Public Storage and Philip Morris Are Stellar High-Yielding Opportunities
June 9, 2021
Image Shown: Shares of Public Storage (depicted by the orange line) and Philip Morris International Inc (depicted by the blue line) have outperformed the S&P 500 (depicted by the yellow line) year-to-date as of midday trading on June 9, before taking dividend considerations into account. We continue to be huge fans of Public Storage and Philip Morris and include both firms as ideas in our High Yield Dividend Newsletter portfolio. By Callum Turcan Public Storage (PSA), the self-storage real estate investment trust (‘REIT’) primarily focused on the US, and Philip Morris International Inc (PM), the global tobacco giant behind the Marlboro brand and the IQOS offering, are two of our favorite high-yielding ideas. As one can see in the graphic
News Round Up and Some Answers
June 8, 2021
Image Shown: Wendy’s is the latest stock to be swept away by the meme-stock craze, providing further evidence that 1) markets are inefficient and 2) prices and returns are based on future expectations that may be realized or not. By Brian Nelson, CFA Hope you all are doing great. We saw a nice breakout of Facebook’s (FB) share price yesterday, June 7, and we continue to be fans of the social media giant. We view our long-term assumptions as quite reasonable and peg a fair value estimate of $413 per share for this innovative behemoth. There is considerable upside potential as Facebook continues to monetize its massive user base and pursues new initiatives including e-commerce (Shops) and dating (Dating) and
Favorite Miner Newmont Shines Bright
June 7, 2021
Image Source: Newmont Corporation – June 2021 IR Presentation By Callum Turcan On January 13, 2020, we added shares of Newmont Corporation (NEM) as an idea to the Dividend Growth Newsletter portfolio (link here). The gold miner has a top-notch asset base located in favorable mining jurisdictions with ample reserves to maintain and potentially grow its production base over the coming years. Other than gold, Newmont also produces silver, lead, copper, and zinc. Newmont Shines Bright as Stellar Income Growth Idea When Newmont joined the Dividend Growth Newsletter portfolio its quarterly dividend stood at $0.14 per share, though management had communicated on January 6, 2020, that Newmont was set to increase its quarterly payout up to $0.25 per share starting
Best Idea Vertex Pharma Continues to Impress
June 4, 2021
Image Shown: We are big fans of Vertex Pharmaceuticals Inc and include shares of VRTX as an idea in our Best Ideas Newsletter portfolio. The biotech firm posted a solid first quarter 2021 earnings report in late-April. Image Source: Vertex Pharmaceuticals Inc – First Quarter of 2021 Earnings IR Presentation By Callum Turcan On April 29, Vertex Pharmaceuticals Inc (VRTX) reported first quarter 2021 earnings that beat both consensus top- and bottom-line estimates. Its GAAP revenues popped higher by 14% year-over-year as sales of its TRIKAFTA/KAFTRIO therapeutic offerings (TRIKAFTA is the US brand name, KAFTRIO is the European brand name) which treat cystic fibrosis (‘CF’) grew by 33% year-over-year. Economies of scale and revenue growth enabled Vertex Pharma to grow
Dividend Increases/Decreases for the Week June 4
June 4, 2021
Below we provide a list of firms that raised their dividends during the week ending June 4. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Alexandria Real Estate Equities (ARE): now $1.12 per share quarterly dividend, was $1.09. American Eagle Outfitters (AEO): now $0.18 per share quarterly dividend, was $0.14. Eastern Bankshares (EBC): now $0.08 per share quarterly dividend, was $0.06. Essential Properties (EPRT): now $0.25 per share quarterly dividend, was $0.24. Federal Agricultural Mortgage Corporation PFD C FIX TO FLT (AGM.PC): now $0.375 per share quarterly dividend. First Savings Financial
How to Navigate the Low Return Environment
June 3, 2021
Image Shown: Investors continue to gamble on meme stocks and cryptocurrencies. Image Source: QuoteInspector.com. Modern Finance Is Dead, Long Live Value Trap By Brian Nelson, CFA At Valuentum, we don’t believe in many of the quantitative theories out there. We like to operate within the stock component of market returns, as this has historically been the strongest place to focus one’s efforts. We don’t think it makes sense to add “bad” assets to a portfolio just for the sake of diversification. Can you imagine adding pipeline MLPs to your portfolio in June 2015? If we can find great ideas within the stronger relatively performing stock market, we think we’ll be far better off than any stock/bond mix that one may choose.
ICYMI — Video: Exclusive 2020 — Furthering the Financial Discipline
June 1, 2021
ICYMI — Video: Exclusive 2020 — Furthering the Financial Discipline — — In this 40+ minute video jam-packed with must-watch content, Valuentum’s President Brian Nelson talks about the Theory of Universal Valuation and how his work is furthering the financial discipline. Learn the pitfalls of factor investing and modern portfolio theory and how the efficient markets hypothesis holds little substance in the wake of COVID-19. He’ll talk about which companies Valuentum likes and why, and which areas he’s avoiding. This and more in Valuentum’s 2020 Exclusive conference call. Note: This video was originally published August 2, 2020. To watch the video >> The Theory of Universal Valuation —– Valuentum members have access to our 16-page stock reports,
Best Idea Dollar General Beats Estimates and Raises Guidance
May 28, 2021
Image Source: Dollar General Corporation – Fiscal 2020 Annual Report By Callum Turcan On May 27, Dollar General Corporation (DG) reported first-quarter earnings for fiscal 2021 (period ended April 30, 2021) that smashed past consensus top- and bottom-line estimates. The company raised its full year guidance for fiscal 2021 in conjunction with its latest earnings report. We continue to be big fans of Dollar General and include shares of DG as an idea in the Best Ideas Newsletter portfolio. Dollar General is a discount retailer that is focused on catering to small cities and towns in the US with populations of 20,000 or less. These are regions where e-commerce operations with a home delivery component have historically had a difficult time meeting
Nvidia Growing at a Brisk Pace Amid Chip Shortage
May 28, 2021
Image Source: Nvidia Corporation – GTC Spring 2021 Investor Day Presentation By Callum Turcan On May 26, Nvidia Corporation (NVDA) reported first quarter earnings for fiscal 2022 (period ended May 2, 2021) that beat both consensus top- and bottom-line estimates. Demand for Nvidia’s chips used in data center and gaming offerings remains robust. Looking ahead, Nvidia provided guidance for the fiscal second quarter during its latest earnings update that indicated its strong performance was expected to continue. Earnings Update Revenue from Nvidia’s ‘Gaming’ business operating segment was up 106% year-over-year and 11% sequentially last fiscal quarter as demand for laptops and desktops remained strong. The work-from-home trend became a big part of the weekly routine for many households in the
Dick’s Sporting Goods Soars, Reports Record First-Quarter Sales, Highest-Ever Quarterly Earnings!
May 27, 2021
Image Shown: Dick’s Sporting Goods’ stock price soared following the release of its first-quarter fiscal 2021 earnings report and robust guidance for the remainder of the year. We added the sporting goods retailer to the Dividend Growth Newsletter portfolio last November, and we continue to like shares. By Brian Nelson, CFA On Wednesday, May 26, Dick’s Sporting Goods (DKS) released a stellar fiscal first-quarter earnings report for the period ending May 1, 2021, that showed its omni-channel sales strategy is paying off as the U.S. economy continues its robust recovery. We added Dick’s Sporting Goods to the Dividend Growth Newsletter portfolio in November of last year, and its dividend growth prospects remain as strong as ever. In March of this year,
