ORCL

Great Day in the Markets!

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Image: The Invesco QQQ Trust, an exchange-traded fund based on the NASDAQ 100 index, had a great day during the trading session October 12, as it leads all major indexes on the year.  — By Brian Nelson, CFA — First of all, a warm welcome to our new members. We recently posted a website overview video on our website here, and please be sure to view our stock report walk-through . At Valuentum, we’re financial publishers, so please be sure to read through how many members use our services here. — The trading session October 12 was a sight to see. The Dow Jones Industrial Average advanced 0.88%, the S&P 500 jumped 1.64%, while the NASDAQ powered ahead an incredible 2.56%. As many of our … Read more

Update on TikTok Saga

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Image Shown: Shares of Oracle Corporation, a holding in our Dividend Growth Newsletter portfolio, have performed well recently as excitement grows over the company’s improving long-term growth outlook. Oracle may soon become a strategic shareholder in the rising social media star TikTok, alongside Walmart Inc and various US-based venture capital firms. By Callum Turcan Some big news emerged this past weekend involving TikTok that we wanted to bring to our members attention. We covered this story in detail in late-August and mid-September, and encourage our members to check out those articles for additional background information. In brief, TikTok is currently owned by Beijing-based ByteDance, a company that has been accused of being an extension of China’s central government (meaning a … Read more

Oracle Appears to Be Front-Runner for TikTok’s US Assets, Though There Are Caveats

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Image Shown: Shares of Dividend Growth Newsletter holding Oracle Corporation jumped higher on September 14 as the tech giant is reportedly getting closer to acquiring TikTok’s operations in the US and potentially elsewhere, though there are a lot of unknowns at this point. By Callum Turcan Reportedly, Oracle Corporation (ORCL) has submitted a proposal to become the “trusted technology partner” of the popular yet controversial social media app TikTok, particularly at TikTok’s US operations (and possibility some other countries as well). TikTok is currently owned by Beijing-based ByteDance. We will likely know more about a potential deal sooner rather than later, though there are a lot of unknowns at this point as it does not appear Oracle’s proposal is a … Read more

Oracle’s Transformation Continues

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Image Shown: Shares of Dividend Growth Newsletter portfolio holding Oracle Corporation are on an upward trajectory after the tech giant reported that its strategic transition towards cloud-based offerings was going well during its latest earnings report. By Callum Turcan On September 10, Oracle Corporation (ORCL) reported first quarter fiscal 2021 earnings (period ended August 31, 2020) and we liked what we saw. In constant currency terms, the company’s ‘cloud services and license support’ and ‘cloud license and on-premise license’ segments reported year-over-year sales growth of 2% and 8%, respectively. We appreciate that Oracle’s cloud-oriented businesses are finally starting to gain some real traction in this lucrative and hypercompetitive market. Additionally, Oracle’s strong performance occurred in the face of the ongoing … Read more

Dividend Growth Selection in a Low Yield Environment

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Dear members: — John Burr Williams’ historical work The Theory of Investment Value, published in 1938, set the foundation for the widely known discounting mechanism inherent within equity valuation frameworks today. His text is often credited with the origins of the dividend discount model. Though Value Trap: Theory of Universal Valuation identifies enterprise valuation, or the discounted cash flow model (the free cash flow to the firm model, to be precise) as the causal driver of values and prices, the concepts are very similar. Stock values and prices are a function of future expectations. — Today, with highly accommodative Fed and Treasury policy, interest rates are ultra-low, and even yields on junk-rated debt have plummeted. For example, Ball Corp (BLL), a junk-rated credit (jargon … Read more

3 Lessons in Portfolio Management Over 10 Years

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Dear members: — We’re finally getting a pause in the rapid ascent of the markets on September 3rd. Though headlines may look scary and momentum/volatility investors could start to pile on to the downside, a modest retracement is actually a good thing. We continue to focus on the long haul with our processes, and we’re viewing the sell-off as profit taking, for the most part. — In the near term, the markets will also have to digest some speculators betting on mean reversion between “value” (cyclical) versus “growth” (secular), but we maintain the view that the value-versus-growth conversation is largely nonsense (see block quotes below), and mean reversion is something akin to the gamblers’ fallacy, in my humble opinion. Investors should also continue … Read more

Valuentum Website Overview

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Overview of the key features of valuentum.com/ (03:55). Valuentum (val∙u∙n∙tum) [val-yoo-en-tuh-m] Securities Inc. is an independent investment research publisher, offering premium equity reports, dividend reports, and ETF reports, as well as commentary across all sectors/companies, a Best Ideas Newsletter (spanning market caps, asset classes), a Dividend Growth Newsletter, modeling tools/products, and more. Independence and integrity remain our core, and we strive to be a champion of the investor. Valuentum is based in the Chicagoland area. Valuentum is not a money manager, broker, or financial advisor. Valuentum is a publisher of financial information. The Benefits of Premium Membership >> Subscribe Now!

TikTok Up for Grabs

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Image Shown: ByteDance may be forced to sell the US operations of TikTok, and there are plenty of potential suitors out there with deep pockets. By Callum Turcan On August 27, Walmart Inc (WMT) announced it was in discussions with Microsoft Corporation (MSFT) about acquiring the US operations of popular short-video-oriented social firm TikTok from Beijing-based ByteDance. Given that Microsoft noted back on August 2 it was continuing discussions concerning a potential deal for TikTok’s US, Australian, New Zealand and Canadian operations, it is likely Walmart would be interested in acquiring an economic interest in those assets as well. Here is what Walmart had to say in its brief statement (emphasis added): The way TikTok has integrated e-commerce and advertising … Read more

Latest Stock Report Updates

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—– — Valuentum members have access to our 16-page stock reports, Valuentum Buying Index ratings, Dividend Cushion ratios, fair value estimates and ranges, dividend reports and more. Not a member? Subscribe today. The first 14 days are free.

ALERT: Newsletter Portfolio Changes; Investing Is Simple, Not Easy

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Changes to the Newsletter portfolios Best Ideas Newsletter portfolio BRK.B: 8-13% à 3.5%-5% AAPL: 4.2%-6% à 6.5%-8% MSFT: 4.2%-6% à 6.5%-8% Dividend Growth Newsletter portfolio BKLN: 4.25%-6.5% à 0% KMI: 3.25%-4.25% à 0% LMT: 3.25%-4.5% à 6.25%-8.5% ORCL: 4.25%-6.5% à 6.25%-8.5% AAPL: 2.75%-4% à 3.25%-4.5% MSFT: 2.75%-4% à 6.25%-8.5% —– Hi everyone: Trust you are doing great. I wanted to let you know of a few newsletter portfolio changes we’re making today. In the Best Ideas Newsletter portfolio, we are reducing the position in Berkshire Hathaway (BRK.B) to the weighting range of 3.5%-5% from 8%-13%. Though we think Warren Buffett is getting back on track now that he has dumped the airlines and many of the banks, we no longer … Read more