|Bid||49.01 x 1200|
|Ask||49.01 x 800|
|Day's Range||48.90 - 49.59|
|52 Week Range||46.75 - 60.52|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||2.80 (5.67%)|
|1y Target Est||61.19|
In YFi-Interactive, Yahoo Finance's Jared Blikre breaks downs the biggest movers of the day. He joins Adam Shapiro.
The new Dow Inc (NYSE:DOW) stock and company is the result of a two-stage spinoff of Corteva (NYSE:CTVA) and DOW stock by DowDupont (NYSE:DD) that started on Apr. 1. The split came about because of agitation from an activist shareholder, Third Point's Dan Loeb. No doubt, the main objective was to benefit the owners of DowDupont stock and DOW stock.Source: Roy Luck via Flickr (modified)And of course, the CEO of DOW, Jim Fitterling, boasted about the restructuring. In a press release, he said:"The changes we have made to Dow's portfolio, cost structure and mindset are significant. The new Dow is a more focused and streamlined company with a clear playbook to deliver long-term earnings growth and value creation for all stakeholders.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut unfortunately, Wall Street hasn't been so kind to Dow Inc stock. Since early April, DOW stock has gone from $58 to $49. * 7 Value Stocks to Buy for the Second Half The Issues With Dow Inc StockSpinoffs can be disruptive. There is often a large turnover in the shareholder base, which can put pressure on the shares.Yet that overhang will dissipate in the longer term. So could DOW stock now be an interesting value play? Is it time to consider buying Dow Inc stock?Well, I'd still be cautious. DOW is still a complex organization. As seen with other companies like GE (NYSE:GE) and 3M (NYSE:MMM), complexity has become a big drawback on Wall Street. Investors nowadays want agile companies that can focus on growth opportunities and be nimble enough to stave off rivals.InvestorPlace.com columnist Josh Enomoto aptly described the complexity of DOW and how that could be a hindrance:"Dow Inc stock doesn't provide a clean, linear path. Instead, the underlying company is stretched wide, featuring businesses in consumer products, packaging, industrial materials, large-scale infrastructures and technology. From a topical perspective, the separation into three entities streamlined operations for the individual cogs. Somewhat left out in the equation was that the individual cogs also have non-intuitive structures."However, complexity may not be the biggest risk facing DOW stock. Rather, the slowing of the global economy looks to be the main problem.For now, there is little clarity on a resolution to the dispute between the U.S. and China. In the meantime, there is also the potential for trade disputes between the U.S. and Europe.The World Bank has reported that global growth will come in at 2.6% versus its January forecast of 2.9%. That would be the weakest global growth in three years.As for DOW, the company is definitely sensitive to the swings of the economy. When the economy slows, it's easy to put off a decision to purchase new raw materials and commodities. The Bottom Line on DOW StockDOW has positive attributes. Keep in mind that the company continues to streamline its operations and cut costs. DOW plans to eliminate $700 million of costs this year. It is also being more disciplined when it comes to capital investments.As for the valuation of Dow Inc, stock it is fairly cheap. Consider that its forward price-earnings multiple is nine and its dividend yield is a hefty 5.7%.Yet such factors likely mean that DOW stock has some downside protection. However, because of the macro weakness across the world, it could be tough for Dow Inc stock to advance meaningfully.Tom Taulli is the author of the upcoming book, Artificial Intelligence Basics: A Non-Technical Introduction. Follow him on Twitter at @ttaulli. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Value Stocks to Buy for the Second Half * 7 Hot Stocks to Buy for a Seemingly Sleepy Summer * 6 Chip Stocks Staring At Big Headwinds in 2019 Compare Brokers The post Has DOW Stock Reached an Attractive Entry Point? appeared first on InvestorPlace.
Although Dow Inc (NYSE: DOW ) is among the most diversified pure-play commodity companies, most of its businesses have come under pressure in 2019 due to persistent global trade issues — and a meaningful ...
fell more than 4% on Monday after receiving a downgrade from BMO Capital Markets analyst John McNulty to market perform from outperform. McNulty initiated coverage of the new Dow back in April with the outperform rating and a $64 target price. Dow, a highly diversified materials company that is an industry leader in plastics and ethylene, has told investors and analysts the new company's focus will be on cost-cutting, capital discipline and returning significant cash to shareholders, the analyst said at the time.
