Apple needs no introduction. It is the biggest, most profitable company in the world and the top holding in Warren Buffett’s Berkshire Hathaway portfolio. And indeed, breaking sales and earnings records quarter after quarter at such a huge scale means Apple really is a great business. But after reaching an all-time high of $145.09 on…
Time to Play It Safe in Goldman Sachs Stock
Goldman Sachs is trading at record highs around $330 a share. Increased market volatility helped the bank’s trading division save the day in 2020. Unlike most of its main competitors, GS actually earned a higher profit last year compared to 2019. During the coronavirus selloff, Goldman Sachs stock dipped below $131 a share. Investors who…
HZNP Stock Blows Past All Expectations. Now What?
We first covered Horizon Therapeutics, then Horizon Pharma, in September 2016. The stock was trading around $18 a share after a decline from the vicinity of $40. However, we didn’t think it was time to buy. The structure of the preceding rally ending in mid-2015 was impulsive and we thought the bears were not done…
AZPN Stock Too Expensive for Its Own Good
Exceptional margins and returns on assets and equity make the surge in Aspen Technology shares easy to understand. AZPN stock exceeded $162 a share last week, up 122% from last year’s low at $73. On the other hand, the software company is expected to earn $5 a share in this fiscal year. This means the…
Amerco Stock Carries Very High Risks Above $500
Amerco is a $10B moving and storage operations and insurance provider. The company is founded in 1945 and went public in the mid-1990s. The stock trades under the symbol UHAL and is currently hovering at all-time highs above $500 a share. The recovery from March 2020 was especially rewarding with Amerco stock rising 125% in…
Anthem Stock Completes a Pattern it Started in 2001
With a market cap of $72B and 2020 sales of $122B, Anthem Inc. is one of the largest life, hospital and medical insurance providers in the U.S. The company went public in October 2001 and is one of not too many firms never to trade below its IPO price. Nearly twenty years ago, the stock…
AJG Stock to Lose Half as Post-2009 Uptrend Ends
The pandemic disruptions hardly put a dent in Arthur J. Gallagher’s business. Despite slightly lower revenues, one of the largest insurance brokers in the world achieved its highest profit ever in 2020. As a result, AJG stock climbed to a new all-time high of $129 in December. Currently hovering around $116, the stock still looks…
S&P Global Can Disappoint in Next Couple of Years
In July last year we wrote an Elliott Wave analysis highlighting the possibility of a notable 40%+ correction in Moody’s stock. Seven months later now, the share price is little changed and the negative outlook remains valid. Today, we are going to examine Moody’s major rival – S&P Global Inc. S&P Global is a ratings…
SBAC Stock to Reach New High Before Bears Show Up
SBA Communications is a real estate investment trust, providing wireless communications infrastructure to companies like Verizon and AT&T. SBAC went public in mid-1999, only to participate in the final months of the dot-com bubble before it all came crashing down. The stock exceeded $57 a share in the summer of 2000. By late-2002, it could…
McDonalds Investors Underestimate the Risks
After sharing our view on Coca-Cola last week, today we’re going to examine another American icon. McDonalds navigated the pandemic quite well. Sales and profits have been on the rise in the second half of 2020 and the outlook for 2021 is bright. The stock market rewarded MCD investors accordingly. Shares reached a new record…
Coca Cola Setup Can Take the Stock Much Lower
Coca Cola needs no introduction. According to Forbes, excluding the top 5 big tech in the U.S., the beverage company has the most valuable brand in the world. Fame and recognition, however, don’t make a company immune to market declines. In roughly a month during the 2020 COVID crash, Coca Cola stock fell from ~$60…
Shopify is One of Many Bubble Stocks Out There
It is becoming pretty clear that a speculative bubble is inflating right now. Money-losing companies with market caps in the tens and even hundreds of billions of dollars have become the norm, not the exception. People, who have been in the market for just a couple of months are bragging online about the phenomenal returns…
Undervalued Bristol Myers Stock Can Still Get Cheaper
It’s been almost two years since we shared our bullish stance on Bristol Myers stock. Shares in the pharmaceutical major were changing hands for less than $46 in April, 2019. The company had just announced its planned acquisition of Celgene for about $74 billion and Wall Street apparently didn’t like the risks involved. However, the…
DraftKings on the Verge of Another 40% Decline
It’s been almost three and a half months since we examined DraftKings stock in October, 2020. The share price was hovering near $57 after a strong run from $10.60 to over $64 in just several months. The regulatory environment in the U.S. seemed to be warming up and many analysts hurried to issue their BUY…
AMN Healthcare Stock to Suffer a 2020-Like Drop
AMN Healthcare Services provides workforce and staffing solutions to healthcare facilities in the U.S. The company is relatively small with a market capitalization of less than $4 billion. However, small companies can make for excellent returns if one happens to identify the winners. And indeed, between late-2011 and early-2020, AMN stock from under $4 to…
