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Earnings Season: 5 Takeaways for Q3 2018 Earnings

Earnings Season: 5 Takeaways for Q3 2018 Earnings

Earnings Season is always a time for reflection, including this recent Q3 2018 earnings season. Did companies produce earnings that meet the Wall Street community’s estimates? Was there growth? What is the prognosis for future quarters. These questions often dictate...

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ETF Investing: 4 Reasons to Invest with ETFs

ETF Investing: 4 Reasons to Invest with ETFs

ETF investing has been growing. This is a relatively new asset class that investors, even small investors, can take advantage of. They offer investors many advantages over individual stocks or mutual funds. Additionally, they can offer investments into other asset...

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Getting More Income From High Dividend Stocks

Getting More Income From High Dividend Stocks

  Recent price drops have made several high dividend stocks look very strong from an income perspective.  I wrote last week about several big dividend names that were offering 5-7% yields which are well above any comparable treasury. Today, we will talk about adding...

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Stocks to Avoid when the Fed Tightens

Stocks to Avoid when the Fed Tightens

  The Fed raised the short term Federal Funds rate by a quarter point on Wednesday. Additionally, they dropped language indicating that their current stance would be “accommodative”.  This will have ripples throughout the economy and more importantly the markets. The...

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Impacts of the Tight Labor Market

Impacts of the Tight Labor Market

  The Employment Report came out today (Friday, Sept. 7)  at 8:30 a.m.. This is probably the most impactful economic report for the market, and today’s report will make investors reposition some parts of their portfolio. First let’s look at the report. It was a strong...

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Q2 Earnings Provide Solid Market Foundation

Q2 Earnings Provide Solid Market Foundation

  As the market ebbs and flows based on the headlines, the real news coming from Q2 Earnings is that companies continue to post impressive results. More than halfway through earnings season, Factset is reporting that among the companies that have already reported,...

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Which Stock Market Sector is Ready for a Fall?

Which Stock Market Sector is Ready for a Fall?

Sometimes you look at the market and just shake your head. Trends that should be taking place aren’t, a stock market sector that should be growing isn’t. As you look at the sectors of the S&P 500, one stock market sector sticks out as getting ahead of itself....

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Q2 Earnings Continue Torrid Pace

Q2 Earnings Continue Torrid Pace

I can’t believe it is already earnings season. It seems like I was just writing the Q1 wrap. That quarter was a blockbuster - with increasing earnings, solid corporate guidance, and estimate increases. You almost could not write a better story for earnings. This...

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Coke or Pepsi: Which Stock is better?

Coke or Pepsi: Which Stock is better?

  Back in the 80’s, these two large caps (Coke stock and Pepsi stock) were core holding for virtually everyone. At that point, the answer would have been both stocks are great! Warren Buffet was beginning to ride the long-term ride upwards with Coke. It was touted as...

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Earnings Season—The Big Picture

Earnings Season—The Big Picture

  Sometimes you read the earnings season press or the reports released by Wall Street Research Departments and you quickly lose the forest for the trees. They are so dense with statistics and numbers that  you miss that there is a sizeable trend underway. So I am...

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How to Pick a Real Estate ETF

How to Pick a Real Estate ETF

  You have decided to take the plunge into a Real Estate ETF! You know that this asset class would help you diversify your portfolio, and add some interesting performance characteristics. You also know that Real Estate has underperformed recently. So there could be...

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Recessions and Bear Markets—Which comes first?

Recessions and Bear Markets—Which comes first?

Which came first: the chicken or the egg? The question is perplexing, and I don’t believe anyone has successfully proven what the correct answer is. In January of this year, Forbes weighed in with an answer here (hint: it won’t satisfy you). Turning to the world of...

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Q1 2018 Earnings Season Preview

Q1 2018 Earnings Season Preview

It is hard to believe that we are already closing the first quarter, and getting ready for the Q1 2018 earnings season. It is also hard to believe that Winter may be finally transitioning to Spring. Sitting here in Philadelphia, we have scarcely had any hint of...

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The Mechanics of Shorting a Stock

The Mechanics of Shorting a Stock

  With the return of volatility, there is money to be made finding overvalued stocks and putting on a short sale trade. When you short a stock, you sell borrowed shares with the hopes that the stock price will decline. When it declines, you can buy the shares more...

