• Value Investors Explains Why He Likes Berkshire Hathaway, BAM, And RenaissanceRe
    Insider Monkey

    Value Investors Explains Why He Likes Berkshire Hathaway, BAM, And RenaissanceRe

    We just published a copy of value investor Joseph Del Principe's November 2019 investor letter. You can download the entire letter on our site. Here is what he said about Berkshire Hathaway (NYSE:BRK-B): In August, international oil and gas company Occidental Petroleum Corporation (OXY) completed its acquisition of energy company Anadarko Petroleum (APC)—but not without […]

  • Is RR Donnelley & Sons Company (RRD) A Good Stock To Buy ?
    Insider Monkey

    Is RR Donnelley & Sons Company (RRD) A Good Stock To Buy ?

    The financial regulations require hedge funds and wealthy investors that exceeded the $100 million equity holdings threshold to file a report that shows their positions at the end of every quarter. Even though it isn't the intention, these filings to a certain extent level the playing field for ordinary investors. The latest round of 13F […]

  • You Bought the Trade Rumor. Is It Time to Sell the News?

    You Bought the Trade Rumor. Is It Time to Sell the News?

    (Bloomberg Opinion) -- Markets are cheering trade progress between the U.S. and China. It’s important to note that a deal isn’t a cure-all — especially for manufacturers.President Donald Trump reportedly signed off late Thursday on an initial trade deal with China that will delay proposed tariffs on some $160 billion of largely consumer goods set to take effect on Dec. 15. The deal presented to Trump also included promises by China to purchase additional U.S. agricultural goods, people familiar with the matter told Bloomberg News. A rollback of existing tariffs on $360 billion of Chinese goods was said to have been “discussed,” but it’s unclear whether Trump agreed to a reduction and and unknown as to how significant it might be.China has balked at previous agreements that it felt were too lopsided and the removal of tariffs was a top priority. Without that, this deal would appear to be less of a “phase-one” agreement and more of a “phase 0.5” deal. But assuming some semblance of an accord finally limps across the finish line, where do industrial stocks go from here?Manufacturers bore the brunt of the initial tariff crossfire, while the uncertainty wrought by the upheaval in relations between the world’s two biggest economies has slowed customer spending to a crawl. Large manufacturers have been relatively constrained so far in their efforts to cut costs, a sign that they believe demand is being artificially restrained by the trade tensions and could bounce back meaningfully in short order. At the same time, the S&P 500 Industrial Index hit reached an all-time high on Nov. 26 and the actual slowdown in most manufacturers’ sales has been relatively shallow. Industrial distributor Fastenal Co., which sits on the front lines of any economic swings, last week said November daily sales rose 5.7% from a year earlier. That’s a deceleration from the pace of growth at the start of the year, but still relatively healthy, meaning there may not be much room to bounce higher.It’s worth remembering that Caterpillar Inc.’s infamous warning of the “high water-mark” for profits actually came in April 2018, and its guidance at the time excluded potential impacts from increased trade restrictions. The immediately subsequent share plunge was as much a reflection of fears around cyclical peaks as it was the trade war. Since then, tariffs have obviously compounded concerns about an industrial slowdown, but there’s an argument to be made that they also added noise and distraction to a slowdown that was already in the process of happening naturally. Point being, there has been nothing normal about this industrial business cycle and the recovery from here remains a question mark.Trade deal or not, tariff rollback or not, plenty of uncertainty still lingers. Left out of the initial agreement are any commitments around the U.S.’s primary reasons for starting this trade war in the first place, including reforms to China’s industrial subsidies, improved foreign access to certain markets and a loosening of technology-transfer requirements. If I was an industrial CEO — or head of any company, frankly, with substantial business operations in China — plan A would not be to assume the waters remain calm. This trade war will continue to unleash a rethinking of supply chains as companies try to gird against future skirmishes, and that may continue to hinder purchasing decisions. And while settlement of Brexit would be a positive development, the impeachment inquiry in the U.S. is still progressing and the 2020 presidential election looms large.After aggressively buying rumor after rumor on the trade front, this may be a situation where industrial investors should sell the actual news.To contact the author of this story: Brooke Sutherland at bsutherland7@bloomberg.netTo contact the editor responsible for this story: Beth Williams at bewilliams@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Brooke Sutherland is a Bloomberg Opinion columnist covering deals and industrial companies. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • Hedge Funds Are Dumping Tupperware Brands Corporation (TUP)
    Insider Monkey

