|Day's Range||1.4900 - 1.7000|
An Atlanta woman is taking on Target’s use of plastic bags in a “Theresa versus Goliath” campaign. Theresa Carter, a native of Minnesota who is now living in Atlanta, has started an entity called “Customers who care.” In April, she launched a Change.org petition urging Target Corp. (NYSE: TGT) to stop the use of plastic bags. When asked why she chose Target, she explained that she is a regular shopper at the country’s seventh largest retailer, and it has limited alternatives to its single-use plastic bags.
Consumer-staples stocks have outperformed the broader market over the past year, but cooler returns lately have made stocks like Coca-Cola and Kellogg a little more attractive for income investors.
These days, the news cycle is driving the show. It seems that every day, how the market finishes is 100% based on what's going on with the trade war, what the Federal Reserve is doing, or just how good or bad the data has been. For conservative or investors near or in retirement, it can be maddening. Which is why utility stocks could be the best thing for their portfolios.After all, utility stocks feature plenty of steady cash flows and high dividends. It doesn't matter so much what the economy is doing as people still need to heat their homes, keep the water flowing, and power the lights. This steadfastness makes utility stocks a prime choice for conservative investors. And now with the Fed decreasing rates, other investors tend to like them too.No wonder why the sector proxy -- the Utilities Select Sector SPDR ETF (NYSEArca:XLU) -- has gained over 21% year-to-date. That's before dividends.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 8 Dividend Stocks to Buy for a Recession As you can see, there is power in owning the power producers. For conservative investors, the sector's strength and boring nature really do pay plenty of benefits in a market like this. With that, here are five utility stocks worth buying today. Utility Stocks Perfect For Conservative Investors: UGI (UGI)Source: Shutterstock Dividend Yield: 2.58%For conservative investors looking at utility stocks, they should focus on the number 33. That's the number of consecutive years that utility UGI (NYSE:UGI) has managed to increase its dividend for. And given its recent moves, it should be able to add 34, 35, and so on to that impressive streak.The key is that UGI has been smartly using the utility holding company model to its advantage.UGI owns plenty of boring electric and gas operations in the Northeast. These regulated assets provide the utility stock with plenty of steady cash flows. The firm has been using these cash flows to fund non-regulated and tangential assets. These assets provide higher profit margins and an extra boost to its bottom line.A prime example would its recent buyout of Columbia Midstream Group. UGI already owned several FERC regulated interstate natural gas trunk lines in the region. With the addition of Columbia, the utility now gained several gathering and processing assets that feed into its pipeline system. This allows UGI to instantly see scale and additional profits.This strategy seems to be working for UGI. Last year was one of its best on record and the gains have continued this year as well. Adjusted EPS for last quarter -- after accounting for the buyout of its MLP subsidiary AmeriGas -- jumped more than 44% year-over-year.With profit gains like that, UGI should have no problems hitting its 4% annual dividend growth targets. York Water (YORW)Source: Shutterstock Dividend Yield: 1.77%If you had to guess what stock has been paying dividends the longest, names like Coca-Cola (NYSE:KO) or Proctor & Gamble (NYSE:PG) may come to mind. But the title goes to a small and overlooked utility stock that may just be perfect for conservative investors. We're talking about humble York Water (NASDAQ:YORW) and its dividend streak of 203 consecutive years.York has been paying a dividend since its founding in 1816. The key comes from its operating niche. Water utilities are often monopolies in their operating regions. Moreover, they are heavily regulated. In this case, YORW provides water and treatment for 48 municipalities with York and Adams Counties in Pennsylvania. What's great about York is that it really has tried to grow massive like some water utilities. It just does what it does. Because of this, its results run like clockwork.And York has been pretty successful at winning rate increases from regulators. The latest one was approved at the start of the year. Given water's highly regulated nature, these rate increases provide just enough oomph to pay for rising costs, upgrades and boost profits. And York has handed those profits back via dividend increases. The latest one was a 4.4% jump. * 7 Stocks the Insiders Are Buying on Sale The reality is, YORW is not going to set your portfolio on fire and grow 1500%. But it what it can do is provide plenty of stability and income potential. Exactly what utility stocks should do. Consolidated Edison (ED)Source: Shutterstock Dividend Yield: 3.24%No list of stodgy utility stocks can be complete with Consolidated Edison (NYSE:ED). ConEd has been providing electricity, steam and natural gas for metropolitan New York for more than 180 years. And it turns out this niche of powering New York City, Westchester and parts of New Jersey is a very good one to be in. Thanks to their growing populations, steady economies and overall top-notch fundamentals, ConEd has become a profit and dividend champion.And the growth could keep coming. That's because ConEd has started to upgrade and make its system more high-tech.For starters, that includes plenty of renewable and solar energy projects in its operating region. Con Edison is actually the second-largest solar energy producer in North America. Secondly, ConEd has begun to roll-out new smart-meters and demand-response programs. This includes across its electric and natural gas operations. Here, consumers are rewarded for using less power at peak times. But for ConEd, this can be huge cost savings.Already, the utility has been struggling to meet the needs of New Yorker's when it comes to gas demand. It's simply having to buy more gas from third party players to meet the demand. Those costs are hurting its bottom line. With demand response, ED should be able to save a few dollars and reduce its outlays for gas. Even better is that regulators have allowed the utility to pass on the smart-meter costs to consumers. For ED stock, it's a win-win.It's a big win for investors as well and should help keep the dividends flowing at ED for years to come. NextEra Energy (NEE)Source: Shutterstock Dividend Yield: 2.22%Speaking of renewable energy, no utility stock is better at it than NextEra Energy (NYSE:NEE). That's because like