Thursday, May 1, 2025
After a year that featured tech stocks as the big winner, many investors (and television talking heads) have expressed shock that the energy sector leads the way so far in 2021. With the price of crude oil rising higher, the Energy Select Sector SPDR ETF (XLE) has gained 43% through the first five months of […]
I regularly field many questions about specific high-yield investments. The questions often specify a closed-end fund (CEFs), and the investor asking often does not realize the high-yield stock symbol that caught their interest is a closed-end fund. Today, let’s look at CEFs, both pros and cons…lots of cons. CEF stands for closed-end fund. A closed-end […]
With the major U.S. stock indexes hovering around record highs, I often am asked about selling to lock in gains, and then waiting for the next downturn to reinvest. While I do not think a wholesale move into cash is the right move, I spend a lot of time considering what to tell my subscribers […]
Last week, Seeking Alpha put out a list of low-valuation ETFs with strong performance year-to-date for 2021. The short discussion pointed out how investors may benefit from a shift away from high-valuation growth investments, to those with lower valuations that are also out of favor with the “hot stocks” crowd. The low-valuation list sports some […]
Last week, AT&T (T) stirred up tremendous investor discussion when it announced an agreement to spin off its WarnerMedia division into a merger with Discovery, Inc. (DISCA). Included in the announcement was news that the AT&T dividend would be significantly reduced after the spin-off. As investors learned about the dividend cut, the AT&T share price […]
I find it a bit strange to say this, considering everything that happened last year, but we are in a period of unprecedented uncertainty as far as investing goes. I regularly read and hear commentary covering both sides of where the stock market will go for the rest of 2021. As I went through my […]
The ransomware attack and subsequent shutdown of the Colonial Pipeline drew a lot of awareness to how much our economy depends on fuels delivered by pipelines. Gas stations from the southeastern U.S. all the way up to New Jersey are out or will soon be out of fuel to sell. Airlines may not be able […]
The global coronavirus pandemic disrupted the global “just in time” manufacturing strategy at a level that is just now starting to become clear. Manufacturers now have to live with unforeseen parts shortages, such as the computer chip shortage that have caused companies like Ford Motor Company (F) to cut back severely on its production plans. […]
As I review 2021’s first-quarter earnings results, I have been struck by how company after company announced new or increased share buyback programs. Companies describe buybacks as “returning cash to shareholders.” I think that is a load of crap, and I have several thoughts on why widespread stock buybacks are a terrible idea. Alphabet Inc. […]
Over the last six months, different high-yield sectors have caught up with the broader market’s gains kicked off a year ago. Higher share prices mean lower yields for income-focused investors, and with most of these stocks, current yields are markedly lower than they were a few months ago. I have recently reviewed exchange-traded funds (ETFs), […]
