes overseeing “other bets,” an eclectic collection of experimental projects. It’s a good time…
PotaeRin Summary Lamb Weston (NYSE:LW) manufactures and distributes a wide range of frozen potato products, including fries, oven-roasted potatoes, potato chips, and other frozen potato products. Readers may find my previous coverage via this link. My previous rating was a hold, as I believed the risk-reward ratio was a lot less attractive after the strong…
Igor Kutyaev Local governments have been instrumental in driving China’s remarkable economic growth over the last 30 years, in particular by providing massive public investments in critical physical and social infrastructure. Yet, amid a slowing economy and an ailing property market, debt-laden municipalities now pose a potential risk to China’s economic growth and financial stability….
This article was written by Buy-side hedge professionals conducting fundamental, income oriented, long term analysis across sectors globally in developed markets. Please shoot us a message or leave a comment to discuss ideas.DISCLOSURE: All of our articles are a matter of opinion, informed as they might be, and must be treated as such. We take…
chameleonseye Dear readers/followers, Yara International (OTCPK:YARIY) (OTCPK:YRAIF) is a company I’ve been writing about for some time – years at this point. It’s a successful investment, up well above single and even double digits if we include dividends. I am a long-term holder of this company, and believe in the long-term positive trends of this…
Arnd Wiegmann By Breakingviews UBS’s acquisition of Credit Suisse (CS) looks increasingly good – maybe a little too good. Boss Sergio Ermotti plans to keep the smaller bank’s domestic franchise and reckons he can slash costs harder and faster than his predecessor, Ralph Hamers, had planned. The problem is that the cuts also increase the…
Dikuch In this new article about International Seaways (NYSE:INSW), I will explain why I believe that the company is still worth a STRONG BUY recommendation. Particularly, I will provide an overview of the 2023-Q2 results and I will explain why the current oil tanker dynamics could provide International Seaways with room for further growth and…
kritdarat Atsadayuttmetee/iStock via Getty Images Overview ORLY stands as a prominent player in the automotive aftermarket industry in the United States. Renowned for its wide range of automotive parts, tools, supplies, equipment, and accessories, the company caters to two distinct customer segments: do-it-yourself [DIY] and Do-It-For-Myself [DIFM]. My recommendation for O’Reilly Automotive (NASDAQ:ORLY) is a…
stevelenzphoto/iStock via Getty Images Investment Thesis Thryv Holdings (NASDAQ:THRY) is the largest independent producer of Yellow Pages in the United States. It doesn’t take a genius to understand that this is a disastrous business and that it is basically a melting ice cube where time plays against it. This is exactly why I believe this…
Grafissimo/E+ via Getty Images Thesis Banco BBVA Argentina (NYSE:BBAR) is one of the largest banks in Argentina. It is positioned to benefit from the ongoing digital transformation and the large portion of the unbanked population. The bank excels on all risk metrics and has a robust balance sheet structure. Its loan portfolio is well diversified…
Sundry Photography/iStock Editorial via Getty Images Investment Thesis Nordstrom (NYSE:JWN) has undergone significant structural changes in its business model recently. We view these structural changes as a pivotal catalyst for Nordstrom’s stock performance as they enabled Nordstrom to achieve profitable growth. These structural changes include improving rack performance, increasing inventory productivity and optimizing supply chain…
Vitalij Sova Manufacturers’ New Orders for Durable Goods and the PMI (Purchasing Managers’ Index) for manufacturers were reported last week. Durable Goods Orders vs. PMI compares these two series monthly from Feb 1982. The rule of thumb which has been repeated many times is that when the PMI falls below 50, it forecasts recessions. This…
Darren415 Welcome to another installment of our BDC Market Weekly Review, where we discuss market activity in the Business Development Company (“BDC”) sector from both the bottom-up – highlighting individual news and events – as well as the top-down – providing an overview of the broader market. We also try to add some historical context…
Sundry Photography/iStock Editorial via Getty Images JFrog (NASDAQ:FROG) provides clients with a supply chain software solution. The company has achieved a high amount of organic growth, but as the company continues to generate significantly negative earnings, the stock still seems risky. Although the stock seems very expensive at a quick glance, I believe the valuation…
Drazen_/E+ via Getty Images By James Knightley, Chief International Economist ISM manufacturing index signals 10 months of contraction US ISM manufacturing index rose more than expected in August to stand at 47.6 versus 46.4 in July (consensus 47.0), but this is the tenth consecutive month it has come in below the break-even 50 level i.e….
ozgurdonmaz Investment Briefing Supernus Pharmaceuticals, Inc. (NASDAQ:SUPN) is a biopharmaceutical company that specializes in developing and commercializing treatments for central nervous system (“CNS”) disorders. The company’s neuroscience portfolio comprises a range of approved treatments for epilepsy, migraine, attention-deficit hyperactivity disorder (“ADHD”), and hypomobility in Parkinson’s Disease (“PD”). It currently has 8 commercial products in the…
Hemera Technologies/PHOTOS.com>> via Getty Images Bonds from a growth and inflation perspective For those who have been bullish bonds and calling for a rally throughout 2023, it has been on the back of falling growth and waning inflation such thesis have been based. By simply looking at the traditional relationship between yields and the business…
Baosheng Media Group Holdings Limited (NASDAQ:BAOS) Q2 2023 Results Conference Call August 31, 2023 1:30 AM ET Company Participants Zou Jixin – Baosteel Board Director Wu Xiaodi – Baosteel Board Director, General Manager Xie Rong – Baosteel Inc. Board Director Fu Jianguo – Baosteel Vice General Manager Wang Juan – Vice GM of Baosteel and…
Liudmila Chernetska/iStock via Getty Images Chewy (NYSE:CHWY) reported better than expected results for the second-quarter on Wednesday that showed not only a significant EPS beat, but also double-digit net revenue growth and expanding gross margins. The retailer’s shares, however, have widely underperformed in the last year, chiefly because of concerns about slowing customer growth and…
Design Cells/iStock via Getty Images CytoMed Therapeutics (NASDAQ:GDTC) CytoMed Therapeutics (GDCT, or the Company), a Singapore-based biotechnology company trading on the NASDAQ, is developing multiple gamma delta chimeric antigen receptor T-cell (“γδ CAR-T”) therapeutics for the treatment of cancer. The Company is one of many who are trying to exploit the body’s immune system to…
SlavkoSereda/iStock Editorial via Getty Images In a previous article discussing Raiffeisen Bank International AG (OTCPK:RAIFF; OTCPK:RAIFY), I identified two main risks: the bank’s significant reliance on its Russian subsidiary and its exposure to Signa Group. There have been further negative developments both at Signa (kindly note, that following, unless otherwise stated, “Signa” refers to the…