|Bid||71.34 x 1200|
|Ask||71.75 x 1300|
|Day's Range||71.52 - 72.21|
|52 Week Range||17.84 - 102.38|
|Beta (3Y Monthly)||1.27|
|PE Ratio (TTM)||16.90|
|Earnings Date||Aug 1, 2019|
|Forward Dividend & Yield||3.00 (4.19%)|
|1y Target Est||85.87|
Dallas, TX, based Investment company Brookmont Capital Management (Current Portfolio) buys DuPont de Nemours Inc, sells The Estee Lauder Inc during the 3-months ended 2019Q2, according to the most recent filings of the investment company, Brookmont Capital Management. Continue reading...
Jim Cramer said Monday on “ Mad Money " that Marvell Technology Group Ltd. (NASDAQ: MRVL ) is a buy, calling it the No. 1 5G name. Cramer doesn't like any auto companies and would avoid General Motors ...
Is the market rally justified? Corporate earnings are at the lowest level this year. We might be heading into an "earnings recession."
ROCHESTER, N.Y., July 15, 2019 /PRNewswire/ -- DuPont today announced the opening of a new state-of-the-art probiotics fermentation unit at its Rochester, New York, facility. Construction of the unit was completed in March as part of an overall $100MM investment to expand probiotics capacity. The facility is now producing high-quality probiotics for the dietary supplement and food and beverage industries, which have the potential to provide health benefits to consumers of all ages.
Benzinga has examined prospects for many investor favorite stocks over the past week. Bullish calls included big banks and a retailer bucking the industry trend. Bearish calls included pharma and video ...
The San Antonio oil refiner said that, for decades, manufacturers hid the danger of the foam used to put out fires at its Oklahoma refinery.
Investment company Home Federal Bank Of Tennessee buys DuPont de Nemours Inc during the 3-months ended 2019Q2, according to the most recent filings of the investment company, Home Federal Bank Of Tennessee. Continue reading...
Washington, DC, based Investment company Bonness Enterprises Inc buys DuPont de Nemours Inc during the 3-months ended 2019Q2, according to the most recent filings of the investment company, Bonness Enterprises Inc.
DowDuPont spun itself into three separate companies in April, and the new DuPont includes legacy assets that have been "bolstered" by new high-quality businesses from Dow Chemical and FMC Corp (NYSE: FMC), Byrne said in a July 3 initiation note.
The Dow Jones Industrial Average continues to fall away from its recent push towards the 27,000 level. Investors were taking a pause or looking for stocks to sell after Friday's strong job numbers called into question the likelihood of multiple Federal Reserve rate cuts this year. We will know more when Fed chairman Jerome Powell gives his semi-annual testimony to Congress starting on Wednesday.As a reminder, the economy added 224,000 new jobs in June as wages rose at a 3.1% annualized rate. Before the jobs report, the futures market had assigned a 26% chance of a 0.5% rate cut. Now, those odds are at zero. * 10 Best Stocks for 2019: A Volatile First Half Wall Street is also waiting for actual progress on the renewed U.S.-China trade talks, as well as indications that the troubles at Deutsche Bank (NYSE:DB) aren't signs of more systematic problems over in the Eurozone. In response, a number of mega-cap stocks are rolling over and look headed for further losses. Here are four stocks to sell or avoid:InvestorPlace - Stock Market News, Stock Advice & Trading Tips Stocks to Sell: 3M (MMM)3M (NYSE:MMM) shares are dropping hard and fast away from their 50-day moving average, closing back in on its late May lows in the wake of a downgrade from analysts at RBC Capital Markets -- echoing an earnings warning from German chemical maker BASF. The company is highly attuned to industrial activity globally, which is slowing.The company will next report results on July 25 before the bell. Analysts are looking for earnings of $2.10 per share on revenues of $8.1 billion. When the company last reported on April 25, earnings of $2.23 missed estimates by 27 cents on a 5% decline in revenues. Apache (APA)With energy prices drifting lower, Apache (NYSE:APA) is