Morsa Images Summary I am positive on CoStar Group (NASDAQ:CSGP). My summarized thesis is that CSGP is seeing very strong growth momentum that should only accelerate from here as the economy recovers and as CSGP closes the Matterport (MTTR) acquisition. In terms of growth, the highlight is Homes.com, which has seen very strong traffic growth…
hapabapa The stock of GE Aerospace (NYSE:GE) is on a wild upswing and received new fuel last week when the aerospace-focused industrial company beat the Street’s estimates easily and raised its forecast for operating profitability in 2024. GE Aerospace profits from order strength from a buoyant airline industry, which is seeing record passengers after the…
ijeab The momentum factor is on track to end April as it began: the strongest year-to-date performer among US equity factors, based on a set of ETFs through Friday’s close (Apr. 26). In line with the broad market, iShares MSCI USA Momentum Factor ETF (MTUM) has taken a hit in recent weeks after touching a…
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…
jeffbergen Investment summary My recommendation for Oracle (NYSE:ORCL) is a buy rating, as I am confident that ORCL can hit its FY26 targets given its solid execution and growth momentum. In particular, leading growth indicators are suggesting growth acceleration ahead. On a relative valuation basis, ORCL also screens really well against SAP, which is trading…
Jonathan Kitchen The first quarter earnings season is on the doorstep. The big banks kick things off on Friday with JPMorgan (JPM), Wells Fargo (WFC), and Citigroup (C) posting profit results. Big tech doesn’t report until later in April. Something to watch for across all sectors is how often “AI” is mentioned on earnings calls….
phive2015 A phenomenal first quarter of performance for the major market averages bodes extremely well for the remainder of 2024. Barron’s indicated that when the S&P 500 rises 10% or more in the first quarter of a year, dating back to 1950, the index has finished higher 91% of the time over the remaining three…
koto_feja After having traded sideways for 4 years, InterDigital’s (NASDAQ:IDCC) stock price has increased by 50% over the last 12 months. Has the stock finally found its inflection point, and will its strong momentum continue, or is it, instead, more likely to trade sideways again for another 4 years? Let’s investigate. Data by YCharts The…
BeritK/iStock via Getty Images In a short space of time, with a much smaller budget, Rumble Inc. (NASDAQ:RUM) claims to have built a mini Google’ in its most recent Q4 2023 Earnings call. It has expanded its portfolio focused on censorship-free content to include video, live-streaming, an advertising centre and since Q1 2024 it is…
Evgenii Emelianov/iStock via Getty Images Investment Thesis Ambarella, Inc. (NASDAQ:AMBA) reported its fourth quarter of FY2024 results and outlook for FY25 in late February, confirming what I believe will be a lackluster first half of FY2025. Ambarella is a relatively small-cap semiconductor company that develops low-power semiconductor solutions offering HD and Ultra HD compression, image…
BlackJack3D Overview I previously rated a hold rating for The Cooper Companies (NASDAQ:COO), as I thought the valuation was too high back then, in July 2023. I believe my call was right, as the stock saw a sharp reversion back to its historical trading multiple of 19-22x forward PE, which led to a sharp reversion…
da-kuk Japan’s private sector picked up growth momentum into the end of the first quarter, according to flash PMI data. This was attributed mainly to faster service sector expansion, though manufacturing output also declined at a slower rate in March. Notably, services new business grew at the quickest pace in nine months, helping to drive…
Sundry Photography 2024 has been another stellar year for semiconductor stocks. But the bullish momentum is not solely focused on chip companies. Firms supplying that AI-fueled niche have taken part in the significant upside so far this year. The broadening global upside trend led analysts at Goldman Sachs to coin “GRANOLAS” stocks (GSK (GSK), Roche…
lechatnoir Investors have been pouring money into US stocks. According to this week’s fund flow update from EPFR, equities received a massive $56 billion influx of capital – that is the biggest inflow since March of 2021, a period marked by intense fiscal stimulus along with an accommodative Federal Reserve. Today, the Effective Funds Rate…
Sorapop/iStock via Getty Images We revisited VanEck Video Gaming and eSports ETF (NASDAQ:ESPO) sooner than we expected to. Blame a pair of seemingly unstoppable stocks that this ETF can own because enough of their business revolves around its target industries. While the ETF is up 12% since our hold rating, versus about half of that…
DINphotogallery Global shipping rates surged at the end of 2023. The Drewry World Container Index (WCI) jumped from under 1,500 to near 4,000 over just a handful of weeks. While there has been a pullback in the composite index of 6% to $3,287 per 40ft container this past week, the index increased by 82% when…
JHVEPhoto A year ago, I made the case for home builder Taylor Morrison Home Corporation (NYSE:TMHC) but waffled on the rating (with a hold) because, at the time, a nascent breakout to all-time highs looked ready for a rest. The breakout soon continued. While TMHC eventually pulled back and tested the breakout point, the stock…
