|Bid||0.00 x 900|
|Ask||110.00 x 1100|
|Day's Range||106.39 - 107.33|
|52 Week Range||85.76 - 108.89|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.04|
|Expense Ratio (net)||0.20%|
These days it's easy to simply buy an index fund, and your returns should (roughly) match the market. But investors...
I saw article recently that caught my attention. The subject was dividend stocks, and it highlighted 32 that could double in value over the next five years. Who wouldn't want to read this kind of article? Heck, ya. Where do I sign?Using the Rule of 72, to double in value in five years a stock's got to deliver an annualized total return of 14.4%. That sounds easy enough. InvestorPlace - Stock Market News, Stock Advice & Trading TipsCare to guess how the S&P 500 performed over the past five years? I'll save you time. The SPDR S&P 500 ETF (NYSEARCA:SPY) had an annualized total return of 11.3% over the past five years through April 22. The Invesco S&P 500 Equal Weight ETF (NYSEARCA:RSP), the equal-weight version of the S&P 500, generated an annualized total return of 9.6%, 170 basis points less than SPY and 480 basis points less than a 14.4% total return needed. So it's going to be difficult to find seven stocks that pay a dividend and can appreciate at a double-digit pace. And to make the task even more difficult, I'm going to find seven dividend stocks that doubled in price over the past five years and look ready to do it again over the next five. * 10 Stocks to Sell Before They Give Back 2019 Gains Here goes nothing. Domino's Pizza (DPZ)Source: Shutterstock 5-Year Annualized Total Return: 29.4%Dividend Yield: 0.9%Domino's Pizza (NYSE:DPZ) is having an off year. It's only up 7.5% year to date (including dividends) through April 22. It hasn't had an annual total return of less than 19% in the past decade, let alone the past five years. What's wrong with DPZ stock, I ask somewhat facetiously? Not much. Domino's reports Q1 2019 earnings April 24 and they're expected to be good. Over the past four quarters, DPZ had beaten the consensus estimate on three occasions, averaging a beat of 5.1% per quarter. In Q1, analysts expect earnings per share of $2.08, eight cents higher than a year earlier. On the bottom line, analysts see Domino's increasing sales by 7.7% in the first quarter to $846 million. A growth rate on par with last year's first-quarter report. In terms of same-store sales, it's expected to deliver 6.5% growth, 90 basis points higher than in the fourth quarter. The first quarter will be Domino's 101st consecutive quarter of same-store sales growth.With technology driving Domino's business in the years ahead, I'm confident that DPZ will make my list of repeat offenders. Microsoft (MSFT)Source: Mike Mozart Via Flickr5-Year Annualized Total Return: 26.7%Dividend Yield: 1.4%I don't think there's any question Microsoft (NASDAQ:MSFT) is a much-improved company since CEO Satya Nadella took the helm in February 2014. I recently said as much, suggesting Microsoft is a much more focused company than it was five years ago. And what shareholder can forget the fact a $10,000 investment in 2014 is worth $32,650 today? Unfortunately, if Nadella doesn't get the company's workplace culture under control, it might be all for naught. "Microsoft's lawyers have denied that the company systematically discriminates against women, and pointed out that the federal government has conducted nearly two dozen pay discrimination audits based on the company's work as a contractor. The audits only resulted in one violation, according to evidence provided in court records," wrote Vox contributor Alexia Fernandez Campbell April 11. I'm inclined to believe that Nadella's smart enough to know how important it is to make women comfortable enough to want to work at the company. I'd be shocked if we don't hear more in the coming months about the company's moves to eliminate the boy's club culture that currently exists. * 7 Red-Hot E-Commerce Stocks to Consider If it does this, I don't think there's going to be a problem with MSFT stock doubling for the second time in ten years. S&P Global (SPGI)Source: Shutterstock 5-Year Annualized Total Return: 24.0%Dividend Yield: 1.0%It's only appropriate that S&P Global (NYSE:SPGI), the people behind the S&P 500, more than doubled in price over the past five years. It's got a great business that's about more than stock indexes. Last October, I recommended investors consider SPGI and six other fintech stocks I thought were going to benefit from the digitization move in financial services. I've liked SPGI for a couple of years now because it's got diversified revenue streams"Regarding profits, its indices business delivered a 65% operating margin, significantly higher than any of its other three operating segments, so it's not time to write that business off just yet," I wrote October 24, 2018. In S&P Global's latest quarter, its 2018 year-end, the indices business generated just 