MCD

2022 Showcased the Value of a Valuentum Membership

by

In bull markets, almost everyone is a winner. But 2022 was different. This year was a big test for Valuentum, and we passed with flying colors. We delivered across the board during the year from ideas in the Exclusive publication and the efficacy of the dividend growth methodology to the resilience of high yield ideas and simulated Best Ideas Newsletter portfolio relative performance–despite setbacks from Meta Platforms, PayPal, and beyond. Tune in to the latest video installment from Valuentum. Thanks for listening! Tickerized for holdings in the SPY. ——————————————— About Our Name But how, you will ask, does one decide what [stocks are] “attractive”? Most analysts feel they must choose between two approaches customarily thought to be in opposition: “value” … Read more

Market Whipsaw: Crypto Collapse and a Lower-than-Expected Inflation Print

by

Image: Uncertainty in the cryptocurrency markets has surged with concerns over the liquidity of a key exchange. Investors are weighing the spillover effects of crypto with the view that the pace of inflation may have peaked. — By Brian Nelson, CFA — The U.S. equity market continues to be highly volatile as it whipsaws between concerns over the health and sustainability of cryptocurrency and optimism over lower-than-feared inflation readings. We maintain our bearish/defensive stance on equities, but at the same time, we continue to be “fully-invested” across the simulated newsletter portfolios in part because we don’t want to miss out on days like today, November 10, when the markets are soaring ~2.5%-5.5% depending on which index you are monitoring. We’re also … Read more

Berkshire Continues to Be a Staple in the Best Ideas Newsletter Portfolio

by

Image Source: Fortune Live Media Warren Buffett has made some missteps over the years. For every Occidental Petroleum, there is a Kraft Heinz that hasn’t worked out. For every Apple, there is an IBM that has failed to live up to expectations. We hope our readers view our work in a holistic way, much like they view Buffett’s. By Brian Nelson, CFA On November 5, Berkshire Hathaway (BRK.A) (BRK.B), the conglomerate run by Warren Buffett and company, reported third-quarter results. Berkshire’s quarterly reports are always rather muddy, as GAAP presentation requires the company to report unrealized gains/losses on its stock investments as investment gains/losses in net earnings (losses). Such accounting doesn’t tell the whole story as most of Berkshire’s equity … Read more

Something New!

by

Hi everyone: To stay true to our mission, you’ll find something new regarding our methodology. In the coming weeks, you’ll see this table in our work going forward. We just wanted to let you know. We appreciate your membership very much!   ——————————————— About Our Name But how, you will ask, does one decide what [stocks are] “attractive”? Most analysts feel they must choose between two approaches customarily thought to be in opposition: “value” and “growth,”…We view that as fuzzy thinking…Growth is always a component of value [and] the very term “value investing” is redundant.                          — Warren Buffett, Berkshire Hathaway annual report, 1992 At Valuentum, we take Buffett’s thoughts one step further. We think the best opportunities arise from an understanding of … Read more

McDonald’s, Chipotle’s Third-Quarter Results Were Solid, Strong Comp Performance

by

Image Source: Valuentum By Brian Nelson, CFA On a day where a high-profile stock such as Meta Platforms (META) is down more than 20%, it’s difficult to focus on the positives. But we are – we recently replaced Meta Platforms with McDonald’s (MCD) in the simulated Best Ideas Newsletter portfolio, and we’re not looking back. McDonald’s is popping nearly 4% during the trading session October 27, and we continue to point to the high end of the fair value estimate range for shares as a reasonable intermediate term target ($300 per share). We’ve been quite concerned about the macro environment during the past several months as inflation changed from a positive catalyst to business pricing and strong equity returns in … Read more

Announcing Valuentum’s Customer Appreciation Day Winners!

by

In no particular order — the five winners… As a Chief Investment Strategist that oversees a significant amount of assets, it is vital to have unbiased research that we can lean on for decision making. Brian and the Valuentum team help provide a disciplined and fundamental approach to stock analysis without the typical Wall Street bias or conflicts of interest. The value we get on a monthly basis for having this detailed thought analysis and wise long-term thinking greatly outweighs the cost. We are very happy to have them on our short list of management we trust.  – Stephen H. (October 2022) —– I’d like you to know what my takeaways are from your research: 1) Be wary of capital … Read more

New Payment Option! Valuentum Research Update!

by

Hi everyone: — We’re excited to say that we’re adding additional payment flexibility at Valuentum. — Many members have expressed interest in paying via other providers, and we have added Square to the mix. You can use credit or debit card or bank (ACH) to pay via invoice. — With all of the goings-on in the financial technology and payments space, we wanted to continue to provide members options to pay their memberships how they want and through who they want. You can always reach out to us at info@valuentum.com. — You’ll notice that we’ve also tightened our focus at Valuentum during the past 12-24 months in advance of what has certainly become a more difficult 2022 than even some … Read more

BIN Portfolio ALERT: Removing META, Adding to XLE, Adding MCD and PEP

by

Image Source: Valuentum Summary Removed META Added to XLE: now 4%-6%, was 1%-2% Added MCD: 4%-6% Added PEP: 4%-6% By Brian Nelson, CFA As long-term investors, the hardest part is knowing when to get back into the market with “recently-raised” cash. We’ve done a good job year-to-date through the last “performance” measurement in August. [We’ll continue to update members periodically on simulated newsletter performance across all newsletter portfolios.] But with the markets being punished since August 19, when we “raised” cash, we’re going to go back to “fully invested.” Let’s explain what this means. First, we’re still bearish on the broader markets. We’ve carved out some “alpha” we would have missed had we not captured the latest downdraft, and we … Read more

Dividend Increases/Decreases for the Week of October 14

by

Below we provide a list of firms that raised their dividends during the week ending October 14. 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                A.O. Smith (AOS): now $0.30 per share quarterly dividend, was $0.28. Agree Realty (ADC): now $0.24 per share monthly dividend, was $0.23. Albertsons Companies (ACI): now $6.85 per share special dividend, was $0.12. Avient (AVNT): now $0.2475 per share quarterly dividend, was $0.2375. BioSyent (RX:CA): now CAD 0.04 per share quarterly dividend. Cardinal Energy Ltd. (CJ:CA): now CAD 0.06 per share monthly dividend, was CAD … Read more

Recent Fair Value Estimate Updates

by

Image Source: Valuentum By Brian Nelson, CFA  Our work is always forward-looking in nature, consistent with the markets, which drive pricing and valuation on the basis of future expectations. 2022 has no doubt been a difficult year for many an investor across asset classes, not just equities. Perhaps the biggest insight provided by the Valuentum analyst team for this year came in the second edition of the book Value Trap, “Renowned Investor Brian Nelson Publishes Second Edition of Best Indie Book Award Winner Value Trap: Theory of Universal Valuation,” but such an insight has often been reiterated on our website and through the newsletters, too. To put it bluntly: We became significantly worried about the diversification benefits of the 60/40 stock/bond … Read more