There are 11 sectors represented in the S&P 500 with weights ranging from 2.81% at the bottom to 21.45% at the top. Guess which group resides at the bottom? Materials.That is not the only point underscoring the materials sector's diminutive status. The Materials Select Sector SPDR ETF (NYSEARCA:XLB), the largest materials exchange-traded fund, holds just 28 stocks and the Dow Jones Industrial Average is home to just one materials stock -- Dow Inc. (NYSE:DOW).XLB "seeks to provide precise exposure to companies in the chemical, construction material, containers and packaging, metals and mining, and paper and forest products industries," according to State Street.InvestorPlace - Stock Market News, Stock Advice & Trading TipsSize aside, there are plenty of opportunities to be had with materials ETFs and investors may want to consider getting in while the getting is good because the sector is on fire in the first half of June."In fact, the materials group, the sector that tends to be the most sensitive to global economic growth expectations, is on track for its best monthly gain since October of 2015, when it soared 13.45%, according to Dow Jones Market Data," reports MarketWatch. * 7 Top-Rated Biotech Stocks to Invest In Today For investors looking to embrace a small sector with big potential, here are some materials ETFs to consider. VanEck Vectors Junior Gold Miners ETF (GDXJ)Source: Shutterstock Expense Ratio: 0.53%, or $53 annually per $10,000 investedThe VanEck Vectors Junior Gold Miners ETF (NYSEARCA:GDXJ) is one of the largest gold miners funds, meaning it is also a materials ETF and a volatile one at that. GDXJ has a three-year standard deviation of 30.50%, roughly triple the comparable metric on the S&P 500. Indeed, this materials ETF is not for the faint of heart and it has a tendency to overshoot gold's price action in either direction.Fortunately, the current climate sets up well for gold, as highlighted by GDXJ's month-to-date gain of nearly 9%."If you look at the GDXJ [VanEck Vectors Junior Gold Miners ETF] and go back to 2010, the adjusted return in Canadian dollars is down about 85%. Then if you look deeper … at the really junior juniors, which aren't even in these ETFs, it's even more so. We have an industry where you've lost 80% to 90% of the value -- plus," said Jonathan Goodman, executive chairman of Dundee Corp., in an interview with Kitco News.Another catalyst could boost this materials ETF in the second half of the 2019: the Federal Reserve. If the Fed lowers interest rates, gold almost certainly rallies in response, likely sending GDXJ and miners ETFs higher along the way. Invesco MSCI Global Timber ETF (CUT)Source: Shutterstock Expense Ratio: 0.55%Among materials ETFs, timber funds -- all two of them -- often go overlooked. The Invesco MSCI Global Timber ETF (NYSEARCA:CUT), which tracks the MSCI ACWI IMI Timber Select Capped Index, gives investors nuanced materials exposure with a decent yield.CUT's underlying index "measures the performance of securities engaged in the ownership and management of forests, timberlands and production of products using timber as raw materials," according to Invesco.CUT holds 77 stocks, giving it a significantly larger roster than many traditional materials ETFs and some of that size is attributable to the fund being a global materials ETF. Eleven countries are represented in this materials ETF with the U.S. commanding a weight of 42%. Of the other 10 countries found in this materials ETF, eight are developed markets. * The 10 Best Index Funds to Buy and Hold Nearly 56% of CUT's components are classified as value stocks and the materials ETF reflects that value proposition with a price-to-earnings ratio of just 12.82x, a healthy discount relative to broader domestic equity benchmarks. SPDR S&P Mining & Materials ETF (XME)Source: Shutterstock Expense Ratio: 0.35%The SPDR S&P Mining & Materials ETF (NYSEARCA:XME) is an equal-weight materials ETF with diverse exposure to miners of several industrial and precious metals.XME's underlying index provides exposure to "the following sub-industries: Aluminum, Coal & Consumable Fuels, Copper, Diversified Metals & Mining, Gold, Precious Metals & Minerals, Silver, and Steel," according to State Street.In other words, XME is exactly the type of fund that can be stung by tariffs. That is exactly what has happened to this materials ETF. XME is down 11.41% in the second quarter and resides more than 31% below its 52-week high, putting the fund deeply into a bear market.XME is also volatile as far as materials ETFs are concerned. Over the past three years, XME's annualized volatility is 26.20% compared to 15.60% for the aforementioned XLB. Problem is, XME often does not justify that increased volatility because it can trail traditional materials ETFs by wide margins.As of this writing, Todd Shriber did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * The 7 Best Tech Stocks to Buy for the Second Half of 2019 * 7 Top-Rated Biotech Stocks to Invest In Today * 4 Semiconductor Stocks to Sell Compare Brokers The post 3 Materials ETFs to Help Build Your Portfolio appeared first on InvestorPlace.