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Stock Prices Drop Faster than They Go Up

Stock Prices Drop Faster than They Go Up

Volatility has returned! After a very benign market that has generally proceeded higher with very few interruptions, February brought some very sharp pullbacks, even to the point of a correction. While this is normal, investors had been lulled into a false sense of...

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A Stockpicker’s Market?

A Stockpicker’s Market?

That’s a phrase that you hear all the time. "It is a stockpicker’s market." What are they trying to get at? What does that really mean? The core message of "a stockpicker's market" is that the market dynamics have now changed, and active investment will outperform...

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Death and Taxes – Tax Avoidance Strategies

Death and Taxes – Tax Avoidance Strategies

  Benjamin Franklin famously uttered, “Nothing can be said to be except death and taxes.” However, taxes are one of those things that a prudent investor wants to minimize. On the other hand, you only have to pay taxes IF you make gains, so in the head of the rational...

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What are Support and Resistance Levels?

What are Support and Resistance Levels?

  Last week, I defined the various downturn terms (pullback, correction and bear market) to ensure that everyone was talking from the same definitions. Well, we just got an up close look at a market correction. It was swift and brutal, but only lasted for a couple of...

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Pullbacks, Corrections, and Bear Markets

Pullbacks, Corrections, and Bear Markets

  When new investors in the market hear commentators talk about some of the above terms, this incorrectly injects fear into the conversation. Certainly, a bear market would be very bad news for the markets, but pullbacks and corrections represent the natural ebb and...

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Early Returns from Q4 Earnings Season

Early Returns from Q4 Earnings Season

  Q4 Earnings Season has kicked off and enough companies have now reported that we can begin to make some observations, and assess how good this season is! In my preview, I observed that the market and the analysts continue to expect great results in 2018, and this...

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Value Investors And The Stock Market Today

Value Investors And The Stock Market Today

  Value Investors are caught between a rock and a hard place. Valuations are rich—they have been rich, but the market continues to go up! With the forward P/E multiple hovering around 17 or 18 for the S&P 500, and the FANG stocks (Facebook, Amazon, Netflix and...

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The Three Easy Ways to Withstand a Market Correction

The Three Easy Ways to Withstand a Market Correction

The Market is setting new highs on a weekly basis. While there is still more fuel in the pipeline in the form of tax cuts, and continued low long term rates, the market is now almost nine years long. Eventually gravity will take its toll on the market. Are you ready?...

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How Does the Yield Curve Move the Stock Market?

How Does the Yield Curve Move the Stock Market?

The Fed tightened this week by raising the Fed Funds rate up by a quarter point. This move surprised absolutely no one. The Stock Market took the increase in stride, and was far more focused on the success likelihood of the tax plan, and on which companies will...

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How Does An Investment Club Work?

How Does An Investment Club Work?

For beginners looking for a hands-on way to learn more about investing, an investment club can be a good place to start. An investment club is a group of people who invest money together, typically in stocks and bonds (or, alternatively, it may be real estate or...

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2018 Macro Events that Could Impact the Stock Market

2018 Macro Events that Could Impact the Stock Market

2017 is finishing with a bang. Yes, there was a little sector rotation, and the tech stocks gave back some of their steady gains. But in general, this market continues to steam ahead unaffected by any major correction or even a pullback. With 2017 almost in the books,...

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A Tale of Two Sectors: Q3 Earnings Roundup

A Tale of Two Sectors: Q3 Earnings Roundup

“It was the best of times, it was the worst of times.” - Charles Dickens, A Tale of Two Cities Dickens must have been referring to this year’s Q3 earnings season for the telecom and tech sectors. In a quarter that was generally strong (greater than 8% growth Y-o-Y),...

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Analyst Ratings: Buyer Beware

Analyst Ratings: Buyer Beware

Here’s a smarter way to look at Buy/Sell/Hold analyst ratings. Prepare to have your mind blown! Okay, I am being facetious. In a recent study, Factset proved that analyst ratings and recommendations have NOT been a good predictor of stock market performance. You can...