previously mentioned UGI, NEE has managed to use the utility holding company model perfectly.To start with, NextEra owns plenty of regulated utility assets in the sunbelt. These more than 4.6 million customers provide plenty of stable cash flows into its coffers and used those cash flows to build-out its non-regulated assets. More specially, NextEra has become the largest producer of solar and wind power in the United States. The best part is that renewable energy has finally hit parity with traditional fossil fuels in many cases. And given the lower costs to maintain a solar or wind farm, margins are getting quite juicy at NEE.NextEra is able to sell excess power produced at these solar farms to other utilities looking to meet new regulations or fill their own power needs. At this point, it's just easier for them to buy power from NEE than build a renewable energy farm on their own.For NEE this has meant plenty of profit growth over the years. Since 2003, EPS has managed to grow at a CAGR of nearly 8% per year. For a utility stock, that's a very strong rate of growth. And NextEra hasn't been shy about handing out excess cash to investors. Dividends have grown by over 9% in that time. * 10 Recession-Resistant Services Stocks to Buy With its business model continuing to see benefits, NextEra represents one of the best utility stocks out there for investors. Vanguard Utilities ETF (VPU)Source: Shutterstock Dividend Yield: 2.73%As the saying goes, there's safety in numbers. To that end, a broader strategy may be best. Which is why investors may want to go with an ETF that covers the utility stocks. Surely, you could go with the previously mentioned XLU -- and it's a fine choice. But the Vanguard Utilities ETF (NYSEArca:VPU) might be a better pick.The reason comes down to coverage. The XLU holds just 28 utility stocks. VPU, however, offers broader coverage given its inclusion of large-, mid- and small-cap firms. That wide-sweeping approach bumps its total number of holdings to 69 different utilities. This includes all of them on this list. Better still is that VPU also beats the SPDR on expenses -- 0.10% vs. 0.13% -- and in terms of current dividend yield.Those slight differences in holdings, yield, and expenses have made VPU the better fund for the long haul. Over the last decade, the Vanguard ETF has managed to return about 12.46% annually. That's just over a half a percent more per year than the SPDR. Investing is a game of inches and that slight difference compounded over time really adds up. And yet, asset and trading volumes for the VPU are equally as swift.As a result, VPU should get the nod from investors looking for a broader approach to utility stocks. Given the market's rising volatility, they may just want to do that.At the time of writing, Aaron Levitt did not hold a position in any stock mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Dividend Stocks to Buy for a Recession * 10 Companies Making Their CEOs Rich * The 7 Best S&P 500 Stocks of 2019 So Far The post 5 Utility Stocks for Conservative Investors appeared first on InvestorPlace.
The Atlanta-based beverage giant installed the first of six trash trap systems in a southwest Atlanta creek that are meant to collect downstream litter.
Despite the Dow Jones Industrial Average enjoying a robust start to September, investors should remain leery. Aside from the ongoing U.S.-China trade war, we have the Brexit drama in the U.K. that could turn out ugly. Additionally, Germany is on the brink of a recession, if it's not there already. Logically, this doesn't bode well for certain market segments like consumer stocks to buy.If you've been paying attention to the global economy and not just our own indices, you'll appreciate that a cautious approach to investing is best. Early this year, South China Morning Post contributor David Brown suggested that international central banks must act quickly to quiet troubling economic conditions. Because that action apparently didn't happen, we're probably going to suffer some slowdown. Thus, consumer stocks levered to discretionary spending are suspect.However, I'm still interested in specific names of this far-reaching segment. While spending will likely slow over the next few months, it won't stop outright. Recession or not, people must make certain purchases, which means secular-industry consumer stocks to buy are very much in play.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFurthermore, I'm eyeing some companies that have a vice element. Although it's an incredibly cynical argument, let's face reality: vice tends to go up during economic hardships. For example, imbibing overall increased during the Great Recession, likely as a stress-coping mechanism. * 8 Dividend Stocks to Buy for a Recession Here are seven consumer stocks to buy that can outlast the coming recession. Coca-Cola (KO)Source: Soloviov Vadym / Shutterstock.com For several years, shares of Coca-Cola (NYSE:KO) languished in largely sideways trading. In retrospect, part of that probably had to do with the generally strong market and economic dynamics at the time. For example, in a robust bull market, a name like KO stock doesn't necessarily appeal to you. That's especially the case when you have high-flying technology companies competing for your attention.Now, the situation is different. Sure, KO stock is considered one of many consumer stocks, and in a downturn, consumers will reduce their spending. But as I mentioned earlier, they won't kill all consumptive behaviors, but rather, are more mindful of their expenditures. Here, Coca-Cola products are compelling because they offer a treat, a nice distraction away from stressful events or circumstances.And let's not forget that any form of cheap entertainment or distraction carries a premium in a recession. That was one of the main arguments supporting KO stock in the last major downturn. I believe a similar dynamic will support Coca-Cola in the next one. Campbell Soup (CPB)Source: HeinzTeh / Shutterstock.com While many investors have tuned into the Coca-Cola story this year, another name among consumer stocks to buy has made ripples, but perhaps without the same level of attention. Shares of Campbell Soup (NYSE:CPB) have soared this year, gaining over 45%. You'd have to go back quite a ways to when a bowl of soup was this interesting. Yet CPB stock might have room to fly.First, as strange as it is to say this, a recession would really help the case for CPB stock. If the economy slows, consumers will invariably whittle down their discretionary spending. Thus, the family budgeting for going out to eat should decline sharply. In addition, a particularly troublesome recession could see consumers cutting their personal budgets down to the bare essentials.Guess what? Campbell Soup is the bare essentials. * 