After a particularly rough fourth quarter in 2018, tech stocks have been staging an impressive recovery so far this year – but Morgan Stanley is warning that, due to bleak growth prospects, lofty valuations and various other potential challenges, tech stocks could be particularly vulnerable when the current market rally starts to peter out later this year. Still, the firm does see some opportunities in the sector. For more, CLICK HERE.
Back in August, the author of today’s article saw a trade opportunity in a giant cable and broadband provider – and since that time, shares of that company have outperformed the S&P 500 by almost 12%. The reason he saw an opportunity in the company, as he explains, is that, while the “market isn’t wrong about the fact that cable customers are choosing to ‘cut the cord’ at a rapid pace… the market is very wrong about… how this is going to impact the cable companies” – and now he is eyeing shares of another undervalued cable and broadband provider. For more, CLICK HERE.
When it comes to finding investment opportunities, one approach is to use the options market and look for options with unusual activity. The author of today’s article notes that “Understanding how a company’s options usually move can prepare you to find moments where they’re making unusual moves. And by looking at options with unusual activity, you can get an idea of where larger investors in the options market are placing their bets.” For more, CLICK HERE.
It’s beginning to look a lot like Christmas… and 2008? The author of today’s article argues that “It really does appear that economic activity is starting to slow down significantly, but just like in 2008 those that are running things don’t want to admit the reality of what we are facing.” For three critical ways he sees the current situation as being “eerily similar to what happened just before and during the last financial crisis”, CLICK HERE.
There’s a problem going on in the markets, warns the author of today’s article. That problem? “Investors are feeling too comfortable and expect the market to trend higher, even though the bottom’s slowly falling out from underneath.” What does he point to as posing the greatest risk today to global corporate earnings – and why does he believe that there’s currently an 80% chance of a global earnings recession by this time next year (a percentage that he expects to only increase from here)? CLICK HERE.
One part of an active first half of 2018 for the cannabis industry was cannabis companies going public. However, as today’s article notes, “Analysts have diverse interpretations of the go-public trend in the marijuana industry. Some see it as a quick cash grab; others perceive it as a sign of consolidation in the industry; and other observers believe it’s a natural result of the maturation of the space.” Why did the heads of some of the largest cannabis companies that IPOed this year decide to do so now – and what’s next for their companies? CLICK HERE.
Low-priced stocks offer smaller investors the chance to not only make a tidy profit (as these stocks can provide the largest short-term gains), but also to acquire a higher share count than they would be able to of large and mega-cap stocks. As such, today’s article highlights five low-priced stocks (trading under $10) with significant upside potential that may appeal particularly to aggressive traders. For these five stocks – including one company the author notes “may be way under the radar, but it has one of the best products imaginable in terms of name recognition” – CLICK HERE.
The top 10 best performing stocks of this bull market have all seen cumulative total returns of at least 10,000% (with the best performing stock seeing a cumulative total return of 39,000%!) – and you have probably never heard of many (or even most) of them. Instead, today’s article notes, “the best performers over the nine-plus years of this bull market have generally been smaller, more obscure companies — in many cases, downright boring ones.” What are these stocks whose growth has been off the charts, even as they have been off most investors’ radars? CLICK HERE.
While Yin Luo of Wolfe Research “doesn’t think that robots will replace money managers soon…he does think that machine learning can give investors an edge” – and in today’s article, an interview with Luo, he shares what his models indicate about the state of the bull market (and the chances of a recession), the risk posed by a trade war, which parts of the market are attractive (and which aren’t), some specific contrarian stock calls, and more. CLICK HERE.
One forecast has business value derived from artificial intelligence hitting $3.9 trillion by 2022, reflecting an annualized growth rate of 40%. For investors looking to capitalize on the AI trend, however, there may be better picks than the stocks they tend to gravitate to for this purpose (the FAANG stocks). The portfolio manager cited in today’s article advocates looking to software companies that have “tremendous expertise in their specific industry, understand their customers’ businesses, and provide highly tailored solutions.” For three such stocks he is highlighting, CLICK HERE.