37.25 +0.13 (0.35%)
After hours: 7:36PM EDT
|Bid||37.13 x 1300|
|Ask||37.15 x 1800|
|Day's Range||37.06 - 37.36|
|52 Week Range||30.56 - 41.90|
|Beta (3Y Monthly)||1.21|
|PE Ratio (TTM)||5.91|
|Earnings Date||Oct 29, 2019|
|Forward Dividend & Yield||1.52 (4.11%)|
|1y Target Est||47.84|
U.S. President Donald Trump stepped up a series of attacks on automakers on Wednesday for not backing his administration's plan to roll back Obama-era fuel efficiency rules, singling out Ford Motor Co in particular for backing a deal with California for stricter fuel economy standards. Ford is one of four automakers, along with Honda Motor Co , BMW AG and Volkswagen AG, that reached a voluntary agreement with California on fuel efficiency rules, defying Trump and his administration's effort to strip the state of the right to fight climate change by setting its own standards.
(Bloomberg) -- President Donald Trump lashed out at automobile manufacturers who’ve pushed back on his administration’s plan to weaken fuel-efficiency requirements, dismissing them as “politically correct.”“My proposal to the politically correct Automobile Companies would lower the average price of a car to consumers by more than $3000, while at the same time making the cars substantially safer,” Trump said in a tweet on Wednesday. “Engines would run smoother. Very little impact on the environment! Foolish executives!”The tweet was apparently prompted by a compromise that Ford Motor Co., Honda Motor Co., BMW AG and Volkswagen AG have reached with California’s clean-air regulator to bolster the fuel efficiency of autos sold in the U.S. through 2026, defying the Trump administration’s plan. Gavin Newsom, California’s Democratic governor, has called on other automakers to join the pact though none have thus far.August 21, 2019 That deal represents the most clear-cut example of auto industry unease with the Trump administration’s August 2018 proposal to dramatically ease fuel economy and vehicle greenhouse gas emissions standards drafted by the Obama administration, which sought to boost average fuel efficiency to roughly 50 miles per gallon by 2025.The Trump administration instead recommended capping mileage requirements at a 37-mile-per-gallon fleet average after 2020, and revoking California’s authority to regulate tailpipe greenhouse gas emissions, which it’s done in coordination with Washington for several years.Trump regulators have argued that capping fuel economy standards at 2020 levels would lead to less-expensive new cars than under the current rules, allowing consumers to replace their older vehicles with newer, safer ones more rapidly and avoid thousands of traffic fatalities.Experts and EPA career staff have disputed those assertions.Automakers for months have urged the Trump administration to moderate that plan, fearing a lengthy legal battle over California’s regulatory powers would throw the critical standards into uncertainty for years. Those efforts have had little sway so far on the White House, which rejected a plea by 17 carmakers last month to work out a compromise with California.The companies also want to avoid a split market -- with federal mileage requirements in most states and more stringent rules in more than a dozen states that adhere to California’s standards. The states that follow California standards account for more than a third of all U.S. auto sales.“The Legendary Henry Ford and Alfred P. Sloan, the Founders of Ford Motor Company and General Motors, are “rolling over” at the weakness of current car company executives willing to spend more money on a car that is not as safe or good, and cost $3,000 more to consumers,” Trump said later Wednesday in another tweet. “Crazy!”Ford, in a statement Wednesday evening, said the company was “proud to lead the way in taking the right actions for the environment while at the same time protecting consumer affordability and the short- and long-term health of the industry.”(Updates with Ford statement in final paragraph.)\--With assistance from Keith Naughton.To contact the reporter on this story: Ryan Beene in Washington at firstname.lastname@example.orgTo contact the editors responsible for this story: Jon Morgan at email@example.com, Joshua Gallu, John HarneyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Today, in a tweet, US President Donald Trump called automobile company executives “foolish.” While Ford and GM are in the green, Tesla is down.
Tesla (NASDAQ:TSLA) is finally a real car company. And Tesla stock will be in trouble until it starts trading like it.Source: Ivan Marc / Shutterstock.com Tesla delivered 95,356 cars during the second quarter and expects to deliver 400,000 for the year. Right now, TSLA has 15% of the U.S. luxury car market. Once its Shanghai factory ramps up, production will rise another 150,000 per year.When all this was a glint in Elon Musk's eye, five years ago, Tesla shares sold for $259 each. They open August 21 at $225.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Undervalued Stocks With Breakout Potential Tesla stock is finally being valued as a real car company. Even profitable car companies like General Motors (NYSE:GM), are worth just a small percentage of their sales. Tesla is still valued at twice its 2018 revenue.The result has been a great year for Tesla stock shorts. At the end of July almost 40 million Tesla shares were being borrowed and sold short. Tesla has 172 million shares outstanding. Tesla's Solar FailFor investors, Tesla is strictly a car company. Total revenue from its batteries and solar panels represent just 7% of revenue. The batteries are doing great, especially as back-up power for commercial utilities. The solar panels are doing horribly.Tesla paid $2.6 billion to get into this business in 2016, buying SolarCity -- from his cousins. At the time, SolarCity was the U.S. leader in residential solar. Now it's fourth, behind Sunrun (NASDAQ:RUN), Vivint Solar (NASDAQ:VLSR) and SunPower (NASDAQ:SPWR).Tesla is trying to juice up its market share with a rental program, starting at $50 per month for a 3.8 Mw system. The program is being offered in six states. It may do well in Connecticut, where electricity costs $23.35 per megawatt hour. It may do poorly in New Mexico where the cost is $12.21 per megawatt hour.There are also "gotchas" that make this look more like an old-fashioned solar lease than a true rental, like a $1,500 charge to remove the panels. The quality may also be suspicious. Walmart (NYSE:WMT) is suing Tesla because panels on 7 of its stores caught fire. It wants Tesla to remove panels from 240 stores and pay damages. Tesla stock's Remaining BullsThere remain Tesla bulls, like investor Ron Baron. He says 90 million cars are sold each year, meaning there's still a huge addressable market. He says Tesla's production costs are declining, and other carmakers are still slow-walking the move to electrics.In markets that love Tesla, people really love Tesla. The Tesla Model 3 now has 46% of the near-luxury car market in California. In Norway Tesla has 70% of the electric market and diesel vehicle sales are down 95%. Tesla's "secret master plan" from 2009 is working. Money from the high-end Tesla Roadster has gone into mass production of less-expensive models with a larger market. A pick-up truck and semi-trailer are on the way. People can, in theory, power their homes with Tesla solar cells and batteries.But Tesla is still bleeding cash. Even after cutting its research and capital spending to industry norms, it lost $167 million on operations in the second quarter, a net loss under GAAP of $2.31 per share. It needs to increase that research budget to bring out promised new models, and it needs to increase capital spending to scale production. The Bottom Line for TeslaTesla is changing the world but, like those solar companies mentioned earlier, it's not making a ton of money while doing it.Tesla may turn a small profit later this year because it has cut spending and is ramping up production. But it will be a small profit. To justify its $40.4 billion market cap, it must at some point make a large profit. * The 10 Best Marijuana Stocks to Buy Now It's nowhere near that, which is why the bears and shorts are having their day with it. At this point, Tesla stock would be better off trading like a car stock.Dana Blankenhorn is a financial and technology journalist. He is the author of the mystery thriller, The Reluctant Detective Finds Her Family, available at the Amazon Kindle store. Write him at firstname.lastname@example.org or follow him on Twitter at @danablankenhorn. As of this writing he owned no shares in companies mentioned in this article. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks to Ride High on the Farm Bill * 8 Biotech Stocks to Watch After the Q2 Earnings Season * 7 Unusual, Growth-Oriented REITs to Buy for Your Portfolio The post Tesla Stock Needs to Start Trading Like a Car Stock appeared first on InvestorPlace.
