Much like the internet defined the first 10 years of the 21st century, electric vehicles may be the story of the next decade. In 2020 and 2021, any stock with exposure to electric vehicles, no matter how tertiary, took off with the thought that this time would be different. But in 2023, this is a
Stocks to sell
Is First Republic Bank (NYSE:FRC) stock a bargain just because is has cratered in 2023? Don’t be too eager to invest in First Republic Bank now. As the company struggles to deal with financial issues, its shares could actually be cheap for good reasons. As always, investors must understand the difference between price and value. Ask
With the movie-theater sector continuing to face very tough challenges and AMC (NYSE:AMC) still carrying a tremendous debt load, AMC stock remains tremendously overvalued, and its long-term outlook is terrible. Theaters Are Still Struggling In line with my previous predictions, movie theaters are struggling, even though the coronavirus pandemic is in the rearview mirror. Since
These are precarious times for the U.S. housing market, and related homebuilder stocks. High-interest rates, a slowing economy, and a recent banking crisis are bad omens for the real estate market. And some analysts are now warning of a housing correction, as others forecast a full-blown crash. Worse, the Dallas Federal Reserve says a new
Following last month’s banking crisis, investors are on the prowl for bargains among financial stocks. When searching for low-priced bank stocks on a screener, Ally Financial (NYSE:ALLY) stock is likely to pop up. Changing hands for around $25 per share today, this automotive-focused bank also trades at a sizable discount to its book value of
Stock markets have been rising this year, but the gains have not been equal. While many stocks are in the process of recovering, others continue to fall or trade sideways. Somewhat surprisingly, many blue-chip stocks that have been consistent outperformers over the past decade are now lagging the market. These are companies that are household
Identifying tech stocks to avoid is as important as discovering the next big winners in the current volatile stock market. After a turbulent 2022 for tech stocks, with the sector, most of the gains achieved in 2021, the first quarter of 2023 has brought a surprising turnaround. Outperforming the broader market, most tech companies have
We’re starting to see a shakeout in the electric vehicle (EV) sector as some automakers pull ahead and others fall behind. With established motor vehicle makers such as General Motors (NYSE:GM) and Toyota (NYSE:TM) spending billions to electrify their fleets, it’s getting harder for smaller start-up companies to compete. Plus, some of the bigger players, such as Tesla (NASDAQ:TSLA) have slashed prices to
When business-news outlets make bankruptcy predictions, no sector gets more attention than the retail industry. I’m not sure why that is. Companies from various industries and sectors file for Chapter 11 protection. The focus on bankrupt retailers just boils down to most of us understanding and frequenting stores. I googled “potential bankruptcies,” and the first
When stock markets ended the first quarter of this year with strong gains, speculators bought the most short-sold stocks. They bet that despite the deteriorating business conditions, the stock would overcome unfavorable valuations. Although bears hold a high short float against the stock, traders are betting on a short squeeze. The stock price rises rapidly
Artificial intelligence (AI) is one of the most significant technological advancements of recent years. And it could very well have the potential to disrupt global industries. Granted, the potential multi-billion-dollar industry is exciting to watch, but it could also eventually and easily pose a threat to millions of jobs and industries. At the highest risk are
To immediately answer the question posed by the headline of this column, I believe that Lucid (NASDAQ:LCID) and LCID stock are headed for much worse fates than Nikola (NASDAQ:NKLA) and NKLA stock. Moreover, the longer-term outlook of NKLA is much better than that of LCID. Unless Lucid can change its overall strategy or suddenly create buzz about itself and
After coughing back most of its “meme stock” gains during 2022, AMC Entertainment (NYSE:AMC) has performed well thus far in 2023. Year-to-date, AMC stock is up 27.5%, even after a big move lower during late February/early March. Over the past week, takeover rumors (more below) have pushed shares in the movie theater operator back out of “penny
The discussion around artificial intelligence (AI) has taken a dark turn. In recent days, a number of well-known technology leaders, including Tesla (NASDAQ:TSLA) CEO Elon Musk and Apple (NASDAQ:AAPL) co-founder Steve Wozniak, signed an open letter calling for a pause in the development of generative AI that they say poses high-level risks to humans and society. The strongly worded letter stated:
When I last wrote about Bed Bath & Beyond (NASDAQ:BBBY) earlier this month, I talked mainly about the struggling retailer’s recent financing transaction with Hudson Bay Capital Management, and what it meant for BBBY stock in the future. In a nutshell, I argued that Hudson Bay was making an asymmetric wager on favorable terms, yet
‘Fallen angel’ stocks, or stocks that have fallen far from their past highs, can be tempting as possible contrarian buys. Yet while there are sometimes diamonds in the rough among these names, for the most part, it’s best to consider them stocks to sell. Why? While Mr. Market may not get it right 100% of the
Investors are always looking for a good bargain. And companies whose share prices have plunged can represent great buying opportunities if conditions are right. But there are some stocks to avoid at any price given their operating losses and flawed business models. Traders tolerated large losses in recent years if a company seemingly had a
Greg Becker, the head of Silicon Valley Bank, sold nearly $30 million in stock in the two years leading up to the regional bank’s collapse. As a result, CEOs selling stock are again back in the headlines. It’s not so much that investors are against CEOs selling stock. After all, we all have financial obligations
Finding stable companies in a market downturn is vital to an investment portfolio. With Federal Reserve rates climbing to their highest levels since 2007 and the recent banking crisis, safe and robust companies are critical. These three companies have stocks to avoid based on their recent earnings misses and the overall economic outlook. Bed Bath
It may be tempting to invest in customer relationship management (CRM) software specialist Salesforce (NYSE:CRM) right now. Yet, caution is advised, as CRM stock isn’t a bargain at all. It will be difficult for Salesforce to live up to the company’s expectations, especially now that Salesforce is aggressively slimming down. At first glance, it seems like