Reports

Dump These Stocks Now

June 17, 2023

The right stocks can make you rich and change your life.

The wrong stocks, though… They can do a whole lot more than just “underperform.” If only! They can eviscerate your wealth, bleeding out your hard-won profits.

They’re pure portfolio poison.

Surprisingly, not many investors want to talk about this. You certainly don’t hear about the danger in the mainstream media – until it’s too late.

That’s not to suggest they’re obscure companies – some of the “toxic stocks” I’m going to name for you are in fact regularly in the headlines for other reasons, often in glowing terms.

I’m going to run down the list and give you the chance to learn the names of three companies I think everyone should own instead.

But first, if you own any or all of these “toxic stocks,” sell them today…

Ascent Solar Technologies (ASTI)

The photovoltaic specialist obviously carries significant implications for the solar energy industry. With society gravitating toward clean and renewable energy solutions, ASTI should be enjoying extraordinary relevance. Unfortunately, its narrative hasn’t been so fortunate. Year to date, ASTI share price is down 91%. In the trailing year, it’s down almost 96%. Glaringly, its three-year revenue growth rate sits at 90.3% below parity. Profit margins have slipped to ridiculously negative rates while the balance sheet is a mess. Gurufocus.com warns that Ascent solar is a possible value trap.

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Lemonade (LMND)

Thus far, the self-proclaimed insurance industry disruptor has gained a healthy following. But in all of the enthusiasm surrounding its AI-based underwriting technology, investors may be turning a blind eye to its laundry list of flaws.

In 2022 generated a 116% increase in premiums. By contrast, the company expects just 12% year-over-year growth in 2023. Aside from the dramatic slow-down in overall business, the company is bleeding cash, posting an adjusted EBITDA loss of $225 million last year. This year’s EBITDA loss is expected to come in around $242 million.

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Big Lots (BIG)

Shares in the big box retailer may be down by nearly 65% over the past 12 months. Some investors are still being tempted by its 10.82% dividend yield. However, with the company reporting a net loss of $7.30 per share, and expected to stay in the red through 2024, it’s highly questionable whether BIG’s high rate of payout will continue for long.

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Behold, the Dividend Kings: Ultimate Portfolio Protection

Editorial Staff

June 15, 2023

Are some dividend stocks more dedicated to their shareholders than others?

You could make the case for “Dividend Kings,” regarded as an elite community of dividend-payers that have shown consecutive annual dividend increases for 50 or more years. They have:

– Adapted to evolving consumer preferences and tech advancements,

– Weathered severe economic challenges like inflation and market crashes,

– Shown consistent, impressive business performance each fiscal year.

I found three Dividend Kings in particular that are each currently down year-to-date, which leaves plenty of room to grow. Growth leads to price appreciation, which leads to shareholder profits.

Now, let’s break down what makes these crowned dividend stocks so great. Check it out:

H.B. Fuller Company (FUL)

From the industry/processing sector, first on the list is a specialist in adhesives, H.B. Fuller Co. (FUL), which have been used for over two thousand years, indicating a constant need. These versatile products are utilized by FUL in a number of markets and are continuously improving. FUL’s command of the adhesives market, coupled with low capital intensity, generates consistent cash flow. FUL has implemented annual dividend increases for 52 years.

FUL is currently down YTD (year-to-date) by 8.39%, trading near the bottom of its 52-week range. With $3.7 billion—more than its market cap of $3.5 billion—in TTM revenue at $2.96 per share, FUL shows net income of $163.9 million through its 4.43% profit margin. FUL has a PEG (price/earnings/growth) ratio of 0.9x, forecasted quarterly growth in revenue (+19.98%) and EPS (+89.82%), and, for the current quarter, is expected to show over $970 million in sales at $1.24 per share. FUL’s current dividend yield is 1.25%, and it comes with a quarterly payout of $0.20 ($0.80/year) per share. With a 10-day average volume of just over 255 thousand shares, FUL’s median price target is $80, with a high end of $106 and a low end of $66, suggesting a possible 61% jump from its current price. FUL has 2 buy ratings and 2 hold ratings.

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Nordson Corp (NDSN)

Nordson Corp. (NDSN) has built a strong customer base over the years. Many of NDSN’s solutions are installed at customer facilities, creating loyalty. With a significant portion of recurring revenue from parts and consumables, NDSN enjoys a steady cash flow that is resistant to economic downturns—a true model of stability. NDSN offers a compelling growth profile among its crowned peers and, so far, has seen 59 years of consecutive dividend increases.

Down only slightly year-to-date by 1.72%, NDSN actually works well as a value stock, although it’s near the middle of its existing price range. With a safe-from-voltility beta score of 0.93, NDSN shows $2.6 billion in TTM revenue at $8.91 per share, from which it profited $514.8 million via its 19.75% net margin. At its last earnings call, NDSN beat analysts’ EPS forecasts by a margin of 6.78%, reporting $2.26 per share vs. the $2.12 predicted. NDSN also shows year-over-year growth in key areas: revenue (+2.32%), net income (+16.35%), EPS (+17.35%), and net profit margin (+13.74%). NDSN has an annual dividend yield of 1.12% and a quarterly payout of 65 cents ($2.60/year) per share. With an ROE (return on equity)

of 21.97% and a 10-day average volume of approximately 240 thousand shares, NDSN has a median price target of $257, with a high of $270 and a low of $225; this represents a possible 15% increase from where its price currently sits. NDSN has 5 buy ratings and 3 hold ratings.