retesting its late May lows and looks set for a drop back to its late December lows near $24, which would be worth a loss of nearly 8% from here. The tensions in the Persian Gulf with Iran and a recommitment by OPEC+ to keep production low haven't been able to push energy prices back up -- weighing on the entire energy sector. * 7 A-Rated Stocks to Buy for the Rest of 2019 The company will next report results on July 31 after the close. Analysts are looking for earnings of 25 cents per share on revenues of $1.7 billion. When the company last reported on May 1, earnings of 10 cents per share missed estimates by two cents on a 6.4% decline in revenues. DuPont (DD)Shares of DuPont (NYSE:DD) are cutting back below their 50-day moving average, heading for a return to their May lows, which would be worth a loss of roughly 10% from here. This continues a downtrend that has been in play since January 2018, capping a loss of more than 30% overall.The company will next report results on Aug. 1 before the bell. Analysts are looking for earnings of 87 cents per share on revenues of $5.6 billion. When the company last reported on May 2, earnings of 84 cents per share missed estimates by a penny on an 8.7% decline in revenues. Fastenal (FAST)Shares of Fastenal (NASDAQ:FAST), which are directly tied to industrial activity via its sales of screws and other fasteners, is breaking down out of a three-month consolidation range in what looks like a return to its May lows. This comes as the 50-day moving average proves to be intractable resistance. A violation of the 200-day moving average would set up a fall all the way back to its December low.The company will next report results on July 11 before the bell. Analysts are looking for earnings of 37 cents per share on revenues of $1.4 billion. When the company last reported on April 11, earnings of 34 cents per share beat estimates by a penny on a 10.4% rise in revenues.As of this writing, William Roth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Best Stocks for 2019: A Volatile First Half * 7 Simple Ways for Young Investors to Invest Their First $1,000 * 6 Stocks to Buy Based on Insider Buying The post 4 Stocks to Sell Now appeared first on InvestorPlace.
Owners of chemical giant Dow Inc (NYSE:DOW) expecting the recent three-way split to immediately "unlock value" are likely to be disappointed. DOW stock is down -- again -- since its late-March separation from parent company DuPont de Nemours (NYSE:DD) and fellow spinoff sibling Corteva (NYSE:CTVA). Even more worrisome, the technical chart suggests more pain to follow.Source: Roy Luck via Flickr (modified)However, you may want to catch this falling knife for a few reasons.First, we don't know much about the true fundamentals driving Dow Inc stock. Thus, current investors are somewhat acting on blind faith. The other reason? Chemical stocks have performed relatively poorly. Therefore, mere association keeps a lid on DOW.InvestorPlace - Stock Market News, Stock Advice & Trading TipsDon't let either impasse deter you though. Following the HerdIt was a curious if not confusing saga. Dow and DuPont completed their merger in 2017, but with the ultimate intent of splitting into the three companies. For management to implement greater fiscal efficiencies and more effective groupings, they consolidated the various pieces and acquisitions. * The 7 Top Small-Cap Stocks Of 2019 With the improvements and restructuring finally falling into place last year, management spun off DOW in March. Shares of Dow Inc stock began trading independently on March 20th. Agricultural chemical outfit Corteva became a fully independent company with its own stock on May 24th.Investors weren't particularly kind to either name, initially. They've also been notably wary of DuPont, superficially suggesting the split may have been a mistake. Some value exists in levering expertise in a specific area. But perhaps in this instance it wasn't necessary.Or, the market was simply dragging all three names lower.That is largely what happened, by the way. The S&P 500 rolled over in early May, accelerating the selloff Dow stock was already working on. Chemicals