|Bid||218.84 x 800|
|Ask||219.00 x 1300|
|Day's Range||217.62 - 219.67|
|52 Week Range||176.87 - 219.67|
|Beta (3Y Monthly)||1.20|
|PE Ratio (TTM)||24.62|
|Earnings Date||Apr 25, 2019|
|Forward Dividend & Yield||5.76 (2.77%)|
|1y Target Est||204.44|
3M (MMM) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
[Editor's note: This story was previously published in March 2019. It has since been updated and republished.]In a market environment that overwhelmingly encourages constant activity by investors who seemingly want to double their money every week, a discussion of stocks to buy and hold forever seems comically out of place.And yet, for better or worse, that's the mindset all of us should adopt for most of our investing capital. More often than not, the more you trade, the worse you end up doing.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIt has been said (and verified) that 95% of true "day traders" -- the most aggressive and active of all market participants -- end up losing money by being too active for their own good. Conversely, the fact that Warren Buffett's favorite holding period is "forever" and how he's got a track record most investors would envy is just as telling. * 10 S&P 500 Stocks to Weather the Earnings Storm With that as the backdrop, here's a rundown of 10 stocks to buy and hold forever … or at least until something significant changes with your life plans or the companies themselves.Source: Shutterstock AT&T (T)Dividend Yield: 6.33% Year-to-date gain: 9.3%Calling a spade a spade, shares of telecom giant AT&T Inc. (NYSE:T) haven't been easy to own in a while. The stock is down 14% from its mid-2016 peak, while most other stocks are well up for the timeframe. The impasse has been an increasingly tougher wireless and broadband market. But now that plans to acquire media outfit Time Warner Inc (NYSE:TWX) look good a turnaround might have begun.If your intended timeframe really is "forever" though, a tough couple of years is nothing … particularly considering you're collecting a healthy dividend yield on your position's current value.More than that though, this is a telco name with a lot of clout, and a little more than $50 billion in the bank. And, if/when the Time Warner deal goes through, it will have yet another revenue-bearing weapon in its arsenal.Source: Shutterstock Alphabet (GOOGL, GOOG)Dividend Yield: N/A Year-to-date gain: 17.25%Fans and followers of the company will likely know that Google parent company Alphabet Inc (NASDAQ:GOOGL, NASDAQ:GOOG) beat last quarter's earnings estimate, posting $12.77 per share. What got lost in the shuffle is how operating margains fell to 21 % from last quarter's 24%. * 7 Stocks to Buy for Spring Season Growth Appreciated or not, Alphabet is a profit and revenue growth machine that has earned its spot on a list of "forever" stocks to buy. It may not always beat estimates, but it does always increase its numbers. That's because it keeps finding a way to serve as the middleman for about 70% of web searches done on desktops, and boasts being the preferred search engine for about 90% of the queries made via a mobile device.If it was going to be toppled, we'd see evidence of it by now.Source: Shutterstock 3M (MMM)Dividend Yield: 2.64% Year-to-date gain: 14.13%In an era where complicated companies are shedding disparate parts of themselves so each arm can be hyper-focused on doing one thing exceedingly well, 3M Co (NYSE:MMM) is something of an outlier. It offers everything from office supplies to healthcare products to the power transformers you see perched on top of power-line poles.It's wild mix that seems to work for 3M though, giving the company something to sell regardless of the economic environment.The clincher: 3M has managed to pay and increase its dividend every year going all the way back to 1977.Source: Shutterstock Walmart (WMT)Dividend Yield: 2.06% Year-to-date gain: 9.9%Yes, the advent of Amazon.com, Inc. (NASDAQ:AMZN) has proven problematic for the world's biggest retailer, Walmart Inc (NYSE:WMT). Rumors of Walmart's death at the hands of Amazon, however, have been greatly exaggerated.After being knocked over a few years ago, the company has regrouped, having figured out a way to fight the ever-growing reach of its online rival. The evidence? Last quarter's same-store sales grew 2.6%. Per-share profits missed estimates, to be clear, but much of that miss can be attributed to investments the retailer has been making in itself. * 7 Marijuana Companies: Which Pot Stocks Should You Buy? While it has been an ugly battle at times, Walmart has finally learned how to compete with Amazon.com. The fact that it can leverage its stores to do so only bolsters the bullish case. Southern Co (SO)Source: Shutterstock Dividend Yield: 4.74% Year-to-date gain: 19.6%No list of stocks to buy and hold forever would be complete without a utility stock. In good times and bad, consumers almost always pay their electricity bill. And, even though margins are thin and power providers don't have a ton of pricing power, they have little competition in most markets. Most requests for rate hikes are also approved without question.To that end, Southern Co (NYSE:SO) is one of the top picks of the litter.Southern serves nine million