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Leveraged Trading Is Not The Source Of Recent Crypto Weakness: So What Is?

Leveraged Trading Is Not The Source Of Recent Crypto Weakness: So What Is? By Marcel Kasumovich, One River Asset Management head of research Macro narratives are driving digital asset sentiment, from asset swings to regulatory decisions. This alone speaks to a maturing ecosystem – investors want the macro story. But digital asset volatility has been mostly uncorrelated to other macro markets in the recent past. It is more about a shift in investor behavior. 1/ As digital assets enter the mainstream, market commentary focuses on price. And in a world where exchange rate volatility is near all-time lows, attention has naturally shifted to digital assets where volatility against the US dollar is breathtaking by comparison. The megatrend towards the digitalization of finance will not be defined by the shorter-term gyrations. The innovation happening more behind the scenes will dictate the secular formations. Recent advancements in the Lightning Network illustrate the quiet determination to digitalize finance. 2/ The Lightning Network was proposed in 2015 as a way of scaling smaller payments, able to accommodate billions of transactions in a second (here). It addressed the tiring argument of Bitcoin’s inefficiency head-on. And after a slow start, user adoption surged last year with a 3-fold rise in network capacity (Figure 1). It is also integrating into the regulatory mainstream. This week, Bottlepay, a payment provider built on the Lightning Network, was approved by the UK Financial Conduct Authority. These new technologies can hold up to regulatory standards including anti-money laundering (here). It is a powerful example of technologists and regulators working together to encourage innovation in a complacent legacy system. 3/ Innovation may drive the megatrends, but investors are still left to manage and explain portfolio volatility from digital assets. And just as digital innovation is garnering more institutional attention, so too are the narratives around the volatility of digital assets. Investors are looking for macro thematic narratives, including the sharp downturn since November and the abrupt decline to start the year. Explanations center on the downturn in inflation expectations, the Fed pivot toward faster rate hikes and balance sheet normalization, as well as the decline in growth stocks tied to the rise in real interest rates. The high correlation of bitcoin returns to inflation expectations last year (56%) reinforces a desire to put a tidy macro narrative to the digital ecosystem. 4/ But the analytics tell a different story. We run a simple empirical exercise to evaluate bitcoin returns as explained by three macro factors: market-based inflation expectations (5y5y inflation swaps), the inflation-adjusted terminal policy rate (5y5y overnight interest rate swap less 5y5y inflation swaps), and Nasdaq 100 equity returns. These factors only explain 10-45% of the variation in bitcoin over the past two years and with various representations of the data. More importantly, there is almost no relevance of these factors in explaining the bitcoin downturn since November. Those factors would imply a bitcoin price of 50-60k, much higher than the current price. 5/ What does that mean for investors? Digital assets volatility has been largely independent of macro factors in the recent past. To be sure, the independent volatility that most investors hope for is skewed to the upside. But in assets where volatility expectations have ranged from 55% to 158% in the past two years, there will be plenty of periods where idiosyncratic moves detract from a portfolio. The test for any investor is asking about the structural trends. What tokens will prosper with the digitalization of finance? How broad will token pluralism extend? If the answers to the structural questions are positive, then downside volatility should be met with programmatic rebalancing into digital assets. 6/ Of course, idiosyncratic volatility is not satisfying. It is a polite way of saying we need to dig deeper for an explanation. What is behind the swings in digital assets if the macro narrative falls flat? The hunt for the explanation is partly a process of elimination and partly identifying new patterns of behavior. There are three key elements of the market microstructure of interest. 7/ First, the bitcoin forward yield curve has been stable, indicating leveraged trading is not a source of downside volatility. Figure 2 illustrates the one-month annualized yield implied by bitcoin futures on the Deribit exchange, where leverage is more readily available to traders. A rise in speculative demand leads to higher forward bitcoin prices and higher implied yields (vice versa). In periods of excess leverage, forward prices fall more than spot as speculative traders forced to close positions at unfavorable prices. Last May, one-month yields fell to an annualized –75%, reflecting a costly, steep inversion of the forward curve to speculative long traders. On this downturn, the compression in yields is barely visible. 8/ Second, option markets have decoupled from previous correlations to spot prices, with declining volatility expectations. The one-week implied volatility on Ether is 70%, near the lows of the past year (Figure 3). Ordinarily, declines in spot prices, particularly severe ones, would have seen a surge in volatility expectations. However, volatility is low despite a sharp decline in spot prices. The same pattern is evident in 25-delta put-call volatility skew. The one-week skew in Ether options is only marginally positive, near the average of the past year. This is strongly counter to past downturns in spot prices, where option skew spiked well above 40%! Again, leveraged trading is not the source of the recent price weakness. 9/ Third, a rise in the dispersion of digital asset prices hints at a change in investor behavior. We illustrate this point with a unique parsing of the data based on the last two downturns: May 8, 2021 and Nov 9, 2021. Dispersion is measured by the median difference between the individual returns on the 12 assets of our Core Index and bitcoin returns. When Index asset returns are evenly dispersed around bitcoin returns, the measure is zero. The one-month dispersion in the latest downturn measures near-zero (–0.4%). This is vastly different from May 2021, where the one-month dispersion index measured –9.1%. Index assets exhibited higher beta to the bitcoin downturn. No doubt, two cyclical periods don’t make a trend, but it does call for attention. 10/ Market behavior is bifurcating. It is evident in futures markets, where the decline in yields has been greater in regulated markets (CME) than in unregulated ones (Deribit). It is evident in active supply, where the percentage of longer-term holders has dropped alongside a more-than 20% fall in large-value bitcoin addresses (greater than $10mn). It is evident in the surge of interest in venture applications (here). Investors focused on macro narratives have mattered more than leveraged traders. And it is these ebbs and flows that should remind investors that we are at the very early stages in the digitalization of finance. It is precisely in those imperfect, inefficient early stages where megatrend assets are most additive to a portfolio. Figure 1 – Lightning Network Capacity Surge, Adoption Rising Figure 2 – Bitcoin Futures’ Yield Stable, No Sign of Speculative Excess Figure 3 – Ether Volatility Low Despite Declining Prices Tyler Durden Sun, 01/16/2022 - 22:00.....»»

