We’re heading into “one of the most anticipated recessions of all time”… Or maybe not. Bloomberg surveyed more than 500 Wall Street strategists to kick off the new year. And the news service concluded that we should expect “fresh pain for investors” in 2023. But not everyone got the memo apparently… As I’ll explain today, …
Earnings Estimates Are Way Too High for a Recession Read More »
Whether you like it or not, Elon Musk is one of the world’s great visionaries… Sure, he wasn’t the first person to dream of vehicles that run on electricity rather than gasoline. But with Tesla (TSLA), he’s the one turning the dream into reality… Over the past decade or so, Musk started making electric cars …
Stop what you’re doing… Before you do anything else, search “value investing” on the Internet. Then, go to almost any financial website that pops up. I bet they all include a sentence like… Value investors buy stocks priced below what they’re really worth. Now, this idea might sound simple. But some supposedly smart people just …
Almost three years ago, the COVID-19 pandemic crippled the economy… Public venues shut down and our borders closed to try to prevent the virus from spreading. All the major sports leagues stopped playing. And all types of travel stopped operating. Folks couldn’t spend on flights, cruises, or other fun activities. So in turn, they hunkered …
The Stimulus Checks Are Gone… Americans Spent It All Read More »
The Federal Reserve’s special power is convoluted… As history shows us, the Fed’s interest-rate hikes almost always precede financial calamity. And yes, we all know how much rates have risen since the central bank started using this weapon to attack out-of-control inflation last year. The benchmark federal-funds rate now sits in a targeted range between …
Be Patient as the Fed Fixes Its ‘Communist’ Policy Read More »
Many folks believe right now is a terrible time to invest. But I ask you… How is right now worse than almost any other time since humanity began? Sure, political strife feels like it’s out of control today. But when was it otherwise? If you long for the good ol’ days, think about Alexander Hamilton …
The next year looks bleak for homebuilders’ coffers… In 2023, Wall Street analysts expect 20 of the 24 publicly traded homebuilders we track to see earnings declines. That’s more than 80% of the group. It’s a stark contrast to Wall Street’s expectations for business in general… Analysts forecast lower earnings for just 21% of S&P …
Don’t Feel Guilty if You Like Homebuilder Stocks Today Read More »
John Bogle built a naysaying empire… In 1974, Bogle launched Vanguard. As the decades passed, the company grew into a financial-management titan. And its pioneering approach to investing buoyed its success… I’m talking about “indexing.” Put simply, indexers don’t think investors can consistently make good choices with their own money. They don’t believe folks can …
Broad shoulders… puffed-out chest… and completely in charge of the situation. Most of us have imagined ourselves in the shoes of the “tough guy” at one time or another. But in investing, it’s a different story… That’s because tough-guy investing is a road to ruin for most of us. It takes serious monetary muscle to …
Groucho Marx allegedly once quit an elite club with a telegram… PLEASE ACCEPT MY RESIGNATION. I DON’T WANT TO BELONG TO ANY CLUB THAT WILL ACCEPT PEOPLE LIKE ME AS A MEMBER. Now, I said “allegedly” because Marx was a comedic genius. And it’s clear that he told many different versions of the story over …
This Tech Giant Fails the ‘Groucho Marx Test’ Today Read More »