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Federal Realty Investment Trust (FRT)

The only real estate investment trust (REIT) in the exclusive Dividend Kings club is Federal Realty Investment Trust (FRT), with 55 consecutive years of dividend increases. With a tight focus on high-end, mixed-use properties in affluent areas across nine markets, including Southern California, Silicon Valley, Phoenix, Miami, Chicago, Philadelphia, Boston, New York, and Washington, D.C., FRT has enjoyed notable stability throughout and beyond the pandemic. FRT’s properties have always maintained high occupancy rates, solidifying its reputation as one of the oldest publicly traded REITs. Shareholders have little reason to worry about any changes to FRT’s reliable dividend stream.

FRT’s stock is down by 5.86% year-to-date, is near its existing 52-week low, and enjoys a safe 0.95 beta figure. FRT shows TTM revenue of $1.09 billion at $4.67 per share, and during the same period it made $379.46 million in net income on the back of its solid 35.47% profit margin. With an ROE of 13.93% and a 3x PEG ratio, FRT most recently surpassed analysts’ EPS forecasts by 7.6%, reporting $0.65 per share vs. the $0.60 per share expected. FRT currently has an annual dividend yield of 4.53% and a quarterly payout of $1.08 ($4.32/year) per share, using a generous 91.12% payout ratio. With a 10-day average volume of roughly 529 million shares, FRT’s median price target is $109, with a high of $125 and a low of $91, allowing for a potential 31.5% jump from its current price. FRT has 9 buy ratings and 9 hold ratings.

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Three Must-Have Stocks to Capitalize on the Unstoppable AI Revolution

Editorial Staff

June 14, 2023

Let me start by saying that, from where I’m sitting, it’s a safe assumption that Artificial Intelligence isn’t going anywhere anytime soon. If there was anything truly “here to stay,” AI is it, and in seemingly endless ways. While AI isn’t brand new, there’s no question that technology has reached a pivotal moment in our culture and has captured the minds of just about every person not living off the grid. So, we already know how cool AI platforms such as ChatGPT are, but what makes AI such a good investment?

Simply put, AI’s disruptive and transformative nature leaves many opportunities across many industries. As businesses adopt AI to innovate and improve their performance, demand for AI-related products and services will inevitably grow, leading to massive returns. Traditional business models will have to face adjustments or take a back seat to the advancements in machine learning. As AI continues to grow, it’s attracting many long-term investors. It’s catching on quickly, too, so now is the time to hop on board.

We have three AI-involved companies whose stocks are each performing well, thanks largely to the big strides we see in ChatGPT. I’m eager to break ‘em down, so join me here for a look:

Amazon.com Inc (AMZN)

Amazon.com, Inc. (AMZN) is a multinational online retail company. AMZN offers consumer products through online and physical stores, both domestically and internationally. AMZN also provides cloud computing services on a global scale. Founded by Jeff Bezos in 1994, AMZN is headquartered in Seattle, WA. AMZN is up YTD by 39.02%, with a positive SMA. AMZN has a $1.08 trillion market cap, a PEG ratio of 2.25x, a P/B ratio of 2.06x, and YOY growth in key areas such as revenue (+9.37%), net income (+182.52%), EPS (+181.58), and net profit margin (+175.43). For its MRQ earnings call, AMZN beat analysts’ projections for EPS and revenue by 43.26% and 2.21%, respectively, and it has a free cash flow of just over $9 billion. AMZN has a TTM revenue of $524.9 billion at $0.42 per share, from which it profited $4.29 billion through its 2.54% margin. With a 10-day average volume of 67 million shares, AMZN has an average price target of $135, with a high of $220 and a low of $85; this represents a potential 41% price increase from where it sits at the moment. AMZN has 49 buy ratings and 4 hold ratings.

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NVIDIA Corp (NVDA)

NVIDIA Corp. (NVDA) designs and manufactures GPUs, chipsets, and multimedia software for computers. NVDA’s brands like GeForce, Quadro, DGX, and GRID each apply computing capabilities for various uses, including autonomous systems and gaming devices. NVDA was founded in 1993 by Jen Hsun Huang, Curtis Priem, and Chris Malachowsky and is headquartered in Santa Clara, CA. On a rally with room to breathe, NVDA is up by 109.02% YTD. NVDA has a $755.25 billion market cap, and its MRQ earnings report showed an EPS of $1.09 vs. $0.92 expected (+18.80% surprise) and $7.19 billion in sales vs. $6.52 billion predicted (+10.26% surprise). NVDA reports $27 billion in TTM revenue at $1.75 per share, and it made $4.37 billion via its 16.69% net profit margin. NVDA has a 0.05% annual dividend yield and a quarterly payout of 5 cents ($0.20/yr) per share. With a 10-day average trading volume of 40.91 million shares, NVDA has been given a median price target of $455, with a $600 high estimate, representing a potential 30% price jump. NVDA has 36 buy ratings and 12 hold ratings.

