277.99 +0.62 (0.22%)
After hours: 7:59PM EST
|Bid||0.00 x 900|
|Ask||0.00 x 1000|
|Day's Range||276.13 - 277.41|
|52 Week Range||233.76 - 293.94|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.00|
|Expense Ratio (net)||0.09%|
President Donald Trump said Friday he may extend a March 1 deadline for reaching a trade deal with China if the two countries are close to an agreement. “Negotiation's been going on for about two days, it’s going extremely well,” Trump said. The White House and China set the March deadline for reaching an agreement in the ongoing trade dispute between the two countries, and Trump previously said he would increase U.S. tariffs on more than $200 billion in imports from China if an agreement on several issues couldn’t be worked out by the deadline.
Trump Declares a National Emergency: Was There One Already?President Trump On February 15, President Trump announced a national emergency to help garner funds for the wall on the US-Mexico border. Declaring an emergency is among the rarely used
If you're new to investing, one of the best ways you can dip your toe into the water is to buy a mutual fund or exchange-traded fund (ETF) that invests in all 505 of the S&P 500's stocks. Your first question: What is the S&P 500? Your second question: How come there are 505 stocks, not 500? Both are relatively painless questions to answer.First, the S&P 500 represents 500 of the largest and most established companies listed on a U.S. stock exchange. You're likely familiar with many of the index's constituents. InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe S&P 500's largest company by market capitalization [share price multiplied by number of shares outstanding] is Microsoft (NASDAQ:MSFT) at $825 billion. * 10 Hot Stocks Leading the Market's Blitz Higher Warren Buffett, one of the most successful investors of all time, has said that most investors should simplify their investments to deliver better long-term returns. He put it this way in his 2013 annual letter to shareholders:"My advice [to the trustee] couldn't be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard's.) …I believe the trust's long-term results from this policy will be superior to those attained by most investors -- whether pension funds, institutions or individuals -- who employ high-fee managers."Low costs and few moving parts wins the game in the long run.The second question requires much less legwork. There are 505 stocks in the index because some of the companies, such as Buffett's Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B), have more than one class of shares, which means Berkshire Hathaway counts as two holdings, not one. Simple, right?Now that I've answered the two questions, I better cut to the chase by providing readers with a short list of ways to buy S&P 500 stocks. Option 1 - An Oldie But a Goodie The oldest ETF in the U.S. -- launched in 1993 -- is the SPDR S&P 500 ETF (NYSEARCA:SPY). It also happens to be the biggest with $256 billion in assets. However, remember what Buffett said about low-cost funds. It's not the cheapest of the ETFs tracking the S&P 500 (it charges 9 cents for every $1,000 you invest,) but it is the most popular. Option 2 - The Low-Cost OptionsTwo of the next three-largest U.S.-listed ETFs also invest in every one of the S&P 500 stocks -- the Vanguard S&P 500 ETF (NYSEARCA:VOO) has $101.4 billion in assets and charges 0.04% as does the iShares Core S&P 500 ETF (NYSEARCA:IVV) with $157.6 billion in assets. These each give you plenty of choice when it comes to capturing a significant portion of American equities. Option 3 - Buy Buffett's StockBerkshire Hathaway has often been compared to a very large mutual fund because it owns $200 billion worth of publicly traded stocks, most of them part of the S&P 500.However, in addition to the equities, you get a small piece of hundreds of private companies operating in all kinds of different sectors of the economy. The best part: Buffett won't charge you annual fees to own his fund. He'll just deliver long-term returns that handily beat the S&P 500. From 1965 to 2017, Berkshire Hathaway stock's generated a compound annual growth rate of 20.9%, more than double the S&P 500. The Verdict on Investing in S&P 500 StocksAs Warren Buffett suggests, you ought to do it early and often and at the lowest cost possible.These three options plus mutual funds that track the S&P 500 index (they're slightly more expensive than ETFs) will get the job done while letting you sleep easier at night. 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 * Should You Buy, Sell, Or Hold These 7 Medical Cannabis Stocks? * 7 Strong Buy Stocks With Over 20% Upside * 7 Reasons Stock Buybacks Should Be Illegal Compare Brokers The post 3 Different Ways for Newcomers to Buy S&P 500 Stocks appeared first on InvestorPlace.
