Sundry Photography Investment Thesis Sanmina (NASDAQ:SANM) reported its Q2 2024 results on April 29, 2024. Revenue missed expectations by $60 million and EPS was a beat by $0.05. The company delivered revenue of $1.83 billion (-21% YoY), and non-GAAP EPS of $1.30. The market’s reaction to Sanmina’s earnings was muted, likely due to very low…
J Studios/DigitalVision via Getty Images Thesis We started covering the Franklin Senior Loan ETF (BATS:FLBL) almost a year ago with a ‘Buy’ rating. The name has outperformed since our coverage: Buy Rating (Seeking Alpha) The total return for the fund is almost 7%, with most of the move coming from the dividend yield. The high…
BlackJack3D/E+ via Getty Images Advanced Micro Devices (NASDAQ:AMD) reported Q1 2024 earnings on Tuesday, April 30. On the earnings call, AMD also provided an update about its MI300 AI accelerators, reporting an increase in the 2024 backlog from $3.5 billion to $4 billion. AMD remains poised for strong growth in data center GPUs this year,…
Dragon Claws The stock of Blackstone Mortgage Trust, Inc. (NYSE:BXMT) did not react well to the mortgage trust’s first quarter earnings in which the company showed that it swung to a net loss amid loan problems in the office category: BXMT declined 4.6% on Thursday and may see additional selling pressure in the short term….
Serenethos Earnings of Home Bancshares, Inc. (Conway, AR) (NYSE:HOMB) will likely increase slightly this year on the back of loan growth. On the other hand, margin contraction will limit the earnings growth. Overall, I’m expecting the company to report earnings of $1.97 per share for 2024, up 1.8% year-over-year. Compared to my last report on…
Alistair Berg/DigitalVision via Getty Images When it comes to investing, knowing when to sell is equally important to knowing what and when to buy. I have had my fair share of cases where I bought something, shares shoot up, and before I can sell it, shares plummet to a price below what they were trading…
Giuliano Benzin Late Netflix, Inc. (NASDAQ:NFLX) investors have been stunned into submission this week as the stock fell nearly 15% from its recent highs, entering well into correction territory. As a result, NFLX failed to conquer its 2021 highs at the $700 level before sellers sent it tumbling following Netflix’s robust first-quarter earnings release. Netflix…
Image Source/DigitalVision via Getty Images From my experience, it’s always better to lock in a solid gain than to continue clinging on to an investment with the hopes of just a little more profit. This is a hard habit to break and one that I still fall prey to every so often. But one firm…
Kosal Hor/iStock via Getty Images Summary Following my coverage of J.B. Hunt Transport Services (NASDAQ:JBHT) (published on 5th Feb 2024), that I recommended a buy rating as I was positive about the growth recovery trend, which I thought was evident in the intermodal [IM] segment volume performance, this post is to provide an update on…
Sundry Photography Amid softer macro trends across the globe, many companies have taken to one overarching strategy for solving top-line pressures: increased pricing. I’m generally wary of this strategy as a lever to chase long-term revenue growth, as price increases are more of a one-time driver that fades from a y/y growth perspective as soon…
Oat_Phawat Gold is one of the best-performing assets of 2024, rising by 15% year-to-date and 11% over the past month. Over that period, stocks and bonds have, for the most part, stagnated. Interestingly, the US dollar has also performed well this year, a rare instance of gold and the dollar rising together. Fundamentally, that may…
We Are The shine has come off once-high-flying tech stocks in recent months. The Information Technology sector is barely outperforming Treasury bills thus far in 2024 while other sectors such as Energy and Utilities have performed well in the last month. It comes as the macro backdrop turns murkier, with recalcitrant inflation fears and concerns…
numismarty/iStock via Getty Images PM is undervalued The thesis of this article is to explain the risks hidden behind Philip Morris International Inc.’s (NYSE:PM) dividend yield. The chart below summarizes consensus ratings of the stock’s dividend grades and compares them to the sector median. As seen, PM’s dividend yield across all metrics receives an A…
