If you believe that price to earnings ratios are a big constraint on stock prices, you probably don’t expect much from stocks in 2020. This wall is only made of paper though. People are only calling for a very modest year for stocks next year, only expecting single-digit gains, and it’s actually pretty amazing that […]
When a stock gains 90% in a single year, as Applied Materials has in 2019, we may worry that the party may be ending soon. Things are set to improve even more though. Applied Materials has been one of the very best stocks out there in 2019, putting in a very impressive 90% gain for […]
Sector SPDRs group the market in 10 categories, where we can select the ones we want and the ones we don’t. Going with the better half of these makes a lot of sense. We can categorize stocks into two categories, the ones that outperform and the ones that underperform. If we buy a stock market […]
We want to avoid stocks that are more likely to lose us money than not, but there’s another type to avoid, tired old dogs that haven’t kept up with the pack for many years. Is there really anything to like about Berkshire Hathaway stock these days? How could anyone choose an old dog like this […]
Goldman Sachs is in agreement with the consensus that 2020 will be mildly bullish. Their use of the Sharpe index to pick individual stocks is what is most interesting. David Kostin, chief U.S. equity strategist for Goldman Sachs, is forecasting more of the same for stocks next year, although the consensus is that growth in […]
Al Root has an article out now comparing what he feels are the three investment styles to planetary orbits. Do we want to be stuck on a single orbit though? Al Root is a regular contributor to Barron’s, and in his latest article on their site, he looks to define what he believes are the […]
Alphabet, better known as the company who owns Google, has been a star performer ever since the stock got issued in 2004. As big as it has become, it is still growing nicely. Barron’s doubled down on its selection of Alphabet as one of their top 10 stock picks for 2020 by running another article […]
We always want to make sure that our investment decisions are made from the high ground. If we are willing to go out on a limb, we need to make sure the limb is strong. Folks are eyeing medical supply maker Becton Dickinson and it’s being touted as a smart play for 2020. Aside from […]
China’s economy has been growing at a frantic pace for quite a while now. As this growth slows, so does their capacity to pay back debt. Big cracks are now showing. As much as people complain about regulation, this does serve a valuable function to protect us from ourselves mostly. The implications of inadequate regulation […]
The drop in the price of Boeing stock by 24% since the beginning of March has served as a big drag on the Dow. Now it singlehandedly may be putting down GDP by 0.5% more. Manufacturing data has been sluggish for quite a while, which in itself has spurred concerns about a potential recession. As […]