13.4% of its overall revenue. However, it generated 18.6% of the company's operating profits. Meanwhile, although its ratings business -- the company's largest by revenues and profits -- saw little growth in 2018, the other three segments (Indices, Market Intelligence, and Platts) all had healthy gains on both the top and bottom line. As long as the digitization of financial services doesn't suddenly come to a grinding halt, I continue to see a long runway of growth for S&P Global. Apple (AAPL)Source: Apple 5-Year Annualized Total Return: 23.3% Dividend Yield: 1.4%By now you've probably heard that the long-running feud between Apple (NASDAQ:AAPL) and Qualcomm (NASDAQ:QCOM) is officially over. The companies came to a settlement agreement April 16.Apple agreed to pay Qualcomm an undisclosed amount up front and has signed a six-year global patent licensing deal with the San Diego company with a possible two-year extension. Also, Qualcomm will supply Apple with chips for its 5G iPhone modems. Questions remain why the two companies suddenly settled after barking at one another for the last two years. However, it's never good to have legal issues hanging over your head, so the news should be viewed as positive for shareholders of both companies. Apple reports earnings April 30 after the markets close. InvestorPlace contributor Nicolas Chahine put it best recently when addressing the company's weakness in 5G and how it might affect Apple's stock price:"The fundamental reason to own Apple stock is easy. This is the premier company on the planet and it has the financial statements to back it up. And it sells at a price-to-earnings ratio of 14, which is the cheapest of the technology mega caps," Chahine wrote April 22. I could not agree more. * 15 Stocks Sitting on Huge Piles of Cash Apple provides investors with a rock-solid balance sheet, robust free cash flow, and products and services that consumers want to use. It might not be the fastest to market, but they'll do enough to deliver a double over the next five years. Constellation Brands (STZ)Source: Shutterstock 5-Year Annualized Total Return: 21.4%Dividend Yield: 1.4%Ever since Constellation Brands (NYSE:STZ) acquired 9.9% 0f Canopy Growth (NYSE:CGC) for CAD$245 million in October 2017, I've argued that investors would be wise to hedge their bets by taking half of what they could afford to lose investing directly in Canopy Growth and put that into Constellation stock. Nineteen months later, Constellation has invested an additional $4 billion in Canopy for a 38% stake in the company with exercisable warrants that could take its ownership to 50%. On April 18, Canopy Growth announced that it had signed a definitive agreement that gives it the right to buy 100% of Acreage Holdings (OTCMKTS:ACRGF), a New York City-based company that owns licenses to grow cannabis in 20 states with a total population of 180 million -- or about five times the entire population of Canada.Acreage Holdings' shareholders will receive $300 million immediately. Once cannabis becomes legal on a federal basis in the U.S., Canopy will exercise its right to buy Acreage, issuing to the company's shareholders 0.5818 of a common share of Canopy Growth stock for each Acreage share held for a total value of $3.4 billion. The deal gives Constellation further reason to happy about its multi-billion investment in Canopy Growth. Between beer, wine, spirits, and cannabis, Constellation has four ways to grow over the next five years. I'd be shocked if it didn't double its stock price by April 2024. A.O. Smith (AOS) Source: Nvdongen via Wikimedia (Modified)5-Year Total Return: 20.2%Dividend Yield: 1.4%It's great to see Wisconsin-based A.O. Smith (NYSE:AOS) having a fantastic bounce-back year after suffering a rare down year in 2018. Up almost 32% year to date (including dividends) through April 22, it's recovered most, if not all, its losses from last year. I've been on the A.O. Smith bandwagon for almost seven years now. I first covered the company in July 2012. I liked the fact it practiced globalization the right way. It manufactured products in China that it sold in China; the same applying to the North American and India markets. "Regardless of what happens in North America, which is doing just fine, China and India will continue to represent a more important part of Smith's overall business. At present, the two countries account for 24% of sales. Once India ramps up, I could see that easily doubling within five or six years. The world is its oyster," I wrote at the time. How's it worked out?Its China business accounted for 34% of its $3.2 billion in overall revenue in 2018, up significantly from 2012. That said, it expects its sales in China to fall in 2019. Although a majority of its business comes from water heaters and boilers, A.O. Smith got into the water treatment business in 2012. It's grown revenues in this segment from $35 million to $400 million, a compound annual growth