customers, mostly in the south, although it's represented in most of the major regions of the United States. More important, Southern Co has dished out stunningly consistent (even if tiny) profit growth, setting the stage for equally consistent dividends. It has not failed to increase its annual payout since the late 90's.Source: Shutterstock Johnson & Johnson (JNJ)Dividend Yield: 2.60% Year-to-date gain: 8.46%As advanced as we've become as a society, the need for medicines, surgical products and simple healthcare solutions like Band-Aids and Tylenol is never going to go away. That means Johnson & Johnson (NYSE:JNJ) -- which maintains a bigger product portfolio than most investors realize -- will always have something to sell to someone.That being said, don't think for a minute that a play on J&J is capitulation in the search for respectable growth. The company isn't just about treating tummy troubles and selling no-tears baby shampoo. * 7 AI Stocks to Watch with Strong Long-Term Narratives It still operates a pharmaceutical arm as well, with rheumatoid arthritis and Crohn's disease drug Remicade and blood-thinner Xarelto both driving more than $1 billion in annual sales for the company.Source: Shutterstock Berkshire Hathaway (BRK.B, BRK.A)Dividend Yield: N/A Year-to-date gain: 4.43%If the Warren Buffett mindset is the underlying philosophy in play here, why not go straight to the source and buy a piece of the fund he built from the ground up? That's Berkshire Hathaway Inc. (NYSE:BRK.B, NYSE:BRK.A).Sure, in his most recent letter to shareholders, the Oracle of Omaha said he's struggling to find new companies at a "sensible purchase price," which is the life-blood of the organization's growth. There's also the stark reality that the 87-year-old Buffett is increasingly less involved with Berkshire Hathaway. That separation is only going to widen as time marches on.Still, he has more than proven his way works for the long haul. Over the course of the past half-century, Berkshire stock has performed about twice as well as the S&P 500 has.Source: Shutterstock Waste Management (WM)Dividend Yield: 1.96% Year-to-date gain: 18%There's an old adage … the only two sure things in life are death and taxes.It's a humorous point about the limited nature of human life and the far-reaching power of the IRS. But, it's not necessarily a complete cliche. There's a third certainty. That is, as long as people are living on the planet earth, they'll be creating garbage to shuttle to their nearby landfill.Enter Waste Management, Inc. (NYSE:WM), which runs garbage-pickup services for 21 million North American customers. Although its top and bottom lines ebb and flow, the bigger trend for both is pointed upward. * 10 Dow Jones Stocks Holding the Blue Chip Index Back Look for more of the same too. As CEO Jim Fish pointed out late last month, "The babyboomers are coming into a period of heavy medical spend. All of our parents are aging and spending more on medical spend. There is medical waste generated from that, we are in that business. The industrial economy is important to us.Whether it's through repatriation from the new tax law, or just through the fact the U.S. and Canada are great places to do business and the industrial economy is showing some signs of life, we are a big industrial player on the back-end of the cycle."Source: Shutterstock American Water Works (AWK)Dividend Yield: 1.78% Year-to-date gain: 15.03%Perhaps just as certain as death, taxes and the creation of trash, as long as people are alive they're going to need water to survive. That puts a water utility name like American Water Works Company Inc (NYSE:AWK) in the catbird seat.Much like electricity providers Southern Company, American Water Works Company -- which offers water and sewer services to 15 million people in the United States -- is rarely told no when it wants to raise rates. Water service prices have risen at above-inflation rates for the past several years, and American Water Works Company has benefitted from that industry-wide trend. It's not apt to change anytime soon.Source: Shutterstock Colgate-Palmolive (CL)Dividend Yield: 2.50% Year-to-date gain: 16%Last but not least, while the purchase of things like cars are cyclical, and the automobile industry itself is subject to constant reinvention, there are some consumer goods people just buy over and over again without a second thought. Among those often-repurchased items are Colgate toothpaste, Palmolive dish soap, Speed Stick deodorant and Cuddly fabric conditioner.Yep, they're all made by Colgate-Palmolive Company (NYSE:CL), though they're only a small sampling of the brands you'll find under the company's umbrella. * 7 High-Risk Stocks With Big Potential Rewards Those who know the Colgate-Palmolive story well will know the company has gotten into some sloppy spending habits, crimping margins more than most shareholders would like. That's starting to change, however, with a serious and rather impressive cost-cutting initiative. The benefits of that work could last years, if not decades.As of this writing, James Brumley hold a long position in AT&T. You can follow him on Twitter, at @jbrumley.Compare Brokers The post 10 Best Stocks to Buy and Hold Forever appeared first on InvestorPlace.
