|Bid||310,532.25 x 800|
|Ask||310,897.00 x 800|
|Day's Range||309,120.12 - 312,665.28|
|52 Week Range||279,410.00 - 335,900.00|
|Beta (3Y Monthly)||0.89|
|PE Ratio (TTM)||19.05|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||361,067.00|
After the June policy meeting, the Fed kept the interest rates changed. However, the Fed sounded amenable to future rate cuts. President Trump has been a fierce critic of Fed Chair Jerome Powell.
Times are a-changin’ in the North Texas residential real estate industry, and possibly nowhere is that more true than at The Ebby Halliday Companies.
Despite the S&P 500 trading at lofty heights, 8 blue chip stocks are still selling well below their record highs but may be poised for big gains as investors pursue diverse strategies to profit amid a volatile U.S.-China trade war. Some professional investors are wading in to buy beaten down blue chips from the semiconductor industry, including Broadcom Inc. (AVGO), Xilinx Inc. (XLNX), NXP Semiconductors N.V. (NXPI) and Skyworks Solutions Inc. (SWKS). Goldman says these service stocks are much more likely to outperform than stocks in goods-producing sectors.
Warren Buffett has consistently ranked highly on Forbes' list of billionaires. He has a careful methodology for evaluating value stocks and investing.
Axalta Coating Systems Ltd, the U.S. coatings company whose largest shareholder is Warren Buffett's Berkshire Hathaway Inc, said on Wednesday it had formed a board committee to explore a sale of the company. Axalta rebuffed acquisition approaches in 2017 from Akzo Nobel NV and Nippon Paint Holdings Co Ltd. Since then, the company has lost about a fifth of its market value, even though the S&P 500 Index has risen more than 9 percent during the same period, as demand in Axalta's key automotive market weakened. Axalta also got new management in December, after its investigation of previous Chief Executive Officer Terrence Hahn found conduct in October "inconsistent with the company’s policies." Axalta never disclosed the investigation's findings.
The old saying is that "cash is king." However, with the S&P; 500 (SPY) sitting on ~16% year-to-date gains, a major portion of Berkshire Hathaway’s holdings are only yielding ~2%.
Nio (NYSE:NIO) continues to fall further into penny-stock status. Once compared to American automaker Tesla (NASDAQ:TSLA) as the "Tesla of China," Nio stock now struggles to survive.Source: Shutterstock A deal NIO has made with a government-owned organization may keep it from going to zero. However, investors should not buy at these low levels hoping it will become the next Chinese Tesla or Ford (NYSE:F). It's All About the NumbersWith a Nio stock price now just hovering above $2.50 per share, shares are cheap. However, there's a reason for this extreme discount. I do not say that because I made a mistake in referring to NIO as a "possible trade" about one month ago. It also has little to do with the fact that I constantly remind traders that so-called Chinese stocks are actually Cayman Islands-based holding companies who represent Chinese firms.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFor me, it comes down to numbers. Sales of its electric vehicles (EVs) fell by about 54.6% between the fourth quarter of last year and Q1. Also, the company sold only 5,113 cars in the first four months of 2019. Sales of 1,124 vehicles in April make up only a small fraction of the 45,197 EVs sold in China. NIO faces More Competition than TeslaUnlike Tesla in the U.S., NIO faces heavy competition at home. It lags BYD Auto (OTCMKTS:BYDDF) in sales. BYD benefits from the interest of Warren Buffett as Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) bought a 25% stake in the company 11 years ago. Yes, Nio stock may have beaten its Chinese peers to the U.S. equity markets. Still, it's lost nearly 60% of its value from the initial public offering of $6.25 per share back in September. * 5 Stocks to Buy for $20 or Less Worse, conditions appear unfavorable for the entire EV sector. Tesla has lost over 40% of its value since the early summer of 2017. Moreover, investors should remember that even the largest, best-established players have not prospered.Recall that General Motors (NYSE:GM) experienced a bankruptcy 10 years ago. Since the current GM stock launched its IPO in 2010, shares have seen little appreciation. Nio Stock Should Survive but Do Little ElseAdmittedly, Nio stock offers just enough hope to investors that someone who wants to see this as a buy will continue to do so. The trade war has hammered the Chinese economy. If negotiators come up with a face-saving way out for China, that could help NIO. Moreover, the