The complicated thing about Dow (NYSE:DOW) is that keeping track of the business can be a little difficult. Understanding how its vast interests work together to drive Dow stock is even a little trickier. It might be best to begin with a brief history. Source: Roy Luck via Flickr (modified)Once upon a time, the Bronfmans, a wealthy Canadian family, owned 24% of Dupont. They got that stake as a result of its failed takeover of Conoco Oil in 1981. At the time, the Bronfman's most significant investment was its ownership of 36% of Seagram, the liquor company Sam Bronfman founded in 1928. The Dupont dividends generated by the 24% stake in the chemical company accounted for around 70% of Seagram's earnings. In a much-disputed decision, Seagram sold the DuPont stake in 2003, setting off a chain of events that would cost the Bronfmans billions.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 The Final PictureFast forward to June 3. Corteva (NYSE:CTVA), the agricultural segment of the old DowDupont was separated from DuPont (NYSE:DD), a global specialty chemicals company, while the material science unit was spun-off from DowDuPont on April 1 as DOW. I mention the Bronfmans because if they still had the 24% stake in DuPont, the past two years would have presented them with a lot of decisions.First, the August 31, 2017, a merger between the old Dow and DuPont saw shareholders receive 1.282 shares of DowDuPont per share held in DuPont. Throwing aside history, if the Bronfmans held on to the 24% stake, they would have received 267 million shares (867.8 million shares outstanding multiplied by 24% multiplied by 1.282) in the merged entity. If they chose to retain their 24% stake, they would have 89 million shares in DOW stock, 89 million shares in Corteeva, and 89 million shares in Dupont. Together, the trio of holdings has a market value of $13.4 billion with DuPont the largest holding valued at $6.6 billion followed by Dow at $4.6 billion and Corteva at $2.2 billion. They would pay annual dividends very close to $500 million. Which Would They Choose?In hindsight, I believe the family would choose to hang on to all three. Just the other day I was talking to a friend about the fact that four companies control the world seed market with Corteva being one of them. In 2018, it had $2.7 billion in adjusted EBITDA from $14.3 billion in annual revenue. Of the $14.3 billion in sales, approximately 56% was from its seeds and traits business with the rest from crop protection and pesticides. As the world continues to experience climate change, companies like Corteva will be vital to ensuring ongoing food supply. So, despite not paying a dividend, as an agricultural pureplay, Corteva is very attractive over the long haul. As for Dow and DuPont, they currently yield 5.4% and 2.3% respectively, making them very attractive dividend-paying stocks to also hold for the long haul.My InvestorPlace colleague Josh Enomoto recently suggested that DOW is still too complicated a company to understand despite being separated from DuPont and Corteva. He's not wrong. Dow's got a lot of moving parts operating in several different industries with seemingly little overlap and efficiencies. The Bottom Line on DOW StockI don't own any of the three stocks and I'm not sure I ever would. Not because I think any of them are bad businesses. It's just that I like to own easily understandable companies. Dow, DuPont, and Corteva aren't. That said, if the Bronfmans still were in the picture, I'd bet they would hang on to all three of them. I guess we'll never know. 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) * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 * 7 Value Stocks That Are Flying Under the Radar * 6 Mouth-Watering Fast Food Stocks for Growth Investors Compare Brokers The post If You Can Get a Handle on the Business, Dow Stock Is Worth Owning appeared first on InvestorPlace.
