Olemedia Market Commentary In a volatile first quarter of 2024, markets moved choppily higher, delivering positive returns across most regions and countries. US stocks rose +10% (as measured by the Russell 3000 Index), led by large-cap stocks, which were likewise up just over +10%, followed by mid caps (+9%) and small caps (+5%), as measured…
AndreyPopov/iStock via Getty Images Market Commentary In a volatile first quarter of 2024, markets moved choppily higher, delivering positive returns across most regions and countries. US stocks rose +10% (as measured by the Russell 3000 Index), led by large-cap stocks, which were likewise up just over +10%, followed by mid caps (+9%) and small caps…
Prykhodov Alphabet Inc. (NASDAQ:GOOG) reported first quarter results on Thursday last week, which caused a big jump in Google’s stock price amid robust momentum in the marketing business. Marketing strength in Google’s core business, advertising, was a major catalyst for growth in the first quarter. Google also announced that it would start to pay a…
sankai By Brian Angerame, Jeffrey Bailin, CFA, Aram Green & Matthew Lilling, CFA SMID Playing Catch Up in Growth Rally Market Overview Equity markets rallied in the first quarter as resilient corporate earnings, continued enthusiasm over artificial intelligence (‘AI’) and the prospect of interest rate cuts spurred performance that surprised even the most optimistic investors….
MarekUsz/iStock via Getty Images By Albert Grosman & Brian Lund, CFA Picking the Right Odds, Not the Right Horse Market Overview Spotting a secular trend and identifying the winners, as many small cap investors are trying to do with AI- and bitcoin-related beneficiaries, is a time-honored investment strategy that has made investors a lot of…
Rasi Bhadramani By Reed Cassady, CFA, Albert Grosman & Sam Peters, CFA AI Solutions Require Solving Power Problems Market Update The market is focused on the transformative potential of artificial intelligence (‘AI’) but, in our view, has not come fully to grips with the real-world bottlenecks attached to this emerging technology. While markets appear to…
Richard Drury Investing Environment US equity markets reached new all-time highs in Q1 supported by a resilient US economy, a general trend of disinflation and an acceleration in corporate profits growth. Given mostly benign economic data offering little indication that a recession is near, interest rate markets pared back the number of expected Federal Reserve…
Monty Rakusen/DigitalVision via Getty Images Since I wrote about China’s automotive services provider SunCar Technology (NASDAQ:SDA) last November, its price is up by over 16%. Even at that time, a 20-25% upside was evident for the stock in the short term, after it significantly overcorrected when a follow-on offering took place at a price lower…
syahrir maulana IWO strategy iShares Russell 2000 Growth ETF (NYSEARCA:IWO) started investing operations on 07/24/2000 and tracks the Russell 2000 Growth Index. It has 1065 holdings, a 30-day SEC yield of 0.50% and an expense ratio of 0.24%. It is a direct competitor to Vanguard Russell 2000 Growth ETF (VTWG), which tracks the same index….