President Donald Trump on Friday moved to bypass Congress to fund additional sections of border wall by declaring a national emergency. The move came after Trump said he’ll sign legislation Congress passed to keep the government open, legislation that had been intended as a compromise on the border issue to avoid another shutdown. "Walls work a hundred percent," Trump said in a morning speech on the White House lawn, where he was joined by several family members of people who were murdered, allegedly by people illegally in the country.
Energy Portfolio Gains on Oil's Rise(Continued from Prior Part)US equity indexesOn February 7–14, US equity indexes had the following correlations with US crude oil March futures:the Dow Jones Industrial Average (DIA): 59.7%the S&P 500
Is 2019 Bill Ackman’s Comeback Year after a Series of Losses?(Continued from Prior Part)United Technologies United Technologies (UTX) has been another key contributor to Pershing Square’s success YTD (year-to-date). Compared to its average cost
Forecasts of S&P 500 profits in 2019 are trending sharply downwards, but Goldman Sachs says that these stocks can swim against the tide.
Energy Portfolio Gains on Oil's Rise(Continued from Prior Part)Correlation with US crude oil On February 7–14, major energy ETFs had the following correlations with US crude oil March futures: the Energy Select Sector SPDR ETF (XLE): 64.3% the
Is 2019 Bill Ackman’s Comeback Year after a Series of Losses?(Continued from Prior Part)Automatic Data ProcessingAutomatic Data Processing (ADP) is another key holding of Bill Ackman’s Pershing Square. Pershing lost a proxy battle with ADP in
Canada Goose Stock Fell 12.9% despite Strong Q3 ResultsThird-quarter results On February 14, Canada Goose (GOOS) (GOOS.TO) stock fell 12.9% on the NYSE. The company reported impressive results for the third quarter of fiscal 2019 and raised its
Warren Buffett's Investments: Did He Play It Safe in Q4?Warren Buffett On February 14, Berkshire Hathaway (BRK-B) released its fourth-quarter 13F. Investors had been waiting eagerly for the quarterly filing. Berkshire Hathaway held more than $100
Energy Portfolio Gains on Oil's RiseHighest level in 2019On February 14, US crude oil March futures rose 0.9% and settled at $54.41 per barrel. At 5:05 AM EST on February 15, US crude oil futures rose by 13 cents—less than a dollar from the
Is 2019 Bill Ackman’s Comeback Year after a Series of Losses?(Continued from Prior Part)Chipotle worked wonders for Bill Ackman Bill Ackman initiated a stake amounting to $1.19 billion in Chipotle Mexican Grill (CMG) in September 2016. The average
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.
Although the materials sector has been hit by trade concerns, broad-based bullishness is a good indicator that the market in general is healthy.
Is 2019 Bill Ackman’s Comeback Year after a Series of Losses?(Continued from Prior Part)Holdings driving Pershing Square’s outperformance In Pershing Square’s latest shareholder letter, Bill Ackman explained what’s been driving
Business Update: Green Growth Brands Launches e-Commerce WebsiteGreen Growth Brands launches e-commerce website In a press release today, Green Growth Brands (GGBXF) announced the launch of its e-commerce website, ShopSeventhSense.com. The site
Stocks looked set for more gains in pre-market trading before opening lower on weaker-than-expected retail sales. Stocks recovered their losses by midday trading, as bears weren't able to crack the markets too badly. That sets us up for a few must-see stock trades going into Friday. Coca-Cola (KO)Coca-Cola (NYSE:KO) is having a pretty rough day, especially as its investors aren't too accustomed to 7.5% one-day pullbacks. After in-line earnings results and a beat on revenue, management provided a cautious outlook that sent shares reeling.