J Studios 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…
Unlock the Editor’s Digest for free Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. Businesses have rushed to tap lenders in the $10tn US corporate bond market this week, taking advantage of feverish investor demand and low borrowing premiums to issue swaths of new debt. High-yield or junk-rated companies…
Thomas Barwick Investment Thesis In one of my previous articles, I made the analogy that the stock market is like a manic depressive friend who is usually high functioning but who occasionally goes off their meds and gets either irrationally exuberant or depressed in their valuations of companies. The latter of the two scenarios has…
Morsa Images By Charlie Choi & Samuel Wilamowsky US housing has weathered surging mortgage rates. Thin inventory and pent-up demand could create opportunity. The US housing market continues to defy traditional notions about rising rates. Across much of the US, prices have been resilient, even as mortgage rates have climbed to 20-year highs. For those…
tum3123 Emerging market (EM) corporate bonds are too often overlooked by investors who presume the asset class is too niche or too risky. But the aggregate fundamentals of EM corporates are stronger than those of their developed market counterparts. For example, EM corporate net leverage ratios are significantly lower than those of US corporates, while…
hapabapa Intel Corporation (NASDAQ:INTC) delivered a decent earnings sheet for the first fiscal quarter that beat earnings consensus estimates, but that also showed a drop-off in revenues in the company’s core Client Computing Group. Intel unfortunately also presented a weak outlook for the second fiscal quarter, which explains Intel’s sharp drop after earnings. After Intel’s…
DNY59 JEPI ETF: upgrade from Hold To Buy I last covered JPMorgan Equity Premium Income ETF (NYSEARCA:JEPI) back in September 2023 (see the screenshot below). In that article, I rate the ETF as a hold due to the following considerations: I don’t see the current environment as a good setup for covered-call strategies in general,…
Daniel RIFFET/Photononstop via Getty Images For many years, the price of cocoa drifted in a relatively well-defined range. As late as 2020, I wrote about trading that range from my perspective as a cocoa permabull. Unfortunately, liquidity in the iPath® Bloomberg Cocoa Subindex Total Return(SM) ETN (NIB) dried up over time, and NIB was finally…
gerenme People see and hear what they want. While Powell spoke softly at Wednesday’s press conference, the message was that rate cuts will take longer to come by in 2024, and longer will mean fewer rate cuts. Powell has never been one to speak with harsh words. On top of that, market mechanics give this…
jgroup/iStock via Getty Images Investing is more art than science, i.e., mathematical models. The last 70yrs experts have tried to convince investors and themselves that Modern Portfolio Theory operated by computers produced the highest returns over time. Today, an overwhelming majority using this tool is still expecting a recession, and some of this is reflected…
JHVEPhoto Shares of Amgen (NASDAQ:AMGN) surged after the company reported first quarter results, but the gain was largely driven by management comments related to the phase 2 trial of the long-acting obesity candidate maridebart cafraglutide (which was previously called AMG133), or MariTide as it is conveniently called. No results were reported, but the comments about…
richcano Love the Fed? That may be too strong a sentiment. But at the very least, the bond market is channeling its inner Dude (as in “The Big Lebowski”) and abiding the Fed. The market had already priced itself out of the multiple rate cut fantasy with which it started the year when the FOMC…
Luis Alvarez Short-term headwinds for stocks I have written a few times recently on the short-term headwinds arising for the stock market following two consecutive quarters of positive price action and what has been a terrific six months for risk assets. Pullbacks and even 10-15% corrections are a normal part of bull markets, and when…
courtneyk Wednesday’s Fed decision was largely unsurprising. But the most important data point of the day came long before the Fed decision. The latest JOLTS report showed the lowest levels of quits since early 2018 when Core PCE inflation was around 2%. This is an interesting data point because the quit rate has tended to…
pcess609 Introduction There is an emerging trend to focus on investing companies that perform well on environmental, social, and governance (ESG) criteria. Not only does ESG investing offer investors the opportunity to positively impact the environment and society, investors also believe companies that are better prioritized towards ESG are likely to be less risky, more…
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…
Samuel Corum The FOMC meeting in May may prove to be a pivot point yet again for a Fed that has struggled to find its way over the last few months and, for a time, appeared to lose control of the market and its battle against inflation. However, with three hot CPI prints in a…
PM Images The PIMCO High Income Fund (NYSE:PHK) is a closed-end fund that income-focused investors can employ as a means of achieving their goals. This seems only logical given that the name of the fund strongly implies that its intent is to provide its shareholders with a very high level of current income. The fund…
shulz The data in the article below is sourced from Lipper’s Global Fund Flows application. GFF can be found on LSEG Workspace (“FundFlows”). During LSEG Lipper’s fund-flows week that ended April 24, 2024, investors were overall net purchasers of fund assets (including both conventional funds and ETFs) for the first week in three, adding a…