Investors have been hearing plenty about geopolitical risk recently, but it has been mostly of the U.S.-China trade variety. That script flipped Thursday after two oil tankers were attacked in the Gulf of Oman, sending crude prices and stocks higher on the day.Source: Shutterstock The tankers had just passed through the Strait of Hormuz near Iran, one of the world's most important areas for oil transport, before being attacked. About a third of all oil shipments that are moved by tanker ships pass through the Strait of Hormuz. Secretary of State Mike Pompeo said Iran was responsible for the attacks.On the back of that news, the United States Oil Fund (NYSEARCA:USO), which tracks West Texas Intermediate futures, jumped 2.26%.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 High-Quality Cheap Stocks to Buy With $10 Speaking of gains, they were more modest for the major U.S. equity benchmarks as the Nasdaq Composite and the S&P 500 added 0.57% and 0.41%. The blue-chip Dow Jones Industrial Average posted an even more modest gain of 0.39%. Usual and Unusual SuspectsWith oil trading higher, it was not surprising that two of today's Dow winners were Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX), the two largest U.S. oil companies. While there was an obvious catalyst to spark the energy sector, it was one of the Dow's consumer discretionary names that led the index higher today.Shares of media and entertainment giant Walt Disney (NYSE:DIS) soared nearly 4% after Morgan Stanley issued some bullish commentary on the name. Morgan Stanley boosted its price target on Disney to $160 from $135 today, noting that the company's streaming service, Disney+, is a credible threat to Netflix (NASDAQ:NFLX)."Stepping back and admittedly taking the long view, investing in Disney shares is a play on the durability of its IP," said Morgan Stanley analyst Benjamin Swinburne in a note out today.On light news, two of the Dow's other consumer cyclical names -- Home Depot (NYSE:HD) and NIKE (NYSE:NKE) -- were also among the index's best-performing names on the Dow Jones today.The analyst has an "overweight" rating on Disney stock. Speaking of analyst commentary, Boeing (NYSE:BA), the Dow's largest component and a stock frequently highlighted in this space, traded slightly higher despite research firm Berenberg lowering its price target on the aerospace giant to $415 from $430.In the unusual suspects category, Dow Inc. (NYSE:DOW), the lone materials stock in the Dow Jones Industrial Average, added to its recent hot streak. While the materials sector is one of the smallest sector weights in the Dow and the S&P 500, keeping attention lavished upon the group to a minimum, the group is surging this month and is on pace for its best monthly performance in four years. Bottom Line for the Dow Jones TodayLooking at the broad benchmarks, this weeks' market action makes it feel as though the summer doldrums are setting in, but investors should not get complacent. There are just a couple of weeks left in the second quarter and when July arrives, so will the start of another earnings season. In advance of that, investors may want to evaluate how their portfolios are exposed to international revenue streams and the lingering trade spat with China.Expect to hear plenty of about internal revenue exposure on upcoming second-quarter earnings calls and how that affected results and could impact earnings over the remainder of 2019. * 6 Top Stock Trades for Friday: AMD, SQ, DIS "The estimated earnings decline for the S&P 500 for Q2 2019 is -2.3%," according to FactSet research. "For companies that generate more than 50% of sales inside the U.S., the estimated earnings growth rate is 1.4%. For companies that generate less than 50% of sales inside the U.S., the estimated earnings decline is -9.3%."Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 High-Quality Cheap Stocks to Buy With $10 * 7 U.S. Stocks to Buy With Limited Trade War Exposure * 6 Growth Stocks That Could Be the Next Big Thing Compare Brokers The post Dow Jones Today: Oil Slicks Lift Stocks appeared first on InvestorPlace.