Category: dealsSource: nyt21 hr. 52 min. ago Related News

Quantifying The World"s Most Powerful Militaries

Quantifying The World's Most Powerful Militaries When it comes to manpower, no military in the world comes close to that of China. According to Global Firepower estimates, the People's Republic has around 2 million active military personnel. The United States in comparison, has significantly less - 1.4 million - but when assessing the overall power of the world's military forces, the U.S. comes out on top, ahead of Russia and China in second and third, respectively. You will find more infographics at Statista With Russian military build up around Ukraine and increasingly aggressive posturing from the Kremlin, the chances of at least one of the world's most powerful militaries applying its strength in a major new conflict appear to be at their highest for some time. Diplomatic efforts have so far failed, and it now remains to be seen how Russia will act. Elsewhere, the risk of China and the United States clashing in some form over Taiwan remains ever-present. The index "utilizes over 50 individual factors to determine a given nation's PowerIndex score with categories ranging from military might and financials to logistical capability and geography." While a rating of 0.000 would represent the perfect score, it is considered realistically unattainable. Tyler Durden Sun, 01/16/2022 - 20:00.....»»

Category: personnelSource: nyt22 hr. 36 min. ago Related News

2 reasons why now is not the time to buy the dip in beaten-down innovation stocks championed by Ark Invest, according to DataTrek

"We don't think we are in a market that is ready to cycle back into speculative tech," DataTrek Research co-founder Nicholas Colas said. Spencer Platt/Getty ImagesInvestors shouldn't buy the dip in disruptive innovation stocks, according to DataTrek Research.The steep decline in speculative tech names is akin to the meltdown after the dot-com bubble in the 2000s."We don't think we are in a market that is ready to cycle back into speculative tech," DataTrek said.Sign up here for our daily newsletter, 10 Things Before the Opening Bell.The steep decline in speculative stocks championed by Ark Invest's Cathie Wood doesn't yet represent an opportunity for investors to buy the dip, according to a Friday note from DataTrek Research.Ark Invest's flagship fund has fallen 50% from its record high, with some of its top holdings like Teladoc and Zoom Video down 74% and 64%, respectively. The decline has led to Ark's fund losing $14 billion in assets under management, while the Short ARK ETF has seen a surge in both performance and assets. The carnage in disruptive innovation, clean energy, and Chinese tech stocks might remind some investors of the unwind of the 2000 dot-com bubble, in which the Nasdaq ultimately plummeted 80% from its record, the note said. But despite the destruction in smaller tech names, the broader Nasdaq 100 index is still down less than 10% from its recent high."Regardless of how rough markets get in 2022, we do not expect the NASDAQ to melt down the way it did in 2000 to 2002. The companies in the index are an order of magnitude better than what we had on offer in the 1990s," DataTrek Research co-founder Nicholas Colas explained.Still, that doesn't mean investors should rush to buy the new lows made in beaten-down tech stocks. He listed two big reasons:"First, we never recommend [buying] 52-week lows. Better to wait for prices to stabilize," Colas said. The iShares Clean Energy ETF and ARK's Disruptive Innovation ETF both traded to new 52-week lows on Friday."Second, we don't think we are in a market that is ready to cycle back into speculative tech names. The narrative has changed to old-school cyclicals," he added.That shift has occurred thanks to a more hawkish Fed that is keen on raising interest rates and reducing its balance sheet to tame inflation. Such a monetary recipe hasn't historically been rewarding for barely profitable speculative growth companies."Bottom line: while we love disruptive innovation, we also believe in respecting price action. And, at the moment, respect trumps love by a wide margin," Colas concluded.Read the original article on Business Insider.....»»

Category: worldSource: nytJan 16th, 2022Related News

Why a 30-year-old financial planner dropped $20,000 on a trip to Antarctica instead of buying a home

