Today, Lorne Steinberg and Larry Berman CFA, CMT, CTA commented about whether KKR-N, ZBAL-T, RY-T, ZWU-T, JNJ-N, JPM-N, GOOG-Q, CLS-T, AMZN-Q, SHOP-T, RY-T, TSM-N, NVDA-Q, BONDS-T, T-T, BCE-T, MG-T, LNR-T, LVMUY-OTC, AAPL-Q, BYDDY-OTC, TPZ-T, SAP-N, OTEX-T, SBUX-Q, NKE-N, CPG-LON, CNQ-T, CAR.UN-T, LYV-N, CVE-T, BRK.B-N, FFH-T, NVO-N, TSLA-Q, TD-T, PHG-N, PRL-T are stocks to buy or sell.
If you want a fixed income allocation and that's why you bought them, then you should hold them because that's who you are.
If you have them and think there'd be a better opportunity, such as if the stock market really takes a massive beating further from here, that could be a source of cash to deploy into equities at much higher yields (even if the share price wanders around in the wilderness for a while).
His pick in the sector is TSM, which makes the chips for NVDA and the like. It's more diversified. Valuation is cheaper. Much clearer growth path going forward over next few years.
NVDA has fallen, but it's not a cheap stock. Factored into the share price is a huge growth expectation. Just because share price has fallen on a high flyer, that doesn't necessarily make it cheap.
His choice in the space. It makes the chips for NVDA and a whole slew of others. It's more diversified. Valuation is cheaper. Much clearer growth path going forward over next few years.
NVDA has fallen, but it's not a cheap stock. Factored into the share price is a huge growth expectation. Just because share price has fallen on a high flyer, that doesn't necessarily make it cheap.
At current share price, incredible value. Grows at over 10% per year. Search, Chrome, Maps, YouTube. Growth monster. R&D spend is almost $50B per year. Trades at 18x PE. Easily a double over next 5 years. Advertising is ~80% of the story, not going away anytime soon. Yield is 0.56%.
(Analysts’ price target is $215.93)Flagship US bank. Dimon has done a spectacular job. Pristine risk controls. Trading ~13x PE. Either #1 or #2 in all of its major businesses. Still growing and gaining market share. Core holding in any portfolio. Time is ripe to buy the best, you don't have to go down the food chain. Yield is 2.73%.
(Analysts’ price target is $266.16)After spinoff, now just pharma and medical technologies/devices. One of 2 AAA-rated US companies (the other is MSFT). Pristine balance sheet forever. Divvy increases for 62 consecutive years, all from free cashflow. Crazy-cheap valuation of 14-15x PE, partly due to ongoing talc litigation. Yield is 3.34%.
Recent press release was like none other. Company stated talc litigation based on fake science; if the other side won't settle, JNJ will litigate each and every case separately. He suspects this is a ploy to force a settlement. Expects it to be over by year's end.
Nobody likes these tariffs and bear market. He thinks that before Thursday when Congress steps away from its session, news from Congress or the White House a better path forward. Fingers crossed. If there's no resolution and Congress recesses, more volatility will happen. But volatility offers opportunity through lower prices, like Nvidia dipping below $90. It popped over $100 on rumours that the tariffs were on hold. You can nibble on names that are on sale now. He's cautious. Corrections always happen, so always have some dry powder. If you're worried by this sell-off, you don't have the right portfolio for your long-term goals.
Needs more details, but it sounds like the caller is hedging long exposure to his underlying bank stocks by owning put spreads (great). Depending on where the put strikes are, take your profit on the long end and expose your naked put to add to the position. Look at the price of volatility in the short run vs. what you will pay to roll those out to the back months. Needs more time to explain more. Don't sell calls here, not when the market is down.