Dow (DOW) today announced that Samuel R. Allen, chairman and chief executive officer of Deere & Company, has been elected to Dow’s Board of Directors, effective August 1, 2019. Mr. Allen brings to Dow’s board extensive corporate experience and knowledge of international business operations, manufacturing, marketing and sales, as well as public company board expertise in corporate governance, compensation and board leadership.
The new materials science company is eager to deliver consistent performance -- and a 6% annual dividend yield -- courtesy of its far-reaching product portfolio.
It wasn't a big surprise at all when chemical manufacturer Dow Inc (NYSE:DOW) split off from the organization formerly known as DowDuPont. Announced last year, the massive conglomerate would form three separate entities: DOW, DuPont (NYSE:DD) and Corteva (NYSE:CTVA). Moreover, the general consensus was that DOW stock, along with the other two names, would perform better individually.Source: Roy Luck via Flickr (modified)The principle idea behind this strategy is simple for anyone to appreciate. As a combined entity, DowDuPont was incredibly confusing and convoluted, similar to General Electric (NYSE:GE). And as you can tell from GE's technical chart, very few people today value large, aimless companies. The emphasis now is on agility, something that Dow Inc stock lacked when tethered to unrelated businesses like Corteva's agriculture.So far, though, that "untethering" thesis is on shaky ground. Sure, DOW stock is up nearly 8% in June. However, shares have crumbled since mid-April. Despite the strong start to the month, DOW is still about 14% shy of returning to its closing high.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Stocks to Buy As They Hit 52-Week Lows However, optimists might note that Dow Inc stock suffered from the same pressures as everyone else; namely, geopolitical tensions with China. Of course, the situation currently looks terrible, with both sides not willing to concede an inch.That said, the smart money would eventually go toward a resolution between the No. 1 and No. 2 economies. After all, prolonged tensions do neither side any good.Additionally, the Trump administration's hard-nosed act could be just that, an act. It wouldn't be the first time that the President said one thing and did another. And if we did get that resolution, DOW stock would presumably jump higher.Still, I wouldn't get too excited about Dow Inc stock yet. DOW Stock Is a Complicated InvestmentA cute peculiarity of the DowDuPont breakup is that DOW stock replaced the former in the Dow Jones index. Thus, we have DOW in the Dow.Its inclusion also made sense because the venerable index maintains exposure to the materials sector. Fair enough. But increasingly, it's becoming clear that the markets don't favor big, complicated organizations with broad and disparate reach.We just need to look at the Dow Jones' recent history to confirm this sentiment. Dow Inc stock being listed into the index was the first shakeup since General Electric was kicked out. And what is General Electric but the mother of all complicated organizations?Sure, GE has slimmed down with its own divestments and spinoffs, but it's still confusing relative to modern organizations. I believe that's still the key risk associated with DOW stock.Because let's not overlook what's right in front of our face. Despite the much-covered DowDuPont breakup, Dow Inc stock doesn't provide a clean, linear path. Instead, the underlying company is stretched wide, featuring businesses in consumer products, packaging, industrial materials, large-scale infrastructures and technology.From a topical perspective, the separation into three entities streamlined operations for the individual cogs. Somewhat left out in the equation was that the individual cogs also have non-intuitive structures.Rather than a DOW in the Dow being a positive, it seems like an omen. That's because the Dow Jones has repeatedly kicked out or obstructed these yesteryear organizations. The ones that are still holding on are likely on their last leg.For instance, I thought a jack-of-all-trades company like 3M (NYSE:MMM) offered a contrarian play for its broad industry coverage. I was dead wrong. And I'm concerned the same fate awaits DOW stock: the markets just don't like these types of investments anymore. Don't Hold Your Breath on China or Even MexicoIn order to really see positive sentiment drive Dow Inc stock, speculators must hope for a big news item. A resolution to the U.S.-China trade war, along with normalizing relations with Mexico would do the trick.However, I wouldn't hold my breath on either event. First, I don't think the Chinese are really interested in a trade resolution. From day one, China sought to leapfrog the U.S. as the undisputed technological leader. That's why the Chinese committed brazen acts of corporate espionage. It's the quickest and dirtiest way to accomplish their goals. * 7 Dark Horse Stocks Winning the Race in 2019 Look at it this way: what would a trade deal imply for the Chinese? At the very least, it would mean that they must play by the rules. Ultimately, they'll never go for that because it necessarily means that China plays second fiddle to the U.S.As far as Mexico goes, a truce currently exists: Mexico agreed to impose tighter migrant controls in exchange for a tariff-free relationship with the U.S. But it's a very unsettling one, with Trump able to pull the plug if he doesn't like what he sees. My bet is that he doesn't. That also means we may not have a decisive catalyst for Dow stock for quite some time.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy As They Hit 52-Week Lows * 4 Antitrust Tech Stocks to Keep an Eye On * 5 Gold and Silver Stocks Touching Intraday Highs Compare Brokers The post With or Without DuPont, DOW Stock Is Almost Too Complicated appeared first on InvestorPlace.