    Hedge Funds Are Dumping Tupperware Brands Corporation (TUP)

    While the market driven by short-term sentiment influenced by the accomodative interest rate environment in the US, increasing oil prices and deteriorating expectations towards the resolution of the trade war with China, many smart money investors kept their cautious approach regarding the current bull run in the third quarter and hedging or reducing many of […]

  • Are Energy Stocks Hot Again?

    Are Energy Stocks Hot Again?

    The ill-performing energy sector could be about to stage a major turnaround, but it won’t be the first time that contrarian investors get burned trying to play a rebound

  • Hedge Funds Have Never Been This Bullish On Otter Tail Corporation (OTTR)
    Insider Monkey

    Hedge Funds Have Never Been This Bullish On Otter Tail Corporation (OTTR)

    Does Otter Tail Corporation (NASDAQ:OTTR) represent a good buying opportunity at the moment? Let’s quickly check the hedge fund interest towards the company. Hedge fund firms constantly search out bright intellectuals and highly-experienced employees and throw away millions of dollars on satellite photos and other research activities, so it is no wonder why they tend […]

  • GuruFocus.com

    US Indexes Close Higher Thursday With China Trade Developments

    President Trump likely to sign limited trade agreement before Sunday Continue reading...

  • Garmin's Kao donates $20M to create institute within hospital
    American City Business Journals

    Garmin's Kao donates $20M to create institute within hospital

    The gift from the Kao Family Foundation will create the Kao Autoimmunity Institute to advance research and treatment of rheumatologic diseases at Cedars-Sinai Medical Center.

  • Disney is giving us Baby Yoda toys for Christmas

    Disney is giving us Baby Yoda toys for Christmas

    You can now preorder plush and collectible toys of the breakout star of “The Mandalorian” on Disney+ from Amazon, Walmart and Disney.com

  • Oil Rises After U.S. Reaches Trade Deal in Principle With China

    Oil Rises After U.S. Reaches Trade Deal in Principle With China

    (Bloomberg) -- Oil rose, reversing the previous day’s decline, after the U.S. reached a trade deal in principle with China.Futures gained 0.7% in New York Thursday. American negotiators have reached the terms of a phase-one trade agreement that now awaits President Donald Trump’s approval, a development that eases concerns about a global economic slowdown.“It looks like we may have the miracle of a trade deal after all, though I still think the U.S. will play some hard ball with China, so there’s still some uncertainty over the details of this,” said John Kilduff, a partner at Again Capital. “Beyond the deal, there’s definitely more of a bullish set up now given the OPEC+ deal and tensions in Iran and Iraq.”The trade optimism overshadowed a jump in U.S. fuel inventories that weighed on prices Wednesday. American gasoline inventories surged the most since January as overall product demand slumped to a three-year low, and crude stockpiles increased, according to the U.S. Energy Information Administration.Last week, the 24 producers in the OPEC+ coalition -- led by Saudi Arabia and Russia -- agreed to a package of cutbacks amounting to 2.1 million barrels a day. Still, deeper production cutbacks announced by the group won’t prevent a surplus in early 2020, the International Energy Agency said.West Texas Intermediate for January delivery rose 42 cents to settle at $59.18 a barrel on the New York Mercantile Exchange. Volatility for WTI futures is at the lowest since May.Brent for February settlement rose 48 cents to $64.20 a barrel on the London-based ICE Futures Europe Exchange, after falling 1% to close on Wednesday. The global benchmark crude traded at a $5.14 premium to WTI for the same month.\--With assistance from Robert Tuttle.To contact the reporters on this story: Catherine Ngai in New York at cngai16@bloomberg.net;Grant Smith in London at gsmith52@bloomberg.netTo contact the editors responsible for this story: David Marino at dmarino4@bloomberg.net, Catherine Traywick, Christine BuurmaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Dow Jones Ramps Higher On Reports Of Preliminary China Trade Deal
    Investor's Business Daily

    Dow Jones Ramps Higher On Reports Of Preliminary China Trade Deal

    The Dow Jones strengthened in afternoon trading on reports of a phase-one trade deal with China. Facebook fell on news of a possible FTC injunction.