Johnson & Johnson (NYSE:JNJ) has become a fan favorite in the investment community. Its strong balance sheet, collection of impressive brands and consistent dividend all give long-term investors a reason to stay with the name. So with earnings on tap Tuesday morning, should investors be nibbling JNJ stock?Source: Shutterstock For the upcoming quarter, analysts currently expect earnings of $2.04 per share on revenue $19.61 billion. Should Johnson & Johnson stock hit these consensus expectations, it will result in a year-over-year (YoY) decline of 4.9% and 2%, respectively.When it comes to the full-year numbers, analysts are looking for revenue to fall 60 basis points YoY to $81.05 billion, but for earnings to grow 4.9%. In both metrics, the ensuing quarters are supposed to get better for JNJ. Better-than-expected first-quarter results could lift the estimates for the rest of the year. Consider the fact that JNJ stock has beat both estimates for six straight quarters and this becomes a real possibility, although management's outlook will certainly be important.InvestorPlace - Stock Market News, Stock Advice & Trading TipsWill this be enough to lift the stock? We'll find out on Tuesday. Valuing Johnson & Johnson StockThe 2019 growth profile isn't all that impressive for Johnson & Johnson stock, although the numbers for 2020 are better. Analysts expect revenue growth to turn positive and expand by 4.3%. Earnings growth is forecast to accelerate from 4.9% to 6.5% in 2020 to $9.14 per share.Based on this year's numbers, JNJ stock trades at just under 16 times earnings. Ordinarily, paying 16 times earnings for negative revenue growth and sub-5% earnings growth is unattractive, to put it kindly. But JNJ is no average name. * 7 Mid-Cap Stocks to Find the Market's Sweet Spot The company has a strong balance sheet and steady cash flow growth. At the end of fiscal 2018, operating cash flow stood at $22.2 billion while free cash flow stood at more than $18 billion. These are impressive numbers and help explain the strength behind its dividend.Now paying out 2.65%, it's not the largest yield on Wall Street, but it's one of the most dependable. JNJ stock hasn't just paid a dividend for more than five decades, but it has raised its payout for an impressive 56 consecutive years. While this lags other dividend studs like Procter & Gamble (NYSE:PG) and 3M (NYSE:MMM), it shouldn't be ignored. Further, that dividend should get another boost this month.J&J does have an issue with its talc powder products and ensuing lawsuits. While that may cause bumps along the way, it will not be the iceberg that sinks the ship. JNJ stock will live on, and long-term investors shouldn't be shaken from their position on that worry.On that note, let's look at the charts. Trading JNJ Stock Click to Enlarge After a strong rebound out of the December lows, JNJ stock has been consolidating under $140 for more than six weeks now. $140 is clearly short-term resistance, while $135 appears to be support. Worth mentioning is that the 61.8% retracement for the 52-week range is just under $136, a level JNJ stock had been struggling with over the past few sessions.On Monday the stock jumped over this mark, although it's still below both the 20-day and 50-day moving averages. This sets up an interesting situation for JNJ stock now.Will the earnings results be strong enough to justify a move over the 20-day and 50-day moving averages? If so, I want to see how it handles $140. If JNJ gets over this mark, I want to see $140 act as support going forward.Should JNJ stock pull back instead, I want to see how it does against the 200-day moving average and possibly lower at $130. Between $130 and $140 and shares can stay rangebound, while a move outside of that range can create a change in character in JNJ stock. In short, it can create either a breakout or a breakdown.We'll know more on Tuesday. Traders should wait to see the results from earnings, while some long-term investors may feel comfortable adding to the name ahead of time.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Internet Stocks to Watch * 7 AI Stocks to Watch with Strong Long-Term Narratives * 10 Dow Jones Stocks Holding the Blue Chip Index Back Compare Brokers The post Is Johnson & Johnson Stock a Buy Ahead of Earnings? appeared first on InvestorPlace.
The 3M Open is still months away, but the course is shaping up and some big-name golfers have already committed.