as a group fared no better. The market-wide (and industry-wide) tide also lifted DOW in early June; Corteva shares finally caught up in the latter half of June. Click to EnlargeNone of the early weaknesses properly represents their true fundamental value. Instead, mere technical factors drove them down. Hidden ValueThat said, it's difficult to blame investors for letting Dow Inc stock roll with the tide. While the spinoff was completed in March, critical fundamental data about Dow remains elusive.However, elusive doesn't mean that it's impossible to obtain. Thomson Reuters can supply it to those who are willing to dig. And what various analysts have dug up so far is compelling. Namely, experts predict Dow -- the new and improved standalone Dow -- to remain profitable, and grow. Click to EnlargeValue exists here too. The expected earnings of $4.37 per share this year translates into a price-earnings ratio of 11.5. Next year's projected bottom line of $5.28 per share of DOW stock becomes a price-earnings of 9.5.Those profit projections leave plenty of room for dividends too, which Dow has already been readily willing to pay. It dished out 70 cents worth of per-share dividend in June. Annualizing that figure to $2.80 is still only a little over half the company's likely income. It also represents an above-average yield of 5.6% for investors that step into a position at today's prices.Investors are struggling to see it though, mostly because there's no recorded history for this particular version of Dow Inc. Looking Ahead for Dow StockAdmittedly, it's not a black-and-white matter. While the average retail investor may not see it, the institutional investors are likely at least moderately aware of the reliable growth narrative here. After all, they largely control the market, and individual stock prices. The smart-money crowd clearly didn't keep Dow stock propped up against the market's bearish tide when they arguably should have.That's still a rather tall order just three months out from the spinoff though. Even the professionals are still struggling to gather and digest all the relevant data. At the same time, they're adjusting their guesses to reflect the impact of the U.S.-China tariff war.As time passes and the fog lifts though, look for the value play for Dow stock to conspicuously emerge.As of this writing, James Brumley held no position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Top Small-Cap Stocks Of 2019 * Critical Levels to Watch in 7 Marijuana Stocks * 5 Smaller Cloud Stocks That Have Plenty of Potential Compare Brokers The post Dow Stock Is a Misjudged, Undervalued Dividend Play Worth a Shot appeared first on InvestorPlace.
Further, the obligations assumed by Chemours generally arise from the very businesses that are a part of Chemours today. Based on Chemours' public statements, we believe Chemours has been a successful company since its spinoff in July 2015.
Stocks with the heaviest dependence on China for sales could offer the biggest upside for investors if the U.S. and China are able to sign a trade deal. A.O. Smith generates roughly 33% of its sales from China, while Nike gets 14% of its revenues from the region and Tesla attributes 8% of its sales to China.
DuPont (DD) has witnessed a significant price decline in the past four weeks, and is seeing negative earnings estimate revisions as well.
(DD) announced a quarterly dividend on Thursday, the first time it has done so since splitting off from DowDuPont. The others are (CTVA) (ticker: CTVA), which focuses on seeds and agricultural chemicals, and (DOW) (DOW), a commodity chemicals business. The board of DuPont (DD), a producer of specialty chemicals, declared a quarterly disbursement of 30 cents a share.
WILMINGTON, Del. , June 27, 2019 /PRNewswire/ -- DuPont's board of directors declared a third quarter dividend of $0.30 per share on the outstanding common stock of the company (par value $0.01 per share) ...
Corteva Inc (NYSE: CTVA ) shares are trading higher after the company announced a $1 billion stock buyback and declared its first dividend of 13 cents per share. Corteva is an agricultural chemical and ...