PM Images The BlackRock Limited Duration Income (NYSE:BLW) is a closed-end fund that income-focused investors can employ as a method of achieving their goals. As is the case with most fixed-income funds, this one has a reasonable 9.53% yield at the current price. This yield is reasonable, but unfortunately, it does not compare very well…
Gary Yeowell Tesla, Inc. (NASDAQ:TSLA) announced its financial results for Q1 2024, and in this article, I review the results in light of the framework I laid out in my earnings preview titled, “Tesla’s Q1 Results Will Be Riveting, But Let’s Focus On What Matters,” in which I recommended investors to Hold Tesla stock into…
Editor’s note: Seeking Alpha is proud to welcome Tomas Cverna as a new contributing analyst. You can become one too! Share your best investment idea by submitting your article for review to our editors. Get published, earn money, and unlock exclusive SA Premium access. Click here to find out more » Richard Drury/DigitalVision via Getty…
kokouu/E+ via Getty Images Camtek (NASDAQ:CAMT) is an Israeli company that designs and manufactures high-end inspection and measurement equipment for semiconductor businesses. As such, 84% of its revenues as of FY 2023 have come from China, Taiwan, and South Korea, three countries where semiconductor productions are concentrated. CAMT went public in 2000 at $6 per…
JHVEPhoto Aritzia’s business fundamentals have improved since my previous analysis in March 2023 and its 2027 expansion plan is being well executed so far. I will evaluate in more details below how Aritzia has performed financially and in each of Aritzia’s core strategies in the past year. However, Aritzia’s valuation has declined significantly by over…
J Studios Introduction I have often found that high-quality stocks, despite appearing expensive relative to peers of lower quality, nevertheless keep outperforming by a significant margin. In this context, while evaluating a gold miner, high quality can relate to many different aspects. For example, the asset itself could be superior, because of its overall size,…
shayes17/E+ via Getty Images Introduction This article updates my outlook for 2024 with the latest Momentum Gauge® signals and a revisit of the January Investing Experts Podcast interview with Rena Sherbill at Seeking Alpha. This past April 2nd marked an early negative Momentum Gauge® test signal followed by an official negative daily signal on April…
KanawatTH/iStock via Getty Images The following segment was excerpted from this fund letter. Converge Technology Solutions (OTCQX:CTSDF, TSX:CTS:CA) “If you’re going to invest in stocks for the longer term, there are going to be periods when there’s a lot of agony. I think you just have to learn to live through them.” -Warren Buffett Converge…
gopixa Finding income in the current market is more difficult. With prices still high even though the rate of inflation has come down and many leveraged funds focused on income struggling with rates up, dividend and income investors are having a harder time in the economic environment. An increasingly common investment that is focused on…
belterz/E+ via Getty Images Last night, Israel attacked Iran’s territory directly. This is the second major escalation of what has been a mostly covert international confrontation between Israel and Iran. But now, Iran has launched an attack on Israel from its territory and vice versa. Luckily, the limited nature of the Israeli attack appeared to…
Paper Boat Creative Quant Investment research and stock picks come from many places, but not all resources are created equal. Computer-driven strategies – the power of quantitative analysis and collecting and analyzing numerical data in a fraction of the time – offer investors the opportunity to instantly evaluate stocks to help avoid companies with poor…
This article is written in partnership with Unchained, the official US Collaborative Custody Partner of Bitcoin Magazine and integral sponsor of related content published through Bitcoin Magazine. For more information on services offered, custody products, and the relationship between Unchained and Bitcoin Magazine, please visit our website. Bitcoin tumbled below $60,000 over the weekend, fueled…
gyro/iStock via Getty Images By Alex Cousley, Makiko Hakozaki Japan has had two big moments in the last month, with the Nikkei 225 equity index breaking above the highs set in 1989, and the Bank of Japan (BoJ) raising interest rates for the first time in 17 years. We think that the Japanese economy is…
brightstars A “Buy” rating for Fortitude Gold Corporation This article upgrades the rating on Fortitude Gold Corporation (OTCQB:FTCO) stock to a “Buy” rating from the “Hold” rating in the previous analysis in early December 2023. Retail investors were suggested to remain anchored to gold prices through FTCO as gold prices and FTCO share prices are…
malerapaso Today’s article is supposed to provide an updated analysis of the AdvisorShares Focused Equity ETF (NYSEARCA:CWS), an actively managed vehicle that I previously covered in August 2023. In the review, I would like to pay special attention to the changes its portfolio has undergone since then and how they have impacted the factor story,…
Kardd/iStock via Getty Images Listen below or on the go on Apple Podcasts and Spotify Further conflict could boost oil prices and keep U.S. inflation high. (0:16) Netflix highlights earnings this week. (2:57) Piper Sandler picks Triple Select Stocks. (3:30) The following is an abridged transcript: Geopolitics will be top of mind for the markets…
coldsnowstorm/E+ via Getty Images Incumbent U.K. telecom operator BT Group (OTCPK:OTCPK:BTGOF) has continued to frustrate, with the shares delivering a modest mid-single-digit loss since my last piece on the company in September. With BT already one of the cheapest names in its peer group, underperformance versus other European telecoms in that time is particularly disappointing….
