Sunday, April 27, 2025
For 2020, energy has been at the bottom of the list of S&P sectors. Year-to-date, energy as a market sector remains down by over 50%, and the investing public continues to avoid energy company stocks. However, the business of energy has held up well through the pandemic—especially the midstream energy companies. Energy midstream services connect […]
The upcoming 2020 third-quarter earnings season has the potential to be the most critical news period for investors that I can remember. The previous earnings season covered the 2020 second quarter, a period when much of the economy was in lockdown. The third-quarter results will, for many companies, be our first look at how the […]
Short selling is a trading strategy to bet that a stock price will fall. However, if many traders all short the same stock and the trade turns against them, they can get caught in a money-losing short squeeze. For high-yield stocks, selling short is often a bet on a dividend cut. When that doesn’t happen, […]
When tech stocks kept climbing this summer, it made investors wonder whether the sectors that remained undervalued after the pandemic-triggered crash would ever have their day. But now, as September draws to a close, we’re beginning to see initial indications of a stock market sector rotation: returns show the rotation out of tech, and into […]
Is brick-and-mortar retail dead? I’m not so sure. My research points to a different paradigm for retail sales. I believe you will see more coordination and integration between traditional brick-and-mortar retail outlets and the large online sellers. Instead of competing for market share, the smart retailers from both sides of the digital divide will combine […]
The coronavirus pandemic has put a tremendous strain on the healthcare sector. At times, emergency rooms have been overrun. Simultaneously, the healthcare industry has committed many resources to fighting the virus, meaning individuals with other illnesses and afflictions may not be getting the care they need. The healthcare industry accounts for 17% of the U.S. […]
In the early days of the coronavirus pandemic, hundreds of companies slashed common stock dividends. Many saw business operations significantly affected and did not have the cash to pay the previous dividend rate. Others chose to cut dividends as a defense against a suddenly uncertain future. In both cases, income-focused investors were devastated as share […]
The coronavirus pandemic and resulting financial crisis turned investors either for or against different stock market sectors. Tech, biotech, drug companies, and large-cap retailers landed on the “loved by investors” list. Energy, financials, and even utilities fell out of favor and remain down for the year, even as the major indexes stay at or near […]
Investors with interest in yields soon find their way into the world of closed-end funds (CEFs). During this period in history, when fixed income investments often yield less than one percent, the high single-digit or low double-digit yields on many CEFs are compelling. Yet the aftermath of the pandemic-triggered crash early in 2020 will start […]
You have likely seen the news that the S&P 500 has recovered 100% of the losses from the COVID crash. What you won’t see in the press is the broad range of returns from the different industrial sectors used by S&P Global Ratings (formerly Standard & Poor’s). The 500 S&P stocks are subdivided into 11 […]