Jordan Feeg By Garey J. Aitken, CFA, & Michael Richmond, CFA Upgrading Portfolio Quality into Strength – Market Overview After nearly two years of managing through steadily higher policy rates and regular prognostications of economic troubles, investors clearly expected 2024 to be a transition year. Rather than a change, the first quarter of 2024 looked…
MoMo Productions/DigitalVision via Getty Images Introduction This article covers the Schwab Fundamental U.S. Small Company Index ETF (NYSEARCA:FNDA) (the “Fund“), a passively managed exchange-traded fund (“ETF“) managed by Charles Schwab Investment Management, Inc. (the “Fund Sponsor“). Awarded three-stars from Morningstar, the Fund boasts a low expense ratio (0.25%) and above-average relative performance. Notably, the Fund…
Hiraman By Jeffrey Bailin, CFA & Aram Green Benchmark Concentration Even More Severe in Small Growth Market Overview Entering 2024, we were hopeful that, after a year of extreme relative underperformance versus large cap peers, conditions were aligning for a broadening market more favorable for small cap stocks. Thus far, it has been more of…
Pogonici By Peter Bourbeau & Margaret Vitrano Staying Disciplined in a Broadening Market Market Overview The positive momentum of 2023 extended into the first quarter as a likely economic soft landing and being past the peak of monetary tightening sent stocks broadly higher. The S&P 500 Index (SP500, SPX) advanced 10.56% for its best start…
XH4D/E+ via Getty Images Summary We’ve had a lot of requests to add another article to our series on MEEC to reflect the recent trial win. This article serves as a follow-up to our previous piece, which outlined the settlement reached with approximately half of the defendants involved in MEEC’s refined coal lawsuit. Both of…
Mario Tama [Note: This piece will focus exclusively on standalone Chevron as it currently operates, meaning there will be no discussion of any implications the proposed acquisition of Hess Corp. (HES) might have on a Pro-Forma entity nor will I include any potential contributions from Hess’ assets in my financial and production forecasts. All company…
Dimensions/E+ via Getty Images Agilysys, Inc. (NASDAQ:AGYS) is in the business of making experiences for many travelers around the world smoother and more efficient. AGYS is in the sweet spot between growth and profitability, with 21% revenue growth combined with a solid 13% EBITDA margin. In the current environment, the focus continues to be on…
isak55/iStock via Getty Images Shares of small companies and value stocks have had a tough time keeping up with the broad market in recent years, and the headwind for these risk factors is still blowing so far in 2024. By contrast, the momentum factor (MTUM) has surged nearly 17% so far this year, dramatically outperforming…
Nancy Anderson The Basic Story: Vitesse Energy (NYSE:VTS) is a small cap, non operated Bakken player with a lightly levered balance sheet and a high base dividend yield. The dividend here is a priority. The company has already guided to low double digit growth in 2024 and we expect that to be reaffirmed with their…
krisanapong detraphiphat/Moment via Getty Images By Brian Angerame, Jeffrey Bailin, CFA, Aram Green & Matthew Lilling, CFA Small and Mid Caps Attractive Amid Rate Transition Market Overview and Outlook Equity markets generated strong returns in the fourth quarter, bolstered by declining bond yields and a resurgence of optimism that the U.S. economy could indeed achieve…
shapecharge 4Q23 Market Overview Global financial markets rallied in 4Q, with small cap stocks leading the way. Dovish FOMC commentary driven by lessening inflation concerns drove the stock market higher. Interest rates declined and expectations for a soft landing increased as recession fears faded. The FOMC stayed the course with no changes to interest rates…
Dilok Klaisataporn The Large Cap Equity Fund’s Institutional Class returned +10.91% for the fourth quarter compared to +11.96% for the Russell 1000. For the calendar year, the Fund’s Institutional Class returned +29.81% compared to +26.53% for the Russell 1000. It was a strong finish to a very good year. The economy has been resilient, and…
tadamichi Here’s a table that Refinitiv publishes only occasionally, but it’s valuable since it gives perspective on the S&P 500 sector’s market cap weight in the benchmark, versus that same sector’s earnings weight. The problem in the late 1990s for large-cap tech wasn’t just the monstrous rally in the last 5 years of the decade,…
SEAN GLADWELL/Moment via Getty Images By Reed Cassady, CFA, Albert Grosman, Sam Peters, CFA Deeper Dive on Soft Landing Reveals Risks Market Update What an ending to the year for U.S. equities. The market has become increasingly convinced of a soft landing and inflation is easing toward the Federal Reserve’s target range across total, core…