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The Dangers of Bottom Fishing!

The Dangers of Bottom Fishing!

Bottom fishing: it is so tempting . . . I mean really tempting. A stock that you have followed for years starts to dive in price. As an investor, you tell yourself, “If I liked it at 50, I have to really love it at 42.” Step away from the keyboard, take a deep breath,...

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5 Highly-Anticipated IPO Launches of 2018

5 Highly-Anticipated IPO Launches of 2018

The year 2017 brought us IPO launches for Roku, Blue Apron, and Snapchat. Which new IPO’s can investors hope for in 2018? An initial public offering, often abbreviated as an IPO, is the first sale of the first stock of a newly public company. Going public allows a...

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Stock Screener Do’s and Don’ts

Stock Screener Do’s and Don’ts

Do you use a stock screener? They can be incredibly useful tools for filtering through thousands of stocks for a handful of great ideas. The Chaikin Analytics stock screener, for example, is designed to allow flexible combinations of various criteria like the Chaikin...

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Earnings Preview – Q3 2017 Earnings

Earnings Preview – Q3 2017 Earnings

Q3 2017 Earnings Season will be the last earnings look at companies in 2017. So the importance is magnified as portfolio managers scurry to lock in good trades, and hedge funds begin to position themselves for 2018. There is usually increased turnover during the...

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Women & Investing: Is Investing Too Personal?

Women & Investing: Is Investing Too Personal?

If 92% of women want to learn more about financial planning and get more involved in their finances, why is it that 80% of women respondents said they weren’t comfortable talking about money even with the people they’re close to? Research from the investment firm...

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The Anatomy of a Good Stock Pick

The Anatomy of a Good Stock Pick

What’s the process for finding a good stock pick? Chaikin Analytics puts out calls on stocks frequently. This provides our subscribers a heads up that a stock is either ready to go up or is poised for a fall. How are these stock picks chosen? By probing how our...

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Earnings Season Highlights – Q2, 2017

Earnings Season Highlights – Q2, 2017

With Earnings Season winding down, it has been an interesting quarter. The economy is continuing to grow, and earnings have mirrored that by growing approximately 10% in Q2 year over year. This is a solid but not spectacular quarter.  Most of this data for this post...

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How To Tell If A Positive Earnings Surprise Is Genuine

How To Tell If A Positive Earnings Surprise Is Genuine

Can a positive earnings surprise be faked?  During quarterly earnings season, when companies report their earnings, and they are immediately compared to the Wall Street Analyst estimates. If the reported earnings beat estimates, then this is called a positive earnings...

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How to Pick a Financial ETF

How to Pick a Financial ETF

How do you pick a financial ETF? With the financial sector heating up, investors who want exposure to this sector have a choice of either researching stocks, or buying a broad-based ETF. There will be winners and losers in the financial sector, and if you invest the...

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How Do You Select a Biotech ETF?

How Do You Select a Biotech ETF?

How do you select a biotech ETF? Many people think that ETFs within a particular industry or sector are all the same, and that there isn’t much difference between them. As a consequence, they don’t spend much time learning the difference and this can be a real...

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Stock Market 101: What Are Call Options?

Stock Market 101: What Are Call Options?

Call options are one of the most popular options trading strategies. This may because they’re considered one of the simplest ways to trade options, and can be very profitable for the successful trader. So, what are call options? Call options are a contract where the...

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The Stockpicker’s Guide to Earnings Season

The Stockpicker’s Guide to Earnings Season

Here's your guide to earnings season!  Earnings season is when companies get their quarterly report card. Generally, it starts ten days after the completion of the calendar quarter and runs for four weeks. Earnings data is the single biggest valuation metric that...

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ETF Growth: What You May Not Know About ETFs

ETF Growth: What You May Not Know About ETFs

You probably know that ETF growth has been surging in recent years. Here is some of what you may have heard: - There are a lot of ETFs to choose from.   - There are a lot of ETF companies (aka “ fund sponsors”), some with recognizable names and some not.   - There are...

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The Hidden Costs of Trading for an Active Investor

The Hidden Costs of Trading for an Active Investor

What are the hidden costs of trading? As competition for client accounts heats up among the major online brokers, we have seen a price war emerge which results in a lower and lower price per equity trade. Some new brokerage firms even offer free equity trading or "all...