United States equities are on the slide Tuesday as traders react to reports President Donald Trump is considering a payroll tax cut as a way to juice the economy. The New York Times added that a reversal of trade tariffs against China and other nations was another possible option. The White House has downplayed both rumors, leaving a feeling of disappointment on Wall Street.One of the areas being hardest hit is the automotive sector, with inventories bloated, buyers balking and higher interest rates weighing on affordability. The result is that prices are starting to fall, production is likely to be cut and profitability will come under pressure. * 10 Undervalued Stocks With Breakout Potential No surprise then that these four auto stocks are suffering as a result. They should be sold now.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Auto Stocks to Sell: Ford (F)Ford (NYSE:F) shares are threatening to break down further away from their 200-day moving average. Already down more than 13% from their double-top highs, watch for a return to the January-March trading range near $8.20 which would be worth a loss of nearly 10% from here.The company will next report results on Oct. 23 after the close. Analysts are looking for earnings of 29 cents per share on revenues of $35.3 billion. When the company last reported on July 24, earnings of 28 cents missed estimates by 3 cents on a 0.4% rise in revenues. General Motors (GM)General Motors (NYSE:GM) shares have also fallen just below their 200-day moving average, setting up a test of the early June low near the $33 per share level. This line of demarcation has been toyed with multiple times since the stock topped out in late 2017. Management is putting a lot of hope in its trucks business, which is fiercely competitive. * 7 Safe Dividend Stocks for Investors to Buy Right Now The company will next report results on Oct. 29 before the bell. Analysts are looking for earnings of $1.88 per share on revenues of $36.6 billion. When the company last reported on Aug. 1, earnings of $1.64 beat estimates by 19 cents on a 1.9% decline in revenues. Tesla (TSLA)Amid what seems like daily reports that Tesla (NASDAQ:TSLA) is catching on fire (see here and here), shares of the company have dropped back below their 50-day moving average and are threatening a decline back to its early June low near $180. Such a drop would be worth a loss of more than 20% from here.The company will next report results on Oct. 23 after the close. Analysts are looking for a loss of 44 cents per share on revenues of $6.4 billion. When the company last reported on July 24, a loss of $1.12 missed estimates by 76 cents on a 58.7% rise in revenues. Fiat Chrysler Automobiles (FCAU)Fiat Chrysler Automobiles (NSYE:FCAU) shares have fallen down to test their recent lows -- set back in December and in early March -- trading well off of the highs set in early 2018. A breakdown here would put the mid-2017 lows in play, which would be worth a loss of more than 20% from here. The stock has been hit by the stalling of merger talks with Renault after the French government hardened their position.The company will next report results on Oct. 31 before the bell. Analysts are looking for earnings of 94 cents per share on revenues of $31 billion. When the company last reported on July 31, earnings of 59 cents per share missed estimates by a penny.As of this writing, William Roth did not hold any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Cheap Dividend Stocks to Load Up On * The 10 Biggest Losers from Q2 Earnings * 5 Dependable Dividend Stocks to Buy The post 4 Auto Stocks Breaking Down to Sell Now appeared first on InvestorPlace.
[Editor's note: "The 10 Best Cheap Stocks to Buy Right Now" was previously published in June 2019. It has since been updated to include the most relevant information available.]For a surprising number of names, the debate about whether a stock is overbought or oversold is largely irrelevant. Some stocks are simply (still) too cheap to overlook, poised to make gains whether or not the broad market's tide helps out in the foreseeable future. For deeply undervalued equities in anything but a wildly bearish environment, the bigger risk is being on the sidelines rather than in a position. * 10 Cheap Dividend Stocks to Load Up On To that end, here's a rundown of 10 of the market's best cheap stocks to buy right now. In some cases, the per-share price is just oddly low. In other cases, prices compared to earnings are well into single-digit territories. In most cases, both qualities apply.InvestorPlace - Stock Market News, Stock Advice & Trading Tips CBS Corporation (CBS)CBS Corporation (NYSE:CBS) may be down of late, but I still have confidence in CBS stock anyway. The television giant has improved in a big way where it needed to the most, streaming. By 2022, it should have 25 million streaming customers in tow.It's only a sign of the current paradigm shift in how video is delivered to consumers. It's also the reason we've seen a frenzy of M&A within the film and TV arena, the most notable of which is the Walt Disney (NYSE:DIS) acquisition of Twenty-First Century Fox (NASDAQ:FOXA).CBS has also jockeyed to acquire Viacom (NASDAQ:VIAB). At this point, they're just ironing out the details and divvying up the proceeds among the executives.With CBS stock priced at only 5.4 times this year's expected earnings though, the company would also make for a dirt-cheap entry or expansion into the entertainment industry. Air Lease (AL)Source: Karen Neoh via FlickrAir Lease (NYSE:AL) relies on at least a decent economy to drive demand for passenger jets, and recently, investors have seen what they think are too many red flags.Take a closer look at all the data, though, and matters aren't as dire as they may seem. While global economic growth may be running into a near-term headwind in the wake of plenty of political drama, in the bigger picture, airlines still desperately need new aircraft to satisfy demand.In May, and for the 12 months ending then, enplanements and total miles flown once again beat forcasted levels. Boeing (NYSE:BA) believes that between now and 2037, the world's airlines will take delivery of more than 42,000 new aircraft. * 10 Stocks Under $5 to Buy for Fall Given that trend and outlook, Air Lease is undervalued at its forward P/E of just above 5.8. Micron Technology (MU)Source: Shutterstock Micron Technology (NASDAQ:MU) has been a cheap stocks for awhile, but it's bumping up against being properly valued.It's not an easy idea for some investors to get behind.Micron beat the previous quarter's estimates by more than 30% and looks as if it might be coming out of the chip glut cycle better than it entered it.This is a cycle investors have seen over and over again, however, with the same end result every time. That is, producers will curtail production, abating supply and restoring pricing power.Rivals Samsung Electronics (OTCMKTS:SSNLF) and SK Hynix, in fact, have already