  • MarketWatch

    Dow's 225-point climb highlighted by gains for Cisco, JPMorgan Chase shares

    DOW UPDATE Led by strong returns for shares of Cisco and JPMorgan Chase, the Dow Jones Industrial Average is climbing Thursday afternoon. The Dow (DJIA) was most recently trading 227 points, or 0.8%, higher, as shares of Cisco (CSCO) and JPMorgan Chase (JPM) are contributing to the index's intraday rally.

  • Hedge Funds Are Selling Greif, Inc. (GEF)
    Insider Monkey

    Hedge Funds Are Selling Greif, Inc. (GEF)

    After several tireless days we have finished crunching the numbers from nearly 750 13F filings issued by the elite hedge funds and other investment firms that we track at Insider Monkey, which disclosed those firms' equity portfolios as of September 30th. The results of that effort will be put on display in this article, as […]

  • ‘Post-Chemical World’ Takes Shape as Agribusiness Goes Green

    ‘Post-Chemical World’ Takes Shape as Agribusiness Goes Green

    (Bloomberg) -- Agribusiness is increasingly turning to natural and sustainable alternatives to chemicals as consumers rebuff genetically modified foods and concerns grow over Big Ag’s role in climate change.At the heart of the trend are innovations that harness beneficial microorganisms in the soil, including seed-coatings of naturally occurring bacteria and fungi that can do the same work as traditional chemicals, from warding off pests to helping plants flourish, according to a global patent study by research firm GreyB Services.“Both entrepreneurs and investors are saying, ‘Hey, the writing is on the wall, we’re entering a post-chemical world,’” said Rob LeClerc, chief executive officer of AgFunder, an online venture-capital platform. “The seed companies who have billions in market cap are like ‘We need to do something,’ and everyone recognizes the opportunity.”Much of the handwringing over farm chemicals stems from the recent fate of glyphosate, the most ubiquitous weedkiller ever. Regulators around the world are tightening up rules around using the chemical, including Europe and Mexico. Meanwhile, thousands of lawsuits that could result in billions of dollars in penalties are pending against Bayer AG over whether its glyphosate-containing product, Roundup, caused cancer. Bayer insists it’s safe, and some government agencies such as the U.S. Environmental Protection Agency say it isn’t likely to cause cancer in humans.The global fertilizer and pesticide market is around $240 billion, and grows 2% to 3% a year, according to Ben Belldegrun, a managing partner at Pontifax AgTech, a company that invests in food and agriculture technology. While so-called biologicals including biofertilizers, biopesticides and biostimulants are just 2% of that market, those have been growing closer to 15% a year for the past five years, Belldegrun said.Pressure for less chemical-intensive farming methods is coming from retailers like Walmart Inc., non-governmental organizations and consumers, who are throwing more dollars toward organic and other niche foods with environmental or animal welfare claims.As population increases worldwide, the demand for agricultural products is projected to grow 15% over the next decade with no change in the amount of land available for farming, according to a joint report by the Organization for Economic Cooperation and Development and the United Nations’ Food and Agriculture Organization.“There’s a growing world population and how are we going to feed all of these people?” asked Craig Forney, assistant director for licensing and business development at Iowa State University in Ames, Iowa. “At the same time, we want to protect the environment. We need to use land better and use the resources better.”The answer, Forney said, is “intensified agricultural production to increase productivity of land and do it with minimal chemical support.”Patents give owners the exclusive right to an invention, and can indicate both where research funding is being spent and where companies or universities expect to generate revenue in the future.Companies like BASF SE, Bayer and Syngenta AG have patents on products using naturally-occurring microbes to help crops flourish even when there is low water availability, according to GreyB’s analysis. The microbes can act as catalysts to encourage growth. Biological-based fungicides and insecticides can also help reduce crop damage from insects, slugs and fungi.