The US government has started levying tariffs on 1-kilo and 100-ounce gold bars, a decision that could upend long-standing trade routes and disrupt the flow of bullion from Switzerland to the United States.
Funko shares are plunging in Friday trading. The company reported Q2 financial results that missed Wall Street expectations and provided a weak forecast.
Apple Inc. (NASDAQ: AAPL) shares are trading higher Friday continuing momentum after the company announced a $100 billion commitment to U.S. manufacturing and infrastructure.
Last week we witnessed one of the most spectacular debuts of a stock in recent memory. Figma has been quite the phenomenon since its IPO just over a week ago.
A company that generates cash isn’t automatically a winner.
Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand.
Large-cap stocks are known for their staying power and ability to weather market storms better than smaller competitors.
However, their sheer size makes it more challenging to maintain high growth rates as they’ve already captured significant portions of their markets.
Banks use their capital and expertise to help businesses grow while offering consumers essential financial products like mortgages and credit cards. But concerns about loan losses and tightening regulations have tempered enthusiasm,
and over the past six months, the banking industry has pulled back by 6.2%. This performance is a stark contrast from the S&P 500’s 5.2% gain.
Even if a company is profitable, it doesn’t always mean it’s a great investment.
Some struggle to maintain growth, face looming threats, or fail to reinvest wisely, limiting their future potential.
Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.
The best-performing stocks typically have robust sales growth, increasing margins, and rising returns on capital,
and those that can maintain this trifecta year in and year out often become the legends of the investing world.
Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street.
Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.
"You get what you pay for" often applies to expensive stocks with best-in-class business models and execution.
While their quality can sometimes justify the premium, they typically experience elevated volatility during market downturns when expectations change.
Banks serve as the backbone of the economy, facilitating lending, deposits, and financial services that keep businesses and consumers moving forward. But worries about an economic slowdown and potential credit deterioration have kept sentiment in check,
and over the past six months, the banking industry has tumbled by 6.2%. This drawdown is a far cry from the S&P 500’s 5.2% ascent.
Expensive stocks typically earn their valuations through superior growth rates that other companies simply can’t match.
The flip side though is that these lofty expectations make them particularly susceptible to drawdowns when market sentiment shifts.
Wall Street’s bearish price targets for the stocks in this article signal serious concerns.
Such forecasts are uncommon in an industry where maintaining cordial corporate relationships often trumps delivering the hard truth.
Megacap stocks dominate their sectors and their actions influence economies worldwide.
The flip side though is that their sheer size means they have less room for explosive growth as scale works against them.
Many small-cap stocks have limited Wall Street coverage, giving savvy investors the chance to act before everyone else catches on.
But the flip side is that these businesses have increased downside risk because they lack the scale and staying power of their larger competitors.
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings.
However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.
"Too big to fail" is how we would describe the megacap stocks in this article today.
While they will likely stand the test of time, it’s not all sunshine and rainbows as their scale can limit their ability to find new sources of growth.
Over the past six months, Palo Alto Networks’s shares (currently trading at $167.03) have posted a disappointing 15% loss, well below the S&P 500’s 5.3% gain. This may have investors wondering how to approach the situation.
Pegasystems has been treading water for the past six months, recording a small loss of 2.7% while holding steady at $50.98. The stock also fell short of the S&P 500’s 5.3% gain during that period.
Over the past six months, Covenant Logistics’s stock price fell to $23.22. Shareholders have lost 13.3% of their capital, which is disappointing considering the S&P 500 has climbed by 5.3%. This may have investors wondering how to approach the situation.
Norfolk Southern has had an impressive run over the past six months as its shares have beaten the S&P 500 by 5.2%. The stock now trades at $280.02, marking a 10.5% gain. This performance may have investors wondering how to approach the situation.
Generating cash is essential for any business, but not all cash-rich companies are great investments.
Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities.
United Rentals currently trades at $857.73 and has been a dream stock for shareholders. It’s returned 373% since August 2020, blowing past the S&P 500’s 89.8% gain. The company has also beaten the index over the past six months as its stock price is up 14.8% thanks to its solid quarterly results.
Industrials businesses quietly power the physical things we depend on, from cars and homes to e-commerce infrastructure. Still, their generally high capital requirements expose them to the ups and downs of economic cycles,
and the industry’s six-month return of 3.7% has fallen short of the S&P 500’s 5.3% rise.
Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages.
Just because a business is in the green today doesn’t mean it will thrive tomorrow.
A company that generates cash isn’t automatically a winner.
Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand.
Fresh Del Monte Produce has had an impressive run over the past six months as its shares have beaten the S&P 500 by 13.9%. The stock now trades at $36.44, marking a 19.1% gain. This was partly due to its solid quarterly results, and the run-up might have investors contemplating their next move.
Over the past six months, Procter & Gamble’s shares (currently trading at $153.55) have posted a disappointing 8.3% loss, well below the S&P 500’s 5.3% gain. This may have investors wondering how to approach the situation.
Wall Street has set ambitious price targets for the stocks in this article.
While this suggests attractive upside potential, it’s important to remain skeptical because analysts face institutional pressures that can sometimes lead to overly optimistic forecasts.
The stocks in this article have caught Wall Street’s attention in a big way, with price targets implying returns above 20%.
But investors should take these forecasts with a grain of salt because analysts typically say nice things about companies so their firms can win business in other product lines like M&A advisory.