slowed their DRAM expansion plans, and Micron had undertaken a project to cut capital expenditures by more than $1 billion this year.It could take a while for tempered production to restore DRAM prices, but trading at only 5.22 times this year's projected per-share profits, MU stock is worth the wait. It has been every time before. Citigroup (C)Source: Shutterstock Citigroup (NYSE:C), like most bank stocks, had a rough 2018, and though it has bounced this year, the 2019 rally to-date has been subpar.The stock is trading at a trailing P/E of 10, and a forward-looking earnings multiple of 8. This is cheap even by current banking stock standards, which have been abnormally low.The reason for the mismatched price and forecasted earnings is understandable enough. That is, enough investors are convinced interest rates are going to become just a little too high against a backdrop of just a little too much economic weakness. The concern is largely manifested in the flattening yield curve, which is particularly problematic for banks. * 15 Growth Stocks to Buy for the Long Haul As was the case with Air Lease though (and will be for several others below), the worry isn't fully merited. NCR Corporation (NCR)Source: Shutterstock You may know the company better as National Cash Register Corporation, even though it changed its name years ago to NCR Corporation (NYSE:NCR).The less-limiting moniker reflects the fact that point-of-sale devices are now much more than a means of completing a sale. Since then, the company has expanded into areas like ATMs, self-service kiosks and full-blown inventory management platforms.It's certainly a move in the right direction, although it's arguable that the market isn't giving the new NCR enough credit.That might have something to do with the fact that outfits like Square (NYSE:SQ) and Paypal (NASDAQ:PYPL) are encroaching in NCR's turf. It's a legitimate concern too. There's a huge subset of companies, however, that will prefer to do business with a long-established name like NCR. Timken (TKR)Source: Shutterstock Timken (NYSE:TKR) is anything but a household name. The company makes ball bearings and industrial transmissions to supply mechanical power where it's needed in a manufacturing environment.It's anything but a riveting business, but it's a business that's starting to grow in earnest again as America's industrial engine revs. After rolling over in 2015 as the nation started to fully transition to a service-oriented economy,the United States began making more goods again in 2016. It's never looked back. * 7 Safe Dividend Stocks for Investors to Buy Right Now The paradigm shift has proven to be a boon for Timken, which has grown revenue at a double-digit pace since early 2017. Better still, the new revenue trend has set the stage for earnings growth this year that translates into a projected P/E of only 8.3. General Motors (GM)Source: Shutterstock There's no denying General Motors (NYSE:GM) ran into a headwind four years ago when "peak auto" became a reality. Though a victim of its own rampant success -- subsequent comparisons have all looked lackluster -- investors tend to only care about how current results stack up against the recent past.Those investors, however, may be unfairly harsh with their treatment of GM stock and its peers.While it remains unclear when we'll see another automobile purchase growth cycle again, General Motors is still a solid cash cow, yielding 4.25% while it sports a dirt-cheap trailing P/E of 5.9. * 7 Stocks Under $7 to Invest in Now Regardless, the carmaker continues to impress regardless of the stock's valuation. Nicolas Chahine commented, "the 2018 barrage of tariff headlines made GM stock a tough trade as it fell sharply off its January 2018 highs.This year so far it has been the total opposite. GM management clearly gave Wall Street reason to rejoice and buy the stock and investors ate it up. This morning, they backed up their claim…" Lumentum Holdings (LITE)Don't worry if Lumentum Holdings (NASDAQ:LITE) is an unfamiliar name. Many investors probably haven't heard of it. The company makes communications equipment and industrial lasers and has a big presence in the fiber optic industry.There has never been a time when the world has needed such high-speed connectivity.As more and more wireless devices compete for a finite amount of radiofrequency bandwidth, middlemen are looking for easier and faster ways to offload some of that traffic to physical infrastructure. Fiber-optic lines are more than up to the task.The market doesn't seem to see it yet, pricing LITE stock at a forward P/E of 14.57 despite this year's expected revenue growth of 28% and next year's 27%. As time passes though, Lumentum's role in the future of telecom will become clearer. Terex (TEX)Source: Shutterstock Name any piece of mobile machinery, and Terex (NYSE:TEX) probably makes it. From backhoes to cherry pickers to tracked conveyors to cranes, Terex has solutions for almost any industrial application.That diversity hasn't helped revenue in a while, with the top line peaking in 2014. The stock has been hit-and-miss since then … more misses than hits.The doubters may have overshot their pessimism though, sending TEX stock to a forward-looking P/E of 6.93 after a disappointing second quarter reported in July. While sales growth is expected to slow this year, the company more often than not topped sales and earnings estimates in 2018. It may hold a few pleasant surprises in store this year after this brief stumble. Capital One (COF)Source: Shutterstock Last but not least, add credit card company Capital One (NYSE:COF) to your list of cheap stocks to consider here.Like Citigroup, Air Lease and others, investors have been fearful that a slowing economy -- maybe even a shrinking one -- could work against Capital One. In fact, rising interest rates could hit Capital One particularly hard in that situation, as its target market of risky borrowers could be the first to underpay of stop payments altogether should the global economic condition sour. * 8 Dividend Aristocrat Stocks to Buy Now No Matter What It's another case, however, where the doubters may have overshot. COF stock is now priced at only 7.5 times this year's expected profits, making it one of the cheapest stocks to own in the financial sector. The worst-case scenario is more than priced in.As of this writing, James Brumley held a long position in CBS Corporation. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Oversold Stocks to Run From * 7 Red-Hot E-Commerce Stocks to Consider * 4 Stocks Surging on Earnings Surprises The post The 10 Best Cheap Stocks to Buy Right Now appeared first on InvestorPlace.
Tesla did not invent the first electric car, but it did invent was the first successful business model for bringing compelling electric cars to the market.
Safety technology and high-tech parental control played prominently in the U.S. News & World Report's latest list of the Best New Cars for Teens.