Jake Northrup delayed buying a home to take the trip of a lifetime. He and his wife care more about experiencing life than maximizing their net worth. Kay and Jake Northrup prioritized the trip of a lifetime over buying a home.Jake Northrup A financial planner delayed buying a home so he could go on a $20,000 trip to Antarctica. He said he and his wife find experiencing life more important than maximizing their net worth. They also didn't want economic conditions like housing prices to affect their decision. If you had $20,000, would you spend it on an adventure or a down payment on a home?Common financial wisdom often advises investing in real estate to maximize your net worth over the long term, but one certified financial planner has gone against the grain. CFP Jake Northrup, 30, and his wife Kay, 27, decided to push back their homebuying plans so they could take a trip to Antarctica.The couple always aims to have a minimum safety net of $40,000 in cash saved up, Northrup told Insider. Come January 2021,  they had $60,000 and they mulled over how to best use the the extra $20,000: Continue saving to meet their goal of buying a home in 2022 or 2023, or spend it and postpone their home purchase timeline to 2023 or 2024. Northrup said their decision ultimately boiled down to their values, the most important of which is travel."It's something that strengthens our marriage, broadens our perspective of the world, and provides us the most happiness," he explained. "Rather than our goal to be maximizing our net worth, our goal is to live our life according to our values and experience the most we can in a financially responsible way."The Northrups in Antarctica.Jake NorthrupOf course, not every millennial has $20,000 in cash saved. Millennials have a median balance of $24,929 in non-mortgage debt. Of those who do have extra cash, priorities on how to spend it might vary — a previous survey by Insider and Morning Consult found most millennials would spend an extra $1,000 on paying off debt or saving, although some would spend it on travel and shopping. Northrup's mentality is emblematic of how millennials have been redefining the American Dream, preferring to live a life on their own terms. The post-World War II narrative of the American Dream — which placed a house in the suburbs and all the consumerist trappings that came with it on a pedestal — splintered in the 2020s economy as a housing crisis, pandemic, and newfound outlook for life prompted Americans to re-evaluate how to live their best life. For many millennials, that means prioritizing pursuing their passions over making the life decisions tradition says they "should" make. Northrup's version of that may seem like a bold one in today's economy. His generation has juggled two recessions before the age 40, staggering student loan debt, soaring living costs, and one housing crisis after another. Intentionally opting out of homebuying right now is a sharp contrast to the aspiring first-time homeowners who have been clamoring to get their hands on a home in a cutthroat market. But Northrup said they didn't want external variables like housing prices and mortgage rates to drive their decisions. Instead they wanted to do what felt right to them, which included hanging out with the penguins and whales in the Antarctic.Saving up for the AntarcticNorthrup and his wife hadn't contributed to any investment accounts since 2018. He admits it "sounds crazy coming from a financial planner," but they each planned to start their own businesses (financial planning and wedding planning, respectively) in the short-term. So, they kept their savings in an Ally high-yield savings account."Having this cash on hand enabled us to invest into ourselves and our lifestyle by putting us in the best possible position to start our businesses, which improved our lives in a way that investing in an index fund could never do," he said.He added that kicking off their businesses and watching their incomes increase made them confident in deciding they could afford a $20,000 trip to Antarctica.They first heavily researched the trip's costs. This process helped them identify when to take the trip — December 2021 — and how much they needed to save for it. He said this thought process should apply to anyone planning a big trip to fully weigh the opportunity costs. Without examining which choice would result in a greater loss or gain for you personally, he added, it's a blind financial decision. Then they put the $20,000 in a separate high-yield savings account. He described earmarking money for a specific purpose as creating a "money bucket." It allowed them to "mentally think of the money as 'spent' so we were able to manage other financial decisions with the 'true' amount of cash available," he said.Better than buying a homeThe Northrups' decision wasn't just about money. They also took into account other future goals, such as their hope to start a family in the next few years, which he said left them with a "short window of opportunity."Juggling big life goals is something Northrup thinks a lot of people deal with, who are trying to prioritize something like taking a sabbatical, starting a business, or planning a trip before more traditional milestones like having a family or buying a home. "Of course, the two aren't mutually exclusive, but doing both at the same time is more difficult," he said.After all, it's hard to hike through Patagonia with a toddler in tow.Economic conditions and societal expectations don't help. Northrup believes the ideal of homeownership and the current state of the housing market, in which real estate prices have skyrocketed and mortgage rates have hit near historic lows, has put undue pressure on millennials to buy a home before they're ready out of fear prices and rates will climb.Northrup with some penguins.Jake NorthrupHe added that he's never liked the argument that renting is "throwing money away" compared to buying a home for two reasons. One, he said, it underestimates the cost of homeownership by not factoring in things like home maintenance and real estate tax. And two, it assumes that building equity is the measure of success. "This makes sense that owning a home used to be the primary measure of success," he said. "But most millennials, value experiences over things, so this measure of success doesn't really apply anymore."Sticking to his priorities led Northrup to his "once-in-a-lifetime" two week trip that covered Buenos Aires, Ushuaia in the Patagonia region, and Antarctica itself as well as the travel it took to get there and back, which he said involved 30-foot waves and 70 mile per hour winds. But the peril was worth kayaking among the icebergs through Antarctica's glassy glacial waters."Ten years from now, we won't remember buying a home in 2022 instead of 2023," he said. "We'll remember the trip that we had."Read the original article on Business Insider.....»»

Category: dealsSource: nytJan 16th, 2022Related News

Alcoa (AA) Outpaces Stock Market Gains: What You Should Know

Alcoa (AA) closed at $61.39 in the latest trading session, marking a +1.45% move from the prior day. Alcoa (AA) closed at $61.39 in the latest trading session, marking a +1.45% move from the prior day. This move outpaced the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the bauxite, alumina and aluminum products company had gained 15.06% in the past month. In that same time, the Industrial Products sector gained 0.86%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from Alcoa as it approaches its next earnings release, which is expected to be January 19, 2022. In that report, analysts expect Alcoa to post earnings of $2.04 per share. This would mark year-over-year growth of 684.62%. Our most recent consensus estimate is calling for quarterly revenue of $3.29 billion, up 37.69% from the year-ago period.It is also important to note the recent changes to analyst estimates for Alcoa. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 18.85% higher within the past month. Alcoa is holding a Zacks Rank of #3 (Hold) right now.In terms of valuation, Alcoa is currently trading at a Forward P/E ratio of 9.34. This valuation marks a discount compared to its industry's average Forward P/E of 12.02.The Metal Products - Distribution industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 17, putting it in the top 7% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alcoa (AA): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022Related News