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Baidu Inc (BIDU)

Baidu, Inc. (BIDU) is a tech firm mainly providing internet search and online marketing solutions. BIDU’s products include Baidu App, Baidu Search, Baidu Feed, Haokan, Quanmin, and more. BIDU offers search-based and feed-based online marketing services, while iQIYI is its online entertainment platform. BIDU was founded by Xu Yong and Yanhong Li in 2000 and is based in Beijing, China. BIDU is up YTD by 4.14% and has a safe 0.67 beta. With a $41.64 billion market cap, BIDU has $18.4 billion in TTM revenue at $5.63 per share, profiting $1 billion on a 16.60% margin. BIDU has a P/E ratio of 13.7x, a forward P/E (NTM) of 12.1x, a 0.39x PEG, a P/S ratio of 2.47x, a P/B ratio of 1.36x, and a 37.80% D/E measure. BIDU has beaten analysts’ EPS forecasts for the last 13 consecutive quarters, surprising by 29.1% for its MRQ. BIDU shows excellent YOY growth in revenue (+9.62%), net income (+458.19%), EPS (+652.78%), and net profit margin (+701.39%), with a free cash flow of $16.75 billion and a 10-day average volume of 3.53 million shares. BIDU has a median price target of $173.67, with a high of $230.93 and a low of $110.95, representing a potential 94% price upside. Buy Now and Hold.

These Three Cheap Energy Earners Offer Incredible Returns

Editorial Staff

June 12, 2023

We’ve been talking about stocks lately that are obviously important in the world of marketplace happenings and trends, with AI being a prime example. The market moves fast, and while others have profited, some of us feel like we can’t find our way in. That’s okay! There are always other options.

Not all of us chase the “next big thing,” but instead try to invest safely, find a comfort zone, and take only calculated risks. Energy is an excellent space for this.

Today, I’m looking at three energy stocks that are down year-to-date, and the below-fair-value pricing leaves plenty of room for price appreciation. These are each in an outstanding position to turn a profit.

I’ll now dive into these three energy stocks to expose their profitability. So, let’s check it out:

Vertex Energy Inc (VTNR)

A forward-thinking refining company, Vertex Energy (VTNR) specializes in the production and distribution of a diverse range of fuels, exploring both traditional and alternative sources. VTNR recently wrapped up its ambitious renewable diesel (RD) conversion project, marking a significant milestone for the business.

As a result, revenue soared, showcasing remarkable growth in VTNR’s products and refined treasures during Q1 2023. By embracing sustainable practices, VTNR may be at the forefront of the transition.

VTNR is down slightly year-to-date by 0.48%, has a 1.05 beta score, and shows 187.32% in TTM (trailing twelve-month) asset growth. VTNR’s TTM revenue is $3.4 billion, more than six times higher than its market cap of $517 million. With a PEG (price/earnings/growth) ratio of 0.44x, VTNR, during its last earnings call, reported EPS of $0.68 per share vs. the $0.15 expected, beating analysts’ forecasts by a whopping 341.6%. VTNR shows year-over-year growth in critical areas like revenue (+827.25%), net income (+1,284%), EPS (+950%), and net profit margin (+227.75%). With an operating free cash flow of $105 million and a 10-day average volume of 2.11 million shares, VTNR has a median price target of $11.50, with a high of $15 and a low of $8; this represents the potential for a more than 143% price increase from VTNR’s current position.

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Sunrun Inc (RUN)

Sunrun Inc. (RUN) is a top energy stock with a compelling valuation and, from what I can see, a lot of growth potential. RUN leads the untapped U.S. residential solar energy market, boasting a projected 15.3% annual growth rate until 2030. There have been concerns regarding short-term profitability, but longer-term forecasts are very bright for RUN. This is a great example of one of those “calculated risks” I mentioned in my introduction; don’t forget that there’s a lot of potential here.

RUN’s stock is currently down by 20.02% year-to-date, and there’s an argument to be made for it being undervalued—especially given the forecasts. RUN has TTM asset growth of 14.33% and TTM revenue of $2.42 billion at $0.10 per share. RUN has a P/S (price to sales) ratio of 1.76x and a P/B (price to book) ratio of 0.64x. Although missing on EPS, RUN reported $589.85 million in revenue vs. the $517.78 million projected by Wall Street analysts, surprising by a 13.92% margin and also showing revenue growth (year-over-year) of 18.87%. For the current fiscal quarter, RUN is projected to report $621.6 million in sales with quarterly EPS growth of 78.58%. With a 10-day average trading volume of 7.92 million shares, RUN has a median price target of $33.53, with a high of $66 and a low of $25, suggesting a price increase of anywhere from 61% to 212%. Take a look at how RUN’s dip is rising back up.

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Plug Power Inc (PLUG)

With its unique expertise in hydrogen fuel cells, which generate power from hydrogen and oxygen while emitting only water vapor, Plug Power Inc. (PLUG) utilizes them to surpass the reliance on lithium batteries in electric vehicles. For PLUG, supplying EV manufacturers is a little easier given the fact that there are costly regulations on lithium and its use. Despite any drawbacks, it is considered a leader in the space, and right now, PLUG shows the most potential out of all of its clean energy counterparts for long-term price appreciation… and it’s a substantial difference.

PLUG is down by 23.04% year-to-date and sits near the bottom of its existing 52-week range, showing that it might just be due for a comeback. With TTM revenue of $770 million, PLUG’s current-quarter revenue is expected to come in at $251.9 million. Until reporting again on August 10th, PLUG could have done a lot worse with its last earnings call, when it reported revenue of $210.29 million vs. the $207.76 million expected, beating analysts forecasts by 1.21%; it also shows year-over-year revenue growth of 49.35%, in addition to net profit margin growth of 11.62%. PLUG has a P/B (price to book) ratio of 1.57x and a refreshing D/E (debt to equity) measure of 15.15%. Showing forward 1-year EPS growth of 48.1% and a 10-day average volume of 26.91 million shares, PLUG has a median price target of $18.54, with a high of $78 and a low of $7.50. This represents a price upside of anywhere from 57% to 719% (as in seven hundred and nineteen) from its current position. Analysts are mostly bullish on PLUG; I can see why.