7 U.S. Stocks to Buy With Limited Trade War Exposure Second, I like the fact that, like KO, CPB stock pays a dividend. And with a current yield of 3%, it gives concerned investors some buffer against potential volatility. Clorox (CLX)Source: Mike Mozart via Flickr (Modified)In the first two consumer stocks to buy, I featured consumables in the literal since. But with Clorox (NYSE:CLX), most of their products are not things you want to put in your mouth. That said, you might want to consider putting CLX stock in your portfolio. Let's take a look at some of the basics.For starters, most folks know the Clorox brand name as a household cleaning supply specialist. Here, the argument is simple: even in a recession, you've got to keep yourself and your environment clean. An ounce of prevention is worth a pound of cure or more, especially with current healthcare prices.And this logic for CLX stock extends beyond human use. One of Clorox's brands is Fresh Step, which is a popular cat litter brand. Americans love their pets, often changing their lifestyles to accommodate their furry friends.Finally, CLX stock isn't just about cleaning nowadays. Through the Hidden Valley brand, Clorox has some exposure to the food industry. Additionally, its Burt's Bees division offers lucrative personal care revenue opportunities. Costco Wholesale (COST)Source: Helen89 / Shutterstock.com I'll admit that I struggled with whether to include Costco Wholesale (NASDAQ:COST) in this list of consumer stocks to buy. In a bull market, COST stock makes sense. Although it charges a membership fee, customers are more than willing to pay it. Indeed, mainstream comedies like Employee of the Month confirm that Costco is both a cultural and retail phenomenon.But will shoppers be willing to dish out money for the membership dues -- and the 800 gallons of mayonnaise -- in a bear market? After all, people don't just shop at Costco for the necessities. They also go there to buy ultra-high definition TVs and the latest digital gadgets. Plus, not everything in Costco is a great deal. In a downturn, that doesn't support the case for COST stock. * 10 Companies Making Their CEOs Rich However, here's an important stat to remember: $100,000. That's how much money the typical Costco shopper earns in a year. In contrast, the typical Walmart (NYSE:WMT) shopper earns a much lower $56,482. Thus, in a downturn, Costco's revenue stream is more resilient than its competitors, driving the case for COST stock. Genuine Parts Company (GPC)Source: Shutterstock If we do incur a serious recessionary crisis, consumers will most likely abandon high-dollar, longer-term purchases. That's an incredibly longwinded way of saying most folks probably won't shell out money for new cars. In turn, economic hardship will incentivize people to hold onto their vehicles longer. Invariably, this benefits Genuine Parts Company (NYSE:GPC) and GPC stock.Now, Genuine Parts may not be a household name. However, you almost surely heard of their brands like NAPA Auto Parts. With large warehouses stacked with various automotive parts, drivers can save themselves significant money by doing basic work themselves. Thanks to various do-it-yourself videos on platforms like Alphabet's (NASDAQ:GOOG, NASDAQ:GOOGL) YouTube, the investment proposition for GPC stock isn't as much of a stretch as you might think.Moreover, there's a chance that GPC stock could benefit from higher-than-average income earners who drive European -- specifically German -- cars. As an automotive enthusiast, I appreciate the many intangibles that German carmakers bring to the table. However, their cars are ridiculously expensive to maintain.To get around this dilemma, I can imagine cash-strained drivers buying third-party components for their vehicles. Therefore, I wouldn't ignore GPC in your search for best consumer stocks to buy. Anheuser Busch Inbev (BUD)Source: legacy1995 / Shutterstock.com Perhaps one of the more surprising picks for consumer stocks to buy, shares of Anheuser Busch Inbev (NYSE:BUD) are actually performing very well this year. Since January's opening price, BUD stock has gained 50%. However, I think the fundamentals justify the enormous rally.First, entertainment or escapism comes at a premium during economic hardships, as I mentioned earlier. Now, it's true that technically, we're not in a recession. But some clues exist that we're headed there. For example, while the unemployment rate is at multi-year lows, this stat has never indefinitely stayed deflated. Plus, the August jobs report was disappointing, give all of us pause.However, that suggests some extra drinking off the job will occur, driving the case for BUD stock. * 8 Dividend Stocks to Buy for a Recession Second, Anheuser Busch owns the Bud Light brand, among other popular beers. Bud Light is the most popular beer in America by a long shot. Plus, it's incredibly cheap, which may help to steer recession-burnt and cash-strapped millennials back to beer from other frivolities. Logically, this boosts the case for BUD stock. Altria Group (MO)Source: Kristi Blokhin / Shutterstock.com Clearly, Altria Group (NYSE:MO) is the laggard in this list of consumer stocks to buy. On a year-to-date basis, MO stock is down 10%. Even worse, since the first of April of this year, shares are down nearly 25%.While declining interest in smoking has obviously hurt MO stock and its ilk, big tobacco has another concern: the ongoing vaping crisis. In short, a rash of acute lung illnesses which federal agencies believe is associated with vaping has impacted several states. So far, authorities are investigating six deaths that they presume relate to vaping.On the surface, that hurts MO stock because Altria has a 35% stake in Juul. At the center of the firestorm, anti-smoking advocates and politicians have blasted Juul for their marketing practices and their easily concealable products. Worst of all, the President threatened to ban flavored vaping liquids, which may decimate the industry.However, that creates all kinds of ugly that I don't have the space to detail comprehensively here. The big takeaway, though, is that it may do nothing to stop underage vaping because the proposed ban won't affect all vaping liquids. Moreover, banning vaping altogether may violate legal adult users' constitutional rights, as well as destroying an economically viable industry.Granted, this is a risky play. But if we have a reasonable resolution, which I think we will, MO stock could fly far higher than many other consumer stocks.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 Big IPO Stocks From 2019 to Watch * 7 Discount Retail Stocks to Buy for a Recession * 7 Stocks to Buy Benefiting From Millennial Money The post 7 Consumer Stocks to Buy in an Uncertain Market appeared first on InvestorPlace.