“Seed-applied biological products can extend the window of disease and pest protection, while some also provide alternate modes of action that can reduce the build-up of resistance, aid with nutrient management and reduce plant stress,” said Chris Judd, BASF’s global strategic marketing manager for Seed Treatment, Inoculants and Biologicals.Evonik Industries AG, Altair Nanotechnologies Inc., Covestro AG and startup Indigo AG have been active in obtaining patents and publishing research in the area of using microbes, as have universities like China’s Zhejiang University and Nanjing Agricultural University, according to GreyB.Likewise, thousands of patents are being issued to companies like BASF, Bayer and Dow Inc. for more natural ways of managing pests including pheromones that deter breeding and reflective mulches, instead of chemical-based insecticides.Germany’s Bayer, which bought agriculture chemical giant Monsanto Co. in 2018, sees “high growth potential” for biologicals, citing a challenging regulatory environment for chemicals and a growing emphasis on sustainability in agriculture. Bayer has a research and development team solely focused on them. The company also is hunting for partnerships to boost its portfolio. Benoit Hartmann, head of biologics at Bayer, said the increased investments show how the science around microbes has matured in recent years.In 2013, BASF acquired seed-treatment supplier Becker Underwood, which helped the company become a leader in biological agents to fight bacteria and fungi. Judd said the company sees demand for biologicals increasing but maintains that they need “to be compatible with an increasing array of chemistries and to have the ability to survive on the seed for adequate periods.”The increased patenting reflects a trend of researchers looking for ways to help promote organic and non-GMO farming, said Nicole Kling, a patent agent with Nixon Peabody who specializes in the biotechnology field.With biologicals, “You’re not introducing chemicals with the scare quotes around it,” Kling said. “You’re not doing anything that would harm the agricultural workers.”Researchers and companies are looking for new solutions for farming with less chemicals because organic farming, the most popular alternative to modern conventional farming, often results in lower yields. Still, demand for food continues increasing. Iowa State and other universities around the world, using government funding or in partnership with companies, are rushing to deal with those competing demands.“The hope is someday in the future they will merge and you will have organic and non-GMO products that are just as productive as Big Ag,” Forney said.That’s where things like precision agriculture to tailor the application of nutrients, artificial intelligence to monitor soil conditions and the development of new plant hybrids come in.Other emerging techniques that could boost yields while helping farmers use less chemicals is artificial intelligence, which is being used to analyze which seeds and crops can yield the most based on changing soil conditions and weather patterns on a farm. The promise of quantum computers would let companies use massive computing power to develop and analyze new seeds and fertilizers.Scientists also are developing new plant varieties, with applications for new varieties up 9% in 2018, according to the World Intellectual Property Organization. China led the growth, with more than a quarter of the applications for new varieties.Much of the research in crop biotech is centered in the U.S., China, Germany, Japan and South Korea, though it’s being adapted to meet local conditions in Africa, Latin America and Asia, according to WIPO, an agency of the U.N.Demand for more food will be greatest in Africa, India and the Middle East. In the developing world, there is little food scarcity because “we did good things with all that ‘better living through chemistry,’” Kling said, referring to a play on an old DuPont motto. It has come at a cost, though.“We’re starting to see some of the effects of that -- all of this wonderful industrialization has contributed to climate change,” Kling said. “We’re starting to see people swing back in the other direction.”(Adds executive comment in fifteenth paragraph)To contact the reporters on this story: Lydia Mulvany in Chicago at lmulvany2@bloomberg.net;Susan Decker in Washington at sdecker1@bloomberg.netTo contact the editors responsible for this story: Jon Morgan at jmorgan97@bloomberg.net, ;James Attwood at jattwood3@bloomberg.net, Elizabeth WassermanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Garmin, Movado and Tesla highlighted as Zacks Bull and Bear of the Day