Jira Pliankharom By Brian Angerame, Jeffrey Bailin, CFA, Aram Green, Matthew Lilling, CFA Growth Stocks Rise on Rate Cut Prospects Market Overview Equity markets generated strong returns in the fourth quarter, bolstered by declining bond yields and a resurgence of optimism that the U.S. economy could indeed achieve a soft landing. This helped to further…
Oleksandr Shatyrov In what has seemingly become a rite of passage in the evolution of the industry over the last year, Bit Digital, Inc. (NASDAQ:BTBT) recently became yet another Bitcoin USD (BTC-USD) mining company to start investing in building data centers for “artificial intelligence.” Bit Digital is one of the public companies in the crypto…
Nastco By Albert Grosman and Brian Lund, CFA Keeping Disciplined Amid Low-Quality Rally Market Overview Once upon a time, financial market prices were somewhat tethered to fundamental value. Sure, there were occasional bubbles or manias here or there, in tulips or regional shipping companies or internet stocks, but those were generally isolated to individual asset…
Nikada Fourth Quarter Market Discussion The ‘soft landing’ narrative that began to coalesce earlier in the year gained momentum in the fourth quarter, as fixed income investors joined the fray and embraced the notion that a Goldilocks economic scenario may be at hand. With inflation fears moderating, yields on 10-Year Treasuries (US10Y) fell from close…
syahrir maulana Investment Thesis Vanguard’s Small-Cap Growth Index Fund ETF Shares (NYSEARCA:VBK) warrants a buy rating due to the macroeconomic environment for small-cap growth heading into next year, the fund’s specific qualities compared to peers, and multiple promising holdings contained within the fund. While VBK is not the highest-performing small-cap ETF historically, the fund is…
franckreporter It was a December to remember for the world of equities. The S&P 500 (SPY) rose more than 4% during the final month of 2023 while small caps (IWM) shone once again, rallying 13% following a 9% November gain. The Magnificent Seven tech-related stocks performed fine, helping the Nasdaq 100 (QQQ) to its best…
pick-uppath/E+ via Getty Images The S&P SmallCap 600 Index [Small Cap index] tracks the performance of 600 of the U.S. companies that have a market capitalization [cap] between $850 million and $5.2 billion. Typically, a market value between $250 million and $2 billion falls under the small cap umbrella, while a mid cap’s market value…
YinYang An Alternate Option It’s no secret a large majority of the market includes large cap, tech, and growth stocks. I personally believe these companies are overvalued and am in search of better deals. One of my favorite plays for 2024 is factor-based investing in small cap value stocks and ETFs. A great play for…
The overall crypto market cap was close the $1.7 trillion mark on Wednesday, signaling that more money might be flowing into the crypto industry. Bitcoin (BTC) price rebounded from some of its losses from yesterday, edging close to the $44,000 level early Thursday morning. Recall that on Wednesday, US stocks recorded an unexpected drop that…
The price of SOL has continued its upward movement, bearing the $80 level and taking XRP’s position as the fifth-largest crypto. Solana (SOL) price broke the $80 barrier on Wednesday and has continued to rise, hitting $85.24 as of this writing. The 12.57% jump over the last 24 hours has made SOL the fifth-largest cryptocurrency…
The sixth largest cryptocurrency Solana (SOL) has all chances to enter the Top 5. Solana is threatening to replace XRP on the list of the major crypto assets by market capitalization. At the time of writing, Solana (SOL) price is $76.91 while its market cap is $32,898,753,885. The market cap of XRP is $33,009,755,118. Solana…
tang90246/iStock via Getty Images Summary I have long perceived the small-cap world as an asset class with far greater potential returns and volatility or Beta since companies in this area are more susceptible to macro drivers and disruptions. I have frequently focused my investment attention on the Russell 2000 as a broad index to gain…
skegbydave With a slowing economy that might be on the verge of a recession, quality stocks are shining. Quality stocks have strong balance sheets and hence low default risk. When the economy slows down this is a valuable feature. In such an economic backdrop the Fed normally stops hiking rates and in such a rate…
Bernstein analysts are convinced the flagship digital asset will continue on a bullish trajectory amid the incoming halving event that will reduce Bitcoin’s monthly selling pressure to less than $500 million. Bitcoin (BTC) opened the fourth week of November with a renewed bullish outlook fueled by the victory of Argentina’s pro-Bitcoin and anti-CBDC President Javier…