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Online Broker Price War Lowers the Cost of Trading

Online Broker Price War Lowers the Cost of Trading

Recently, online brokers have been making headlines by announcing lower commissions on stocks, ETFs, options, and more. Lower costs put dollars back into the pockets of self-directed investors. These investors are not using an advisor, but instead, make their own...

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Screen of the Week | March 21, 2017

Screen of the Week | March 21, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, January 19, 2017. CHAIKIN SCREEN OF THE WEEK: Bullish Stocks in the Industrial Sector The Industrial Sector (XLI), which normally outperforms in a rising interest rate environment, has...

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Screen of the Week | March 13, 2017

Screen of the Week | March 13, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, January 12, 2017. CHAIKIN SCREEN OF THE WEEK: Strong Stocks in Strong Industry Groups With last week’s pullback in Financial stocks, I screened for stocks in strong industry groups that...

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5 Things to Know About Earnings Season

5 Things to Know About Earnings Season

Four times a year, companies releases their quarterly earnings reports. “Earning season” is the period when the majority of U.S. companies report, the months immediately after each quarter (January, April, July, and October). Many investors look to earnings season to...

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4 Times Google Stock Made History

4 Times Google Stock Made History

What would the Internet look like without Google? It’s hard to imagine. From online searching to digital advertising, the company has changed the way we use the Internet in so many ways. The tech giant has also gotten so big it’s branched out into plenty of other...

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Screen of the Week | February 27, 2017

Screen of the Week | February 27, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, February 26, 2017. CHAIKIN SCREEN OF THE WEEK: Bearish Large Cap Energy Stocks This is a repeat of last week’s screen without the Money Flow and Relative Strength factors. 6 large-cap...

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Screen of the Week | February 20, 2017

Screen of the Week | February 20, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, January 19, 2017. CHAIKIN SCREEN OF THE WEEK: Bearish Oil Exploration & Production Stocks The Oil Exploration & Production Group has been weak, in spite of the strength of crude...

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What is a Stock Option?

What is a Stock Option?

What is a stock option? A stock option is most commonly defined as a contract that gives the option owner the right, but not the obligation, to buy or sell 100 shares of a specific stock at a pre-set price by a pre-set date.  I’m confident you are already familiar...

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Screen of the Week | February 13, 2017

Screen of the Week | February 13, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, February 12, 2017. CHAIKIN SCREEN OF THE WEEK: Bullish Stocks in the Health Care Sector The Health Care Sector has underperformed the market since the presidential election, as...

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Screen of the Week | February 6, 2017

Screen of the Week | February 6, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, February 6, 2017. CHAIKIN SCREEN OF THE WEEK: Bullish stocks in the Insurance group with analysts raising their earnings estimates The Financial Sector has significantly outperformed the...

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Screen of the Week | January 30, 2017

Screen of the Week | January 30, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, January 29, 2017. CHAIKIN SCREEN OF THE WEEK: Stocks with Strong Earnings Consistency and Low Projected Price/Earnings Ratios With the president focusing on everything but tax relief and...

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5 Famous Investors – And Their Investing Secrets

5 Famous Investors – And Their Investing Secrets

Famous investors are famous because they understand the market, they understand business, and they understand human behavior. Anyone invested in the market can learn a lot from these pros who’ve already mastered the craft. Here’s a roundup of 5 famous investors – and...

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Screen of the Week | January 24, 2017

Screen of the Week | January 24, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, January 22, 2017. CHAIKIN SCREEN OF THE WEEK: Oversold Stocks in Strong Industry Groups With earnings prospects still positive for Financial and Energy stocks, I screened for bullish...

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Screen of the Week | January 15, 2017

Screen of the Week | January 15, 2017

This excerpt was taken from Marc Chaikin's Market Insights newsletter on Sunday, January 15, 2017. CHAIKIN SCREEN OF THE WEEK: Large and Mid-Cap Drug and Biotech Stocks with Bullish Chaikin Power Gauge Ratings With the laggard Health Care Sector rebounding again last...

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