    Garmin, Movado and Tesla highlighted as Zacks Bull and Bear of the Day

    Garmin, Movado and Tesla highlighted as Zacks Bull and Bear of the Day

  • Reuters

    UPDATE 1-Chevron moves ahead with Gulf of Mexico project

    Chevron Corp on Thursday gave the green light to its Anchor project in the Gulf of Mexico and said the deepwater oilfield would require an investment of about $5.7 billion. "Chevron's sanction of the Anchor project shows that the U.S. Gulf of Mexico still offers attractive investment opportunities for large greenfield developments," said Justin Rostant, an analyst with Wood Mackenzie's Gulf of Mexico team. Chevron, through its unit, holds a 62.86% working interest in the project and is the operator, while Total SA's unit holds the remaining working interest.

  • Barrons.com

    Saudi Aramco Surged to a $2 Trillion Valuation. Skepticism May Be Warranted.

    Saudi Aramco stock rose 4.6% on Thursday, with its valuation climbing above $2 trillion—the first time any company has hit that mark.

  • Home Depot’s investments may weigh on near-term results but analysts see the long-term benefit

    Home Depot’s investments may weigh on near-term results but analysts see the long-term benefit

    Home Depot’s investments in stores and online set up the retailer for long-term gains, analysts say.

  • How Much is Safety Insurance Group, Inc.'s (NASDAQ:SAFT) CEO Getting Paid?
    Simply Wall St.

    How Much is Safety Insurance Group, Inc.'s (NASDAQ:SAFT) CEO Getting Paid?

    George Murphy has been the CEO of Safety Insurance Group, Inc. (NASDAQ:SAFT) since 2016. This analysis aims first to...

  • A Much Better Dividend Stock Than These Dividend Kings
    Insider Monkey

    A Much Better Dividend Stock Than These Dividend Kings

    Dividend investors usually focus on companies that have a long track record of increasing their dividends year after year. The companies with at least 25 years of consecutive dividend increases are especially favored by income oriented investors. This is actually not a bad idea as long as these companies continue to increase dividends. However, when […]

  • Best Buy Hits New 52-Week High: Will the Uptrend Continue?

    Best Buy Hits New 52-Week High: Will the Uptrend Continue?

    Best Buy's (BBY) Building the New Blue: Chapter Two plan and buyouts are likely to keep its momentum alive in the near future. Also, a raised view for fiscal 2020 bodes well.

  • Reuters

    Chevron says its Gulf of Mexico Anchor project will need $5.7 bln in investment

    Chevron Corp said on Thursday its Anchor project in the Gulf of Mexico would need an investment of about $5.7 billion. Announcing its final investment decision on the planned facility, the oil major said first oil from the field is expected in 2024. Chevron, through its unit, holds a 62.86% working interest in the project and is the operator, while Total SA's unit holds the remaining working interest.

  • MarketWatch

    Dow jumps 150 points on gains for Caterpillar, Cisco shares

    DOW UPDATE Powered by positive growth for shares of Caterpillar and Cisco, the Dow Jones Industrial Average is up Thursday morning. The Dow (DJIA) was most recently trading 153 points (0.6%) higher, as shares of Caterpillar (CAT) and Cisco (CSCO) are contributing to the blue-chip gauge's intraday rally.

  • Signs That Your Trading Will Ruin Your Retirement - December 12, 2019

    Signs That Your Trading Will Ruin Your Retirement - December 12, 2019

    Achieving your retirement goals takes a much different investing approach than regular stock trading, from smartly managing risk to keeping emotions in check.

  • Best Buy (BBY) Hits Fresh High: Is There Still Room to Run?

    Best Buy (BBY) Hits Fresh High: Is There Still Room to Run?

    Best Buy (BBY) is at a 52-week high, but can investors hope for more gains in the future? We take a look at the company's fundamentals for clues.