Valuentum Exclusive Analysis for the Discerning Investor

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Aug 4, 2024

What to Do During This Market Selloff
In short, nothing.

Feb 29, 2024

3 Catalysts for Apple’s Stock
Image: Apple’s shares have done quite well since the beginning of 2023. We see three positive catalysts on the horizon for Apple. First, Apple is now shifting resources from its electric car endeavor to work on generative artificial intelligence [AI]. Though an Apple Car would have been a nice deliverable later this decade, we like the move, as it relates to future iterations of the iPhone, which will likely have varying levels of AI features. This should drive a meaningful upgrade cycle across its installed base of iPhones. Second, we think Apple’s Vision Pro is another revenue driver, and recent reports indicate that demand has been higher than expected. Third, we think the Apple Watch X, the next iteration of its wearables line-up that will likely have features to measure blood pressure adn detect sleep apnea, will also drive a lot of upgrades across its installed base, in our view.

Feb 25, 2024

We Remain Bullish; Is This 1995 – The Beginning of a Huge Stock Market Run?
Image: Large cap growth stocks have trounced the performance of the S&P 500, REITs, and bonds since the beginning of 2023. We expect continued outperformance in this area of the market. We’re now roughly four years past the depths of the COVID-19 meltdown, where equities collapsed in February and March of 2020. As the markets began to recover through 2020, our long-term conviction in equities only grew stronger. We think the biggest risk for long-term investors remains staying out of the market on the basis of what could be considered stretched valuation multiples. As we outlined heavily in the book Value Trap, valuation multiples hardly tell the complete story about a company and often omit key long-term earnings growth, cash flow dynamics, and balance sheet health considerations. We remain bullish on equities for the long haul, and we think the next couple years will be incredibly strong. Our best ideas can be found in the Best Ideas Newsletter portfolio, Dividend Growth Newsletter portfolio, High Yield Dividend Newsletter portfolio, ESG Newsletter portfolio, and via the Exclusive publication as well as options idea generation.

Jan 6, 2024

In the News: Apple, Nvidia, ANSYS
The first week of trading in the new year wasn't very welcome, but we think it is far too early to draw any conclusions about how the rest of the year will be. The Dow Jones Industrial Average, S&P 500, and NASDAQ faced selling pressure in the first week due in part to investors waiting until the new year to book the huge gains garnered during 2023. The market continues to digest critical employment data, as it watches movements in the 10-year Treasury closely, a key benchmark rate for asset pricing that now stands just north of 4%. Many bulls are saying 2024 may be a difficult year after the worst start in the S&P 500 for a new year since 2008, but we remain bullish on our positioning in the newsletter portfolios.

Dec 31, 2023

2023 Was a Fantastic Year! Are You Ready for 2024?
Image: The percentage of ideas highlighted in the Exclusive that have moved in the direction of our thesis (i.e. up for capital appreciation ideas and down for short idea considerations) through the current price or closed price, with consideration of cash and stock dividends. Success rates do not consider trading costs or tax implications. Data through December 8, 2023. Past results are not a guarantee of future performance.From fantastic success rates in the Exclusive publication and strong capital preservation tendencies in the simulated High Yield Dividend Newsletter portfolio to relative outperformance in both the Dividend Growth Newsletter portfolio and Best Ideas Newsletter portfolio the past two years, the Valuentum newsletter suite continues to deliver in a big way for what members are looking for. We thank you for another excellent year in 2023, and we hope that you have a happy, healthy, and prosperous 2024!

Dec 23, 2023

12 Reasons to Stay Aggressive in 2024
From outperforming simulated newsletter portfolios to fantastic success rates in the Exclusive publication to option ideas and great income-oriented ideas and beyond, we continue to deliver across our simulated newsletter suite as our latest video outlines. It’s hard to know exactly what 2024 will bring in terms of a market return, but the internals of the stock market and the U.S. economy look great to us. The new bull market we’re in could last for years, and as a result, we are staying aggressive with many of our new ideas as we look to benefit from these favorable trends.

Dec 16, 2023

ICYMI -- Video: Our Top Stocks for 2024
Valuentum's President of Investment Research Brian Nelson walks through the success of Valuentum's newsletter suite, the state of the economy and markets, and offers his favorite idea for each sector. Tune into this must-watch video.

Nov 27, 2023

How Do We Use the Valuentum Buying Index?
Image: We highlighted Exxon Mobil to start 2022, and the stock was one of the best performers in the S&P 500 last year. Exxon Mobil became a “Valuentum” stock last year, with shares being undervalued, exhibiting a strong technical breakout, and sporting an attractive dividend yield to boot. The stock became a huge winner. Note: Exxon is no longer included in the simulated newsletter portfolios. The image is an excerpt from an email sent to members January 5, 2022.We answer one of the most frequently asked questions about the Valuentum Buying Index.

Nov 27, 2023

Can Things Really Stay This Good?
"Large cap growth is booming. Small cap value is trailing. Dividend payers are stagnating. The markets are making a lot of sense again. But I do have my worries. When things are going this well, some market choppiness is probably in the cards. The S&P 500 is now bumping up against the high end of its downtrend, so the remainder of this year will likely see some increased volatility. On the back of Nvidia’s momentum and the great promise of artificial intelligence, however, I wonder if the first half of 2024 will be awesome followed by a very difficult back half of 2024 as some of my concerns finally catch up to the markets. But that just might be at the time the Fed starts cutting rates." -- Brian Nelson, CFA

Oct 30, 2023

The Dividend Growth Newsletter Portfolio’s Outperformance
Image: The Dividend Cushion ratio is one of the most powerful financial tools an income or dividend growth investor can use in conjunction with qualitative dividend analysis. The ratio is one-of-a-kind in that it is both free-cash-flow based and forward looking. Since its creation in 2012, the Dividend Cushion ratio has forewarned readers of approximately 50 dividend cuts. We estimate its efficacy at ~90%. Large cap growth names in the likes of Apple, Microsoft, Oracle, and Cisco form a solid foundation for continued dividend growth across the portfolio thanks in part to their fantastic Dividend Cushion ratios. Not only this, but we like the defensive characteristics of garbage hauler Republic Services and McDonald’s, and the tried-and-true dynamics of Home Depot, Honeywell and UnitedHealth, which can handle just about any economic environment that is thrown at them. Today, the 10-year Treasury rate stands at close to 5%, so while many dividend growth stocks don’t yield as much, we still like their cash-based sources of intrinsic value, as such dynamics offer substantial support to their equity prices, despite competing sources of income.