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIt's hard to deny that $50 was clearly resistance in this name, but there could be some debate about support. Some will say KO has already dropped through it at $46.50. Others will say support still rests down at $46. Within 50 cents of each other and I say it's a wash. * The 10 Best ETFs You Can Buy Notably, we also have the 200-day nearby at $45.62. Those who want to take a stab at Coca-Cola stock should keep these levels in mind. A close below the 200-day and traders may want to rethink their position. Keep in mind, PepsiCo (NYSE:PEP) reports earnings on Friday before the open. CyberArk (CYBR)Acting as the complete opposite, CyberArk (NASDAQ:CYBR) is soaring on the day after a very impressive earnings report. Shares are up 20% as a result (and good call Will Healy).Now investors are wondering where it can rally to. Short of a market-wide breakdown, CYBR has room above $110, with trend resistance still a little ways above current levels.On the downside, should CYBR pullback, look to see if it can stay over Thursday's low. If it can't, see how it handles uptrend support (purple line). Canada Goose (GOOS)Canada Goose (NYSE:GOOS) hammered earnings, and that's putting it lightly. Revenue of ~$400 million grew 50% year-over-year and smashed estimates by more than $130 million. Guidance was solid too.Despite all this, shares are down about 11%. Shares are now technically below the 200-day, but have the 21-day and 50-day moving averages just below current levels. Further, its got short-term uptrend support nearby too.Those who feel this is the wrong reaction and/or an overreaction to what were truly great results may consider this a buying opportunity. Below $50 and a drop down to $46 to $47 isn't out of the question, and possibly further. * 7 Best of the Best Fidelity Funds to Buy Conservative traders who don't mind buying even though we're heading into the spring and summer seasons instead of the fall and winter seasons may consider waiting a few days to see if buyers step in first. S&P 500 ETF (SPY)The SPDR S&P 500 ETF (NYSEARCA:SPY) is one we should look at now given how well the market has done since the December lows. A lot of investors were focused on possible downtrend resistance (blue line), but I didn't like that look.Why? Because it feels cherry picked and felt forced on the charts to justify a negative view. Plus, it's an inaccurate trend, but I digress. Instead, I continue to focus on the $280 level, a mark that SPY failed at three times in October, November and December. If we get there in a relatively quick amount of time, it will also likely push the RSI (green circle) into overbought territory.A rally to this level would be my ideal scenario and give investors a solid risk/reward for some profit taking and/or possible shorting opportunities. The exception is if we get there via a trade deal with China. If that happens, $280 may prove to be feeble resistance. CenturyLink (CTL)Not that it was surprisingly with a near-15% yield, but CenturyLink (NYSE:CTL) stock is getting pummeled on Thursday after axing its dividend to $1 a share from $2.16. Shares are down about 12% in response, but according to the charts, they could have further room to fall.The downtrend (blue line) told investors all they needed to know leading up to this gut-punch. Now below $14 and shares are in no man's land until $12. Maybe buyers will step in near $12.50, but there seems to be little reason to hop on board into such a route. * 7 Reasons Stock Buybacks Should Be Illegal Let CTL wash out and let's see if $12 holds. Below and it's really in trouble.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 * 9 U.S. Stocks That Are Coming to Life Again * The 7 Best Video Game Stocks to Power Up Your Portfolio! * 5 Tips to Become a Better Stock Trader Compare Brokers The post 5 Must-See Stock Trades for Friday, Including Coca-Cola appeared first on InvestorPlace.