Two years ago, Dupont and Dow Chemical merged to form Dow Dupont. Managements meant the union to be temporary so the recent split was not a surprise. But the transition did not go as smoothly for the new three stock entities. Today's writeup is to evaluate the Dow Inc (NYSE:DOW) prospects.Source: Shutterstock DOW stock corrected sharply in May, but that month was also rough for all equities -- it's not a sign of sustainable trouble ahead. So I don't take this drop as an omen for the company's future. The geopolitical and economic unrest, especially between the U.S. and China, put a few wrenches in everyone's plans.In its short new public independent life, DOW stock could be an opportunity. In theory, I would consider this as a speculative trade but with a twist.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Looking Deeper Into DOW StockDOW is still a mature set of businesses, just with a different umbrella. The future is not as unproven as, say, Beyond Meat (NYSE:BYND) or Tilray (NASDAQ:TLRY). Betting on DOW does not carry the same uncertainties as with other typical new stocks.Consensus is that the three spin-offs from Dow-DuPont will each be better on its own. Ultimately this was an elaborate bit of financial engineering.Now, Dow Inc. makes for a good bet for those investors who are looking for a fresh stock to invest in. The recent dip was a good opportunity to start but it still not too late. It doesn't carry the usual intrinsic risks that come with IPOs. * 7 Stocks to Buy As They Hit 52-Week Lows For the long term, there is no reason to wait for the perfect entry point. In the long run Dow Inc stock will be a winner along with the stock market. There will always be demand for its chemical products and services.For those who prefer to trade shorter term, there are important levels to watch for the next few weeks.$50 per share was important for the bulls to overtake. This was a pivot point that now serves as support for the more bullish action. Next, it is important for the DOW bulls to overcome the next challenge zone. The area around $52 per share has been pivotal since inception. Onus is on the bulls to retake it so they can use it as another base for the next leg higher.Specifically, above $51.70 DOW stock can target $54, which is another pivot point. The technical price pattern is unfolding in a predictable manner so it will be easy to track short term success. With the help of proper stops, active traders should do well with it.Conversely, there is an open gap below at $48 per share. Not every gap on stock charts closes, but nevertheless this is a concern -- especially if the negative geopolitical rhetoric deteriorates. If the corrective efforts restart, I expect supports at $49.50 per share.The bulls are breaking through descending trend line of lower highs. To that there is another opportunity to break another one around $53 per share. This is a moving target that changes with the price action but it's a lower high trend that will break and fuel more upside potential.Fundamentally DOW stock sells at 10 price to earnings ratio. This is cheap in relative and absolute terms. So owning Dow Inc. shares here is not likely to be a financial catastrophe, especially in the long run.Furthermore, the macroeconomic conditions still favor the bullish thesis for all stocks. As soon as this geopolitical unrest abates, the equities will set new all-time highs and DOW will benefit from it.Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. Join his live chat room free here. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy As They Hit 52-Week Lows * 4 Antitrust Tech Stocks to Keep an Eye On * 5 Gold and Silver Stocks Touching Intraday Highs Compare Brokers The post Dow Inc. Stock Is The Best Bet of the Post-Split Bunch appeared first on InvestorPlace.