benedek Late winter can be bleak. In addition to dirty snow, and long stretches without public holidays (if you’re an American at least), the optimism that begins with the New Year is tempered by practical realities. Given the German dual ethos of being both practical and realistic, it would be inconsiderate to paint a rosy…
Sergio Delle Vedove/iStock Editorial via Getty Images Since I wrote about the Italian luxury outerwear brand Moncler (OTCPK:MONRF) (OTCPK:MONRY) in October last year, the stock is up by 28%, which flies in the face of my Hold rating on it at the time. Even though the company’s robust revenue growth for the first half of…
shapecharge Early each year, I like to check in on how annuity sales trended for the previous year. Survey says: Another record. According to LIMRA, 2023 marked the second consecutive year of record sales for annuities. The increase was +23% compared to 2022 as retirement numbers continue to show more older workers exiting the labor…
Justin Sullivan Nvidia Corporation (NASDAQ:NVDA) almost closed above a $2 trillion market cap for the first time as the company has regularly touched above it. The company is currently the 4th largest publicly traded company in the world, spitting distance away from Saudi Aramco. We live in a world where Nvidia, once known mainly as…
Marti157900/iStock via Getty Images EZCORP (NASDAQ:EZPW) appears to be undervalued by almost any metric. As growth and momentum continue building, I believe the stock has potential to unlock value and perform a great run in 2024 and 2025, with ~50% upside to the current price by my calculations. The Company Founded in 1989 with a…
da-kuk There will come a point when Technology no longer rules the momentum world in the short term. I actually think we’re pretty close and the long-awaited rotation out of growth indices into value ones will come. But if you disagree, and still want exposure to the Nasdaq as a proxy for growth, the Fidelity…
Isogawyi/Moment via Getty Images Investment Thesis The success of the Invesco S&P MidCap Momentum ETF (NYSEARCA:XMMO) since its Index change on June 21, 2019, strongly indicates the momentum factor has value when applied to S&P MidCap 400 Index stocks. However, it’s essential to understand things were once rocky for this ETF, which is up 17.41%…
Francesco Carta fotografo/Moment via Getty Images Momentum factor strategies aim to overweight securities with strong relative recent price performance based on the idea that in the near term, what is “up will go up.” The Vanguard U.S. Momentum Factor ETF (BATS:VFMO) is an ETF that targets U.S. large and mid-cap Momentum stocks. VFMO is actively…
Clear Secure (NYSE:YOU) is a US-based biometric identity verification company focusing on streamlining airport security. The company’s core offering is CLEAR Plus, a subscription service offering expedited airport security. Beyond airports, CLEAR Verified empowers businesses with identity verification, virtual queuing, and credential validation tools, while their free consumer app offers additional conveniences like health documentation…
pepifoto Are megacap tech stocks eating the world? It sure feels that way, right? The Magnificent Seven US equities continue to power higher, and the exclamation point was made earlier this week when Microsoft (MSFT) topped $3 trillion for the first time. The S&P 500 now has a pair of $3 trillion-sized companies. But what…
Andrii Dodonov By Matthew Norton and Daryl Clements A likely soft landing and rate cuts paint an optimal backdrop for the muni market in 2024. The municipal bond market finished 2023 on a high note and its 2024 prospects look just as promising. Munis whipsawed through sharp monthly selloffs and spikes for most of the…
Dilok Klaisataporn The following is an overview of the market cycle as it stands at the beginning of Q1 2024. We will focus on the core of the cycle—corporate earnings—and work our way out in order to gain a comprehensive view of markets across asset classes. This will help organize our analysis over the coming…
NoSystem images/E+ via Getty Images The S&P 500 is up 10 of the last 11 weeks. The Vanguard Total Stock Market Index Fund ETF Shares (NYSEARCA:VTI) can say the same, though the ETF failed to settle at a fresh all-time weekly high close, whereas the SPX did. VTI’s significant weight in domestic mid-cap stocks, with…
da-kuk The turn of the calendar did not result in high-growth tech stocks and the AI theme taking a back seat to value, as some had suspected. So far in 2024, what worked during the first seven months of 2023, such as the Magnificent Seven and AI equities, has returned to favor. With bitcoin ETFs…
michal-rojek/iStock via Getty Images Avadel Pharmaceuticals (NASDAQ:AVDL) received FDA approval for LUMRYZ in May 2023. Early data suggests the launch has gone well and, prior to this, the company, was loss-making, so as basically a one product company the launch is likely to drive the stock for better or worse. Launch Momentum Is Important A…
gorodenkoff Key Highlights Strategic Refocus towards Core Assets has created a resilient and profitable Portfolio in Key Defense Growth Areas Since the L3 and Harris merger in 2019, L3Harris Technologies, Inc. (NYSE:LHX) has divested c.$2.9bn in non-core assets, latest of which the (pending) $800MM sale of its commercial aviation solutions business announced in November. Simultaneously,…
adventtr/iStock via Getty Images I last wrote about Schrodinger, Inc. (NASDAQ:SDGR) in July; I rated them a hold, saying I was waiting to buy this AI winner. The stock subsequently fell from $47 to a November low of $20.80; it was a good decision, avoiding a fall of 56%. In this article, I will present…