With the S&P 500 up more than 22% on a total returns basis year-to-date, all of the focus has been on this year's biggest momentum names. Coke has "only" shown investors total returns of 17.5% so far this year. When I say Coke's been enjoying an unmitigated rally for much of this year, it's not hard to see what I'm talking about based on the chart.
Stocks have soared in 2019, yet some of the biggest ETFs are seeing net outflows or slow growth as investors shift to smaller and more focused funds.
We searched, using our Zacks Stock Screener, for large-cap dividend stocks investors might want to buy after the U.S. Federal Reserve cut interest rates for the second time...
Although not a pure cannabis play, New Age Beverages (NASDAQ:NBEV) has had to deal with the same volatility. Since January's opening price, NBEV stock has dropped a staggering 37%. However, the downfall isn't due to a lack of trying.Source: Shutterstock Early this year, NBEV announced an addition to its Marley-branded beverages called Marley+CBD. Infused with cannabidiol or CBD, the cannabis compound brought a therapeutic element to the artisanal beverage series. Plus, the positive notoriety associated with CBD gave New Age Beverages stock a nice lift following the announcement.This past summer, New Age CEO Brent Willis showcased the company's Nhanced CBD line of oils, creams and lotions. Launched in Hong Kong, NBEV intends to expand into Japan and China next.InvestorPlace - Stock Market News, Stock Advice & Trading TipsUnfortunately, NBEV stock peaked in early February. From then on, save for some smatterings of good news, it's been all downhill for shares.That said, New Age Beverages stock appears to have found a bottom around the psychologically significant $3 level. Granted, most conservative investors should ignore this technical phenomenon. But for the speculators among you, NBEV might be an interesting play.In a strange way, I say this because of the current vaping crisis. Federal health agencies are investigating a recent spike of acute lung illnesses which they believe are associated with vaping. However, evidence suggests that illicitly sourced THC-infused vaping liquids are the real culprit. * 10 Battered Tech Stocks to Buy Now In the context of companies like Cronos Group (NASDAQ:CRON), the vaping crisis is a distraction. For the time being, it's probably kept NBEV stock in check, too. But in the long run, this issue may benefit New Age Beverages. Here's why: A Platform Crisis Will Give Way to CuriosityOne of the challenges of cannabis-based companies is overcoming the stigma associated with the plant. Typically, the term "cannabis" conjures up images of stoners smoking, or in this case vaping a joint.As my InvestorPlace colleague Will Ashworth noted, vaping or smoking products will always be a tough sell, irrespective of alleged health benefits. But products like beverages, oils and creams? That is a much more palatable situation, one that clearly favors New Age Beverages stock.Recently, I had a chance to sit down with corporate representatives John Weston and Paul Dibrito of cbdMD (NYSEAMERICAN:YCBD). During our conversation, we discussed the wide-ranging product diversity of the CBD and hemp space. For instance, cbdMD features ample ways to enjoy hemp-based therapies beyond vaping. They also have a pet product division called Paw CBD.What does this have to do with NBEV stock and the vaping crisis? No matter what's going on right now, an increasing number of people are interested in CBD for therapeutic use. Sure, the vaping platform might take a hit (no pun intended) from the present crisis. But the core substance itself has substantial support.Therefore, it's much easier to evangelize the benefits of hemp-based products to your family and friends when using socially appropriate platforms. You might not be able to roll a fatty for grandma, no matter how much she complains of pain. But a capsule or a refreshing beverage? That's much easier to swallow (pun intended).Plus, not everyone is healthy enough to smoke or vape. For instance, more than 25 million Americans have asthma. Vaping might not be the best choice for them. But a CBD-infused beverage, as far as I'm aware, is consumable by nearly everyone. NBEV Stock and Long-Term AmbitionsInterestingly, NBEV CEO Willis was formerly a Coca-Cola (NYSE:KO) and Anheuser Busch Inbev (NYSE:BUD) executive. As you might imagine, he's now a strong advocate of legal cannabis.But Willis' push to drive into Asia strikes me as extremely ambitious. When he mentioned Japan, I rolled my eyes. This is the country that arrested and deported former Beatle Paul McCartney. * 7 Momentum Stocks to Buy On the Dip Moreover, when Canada legalized recreational marijuana, the Japanese government issued a stern warning to its citizens living abroad: don't touch the stuff or risk severe penalties.In my opinion, this was an empty threat. However, it does demonstrate Japanese society's highly conservative viewpoint toward the cannabis plant.Naturally, this is an uphill battle for New Age Beverages and NBEV stock. At the same time, if you're going to break into Asia, doing so with CBD-infused beverages probably gives you the best chance of success.But as I said earlier, that sentiment should apply to almost anyone. New Age Beverages stock is incredibly risky. Due to its palatable platform, though, it might have an outside chance of delivering the goods.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 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Why the Vaping Crisis Might Benefit CBD-infused New Age Beverages Stock appeared first on InvestorPlace.