Palto/iStock via Getty Images Investment Thesis fuboTV Inc. (NYSE:FUBO) was once a high-flying stock with a massive shareholder following. Today, it’s a shadow of its former self. And even though the stock is down significantly from its all-time highs, I argue that not only is this stock not undervalued, but it’s actually likely to sell…
bjdlzx Thesis We wrote last August about the exchange traded Invesco S&P 500® Equal Weight Energy ETF (NYSEARCA:RSPG), touting it as an excellent choice to obtain a cross-sectional exposure to U.S. oil and gas, in an environment where tech was the favorite trade. Our original article highlighted how RSPG was unique in offering equal weight…
J Studios Investment Thesis BigBear.ai Holdings, Inc. (NYSE:BBAI), which provides advanced analytics solutions and AI, is overvalued. To further confound matters, I believe that in the next twelve months, BigBair.ai will be forced to raise funds by diluting investors. Ultimately, I contend that over the next few quarters, investors will look back to BBAI at…
JHVEPhoto/iStock Editorial via Getty Images Business Overview I initiated coverage of Charles Schwab (NYSE:SCHW) in August of 2023 with a Strong Buy rating at the price of $56.46. Schwab has outperformed the S&P since, posting a 25% total return vs. 16% from the index. Historically, Schwab has outperformed the wider index marginally and industry peers…
Dilok Klaisataporn AGNC Investment Corp. (NASDAQ:AGNC) and other mortgage REITs with considerable investments in rate-sensitive mortgage-backed securities were expected to be the beneficiaries of the Federal Reserve’s rate pivot in FY 2024. With inflation for the month of March coming in hotter than expected on Wednesday, the market is adjusting its expectations for cuts to…
nipastock/iStock via Getty Images GWW Will Hold Its Ground I discussed W.W. Grainger (NYSE:GWW) in the past, and you can read the previous article here, published on November 5, 2021. Since then, the company has strengthened its infrastructure, manpower, and customs capabilities. It has improved the MonotaRO online channels in the US and Japan and…
Sundry Photography With the S&P 500 continuing to show no slowdown in momentum, there’s a growing argument to be cautious with our portfolios. I have more than 30% of my holdings socked away in short-term bonds and cash, waiting for a better time to deploy the capital back into equities: and within the stocks that…
Andrii Yalanskyi/iStock via Getty Images This is my sixth Catalyst (NASDAQ:CPRX) article. I rated it as a tepid “Buy” in my most recent 07/2023’s “Catalyst Pharmaceuticals: A New Catalyst Tilts The Scales – Just Barely” (“Just Barely“). Since Just Barely, Catalyst has performed well, up ~20%. The thesis of Just Barely pegged Catalysts as a…
FabioFilzi Shares of Devon Energy Corporation (NYSE:DVN) are in a big uptrend as demand for U.S. shale oil is increasing and WTI petroleum prices have risen to the $85 per barrel price level as a result. Devon Energy has seen strong free cash flows throughout FY 2023 and the price outlook, given the war in…
a40757/iStock Editorial via Getty Images Dear readers/followers, I have been rating Handelsbanken (OTCPK:SVNLF) (OTCPK:SVNLY) a “BUY” for some time as I am writing this article. The last I wrote about the company was actually back in September of 2023 in this article which you can find here. At the time, results showed expected improvements due…
CuorerouC/iStock Editorial via Getty Images Since early March 2022, our team has had a long-standing buy rating on Ferrari (NYSE:NYSE:RACE). With a publication called Ferrari To RACE Again, we recorded a triple-digit stock price appreciation (Fig 1). In 2024, we were also expecting an Outperformance, but we believe the company’s valuation isn’t attractive. While we…
Monty Rakusen Dear readers/followers, If you’ve followed my work to any extent over the past few years, you know that I’m a big investor in many areas that other investors shun – one of them is cyclical commodities, including metals – both precious and semi-precious. Copper is one of them. I invest both In European…