Is 2019 Bill Ackman’s Comeback Year after a Series of Losses?(Continued from Prior Part)Years of losses for AckmanPershing Square had a series of disappointing years, with losses of 20.5%, 13.5%, 4%, and 0.7%, respectively, in 2015, 2016, 2017,
In the almost seven years that Johnson & Johnson (NYSE:JNJ) CEO Alex Gorsky has been in the top job, JNJ stock has achieved a cumulative total return of 155.5% (through Feb. 12). Gorsky took charge of the large-cap healthcare company on April 26, 2012. He's managed to deliver an annualized total return of 14.7%.Source: Shutterstock Shareholders must be pleased with their returns. Does that mean Gorsky's earned his pay as CEO?Maybe. Maybe not. InvestorPlace - Stock Market News, Stock Advice & Trading TipsIf we lived our lives in a vacuum, Gorsky's performance would be enough to answer "yes" to the question. However, we don't. Johnson & Johnson, like all publicly traded stocks, have benchmarks to live up to. No, I'm not saying that it has to beat the S&P 500 index and its peers every year, but over the long haul, JNJ stock ought to at least keep up with them. * 10 Best Dividend Stocks to Buy for the Next 10 Months Over the same period, the SPDR S&P 500 ETF (NYSEARCA:SPY) and the iShares US Pharmaceuticals ETF (NYSEARCA:IHE) achieved cumulative total returns of 128.9% and 99.7% respectively. So, in terms of performance, JNJ stock has easily met and exceeded shareholder expectations. From that vantage point, It's easy to how shareholders might view Gorsky's compensation as irrelevant, but it's not. Why?What happens if JNJ stock underperforms over the next seven years relative to the index and its peers? All of a sudden paying a person $29 million a year doesn't seem so smart; especially when you consider that Johnson & Johnson could get a similar result at half that fat paycheck.Big corporations like to throw out the rationalization that they have to provide this level of compensation to remain competitive. It's a bald-faced lie. There are plenty of qualified candidates in the U.S. that could handle the job at half the compensation. I'm sure of it. The truth is, if CEO compensation were an investable stock, anyone who invested in those shares between 1978 and 2017, would be wealthy. "CEO compensation has grown far faster than stock prices or corporate profits. CEO compensation rose by 979% (based on stock options granted) or 1,070% (based on stock options realized) between 1978 and 2017," Fast Company reported in August 2018. "The corresponding 637% growth in the stock market (S&P index) was far lower."You can debate the relevance of these numbers all you want but Alex Gorsky, like most CEOs, is replaceable. How Much Does Gorsky Make?I won't bore you with the details regarding salary, cash bonuses, pension plans, etc. I'm merely going to provide a table that shows how many of Gorsky's stock and option awards have vested since becoming CEO in 2012. You can decide if the largess amassed is worth it. Alex Gorsky's Stock Vested 2013-2017Year Stock Awards Value Today 2017 151,654 $20,345,901 2016 114,875 $15,411,630 2015 63,716 $8,548,139 2014 12,058 $1,617,701 2013 9,981 $1,339,051 2012 20,791 $2,789,321 Total 373,075 $50,051,743Source: SEC Corporate FilingsI guess $50 million doesn't seem like a lot over six years for a CEO of a $360 billion company. And it isn't. However, when you consider there are several candidates at JNJ who could do the job, it's a lot of money going out the door for someone who essentially won the CEO lottery.Oh, and one last thing. * Buy These 5 Stocks to Play the Megatrend of the Century As of fiscal 2017, Gorsky had 2.8 million stock options, both exercisable and unexercisable, at prices between $62 and $116, so they're all in the money. Were he to exercise all of the options at today's stock price, they'd be worth $376 million. Is Gorsky Earning His Pay?As I noted in kicking off this piece, shareholders probably don't care about overpaying Gorsky, given the returns of JNJ stock since he became CEO. However, like America, if you don't speak up about what's wrong with the country, you get what you deserve. Eventually, Johnson & Johnson stock is going to revert to the mean and when it does, Alex Gorsky won't be sitting nearly as pretty. 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 * 9 U.S. Stocks That Are Coming to Life Again * The 7 Best Video Game Stocks to Power Up Your Portfolio! * 5 Tips to Become a Better Stock Trader Compare Brokers The post Is Johnson & Johnson CEO Alex Gorsky Earning His Pay? appeared first on InvestorPlace.
Despite growing concerns that an economic slowdown is triggering an earnings recession, bullish sentiment still reigns in the U.S. stock market. The S&P 500 Index (SPX) was up by 17.3% from its low in December and by nearly 10% year-to-date as of yesterday's close. Among the prominent investment professionals who believe such gains are realistic include John Lynch, chief investment strategist at LPL Financial, a wealth management firm with client accounts worth $628 billion, Julian Emanuel, chief equity and derivatives strategist at investment banking firm BTIG, and Paul Meeks, a veteran technology analyst and fund manager.
Is 2019 Bill Ackman’s Comeback Year after a Series of Losses?Pershing Square’s performance 2018 turned out to be a dismal year for hedge funds. The poor performance of hedge funds also led to large investor redemptions. Due to years of