The new trading week didn't get started on a particularly impressive foot. Even with the intraday recovery effort, the S&P 500 still ended the day lower by 0.31%. Surging oil prices, thanks to an attack in the Middle East, sparked concern of a ripple effect.Source: Shutterstock Overstock.com (NASDAQ:OSTK) was the proverbial problem child, falling more than 20% to log a second day of losses following last week's big runup. Ford (NYSE:F) fell a more nominal 1.6%, with investors digesting the response to a recent UAW threat to go on strike, in addition to news that the company is recalling more than 300,000 Explorers due to dangerous seat edges. * 10 Recession-Resistant Services Stocks to Buy Headed into today's trading action, it's the stock charts of Southwest Airlines (NYSE:LUV), Visa (NYSE:V) and Coca-Cola (NYSE:KO) that have earned a closer inspection. Here's why, and what to look for.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Coca-Cola (KO)It has been one of the healthier trades this year, despite the drinking public's growing aversion to sugary beverages. In fact, Coca-Cola shares have rallied an amazing 20% since March's low, overcoming its February stumble with relative ease.The sheer speed and span of the move in an environment that doesn't favor most of the company's fare, however, has left KO stock vulnerable to some profit-taking. One more technical misstep could push Coca-Cola shares over that edge. * Click to EnlargeThe "edge" in question is the straight-line support that connects the bulk of the lows seen since March's pivot. It's plotted as a dashed blue line on both stock charts. * KO shares are no stranger to big swings. In fact, they make them on a rather reliable basis. All of the recent cases where the weekly chart's RSI line entered overbought territory led to major setbacks. * Although up for the past couple of months, take note of the fact that there's been more bearish volume than bullish volume. * The purple 50-day moving average line may also be a make-or-break support level at this time. It has been in the past. Southwest Airlines (LUV)Airline stocks are inherently erratic, impacted not just by the ebb and flow of demand for travel, but by the ebb and flow of oil prices. The two differing factors don't always behave with respect to one another as one might expect. Southwest Airlines has been no exception to this norm.There has been a method to the madness though. LUV stock has hammered out the formation of a familiar and telling shape. And, it has done so with a fairly predictable context that implies a breakout thrust could be brewing. * 7 Momentum Stocks to Buy On the Dip * Click to EnlargeThe bigger-picture pattern is a converging wedge shape, marked in blue lines on both stock charts. The lower edge of the wedge patterns, as can only be seen on the weekly chart, extends all the way back to 2015. * There's also something important but easy to overlook in the moving average lines plotted on both stock charts. They're all essentially converged now, setting the stage for a divergence from this point forward. * Tilting the scales in a bullish direction is the high-volume gains that started to materialize last week, and the subsequent push above a not entirely perfect upper boundary of the wedge shape. Visa (V)Finally, Visa has dished out some unexpectedly lengthy and sizable rallies since the beginning of 2017. In fact, the only real rough patch was the weakness most other stocks suffered in the final quarter of last year. And even then, V stock snapped back to an even stronger rally.As could be expected though, the weight of that eight-month gain is starting to prove unbearable. Visa shares have been hit hard a couple of times since last month, and while the advance hasn't been shattered yet, it's nearing that point. * Click to EnlargeThe weekly chart puts things in perspective. Last week's high had V shares more than 17% above the 200-day moving average line marked in white on both stock charts. That's the biggest divergence in years. * The line in the sand, so to speak, is the 100-day moving average line marked in gray. * Possible landing points include the $156.70 area marked in yellow on the daily chart, where V shares found support a couple of times in May, and then the 38.2% Fibonacci retracement line at $162.16, marked on the weekly chart.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about him at his website jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post 3 Big Stock Charts for Tuesday: Southwest Airlines, Visa and Coca-Cola appeared first on InvestorPlace.
Brown-Forman (BF.B) witnesses strength across its brand portfolio and geographies, which is aiding bottom-line performance. But ongoing tariff-related and higher input costs are headwinds.
Actress and environmental activist Shailene Woodley joins Yahoo Finance to chat about her efforts to rid the world of harmful plastics in oceans.