Dow Inc (NYSE:DOW) is one of the companies formed as a result of the recent split of DowDuPont (NYSE:DWDP) into three separate companies. Since then it has been an interesting few months for Dow stock. Let's review:Source: Roy Luck via Flickr (modified)DowDuPont, one of the world's largest industrial chemical conglomerates, had originally been formed as a result of the merger of Dow Chemical and E.I. du Pont de Nemours that was announced in 2015 and completed in 2017.On April 2, DOW shares started trading on the New York Stock Exchange. The same day, it replaced DowDuPont in the Dow Jones Industrial Average as one of the 30 stocks in the index. It has also been added to the S&P 500.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 6 Stocks Ready to Bounce on a Trade Deal On June 1, DowDuPont further spun Corteva (NYSE:CTVA), which later started trading on NYSE on June 3. The remaining DowDuPont also got listed under the name DuPont (NYSE:DD).Hence it has been a somewhat confusing several weeks for the past owners of DWDP stock. Although the separation of the three companies is now complete on paper, there are likely to be more questions as it all shakes out. Dow is expected to report Q2 earnings on July 25. A Closer look at DOW StockFollowing the three-way spin-off, Dow is now concentrating on its business as a commodities chemical producer. With over 100 manufacturing sites in 31 countries, DOW offers science-based products and solutions for a wide range of customers in packaging, infrastructure and consumer care. It has a market cap of $38 billion.Dow's Q1 earnings released on May 2 showed that net sales decreased 10% year-over-year (YoY) to $10.8 billion. In the quarterly statement, investors paid attention to the results from Dow's three main divisions: * Performance Materials & Coatings (net sales were $2.3 billion, down 2% YoY); * Industrial Intermediates & Infrastructure (net sales were $3.4 billion, down 8% YoY); and * Packaging & Specialty Plastics (net sales were $5.1 billion, down 15% YoY).Performance materials include paints, coatings and silicones; industrials include chemicals, solvents and lubricants; packaging includes food packaging products, specialty polymers and hydrocarbons.The company highlighted that both Industrial Intermediates & Infrastructure and Packaging & Specialty Plastics witnessed margin declines, contributing to the decrease in profits and earnings in the first three months of 2019.In the earnings call, management emphasized the group's commitment to cost savings, which stood at $125 million for the quarter.CEO Jim Fitterling said that following the separation from DowDuPont, Dow is now "well positioned to operate more productively, invest more prudently, grow more profitably and deliver higher returns to shareholders."The Board of Directors also declared a dividend of $0.70 per share to be paid on June 14 to stockholders of record as of May 31. The current dividend yield stands at a respectable 5.5%.The company finally said that it expects some seasonal headwinds, especially regarding increased seasonal maintenance costs. Understanding the DOW Stock Price NowFollowing its listing, Dow initially went up about 10% in three trading days. Yet since then, it has gone down from an intraday high of 60.52 on April 4 to an intraday low of $46.75 on May 31. It is currently hovering around $48.The selling pressure has increased especially after the Q1 earnings report of May 2.Thus over the past two months stock has suffered from a damaging technical picture. Its short-term technical chart still looks weak, and it is pointing to the possibility for more downside around the corner.Although DOW's momentum indicators, which describe the speed at which prices move over a given time period, are currently in oversold territory, they can stay oversold for quite a long time, especially when the overall trend is down.Therefore, more buy signals based on momentum indicators need to be conﬁrmed with further chart analysis before the stock is a buy from a technical standpoint.In short, at this point, bears are in control. Therefore Dow shares will need a catalyst to make them attractive in the eyes of long-term investors, who are possibly still skeptical about the near-term prospects for the company.If you still believe in the bull case for Dow stock, you might consider waiting for a better time to get long, such as around mid $40 levels. The Bottom Line on Dow StockGoing forward, investors would like to see concrete evidence in the results that considerable value can be achieved post-separation. Some questions that remain yet to be answered are the levels of operating margin as well as the free cash flow.Wall Street does not expect Dow to be a high growth company. However, analysts want to see that it will remain a stable cash cow with strong dividends and manageable debt levels.In the next earnings report, investors will also want to get a feel for any potential economic slowdown in the U.S. or globally as they could affect DOW stock's revenues. As a commodity-based business, the group is understandably is prone to earnings declines during economic downturns.Dow also relies on crude oil as a basic resource used in manufacturing. Therefore DOW stock is exposed to price fluctuations in crude, too. Thus management's guidance, especially regarding the global economy and commodity prices, may indeed become quite an important section of the quarterly report.In short, up until and around the Q2 earnings release, there is likely to be further volatility in the price of DOW stock with a downward bias.However, in the long run, the group's strong position in the industry, as well as the robust dividend yield, should support the price of Dow shares.If you are not yet a shareholder of DOW stock, you may want to wait on the sidelines until you have had a chance to analyze the results. If you already own Dow shares, you may consider hedging your position with at-the-money (ATM) covered calls with July 19 expiry.As of this writing, Tezcan Gecgil did not hold a position in any of the aforementioned securities.Compare Brokers The post Dow Stock Is Just Too Bumpy to Consider Buying Right Now appeared first on InvestorPlace.