Monty Rakusen/DigitalVision via Getty Images Thungela Resources Limited (OTCPK:TNGRF) is a South African coal mining company with an alternative listing in the United States. We’ve covered the stock extensively over the past few years, delivering opinions on its prospects throughout the economic cycle. Today’s article provides an updated outlook on Thungela’s prospects. We last covered…
Michael M. Santiago Introduction Recently, I have been writing a lot about macroeconomics. This has always been an area of study for me, but shifting my attention away from exchange-traded products (“ETP/s”) has changed my outlook on products I have previously recommended, like the iShares 0-3 Month Treasury Bond ETF (NYSEARCA:SGOV). For those who are…
Renata/iStock Editorial via Getty Images Dear readers/followers, It’s time to update on a company that I have not written about for almost 1.5 years. In this case, I’m talking about Oshkosh (NYSE:OSK), where my last article was published back in September of 2022. You can find that article here, and the article came with a…
JHVEPhoto Shares of Chubb (NYSE:CB) have been a solid performer over the past year, rising 36%, and currently sitting near an all-time high as strong underwriting and elevated rates have combined to support strong profitability. Since rating shares a strong buy in October, shares have largely kept pace with the market rally, returning about 20%….
ipopba Investment Thesis In simple terms, Dynatrace, Inc. (NYSE:DT) detects issues, optimizes performance, and minimizes downtime for applications. The bull case points to the fact that Dynatrace is highly profitable with 5% of its market cap made up of cash and no debt. However, the bear case here points to the fact that its valuation…
gorodenkoff/iStock via Getty Images Summary Readers may find my previous coverage via this link. My previous rating was a buy, as I believed Endava Plc (NYSE:DAVA) would see its valuation rerate upwards to the historical average as the business continues to grow. My underlying belief was that IT spending should recover as the macro environment…
Nastco Main Thesis & Background The purpose of this article is to evaluate the PIMCO Income Strategy Fund (NYSE:PFL) as an investment option at its current market price. PFL is a closed-end fund whose investment objective is to “seek high current income, consistent with the preservation of capital”. I wrote about PFL roughly a year…
FG Trade Investment Thesis StoneCo’s (NASDAQ:STNE) Q4 2023 results took investors by surprise. It certainly took me. I was looking at StoneCo as a fintech and valuing it as such. But with time, StoneCo has become more of a bank with associated credit risk and less of a fintech. On the surface, the stock appears…
Suphanat Khumsap/iStock via Getty Images The disruption in liquefied natural gas, or LNG, markets in 2022 stemming from Russia’s invasion of Ukraine caused LNG shipping prices to increase. Higher rates allowed FLEX LNG Ltd. (NYSE:FLNG) to secure higher long-term charter rates for its vessels. Company Profile: Flex LNG Ltd. is an LNG shipping company with…
Just_Super Summary Following my coverage on Thoughtworks (NASDAQ:TWKS), which I upgraded to a buy rating as I thought the business was executing much better than expected – as seen from how they changed their strategy to adapt to the macro environment – this post is to provide an update on my thoughts on the business…
Andrew Burton Downgrade to hold Readers following our articles know that we have been bullish on Alibaba (NYSE:BABA) in the past 1~2 years. Well, this update is our throw-in-the-towel article. In the remainder of this article, we will detail why we’ve changed our mind and downgraded the stock to a HOLD after weighing several factors,…
YaroslavKryuchka/iStock via Getty Images Investment Overview Back in November 2020, in a post for Seeking Alpha, I gave STAAR Surgical Company (NASDAQ:STAA) (“STAAR”), a manufacturer of intraocular lenses for patients seeking refractive vision correction, a “buy” rating. This was despite noting that, by most investment metrics, its share price looked significantly overvalued. The company’s biggest…
eyewave Investment action I recommended a buy rating for Nestle (OTCPK:NSRGY) when I wrote about it the last time, as I believed in the value of its famous brands that have strong equity value. I also believed that an improvement in volume and gross margin would drive the share price up in the near term….