Atlanta's fast-growing medical marijuana startup continues to build out its executive team, adding another former Patrón leader to its C-Suite and also hiring a Coca-Cola alum to expand its international footprint. Surterra Wellness said Monday it named Lee Applbaum as the company's new chief marketing officer, following his stint at Bacardi Global Brands Limited, where he was global CMO for Patrón Tequila and Grey Goose Vodka.
FEMSA (FMX) witnesses positive momentum, owing to earnings beat in second-quarter 2019 and rise in sales. Additionally, the company's growth and expansion efforts place it well for long-term growth.
Breaking bad actor Dean Norris has taken the fictional beer Schraderbräu, the mythological homebrew from Norris’ beloved character Hank Schrader, and made it a reality.
U.S. stock futures are trading higher this morning and now sit a whisker from new records.Source: Shutterstock Ahead of the bell, futures on the Dow Jones Industrial Average are up 0.32%, and S&P 500 futures are higher by 0.22%. Nasdaq-100 futures have added 0.07%.In the options pits, calls continued their recent trend of trouncing put demand while overall volume came in near average levels. By the time the closing bell rang, 21.7 million calls and 16.5 million puts traded. Meanwhile, over at the CBOE, the single-session equity put/call volume ratio remained near its two-month low at 0.55. With the spate of low readings in September, the 10-day moving average continues to be pulled lower to close under 0.62.InvestorPlace - Stock Market News, Stock Advice & Trading TipsA diverse group of equities landed atop the most-active options leaderboard. Coca-Cola (NYSE:KO) was flooded with options volume ahead of today's dividend payout. Square (NYSE:SQ) fell to a nine-month low on above-average volume. Finally, Intel (NASDAQ:INTC) rallied for its seventh day in a row, but resistance overhead gave a reason for put buying. * 10 Big IPO Stocks From 2019 to Watch Let's take a closer look: Coca-Cola (KO)Consumer staples have enjoyed a consistent upward march this year, and nowhere has the trend been more obvious than in Coca-Cola. Plunging interest rates are creating renewed demand for dividend payers. KO stock's 2.92% stands tall compared to the 10-year yield, which is plumbing to the depths near 1.75%.And it is this juicy dividend that options traders have to thank for Thursday's explosive volume. The boom in call volume was driven by investors seeking short-term control of the stock for eligibility to the upcoming 40 cent quarterly payment. KO is trading ex-dividend this morning requiring you to have owned it by yesterday's close to participate in the next pay-day.As is usual with dividend targeting, calls drove the bus with activity zooming to 721%. In total, 206,418 contracts changed hands with 95% of the tally coming from calls.Implied volatility pushed to 20% landing it at the 29th percentile of its one-year range. Premiums are baking in daily moves of 69 cents or 1.3%. Square (SQ)The broad market is a whisker from record highs, but some sick stocks are sinking toward 52-week lows. You can count Square shares among the ill. SQ fell for the fifth straight day yesterday amid increasing distribution.And the charts leave little room for optimism moving forward. The next potential support zone isn't until $52.50, which is 9% lower. While buyers could swoop in to the save the stock before then, I certainly wouldn't bet on it with every major moving average now pointing lower.On the options trading front, puts outpaced calls by a slim margin. Total activity climbed to 250% of the average daily volume, with 159,984 contracts traded. Puts accounted for 52% of the sum.Despite the deterioration, we've seen virtually zero fear. Implied volatility just sank to 39% or the 6th percentile of its one-year range. Premiums are cheap, so if you're banking on the bears, long puts or put spreads are attractive. Intel (INTC)Intel is on the rise, notching its seventh straight daily gain yesterday. The nascent recovery has been strong enough to pull the 20-day and 50-day moving averages higher. This confirms buyers have officially wrested control of the short- and intermediate-term trends.INTC stock now stands at a critical juncture; $53.25 is a powerful resistance zone that has kept a lid on INTC ever since April's disastrous earnings drop. Tack on the fact that Intel shares are extremely overbought and this is as logical a level as any for the stock to pause. At any rate, it's not a low-risk entry, so I'd caution against piling in here. A pullback would provide a better spot to jump in. * 7 Stocks to Buy to Ride the Vegan Wave As far as options trading goes, puts proved more popular despite the day's rally. Activity swelled to 155% of the average daily volume, with 101,473 total contracts traded; 56% of the trading came from puts.Anxiety has been easing alongside the price rally. Implied volatility has fallen to 25% or the 23rd percentile of its one-year range. Premiums are pricing in daily moves of 83 cents or 1.6%.As of this writing, Tyler Craig didn't hold a position in any of the aforementioned securities. Check out his recently released Bear Market Survival Guide to learn how to defend your portfolio against market volatility. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Big IPO Stocks From 2019 to Watch * 7 Discount Retail Stocks to Buy for a Recession * 7 Stocks to Buy Benefiting From Millennial Money The post Friday's Vital Data: Coca-Cola, Square and Intel appeared first on InvestorPlace.