3M Co. is showing off its creative side at Milan Design Week, the annual event that kicked off Tuesday and spotlights some of the world's top architects and designers. Milan Design Week typically features installations at the offices of Vogue Italia and the famous Salon del Mobile furniture fair, but this year there's a presence from big-name American corporations. Google Design Studio is also running an exhibition on neuroaesthetics, which is the study of why the brain finds certain things beautiful or pleasing.
It might not be an official Dog of the Dow, but 3M (NYSE:MMM) looks ready to learn a new trick on the price chart -- and pay out big-time dividends of another sort for investors buying MMM stock today. Let me explain.Source: Shutterstock 3M stock failed to make the Dow Industrials' Dogs of 2019 list. But income investors have little reason to cry. Outside of the widely followed dividend investing strategy, MMM stock is a dividend aristocrat.The company's 60-year history of increasing its dividend payout makes it a standout in the world of income investors. And right now for that consistency, 3M is willing to give you 2.72% for your participation as a shareholder. Nice, right?InvestorPlace - Stock Market News, Stock Advice & Trading TipsStill, as someone looking at MMM stock as an investment in today's market, as much as dividends can be a testament to a company's financial wherewithal, I'd gladly forfeit that payout in favor of some overdue capital gains on the price chart. MMM Stock Weekly Chart Like much of the market and most large cap blue-chips, 3M's gain from the ubiquitous late-December bottom is nothing to sneeze at. But my observation is MMM stock isn't nearly finished. In fact, shares appear due for a period of relative and absolute out-performance. * 8 Risky Stocks to Watch as Earnings Season Kicks Off As the provided weekly chart shows, MMM stock has also woefully underperformed the market over the past 15 or so months. While the Dow Jones Industrial Average has clawed its way back near its all-time highs, shares of 3M still have a good amount of ground to cover before enjoying that same feat. But if I'm correct, MMM stock is close to making that move.Bottom line -- or more aptly, the squiggly price line -- MMM put in a good deal more consolidation work preceding the broader market's own V-shaped bottom by establishing a more durable double-bottom pattern backed by key Fibonacci and moving average support. That's bullish. And now shares look nearly ready for a nice-size capital gains payout. Trading MMM StockFor like-minded investors bullish on 3M's price chart, I'd suggest waiting for shares to reclaim last week's high of $216.49. That's 10 cents above the high of the double-bottom base set back in September and offers investors a second opportunity at buying a pattern breakout. I'm anticipating that would definitely be bullish. But that's not all either.With 3M's pattern high set against the 50% retracement level from 2018's year-long correction, buying shares as they clear pattern resistance looks all the more compelling for some upside momentum and relative strength to work their way into MMM stock.For containing risk, I'd use a stop beneath last week's low of $209.26. That keeps exposure in MMM stock to 3.3%. That's manageable and avoids a possible failed breakout which could lead to a much larger price drop in 3M shares.If things go as planned, upon a breakout, a rally to test the 62% level might be considered for taking initial profits. But don't forget, we're interested in 3M's potential for outsized relative and absolute performance. As such, use a Post-It if needed, and remind yourself to be patient and get ready to ride the trend in MMM stock back to $255 and beyond!Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Medical Marijuana Stocks to Cure Your Portfolio * 8 Best Stocks to Buy for an April Rally * Top 20 Stocks to Buy for 20-Somethings! Compare Brokers The post Hereas Where You Buy 3M Stock for Capital Gains appeared first on InvestorPlace.
