Friday, May 17, 2024
While the market has been selling off recently, market volatility can provide a benefit for certain types of trades. The additional premium in options during volatile periods can make covered calls more attractive. For example, Cameco (CCJ) is a uranium producer that has sold off with the market. A strategist used this opportunity to sell […]
No matter how much you like a company, or believe in its future, sometimes you have to stay on the sidelines before a major breakout occurs. Shares of Sirius XM Holdings (SIRI) seem to fit that bill, having been rangebound between $5–$7 for the past five years. The company is one of the best-known audio […]
Dear Investor, The Fed has said it will finally hike interest rates this year. As rates rise, business development companies (BDCs) are a type of income stock that should perform especially well. However, the uncertainties from inflation, omicron, and a waffling Federal Reserve will likely make for a bumpy ride over the next six-to-nine months. […]
Dear Investor, Last week, the stock markets were shocked to discover from the Federal Reserve that interest rates might actually move higher this year. Too many years at near-zero interest rates have corrupted the investing process. While we should welcome higher interest rates, getting there won’t be painless. Investors should prepare for more stock market […]
Dear Investor, For 2021, the energy sector was the top-performing of the eleven S&P-designated sectors, and the Energy Select Sector SPDR ETF (XLE) posted a 52% return for the year. Energy midstream – the pipeline, terminals, and storage subsector – was up a similar 45%. For 2021, the energy sector rode the wave of crude […]
Dear Investor, When the coronavirus pandemic triggered a stock market crash in the first quarter of 2020, I added, for the first time, individual preferred stocks to the Dividend Hunter recommendations list. It has now been more than a year since that first recommendation, and I am convinced more than ever that preferred stock investments, […]
Another big global automaker has set off in hot pursuit of Tesla (TSLA): the world’s largest carmaker, Toyota Motors (TM). The company has said it will pour $35 billion into its shift toward electric vehicles (EVs), with the sum split more or less evenly between vehicle development and battery improvement. Toyota’s investment in electric car […]
Cisco Systems (CSCO) is a blue chip networking giant that has become more of an income stock than a growth stock in recent years. The company currently pays a 2.3% dividend. The cash flow from owning CSCO can be significantly enhanced by using a covered call strategy. A strategist recently sold 7,500 January 2023 CSCO […]
Dear Investor, Because of their high level of dividend safety, I think individual preferred stocks should account for a portion of any investor’s high yield holdings. I regularly look at different preferred stocks, looking for candidates that I can recommend to The Dividend Hunter members. I also monitor the current list of preferreds, making sure […]
One of the top stocks of 2022 could be Roblox Corp. (RBLX). Here are my top four reasons why. For one thing, it’s oversold. Over the last few weeks, RBLX pulled back on new monthly users, and booking metrics were lower than expected. In fact, for November 2021, daily average users were up 49.4 million, […]