(Bloomberg) -- The China-U.S. trade war threatens to upend the supply chains of multinational technology companies. But smaller businesses are also getting caught up in the dispute.U.S. startups seeking funding must now consider relations between Beijing and Washington. According to one, that means turning away from Chinese investors and overseas cash in general in favor of raising money in the U.S. It could also accelerate the need to go public, according to Ripcord Inc. founder Alex Fielding.“Would I say that there was any risk from any investment that we took from a Chinese fund? No. I think they’re all great investors. It’s good money from good people and banks that are well known. This isn’t terrorist money,” he said. “Is there risk to Ripcord as a company for taking it? There is now.”Ripcord, which uses robots and artificial intelligence to scan and classify paper documents, previously got financing from sources including the venture capital arms of Chinese search leader Baidu Inc. and Beijing-based conglomerate Legend Holdings Corp. Now Fielding is looking for new investment to help the Hayward, California-based startup expand overseas. The trade war stands in his way.Instead of expanding to China and raising more money there, Ripcord’s first international move is to enter Japan via a new branch in Tokyo that will work with a large bank. And Fielding is eyeing cash from U.S. strategic investors with the ability to commit more in further rounds as needed. That should give Ripcord more time to grow before turning to public markets, he said.Decisions like this are part of the reason Chinese investment in U.S. startups is falling. There have been 25 rounds with at least one China-based investor so far in the third quarter, down from a peak of 67 in the second quarter of 2018, according to market tracker Preqin.Ripcord, whose clients include Coca-Cola Co., has carved out a niche by digitizing information on paper so it can be loaded into corporate data bases. Its 30,000-square-foot-factory space in the San Francisco Bay area houses giant machines that the startup builds itself. Ripcord has the equipment made domestically by U.S. companies. That’s more expensive than outsourcing to Asia, but more prudent in this new environment, he said.The problem with a greater association with China is that the U.S. administration could decide to classify a Ripcord investor or partner as a security risk, which could be fatal for the startup, according to Fielding.“There’s a lot of companies that are probably in that boat, weighing: Do we take a local investment that’ll cost us more than a foreign investment when there’s risk that comes with that?” he said. “It was never a part of the narrative, and now it is.”For Ripcord, Fielding believes the extra maneuvering will be worth it because he sees such a big opportunity. About 49 trillion sheets of paper are printed annually. Ripcord has scanned hundreds of millions of sheets this year and will pass 1 billion sheets next year.To contact the reporter on this story: Ian King in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Jillian Ward at email@example.com, Alistair Barr, Mark MilianFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Coca-Cola (NYSE:KO) stock is more expensive than PepsiCo (NASDAQ:PEP) in most value metrics for the two companies' valuations in relation to their sales, earnings and cash flow.Source: Elvan / Shutterstock.com For example, KO trades at 24 times its forward price-to-earnings ratio. It also is valued at 25.1 times enterprise value to EBITDA. By contrast, PEP trades at 23 times earnings and has an EV-to-EBITDA ratio of 17.1.Another example is that the market values KO stock's enterprise value at 8.2 times its sales, whereas PEP is at 3.4 times EV-to-sales.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Differences with Dividends and YieldsKO stock has a slightly higher dividend yield than PEP. Coca-Cola stock yields 2.9% and PepsiCo's yield is 2.8%.However, KO spends more of its earnings on dividends, paying out 77.4%. PEP pays out only 68.4 % of its earnings-per-share in dividends.If PEP paid out 77.4% in dividends like KO, its dividend per share would be 13.1% higher -- $4.32 annually. So at today's price of ~$136.36, PEP's dividend yield would be higher than KO's -- 3.17% vs. KO stock's 2.94%.Moreover, KO has grown its dividends at only 6.85% during the past five years. PepsiCo dividends have grown faster at 9.88% over the same period. And remember PEP pays out less of its earnings, so its growth rate would be even higher on a comparable payout basis. * 10 Big IPO Stocks From 2019 to Watch PEP's Total Return Has Been Better Than KO, Despite Being CheaperNormally you would think that since KO stock is more expensive than PEP its stock performance would have been better than PEP's. But over the past year, KO stock has risen 19% and PEP has risen 20%. So PEP has outperformed Coca-Cola by 5.37%.Even more interesting is that PEP's total return has also been better. Remember that KO has a higher dividend yield than PEP -- 2.94% (KO) vs. 2.81% (PEP). If you add in the actual dividends declared over the past year, KO has paid out $1.59 per share in dividends. One year ago KO's price was $46.02, so the dividends paid earned investors 3.46%.PEP declared $3.765 per share in dividends over the past year. Based on the year-ago price of $113.85, these dividends earned investors 3.31%.On a total return basis, Coca-Cola stock earned investors 22.46% (19 % price appreciation plus 3.46% in dividends). But PEP earned their investors 23.34% (20.03 % plus 3.31%).So, even though PEP is cheaper than KO stock and has a lower dividend yield, investors in PepsiCo would have made 3.89% more on their investment than those in Coca-Cola stock, including dividends. Why Has PEP Outperformed KO Stock?The answer here is mixed. In Q2, Coca-Cola grew its EPS 12% over the past year in Q2. PepsiCo's EPS grew 13%.But both companies also measure their earnings on an "organic" basis, which strips out currency effects and other non-comparable distortions. KO's organic EPS was up 6% but PEP had 0% growth.The measure I like to look at is free cash flow (FCF). This is a measure of actual cash flow returns. Based on my analysis, Coca-Cola had an amazing 46.5% increase over the past year. PepsiCo's FCF grew a respectable 35.7%.But even that measure is not a perfect comparison. For example, PEP spent a much larger amount of money on capital expenditures, in both dollar volume and as a percent of sales, than Coca-Cola -- effectively investing for future performance. If the two capex numbers are put on a comparable basis, PepsiCo's FCF growth would be as good as Coca-Cola's.So by some measures, Coca-Cola performed better than PepsiCo, and in others, PepsiCo outperformed. There is no clear winner here.Maybe the difference between the two companies is how they see the future. Future Guidance for the Companies Is Very SimilarKO indicated that its EPS is likely to be -1% to +1% higher in 2019 over 2018. PepsiCo has guided to a 1% lower EPS number for 2019.These are not big differences. * 7 Discount Retail Stocks to Buy for a Recession In fact, the only real difference I can see between the companies is that that PEP's stock is significantly cheaper than KO's stock valuation. I pointed this out at the beginning of this article. SummaryPEP's stock is cheaper and outperformed KO stock. There is not much difference in their financial performance.I suspect PEP is therefore likely to perform better than KO stock on a total return basis over the next year.As of this writing, Mark Hake, CFA does not hold a position in any of the aforementioned securities. Mark Hake runs the Total Yield Value Guide which you can review here. The Guide focuses on high total yield value stocks and was launched on August 30. Subscribers during September receive a 20% discount, plus a two-week free trial. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Battered Tech Stocks to Buy Now * 7 Strong-Buy Stocks Hedge Funds Are Buying Now * The 7 Best Penny Stocks to Buy The post Why You Should Buy Pepsi Instead of Coca-Cola Stock appeared first on InvestorPlace.