company blew away revenue estimates in the last quarter, and losses came in 13 cents per share less than expected. One analyst even predicts that the company will turn profitable in 2021.It also appears unlikely to fall to zero. As our own Dana Blankenhorn points out, Nio entered into a joint venture with GAC, the Chinese state car company. Blankenhorn rightly describes this as a "government bailout" as this means China will provide $1.45 billion to bolster the relationship. However, it will take more than a bailout to make Nio stock a profitable investment.Still, the most misleading appeal may come down to false hopes. Many investors dream of buying a penny stock that stages a dramatic comeback a few years down the line. I do not necessarily discourage such speculation with a small part of one's portfolio. However, while I expect some stocks will trade well above their current levels, autos probably won't enjoy such robust speculation. Final Thoughts on Nio StockThose hoping for outsized gains from low-priced equities will likely not profit from Nio stock. Yes, NIO operates in the same sector that has led TSLA to massive gains. However, times have changed in the EV sector and in the auto industry overall. Even Tesla stock has begun to suffer.Yes, the investment from the Chinese state automaker could avert a bankruptcy. However, survival is not prosperity. For Nio stock to deliver outsized long-term gains, it will not only have to become profitable, but must become China's market leader in EV. That's something it has never done.NIO will also have to bring long-term profits for investors. While it may turn a profit at some point, historical industry facts indicate consistent profitability is a serious challenge.Those who want to set aside a portion of their portfolio for speculation should do so. However, I would not expect those gains to come from Nio stock or any equity in this industry.As of this writing, Will Healy is long BRK.B stock. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 5 Red-Hot IPO Stocks to Buy for the Long Run * 5 Stocks to Buy for $20 or Less * 4 Dow Jones Stocks Ready to Rise Compare Brokers The post Do Not Hope for a Dramatic Comeback in Nio Stock appeared first on InvestorPlace.
Kraft-Heinz appears to be a drag on Berkshire Hathaway’s performance in 2019. The stock has lost almost 29% this year. However, the stock has seen an upwards price action of 9.1% in June.
Back in 2002 Stephen J. Errico, a Wall Street investor, who now has more than 30 years of professional investing experience, launched his own NYC-based hedge fund, Locust Wood Capital Advisers. Aside from being the fund's founder he is also its CIO and Controling Principal. Previously, Mr. Errico worked at Morgan Stanley as a portfolio […]
Apple (AAPL) is Berkshire Hathaway’s biggest holding, according to recent filings. Apple stock has risen almost 24% this year. Despite Apple’s strong returns, Berkshire Hathaway stock has sagged.
In Warren Buffett's 2018 annual letter, he termed the “many dozens of non-insurance businesses that Berkshire controls (usually with 100% ownership and never with less than 80%)” as the company’s “most valuable grove.”
Value stocks are so out of fashion at the moment that despite being cheaper than they've been in the past 30 years, some experts suggest they're still not the stocks to buy."We could've had this story 10 years ago and talked about the 20-year anniversary of it being a bad market for value," Dave Nadig, managing director of ETF.com, said recently on CNBC. "We could go another 10 years and it could be a bad market for value. I'm not sure that value and growth as an investing paradigm makes that much sense anymore."Another expert who appeared on the same CNBC show as Nadig suggested that you should only buy value stocks heading into a recession or in the first year coming out of one. InvestorPlace - Stock Market News, Stock Advice & Trading TipsUntil either of these situations comes around, Datatrek Research co-founder Nick Colas believes investors ought to stick with growth stocks.I say, not so fast. * 5 Stocks to Buy for $20 or Less I'll select seven stocks to buy for the second half of 2019, all from the top 50 holdings of the Vanguard Value ETF (NYSEARCA:VTV), the biggest value ETF in the U.S. with $48 billion in assets under management. Value Stocks to Buy: Berkshire Hathaway (BRK.A, BRK.B)Source: Shutterstock Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) is the largest of the 338 holdings in VTV with a weighting of 5.6%. Warren Buffett's company continues to have a bad year on the markets, up just 2.2% year to date.However, when you consider that Berkshire