Category: Investment News

Let’s play a game… When you look at these 10 companies, what first comes to mind? American Airlines AT&T Goldman Sachs Ford Motor Co. Boeing Wynn Resorts Walgreens Allstate Kraft Heinz Wells Fargo If you associate these 10 companies with the S&P 500, you’re correct — each is included in the world’s most watched and owned stock index. And if you said “household names” — correct there, as well. These are global giants with name recognition the world over. But if “high-quality” came to mind, that’s where I’ll stop you. Because, according to my stock rating model … each of[…]

I’ve got nothing against passive investing — putting your money in an S&P 500 Index. Because over time, you’ll outperform 90% of professional investors. And that’s why trillions of dollars of investor money continues to flow into index funds. (I talked about this in my podcast here.) And it’s not all the stocks in the S&P 500 that money is flowing into. The majority of those trillions are buying the largest cap stocks such as Apple, Microsoft, Amazon. While most of the money is flowing into large caps, the big returns are in microcaps. Microcaps — companies with market caps[…]

It’s the big Tesla question: Are you a bull or a bear? The stock fell more than 10% last week. The company slashed prices on its electric vehicles (EVs), and now recently raised prices on its luxury models (Model S and Model X). But ARK Invest’s Cathie Wood just announced her new TSLA price target: $2,000 by 2027 — 10X. So what’s our outlook for the world’s biggest EV maker? [See it here: 1:15] One thing is certain. In this world of Alexa devices, ChatGPT, self-driving semitrucks, and robo-taxis— artificial intelligence and automation are not just the future. It’s the[…]

China is in hot water. This isn’t political. It’s not entirely economic either. It’s mainly demographic. China’s population has declined since last year, by about 850,000 people … or roughly the entire population of Indianapolis. And it’s projected to shrink a lot more. This affects the size of its workforce and its position as a global manufacturer. And it also affects the U.S., as American companies continue to nearshore their manufacturing facilities. In today’s episode of The Banyan Edge Podcast, Ian King and I explain how China got to this point, what this means for the country’s economic growth and[…]

It’s the kind of thing that happens when investors get lazy… They invest in businesses they don’t understand. They jump on the bandwagon. And soon, they’re riding right past some of the biggest bargains in today’s stock markets. 2022’s bear market has offered us some of the best bargains we’ve seen in years. Thanks to index funds, which invest in the biggest companies and overlook everything else. I spoke about this topic in my recent interview with Josh Young, chief investment officer and founder of hedge fund Bison Interests. In 2021, Josh’s fund returned 390% … investing where the index[…]

Buying a house and buying a stock have one key thing in common: You must know what you’re getting, and whether or not the price you pay is fair. To judge the quality of a house, you have to know about the location … the layout and square footage … and if there are any “landmines” waiting for you. That’s why you get an appraisal and a thorough home inspection. Of course, with both stocks and houses, there are a trove of “intangibles,” which make it difficult to know precisely the quality of the asset. And that’s before you can[…]

Adam O’Dell believes stocks priced under $5 can deliver the biggest gains in the stock market. It’s a bold claim, so I’ve been putting it to the test. Yesterday in Stock Power Daily, I looked at the reasons why that could be true. And they all come back to the SEC’s $5 Rule. Large investors typically can’t trade stocks trading under $5 a share. They may want to, but different rules can prohibit them from buying. That means individuals can dive into these stocks and expect rapid gains once the price crosses $5. Adam’s logic is sound. So, I turned[…]

To most traders and investors, CEOs are like lightbulbs… You unscrew one, and you put in another. They are interchangeable. Boy, do they have it wrong. And I’m glad they do. This gives us a huge advantage. Time and again we’ve seen great CEOs take businesses from worst to first. And make shareholders a lot of money along the way. I make it a point to fill our portfolio with rock-star CEOs. In fact, if there was a CEO hall of fame, I’d betcha many of them would be inducted in the first round. Because most of the time, it[…]

The labor market is tight, with about two job openings for every one applicant. While there are signs that retail, food and energy prices are lowering (slightly), inflation is still an ongoing battle for the Federal Reserve. In this economy, it pays to be as prepared as possible. So today, Amber and I want to make sure you know about professional trading tools that can help you take the guesswork out of trading safely and successfully, and help you protect your investments. I use one in particular across my financial services, like Strategic Fortunes. This system can alert you to[…]

It’s not too often that the everyday investor holds an edge over the multibillionaires who move markets on a whim… But Adam O’Dell has uncovered just that edge. Due to an obscure SEC rule established a century ago, large institutions are effectively barred from trading a strange subclass of high-quality stocks. For everyday investors, though … it’s open season. That’s why today, I got Adam on the horn to talk about this underestimated sector of the market that could offer 500% profits — if not more — in 2023. Adam’s new trading strategy has helped him create a list of[…]