ridvan_celik One of the best feelings in the world is seeing an opportunity that you were very bullish about appreciate materially in a rather short window of time. Last year, because of the plunge in financial stocks that came about because of the banking crisis, I found myself gravitating toward banks of all shapes and…
awiekupo/iStock via Getty Images Strapped for cash, what now? I have been bullish on Albemarle (NYSE:ALB) at these prices even though it continues to go through a cycle of weakness. I am downgrading this to hold and have reduced my share count while I wait to see if the company can pivot to positive free…
undefined undefined Investment action I recommended a buy rating for Mister Car Wash’s (NYSE:MCW) when I wrote about it the last time, as the upside potential remains attractive if MCW is able to execute its upsell growth strategy. Based on my DCF model, I thought the stock was worth $8.80, which the stock had touched…
opolja RingCentral (NYSE:RNG) is a cloud-based platform offering business communication solutions like phone systems, video conferencing, team messaging, and contact centers. I have analyzed RNG on two occasions. My first buy recommendation resulted in a successful 50% gain. However, a second buy recommendation made during the pandemic proved only partially correct. The initial coverage price…
champc Introduction I’ve written three articles on SA about industrial equipment company TerraVest Industries (OTCPK:TRRVF) (TSX:TVK:CA), the latest of which was in August 2023 when I said the Q3 FY23 financial results were disappointing, and that the valuation was starting to look stretched. In my view, the Q1 FY24 financials were strong thanks to recent…
Nikolay Amoseev I upgraded e.l.f. Beauty (NYSE:ELF) to “Buy” back in December, saying that estimates were too low for the company. I originally placed a “Buy” rating on the stock in February 2023, before taking it “Hold” after a strong run-up in the stock price. With the stock up over 50% since my last upgrade,…
Drew Angerer Investment Thesis There’s the realization that Twilio’s (NYSE:TWLO) days as a growth business are now in the rear-view mirror. A lot of people reached out to me that I called Twilio wrongly. This is true. Absolutely and undeniably so. What a lot of people appear to get confused with, is that in this…
Michael Vi The 2023 form 10K SEC filing is out for Palantir Technologies (NYSE:NYSE:PLTR), and I am seeing some very interesting data points converging into a paradigm shift for the company. Q4 was a solid quarter that gave us a lot of hints and insight into what the future holds for Palantir. I have covered…
Justin Sullivan Last week, one of the great growth stories of our time continued when NVIDIA Corporation (NASDAQ:NVDA) reported its fiscal fourth quarter results. The chipmaker has seen its Data Center business soar thanks to a boom in accelerated computing and generative AI, sending shares to new heights. At this point, however, things are looking…
Photofex/iStock Editorial via Getty Images In September 2022, I put a buy rating on Embraer (NYSE:ERJ) stock and that rating has worked out quite well so far as the stock has appreciated 72% compared to a 25% gain for the broader markets. Since my last report, in which I marked ERJ stock a strong buy,…
LIONEL BONAVENTURE/AFP via Getty Images Meta Platforms’ (NASDAQ:META) (META:CA) stock has been on a bull run over the past year, as it delivered strong advertising revenue growth, and the company’s ‘Year of Efficiency’ paid off. In the previous article, we discussed how Meta’s AI initiatives are promising sources of growth, with the company benefitting from…
ryasick Shares of Hercules Capital (NYSE:HTGC) reached a new 1-year high on Friday after the BDC reported record total investment income for FY 2023 and beat consensus estimates easily. Before earnings the BDC also announced the payment of a cumulative $0.32 per-share in supplemental dividends which will be distributed to shareholders in equal installments of…