had a total return of 3% in 2018, Buffett's working on a 17-month losing streak. That's why I recently provided InvestorPlace readers with seven ideas to make Berkshire Hathaway stock more attractive. I'm as enamored with the holding company as the next person, but it is having a hard time convincing investors who've never owned its stock why they should get on board. With all the talk of it underperforming the S&P 500 in recent years, its sum-of-the-parts valuation still makes it one of the best value stocks to buy inside or outside the index. Long-time investors know this, hence why they continue to hold despite going into a second year of single-digit returns. Also, it's essential to add that its poor performance in 2018 was 739 basis points higher than the index. Verizon (VZ)Source: Shutterstock Verizon (NYSE:VZ) is the 10th-largest of VTV's 338 holdings with a weighting of 1.9%. The second-largest wireless carrier in the U.S. is having a bad year, up just 4% year to date. Worse still, VZ stock is getting pulverized by AT&T (NYSE:T), which is up 14% year to date.In late May, I highlighted the reasons why I thought Verizon was a better buy than T stock.For me, it all comes down to the balance sheet. Verizon's is much healthier due to AT&T's massive purchase of WarnerMedia. AT&T supporters might view Verizon's advantage as a temporary one given HBO's future cash flow generation -- and I get that argument. However, because AT&T has long-term debt that's 71% of its market cap compared to 45% for Verizon -- with price-to-cash flow ratios almost identical -- if I'm a value investor, I have to go with the smaller of the two companies. * 7 Top-Rated Biotech Stocks to Invest In Today AT&T might deliver in the long haul, but the bigger margin of safety lies with Verizon. Caterpillar (CAT)Source: Anthony via FlickrCaterpillar (NYSE:CAT) is the 37th-largest of VTV's holdings with a weighting of 1.1%. The maker of heavy equipment for mines and construction is also having a bad year, up just 4.5% year to date through June 12. That's on top of a 17.3% decline in 2018.The problem for Caterpillar is that the construction industry, its most significant revenue source, could be slowing down. Furthermore, the Asia/Pacific market isn't performing well, and that's got investors worried about the future. As a result of these worries, Caterpillar stock lost more than 14% in May. The issues plaguing CAT stock at the moment have little to do with the company itself and more to do with the global economy. It's something that shareholders can't control. However, with a dividend yield of 3.1%, free cash flow of $4 billion, a free cash flow yield of 3.9%, and a forward P/E of 10.1, CAT stock appears to be trading at below fair value, making a bet on its stock a winning one over the long haul. Morgan Stanley (MS)Source: Shutterstock Morgan Stanley (NYSE:MS) is the 52nd-largest of VTV's 338 holdings with a weighting of 0.82%. The global investment bank is having a decent year, up 11% year to date. When Morgan Stanley reported Q1 2019 results in April, they were nothing to write home about. That said, both its revenue and profits beat analyst expectations. The consensus was for earnings of $1.17 a share on $9.94 billion in revenue. MS delivered $1.39 a share in earnings on $10.3 billion in revenue. More importantly, the company's wealth management business, the company's largest, delivered revenues of $4.39 billion in the quarter, $200 million higher than the estimate. Since taking the reins, CEO James Gorman has focused Morgan Stanley on wealth management and that's ensuring it continues to generate significant revenues and profits. * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 Yielding 2.8% and trading at 8.1 times forward earnings, MS stock is cheaper than a lot of the mainline banks. CVS Health (CVS)Source: Mike Mozart via FlickrCVS Health (NYSE:CVS) is the 40th-largest of VTV's 338 holdings with a weighting of 0.94%. Both CVS and its biggest competitor, Walgreens Boots Alliance (NASDAQ:WBA), are having terrible years on the market. CVS and WBA are down 16% and 22% year to date. CVS has been bogged down getting approval from regulators for its $69 billion takeover of Aetna in November. The retail pharmacy chain is transforming its business into a one-stop shop for health and wellness. Aetna's insurance plans will allow CVS to provide its customers with vertically integrated medical care. A report surfaced June 11 that suggested the federal court judge considering whether to allow the merger is leaning toward blocking it from happening. However, CVS strenuously denied that the rumor had any merit. I like