Teladoc (TDOC) Outpaces Stock Market Gains: What You Should Know

In the latest trading session, Teladoc (TDOC) closed at $79.57, marking a +1.36% move from the previous day. Teladoc (TDOC) closed the most recent trading day at $79.57, moving +1.36% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the telehealth services provider had lost 10.21% in the past month. In that same time, the Medical sector lost 4.1%, while the S&P 500 gained 0.22%.Teladoc will be looking to display strength as it nears its next earnings release. On that day, Teladoc is projected to report earnings of -$0.60 per share, which would represent a year-over-year decline of 122.22%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $545.34 million, up 42.27% from the year-ago period.Any recent changes to analyst estimates for Teladoc should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.92% lower. Teladoc is currently sporting a Zacks Rank of #3 (Hold).The Medical Services industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 206, which puts it in the bottom 20% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Teladoc Health, Inc. (TDOC): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022Related News

Lucid Group, Inc. (LCID) Outpaces Stock Market Gains: What You Should Know

Lucid Group, Inc. (LCID) closed the most recent trading day at $42.22, moving +1.96% from the previous trading session. In the latest trading session, Lucid Group, Inc. (LCID) closed at $42.22, marking a +1.96% move from the previous day. This move outpaced the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Heading into today, shares of the company had gained 3.4% over the past month, lagging the Auto-Tires-Trucks sector's gain of 5.78% and outpacing the S&P 500's gain of 0.22% in that time.Lucid Group, Inc. will be looking to display strength as it nears its next earnings release.Investors might also notice recent changes to analyst estimates for Lucid Group, Inc.These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.55% lower. Lucid Group, Inc. is currently a Zacks Rank #4 (Sell).The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 38% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lucid Group, Inc. (LCID): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022Related News

Camping World (CWH) Stock Sinks As Market Gains: What You Should Know

Camping World (CWH) closed the most recent trading day at $37.08, moving -1.77% from the previous trading session. Camping World (CWH) closed the most recent trading day at $37.08, moving -1.77% from the previous trading session. This move lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the recreational vehicle retailer and services provider had lost 0.94% in the past month. In that same time, the Consumer Discretionary sector lost 1.36%, while the S&P 500 gained 0.22%.Camping World will be looking to display strength as it nears its next earnings release. On that day, Camping World is projected to report earnings of $0.73 per share, which would represent year-over-year growth of 52.08%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.32 billion, up 16.7% from the year-ago period.Investors should also note any recent changes to analyst estimates for Camping World. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Camping World is currently sporting a Zacks Rank of #3 (Hold).Looking at its valuation, Camping World is holding a Forward P/E ratio of 6.01. This valuation marks a discount compared to its industry's average Forward P/E of 37.91.The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 90, putting it in the top 36% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Camping World (CWH): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

OneWater Marine (ONEW) Outpaces Stock Market Gains: What You Should Know

In the latest trading session, OneWater Marine (ONEW) closed at $55.72, marking a +0.92% move from the previous day. In the latest trading session, OneWater Marine (ONEW) closed at $55.72, marking a +0.92% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.28%.Heading into today, shares of the company had gained 6.14% over the past month, outpacing the Consumer Discretionary sector's loss of 1.36% and the S&P 500's gain of 0.22% in that time.Wall Street will be looking for positivity from OneWater Marine as it approaches its next earnings report date. On that day, OneWater Marine is projected to report earnings of $1.07 per share, which would represent year-over-year growth of 50.7%. Our most recent consensus estimate is calling for quarterly revenue of $255.78 million, up 19.48% from the year-ago period.ONEW's full-year Zacks Consensus Estimates are calling for earnings of $8.08 per share and revenue of $1.55 billion. These results would represent year-over-year changes of +16.09% and +26.44%, respectively.Investors might also notice recent changes to analyst estimates for OneWater Marine. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.41% higher. OneWater Marine is holding a Zacks Rank of #1 (Strong Buy) right now.Looking at its valuation, OneWater Marine is holding a Forward P/E ratio of 6.84. This valuation marks a discount compared to its industry's average Forward P/E of 10.76.The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 44, which puts it in the top 18% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report OneWater Marine Inc. (ONEW): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

AutoNation (AN) Stock Sinks As Market Gains: What You Should Know

AutoNation (AN) closed at $109.90 in the latest trading session, marking a -1.53% move from the prior day. AutoNation (AN) closed the most recent trading day at $109.90, moving -1.53% from the previous trading session. This change lagged the S&P 500's 0.08% gain on the day. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.28%.Coming into today, shares of the auto retailer had lost 3.88% in the past month. In that same time, the Retail-Wholesale sector lost 3.94%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from AutoNation as it approaches its next earnings release. The company is expected to report EPS of $4.99, up 105.35% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.44 billion, up 11.26% from the year-ago period.It is also important to note the recent changes to analyst estimates for AutoNation. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.21% higher. AutoNation currently has a Zacks Rank of #1 (Strong Buy).Looking at its valuation, AutoNation is holding a Forward P/E ratio of 6.25. This valuation marks a discount compared to its industry's average Forward P/E of 7.66.We can also see that AN currently has a PEG ratio of 0.27. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. AN's industry had an average PEG ratio of 0.38 as of yesterday's close.The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 4, putting it in the top 2% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AutoNation, Inc. (AN): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

LendingClub (LC) Stock Sinks As Market Gains: What You Should Know

LendingClub (LC) closed at $24.11 in the latest trading session, marking a -1.31% move from the prior day. LendingClub (LC) closed the most recent trading day at $24.11, moving -1.31% from the previous trading session. This change lagged the S&P 500's 0.08% gain on the day. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.28%.Coming into today, shares of the company that connects borrowers and lenders online had gained 2.35% in the past month. In that same time, the Finance sector gained 5.73%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from LendingClub as it approaches its next earnings release, which is expected to be January 26, 2022. The company is expected to report EPS of $0.21, up 187.5% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $247.69 million, up 226.3% from the year-ago period.It is also important to note the recent changes to analyst estimates for LendingClub. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 13.82% higher. LendingClub currently has a Zacks Rank of #1 (Strong Buy).Looking at its valuation, LendingClub is holding a Forward P/E ratio of 14.12. This valuation marks a premium compared to its industry's average Forward P/E of 12.63.The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 68, putting it in the top 27% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow LC in the coming trading sessions, be sure to utilize Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report LendingClub Corporation (LC): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