Well, here we are halfway through National Sandwich Month. It is also Get Ready for Kindergarten Month and National Peach Month, in case you were wondering.Source: Shutterstock And don't get me started on days. I'm sure you're beyond disappointed to know that we missed National Sneak Some Zucchini Into Your Neighbor's Porch Day on August 8. Or National I LOVE My Feet Day! on August 17.I mean, who comes up with these? Clearly people with too much time on their hands.InvestorPlace - Stock Market News, Stock Advice & Trading TipsI have one addition -- National Crazy Market Week. Let's talk about that before moving on to a real national day that actually does have value for us as investors. National Crazy Market WeekLast week was full of major headlines ranging from big earnings releases to the trade issues with China to the flashing of a recession indicator. The media really ran with the latter headline as the bears came out of hibernation.The indicator that caused the recession fears was an inverted yield curve. This occurs when the 2-Year U.S. Treasury bond yield is higher than the yield on the 10-Year bond. That means the government is paying more to people who lend to the country for two years than those who lend for ten years. That's the reverse of what it should be. In a normal yield curve, the longer the maturity of a bond, the higher the yield. This makes sense because bond owners should be paid more for locking their money up for longer periods of time.When the 2/10 yield curve inverts, it historically has been a precursor for a recession. However, it really isn't that black and white if you do the research.Since 1978, when an inversion occurs a recession typically doesn't happen for 21.3 months - nearly two years. Even more surprising to most is that one year after the inversion, the stock market is almost always higher… and by a big margin! Over the last four decades, the stock market was up 20%+ on average one year after the 2/10 yield curve inverts.And when you add in the fact that the Fed will likely lower interest rates a couple more times before the end of this year, the odds become even greater that stocks are poised for a major rally in 2020.Yet again, this is a case of the media telling you only half the story. And it makes it a buying opportunity for smart investors.If you're interested in learning more about my thoughts on the current market environment -- and get a few bonus stock picks at the same time - check out my recent appearance on Yahoo Finance by clicking here. National CBD Day!August 8, was National CBD Day. This celebration makes sense to me because of the rapid growth in CBD availability after hemp became legal last December. The CBD industry is set to explode nearly 40X in just four years. Those opportunities just don't come along very often.One company I've followed for years celebrated that day in style. GW Pharmaceuticals (NASDAQ:GWPH), the manufacturer of the first FDA-approved, CBD-based drug, hit a monthly high.The company announced unbelievable revenue growth of 2,081% in its second-quarter report. Most of that came from Epidiolex, the drug I mentioned above. It brought in sales of $68.4 million in the quarter and $101.9 million through the first six months of 2019. Those figures blew estimates out of the water. The Hemp Business Journal had expected full-year sales of Epidiolex to come in around $65 million.Approximately 12,000 patients have received Epidiolex prescriptions since its launch, and that number is only estimated to continue growing. If the drug's approval is expanded to treat tuberous sclerosis complex -- Phase 3 trials are underway and have been promising so far -- its potential client base could increase by another 50,000.This is only the beginning of CBD. I've said it before and I'll say it again … if CBD were a drug, we would call it a wonder drug. So it's no wonder that the CBD industry is set to experience a huge boom over the next decade. I am not aware of any other industry that has this kind of potential. Third Time's the Charm?Snap (NYSE:SNAP) is giving smart glasses another shot. Earlier this week the company unveiled its third iteration of Spectacles, which have the ability to record video and take pictures in 3D. This latest version will also provide the ability to apply augmented reality effects to the images and videos -- similar to what Snapchat does on our phones.Spectacles 3 will be released this fall, so there's your holiday gift for the person who has everything. They come in two colors, are made of stainless steel (an upgrade from previous plastic models), and cost $380.Augmented reality -- and its close cousin virtual reality -- isn't just about adding cool special effects to pictures. The technology can be used in everything from retail to industrial training to professional and amateur sports. That means there will be a whole lot of winners in this space, and you can be sure I'm keeping a close eye on all of them. Bye-Bye Hybrid VehiclesThe shift toward the future of transportation just took another step forward. General Motors (NYSE:GM) and Volkswagen (OTCMKTS:VWAGY) have announced that they will no longer manufacture hybrid vehicles that run on both gas and electricity. They are going to focus their investments on fully electric cars.In the next four years, General Motors plans to launch 20 electric vehicle (EV) models. And Volkswagen is looking to debut a small plug-in SUV next year in the U.S. and an electric version of its minibus by 2022.I think General Motors President Mark Reuss summed the decision up the best: "If I had a dollar to invest, would I spend it on a hybrid? Or would I spend it on the answer that we all know is going to happen, and get there faster and better than anybody else?"The exact same thinking applies to investing. Invest in what's going to happen, and get there faster and better than anyone else. That's how you make the big money.While other auto manufacturers still plan to maintain their investments in hybrid vehicles along the road toward battery-powered cars, we are now seeing the beginning of what I expect will be a new world of transportation. In fact, Continental AG, one of the largest car-parts makers in the world, announced last week that it would cut its investments in conventional engine parts.Transportation 2.0 is coming, from EVs to AVs (autonomous vehicles). This revolution wouldn't be possible without the next generation of batteries. So naturally, the auto manufacturers want a piece of that pie.Last week, Musashi Seimitsu Industry, a Japanese auto maker, announced a partnership with KeraCel, a battery developer that claims to have created a solid state battery with twice as much energy as lithium-ion batteries that will only cost half as much. Plus, these batteries will be 3D printed, which means they can be manufactured in any shape and in any size -- so they can be used for anything!These potential new batteries are amazing and fit squarely in a couple of big investment themes. And for early investors, they present the kind of moneymaking opportunity that could turn a tiny initial stake into an absolute fortune.Matthew McCall is the founder and president of Penn Financial Group, an investment advisory firm, as well as the editor of Investment Opportunities and Early Stage Investor. He has dedicated his career to getting investors into the world's biggest, most revolutionary trends BEFORE anyone else. The power of being "first" gave Matt's readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA), +1,044% in Tesla (TSLA), +611% in Liquefied Natural Gas Limited (LNGLY), +324% in Bitcoin Services (BTSC), just to name a few. If you're interested in making triple-digit gains from the world's biggest investment trends BEFORE anyone else, click here to learn more about Matt McCall and his investments strategy today. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Major Headlines Mean Opportunities for Smart Investors appeared first on InvestorPlace.