General Electric Fell 5% after JPM Renewed Its 'Sell' RatingJPMorgan Chase downgraded General Electric General Electric (GE) shares fell more than 5% on April 8 after JPMorgan Chase’s (JPM) well-renowned analyst Stephen Tusa renewed his “sell”
Earnings season always brings up tremendous anticipation and more than a little anxiety. Although we've enjoyed a decade-long bull market, individual names still must deliver the goods. Moreover, we're witnessing increased pressure on well-known blue chips to keep the party going. However, these stocks to watch face unusual difficulties.First, many big corporations have already warned investors not to expect too much this earnings season. According to The Wall Street Journal, many powerhouses such as Apple (NASDAQ:AAPL) and 3M (NYSE:MMM) have cut full-year profit forecasts due to a challenging environment. Therefore, executives will likely need a better-than-usual performance to keep investors satisfied.Second, several stocks to watch must contend with heightened -- and perhaps unrealistic -- expectations. As mentioned on the top, this bull is ten-years-old, a record-breaking number. However, this legacy is also a liability. Investors need extra motivation to justify risking their money. If they're not convinced, we could see a noticeable pullback in the major indices.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFinally, a good chunk of the companies set to release their earnings results shortly are bellwether firms. These institutions typically speak for their target industry, or in the case of big banks, the domestic economy. You couldn't ask for a more pressure-filled environment. Hence, the overriding anxiety on the Street. * 7 Cheap Energy Stocks to Buy Now No matter what your perspective on the markets, you should buckle up for a possible wild ride. Here are eight stocks to watch as we head toward a critical earnings showdown: Delta (DAL)Source: via DeltaAirliners represent a vital segment of the economy's pulse. If conditions are good, sector players like Delta Air Lines (NYSE:DAL) will benefit from a double dosage of revenue: first from the leisure travelers, and more importantly, from corporate clients. If DAL stock is any indication, the airliners should put forward solid performances.In particular, Delta raised its earnings per share guidance to 85 cents to 95 cents. That's a strong leap from the prior guidance of 70 cents to 90 cents. As a result, Delta stock took off on the boosted optimism, and shares haven't looked back since.Still, Boeing's (NYSE:BA) 737 Max jet imposes a dark cloud on the industry. With the Max grounded due to a possibly faulty software, DAL stock may lose on domestic-flight revenues. Despite some positives, I'd still put Delta on your list of stocks to watch carefully. Bed Bath & Beyond (BBBY)Source: Mike Mozart via FlickrAs the e-commerce revolution made brick-and-mortar retailers increasingly irrelevant, names like Bed Bath & Beyond (NASDAQ:BBBY) felt the heat. But despite many investors leaving BBBY stock for dead, it's actually one of the top performers this year. Since January's opening price, Bed Bath & Beyond shares are up 65%.But will investors want to speculate on this resurgent retailer? That's the $64,000 question. On one hand, its consensus EPS target for the fourth quarter of fiscal 2019 is reasonably attainable at $1.11. Further bolstering the argument for BBBY stock is that most covering analysts expect management to at least hit this metric. * 7 Cheap Energy Stocks to Buy Now However, Q4 earnings have consistently fallen since at least FY 2016. For prospective buyers to remain interested, they'll require a combination of results and a viable narrative. With so much competition, this is one of the stocks to watch that could get ugly. Rite Aid (RAD)Source: Shutterstock This is do or die for Rite Aid (NYSE:RAD). If we're basing our assessment just on the charts, chances are, you're looking at dead money. RAD stock has severely disappointed speculators, and even this year, shares are down 17%.Still, the company appeals to risk-takers because it's a well-known entity. In addition, management is throwing its full weight toward growth and expansionary efforts. In the past RAD stock experienced significant spikes in market value due to the underlying firm's pharmacy benefit manager business, as well as its enhancement of clinical services.Unfortunately, effort alone doesn't attract investor dollars. At some point, management must deliver the results, and this is where Rite Aid lacks. For instance, the company rang up $5.45 billion in Q3, which was less than 2% growth year-over-year.Certainly, RAD is one of the stocks to watch. However, I'm afraid it's not for the right reasons. JPMorgan Chase (JPM)Source: via WikimediaIf you have any interest at all in the markets, you'll drop everything this coming Friday. That's because JPMorgan Chase (NYSE:JPM) will release their Q1 2019 earnings results before the opening bell. Indeed, it's fortuitous that America's bank is releasing on Friday: if the numbers don't quite stack up, at least people will be happy for the weekend.In all seriousness, JPM stock is the ultimate bellwether among the stocks to watch this week. Consensus estimates peg EPS at $2.35. This is very much near the higher end of the estimate spectrum, which ranges between $2.12 and $2.44. In theory, everything is set up for a typical beat.However, JPM produced an EPS of $2.37 in the year-ago Q1. Therefore, anything less than that could disappoint Wall Street. Additionally, we've recently witnessed cracks in the armor of JPM stock. In Q4 2018, the big bank suffered an uncharacteristic miss. * 5 Data Center Buys That Deliver Sizable