Dividend income can be a great way to boost your portfolio’s value over the long term. Amid a recession, it can also be valuable source of cash flow at a time when returns may not be so strong. And in good times, it can pad your total returns.
Amgen (NASDAQ: AMGN) and Kroger (NYSE: KR) are two companies with shares currently selling at fair prices and that pay better than the 2% yield you can expect from the average S&P 500 stock. Let’s take a closer look at why investors should consider scooping up their shares today.
Business Insider parent Insider Inc. is nearing a deal to acquire a controlling stake in Morning Brew, a news startup known for a popular email newsletter on business and finance, according to people familiar with the situation.
The terms the companies are discussing would value Morning Brew at over $75 million, including certain performance incentives, the people said. The companies haven’t completed a deal, and the talks could still fall apart.
The sale of Morning Brew is a bright spot in a digital-media sector that has faced a number of challenges. The online-ad market was already under pressure before the coronavirus pandemic exacerbated the situation.
Newsletters, including those operated by companies like Morning Brew, theSkimm and traditional media outlets, are viewed as attractive, partly because they can help companies expand the reach of their content and recruit new subscribers. Newsletters often command higher advertising rates than traditional display ads in
Cineworld Group (LSE: CINE) has suffered more than most companies in the FTSE 250 since the Covid-19 crisis hit. The Cineworld share price has lost 87% of its value since the start of the year, while the index itself is down only 18%.
The company’s plight has been brought to our attention again since the second wave of Covid-19 infections has been sweeping across the UK. This time, all of the UK’s Cineworld cinemas were closed in early October. But Cineworld is one of the world’s largest cinema operators. And late last year it was all set to buy out Canadian rival Cineplex in a $1.3bn deal. So there must be a recovery investment opportunity here, mustn’t there? Well, if you see
Taking newly-released economic data into consideration, a team of Morgan Stanley equity strategists reiterated their belief that a V-shaped economic recovery is underway.
They explained why Phase III vaccine data in November could be the catalyst for the recovery to gain further momentum and drive the reopening ahead.
The team used quantitative screening and leveraged analyst research to identify 44 stocks across industries that are poised to surge as the economic rebound and reopening take off.
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Seven months into the coronavirus pandemic, questions still remain around whether the economy is still headed for a V-shaped recovery.
Morgan Stanley’s equity strategy team think it’s a firm “yes.”
Newly released economic data including expanding global purchasing-manager indexes, rising retail sales in the US and Europe, increasing global trade volume, and decreasing inventory levels are all pointing to an ongoing economic rebound, Morgan Stanley said in
Social-media stocks are getting a boost from Deutsche Bank analyst Lloyd Walmsley, who raised his rating on
and lifted his price targets on
For Twitter (ticker: TWTR), he went to Buy from Hold, with a price target of $56, up from $36. The call is part of a broader bullish report on the social-media stocks, which he thinks are positioned to benefit from a coming rebound in online advertising demand.
The analyst lifted his price targets on Facebook (FB), to $325 from $305;
Google’s parent (GOOGL), to $2,020 from $1,975; Pinterest (PINS), to $55 from $43; and Snap (SNAP), to $32 from $28. He repeated Buy ratings on all of them.
“We are bullish on the ad names into Q3 results given a continued
The performances of many UK shares have been disappointing in 2020. Risks including coronavirus and Brexit have weighed on investor sentiment. This has sent many stocks to their lowest levels for a number of years.
However, their falls could present buying opportunities for long-term investors. The recovery prospects for the economy and stock market mean that buying cheap shares today may prove to be a profitable move.
With that in mind, here are two FTSE 100 shares that have fallen 25%+ in 2020. They may now offer margins of safety that produce long-term investment gains.
A large decline relative to other UK shares
WPP’s (LSE: WPP) 38% fall since the start of the year means it has underperformed many UK shares. The advertising and branding business has experienced falling revenues as the world economy’s outlook has deteriorated.
However, its recent interim results showed that it is making progress in
The recent performance of UK shares may dissuade some investors from buying FTSE 100 and FTSE 250 stocks. However, British shares continue to offer long-term growth potential that could make a real impact on your retirement plans.
As such, now could be the right time to avoid the rising gold price and purchase a range of stocks. At age 50, you are likely to have sufficient time for them to recover after the recent stock market crash.
Investing in UK shares at age 50
Investing money in UK shares at age 50 may seem like a risky move. After all, retirement is likely to be 15-20 years away. For individuals who have no retirement savings, or who are concerned about their retirement prospects, buying gold may seem to be a better idea than purchasing
Alibaba (NYSE:BABA) has a lot going for it – not only is it a key beneficiary of secular drivers such as an ever-growing consumption-driven economy and the shift to e-commerce, but its ability to funnel that cash flow into profitable growth opportunities (e.g., cloud and logistics) leaves me incrementally bullish post-investor day. While the event is unlikely to result in major changes to consensus estimates, the long-term shift in focus toward a more balanced approach to growth and margins likely underpins sustained, long-term earnings growth, in my view. At current valuations, I believe the market is assigning value only to the core business and cloud, granting investors access to BABA’s ~$114bn strategic investment portfolio for free.
Outlining the Long-Term Drivers
CEO Daniel Zhang outlined the scale of his long-term vision at the event – this includes serving a massive 2bn global customers, facilitating the creation of 100m new jobs, and
Buy-to-let property used to be a surefire way to build a sizeable financial nest egg. Unfortunately, tax and regulatory changes over the past few years means this is no longer the case. As a result, I think buying a basket of cheap UK shares could produce better returns in the long run.
Today, I’m going to highlight the three reasons why I believe this is the case.
There are two ways investors can profit from buy-to-let property. Rental income and capital gains. Many investors rely on rental income to cover mortgage payments and costs, such as decorating and emergency repairs. The income covers the day-to-day expenses, and the real profit comes from capital gains.
However, over the past few years, rental yields have dropped significantly. The average rental yield in the UK is now around 3.5%, although it’s possible to achieve higher returns. At the same time, the
It seems fair to say at this point that the upcoming election is a bit divisive. When looking at stocks, it’s helpful to put political persuasions aside and seek out companies that won’t get drawn up in the volatility and debate.
Keep an eye on sports betting
It’s not going away. Neither party has done much of anything to impede the spread of states legalizing sports betting. DraftKings(NASDAQ:DKNG) and Penn National Gaming(NASDAQ:PENN) offer compelling access to an industry that is in the very early stages of realizing its full revenue potential. With professional golf’s Masters Tournament set to be held in November, an NFL season that seems likely to carry all the way through, and the pending return of more college football teams in October, there are some big betting opportunities that will roll through the fall and into winter. It’s a market that can avoid the political