The idea of electric cars is not new. In fact, they date back to the 1880's. Over the decades there have been several pushes to popularize them but most efforts had so far fizzled. That is until recently, where Tesla (NASDAQ:TSLA) has made e-cars mainstream. And now other companies are joining the movement, including a Chinese manufacturer called Nio (NYSE:NIO). In spite of the popularity of e-cars, those who owned either TSLA or NIO stock this year are in a world of hurt.Source: Shutterstock The good news is that the global consensus now is that electric cars are here to stay. And that they are a credible threat to the internal combustion engine. While only time will tell, there is a noticeable adoption rate and it seems exponential. We all know at least one person with an electric vehicle or someone thinking about buying one. So the market is viable and that answers the biggest uncertainty in the bullish thesis.Nio stock is struggling, but today's point is that it may just be temporary. If I still own the shares this is not the time to give up on them. Furthermore, this could be a good time to bet on a reversal of fortune for the Nio stock price. The last tactical trade that I was eyeing late July failed to materialize.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe company got its biggest exposure in the U.S. last year when the TV show 60 Minutes aired a special on it. Consequently Nio stock spiked to $10 per share, but once again, it failed to hold that level. Since then, the stock fell as much as 78% from that high to the low, and it is now slightly above that. Nio Stock Needs Time to HealSo now the bulls are left wondering how low can Nio stock go? Zero, is the answer, but that is true for any stock. So the more constructive question is: How high can the stock go? In other words, does Nio, the company, have a future in the electric car market?Yes, it does. * 10 Undervalued Stocks With Breakout Potential So far, Nio seems to be doing as well as the rest of them. The easy way to illustrate this is to compare its stock price to that of Tesla. Over the last year they have moved in tandem. So this suggests that the stock is broken but the company's prospects and fundamentals are not. And if that's true, then all Nio stock really needs is time to heal.But management could help the cause along by stemming the slide in sales trends. Unlike TSLA which is growing its unit sales, NIO's monthly deliveries are going south. The next earnings report will be pivotal on that front.Meanwhile, the benefit of having Nio stock fall so far from the high is that it's so close to zero that it makes for a small risk with big potential reward. At $3 per share, it makes for an easy debt for the long-term. This is a stock that I would buy and forget about for years or until it spikes. If the e-car market flourishes, then Nio stock is likely to recover most of its past glory.It is also important to note that based on the headlines, the Chinese car market in general is struggling. So this is further testament to the fact that this is not a Nio problem, but rather a industry-swoon. First, you have to consider the general Chinese car industry and, second, the electric car market.This too shall pass. For those who still haven't booked their losses in it, it's perhaps too late to sell this low. * 7 Great Small-Cap Stocks to Buy There's not a lot to discern from the chart other than it looks like grim death. But Nio stock has been setting higher lows for almost two months. In addition it is also setting lower highs and that means the price range is tightening into a fine point. These usually result in big moves, but where it's headed is unknown.What makes this interesting is that this is the same area of the 12 months point-of-control. So from a bull/bear debate, this is where they like to fight it out the most and this creates congestion. So in theory, the bulls have an the advantage and they could break out from this descending wedge.It is entirely possible for the Nio stock price to reach $4 sooner rather than later. There would be resistance there and at every past ledge. But those are also potential triggers for more upside.While this write-up sounds bullish, it is imperative to remember that it's up to the Nio bulls to prove that this company is worth it. So I consider this a highly speculative trade and one that has low odds of success. But the lower the odds, the bigger the potential the rewards. And at $3 per share, it's a relatively small risk that is worth the effort.Last week, the entire stock market took a beating on recession fears. So if this week the headlines cooperate, then Nio stock could start that bounce rally along with a rallying stock market.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 for free here. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Cheap Dividend Stocks to Load Up On * The 10 Biggest Losers from Q2 Earnings * 5 Dependable Dividend Stocks to Buy The post Nio Stock Is Temporarily Broken, But It's Worth the Risk appeared first on InvestorPlace.
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(Bloomberg) -- When Daniel Tijerina decided to trade-up from a Subaru Impreza sedan into a luxury brand, he didn’t look at a sporty coupe with speed aplenty or cushy sedans with sleek silhouettes. Instead, he drove home last month in a new Cadillac XT4, a plastic-clad crossover SUV.What it lacks in handling and panache, the squat General Motors Co. sports utility vehicle made up for in attributes the 25-year-old credit analyst wanted: A car-like ride with high seating and touchscreen apps that make it easy to order a pizza en route to his Fort Worth, Texas-area home.“It obviously sits higher, but it doesn’t feel any different from a car when it comes to driving and performance,” Tijerina said.Those popular features help explain why SUVs now make up 60% of luxury vehicle sales in the U.S., according to data from Edmunds, pushing aside the once mainstay sedan as the premium ride of choice for well-heeled auto buyers.For generations, the gilded carriages for wealthy American households were large, comfy saloon cars from Ford Motor Co.’s Lincoln brand and GM’s Cadillac. Those storied nameplates lost ground in more recent decades to Asian and European marques such as BMW AG, Daimler AG’s Mercedes-Benz and Lexus from Toyota Motor Corp. But until recently those brands’ best-sellers have been sedans.The earliest luxury SUVs date back to the late 1990s with vehicles such as the Lexus RX and Lincoln Navigator. But those brands still viewed sedans such as the Lexus LS and Lincoln Town Car as their flagship models.Sport utilities and crossovers first overtook sedans in the mainstream vehicle market five years ago. It took longer for luxury buyers to make a similar transition, but now automakers are racing to ramp up production to meet demand. Edmunds says the number of SUV options has grown to more than 60 different vehicles, double the number offered a decade ago.“The luxury segment has adapted very quickly,” said Jeremy Acevedo, an analyst at Edmunds. “We’ve really seen them rush out fresh vehicles to the market.”These days, sedans are lingering on dealer lots while crossovers and SUVs fly out of showrooms. Seven of the 10 best-selling luxury vehicles last year were crossovers or SUVs, according to Car and Driver magazine. Those include the Cadillac XT5 (No. 9), Mercedes GLC (No. 5) and Lexus RX (No. 2). Sports car specialist Porsche got nearly two-thirds of its sales from SUVs in 2018, and Aston Martin says the debut of its first SUV later this year is critical to the British automaker’s viability.Years into the luxury SUV craze, analysts say the shift away from sedans shows no signs of reversing course, with dozens of more crossover and SUV launches in the pipeline. Bank of America Merrill Lynch analyst John Murphy estimates almost half of new or redesigned crossover utility vehicles introduced over the next four years are aimed at the luxury market.“It might top out at some point not too far in the future, but it looks like there’s a little bit more gas left in the tank in the SUV transition,” Acevedo said.Rising gasoline prices snuffed out a SUV boomlet in the mid-2000s, and a similar spike in pump prices today might have a dampening effect. Another possible diversion could be the growing popularity of electric motor-powered sports sedans.Tesla Inc.’s Model 3 was the best-selling luxury vehicle last year and the upcoming electric-powered Porsche Taycan model from Volkswagen AG is also turning heads.Jim Navarro and his wife have owned several luxury SUVs going back more than 20 years, including an Audi, Land Rover and Range Rover. His latest is an all-wheel drive Volvo XC90, which the Las Vegas real estate broker purchased last month.But the 55-year-old trendsetter is already thinking about being one of the first Taycan owners. “That might be our next vehicle in our family,” he said.To contact the reporter on this story: Kyle Lahucik in Southfield at email@example.comTo contact the editors responsible for this story: Craig Trudell at firstname.lastname@example.org, David Welch, Chester DawsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
More than 10 years ago Ryan and Courtney Luke were both working, but with nothing to show for it except big cars and big debts. The Phoenix, Ariz. couple was making $72,000 in take-home pay, yet Ryan had $20,000 of debt, between the loan for his Nissan XTerra (NSANY) and the wedding band and engagement ring he bought on a credit card for his bride. With all their money tied up in their cars and debts, they couldn’t afford to spend on other activities or experiences, said Ryan, a 35-year-old police lieutenant at a large law enforcement agency in Arizona.