Income Needless to say, JPM must fire on all cylinders. Otherwise, most other stocks to watch are likely headed downhill. Wells Fargo (WFC)Source: Shutterstock Another big bank that's set for a severe earnings test is Wells Fargo (NYSE:WFC). Historically one of the most respected names in finance, WFC stock absorbed massive hits due to multiple scandals. The biggest involved Wells Fargo employees creating millions of fake accounts to meet ambitious sales targets.Obviously, this didn't sit well with clients and the general public. Last year, the big bank faced additional accusations, including imposing hostile work environments and mortgage discrimination. However, WFC stock has surprisingly kept pace with its brethren. This year, shares are up 8%.But will this positive momentum continue? This question is the reason why I'm putting WFC on my list of stocks to watch. Specifically, I'm looking to see if management echoes JPMorgan's thoughts about the economy and the broader markets. If both big banks disappoint in their earnings disclosures for the same reason, that's a clear sign to go defensive. First Republic Bank (FRC)Source: Ken Teegardin via FlickrAlso releasing its earnings result for Q1 this Friday is First Republic Bank (NYSE:FRC). I don't necessarily mean to lean heavily toward financial institutions for this list of stocks to watch. However, banks really are where the rubber meets the road for all kinds of businesses.But I'm really interested in FRC stock because I think in some ways it's a better indicator for economic health. Unlike stalwarts such as JPMorgan or Wells Fargo, First Republic Bank is a regional institution. However, it has a heavy presence in California and New York, the heart and soul of the American economic machinery.Therefore, you should pay close attention to the financials for FRC stock. Specifically, I'd like to see substantial growth in First Republic's non-interest income. This is the portion of revenue that deals with commerce-related activities, such as lending, advising and consulting. * Check Out These 5 Fast-Growing Stocks to Buy Today Do well here, and I can see a case for the ten-year bull turning eleven. If not, it's time to cash out. J.B. Hunt Transport Services (JBHT)Source: cloakedghost via FlickrI made a mistake in my earlier metaphor: transportation specialists such as J.B. Hunt Transport Services (NASDAQ:JBHT) is truly where the rubber meets the road. After all, if the economy isn't healthy, you wouldn't expect JBHT stock to perform well in the markets.Fortunately, J.B. Hunt has forwarded a solid showing in 2019, gaining nearly 15% since the beginning of January. However, the company releases its Q1 earnings results next week, and this is where things will get interesting.Consensus estimates peg EPS at $1.29. This target is near the higher end of estimates, which range from $1.14 to $1.37. So far, so good. However, J.B. Hunt's business appears to be getting more expensive, with net income trending sharply down YOY in Q4 2018.Obviously, this is one of the more important stocks to watch. Impressive results combined with a strong narrative could lift JBHT stock and others. However, rising expenses present a challenging headwind. Johnson & Johnson (JNJ)Source: Dawn Via FlickrJohnson & Johnson (NYSE:JNJ) is easily one of the most intriguing stocks to watch over the next several days. As a pharmaceutical and household-products name, JNJ stock enjoys two lucrative revenue channels. Moreover, the renowned organization pays out a 2.6% dividend, providing some shelter from volatility.Unfortunately, that shelter is necessary to protect against its own turmoil. Late last year, JNJ stock absorbed an uncharacteristic body blow. Allegations erupted that management knew the possibility that the company's baby products could be contaminated with asbestos. Because so many families trust Johnson & Johnson, the horrible optics hemorrhaged shares. * 3 Food Stocks Hungry for More Gains However, our own Chris Lau views JNJ as undervalued, and set for a possible rebound. He's right so far. But the real test comes in the form of Q1 results. I'm interested in the sales of household products. If consumers are starting to skimp out on essential goods, that's not a great sign for the economy.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 * 5 Data Center Buys That Deliver Sizable Income * 7 High-Risk Stocks With Big Potential Rewards * 3 Marijuana Stocks to Watch as New York, New Jersey Delay Legalization Compare Brokers The post 8 Risky Stocks to Watch as Earnings Season Kicks Off appeared first on InvestorPlace.
3M, the global innovation company, presents an installation at Milan Design Week 2019 that celebrates how nature inspires meaningful and sustainable solutions. 3M Design collaborated with renowned architect Matteo Thun & Partners to create the installation, “A Pinnacle of Reflection.” This unique partnership is driven by the shared ideals that curiosity and experimentation drive knowledge for problem-solving and progress. “This year at Milan Design Week we celebrate how nature inspires designers and scientists to learn and innovate every day,” says Eric Quint, vice president and chief design officer at 3M.
Boeing Gains on US-China Trade Optimism and 737 Max Software FixUS-China trade deal On April 4, Boeing (BA) stock gained ~3% on growing optimism about a US-China trade deal, which investors believe would bring massive orders for its 737 Max
General Electric's CEO's Revamped Strategy Drives Its Stock Price(Continued from Prior Part)BioPharma unit divestmentIn late February, General Electric (GE) made a breakthrough toward reducing its debt obligation and strengthening its balance sheet.