Skillz Inc. (SKLZ) Outpaces Stock Market Gains: What You Should Know

Skillz Inc. (SKLZ) closed the most recent trading day at $6.04, moving +0.33% from the previous trading session. Skillz Inc. (SKLZ) closed at $6.04 in the latest trading session, marking a +0.33% move from the prior day. This move outpaced the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.28%.Heading into today, shares of the company had lost 23.12% over the past month, lagging the Consumer Discretionary sector's loss of 1.36% and the S&P 500's gain of 0.22% in that time.Skillz Inc. will be looking to display strength as it nears its next earnings release. On that day, Skillz Inc. is projected to report earnings of -$0.14 per share, which would represent a year-over-year decline of 7.69%. Our most recent consensus estimate is calling for quarterly revenue of $114.37 million, up 68.89% from the year-ago period.Investors might also notice recent changes to analyst estimates for Skillz Inc.These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Skillz Inc. is holding a Zacks Rank of #3 (Hold) right now.The Gaming industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 193, putting it in the bottom 25% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Skillz Inc. (SKLZ): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

Intuitive Surgical, Inc. (ISRG) Stock Sinks As Market Gains: What You Should Know

Intuitive Surgical, Inc. (ISRG) closed at $307.74 in the latest trading session, marking a -1.75% move from the prior day. Intuitive Surgical, Inc. (ISRG) closed the most recent trading day at $307.74, moving -1.75% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.28%.Prior to today's trading, shares of the company had lost 6.37% over the past month. This has lagged the Medical sector's loss of 4.1% and the S&P 500's gain of 0.22% in that time.Wall Street will be looking for positivity from Intuitive Surgical, Inc. as it approaches its next earnings report date. This is expected to be January 20, 2022. In that report, analysts expect Intuitive Surgical, Inc. to post earnings of $1.28 per share. This would mark year-over-year growth of 7.56%. Our most recent consensus estimate is calling for quarterly revenue of $1.53 billion, up 14.89% from the year-ago period.Investors might also notice recent changes to analyst estimates for Intuitive Surgical, Inc.These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.22% higher within the past month. Intuitive Surgical, Inc. currently has a Zacks Rank of #2 (Buy).Valuation is also important, so investors should note that Intuitive Surgical, Inc. has a Forward P/E ratio of 56.9 right now. This valuation marks a premium compared to its industry's average Forward P/E of 44.02.It is also worth noting that ISRG currently has a PEG ratio of 5.69. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ISRG's industry had an average PEG ratio of 2.52 as of yesterday's close.The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 168, putting it in the bottom 35% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow ISRG in the coming trading sessions, be sure to utilize Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

CubeSmart (CUBE) Stock Sinks As Market Gains: What You Should Know

In the latest trading session, CubeSmart (CUBE) closed at $51.08, marking a -1.94% move from the previous day. CubeSmart (CUBE) closed the most recent trading day at $51.08, moving -1.94% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the self-storage company had lost 4.46% in the past month. In that same time, the Finance sector gained 5.73%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from CubeSmart as it approaches its next earnings release. In that report, analysts expect CubeSmart to post earnings of $0.56 per share. This would mark year-over-year growth of 19.15%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $224.18 million, up 25.39% from the year-ago period.Investors might also notice recent changes to analyst estimates for CubeSmart. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CubeSmart is currently sporting a Zacks Rank of #1 (Strong Buy).Looking at its valuation, CubeSmart is holding a Forward P/E ratio of 21.68. For comparison, its industry has an average Forward P/E of 15.58, which means CubeSmart is trading at a premium to the group.Meanwhile, CUBE's PEG ratio is currently 1.94. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The REIT and Equity Trust - Other was holding an average PEG ratio of 2.77 at yesterday's closing price.The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 104, putting it in the top 41% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow CUBE in the coming trading sessions, be sure to utilize Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CubeSmart (CUBE): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022Related News

Edwards Lifesciences (EW) Stock Sinks As Market Gains: What You Should Know

Edwards Lifesciences (EW) closed at $118.26 in the latest trading session, marking a -1.83% move from the prior day. Edwards Lifesciences (EW) closed the most recent trading day at $118.26, moving -1.83% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the medical device maker had gained 0.74% in the past month. In that same time, the Medical sector lost 4.1%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from Edwards Lifesciences as it approaches its next earnings release. In that report, analysts expect Edwards Lifesciences to post earnings of $0.54 per share. This would mark year-over-year growth of 8%. Our most recent consensus estimate is calling for quarterly revenue of $1.35 billion, up 12.96% from the year-ago period.It is also important to note the recent changes to analyst estimates for Edwards Lifesciences. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.14% higher. Edwards Lifesciences is holding a Zacks Rank of #3 (Hold) right now.Digging into valuation, Edwards Lifesciences currently has a Forward P/E ratio of 47.53. This represents a premium compared to its industry's average Forward P/E of 44.02.Meanwhile, EW's PEG ratio is currently 3.39. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Instruments was holding an average PEG ratio of 2.52 at yesterday's closing price.The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 168, putting it in the bottom 35% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Edwards Lifesciences Corporation (EW): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