Even after a correction of 27% from the highs of 2019, Plug Power (NASDAQ:PLUG) stock is higher by almost 100% from December 2018 levels. The rally in the PLUG stock price has been triggered by strong revenue growth, expectation of positive EBITDA in the fourth quarter and an optimistic growth target for the coming years.Source: Shutterstock After a sharp rally, I believe that Plug Power stock is likely to remain sideways or trend lower in the coming quarters. Unless something radical happens, I'll likely remain cautious on shares for these reasons: Client Concentration Is a ConcernIn the material handling and airport equipment segment, Plug Power boasts a long list of blue-chip clients. They include Walmart (NYSE:WMT), Amazon (NASDAQ:AMZN), BMW, General Motors (NYSE:GM), Honda Motor (NYSE:HMC), Toyota (NYSE:TM), Procter & Gamble (NYSE:PG), Carrefour (OTCMKTS:CRRFY), among others.InvestorPlace - Stock Market News, Stock Advice & Trading TipsHowever, for the year ended December 2018, Amazon and Walmart contributed to 66.7% of revenue. * 10 Stocks Under $5 to Buy for Fall While I am not suggesting potential losses of clients, PLUG's business scalability is questionable. That's especially the case for a company that has witnessed meaningful equity dilution.It is worth noting that company's agreement with Walmart commenced in 2014. Furthermore, the multi-year agreement with Amazon was initiated in 2016. During the five-year period from 2014 through 2018, the company's revenue has grown at a CAGR of 22.3% with sustained cash burn. With a small revenue base, growth has been muted.Plug Power does expect to accelerate growth in the coming years. However, with EBITDA just expected to turn positive in 2019, cash burn is likely to sustain. This might imply further equity dilution. Thus, the PLUG stock price can remain sideways to lower even if top-line growth is healthy. Looking Beyond Material Handling EquipmentThe key focus for Plug Power stock has been the material handling equipment. However, the company does not expect the segment to be a growth driver in the coming years.The next three to five years is likely to focus on expansion in the medium- and light-duty vehicles segment. On this front, the ProGen engine can be a game-changing product. Plug Power has already signed a deal with StreetScooter (a subsidiary of DHL) for delivery of ProGen hydrogen fuel-cell engines.The important point to note is that StreetScooter will initially deliver only 100 hydrogen fuel cell-powered trucks for on-road use. Therefore, the contract does not immediately add meaningful revenue.Based on the initial response, the order flow can potentially accelerate. The positive point is that the deal allows Plug Power to make inroads in terms of contact with electric vehicle manufacturers. The global EV market is likely to swell to $912 billion by 2026.Even if Plug Power taps the logistics service market, there will be enough potential to expand.Another potential positive for PLUG stock is expansion in the European markets. The agreement with StreetScooter coupled with an expanded contract with FM Logistic will help the company make its presence felt in a big market.The key question remains business scalability. The current contracts are relatively small in terms of adding to the backlog.As a matter of fact, Plug Power reported an order backlog of $540 million for the year ended December 2018. Importantly, the backlog has an execution period that ranges from 90 days to 10 years. Therefore, revenue visibility needs a boost in the coming years if PLUG stock is to trend higher. Final Words on PLUG StockPlug Power has a strong revenue guidance of $235 million to $245 million for 2019. In addition, the company expects revenue in the "medium-term" to increase to $450 million to $550 million.This growth is only possible if the company's ProGen sales gain traction in the medium and light-duty vehicle segment. The company is also looking at hybrid buses and small to mid-size cars as potential markets. However, it is too early to assume or conclude that these markets will deliver in terms of product acceptability and revenue growth.It therefore makes sense to remain in the sidelines. With a target to accelerate growth, Plug Power will need funding. Further, equity dilution can negatively impact PLUG stock.More importantly, it remains to be seen if the company's products gain wider market acceptance.As of this writing, Faisal Humayun did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks Under $5 to Buy for Fall * 5 Stocks to Avoid Amid the Ongoing Trade War * 7 5G Stocks to Buy Now for the Future The post Plug Power Stock Is High on Innovation but Low on Profitability Potential appeared first on InvestorPlace.
NYU professor Tensie Whelan is bridging the gap between people focused on sustainability and those focused on financial metrics. Her methodology offers a way to measure the real financial impact of investing in sustainable practices.
Chinese electric car maker NIO delivered 837 cars in July, down from 1,340 cars in June. Tesla’s delivery growth range was 110%–221% in the last year.
Shares of Ford Motor Company (NYSE:F) are fading again. The F stock price has dropped over 12% since the second-quarter earnings report three weeks ago. Ford stock now trades at its lowest level in almost four months.Source: Shutterstock Just around $9, Ford stock does look cheap at just 7x the midpoint of 2019 EPS guidance. A dividend yield of 6.6% adds to the case that the F stock price is simply too cheap. But there are risks here worth watching.Earnings have been headed in the wrong direction. Investors clearly are worried about a U.S. recession, as stocks fell sharply in midday trading Wednesday. Few companies take a bigger hit in a macro downturn than carmakers. That was proven in the 2008-09 financial crisis, which Ford barely survived and which bankrupted rivals General Motors (NYSE:GM) and Chrysler (now part of Fiat Chrysler (NYSE:FCAU)).InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks Under $5 to Buy for Fall This is not a safe play by any means, even if Ford stock looks cheap. Other iconic American companies like Kraft Heinz (NASDAQ:KHC) and General Electric (NYSE:GE) have offered the combination of low multiples and high dividend yields. Both stocks turned out to be painful value traps.Even with those considerations, however, there's an attractive case here. I argued at the beginning of the year that Ford stock was a buy, but one that would require some patience. Seven months later, that seems to be the case once again. Why Did the F Stock Price Fall After Earnings?On its face, Ford's second quarter report looks disappointing. The company's adjusted EPS of 28 cents rose only a penny year-over-year and came in three cents lower than Street consensus. Revenue was flat year-over-year, though in line with Street expectations.Perhaps more notably, 2019 EPS guidance of $1.20-$1.35 looks somewhat disappointing. Ahead of the report, analysts on average had been projecting net profits of $1.40 per share.But the quarter isn't quite as grim as it looks. Ford, owing to new accounting rules, saw a three cent negative impact to EPS owing to its investment in Pivotal Software (NYSE:PVTL). That aside, Ford's results almost exactly met Street expectations (or perhaps more accurately, analysts on average almost exactly modeled the company's performance).Even the almost flat revenue looks reasonably strong given that Ford is shrinking its lineup and seeing currency impacts overseas.Full-year profit expectations are disappointing, to be sure. They suggest a potential year-over-year decline against 2018's adjusted EPS of $1.30. Again, the big drop in the value of Pivotal shares is having an impact. More importantly, last year's results benefited from an unusually low tax rate of just 10%. Ford estimates the headwind from the increased (and more normal) tax rate this year to be 12 cents to 16 cents per share.This is not a quarter that suggests Ford earnings necessarily have peaked. Investors in the last three