13612

Consumers May Soon Be Down, But They Won’t Be Out

Consumer spending makes up about 70 percent of the US economy. Currently, sales remain strong, but there are some signs that consumers may be increasing their credit card usage to do so. If that continues, it’s likely that spending will start to come down in some parts of the economy. However, some retailers could benefit from that trend. Discount stores tend to hold up well no matter what the economy is doing for groceries or other basic supplies. In the clothing space, ...
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13606

This Infrastructure Play May Prove One of the Best Income Investments Today

With the stock market down so heavily, traders may feel hit hard. But looking at the market objectively, a big down year leads to lower valuations. And for income-generating investments like dividend stocks, it can mean higher starting yields. Investors who can buy growing companies with reasonable dividends can likely see both a higher share price and a higher dividend payout when things turn around. One area where investors can get both is in beaten-down infrastructure plays. While the term can be ...
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13599

Stick With Great Companies in Struggling Industries for a Rebounding Market

Investors are forward-looking. So while the market may be performing poorly this year, those who look further ahead can find bargains today that should be more valuable down the line. One area where this is playing out is in the tech space. A number of companies are providing lower guidance going forward. But given the selloff in the sector so far this year, shares may be oversold and could move higher on the first sign of a turnaround next year. That may ...
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13594

For Great Investment Returns, Follow the Greats

Many professional investors attract followers. And rightly so. Successful fund managers have to report their holdings to the SEC. That means their activity is updated every 90 days. So it’s easy to follow along someone who’s already shown the capacity to make a market-beating return, no matter what the market condition. And in a bear market, those who follow along can potentially get into a great company at an even better price. Right now, investors are following an investment in Taiwan Semiconductor ...
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13590

Buy Defensive Companies Growing Sales Now

At the end of the day, companies exist to sell a product or service. When times are tough, some goods are seen as luxuries. But many items are necessities. That’s why investors tend to pile into defensive stocks like consumer goods companies during a bear market. A bear market also helps to bring down valuations across the board. That makes defensive stocks, typically priced fairly high relative to their growth prospects, a much better buy ahead of a market turnaround. For example, ...
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13582

In Bear Markets, Follow Companies with Cash to Burn

Many companies get into trouble overleveraging while times are good. They take on too much debt. That becomes a problem with things slow, and the costs to finance that debt become too much to bear. In contrast, a number of companies have strong balance sheets. Even companies with some debt, but substantial cash, are in a great place right now. They can potentially make a great acquisition at a great price, or find ways to return that cash to shareholders. One company ...
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13579

Consider This Retail Player Ahead of the Holidays

Economists are predicting a gloomy holiday season. Real spending will likely be down thanks to slow economic growth and high inflation this year… not to mention the impact of supply chains. But consumers still remain robust, so it’s likely that retailers may be oversold going into the holidays. Investors who buy today can grab a reasonable value in any of the big-name big-box stores here. And if things go better than expected, they’ll be well positioned for some quick profits. Among the ...
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13573

Buy the Brand When It’s Down and Out

Earnings season in a bear market can turn even a blue-chip stock into what looks like a penny stock with big moves up or down – usually down. But patient investors who buy an industry-leading company during a down market can get a great value. Patient investors can earn a great return buying values and waiting for the market to recover. And, as that happens, traders tend to be more forgiving in future quarters for a company during bull markets. The recent ...
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