First Solar (FSLR) Outpaces Stock Market Gains: What You Should Know

First Solar (FSLR) closed at $83.02 in the latest trading session, marking a +0.29% move from the prior day. First Solar (FSLR) closed the most recent trading day at $83.02, moving +0.29% from the previous trading session. This change outpaced the S&P 500's 0.08% gain on the day. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the largest U.S. solar company had lost 9.23% in the past month. In that same time, the Oils-Energy sector gained 10.22%, while the S&P 500 gained 0.22%.Wall Street will be looking for positivity from First Solar as it approaches its next earnings report date. In that report, analysts expect First Solar to post earnings of $1.07 per share. This would mark a year-over-year decline of 0.93%. Meanwhile, our latest consensus estimate is calling for revenue of $906.43 million, up 48.78% from the prior-year quarter.Investors might also notice recent changes to analyst estimates for First Solar. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.35% lower. First Solar currently has a Zacks Rank of #3 (Hold).Digging into valuation, First Solar currently has a Forward P/E ratio of 39.65. For comparison, its industry has an average Forward P/E of 39.13, which means First Solar is trading at a premium to the group.We can also see that FSLR currently has a PEG ratio of 3.67. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Solar stocks are, on average, holding a PEG ratio of 1.88 based on yesterday's closing prices.The Solar industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 189, which puts it in the bottom 26% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Solar, Inc. (FSLR): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022Related News

Banks Provide Mixed Start to Q4 Earnings Season

We now have results from 17.6% of the sector's market capitalization in the S&P 500 index. Total earnings for these Finance sector companies are up +3.6% from the same period last year on +1.8% higher revenues... JPMorgan JPM and Citigroup C shares lost ground as they kick-started the Q4 earnings season for the banks. JPMorgan beat EPS estimates, but missed on revenues that were up +1.7% from the same period last year. Citi also missed top-line expectations, with 2021 Q4 revenues down -0.9% from the year-earlier period.The tone and substance of management commentary about the current and coming periods was cautious, with JPMorgan, in particular, warning about “…a couple of years of sub-target returns.” A notable disappointment for the market was the outlook for costs at JPMorgan, which are expected to reach $77 billion in 2022 up from $71 billion in 2021.The capital markets business remained red hot, though activity levels in Q4 were below the record levels of the preceding quarters. Trading revenues were down -11% at JPMorgan and -17% at Citigroup, mostly on weakness in fixed income trading.On the positive side, the outlook for loan demand has been steadily improving, with consumers starting to rely more on credit to sustain spending. The loan portfolio increased +6% at JPMorgan and +3% at Wells Fargo, with the same at Citigroup only modestly above the year-earlier level.This is a favorable setup for the regional banks that will be reporting December-quarter results in the coming days. And with the outlook for interest rates improving given expectations of multiple Fed rate hikes in 2022, this core banking activity promises to become a lot more profitable than has been the case in recent years.With respect to the sector’s Q4 earnings season scorecard, we now have results from 17.6% of the sector’s market capitalization in the S&P 500 index. Total earnings for these Finance sector companies are up +3.6% from the same period last year on +1.8% higher revenues, with all the companies beating EPS estimates (100% EPS beats percentage) and 60% beating revenue estimates.  This is a weaker showing than we have seen from this group of banks in other recent periods, as you can see in the comparison charts below that show how Q4 EPS and revenue beats percentages stack up to other recent periods.Image Source: Zacks Investment ResearchNext week will bring results from Bank of America, Goldman Sachs, Morgan Stanley and all the regional banks. Trends in loan portfolios and the outlook for costs will likely determine how the market responds to those results.The Overall Earnings Picture Beyond the Finance sector, the expectation is for Q4 earnings for the S&P 500 index to be up +20.9% from the same period last year on +11.7% higher revenues. This would follow +41.4% earnings growth on +17.3% revenue growth in 2021 Q3.The chart below takes a big-picture view of S&P 500 quarterly expectations, with earnings and revenue growth expectations for the next three quarters contrasted with actuals for the preceding four periods; expectations for 2021 Q4 have been highlighted.Image Source: Zacks Investment ResearchAs you can see in the above chart, the growth pace is expected to decelerate meaningfully over the coming quarters, but still remain positive.The chart below provides a big-picture view on an annual basis.Image Source: Zacks Investment ResearchQ4 Earnings Season Gets Underway Friday’s results from JPMorgan, Citi and others (unofficially) kick-started the Q4 earnings season. But from our perspective, the reporting cycle was well underway before these banks results arrived. Including the three major banks that reported Friday morning, we now have 26 S&P 500 members.We have more than 90 companies on deck to report results this week, including 37 S&P 500 members. The Finance sector dominates this week’s reporting docket, with Netflix and few airlines and railroad operators as the other major reports this week.For the 26 index members that have reported already, total Q4 earnings or aggregate net income is up +19.2% from the same period last year on +11.7% higher revenues, with 88.5% of the companies beating EPS estimates and 84.6% beating revenue estimates.This is too small a sample to draw any firm conclusions from. That said, the comparison charts below put the earnings and revenue growth rates for these 26 companies in a historical context.Image Source: Zacks Investment ResearchThe comparison charts below put the Q4 EPS and revenue beats percentages in a historical context.Image Source: Zacks Investment ResearchThe summary table below shows Q4 expectations in the context of what we saw in the preceding period.Image Source: Zacks Investment ResearchFor an in-depth look at the overall earnings picture and expectations for the coming quarters, please check out our weekly Earnings Trends report >>>> The Q4 Earnings Season Gets Underway Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