weeks, however, seem to be acting as such. Risks to Ford StockThat said, those investors might be right. Again, this is not a low-risk play, even with the low earnings multiple and the high yield. A recession would be painful for Ford, leading to both lower sales and potentially higher losses in Ford Credit. The company has some $90 billion in long-term debt attributable to that unit alone.There's still the long-running concern of "peak auto." It's possible that automotive unit sales -- which are now falling on a global basis -- have nowhere to go but down. Self-driving cars (at least in theory) would markedly lower demand, while Uber (NYSE:UBER) and Lyft (NASDAQ:LYFT) see themselves as competitors to car ownership, not just each other.And even with Ford expecting profit growth in 2019, earnings are declining on a multi-year basis. Adjusted EPS in 2015 was $1.93 (at a higher tax rate). The clear worry is that both auto sales and earnings for Ford have peaked. Combined with cyclical worries, that justifies the current price around $9. The Case for F StockFord stock, then, may not be quite as cheap as it looks. But that doesn't mean it's a sell. There's still a broad argument that the F stock price should return to, and stay in, the double-digits.Much of the earnings risk seems priced in at this point. Ford earnings have been declining in the second half of this decade, but there's room for improvement going forward.Cost-cutting will help. The smaller product footprint will lower capital spending, either creating more free cash flow for shareholder returns (or a recession buffer) or allowing Ford to invest in its own autonomous and electric vehicle efforts. Markets seem to be pricing in almost zero chance of success in those new markets.Ford is still losing money overseas. At some point, that will change -- or Ford will leave. Current earnings power from the U.S. business is likely in the range of $1.60 or higher, based on overseas losses and the consolidated tax rate. There's still a path for Ford earnings to grow from here, if not consistently and not perfectly.This is not a safe, "heads I win, tails I don't lose much" scenario. Cyclical risks are real. Market concerns are an issue. But Ford still has levers to pull -- and the F stock price still is cheap.It may take some time, particularly in a suddenly nervous market. For patient investors, however, F stock looks attractive and should provide solid gains at some point.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks Under $5 to Buy for Fall * 5 Stocks to Avoid Amid the Ongoing Trade War * 7 5G Stocks to Buy Now for the Future The post Ford Stock Looks Attractive On Another Pullback appeared first on InvestorPlace.
Up until fairly recently, I used to be a big fan of Elon Musk and his vaunted company Tesla (NASDAQ:TSLA). However, a series of unnecessary controversies and unforced errors made me change my opinion. Granted, I still think the man is a genius. However, I wanted to avoid the coming train wreck in TSLA stock.Source: Sheila Fitzgerald / Shutterstock.com And man, was that ever the right decision. Year-to-date, Tesla stock is down more than 28%. Of course, this figure includes the effect of June and July's sympathy rally in TSLA. Without it, shares would have shed closer to 40%.For the bears, I say "never say never." In my opinion, TSLA stock is on the verge of falling into an overwhelmingly negative ecosystem. From internal troubles to external headwinds, Tesla is about to face an unprecedented series of challenges.InvestorPlace - Stock Market News, Stock Advice & Trading TipsHere are three reasons to avoid Tesla stock (unless you want to short it): Recession Cuts Two Ways for TSLA StockOn Wednesday, the Dow Jones Industrial Average suffered an 800-point drop, the worst day of 2019 so far. Since no publicly traded company operates in a vacuum, virtually all stocks tanked. Even companies like UnitedHealth Group (NYSE:UNH) which has no exposure in China dipped severely. This drew fears of a coming recession.Logically, then, it wasn't a good day for Tesla stock, which does have exposure in China. In fact, before the U.S.-China trade war escalated in the past few weeks, TSLA was making an aggressive push toward dominating the electric vehicle market share in China. * 10 Stocks Under $5 to Buy for Fall You can say those plans got scuttled.But that's only the headline headwind. The other swing of the blade comes from a possible recession's associated risks. Primarily, I'm talking about oil prices. During the midweek session, the international oil benchmark Brent crude dropped more than 3% on weak global economic data.That's a massive problem for TSLA stock because it takes away the EV's principal selling point: eliminating pain at the pump.Thus, if we head into a recession, don't expect consumers to jump on EVs. By the way, Tesla's cars aren't that reliable, taking away another selling point and adding troubles to TSLA stock. Tesla Stock Could Get 'ICE-d'I believe most economists agree that we're headed toward at least a market correction, if not a recession. Given that we're on the longest bull market ever, I think that's a reasonable forecast.But let's say that we don't have a recession for whatever reason. Maybe President Donald Trump and Chinese President Xi Jinping engage in a "Titanic"-like bromance. Or maybe the Federal Reserve finally found the magic formula to quantitative easing.Would an extension of the bull market save Tesla stock? I highly doubt it because of the competition.As I argued last month, we're living in the golden age of the internal combustion engine, or "ICE" for short. While fossil-fueled cars are archaic compared to EVs, they offer astounding conveniences and performance at a great price.Previously, I used the example of a Toyota's (NYSE:TM) popular Camry: It's practical, sporty, reliable and affordable. Also, I think it's good looking. But the point is, modern ICE cars are combining so many attributes under one umbrella. On the other hand, because EVs represent relatively new technologies, they lack ICE cars' consumer friendliness.As an aside, consider General Motors' (NYSE:GM) 2020 Corvette. A mid-engine beast that resembles an Italian exotic, GM made the shocking announcement of selling their flagship for only $60,000. Who'd buy an EV under such an aggressive pricing environment?The innovation in ICE cars is bad news for TSLA stock. Same Old TeslaFinally, let's discuss the third reason to avoid TSLA stock: We're still dealing with the same old Tesla. Specifically, the company loves to overpromise and underdeliver.This has been a criticism that has dogged the company for years. Usually, this has revolved around car deliveries. But recently, the bearish assessment extends to product features, such as automated driving.In the past, Wall Street gave Tesla stock substantial leeway. After all, EVs represented an exciting new technology. And while traditional automakers forwarded ugly or otherwise uninspiring hybrids, Tesla cars were undeniably gorgeous. Stated differently, Tesla did EVs right.But the honeymoon phase is over. The Street wants to see hard numbers to back up the premium in TSLA stock. They also want Musk to stop making unnecessary errors and start taking his business seriously.Of course, some of the bullish arguments rest on the company doing exactly that. But for me, I'm going to read between the lines.As you likely know, Tesla has experienced a mass exodus of key executives. Most recently, chief technology officer JB Straubel stepped down from his post.You've got to wonder what's going on at Tesla. Executives at these types of organizations are overpaid and underworked. So it must take something extraordinary for them to give up such great money. Whatever the case, it's probably not conducive for TSLA stock.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks Under $5 to Buy for Fall * 5 Stocks to Avoid Amid the Ongoing Trade War * 7 5G Stocks to Buy Now for the Future The post 3 Reasons to Park Tesla Stock and Leave appeared first on InvestorPlace.