General Electric's CEO's Revamped Strategy Drives Its Stock Price(Continued from Prior Part)Cash flows to reboundCEO Larry Culp’s fast and effective actions have boosted investors’ confidence in General Electric (GE) stock, as is reflected in
General Electric's CEO's Revamped Strategy Drives Its Stock PriceGE stock rallied in the first quarterShares of General Electric (GE) have been surging since the beginning of the year and have probably seen the highest gain ever in a first
3M Co NYSE:MMMView full report here! Summary * Perception of the company's creditworthiness is neutral * Bearish sentiment is low Bearish sentimentShort interest | PositiveShort interest is low for MMM with fewer than 5% of shares on loan. The last change in the short interest score occurred more than 1 month ago and implies that there has been little change in sentiment among investors who seek to profit from falling equity prices. Money flowETF/Index ownership | NeutralETF activity is neutral. ETFs that hold MMM had net inflows of $6.67 billion over the last one-month. While these are not among the highest inflows of the last year, the rate of inflow is increasing. Economic sentimentPMI by IHS Markit | NeutralAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Industrials sector is rising. The rate of growth is weak relative to the trend shown over the past year, however. Credit worthinessCredit default swap | NeutralThe current level displays a neutral indicator. MMM credit default swap spreads are near their highest levels of the last 3 years, which indicates the market's more negative perception of the company's credit worthiness.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Broader Market Rose Due to Impressive Economic Data(Continued from Prior Part)Improving manufacturing activityBullish manufacturing data released by the ISM (Institute for Supply Management) eased the concerns about a US economic slowdown. According
To receive further updates on this 3M Company (NYSE:MMM) trade as well as an alert when it's time to take profits, sign up for a risk-free trial of Maximum Options today.This morning I am recommending a bullish trade on 3M Company (NYSE:MMM).Last week I said it was unclear whether the market would head higher or lower. My indicators gave sell signals, but personally, I was leaning toward the bullish side.InvestorPlace - Stock Market News, Stock Advice & Trading TipsWe have a Federal Reserve that is dovish and willing to keep the federal funds rate steady for the rest of 2019, market breadth (the ratio of advancing stocks to declining stocks) is healthy and the major indices remain above their major moving averages.Yesterday, the S&P 500 moved higher, which is a good sign. I still don't know where we're headed in the near term, but MMM looks like a good target for a bullish put credit spread. A Bearish Outlook?An analyst from J.P. Morgan (NYSE:JPM) has reiterated his bearish view of MMM, saying he sees evidence of "structurally lower profit growth." The stock did miss earnings per share estimates in its past two earnings reports, which is cause for concern.And the state of New Jersey is suing MMM, among other companies, to pay for cleanup costs from industrial contamination, which definitely isn't good news.Still, even after that bad news last week, the stock is retesting its recent highs at around the $212 level. And MMM is an attractive stock in the current market environment because it pays out a dividend.I also like the technical picture. MMM has support that should keep it above our strike prices in the short term. Support at $198I've already mentioned that MMM is retesting resistance at around the $212 level. If it is rejected at that level, it will likely head lower, and I think it has enough support to keep our trade profitable.Daily Chart of 3M Company (MMM) -- Chart Source: TradingViewThe last time MMM bounced off the $212 level, it dropped back down to $198 before turning back to the upside. I expect that support level to hold this time as well, which is why I'm recommending a put credit spread on MMM.Using a spread order, sell to open the MMM April 26th $185 put and buy to open the MMM April 26th $165 put for a net credit of about $0.45.Note: There are several April expirations available for MMM options. Be sure you are opening the weekly options that expire on Friday, April 26, 2019. About Ratio Call Debit SpreadsA put credit spread is a bullish position that involves writing (selling to open) an option and simultaneously purchasing (buying to open) an option at a different strike price in the same underlying security. The position, or leg, of the spread trade that you sell gives you a cash credit to your trading account. The option you buy limits your risk and lowers your margin requirement for the trade.This is a bullish trade in which you want the underlying share price to stay above the upper strike price of the spread. In this case, we want MMM to stay above $185 through the April 26 expiration.I recommend that you close this position and limit losses if MMM trades below $188 prior to the April 26 options expiration. For the sake of illustration, I marked that level on the daily chart above.Follow our Facebook page to receive each Trade of the Day direct to your News Feed -- and join the conversation.Ken Trester is editor of the popular Maximum Options program. Trester has been trading options since the first exchanges opened in 1973 with a winning streak that goes back to 1984 with money-doubling average annual profits since 1990.Compare Brokers The post MMM Might Head Lower, But it Has Support at $198 appeared first on InvestorPlace.