The new Dow Inc (NYSE:DOW) stock and company is the result of a two-stage spinoff of Corteva (NYSE:CTVA) and DOW stock by DowDupont (NYSE:DD) that started on Apr. 1. The split came about because of agitation from an activist shareholder, Third Point's Dan Loeb. No doubt, the main objective was to benefit the owners of DowDupont stock and DOW stock.Source: Roy Luck via Flickr (modified)And of course, the CEO of DOW, Jim Fitterling, boasted about the restructuring. In a press release, he said:"The changes we have made to Dow's portfolio, cost structure and mindset are significant. The new Dow is a more focused and streamlined company with a clear playbook to deliver long-term earnings growth and value creation for all stakeholders.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut unfortunately, Wall Street hasn't been so kind to Dow Inc stock. Since early April, DOW stock has gone from $58 to $49. * 7 Value Stocks to Buy for the Second Half The Issues With Dow Inc StockSpinoffs can be disruptive. There is often a large turnover in the shareholder base, which can put pressure on the shares.Yet that overhang will dissipate in the longer term. So could DOW stock now be an interesting value play? Is it time to consider buying Dow Inc stock?Well, I'd still be cautious. DOW is still a complex organization. As seen with other companies like GE (NYSE:GE) and 3M (NYSE:MMM), complexity has become a big drawback on Wall Street. Investors nowadays want agile companies that can focus on growth opportunities and be nimble enough to stave off rivals.InvestorPlace.com columnist Josh Enomoto aptly described the complexity of DOW and how that could be a hindrance:"Dow Inc stock doesn't provide a clean, linear path. Instead, the underlying company is stretched wide, featuring businesses in consumer products, packaging, industrial materials, large-scale infrastructures and technology. From a topical perspective, the separation into three entities streamlined operations for the individual cogs. Somewhat left out in the equation was that the individual cogs also have non-intuitive structures."However, complexity may not be the biggest risk facing DOW stock. Rather, the slowing of the global economy looks to be the main problem.For now, there is little clarity on a resolution to the dispute between the U.S. and China. In the meantime, there is also the potential for trade disputes between the U.S. and Europe.The World Bank has reported that global growth will come in at 2.6% versus its January forecast of 2.9%. That would be the weakest global growth in three years.As for DOW, the company is definitely sensitive to the swings of the economy. When the economy slows, it's easy to put off a decision to purchase new raw materials and commodities. The Bottom Line on DOW StockDOW has positive attributes. Keep in mind that the company continues to streamline its operations and cut costs. DOW plans to eliminate $700 million of costs this year. It is also being more disciplined when it comes to capital investments.As for the valuation of Dow Inc, stock it is fairly cheap. Consider that its forward price-earnings multiple is nine and its dividend yield is a hefty 5.7%.Yet such factors likely mean that DOW stock has some downside protection. However, because of the macro weakness across the world, it could be tough for Dow Inc stock to advance meaningfully.Tom Taulli is the author of the upcoming book, Artificial Intelligence Basics: A Non-Technical Introduction. Follow him on Twitter at @ttaulli. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Value Stocks to Buy for the Second Half * 7 Hot Stocks to Buy for a Seemingly Sleepy Summer * 6 Chip Stocks Staring At Big Headwinds in 2019 Compare Brokers The post Has DOW Stock Reached an Attractive Entry Point? appeared first on InvestorPlace.