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Three Hot Summer Travel Stocks We Cannot Lose Sight Of

Editorial Staff

June 12, 2023

Will you be taking a trip this summer? Taking some time off of work to be with family? Planning to have a cookout or two? Whatever your summer plans may be, we know for sure what the market trends indicate: A massive increase in travel and leisure spending is expected this year.

Restaurants, hotels, and cruise lines are already experiencing a surge in bookings. According to the Wall Street Journal, this time last year, 40% of people polled had avoided traveling by airplane, train, or bus. Now, that number has dropped to just 18%. Also, roughly 42 million people made trips of 50 miles or longer during Memorial Day weekend. If you’re going to invest in this market space, now is the time!

I’ve found travel stocks that are buy-rated and attractive to investors. Click here to know why:

United Airlines Holdings Inc (UAL)

A recent report suggests that the potential 2023 recession will have a less severe impact on airlines. United Airlines (UAL) showcases its confidence in this by recently announcing plans to hire 50,000 workers in the next two years, despite so many workforce reductions elsewhere. UAL has impressively maintained the lowest flight and seat cancellation rates among U.S. airlines. Analysts project a substantial 270% increase in the company’s full-year bottom line, reaching $9.30 per share. I found this cool tidbit too: An executive recently described this year’s summer travel season as UAL‘s “Super Bowl.”

UAL is up by 32.31% year-to-date, showing excellent TTM metrics to make sense of it: it has a PEG (price/earnings/growth) ratio of 0.13x, a P/S (price to sales) ratio of 0.33x, a P/B (price to book) ratio of 2.43x, and a 37.31% ROE (return on equity). UAL shows TTM revenue of $48.8 billion at $5.73 per share, from which it made $1.92 billion in net income. At its most recent earnings call, UAL beat analysts’ EPS forecast by 14.17%, also showing year-over-year growth in crucial areas like revenue (+51.06%), net income (+85.91%), net profit margin (+90.66%), and operating income (+100.29%). UAL is expected to report $13.9 billion in sales at $3.88 per share for the current fiscal quarter. With an operating free cash flow of $7.73 billion and a 10-day average volume of 5.67 million shares, UAL has a median price target of $65, with a high of $80 and a low of $43. UAL’s new range represents anywhere from a 30 to 60% jump from where pricing currently sits. UAL has 13 buy ratings and 7 hold ratings.

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O’Reilly Automotive Inc (ORLY)

In today’s expensive flight landscape, more families are opting for road trips, leading to an increased demand for car repairs. O’Reilly Automotive (ORLY) has capitalized on this trend. Showcasing impressive momentum and exhibiting low volatility, ORLY has shown remarkable 41% growth over the past year. This upward trajectory for ORLY has been steady and consistent, surpassing even the returns of renowned companies like Amazon (AMZN), Tesla (TSLA), and Apple (AAPL). If you’re seeking an alternative approach to benefit from the summer travel stock trend, ORLY emerges as a solid and promising option. I don’t often recommend high-priced stocks like this, so I’ll let the numbers back me up.

ORLY has a safe 0.88 beta score, is up by 7.40% year-to-date, has a PEG ratio of 1.50x, and a stunning ROE (return on equity) of 5,863.87%. ORLY shows $14.82 billion in TTM revenue at $33.93 per share, from which it profited $2.21 billion on the back of its 14.90% net margin. For its last earnings call, ORLY reported $8.28 per share vs. the $8.03 per share expected by analysts (a 3.61% surprise) and $3.71 billion in revenue vs. the $3.58 billion expected (a 3.43% surprise). ORLY shows year-over-year growth in areas such as revenue (+12.50%), net income (+7.26%), and EPS (+15.48%). ORLY is forecasted to show $4 billion in sales at $10.00 per share for the current fiscal quarter. With $1.84 billion in free cash flow and a 10-day average volume of roughly 560,000 shares, ORLY’s median price target is $987.50, with a high of $1,055 and a low of $865, allowing for a 16.5% upside. ORLY has 17 buy ratings and 9 hold ratings.

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Expedia Group Inc (EXPE)

One business that indeed thrives on strong travel demand is Expedia Group (EXPE). The travel-booking platform is on top of this in a couple of ways: First, EXPE recently added hotels.com to its portfolio, along with the VRBO platform for vacations and BnB lodging. Secondly, and more importantly, EXPE has wisely been incorporating AI into its app through a partnership with Microsoft (MSFT), launching its own plug-in for ChatGPT. This enables EXPE to provide customers with price comparisons, facilitate shopping comparisons, assist with self-service queries, and enhance the efficiency of customer service agents.

EXPE’s stock is up 22.93% year-to-date. With $12.08 billion in TTM revenue at $2.09 per share, EXPE made a net income of $329 million via its modest 2.72% profit margin. EXPE boasts a forward P/E (price to

earnings) ratio of 11x, a PEG ratio of 0.58x, a P/S (price to sales) ratio of 1.45x, and an ROE (return on equity) of 16.83%. EXPE shows forward-looking 1-year EPS growth of 38.8% and is forecasted to show $3.4 billion in sales at $2.32 per share for the current fiscal quarter. With a free cash flow of $2.58 billion and a 10-day average trading volume of 3.01 million shares, EXPE has a median price target of $120, with a high of $172 and a low of $90. This new range for EXPE allows room for an almost 60% price jump from its current position. EXPE has 15 buy ratings and 15 hold ratings.

