101cats/iStock via Getty Images Introduction GameStop (NYSE:GME) has seen an 80% rally in the last 5 days, with a massive jump after a tweet from its prolific investor Keith Gill, or Roaring Kitty as he is known on the internet. I wanted to look at the company’s performance throughout 2023 and see if it is…
zhengzaishuru Oil prices have wavered recently. Tensions in the Middle East, for now, have ebbed, resulting in a pullback in what had been a strong rally year to date in WTI. Now under the $80 per barrel level, there is not much action in the oil space. What has been stealthily on the rise, however,…
Yauhen Akulich/iStock via Getty Images In the context of where Treasury rates have been in the last fifteen years, the current >4.5% for longer-duration bonds might seem attractive enough to lock in via a vehicle like the SPDR Portfolio Long Term Treasury ETF (NYSEARCA:SPTL). But unlike individual bonds that can be held to maturity and…
yalcinsonat1 By James Knightley | Padhraic Garvey, CFA | Chris Turner Fed keeps rates at 5.25-5.50% As universally expected, the Federal Reserve has left the Fed funds target rate range at 5.25-5.50%. The decision was unanimous and was made pretty easy, given inflation continues to run too hot for comfort, consumers are still spending strongly,…
champpixs Almost a year ago, I penned a draft for Upstart (NASDAQ:UPST) titled: Upstart: Too hard basket until interest rates turn. I had expected the nearing quarterly report to be negative, but instead it was very positive, and instead I completely rewrote the article as “A leaner Upstart can grow from here” and rated the…
undefined/iStock via Getty Images Introduction At the end of 2023, Seapeak owned an “average” 21 LNG carriers and 21 NGL carriers on a consolidated basis throughout the year. I was mainly interested in the LNG vessels as the sole reason to have a long position in Teekay LNG Partners. I also owned the preferred shares…
Liuhsihsiang Uncertainty has been a watchword in the manufacturing space for a while now, and the results at Hurco (NASDAQ:HURC) certainly reflect that. When I last wrote about this small manufacturer of machine tools, I was concerned about an ugly near-term outlook for manufacturing tool demand in North America and Western Europe and the likelihood…
bopav Introduction In my quest to find income funds that focus on asymmetric risk and reward situations, I stumbled upon the Defiance NASDAQ 100 Enhanced Options Income ETF (NASDAQ:QQQY). I covered its first 60 days back in November 2023. This article will serve as a follow-up to my previous conclusion, which was: I will try…
ajr_images We previously covered Intel (NASDAQ:NASDAQ:INTC) in January 2024, discussing why the stock’s embedded growth premium offered a minimal margin of safety, with the underwhelming forward guidance bringing forth the sobering correction in its stock prices after the recent earnings call. While some might opt to view the management’s forward commentary as a kitchen sink…
Maksim Safaniuk For those who are bullish about oil, 2024 is looking to be a very solid year. Already, Brent crude prices are up 12.1% year to date, while WTI crude prices are up an impressive 15.6%. The most recent move higher was driven by news that, in addition to OPEC+ extending its voluntary production…
Richard Drury We previously covered Opera Limited (NASDAQ:NASDAQ:OPRA) in December 2023, discussing its improved monetization trend and growing ARPU, leading to its strong financial performance in FQ3’23 and raised guidance for FY2023. Combined with the depressed valuations and attractive dividend yields, we had reiterated our Buy rating for the stock then. In this article, we…
tbradford/iStock Unreleased via Getty Images We previously covered McDonald’s Corporation (NYSE:MCD) in June 2022, discussing its inflation-proof and recession-proof prospects during the potential bear market after the hyper-pandemic boom. While we had believed its offerings and stock to be highly resilient, the stock had also been overly prudently rated as a Hold then, with us…
Joe Raedle/Getty Images News When investing in stocks, not every investment is working out. But expecting every investment to work out is an impossible standard and to make money as an investor, it is certainly enough when one out of two investments is becoming a success. Especially for long-term investors, it is enough to have…