InvestorPlace feature writer James Brumley recently named the 10 Best Stocks to Buy and Hold Forever. Included in the group was Johnson & Johnson (NYSE:JNJ). While owners of JNJ stock have been handsomely rewarded over the past decade, I wonder where it ranks among the other nine companies on Brumley's list.Source: Shutterstock I have nothing against Johnson & Johnson. I use a number of its products, including Band-Aid, Aveeno, Listerine, Reactine and Tylenol. Part of Brumley's argument for owning JNJ stock for the long haul is that the company is so much more than these products. In fiscal 2018, JNJ's consumer division, which includes all of the brands listed above, had $13.9 billion in revenue and $2.3 billion in pre-tax income. That seems like a lot, but it accounted for just 16.7% of the company's overall revenue and 12% of its pre-tax income. InvestorPlace - Stock Market News, Stock Advice & Trading TipsWhile we recognize so many of its consumer brands, that's not where the growth is; it's in pharmaceuticals. But that's a subject for another day. * 10 Tech Stocks That Transformed Their Business In February, I wrote an article discussing how JNJ stock owners have paid a big price in the seven years that Alex Gorsky has been CEO. Sure, Gorsky's delivered above-average shareholder returns during his tenure as CEO, but given the strength of the markets over this period, it's safe to assume that other's in the healthcare industry could have done just as well at a much lower rate of compensation. Perhaps shareholders have become lackadaisical because it's hard to fathom someone making more than $400 million (that's only on JNJ stock) over seven years without expecting the world from him or her. A Little ContestThere are many ways to determine if a stock is worth holding forever. For this article, I'm not going to use any of these metrics. Instead, I'm going to look at the total compensation of the ten CEO's on Brumley's list over the past three years. Along with that, I'll compare the three-year annualized total return of all ten stocks. I expect it will tell me all I need to know about JNJ stock and the other nine companies. CompanyTotal CEO CompensationPast 3 YearsAnnualized Total ReturnPast 3 YearsJohnson & Johnson $76.8M 11.3% AT&T (NYSE:T) $86.2M -1.9% Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) $3 15.9% 3M (NYSE:MMM) $24.7M 10.4% Walmart (NYSE:WMT) $65.0M 14.9% Southern Co. (NYSE:SO) $34.4M 4.9% Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) $1.4M 12.4% Waste Management (NYSE:WM) $23.3M* 22.3% American Water Works (NYSE:AWK) $13.5M* 17.6% Colgate-Palmolive (NYSE:CL) $41.6M 1.1% The ResultsThe average annualized total return of these ten companies over the past three years is 10.9%. Six are over that return, and four are under it. Johnson & Johnson was mediocre, just three basis points higher than the average, yet its CEO was the second-highest paid of the bunch behind Randall Stephenson of AT&T, another overpaid chief executive. Is it interesting that the two lowest-paid CEOs -- excluding Warren Buffett of Berkshire Hathaway and Larry Page of Alphabet who are founders -- had the two highest-performing stocks of the bunch?I don't think so. Neither James C. Fish, CEO of Waste Management, or Susan Story of American Water Works, is going to be living on the streets anytime soon. Yet, if you own either of these stocks, you should be pleased with the balance between CEO compensation and shareholder returns. The Bottom Line on JNJ StockNothing anyone says will convince me that JNJ shareholders aren't getting a bad deal from their CEO. So, the next time you consider buying a stock, why not check on the CEO's three-year compensation relative to its three-year annualized total return. If it's not to your liking, take a pass and look elsewhere. JNJ stock might be one to hold forever, but it's not because Alex Gorsky is CEO. It's because of the all the hardworking people behind the scenes who never make it anywhere near the C-suite. As of this writing, Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Genomic Testing Stocks That Can Ease the Sting of Theranos * 4 Pot Stocks That Could Be Fizzling Out * 7 Mid-Cap Growth Stocks That Could Be the Next Amazon or Netflix Compare Brokers The post Is Johnson & Johnson the Best Stock to Hold Forever? appeared first on InvestorPlace.