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Weekly Radar: Our Top Stock Picks for This Week

Editorial Staff

June 11, 2023

Stocks inched higher last week as cautiously optimistic investors positioned themselves ahead of a crucial upcoming Fed meeting. The S&P 500 rose for the fourth week in a row, closing the week at 4,299, eclipsing the level needed to exit the bear market it had been in since January 2022. Each of the major U.S. indexes produced a fractional weekly gain in a mostly quiet week of trading.

The Federal Reserve is scheduled to conclude its upcoming policy meeting on Wednesday; most observers expect that the Fed will maintain its key benchmark interest rate at a range of 5.00% to 5.25%, potentially breaking a string of 10 consecutive meetings in which it has lifted rates. Market participants will be watching for indications as to whether the Fed might shift back to a rate-hiking mode at its subsequent meeting ending July 26 if it chooses to keep rates unchanged at its June session.

The S&P 500 is up about 20% from its mid-October lows, a threshold that could indicate a bull market. The economy has defied expectations for a slowdown in the face of higher interest rates. Still, some form of an economic slowdown could lie ahead, even as the foundation of a new bull market is likely already formed. Any renewed phase of volatility may bring opportunities to position your portfolio for a more sustainable rebound. Here are three stocks to watch as the market’s ‘come back’ unfolds.

Fasty Inc. (FSLY)

Cloud-computing platform provider Fastly has been getting much attention this year, which may be just the beginning. Despite an astonishing 91% increase this year, FSLY’s share price remains significantly (88%) below its October 2020 ATH of $126.58.

The company has yet to turn a profit. Nevertheless, over the past three years, revenue increased at an average rate of 23% per year. That’s well above most other pre-profit companies. Interestingly, the share price has fallen an average of 9% each year over the same period. This disconnect between valuation and revenue growth forms the foundation for an intriguing investment, especially for growth-oriented investors.

Fastly posted solid earnings in early May. Management’s efforts to cultivate the conditions for long-term success were evidenced by a year-over-year gain in new customers and decreased capital expenditures, which has allowed for enhancements to the company’s technology and its business model. As it rolls out more straightforward product packaging and pricing tiers, customer acquisition and growth across the platform should be supported. Based on current free cash flows, the mighty mid-cap company has a sufficient cash runway for over three years. Its debt is well covered by its earnings, and management forecasts a reduction in losses over the next twelve months.

Strong execution and favorable underlying fundamentals seem likely to continue to support this turnaround story. At less than $17 per share, FSLY seems worthy of consideration.

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Las Vegas Sands (LVS)

With American consumers expected to continue cutting back on discretionary spending in the second half of the year, resourceful investors have taken a shine to leisure names with significant exposure in China, where a robust recovery in travel and tourism spending is underway. As the U.S. consumer softens, Macau-centric Las Vegas Sands has been gaining steam.

While travel restrictions impacted LVS’s Q1 performance, Wall Street is enthusiastic about the company’s performance throughout 2023 and the years ahead. Stifel recently upped its 12-month price target for the stock to $73 from $66 on the attractive risk/reward setup, stating, “If the U.S. consumer does decline, the pent-up demand from China’s and Singapore’s only gaming market should be healthy for another 12 months.”

LVS has risen 19% year to date and currently holds an 80% Buy rating. The pros covering the stock see a 50% upside over the next twelve months, a figure which has risen 10% over the past 30 days.

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Plug Power, Inc. (PLUG)

The “green wave” has given way to multiple opportunities for investors seeking stocks with exponential growth potential. The alternative energy industry is expected to expand in value by an astounding 1000% over the next five years. After a deep dive into this burgeoning industry, we’ve come up with one name that we believe could be the next massive breakout from the green energy group.

Plug Power is a leading provider of alternative energy technology, specializing in hydrogen and fuel cell systems. PLUG’s solutions are primarily used in the material handling and stationary power markets. PLUG offers fuel cell systems that replace lead-acid batteries in electric vehicles, benefiting distribution and manufacturing companies.

PLUG’s stock is down YTD by 28.82%, but it’s showing great promise, and I like it for its upside potential. PLUG has a $4.5 billion market cap and TTM revenue of $770 million at $1.32 per share. Recently exceeding analysts’ MRQ revenue forecast by a modest 1.53%, a win is a win. With a P/B ratio of 1.15x, PLUG has YOY revenue growth (+49.65), EPS (+31.56%) growth—30.89% quarterly growth—and profit margin growth (+11.62%). With a 10-day average trading volume of 24.02 million shares, it’s clear that PLUG’s recent business deals to optimize its impact and effectiveness have popularized the stock. Here’s another great thing: PLUG has a median price target of $15, with a $78 high and a low of $7.50, representing the potential for a 785% price increase from where it sits now. Analysts are on to PLUG, too; Buy, is what they say.

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Three Stocks to Avoid Next Week

Editorial Staff

June 8, 2023

Seeking out great stocks to buy is important, but identifying quality investments is only half the battle. Many would say it’s just as essential for investors to know which stocks to steer clear of. A losing stock can eat away at your precious long-term returns. By taking a proactive approach to avoid losing stocks, you can set yourself up for greater success in your investing journey.

Even the best gardens need pruning and our team has spotted a few stocks that seem like prime candidates for selling or avoiding. Read on to find out why we believe these particular stocks are poor investment choices and learn how to apply our analysis to your own portfolio management strategy…

Mondelez International Inc. (MDLZ)

Recession fears and concerns around the financial sector have investors seeking refuge in consumer staples stocks to shore up their portfolios. However, based on technical analysis some of these traditionally defensive tickers now seem overbought. Case in point – Mondelez.