chinaface/iStock via Getty Images WHD Stays On The Balance In my previous article on September 13, 2023, I discussed Cactus, Inc.’s (NYSE:WHD) business and strategies. Due to the precipitous fall in natural gas prices, WHD faces a relatively uncertain energy market environment. The upstream operators will likely respond with rig reductions, which may weaken the…
Khanchit Khirisutchalual Investment action I recommended a hold rating for N-able (NYSE:NABL) when I wrote about it the last time, as I thought that the stock’s valuation had already priced in the potential upside, given that it was trading at an elevated multiple when compared to peers. Based on my current outlook and analysis of…
Hispanolistic Equity flows have improved in recent weeks. Despite cash continuing to pour into money market funds over the past year-plus, investors are seemingly willing to step out onto the risk curve, putting more liquidity to work into stocks and high-grade fixed-income. That bodes well for asset management firms, but not all of these companies…
Michael M. Santiago A new theme has emerged in the fourth quarter for investors in business development companies: Credit quality. A number of BDCs have disappointed here lately, including Oaktree Specialty Lending Corp. (OCSL) and FS KKR Capital (FSK) whose reports caused a good amount of value destruction for shareholders. Goldman Sachs BDC (NYSE:GSBD) just…
amgun Life is a sort of a debtors’ prison where we are all playthings of fortune ― Smollett Tobias George Today, we put RingCentral, Inc. (NYSE:RNG) in the spotlight. The stock appears cheap by some key valuation metrics, but the shares saw some notable insider selling in February. As can be seen below, the stock…
bymuratdeniz/E+ via Getty Images Investment Overview – Why Protagonist Stock Has Been On Roller-Coaster Ride For Past 3 Years Back in March 2021, I covered Protagonist Therapeutics (NASDAQ:PTGX) in a post for Seeking Alpha, giving the company and its stock a “Buy” recommendation, based on the potential of its lead proprietary drug, Rusfertide, to secure…
Peter Nicholls/Getty Images News Shares of British bank Lloyds (NYSE:LYG) continue to look attractive following the release of Q4 results on Thursday (Feb 22). In my last piece, I highlighted the bank’s compelling capital returns potential, with Lloyds essentially in position to distribute all of its near/medium-term capital generation to shareholders, with this equating to…
HENRY NICHOLLS/AFP via Getty Images NatWest (NYSE:NWG) stock has regained some lost ground since I upgraded it to ‘Strong Buy’ in my last update in October. Shares of the British bank have returned around 37% in that time in USD terms, mapping to around 24ppt of outperformance versus its closest peer Lloyds (NYSE:LYG) and around…
sanjeri One company facing an unusually difficult time right now is Stepan Company (NYSE:SCL). If you haven’t heard of the firm before, it operates as a producer and seller of surfactants, polymers, and other specialty products like those that are found in food and flavoring products. Ever since boasting strong performance for the 2022 fiscal…
Gary Coronado/Los Angeles Times via Getty Images Summary Following my coverage of L’Oreal (OTCPK:LRLCF) last October, for which I recommended a buy rating as the business continued to grow robustly across its product range and operating regions, this post is to provide an update on my thoughts on the business and stock. I believe my…
Phiwath Jittamas Shares of American Healthcare REIT (NYSE:AHR) have seen a successful public debut, as optimism about 2024 interest rate cuts provided some relieve among investors early into the year. While there has been optimism on rate cuts moving down a bit in recent weeks, shares were priced on the lower end of the preliminary…
ryasick Dividends are probably being overlooked by many investors today. Consider that low-yielding Communication Services sector companies are leading the global stock market this year, with gains also seen in the high-growth Semiconductor industry. The Fab 5, Super 6, or whatever you want to call them, it’s clear that a handful of tech-related firms are…