The complicated thing about Dow (NYSE:DOW) is that keeping track of the business can be a little difficult. Understanding how its vast interests work together to drive Dow stock is even a little trickier. It might be best to begin with a brief history. Source: Roy Luck via Flickr (modified)Once upon a time, the Bronfmans, a wealthy Canadian family, owned 24% of Dupont. They got that stake as a result of its failed takeover of Conoco Oil in 1981. At the time, the Bronfman's most significant investment was its ownership of 36% of Seagram, the liquor company Sam Bronfman founded in 1928. The Dupont dividends generated by the 24% stake in the chemical company accounted for around 70% of Seagram's earnings. In a much-disputed decision, Seagram sold the DuPont stake in 2003, setting off a chain of events that would cost the Bronfmans billions.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 The Final PictureFast forward to June 3. Corteva (NYSE:CTVA), the agricultural segment of the old DowDupont was separated from DuPont (NYSE:DD), a global specialty chemicals company, while the material science unit was spun-off from DowDuPont on April 1 as DOW. I mention the Bronfmans because if they still had the 24% stake in DuPont, the past two years would have presented them with a lot of decisions.First, the August 31, 2017, a merger between the old Dow and DuPont saw shareholders receive 1.282 shares of DowDuPont per share held in DuPont. Throwing aside history, if the Bronfmans held on to the 24% stake, they would have received 267 million shares (867.8 million shares outstanding multiplied by 24% multiplied by 1.282) in the merged entity. If they chose to retain their 24% stake, they would have 89 million shares in DOW stock, 89 million shares in Corteeva, and 89 million shares in Dupont. Together, the trio of holdings has a market value of $13.4 billion with DuPont the largest holding valued at $6.6 billion followed by Dow at $4.6 billion and Corteva at $2.2 billion. They would pay annual dividends very close to $500 million. Which Would They Choose?In hindsight, I believe the family would choose to hang on to all three. Just the other day I was talking to a friend about the fact that four companies control the world seed market with Corteva being one of them. In 2018, it had $2.7 billion in adjusted EBITDA from $14.3 billion in annual revenue. Of the $14.3 billion in sales, approximately 56% was from its seeds and traits business with the rest from crop protection and pesticides. As the world continues to experience climate change, companies like Corteva will be vital to ensuring ongoing food supply. So, despite not paying a dividend, as an agricultural pureplay, Corteva is very attractive over the long haul. As for Dow and DuPont, they currently yield 5.4% and 2.3% respectively, making them very attractive dividend-paying stocks to also hold for the long haul.My InvestorPlace colleague Josh Enomoto recently suggested that DOW is still too complicated a company to understand despite being separated from DuPont and Corteva. He's not wrong. Dow's got a lot of moving parts operating in several different industries with seemingly little overlap and efficiencies. The Bottom Line on DOW StockI don't own any of the three stocks and I'm not sure I ever would. Not because I think any of them are bad businesses. It's just that I like to own easily understandable companies. Dow, DuPont, and Corteva aren't. That said, if the Bronfmans still were in the picture, I'd bet they would hang on to all three of them. I guess we'll never know. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 10 Stocks to Buy That Wall Street Expects to Soar for the Rest of 2019 * 7 Value Stocks That Are Flying Under the Radar * 6 Mouth-Watering Fast Food Stocks for Growth Investors Compare Brokers The post If You Can Get a Handle on the Business, Dow Stock Is Worth Owning appeared first on InvestorPlace.