rate of 42%. * 7 Companies With Unacceptable CEO-Worker Wage Gaps I like this dividend stock doubling in the next five years. ResMed (RMD)Source: Shutterstock 5-Year Total Return: 17.5%Dividend Yield: 1.5%ResMed (NYSE:RMD) stock is down 11.9% year to date (including dividends), its worst performance on an annual basis since 2015. If you have trouble sleeping, ResMed's products could save your life. They manufacture and distribute medical devices such as sleep apnea machines that help you breathe at night. In recent years, it's taken its products and utilized technology and data to make them that much more useful for patients in need.Obstructive sleep apnea is the collapse of the upper airway making it difficult to breathe. For every 100 U.S. adults, only four out of the 26 that have sleep apnea know that they have it, providing a significant runway for growth. Patients suffering from strokes, heart failure, Type 2 diabetes, and other chronic conditions, often also suffer from sleep apnea. Another growth area for the company is the treatment of chronic obstructive pulmonary disease, commonly known as COPD; it's the third leading cause of death worldwide affecting more than 380 million people and costing the U.S. healthcare system $50 billion annually. Since making its first software-as-a-service (SaaS) acquisition in 2012, ResMed's built a smart connected ecosystem to provide in-hospital quality of care in your home through the use of technology and data. It's a company that continues to keep up with technological change. I encourage you to learn more about this dynamic business. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities.Compare Brokers The post 7 Dividend Stocks That Could Double Over the Next Five Years appeared first on InvestorPlace.
The equal weighted S&P 500 ETF has significantly outperformed the market cap weighted index over the long term but not consistently. Here is what investors need to know.
To help investors keep up with the markets, we present our ETF Scorecard. The Scorecard takes a step back and looks at how various asset classes across the globe are performing. The weekly performance is from last Friday’s open to this week’s Thursday close.
Forget about cut in expense ratios. Brokers are now engaged in bringing up torrents of commission-free ETFs on their trading platform.
Given the sheer expanse of the U.S. exchange-traded funds (ETFs) market, which is home to over 2,300 products, what constitutes the best ETF can vary from investor to investor.For some investors, the best ETFs are the ones with the lowest fees while other investors focus on the products with the juiciest dividend yields. Some investors think the ideal funds are the ones with the best past performance records and other ETF users think the best ETFs come from the issuers with the highest brand recognition.Indeed, a recent survey of professional investors by Brown Brothers Harriman indicates ETF users do prioritize costs and past performance when evaluating funds. Still, there is no one-size-fits-all approach to picking the best ETFs.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 9 U.S. Stocks That Are Coming to Life Again Here are some of the best ETFs for a variety of investors. SPDR Portfolio Total Stock Market ETF (SPTM)Expense Ratio: 0.03% per year, or $3 on a $10,000 investment.The SPDR Portfolio Total Stock Market ETF (NYSEARCA:SPTM) is one of the best ETFs for investors looking to accomplish multiple objectives. Home to over 2,600 stocks, SPTM gives investors a deep bench for accessing the U.S. equity market.Second, with an annual fee of just 0.03%, the equivalent of $3 on a $10,000 investment, SPTM is one of the cheapest ETFs in the U.S. Just a handful of funds have annual fees of 0.03% and SPTM is one of them.Bottom line: SPTM is one of the best ETFs for novice or cost-conscious investors. iShares Edge MSCI Min Vol USA ETF (USMV)Expense Ratio: 0.15%For many investors, the best ETFs are the ones that help reduce portfolio risk and volatility. Enter the iShares Edge MSCI Min Vol USA ETF (CBOE:USMV), the largest minimum volatility ETF in the U.S.The $22 billion USMV "seeks to track the investment results of an index composed of U.S. equities that, in the aggregate, have lower volatility characteristics relative to the broader U.S. equity market," according to iShares. * Buy These 5 Stocks to Play the Megatrend of the Century USMV holds over 200 stocks and nearly 30% of those holdings hail from the technology and financial services sectors. Financial services and consumer staples combine for almost a quarter of USMV's roster. WisdomTree U.S. MidCap Dividend Fund (DON)Expense Ratio: 0.38%There are multiple reasons why the WisdomTree U.S. MidCap Dividend Fund (NYSEARCA:DON) is one of the best ETFs for any investors. First, extensive data and studies confirm that mid-cap stocks frequently outperform their large-cap peers while sporting less volatility than small-caps.Second, specific