serts Shares of British life & savings giant Legal & General (OTCPK:LGGNY)(LGNNF)(L&G hereafter) have done okay since my last update on the firm in May, with the ADSs delivering a circa 15% total return in that time and more than holding their own against broader European financials. Of course, equities in general have been on…
Justin Sullivan Popular denim maker, Levi Strauss (NYSE:LEVI), reported its Q4 results on Thursday. Despite notable developments such as the announcement of a new global productivity initiative, as well as the official start of Michelle Gass’ tenure as CEO, markets appeared to shrug off LEVI’s report. Shares ended the week largely flat, following swings between…
andreswd Overview My recommendation for Accolade (NASDAQ:ACCD) is a buy rating, as I remain convicted that ACCD can grow 20% in FY25, driven by a strong core demand, health care plan strategy, GLP-1, and elevated demand for expert medical opinion. Note that I previously rated buy rating for ACCD as I expected ACCD to continue…
jxfzsy By Doug Young Offshore Chinese stocks may not be getting off to the best start this year, but don’t blame it on the regulators. China will “steadfastly promote the opening of China’s capital market and work together with all parties to further improve the overseas listing mechanism,” Fang Xinghai, a vice chairman of the…
tupungato Investment Thesis Hertz Global Holdings (NASDAQ:HTZ) faces a bumpy road ahead after its ambitious push into electric vehicles failed to gain traction. Selling off nearly a third of its EV fleet represents a drastic reversal from previous pronouncements that “EVs are now mainstream.” Financial damage has already emerged through higher expenses and impairment charges….
cemagraphics The worldwide Purchasing Managers’ Index (PMI) surveys compiled by S&P Global Market Intelligence indicated a further deterioration of global trade in December, thereby extending the sequence of decline to 22 months. The rate of contraction remained moderate, despite picking up from November, with the seasonally adjusted PMI New Export Orders Index posting 48.3, down…
Spencer Platt The Health Care sector was one to generally avoid in 2023. Unless you were significantly overweight (no pun intended) in shares of Eli Lilly (LLY) and Novo Nordisk (NVO), it’s probable that you underperformed the S&P 500 given the Health Care Select Sector SPDR ETF’s (XLV) weak returns. Has the tide turned in…
seraficus For most of 2022 and 2023, investors avoided REITs due to rising interest rates. As a result, allocations to REITs dropped to their lowest levels since the great financial crisis and with that, valuations also became heavily discounted: Bank of America REIT valuations are historically low (Principal Asset Management) But here’s my important warning…
Justin Sullivan Since I placed a buy rating on PG&E (NYSE:PCG) stock in February 2022, the stock has risen 59.6%. My thesis, expressed in May 2022, was that wildfire safety improvements that followed the 2019 bankruptcy filing were not being fully appreciated by the market. Since then, the Northern California electric and gas utility has…
Hispanolistic/E+ via Getty Images Investment thesis Our current investment thesis is: Upbound has the potential to be highly lucrative, owing to its FCF yield of ~15% and consistency of FCF generation. This said, we believe there are material concerns as to its commercial attractiveness relative to the wider industry, illustrated by its poor organic growth…
phive2015 Investment Thesis Lamb Weston’s (NASDAQ: NYSE:LW) revenue growth should benefit from moderating volume decline in the coming quarters as the company laps the divestiture of lower-performing product lines and businesses which began in Q2FY23. Moreover, channel destocking in international markets is also near completion, which should also give a boost to volumes. In addition,…
onurdongel Summary In my coverage of Planet Fitness (NYSE:PLNT), I recommended a hold rating due to my expectation that there was concern regarding the extended timeline for store openings. This post is to provide an update on my thoughts on the business and stock. I remain negative on the near-term outlook for PLNT, as the…
Jay Yuno Synopsis Riskified (NYSE:RSKD) is a company that offers software as a service specializing in fraud and chargeback prevention technology, particularly in the e-commerce sector. RSKD’s historical revenue growth has been robust, growing in the double-digit range. However, bottom-line margins are negative, and losses have expanded. These losses were mainly driven by rising SG&A…