It wasn't a big surprise at all when chemical manufacturer Dow Inc (NYSE:DOW) split off from the organization formerly known as DowDuPont. Announced last year, the massive conglomerate would form three separate entities: DOW, DuPont (NYSE:DD) and Corteva (NYSE:CTVA). Moreover, the general consensus was that DOW stock, along with the other two names, would perform better individually.Source: Roy Luck via Flickr (modified)The principle idea behind this strategy is simple for anyone to appreciate. As a combined entity, DowDuPont was incredibly confusing and convoluted, similar to General Electric (NYSE:GE). And as you can tell from GE's technical chart, very few people today value large, aimless companies. The emphasis now is on agility, something that Dow Inc stock lacked when tethered to unrelated businesses like Corteva's agriculture.So far, though, that "untethering" thesis is on shaky ground. Sure, DOW stock is up nearly 8% in June. However, shares have crumbled since mid-April. Despite the strong start to the month, DOW is still about 14% shy of returning to its closing high.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Stocks to Buy As They Hit 52-Week Lows However, optimists might note that Dow Inc stock suffered from the same pressures as everyone else; namely, geopolitical tensions with China. Of course, the situation currently looks terrible, with both sides not willing to concede an inch.That said, the smart money would eventually go toward a resolution between the No. 1 and No. 2 economies. After all, prolonged tensions do neither side any good.Additionally, the Trump administration's hard-nosed act could be just that, an act. It wouldn't be the first time that the President said one thing and did another. And if we did get that resolution, DOW stock would presumably jump higher.Still, I wouldn't get too excited about Dow Inc stock yet. DOW Stock Is a Complicated InvestmentA cute peculiarity of the DowDuPont breakup is that DOW stock replaced the former in the Dow Jones index. Thus, we have DOW in the Dow.Its inclusion also made sense because the venerable index maintains exposure to the materials sector. Fair enough. But increasingly, it's becoming clear that the markets don't favor big, complicated organizations with broad and disparate reach.We just need to look at the Dow Jones' recent history to confirm this sentiment. Dow Inc stock being listed into the index was the first shakeup since General Electric was kicked out. And what is General Electric but the mother of all complicated organizations?Sure, GE has slimmed down with its own divestments and spinoffs, but it's still confusing relative to modern organizations. I believe that's still the key risk associated with DOW stock.Because let's not overlook what's right in front of our face. Despite the much-covered DowDuPont breakup, Dow Inc stock doesn't provide a clean, linear path. Instead, the underlying company is stretched wide, featuring businesses in consumer products, packaging, industrial materials, large-scale infrastructures and technology.From a topical perspective, the separation into three entities streamlined operations for the individual cogs. Somewhat left out in the equation was that the individual cogs also have non-intuitive structures.Rather than a DOW in the Dow being a positive, it seems like an omen. That's because the Dow Jones has repeatedly kicked out or obstructed these yesteryear organizations. The ones that are still holding on are likely on their last leg.For instance, I thought a jack-of-all-trades company like 3M (NYSE:MMM) offered a contrarian play for its broad industry coverage. I was dead wrong. And I'm concerned the same fate awaits DOW stock: the markets just don't like these types of investments anymore. Don't Hold Your Breath on China or Even MexicoIn order to really see positive sentiment drive Dow Inc stock, speculators must hope for a big news item. A resolution to the U.S.-China trade war, along with normalizing relations with Mexico would do the trick.However, I wouldn't hold my breath on either event. First, I don't think the Chinese are really interested in a trade resolution. From day one, China sought to leapfrog the U.S. as the undisputed technological leader. That's why the Chinese committed brazen acts of corporate espionage. It's the quickest and dirtiest way to accomplish their goals. * 7 Dark Horse Stocks Winning the Race in 2019 Look at it this way: what would a trade deal imply for the Chinese? At the very least, it would mean that they must play by the rules. Ultimately, they'll never go for that because it necessarily means that China plays second fiddle to the U.S.As far as Mexico goes, a truce currently exists: Mexico agreed to impose tighter migrant controls in exchange for a tariff-free relationship with the U.S. But it's a very unsettling one, with Trump able to pull the plug if he doesn't like what he sees. My bet is that he doesn't. That also means we may not have a decisive catalyst for Dow stock for quite some time.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy As They Hit 52-Week Lows * 4 Antitrust Tech Stocks to Keep an Eye On * 5 Gold and Silver Stocks Touching Intraday Highs Compare Brokers The post With or Without DuPont, DOW Stock Is Almost Too Complicated appeared first on InvestorPlace.