When it comes to the new Dow Inc. (NYSE:DOW), you'll hear it's complicated. And it is. That is until investors look at DD stock where the long and short of it merge into a downtrend and a playable bearish position. Let me explain.Source: Shutterstock This past month, DowDupont, one of the world's largest industrial chemical companies, completed some complex financial engineering with a spin-off into three separate publicly traded vehicles. That follows the former company's own existence as the spawn of a tax-saving arrangement a few years ago.Now DowDupont has split into conglomerate-style DuPont (NYSE:DD), agriculture-focused Corteva (NYSE:CTVA) and commodities chemical producer Dow Inc. But management's bright idea to deliver increased shareholder value to its investors -- and likely enrich themselves -- hasn't gone exactly as planned.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFor its part DD stock has enjoyed Wall Street's backing. Shares exploded higher this week following an "overweight" initiation by Morgan Stanley. The firm sees value in DuPont regardless of whether it becomes a "true multi-industry" company or keeps its businesses separated.Meanwhile, shares of CTVA have found less enthusiastic support. Among analysts weighing in, eight of 11 rate Corteva with a hold recommendation and $30 price target. Shares of CTVA were recently trading at $27.50. * 10 Stocks to Buy That Could Be Takeover Targets Okay, but what about DOW stock? On the price chart, shares continue to formulate a downtrend despite decrees that the sum of all those parts should be worth more. They're also looking ready for traders to short DOW sooner rather than later. DOW Stock Daily ChartSince being spun off, DOW stock has worked its way into a downtrend within a simple price channel. Last week's new trading low in shares could ultimately resolve itself as a lower-low or undercut double-bottom pattern relative to Dow's March low. For now, though, DOW remains in control of bears. And currently, shares are in the process of setting up for a lower risk short.This week's rally has pushed DOW stock into an area of resistance. The zone is backed by Dow's channel line, the 38% retracement level and Dow's less-than-receptive debut when trading in DOW stock first commenced, and making shares likely top-heavy with anxious bulls looking to sell.For traders agreeable that a bearish trend in motion can stay in motion in DOW stock, I'd recommend waiting on this week's high to be confirmed as a daily pivot within the existing downtrend. From there, placing a stop above the pattern and taking profits as fresh lows develop looks like a winning strategy off and on the price chart with no complex financial engineering required.Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. . For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * The 4 FANG Stocks Won't Be Bitten By Regulation Threats * 10 Stocks to Buy That Could Be Takeover Targets * 4 Big Bank Stocks Rebounding Compare Brokers The post Why and Where Dow Inc. Stock Is a Bearish Short appeared first on InvestorPlace.
USAID will guarantee up to $35 million of loans made by Circulate Capital to incentivize private capital investment and advance development objectives in the recycling value chain in South and Southeast ...
Investing.com - Stocks surged Tuesday in their biggest one-day rally since January after Federal Reserve Chairman Jerome Powell said the central bank stood ready to support the domestic economy if trade wars get too crazy.
Howard Ungerleider, president and chief financial officer, Dow , will participate in a fireside chat at Deutsche Bank’s 10th Annual Global Industrials and Basic Materials Summit on June 5 at 9:20 a.m.
China released a 23-page white paper in eight languages that blames the U.S. for the failed trade deal.
"This too shall pass," DowDuPont CEO said of recent economic headwinds from dropping China sales and bad weather in Midwest
Imports of liquefied natural gas (LNG) to Australia - the world's biggest LNG exporter - now appear "highly realistic" as the country struggles to fill a looming gas shortage, U.S. energy giant Exxon Mobil Corp said on Thursday. The assessment will add to the sense of urgency in the industry, which experts say needs at least A$10 billion ($6.9 billion) in new developments to meet longer term gas demand and bring down high prices that are crippling many manufacturers. As recently as a year ago, many thought importing LNG to Australia would be irrational, but shortages are expected as soon as 2022 and there are now five import proposals on the table, including one from ExxonMobil.
A drop in ethanol prices coupled with weak demand for its biomaterial products were major factors in the asset write-down, the company says.