Today’s article highlights the stock that has beaten “every other company in the Bloomberg World Index of 5,125 stocks.” The stock with this honor? A little-known Peruvian silver miner, Hochschild Mining PLC, which has soared 460% this year. To read more about this stock, the factors that have contributed to its astonishing gains, the company’s shift to a more “boring” strategy going forward, and whether its biggest gains are believed to be in the past or still yet to come, CLICK HERE.
A little coverage can make a big difference. Today’s article highlights the pivotal role that initiation of coverage by analysts plays in a stock’s price movement, pointing out that “stocks typically see an upward price movement with a new analyst coverage compared to what they witness with a rating upgrade under an existing coverage.” The recommended strategy, then? Betting on stocks that have seen a recent increase in analyst coverage. The article goes on to identify five stocks that, based on recent new analyst coverage and improving average ratings (as well as prices and trading volumes sufficient to attract investors), the authors believe are “set to pop”. To see what these five stocks are, CLICK HERE.
With interest rate hike uncertainty, mixed economic indicators and the tightening presidential race among the many issues investors are currently contending with, BlackRock is making the case that investors need to add one more consideration to the mix when it comes to their portfolios: climate change. In a recent report the global investment management firm concluded that “all investors should incorporate climate change awareness into their investment process” and suggested several specific ways to go about doing so. To read more about what the report had to say – including why climate-proofing a portfolio need not necessarily fundamentally change its risk-reward characteristics – CLICK HERE.
Whether an interest rate hike by the Federal Reserve comes as early as this week or – as many are predicting – in December, the Fed will eventually have to raise interest rates. While investors may not be eagerly anticipating this development and its potential dampening effect on the markets, today’s article notes that “some market segments may flourish on the shift in monetary policy.” Specifically, the article looks at potential opportunities in exchange-traded funds, such as ETFs that track the price movement of the U.S. dollar against other currencies and ETFs focused on the financial sector. To read more about why these market segments may thrive with a rate hike, and to see which specific ETFs are highlighted, CLICK HERE.
“Most investors don’t have much – or any – exposure to IPOs (Initial Public Offerings),” acknowledges the author of today’s article before outlining some of the reasons for this. With IPO activity expected to accelerate in the coming months after a major lull in the first half of the year, the author outlines what he believes is the best way for the “little guy” not part of the 1% to play the IPO market – one of two IPO-focused ETFs. For an overview of these two ETFs – including notable holdings, their respective performance since inception and the advantages each has over the other – CLICK HERE.
With yield-starved investors flocking to dividend-paying stocks, the question becomes whether these high-demand stocks are becoming overvalued. While the analysts cited in today’s article acknowledge that some areas of dividend trading are “overcrowded” (e.g. utilities), they argue “there are still significant pockets of stocks with good and growing dividends that haven’t been in as high demand.” To see what areas and specific stocks – from financials to energy to health care and more – they see as offering attractive dividends at modest valuations, CLICK HERE.
When it comes to claiming Social Security before age 70 – which 97% of recipients do – the author of today’s article has the following to say: “I can think of eight reasons for grabbing the money early. Three are smart. Five are dumb.” One “smart” reason for claiming early, according to the author? A couple is using a 66/70 strategy whereby one spouse starts collecting at 66 and the other starts collecting at 70. One reason for claiming early that the author places in the “dumb” category? Doing so because you will be in a higher tax bracket later on. For more on when claiming Social Security before age 70 may be a smart move and when it may not be – and why – CLICK HERE.
In the investment community a “black swan” event is one that is difficult to predict and which has a major effect, and today’s article notes four black swan events – as identified by strategists at French bank Societe Generale – that could disrupt global financial markets. The issue that poses the greatest downside risk to global growth, according to SocGen? Drag created from U.S. and European policy uncertainty, which it places at a 30% chance of occurring. To see what the other three black swan events SocGen has identified are – as well as for the bank’s economic forecasts for the U.S., Euro area and China, and its oil price forecast, CLICK HERE.
Based on data from the end of 1985 on, a team of analysts from Jefferies have found that companies that paid dividends had higher average annual returns than non-payers, companies that reduced their share counts by repurchasing shares had higher average annual returns than those that let their share counts rise or remain the same, and companies that did both – paying dividends and reducing their share counts through buybacks – “outperformed the overall U.S. stock market significantly.” Given this, Jefferies has identified 17 stocks of companies it rates as “buy” that have been both paying dividends and reducing their share counts. To see what these stocks are, as well as their implied 12-month upside potential, CLICK HERE to read today’s article.
The stock highlighted in today’s article may not be anywhere near as well-known as its large, diversified rivals, but it is outperforming all of them – and, as such, it may be worth getting to know! The stock in question is Exactech, an orthopedic-device stock that “is the best-performing stock in the orthopedic products sector this year”, beating giants such as Johnson & Johnson and Smith & Nephew. (Exactech has gained 53% so far this year; its rivals have only gained an average of 14%). How has Exactech achieved these gains with little exposure and limited resources, and how is it positioned to continue this momentum going forward? CLICK HERE to find out.