CVS' transformation plan and fully expect the deal to go through. Trading at just 7 times cash flow and 8 times forward earnings, CVS is too cheap to ignore. Walt Disney (DIS)Source: Baron Valium via FlickrWalt Disney (NYSEDIS) is the 24th-largest of VTV's 338 holdings with a weighting of 1.56%. After three sub-par years in the markets -- up 0.6%, 4.7%, and 3.6% in 2016 through 2018 -- DIS stock is delivering like gangbusters for shareholders, up 30.2% year to date.I was a fan of Disney before it closed its $71-billion acquisition of 21st Century Fox and I'm still a fan. That being said, I did suggest in March that the Fox deal would do little to boost the company's share price. My feeling is that we won't be able to quantify the success of the deal for at least 3-5 years. In the meantime, Disney's going to be spending like a drunken sailor to ensure Disney+ is a Netflix (NASDAQ:NFLX) killer. I'm facetious, of course. No one, not even the world's largest entertainment company, is going to take Reed Hastings down. At least not overnight. InvestorPlace's Tom Taulli recently wrote a great piece about Disney and artificial intelligence. I recommend you read it. For me, Taulli's article exemplifies why you should own Disney stock -- its use of technology to entertain people is the best on the planet. * 7 High-Quality Cheap Stocks to Buy With $10 Disney's got a lot of moving parts and Bob Iger and the rest of its management team will continue to do what it takes to remain the world's biggest and best entertainment company. It's not dirt cheap, but it's worth every penny. PepsiCo (PEP)Source: Shutterstock PepsiCo (NYSE:PEP) is the 17th-largest of VTV's 338 holdings with a weighting of 2.4%. Since long-time CEO Indra Nooyi stepped down in October, Pepsi stock is up 26.7%, an annualized total return of 40%.Before you get any ideas Nooyi was holding back PepsiCo stock; she delivered a cumulative total return of 136% over 17 years in the top job, including a significant stretch through the 2008 recession which saw PEP stock drop to below $20. The work she did to get the beverage and snack food maker in fighting form in recent years helped her successor, Ramon Laguarta, hit the ground running. Laguarta joined Pepsi Europe in 1996, moving up the ranks until becoming PepsiCo president in September 2017; ascending to the top role when Nooyi retired a year later. Nooyi built an exceptional bench of talent. Case in point: PepsiCo chief commercial officer Laxman Narasimhan just took the CEO job at Reckitt Benckiser (OTCMKTS:RBGLY) -- whose brands include Lysol, Woolite, Calgon, Scholl and Clearasil -- less than three months after being appointed to the newly created role at Pepsi. Pepsi reached on to its deep bench to appoint Ram Krishnan to replace Narasimhan. Krishnan currently runs the company's Greater China business. Trading near a 52-week high of $134.71, PepsiCo stock looks ready to continue moving higher. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 5 Red-Hot IPO Stocks to Buy for the Long Run * 5 Stocks to Buy for $20 or Less * 4 Dow Jones Stocks Ready to Rise Compare Brokers The post 7 Value Stocks to Buy for the Second Half appeared first on InvestorPlace.
Berkshire Hathaway (BRK-B) has gained 3.1% in June based on the closing prices on June 17. However, Berkshire Hathaway's recent performance hasn’t been that great.
Berkshire Hathaway Inc NYSE:BRK.BView full report here! Summary * Perception of the company's creditworthiness is positive * ETFs holding this stock are seeing positive inflows * Bearish sentiment is low * Economic output for the sector is expanding but at a slower rate Bearish sentimentShort interest | PositiveShort interest is extremely low for BRK.B with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting BRK.B. Money flowETF/Index ownership | PositiveETF activity is positive. Over the last month, ETFs holding BRK.B are favorable, with net inflows of $8.84 billion. Additionally, the rate of inflows is increasing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Financials sector is rising. The rate of growth is weak relative to the trend shown over the past year, however, and is easing. Credit worthinessCredit default swap | PositiveThe current level displays a positive indicator. BRK.B credit default swap spreads are near the lowest level of the last three years and indicate the market's continued positive perception of the company's credit worthiness.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
With patience and skill, Blackstone Group CEO Stephen Schwarzman helped build an alternative-investment powerhouse that soon will be available to a much larger universe of investors.