Thomas Barwick Investment thesis Our current investment thesis is: UNFI has achieved healthy growth in the last decade but this has seemingly come at the expense of margins, a poor trade-off in our view. This has made the business less attractive to investors but also contributed to the business being (partially) oversold. Investors understand that…
syahrir maulana This article series aims at evaluating ETFs (exchange-traded funds) regarding the relative past performance of their strategies and metrics of their current portfolios. Reviews with updated data are posted when necessary. SLYV strategy and portfolio SPDR S&P 600 Small Cap Value ETF (NYSEARCA:SLYV) started investing operations on 9/25/2000 and tracks the S&P SmallCap…
The recent incident is not the first security issue Okta has encountered. In the past, there have been several incidents involving Okta or its products. Okta Inc (NASDAQ: OKTA), a major provider of cybersecurity solutions for corporate enterprises, businesses, and government organizations, is currently grappling with the aftermath of a severe security breach that has…
DKosig By Brian Angerame, Aram Green, Matthew Lilling, CFA, & Jeffrey Russell, CFA Amid Growth Pressures, Mid Caps Deliver results. Market Overview Equity markets proved challenging during the third quarter, as the potential for higher-for-longer interest rates chipped away at valuations and raised questions about an economic soft landing. As a result, value stocks supplanted…
style-photography/iStock via Getty Images By Brian Angerame, Aram Green, Matthew Lilling, CFA, & Jeffrey Russell, CFA Market Overview and Outlook The third quarter was marked by elevated macro influences on portfolio performance. While short-term risk-free rates inched higher, the 10-year U.S. Treasury yield increased 74 basis points, a notable headwind for SMID growth stocks. The…
utah778 Past performance is no guarantee of future results and investment returns and principal value of the Fund will fluctuate so that shares, when redeemed, may be worth more or less than the original cost. Current performance may be higher or lower than the performance quoted. Call 800-432-7856 or visit heartlandadvisors.com for current month-end performance….
utah778 By Peter Bourbeau and Margaret Vitrano Moving to the Middle as Growth Slows Market Overview Equities took a breather in the third quarter, pressured by rising bond yields, a hawkish turn by the Federal Reserve, and signs of late cycle spending fatigue. The S&P 500 Index fell 3.27% while the Nasdaq Composite declined 4.10%…
wildpixel The Oakmark International Small Cap Fund (OAKIX, “the Fund”) returned 37.05% for the fiscal year ending September 30, compared to its benchmark, the MSCI World ex U.S. Small Cap Index (net), which returned 17.32% for the same period. The Fund returned -3.10% for the quarter, compared to the MSCI World ex U.S. Small Cap…
Henrik5000 By Pierre Debru After a dismal 2022, equity markets have rebounded quite strongly in 2023, lifted by artificial intelligence, the slowdown of interest rate hikes and improving inflation prints. However, this rebound has surprised by its lack of breadth. The over-concentration of market cap-weight, ed stock indexes around the world, particularly in the U.S.,…
Ultima_Gaina Bar Harbor Bankshares (NYSE:BHB) is a small cap regional bank based in the touristy town of Bar Harbor, Maine, and operates over 50 branches across Maine, New Hampshire, and Vermont. Bar Harbor’s adjacency to Acadia National Park makes it a frequent stop for cruise ships in the summertime, and the town bristles with tourists…
tolgart/iStock via Getty Images IVLU strategy and portfolio iShares Edge MSCI Intl Value Factor ETF (IVLU) started investing operations on 6/16/2015 and tracks the MSCI World ex USA Enhanced Value Index. It has $1.7B under management, a portfolio of 347 stocks, a 12-month distribution yield of 3.63% and an expense ratio of 0.30%. Distributions are…
Sundar Pichai Anna Moneymaker Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) aka Google has been getting a lot of love from super-investors lately. Bill Ackman has been steadily adding shares, Li Lu has been overweight the stock for years, and Charlie Munger has gone on the record saying that Berkshire Hathaway (BRK.B) “screwed up” by not buying it….
Going by the new estimates, Morgan Stanley expects that Tesla’s market capitalization will surge by at least $600 billion over the next 12 to 18 months. A recent Reuters report has tipped Tesla Inc (NASDAQ: TSLA), the electric vehicle (EV) maker, as poised to see a major boost in its market capitalization. This follows after…