A stock is considered overbought if its 14-day RSI goes above 70, and is typically seen as an indicator to consider cutting back on exposure. By this measure, with an RSI of 89.2 MDLZ tops the list as one of the most overbought names from the S&P 500. Wall Street sees little-to-no upside potential for the stock over the next twelve months. According to FactSet, the average analyst price target for Mondelez implies an upside of just 3%.

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Meta Materials (MMAT)

Semiconductor company Meta Materials develops and produces functional materials and nanocomposites, particularly in lithium battery materials. The micro-cap company is losing far more money than it’s bringing in. In the first quarter MMAT reported revenues of $1.4 million and operating expenses of $24.8 million. The company posted a net earnings loss of $79.1 million for the entire year.

Not to mention, the company is embroiled in litigation on accusations of involvement in “spoofing, naked short selling, market manipulation, and fraud.” Meta Materials share price is down 78% this year, falling to less than 25 cents per share.

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Gap Inc. (GAP)

Interest rates in America are now at their highest level in 16 years. While higher rates might tame inflation in the long run, they are likely to slow the economy in the near term and negatively impact certain areas of the market. Clothing retailers such as Gap Inc. tend to suffer when consumers cut back on discretionary spending. This reality has been reflected in Gap’s earnings performance, which have disappointed over multiple quarters. The current high-interest rate climate has proven to be a double whammy for The Gap, coming on the heels of two years of pandemic restrictions at its stores.

The retailer is likely to continue struggling while rates remain high and consumers tighten their purse strings. Slowing sales and poor financial results, coupled with pressure from higher interest rates have pushed GPS stock 17% lower this year. The company’s share price is now down nearly 70% over the past five years. The current consensus among 20 polled analysts is to Hold Gap shares.

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Three LiDAR Stocks Set to Explode

Editorial Staff

June 8, 2023

Every now and again, a technical breakthrough occurs that irrevocably affects both our lives and the world around us. Henry Ford’s assembly line delivered automobiles to the public, the internet revolutionized the way we communicate, and mobile phones only amplified those developments, while becoming a phenomenon in their own right. Today, advances in computing, vehicles, and networking are merging together and will have a significant impact on the intricacies of our automobiles.

The modern advancement we can point to is already visible. Light detection and ranging (LiDAR) technology is a sensor technology that already improves car safety and navigation systems by providing driver assistance, as well as providing the sensitivity required to enable autonomous vehicles. Last year, worldwide demand for LiDAR in the automotive industry reached $555 million, and this figure is predicted to rise by more than $8.6 billion by the end of this decade, representing a compound growth rate of 40% or more. As we’re seeing an autonomous driving revolution heading our way, few industries provide such potential for development, making LiDAR an excellent long-term investment for patient investors.

There are three equities in this particular space that I’m excited about. I’m specifically narrowing my focus to outstanding growth stocks, each reasonably priced (to not overwhelm anyone), with a very bright future ahead of them. Let’s break down these timely tickers:

Allegro Microsystems Inc (ALGM)

Allegro MicroSystems, Inc. (ALGM) develops, produces, and distributes a wide range of sensor integrated circuits (ICs), as well as photonics and 3D sensing components such as photodiodes for LiDAR applications. The majority of ALGM‘s goods are sold to original equipment suppliers in the automotive and industrial industries. ALGM was established in 1990 and is based in Manchester, NH. ALGM is up YTD by 29.38% with a positive SMA, and has a $7.44 billion market cap, a P/E ratio of 27x, a D/E of 2.59%, TTM asset growth of 30.91%, and TTM revenue of $973 million at 97 cents per share, with its net income of $187.4 million being made possible via a 19.24% net margin. ALGM most recently beat analysts’ EPS and revenue forecasts by 2.73% and 1.67%, respectively, and has a free cash flow of $119.5 million. With a 10-day average volume of 1.62 million shares, ALGM has a median price target of $51, with a high of $54 and a low of $50, representing a potential 39% price upside. ALGM has 6 buy ratings.

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Luminar Technologies Inc (LAZR)

Luminar Technologies, Inc. (LAZR) is a global provider of sensor software and technology for passenger automobiles and commercial trucks. LAZR is a market leader in LiDAR manufacturing in addition to autonomy software applications, particularly for automotive manufacturers. LAZR was established in 2012 and is based in Orlando, FL. LAZR is curiously up YTD by 30.30%, yet its stock has been trading at the bottom of its existing 52-week range, proving itself to be full of momentum. LAZR has a $2.26 billion market cap, TTM revenue of $48.35 million, and, for the present quarter, is forecasted to show revenue of $16.2 million. Per its cash flow statement, LAZR displays an end cash position of over $340 million, and regarding growth, it shows quarterly EPS growth of 3.72%, and annual EPS and revenue growth of 11.56% and 112.20%, respectively. With a 10-day average trading volume of 8.24 million shares, LAZR has a median price target of $12, with a high of $20 and a low of $4.50, representing a potential more than 210% price jump from where it sits now. LAZR has been assigned 8 buy ratings and 3 hold ratings.