Canopy Growth (NYSE:CGC) has bounced back by 16.3% so far in September after a brutal sell-off over the past few months. I recommended Canopy Growth stock back on Au. 30. I felt the stock had been oversold given how little its fundamental picture has changed.Source: Shutterstock A brand new report on Canadian cannabis market share seems to confirm the idea that Canopy is dominating the nascent Canadian market. Experienced investors know a first-mover advantage is extremely valuable in the long-term.One of the biggest reasons why CGC stock has dropped in the past few months is because its losses have been heavier than expected. However, the early market share numbers suggest Canopy's strategy of aggressively investing in ramping up its business is already paying off.InvestorPlace - Stock Market News, Stock Advice & Trading Tips The NumbersBank of America found Canopy has a 25% market share of all cannabis listings in Canada. The study included 1,980 listings, 101 brands and 39 different cannabis producers. * 10 Stocks to Sell in Market-Cursed September Canopy Growth Corp has the largest share of the Canadian market by a long shot. Analyst Christopher Carey says Canopy's market share is roughly double the 13% market share of its closest competitors, Aurora Cannabis (NYSE:ACB) and Organigram (NASDAQ:OGI).Carey says establishing that first-mover advantage is critical."Establishing distribution - early and big - can be significant in creating long-term market share moats for a business competing in new consumer categories prone to fragmentation," he said.Unfortunately, the market share study wasn't all good news for Canopy Growth stock. The 25% "share of listings" represents product already on shelves throughout Canada. Bank of America also looked at "sell-in," or total retail purchases of cannabis. Sell-in represents the future share of listings. In that statistic, Canopy has dropped to second place with 22%, trailing Aurora at 27%. The Future of CannabisCarey says investors shouldn't get too worried about Canopy losing sell-in share. In the June quarter, Canopy's harvest jumped 183% quarter-over-quarter, much of which was hot-selling THC flower.Carey is expecting this spike in harvest will translate to a 33% quarterly increase in Canopy sell-in in the fiscal second quarter of 2020. That big push could push Canopy back ahead of Aurora in sell-in share.Obviously having that top market share spot is ideal, but as long as Canopy remains at or near the top, investors should be rewarded in time. Certainly, investors want Canopy Growth to be the Coca-Cola (NYSE: KO) of cannabis, but it will be just fine if Canopy Growth stock ends up the PepsiCo (NASDAQ: PEP) of Canadian cannabis.In fact, PEP stock has generated a total return of more than 2,630% over the past 30 years. KO stock has a total return of 2,570% in that time. How to Play Canopy Growth StockThe latest Canadian market share numbers were certainly good enough to keep Carey in the bull camp when it comes to CGC stock."Canopy remains a company, if a still imperfect story, with a chance at becoming a leading global player in cannabis, especially given its industry leading [balance] sheet and partnership," he said.Bank of America has a "buy" rating and $27.66 price target for Canopy Growth stock.If you are a cannabis investor that believes the industry is just getting started, I think you can't go wrong owning Canopy Growth stock. My only recommendation would be to hedge your bets by owning ACB stock and at least two or three other cannabis stocks as well.As much as you love Canopy Growth stock and think Canopy will end up as the Coke or Pepsi of cannabis, it is still extremely early in the cannabis game. Especially in the event of U.S. legalization, there will be plenty of demand to support multiple market winners.It's likely most of the smaller names can't beat out Canopy Growth Corp and Aurora directly. But they might make appealing buyout targets down the line.I would recommend all cannabis investors buy Canopy Growth stock, ACB stock and at least two more of their favorite cannabis plays for a more diversified approach to the market.As of this writing, Wayne Duggan did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post Canopy Growth Stock Needs to Be One of Your Main Cannabis Plays appeared first on InvestorPlace.