Two years ago, Dupont and Dow Chemical merged to form Dow Dupont. Managements meant the union to be temporary so the recent split was not a surprise. But the transition did not go as smoothly for the new three stock entities. Today's writeup is to evaluate the Dow Inc (NYSE:DOW) prospects.Source: Shutterstock DOW stock corrected sharply in May, but that month was also rough for all equities -- it's not a sign of sustainable trouble ahead. So I don't take this drop as an omen for the company's future. The geopolitical and economic unrest, especially between the U.S. and China, put a few wrenches in everyone's plans.In its short new public independent life, DOW stock could be an opportunity. In theory, I would consider this as a speculative trade but with a twist.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Looking Deeper Into DOW StockDOW is still a mature set of businesses, just with a different umbrella. The future is not as unproven as, say, Beyond Meat (NYSE:BYND) or Tilray (NASDAQ:TLRY). Betting on DOW does not carry the same uncertainties as with other typical new stocks.Consensus is that the three spin-offs from Dow-DuPont will each be better on its own. Ultimately this was an elaborate bit of financial engineering.Now, Dow Inc. makes for a good bet for those investors who are looking for a fresh stock to invest in. The recent dip was a good opportunity to start but it still not too late. It doesn't carry the usual intrinsic risks that come with IPOs. * 7 Stocks to Buy As They Hit 52-Week Lows For the long term, there is no reason to wait for the perfect entry point. In the long run Dow Inc stock will be a winner along with the stock market. There will always be demand for its chemical products and services.For those who prefer to trade shorter term, there are important levels to watch for the next few weeks.$50 per share was important for the bulls to overtake. This was a pivot point that now serves as support for the more bullish action. Next, it is important for the DOW bulls to overcome the next challenge zone. The area around $52 per share has been pivotal since inception. Onus is on the bulls to retake it so they can use it as another base for the next leg higher.Specifically, above $51.70 DOW stock can target $54, which is another pivot point. The technical price pattern is unfolding in a predictable manner so it will be easy to track short term success. With the help of proper stops, active traders should do well with it.Conversely, there is an open gap below at $48 per share. Not every gap on stock charts closes, but nevertheless this is a concern -- especially if the negative geopolitical rhetoric deteriorates. If the corrective efforts restart, I expect supports at $49.50 per share.The bulls are breaking through descending trend line of lower highs. To that there is another opportunity to break another one around $53 per share. This is a moving target that changes with the price action but it's a lower high trend that will break and fuel more upside potential.Fundamentally DOW stock sells at 10 price to earnings ratio. This is cheap in relative and absolute terms. So owning Dow Inc. shares here is not likely to be a financial catastrophe, especially in the long run.Furthermore, the macroeconomic conditions still favor the bullish thesis for all stocks. As soon as this geopolitical unrest abates, the equities will set new all-time highs and DOW will benefit from it.Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. Join his live chat room free here. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy As They Hit 52-Week Lows * 4 Antitrust Tech Stocks to Keep an Eye On * 5 Gold and Silver Stocks Touching Intraday Highs Compare Brokers The post Dow Inc. Stock Is The Best Bet of the Post-Split Bunch appeared first on InvestorPlace.
** S&P 500 snaps 4-week losing streak, surges 4.4%. Wall Street rallies Fri on rate cut hopes, trade optimism ** Fed Chair Powell remarks Tues that Fed will act "as appropriate" in face of trade war, other risks; pivot seemingly opens door to possible interest rate cuts ** Indeed, the SPX finds a floor, then builds on its bounce ** This as the DJI turns in its best week of the year , ends longest weekly losing streak since 2011 ** And strength averts a 5-week FANG fumble ** Every sector advances: Materials and tech soar, while communication services lags; tech/growth tries to end its setback vs financials/value ** Materials leap 9.1%. DuPont de Nemours Inc gains 14% after board approves $2 bln stock buyback, and analyst says co one of the best opportunities in chemicals sector ** Tech jumps 6%. Chip stocks rebound as investors breathe life into battered tech shares.