Is Inflation Burning a Hole in Pocket? Bet on Top-Ranked Cheap ETFs

Let's take a look at some top-ranked ETFs with relatively lower expense ratios that can be considered amid the highly inflationary environment. High inflation levels continue to be a serious concern for Americans. Once again, the release of the latest inflation data reports demonstrates the metrics’ touching of record-high levels. It seems like the Federal Reserve is prepared to deal with the high inflation levels this year and will make efforts to bring them to the target range.The December producer price index increased 9.7% year over year by the recently released reports, coming in at the highest level on record since 2010. Meanwhile, the metric was up 0.2% over the prior month, better than the Dow Jones estimate of 0.4% .Per the latest Labor Department report, the Consumer Price Index (CPI) in December rose 7% year over year, on par with the Dow Jones estimate, per a CNBC article. The metric came in at the highest level since June 1982 and covers a basket of products, ranging from gasoline and health care to groceries and rents. It also increased 0.5% for the month, surpassing the 0.4% Dow Jones estimate. The soaring food, shelter and used vehicle prices might be primarily responsible for the higher inflation levels.Excluding food and energy prices, the core CPI was up 0.6%, worse than the estimate of 0.5%. Annual core inflation also increased at a 5.5% pace, in comparison with the 5.4% expectation and came in at the highest level since February 1991 (per a CNBC article).Notably, the hot inflation data has compelled investors to look for alternative investment options that may fare better than cash or bonds in an inflationary environment. Moreover, certain companies with compromised pricing power may take a severe hit amid inflation and future earnings may also look less attractive amid high inflation levels.Also, paying high prices for goods is slowly burning a hole in consumers' pockets. Against this backdrop, let’s take a look at some top-ranked ETFs with relatively lower expense ratios that can be considered:JPMorgan BetaBuilders U.S. Equity ETF BBUSInvestors have been upbeat about the accelerated coronavirus vaccine rollout, solid fiscal stimulus support and reopening of the U.S. economy, which may lead to faster U.S. economic recovery from the pandemic-led economic slowdown. Market participants are also seemingly coming in terms with the higher chances of a Fed rate hike in 2022 and seem like having pricing in the phenomenon. Moreover, the emergency use authorization (EUA) for Pfizer Inc.’s (PFE) antiviral COVID-19 pill, PAXLOVID, has relaxed concerns regarding Omicron to some extent. According to the verified sources, Pfizer might introduce the Omicron vaccine in March while Moderna is working on a booster that targets the variant.JPMorgan BetaBuilders U.S. Equity ETF provides simple, affordable access to U.S. large and mid-cap equities. With AUM of $945.8 million, BBUS charges a very nominal fee of 0.02%. JPMorgan BetaBuilders U.S. Equity ETF carries a Zacks ETF Rank #2 (Buy) (read: A Quick Guide to the 25 Cheapest ETFs).SPDR Portfolio S&P 500 ETF SPLGThe SPDR Portfolio S&P 500 ETF seeks to provide investment results that, before fees and expenses, correspond generally to the total return performance of the S&P 500 Index. SPLG has AUM of $13.67 billion and an expense ratio of 0.03%. The SPDR Portfolio S&P 500 ETF sports a Zacks ETF Rank #2.Vanguard MidCap ETF VOConsidering the mixed sentiments, mid-cap funds are gaining attention as they provide both growth and stability compared to their small-cap and large-cap counterparts. As such, investors seeking to capitalize on the strong fundamentals but worried about uncertainty should consider mid-cap ETFs.Vanguard Mid-Cap ETF seeks to track the performance of the CRSP US Mid Cap Index, which measures the investment return of mid-capitalization stocks. VO has AUM of $56.39 billion. Vanguard Mid-Cap ETF charges a fee of 4 basis points (bps). Vanguard MidCap ETF sports a Zacks ETF Rank #2.SPDR Portfolio S&P 500 Value ETF SPYVIt is worth noting here that value investing seems more lucrative, given the rebounding U.S. economy, the expectation of higher inflation and chances of Fed interest rate hikes. Moreover, value stocks seek to capitalize on market inefficiencies. They can deliver higher returns with lower volatility than their growth and blend counterparts. Additionally, value stocks are less exposed to trending markets and their dividend payouts offer a shield against market turbulence.SPDR Portfolio S&P 500 Value ETF seeks to provide investment results that, before fees and expenses, correspond generally to the total return performance of the S&P 500 Value Index. With AUM of $13.46 billion, it charges 4 bps in expense ratio. SPDR Portfolio S&P 500 Value ETF carries a Zacks Rank #1 (Strong Buy).Schwab U.S. LargeCap Value ETF SCHVSchwab U.S. Large-Cap Value ETF’s goal is to track as closely as possible, before fees and expenses, the total return of the Dow Jones U.S. Large-Cap Value Total Stock Market Index. With AUM of $10.68 billion, it charges 4 bps in expense ratio. Schwab U.S. Large-Cap Value ETF has a Zacks Rank #1 (read: ETF Strategies to Profit From a Historically Weak September). Want key ETF info delivered straight to your inbox? Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Schwab U.S. LargeCap Value ETF (SCHV): ETF Research Reports SPDR Portfolio S&P 500 Value ETF (SPYV): ETF Research Reports Vanguard MidCap ETF (VO): ETF Research Reports SPDR Portfolio S&P 500 ETF (SPLG): ETF Research Reports JPMorgan BetaBuilders U.S. Equity ETF (BBUS): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