to DON's status as one of the best ETFs, data confirm this fund's dominance in the mid-cap arena. The $3.51 DON turns 13 years old in June and in its more than 12 years on the market, the WisdomTree products has consistently crushed rival actively managed mid-cap funds as well as passive equivalents."Following another strong year relative to its benchmark, DON is in the top quartile of its Morningstar Mid-Cap Value peer group on all time frames. This includes the latest 5- and 10-year periods in which DON is in the first percentile of all mid-cap value funds," according to WisdomTree. Invesco S&P 500 Equal Weight ETF (RSP)Expense Ratio: 0.2%The Invesco S&P 500 Equal Weight ETF (NYSEARCA:RSP) has long been one of the best ETFs for investors looking for an alternative to cap-weighted S&P 500 funds. As its name implies, RSP is an equal-weight fund, meaning the S&P 500's smaller components are just as important to this fund's price action as are the index's large- and mega-cap names. * 10 Best Dividend Stocks to Buy for the Next 10 Months Knowing that over long holding periods, small stocks outperform large caps, RSP is one of the best ETFs for investors seeking long-term broad market exposure. Data confirm as much. From RSP's inception in April 2013 through the end of January 2019, RSP beat the cap-weighted S&P 500 by nearly 200 basis points. First Trust Dow Jones Internet Index Fund (FDN)Expense Ratio: 0.53%The First Trust Dow Jones Internet Index Fund (NYSEARCA:FDN) is not just one of the best Internet ETFs, it is one of the best ETFs in the sector/industry space as well. Over the past decade, FDN has handily outperformed the S&P 500 and the S&P 1500 Information Technology Composite Index. FDN was also one of the best ETFs in the U.S. during the most recent bull market.The fund is beloved by droves of investors for its efficient access to storied stocks, such as Amazon (NASDAQ:AMZN), Facebook (NASDAQ:FB) and Netflix (NASDAQ:NFLX)."FDN's primary rival is the PowerShares NASDAQ Internet Portfolio (NASDAQ:PNQI). PNQI tracks the largest and most liquid U.S.-listed companies engaged in internet-related businesses and employs a modified market cap-weighted indexing methodology based on the market cap ranking of the underling index securities," according to ETF Trends. Vanguard Mega Cap Value ETF (MGV)Expense Ratio: 0.07%The Vanguard Mega Cap Value ETF (NYSEARCA:MGV) is one of the best ETFs for investors seeking basic exposure to domestic mega-cap stocks with a value bias. MGV's value tilt is notable because the value factor has historically rewarded long-term investors, indicating that this Vanguard fund is a solid idea for young investors, too.MGV follows the CRSP Mega Cap Value Index. Over the past three years, MGV has been one of the best ETFs targeting large-cap value names -- outperforming the Russell 1000 Value Index by 600 basis points over that period. * 7 Reasons You Want Boeing Stock in Your Portfolio MGV holds 150 stocks and its earnings multiples indicate the fund trades at a discount relative to broader market benchmarks, such as the S&P 500. Financial services and healthcare names combine for 42.6% of MGV's weight. VanEck Vectors Fallen Angel High Yield Bond ETF (ANGL)Expense Ratio: 0.35%Some of the best ETFs are fixed-income funds and for the adventurous bond investor, the VanEck Vectors Fallen Angel High Yield Bond ETF (NYSEARCA:ANGL) is a name to remember. ANGL is the dominant name among fallen angel funds.Fallen angels are corporate bonds that are originally issued with investment-grade credit ratings that are later downgraded to junk status. To the untrained eye, it may appear that fallen angels are like any other junk bond, but there is more to the story."Fallen angels, high yield bonds originally issued as investment grade corporate bonds, have had historically higher average credit quality than the broad high yield bond universe," according to VanEck. "Fallen angels have outperformed the broad high yield bond market in 11 of the last 15 calendar years."ANGL has a 30-day SEC yield of 6.3%, a 12-month yield of 5.6% and an effective duration of 5.85 years. Vanguard High Dividend Yield ETF (VYM)Expense Ratio: 0.08%The Vanguard High Dividend Yield ETF (NYSEARCA:VYM) is one of the largest U.S. dividend ETFs and a popular choice for yield-hungry investors. While VYM is positioned as a high-dividend fund, its dividend yield of 31.6% is not scary and implies some room for payout growth."High-yielding stocks usually pay out an above-average share of their earnings in the form of dividends, leaving a smaller buffer to preserve dividend payments should earnings fall," said Morningstar. "Although the fund targets high-yielding companies, its market-cap-weighting approach helps it to effectively diversify the risk of solely focusing on yield. In fact, its portfolio represents nearly 38% of the holdings in the Russell 3000 Index. And while the fund has meaningful exposure to a few of its largest holdings, they are not among its riskiest positions." * 10 Monster Growth Stocks to Buy for 2019 and Beyond VYM holds nearly 400 stocks, most of which are large- and mega-cap names. Five sectors have double-digit weights in the fund. Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF (SRVR)Expense Ratio: 0.6%One of the best ETFs many investors have yet to hear of, the Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF (CBOE:SRVR), offers a unique, potentially more rewarding approach to real estate investing.Long-term investors are often attracted to real estate funds because of the sector's below-average volatility and above-average volatility. Those are fine traits and SRVR sacrifices neither, but what makes this one of the best ETFs is its compelling opportunity set, one that is not found with traditional real estate ETFs.SRVR has a dividend yield of 3.67%, which is impressive regardless of asset class. Additionally, the fund has shown the ability to outperform traditional real estate ETFs as well as technology funds. Communication needs of the future, including 5G, server farms for cloud computing and more, are among the compelling fundamental factors in SRVR's favor. Cambria Tail Risk ETF (TAIL)Expense Ratio: 0.59%The Cambria Tail Risk ETF (CBOE:TAIL), an actively managed fund, is designed to mitigate risk when markets turn lower and uses put options to accomplish that objective.TAIL strategy offers the potential advantage of buying more puts when volatility is low and fewer puts when volatility is high," according to Cambria. * 9 U.S. Stocks That Are Coming to Life Again Given TAIL's design, it is likely this fund will produce negative returns when stocks are trending higher. So what makes TAIL one of the best ETFs? Put simply, it does its job. Just look at how TAIL performed when broader markets swooned in the fourth quarter of 2018.As of this writing, Todd Shriber did not own any of the aforementioned securities.> More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Video Game Stocks to Power Up Your Portfolio! * 7 Forever Stocks to Buy for Long-Term Gains * 5 Self-Driving Car Stocks to Buy Compare Brokers The post The 10 Best ETFs You Can Buy appeared first on InvestorPlace.
This is a special edition of the ETFdb.com scorecard that delves into the annual performance of some of the key funds. The performance is measured from January 1 to November 30.
Horizon Investments, which has earned several awards this year, offers three best ETF ideas for the months ahead. Emerging markets is one of them.
Equal weight, the index methodology that assigns approximately the same weights to all of the benchmark’s components, is one of the oldest iterations of smart beta and remains popular with advisors and investors today. The Invesco S&P500 Equal Weight ETF (RSP) has long been an investor favorite among equal-weight ETFs. RSP “effectively delivers mid-cap stock exposure by weighting the stocks in the S&P 500 equally instead of by their market cap,” said Morningstar in a note out Friday.
Measuring Remor Solar Polska SA’s (WSE:RSP) track record of past performance is a useful exercise for investors. It enables us to understand whether or not the company has met orRead More...
Equal weight, the index methodology that assigns approximately the same weights to all of the benchmark's components, is one of the oldest iterations of smart beta and remains popular with advisors and investors today. The biggest and most popular ETFs on the market largely include those that track traditional market capitalization-weighting methodologies, or they weight component stocks based on the companies’ market capitalization, so bigger companies have a greater say in the direction of the overall ETF’s performance. In contrast, an equal-weighted indexing, like its naming suggests, would equally distribute the weight among all company holdings within the index, regardless of the market cap of each company.
The hope is that by using these methods, the new smart beta funds will ultimately outperform market cap-weighted exchange-traded funds like the SPDR S&P 500 ETF (NYSEARCA:SPY). As the name implies, RSP is an equal-weighted, smart-beta ETF.
The biggest ETFs have been getting all the attention over the years as investors grouped into these traditional market capitalization-weighted plays, but the ones tracking an equal-weight indexing methodology have been quietly outperforming all along. The biggest and most popular ETFs on the market largely include those that track traditional market capitalization-weighting methodologies, or they weight component stocks based on the companies' market capitalization, so bigger companies have a greater say in the direction of the overall ETF's performance. In contrast, an equal-weighted indexing, like its naming suggests, would equally distribute the weight among all company holdings within the index, regardless of the market cap of each company.