lechatnoir Overview My recommendation for PVH Corp. (NYSE:PVH) is a buy rating, as I like how the business momentum has been so far, especially with PVH meeting internal targets without using too much promotion. This bodes well for 4Q23 performance and FY24 growth. Note that I previously gave a buy rating for PVH, as I…
Hispanolistic The US Dollar Index got off to a hot start in 2024. After falling below the 101 level for a moment during the holidays, the greenback has shot higher, above 102, near a key area of long-term support. Financial conditions loosened substantially from October amid rising stock prices, compressing credit spreads, lower interest rates,…
shih-wei The growth factor sprung back to life in 2023. Morningstar’s Jeff Ptak reports that the right side of the style box easily outpaced the value style last year following 2022’s rout of both large and small growth stocks, particularly those that did not have strong cash flow and robust balance sheets. While many funds…
da-kuk It was a stellar year for tech stocks. The Information Technology sector rose 55% in 2023. Along with the Communication Services and Consumer Discretionary sectors, there were just three S&P 500 areas that beat the overall index. Traditional bank stocks lagged, perhaps underscored by the March 2023 regional banking crisis. Interestingly, intermediate-term Treasury notes…
Wirestock/iStock via Getty Images The AZEK Company (NYSE:AZEK) manufactures building products for industrial and residential markets. AZEK recently announced strong Q4 FY23 and FY23 results. I think AZEK has a strong upside potential due to easing market conditions and low valuation. In addition, its focus on high-margin business can be beneficial for the company. Hence,…
gilaxia Investment Rundown Slight top and bottom line expansions were the tunes that were played during the last earnings report by Climb Global Solutions, Inc. (NASDAQ:CLMB). The company is still quite small in size boasting a market cap of just over $200 million right now. Growth for the stock price has been impressive this year…
jetcityimage/iStock Editorial via Getty Images Costco Wholesale Corporation (NASDAQ:COST) announced fiscal Q1 2024 results that once again beat expectations. Revenue grew 6.2% to $58.8 billion EPS of $3.58 beating by $0.16. Costco remains a non-stop company that continues to expand warehouses all over the world. Comparable sales increased 3.8% YoY, excluding gas and foreign exchange…
denkcreative AppLovin (NASDAQ:APP) reported extremely strong results in the third quarter, which the company attributed to the first full quarter impact of AXON 2. I am still not really sure what to make of this. AppLovin is clearly doing something right, but every adtech company is using machine learning, with any advantage presumably based more…
Wirestock/iStock via Getty Images Intro We wrote about Twin Disc, Incorporated (NASDAQ:TWIN) in May of 2023 after the company’s Q3 results where strong double-digit increases were reported in the quarter. Furthermore, the ability to generate free cash flow in that quarter was replicated in Q4 of fiscal 2023 and Q1 of fiscal 2024. Internally generated…
Jirsak/iStock via Getty Images Investment Thesis I wanted to take a look at Ituran’s (NASDAQ:ITRN) financial health to see if the company is a good investment in the long run. The company possesses really solid financial metrics that I deem to be necessary for a good investment in the long run, coupled with growing subscriber…
Tutye Grifols (NASDAQ:GRFS) is an equity story that we particularly like, and in the past month, there have been two relevant news stories to report. As has often been the case, we believe that sell-side analysts are not looking forward. At the same time, we think this is a relatively attractive and straightforward investment. Grifols’…
skynesher Investment overview My recommendation for PowerSchool Holdings (NYSE:PWSC) is a buy rating with a price target of $32.45. I believe PWSC is able to continue its current growth momentum, supported by strong underlying demand, international expansion, and its product innovation related to AI. All of these should support low-teen top-line growth, in line with…
The consensus within the crypto community is that a green light for a Bitcoin ETF is imminent, with expectations pointing towards an early approval in 2024. Bitcoin (BTC), the world’s leading cryptocurrency has once again captured the financial industry’s attention by surging past the $44,000 price mark, reaching its highest level since April 2022. Bitcoin…
Justin Sullivan Sneaker and athletic-wear retailer, Foot Locker (NYSE:FL), just reported Q3 results that came in above expectations. Prior to the release, shares in FL were down nearly 40% YTD. The stronger than expected showing in Q3 provided some reprieve to shares that have been under heavy pressure all year. In prior coverage following the…
sefa ozel/E+ via Getty Images China’s economy may be slowing, but ZTO Express (Cayman) Ltd. (2057.HK; NYSE:ZTO) still managed to deliver growth in the face of such headwinds, albeit small growth. The company, one of China’s top parcel delivery firms, reported this month that its third-quarter revenue rose 1.5% year-on-year to 9.08 billion yuan ($1.27…
David Gyung FS KKR Capital Corp (NYSE:FSK) demonstrated a robust financial performance in Q3 2023, marked by an increased net and adjusted net investment income (NII), indicating a consistent enhancement in the company’s profitability. There was also a marginal rise in the net asset value (NAV) per share, reflecting the resilience and effective management of…