ETF Market Outlook & Picks for 2022

We discuss the market outlook and investing ideas for 2022. (1:00) - 2022 Market Outlook: How Should Investors Position Their Portfolios?(10:45) - Will We Get To See A Spot Bitcoin ETF This Year?(15:00) - Top ETF Picks For 2022: Where Should Investors Be Looking(22:30) - Will The Bull Market Stay Alive?(25:10) - How Does Astoria Structure The Top Ten ETF Report?(30:45) - AXS Astoria Inflation Sensitive ETF: PPI(36:40) - Will Oil Continue To Go Up In Price: MLP vs Oil ETFs(42:00) - Which Sectors Will Perform The Best In 2022?(47:15) - BLOK, Fixed Income and International ETFs: Understanding How They Could Fit Into Your Portfolio(54:30) - Breaking Down 2021’s Top Ten Picks            Podcast@Zacks.com In this episode of ETF Spotlight, we discuss the market outlook and ETF picks for 2022. In the first part, I am joined by Todd Rosenbluth, Head of ETF & Mutual Fund Research at CFRA, and my second guest is John Davi, Founder & CEO of Astoria Portfolio Advisors.2021 was a great year for the stock market and the ETF industry. Major indexes posted double-digit gains for the third consecutive year, thanks to the ultra-accommodative monetary policy and a massive fiscal stimulus.Stocks are off to a rough start this year as investors are concerned about Inflation, rising rates, Fed and Covid. What can they expect from 2022 and how should they position their portfolios?2021 was a great year for the ETF industry with record inflows and a record number of ETF launches. Will this trend continue in 2022?Todd’s top ETF picks for the year include the Global X U.S. Infrastructure Development ETF PAVE, the Fidelity Quality Factor ETF FQAL, the FlexShares Morningstar U.S. Market Factor Tilt Index Fund TILT and the iShares Interest Rate Hedged Corporate Bond ETF LQDH.Astoria is an investment management firm that specializes in ETF managed portfolios. They recently released their 10 ETFs for 2022 report, which recommends increasing exposure to ETF areas like inflation protection, dividend income, homebuilding, blockchain and defensive equity.John’s picks for 2022 include the AXS Astoria Inflation Sensitive ETF PPI, the SPDR S&P Dividend ETF SDY, the Invesco KBW Bank ETF KBWB and the iShares MSCI USA Min Vol Factor ETF USMV.Tune in to the podcast to learn more.Make sure to be on the lookout for the next edition of the ETF Spotlight and remember to subscribe! If you have any comments or questions, please email podcast@zacks.com. Want key ETF info delivered straight to your inbox? Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SPDR S&P Dividend ETF (SDY): ETF Research Reports Invesco KBW Bank ETF (KBWB): ETF Research Reports iShares MSCI USA Min Vol Factor ETF (USMV): ETF Research Reports Fidelity Quality Factor ETF (FQAL): ETF Research Reports FlexShares Morningstar U.S. Market Factor Tilt ETF (TILT): ETF Research Reports Global X U.S. Infrastructure Development ETF (PAVE): ETF Research Reports iShares Interest Rate Hedged Corporate Bond ETF (LQDH): ETF Research Reports AXS Astoria Inflation Sensitive ETF (PPI): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022Related News

US stocks whiplashed as banks drop on earnings results and bond yields surge

US retail sales dropped 1.9% in December amid the Omicron surge and rising inflation, well below economists' expectations for a decline of only 0.1%. Traders have been cheered by earnings but are still concerned about inflation.Brendan McDermid/ReutersUS stocks experienced a volatile trading session on Friday as bond yields surged and banks reported earnings results.A big miss in December retail sales initially sent the Nasdaq lower before recovering.US retail sales dropped 1.9% in December from the prior month, while economists expected a drop of only 0.1%.Sign up here for our daily newsletter, 10 Things Before the Opening Bell.December retail sales data, a surge in bond yields, and earnings results from banks sent mixed messages to investors and led to a choppy day of trades on Friday.US retail sales dropped 1.9% in December from the prior month, well below economists' expectations for a decline of only 0.1%. The weak results follow November's print of a 0.2% gain in sales. The weak sales last month came amid the Omicron surge, rising inflation, and an earlier-than-usual holiday shopping season due to logistical concerns.Meanwhile, the 10-Year US Treasury yield surged from 1.70% to 1.78% on Friday, but tech stocks that have typically been hurt by a rise in yields led the market higher throughout the day.Here's where US indexes stood at the 4:00 p.m. ET close on Friday:S&P 500: 4,662.82, up 0.08% Dow Jones Industrial Average: 35,911.35, down 0.56% (202.27 points)Nasdaq Composite: 14,893.75, up 0.59% Banks kicked off earnings season on Friday, resulting in a 6% and 2% stock price drops for JPMorgan, and Citigroup, respectively. Wells Fargo bucked the trend and jumped 3% on Friday after it reported better-than-expected earnings results. The Supreme Court's decision to strike down President Biden's vaccine mandate for private employers led to a continued decline in COVID-19 vaccine makers Moderna and Novavax.The bad news keeps rolling in for Peloton, which fell 4% on Friday after it was kicked out of the Nasdaq 100 Index just one year after its inclusion. The connected-fitness company has seen its stock fall 81% from its record high.Dogecoin prices surged about 11% on Friday after Tesla CEO Elon Musk said the electric vehicle manufacturer would accept the meme-inspired cryptocurrency as a form of payment for certain merchandise.Rio de Janeiro's mayor is following the lead of Miami's bitcoin-loving Francisco Suarez and will invest 1% of the city's reserves in the cryptocurrency.West Texas Intermediate crude oil rose as much as 2.56% to $84.22 per barrel. Brent crude, oil's international benchmark, jumped as much as 2.33% to $86.44 per barrel.Gold fell as much as 0.25% to $1,816.80 per ounce. The yield on the 10-year Treasury rose 8 basis points to 1.78%.Read the original article on Business Insider.....»»

Category: personnelSource: nytJan 14th, 2022Related News