Torsten Asmus Listen below or on the go on Apple Podcasts and Spotify Yimin Xu of Cestrian Capital Research on past easing cycles, strong economic data and Fed rate cuts (0:40). Sticky inflation and bond market equilibrium (2:30). Attractive 10-year yields (5:00). This is an abridged conversation from Seeking Alpha’s Investing Experts podcast. Transcript Rena…
tadamichi What is driving this stock market melt-up that is not underpinned by extraordinarily strong fiscal flows and runs in the face of the usual seasonal patterns? The table below shows the US sectoral balances up to the last month. The information is prepared from the US national accounts. US Treasury and Author calculations In…
Alistair Berg/DigitalVision via Getty Images Investment Overview Redwood, California-based Revolution Medicines (NASDAQ:RVMD) IPO’d in February 2020, raising ~$238m via the issuance of ~14m shares priced at $17 per share. Across the past 4 years, although none of the specialist drug developer’s active programs have progressed beyond the Phase 1 clinical study stage, Revolution’s share price…
Colin Anderson Productions pty ltd Following a bullish six months, Q2 has got off to a less impressive start and change is in the air as “higher for longer” expectations for rates are finally having an effect. The S&P 500 (SPY) has broken the trend support in place for over two months and has already…
Douglas Rissing Thesis On April 10 the March 2024 CPI data was released, numbers which came in higher than expected, triggering a red day in equities and a massive rally in bond yields. Sticky inflation has been a problem for the Fed, who might be forced down the line to make 3% the new long…
Alexandros Michailidis Investment thesis My previous bullish thesis about Pfizer Inc. (NYSE:PFE) from October 2023 did not age well, as the stock delivered a -10% total return over the last half-year, substantially lagging behind the broader market. Despite it, today I want to reiterate my bullish thesis because recent developments suggest that the business continues…
hirun Summit Midstream Partners (NYSE:SMLP) is a company we discussed recently as a valuable investment, with a strong portfolio of assets. However, we also highlighted the company’s debt load as a risk. Since then, the story has changed. The company announced the sale of its Utica shale midstream assets for $625 million to longtime partner…
Trevor Williams Navigating market highs and (avoiding) value traps Last quarter, the S&P 500 Index hit a new high every month, as did each of our U.S. Funds. In March, I wrote a piece for our website discussing why new highs are important to us. On one of the recent new high days, I heard…
Colin Anderson Productions pty ltd Listen below or on the go on Apple Podcasts and Spotify Jamie Dimon casts doubt on a soft landing, says AI akin to the steam engine (0:16) Stocks face trouble if the 10-year hits 4.8%. (2:21) How fast could a Tesla Robotaxi hit the road? (4:42) This is an abridged…
travelism/E+ via Getty Images Investment Thesis Vanguard Communication Services ETF (NYSEARCA:VOX) warrants a buy rating due to the strong potential for its top holdings to outperform the market overall. Technological advances for Meta Platforms, Inc. (META) and Alphabet Inc. (GOOG) (GOOGL), as well as expected growth for streaming services, will drive strong returns for VOX…
RichVintage/E+ via Getty Images It finally looks like the AI boom in investor buying of semiconductor equities is ready to roll over into a stretch of selling. Why? Sure, valuations and pricing have been reaching for ever higher extremes since last summer. My bearish view is an unexpected rise in inflation and interest rates into…
Klaus Vedfelt And wages rose at a good clip too. It was the kind of jobs report we’d expect from an economy that is plugging along just fine, at growth rates that are above the long-run average, powered by consumers outspending inflation with gusto, especially on services, the government spending trillions it borrows hand-over-fist, and…
Klaus Vedfelt One of the big lessons from the 2010-2020 environment was that headline payrolls could increase substantially without putting upward pressure on inflation. This can be confusing because there’s often an assumption that more jobs mean more demand and higher prices. But it’s more complex than that. Think of it like stock prices. Prices…
kate_sept2004/E+ via Getty Images March nonfarm payrolls printed a strong +303,000, significantly above the +214,000 consensus forecast, though it was not far from in line with the whisper number due to the strength in ADP Private Payroll report back on Wednesday. The 303k figure was the strongest monthly employment climb since May 2023, while February’s…