JHVEPhoto Historically speaking, I have not been a big fan of the automotive industry. I love certain markets that play to the industry like the automotive retail space, but when it comes to the actual production and sale of automobiles, I see a highly undesirable market. What you have is a relatively slow growing market…
Alexyz3d/iStock via Getty Images Introduction What a week it has been! The S&P 500 rose 2.1%, fueled by the Federal Reserve’s comments that it may start cutting rates this year. This fueled a lot of beaten-down investments, including real estate investment trusts (VNQ) that returned 6.1%, dividend stocks (SCHD) that returned 4.1%, and tech stocks…
AvigatorPhotographer Note: I have covered Borr Drilling Limited (NYSE:BORR) previously, so investors should view this as an update to my earlier articles on the company. Q3 Results In Line With Management’s Projections Last month, leading offshore driller Borr Drilling Limited or “Borr Drilling” reported Q3/2023 results largely in line with recently-lowered expectations. However, revenues of…
tum3123 Each month, I eagerly await the publication of the J.P. Morgan Asset Management Guide to the Markets report. Among the dozens of insightful charts is a look at global stock market valuations. As of the end of November, Emerging Markets feature a dirt-cheap forward price-to-earnings multiple of just 11.6, right near its 25-year average….
Roland Magnusson Breaking news today in the telecom space had traders shifting positions. AT&T (T) announced that it would buy up to $14 billion of cell tower equipment with Ericsson (NASDAQ:ERIC). Shares of the Swedish supplier closed 4% higher on Tuesday while rival Nokia (NOK) suffered a 5% stock price dip. The contract was considered…
MikeMareen Note: Seadrill Limited (NYSE:SDRL) has been covered by me previously, so investors should view this as an update to my earlier articles on the company. Strong Third Quarter Results Last week, leading offshore driller Seadrill Limited or “Seadrill” reported better-than-expected third quarter results with strong profitability and decent free cash flow generation: Company Press…
Halfpoint/iStock via Getty Images Investment Thesis In continuation with our coverage on Primo Water (NYSE:PRMW), we had rated the stock Buy driven by its ongoing transformational shift towards a pure play water solutions company over the past couple of years, improving operational and financial profile along with relative undervaluation. Sentiment was weak heading into Q3…
Stock futures are mixed after the Dow Jones Industrial Average closed its best month in more than a year. On Friday, December 1, US Treasury yields remained without serious changes as investors were looking forward to hearing comments from Federal Reserve Chairman Jerome Powell. The behavior of stock futures this morning is mixed. Yesterday Dow…
JulPo A Quick Take On CoreCard CoreCard Corporation (NYSE:CCRD) reported its Q3 2023 financial results on November 1, 2023, missing consensus revenue estimates. The company provides various payment processing services to businesses and consumers located worldwide. I previously wrote about CCRD with a Hold rating based on a shift in focus from licensing to processing….
Scott Olson/Getty Images News Here’s something puzzling about adidas (OTCQX:ADDYY). The popular German sports products company has seen very muted sales and profits so far this year. But its price is on the rising curve, up by no less than 45% year-to-date [YTD]. Price Chart (Source: Seeking Alpha) Now here’s the real rub. The combination…
Stephen Lam Salesforce (NYSE:CRM) is scheduled to publish its Q3 2023 earnings on November 29th, after the market closes. Despite the persisting macroeconomic pressures and ongoing IT budget optimization cycle, analysts are quite bullish on the upcoming data release, expecting an 11% and 47% YoY growth in sales and earnings, respectively. Personally, however, I warn…
A high-profile situation that eventually led to CZ leaving his role as CEO of Binance has not distracted traders from their interest in Bitcoin. Crypto traders appear to be unbothered about the industry-shaping events of the last 24 hours. On Tuesday, November 21, reports circulated that both Binance exchange and its chief Changpeng “CZ” Zhao…