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Aeva Technologies Inc (AEVA)

Aeva Technologies, Inc. (AEVA) creates 4D LiDAR chips on a global scale. AEVA uses frequency-modulated continuous wave tech to build its products. AEVA provides a system with embedded software for automotive, industrial, and security applications, as well as algorithms for factory automation and consumer devices. AEVA was established in 2017 and is headquartered in Mountain View, CA. AEVA is down YTD by 19.49%, and is at the very bottom of its 52-week range. WIth a $214 million market cap, AEVA has a P/B ratio of 0.65, YOY growth in EPS (+0.88%) and revenue (+48.64), and a $306 million end cash position, with TTM assets totaling $356.63 million. At its most recent earnings call, AEVA boasted surprises on analysts’ revenue and EPS projections by margins of 38.55% and 9.90%, respectively. With a 10-day average trading volume of 955,000 shares, AEVA has an analyst-assigned median price target of $2.00, with a high of $6.00 and a low of $1.10, which represents a stunning potential price upside of 448%. While perhaps not getting all the attention it deserves to get, it certainly caught mine, and I see a great opportunity here for any long-term investor. The analysts currently have AEVA marked with 5 buy ratings and 3 hold ratings.

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Three Dynamic Dividend Stocks We Can’t Afford to Ignore

Editorial Staff

June 8, 2023

Summer is here! As is often the case during this time of year, investors will often implement one of a few “seasonal” investing strategies. However, this isn’t just another fiscal year…

It’s been a wild first half of 2023, in fact, with significant changes having a seamless impact…

And with all of that excitement on Wall Street comes uncertainty. If one is looking for a safe investment space to help ensure a stress-free summer vacation, dividend stocks are one way to go.

Today, I’m looking at dividend payers with more to offer than their payouts alone. But, especially when you need a break from the chaos, those checks are pretty damn great, aren’t they?

It’s time to cover these three dividend tickers, indicating a safe, stable summer. Join me:

Restaurant Brands Inc (QSR)

Restaurant Brands Inc. (QSR) is known for owning and operating three popular chains: Tim Horton’s, Burger King, and Popeye’s. Investing in QSR would be a good move for the sake of its growth potential, rising dividends, and commitment to its shareholders, its community, and the environment, not to mention its persistent global reach in the fast-food industry.

With a 0.55 beta—making it safe from the broader economy’s volatility—and a very lucrative ROE (return on equity) of 41.69%, QSR stock is currently up 14.16% YTD. QSR has $6.64 billion in TTM (trailing twelve-month) revenue at $3.31 per share, making $1.01 billion in profit through its 15.26% net margin. At its most recent earnings call, QSR exceeded analysts’ projections, most notably on EPS, where it reported $0.75 per share vs. $0.64 per share expected (a 17.76% surprise). QSR also beat by 1.97% on revenue, showing year-over-year growth of 9.38%. QSR currently pays an annual dividend yield of 2.92% at a quarterly payout of 56 cents ($2.24/yr) per share, with a 66.36% payout ratio. With a free cash flow of $1.16 billion and a 10-day average volume of 1.18 million shares, QSR has a median price target of $78.05, with a high of $85 and a low of $66; this represents an upside potential of 7% and higher. Buy and Hold.

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Realty Income Corp (O)

Amidst the uncertainty, here’s a perfect little gift: a monthly dividend stock trading below fair value. Offering stability and room for growth, Realty Income (O) doesn’t have much in the way of theatrics but instead shows unmatched fortitude. While the others on this list pay dividends quarterly, O is well-known for its generous monthly dividends, which it has also increased for over 100 consecutive fiscal quarters.

O’s stock is, as mentioned, consistent, so I’ll point to that with some numbers: Slightly down YTD by 2.45% with a generalized 12-month asset growth of 15.98% and an 0.80 beta score, O’s enterprise value of $57.93 billion vs. its $40 billion market cap shows that there’s “a lot to the company,” if you will. O shows $3.47 billion in TTM revenue at $1.42 per share, from which it profited $895 million in net income via its 25.77% profit margin. To further evidence its stability, here are arguably the most exciting numbers: O’s annual dividend yield is 4.98%, and it offers shareholders a monthly payout of 25 cents ($3.00/year) per share on a very generous 210.35% payout ratio. With $1.81 billion in free cash flow and a 10-day average volume of 4.37 million shares, O’s average price target is $69.71, with a high of $74 and a low of $66. From where O’s price sits now, the range represents a nearly 15% increase. Buy and Hold.

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Devon Energy Corp (DVN)

Devon Energy (DVN), a U.S.-based oil and gas firm, recently faced a 13% decline amid falling oil prices. However, the future looks promising for DVN as oil prices are expected to rebound. DVN has shown insider confidence and ongoing stock ownership, while the management’s 50% expansion of the share buyback program underscores the stock’s appeal. With efficient operations and secure assets, DVN’s stock is an excellent opportunity for investors to benefit from its attractive valuation and dividend yield. Stock-wise, DVN is down YTD by 12.32% but has plenty of breathing room for price appreciation. DVN boasts a stunning ROE (return on equity) of 58.90%, a PEG (price/earnings/growth) ratio of 1.54x, a P/S (price to sales) ratio of 1.70x, and a P/B (price to book) ratio of 2.93x. During its MRQ (most recent quarter) earnings call, DVN met analysts’ revenue forecasts. Still, regarding EPS, it reported $1.46 per share vs. the $1.40 per share expected (a 4.62% surprise), also showing YOY EPS growth of 3.38%. DVN has a 10.46% annual dividend yield, with a quarterly payout of 72 cents ($2.88/year) per share, riding its 64.09% payout ratio. With an operating free cash flow of $8.37 billion and a 10-day average trading volume of 8.57 million shares, DVN has a median price target of $64.32, with a high of $82 and a low of $49. This range offers a more than 30% jump from DVN’s current pricing. Buy and Hold.