We’ve used TipRanks’ Top Analysts Stocks tool to search our database for the best stocks to buy in today’s highly volatile markets. While looking for investments with strong prospects for high growth and returns, we found companies with support from some of Wall Street’s top analysts.So, let’s get to it. Here are four stocks that analysts believe have potential to bring in high profits for investors, even as recession fears mount. All four show indications of being undervalued in prevailing market conditions and show a high upside.Amazon Stock Could Surge Back to $2,300E-commerce titan Amazon (AMZN) is down more than 12% from its peak above $2,000 in the first half of July. The slip does not indicate anything fundamentally wrong with the stock, however; for the most part, Amazon shares have simply been caught up in the general selling that has characterized recent weeks.The most important thing to realize about Amazon is that, despite the 1.15% earnings miss in the last quarter, the company showed a strong revenue beat; the $63.4 billion was higher than the $62.5 billion expected, 16.8% higher than Q1, and 20% higher than the year-ago quarter. The revenue gains come after Amazon spent $800 million during Q2 streamlining warehouse services and product delivery as part of a successful effort to ensure standard one-day shipping for all Prime customers. In short, Amazon prioritized sales growth over margins, accepting lower net earnings as the near-term cost of higher gross revenues.As investors digest that, the stock is likely to recover. 4-star analyst Scott Mushkin of Wolfe Research writes of Amazon’s Q2 and future prospects: “AMZN’s quarter clearly demonstrated that there is a demand elasticity for faster shipping, and the difference between 1-day and 2day can be significant for customers. Our research suggests that this is particularly true for faster-turning consumable items, which represents a relatively underpenetrated $1.5 trillion market and a meaningful area of long-term growth for Amazon… AMZN has outperformed the market so far this year and our research suggests that it should continue to outperform for the remainder of 2019.”In line with this bullish long-term view, Mushkin sets a Buy rating on AMZN shares, with a price target of $2,300, suggesting an upside of 30%. (To watch Mushkin's track record, click here) Mushkin's outlook matches well with Amazon’s consensus rating, a Strong Buy based on a unanimous 30 buys, and an average price target of $2,283. Shares of Amazon are currently priced at $1,762, so the stock has an upside potential of 29%. (See AMZN's price targets and analyst ratings on TipRanks)Monetization Potential Trumps Privacy Issues for FacebookOur second go-to stock is another tech giant, Facebook, Inc. (FB). The social media leader and innovator has had its ups and downs – the company’s issues with user privacy protections hardly need an introduction anymore – but it is still up 37% year-to-date, has shown positive user growth trends, and predicts revenue growth in the 15% range going forward. Even better, gross margins are stabilizing around 40%, and healthy number for any company.Despite the privacy issues, Facebook’s apps remain popular. Instagram and other the other digital products in Facebook’s ecosystem continue to attract users, and ad revenue naturally follows. Facebook is pushing ahead with plans to increase monetization of Messenger, WhatsApp, and Stories, and the Libra initiative announced in June signals a drive toward both blockchain currency and e-commerce.Susquehanna’s 5-star analyst Shyam Patil reiterates his Buy rating on Facebook, and raises his price target to $245, saying, “We still see FB as a reliable high-teens/low-20s percent top-line grower with potentially faster bottom-line growth over the next several years. Catalysts include continued strong quarterly performance, as the key drivers continue to play out, and successful product launches and monetization.”Patil’s price target on FB suggests a 36% upside to the stock. Of the stock’s potential, Patil says, “FB is a must-own for the second half.” (To watch Patil's track record, click here)Facebook’s analyst consensus rating, Strong Buy, is based on 33 buys and 3 holds. The stock is trading for $179, and the average price target of $234 implies an upside of 30%. (See FB's price targets and analyst ratings on TipRanks) Popular Trucks and SUVs Keep GM in the BlackGeneral Motors (GM), the largest of Detroit’s Big 3 automakers, delivered a happy surprise in Q2 by beating both revenue and earnings expectations. Dhivya Suryadevara, GM’s CFO, said, “We had a solid second quarter and expect the second half of the year to be stronger than the first half… based on our strong full-size truck rollout, other key launches and ongoing cost savings.”In addition to a good Q2, management is bullish about prospects going forward. GM expects sales to improve in 2H19 on a strong mix of pickup truck and SUVs, along with high-end CUVs, and predicts a full-year EPS between $6.50 and $7, an improvement from 2018’s full year earnings of $6.54.Writing from Barclay’s, analyst Brian Johnson says, “GM is making considerable progress in securing a role in a future world of Disruptive Mobility (shared autonomous driving)… With the rest of world stalled, and no Europe exposure to agonize over, the central engine of GM earnings power remains GMNA and within that its pickup, SUV and to a lesser extent CUV products. For 2019…, in pickups/SUVs, strength from a full year of ½ tons, a half year of ¾ tons more than offsets the headwind from the outdoing SUVs.”Johnson raised his price target on GM stock by 6%, from $48 to $51. This suggests an upside of 37% for the automaker, slightly higher than the stock’s 34% upside based on the average price target of $50. (To watch Johnson's track record, click here) The stock is selling for $37, and the analyst consensus rating of Strong Buy is based on 7 buys and 1 hold assigned in the last three months. (See GM's price targets and analyst ratings on TipRanks)Sky-High Potential Makes Novavax AttractiveThe fourth stock we’re looking at here, Novavax, Inc. (NVAX), is a biotech in the vaccine business. The company’s main product is a vaccine for respiratory syncytial virus, specially, a vaccine to protect newborn infants from the virus and the associated lung disease. The new vaccine, ResVax, failed its first Phase III trial, leading to a sharp drop in the company’s share price. Novavax shares skyrocketed whopping 40% yesterday, and there’s just one reason why: Yesterday morning, investment banker H.C. Wainwright announced a big price target upgrade on NVAX. The reason? "We think Novavax keeps winning with NanoFlu." In line with his upbeat outlook, H.C. Wainwright's Vernon Bernardino gives NVAX a $17 price target (up from $10), indicating confidence in an impressive 180% upside. (To watch Bernardino's track record, click here) Bernardino, writing of Novavax’s future prospects, says, “We made no changes to our models, as we previously believed the near-term focus would be completing an additional Phase 3 ResVax study… We look for share price appreciation to allow successful financings in 2020-2021, positioning Novavax to independently launch commercial NanoFlu worldwide. We think NanoFlu can achieve $1.7B in annual sales by 2028.” Like many biotech firms, Novavax combines high upside with high risk. The stock is selling for just $6 per share – but the average price target is $29, giving the stock an eye-opening upside potential of 394%. The analyst consensus rating of Strong Buy is based on 4 buys assigned in recent days, after the company announced the second Phase III trial for ResVax.