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Unleashing the AI Titans Part II: Three Companies Set to Reshape the Future

Editorial Staff

June 8, 2023

Captivating the world with endless potential, AI applications such as ChatGPT and Apple (AAPL)’s recently launched iVision Pro perhaps aren’t as revolutionary as some might think because, as I discussed in my last article, AI has already been playing a role in our everyday lives. Look back to the iPhone and the iMac, and you’ll notice that, in both cases, it was only the beginning of something bigger. What we consider a revolution today could be commonplace in… who knows how long?

There is still time to expose our portfolios to winning AI stocks and hold them tightly. We see that the insatiable hunger for more probably won’t stop, so we should at least pay very close attention.

For Part Two of our machine learning (or AI) list, I’m looking at three chipmakers that have performed incredibly well year-to-date, and Wall Street has applauded. Take a look with me:

Marvell Technology Inc (MRVL)

A leading provider of comprehensive data infrastructure and semiconductor solutions, Marvell Technology Inc. (MRVL) covers the entire data-network spectrum. MRVL’s expertise lies in developing and scaling complex “System-on-a-Chip” architectures that combine analog, mixed-signal, and digital signal processing capabilities. With a global presence spanning from the U.S. to Vietnam to Israel, MRVL was founded in 1995 in Wilmington, DE, where its headquarters remain. Stock-wise, MRVL is up YTD by 59.64% but, astonishingly, is still trading beneath its average price target; this leaves room for a possible price jump. MRVL shows TTM revenue of $5.8 billion, a positive 200-day SMA (simple moving average), and a D/E (debt to equity) of 30.16%. MRVL most recently surpassed analyst forecasts on EPS and revenue by 5.40% and 1.67%, respectively. MRVL has a 0.41% annual dividend yield and a quarterly payout of 6 cents ($0.24/yr) per share. With $1.74 billion in free cash flow and a 10-day average volume of 31.68 million shares, MRVL has a median price target of $65, with a high of $100 and a low of $50, representing an almost 70% price increase. MRVL has 28 buy ratings and three hold ratings.

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Synopsys Inc (SNPS)

Synopsys, Inc. (SNPS) provides semiconductor design and software testing products. SNPS’s offerings span Digital and Custom IC Design, FPGA design, and IP solutions for various applications. SNPS also offers system-on-chip infrastructure, prototyping, and optical system design tools. SNPS, established in 1986, is based in Mountain View, CA, and serves various industries. SNPS’s stock is up by 39.02% YTD, nearing the top of its 52-week range. With $5.28 billion in TTM revenue at $5.93 per share, SNPS profited $920.5 million on its 17.41% net margin. SNPS boasts an ROE (return on equity) of 16.16%, a PEG ratio of 2.49x, and a remarkably low D/E (debt to equity) of 0.35%. For its most recent earnings call, SNPS surprised analysts’ EPS and revenue projections by healthy margins and showed year-over-year revenue growth of 9.04%. SNPS is forecasted to deliver $1.5 billion in sales for the current quarter at an EPS of $2.73. With a 10-day average trading volume of 1.67 million shares, SNPS has a median price target of $447, with a high of $505 and a low of $410; this range still leaves room for a 14% price increase from its current position. SNPS has 15 buy ratings and two hold ratings.

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Cadence Design Systems Inc (CDNS)

Another leader in the semiconductor space is Cadence Design Systems, Inc. (CDNS), which provides software, hardware, and reusable integrated circuit (IC) design blocks. CDNS’s offerings encompass verification services with platforms like JasperGold, Xcelium, Palladium, and Protium. CDNS also offers digital IC design and analysis products for printed circuit boards and IC packages. CDNS serves diverse markets, including aerospace and defense, healthcare, mobile, consumer, and hyper-scale computing. CDNS has seen a massive boost thanks to the rise in machine learning, with its stock currently up YTD by 42.41%. CDNS has a TTM revenue of $3.68 billion at $3.12 per share, from which it made $855 million in net income via its 23.24% profit margin. CDNS boasts an ROE of 30%, a D/E (debt to equity) measure of 23.06%, and the firm most recently beat analysts’ earnings projections for EPS and revenue by 2.97% and 1.51%, respectively. With an operating free cash flow of $1.17 billion and a 10-day average volume of 3.28 million shares, CDNS’s median price target is $232.50, with a high of $250 and a low of $210, leaving room for an almost 10% leap from it currently sits. CDNS has 13 buy ratings and three hold ratings.

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1...515253...67 Page 52 of 67

Ascent Solar Technologies (ASTI)

Lemonade (LMND)

Big Lots (BIG)

H.B. Fuller Company (FUL)

Nordson Corp (NDSN)

Federal Realty Investment Trust (FRT)

Amazon.com Inc (AMZN)

NVIDIA Corp (NVDA)

Baidu Inc (BIDU)

Vertex Energy Inc (VTNR)

Sunrun Inc (RUN)

Plug Power Inc (PLUG)

United Airlines Holdings Inc (UAL)

O’Reilly Automotive Inc (ORLY)

Expedia Group Inc (EXPE)

Fasty Inc. (FSLY)

Las Vegas Sands (LVS)

Plug Power, Inc. (PLUG)

Mondelez International Inc. (MDLZ)

Meta Materials (MMAT)

Gap Inc. (GAP)

Allegro Microsystems Inc (ALGM)

Luminar Technologies Inc (LAZR)

Aeva Technologies Inc (AEVA)

Restaurant Brands Inc (QSR)

Realty Income Corp (O)

Devon Energy Corp (DVN)

Marvell Technology Inc (MRVL)

Synopsys Inc (SNPS)

Cadence Design Systems Inc (CDNS)

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