Sometimes all we really need is a trendline to identify what to do with a stock.  One look at the chart of digital telecommunications product maker Qualcomm (Nasdaq: QCOM) tells us that the company has had a rough go for quite some time. And since trends tend to persist, this suggests continuing problems ahead. Recent challenges include the still relatively strong U.S. dollar, issues with several licensees in China “improperly withholding” royalties on Qualcomm’s patents, and bribery charges brought by the SEC. But that has not discouraged fundamental analysts who point to the company’s supposedly healthy free cash… Read More

Sometimes all we really need is a trendline to identify what to do with a stock.  One look at the chart of digital telecommunications product maker Qualcomm (Nasdaq: QCOM) tells us that the company has had a rough go for quite some time. And since trends tend to persist, this suggests continuing problems ahead. Recent challenges include the still relatively strong U.S. dollar, issues with several licensees in China “improperly withholding” royalties on Qualcomm’s patents, and bribery charges brought by the SEC. But that has not discouraged fundamental analysts who point to the company’s supposedly healthy free cash flow and its track record of raising dividends, with the most recent hike — a 10% increase — coming earlier this month. #-ad_banner-# I might add that the company’s recent addition to a fledgling wearable technology index, WEARXT, is another good sign. But then why is the trend still so doggone negative?  In the battle between analyst and the market, I’ll take the market every time. Note: Right now, there are thousands of deposits being put down on QCOM by bullish speculators, hedge funds and even some average investors, all of whom are waiting for their orders to be filled. Read More

Imagine Stephen King’s “Trucks” meets “Short Circuit”… But hopefully with a lot less blood and a bit more reliability. That’s what’s happening on the M6 motorway, the UK’s longest and busiest motorway, dubbed the “Backbone of Britain,” later this year. The UK Chamber of Commerce estimates that £1.7 million-worth of goods and commerce flow down the M6 every hour. #-ad_banner-#But automated “platoons” of semi trucks could push that figure much higher, while cutting costs significantly. Here’s how it works. The lead truck will be driven by a person, while a convoy of nine other semis will be piloted autonomously, each… Read More

Imagine Stephen King’s “Trucks” meets “Short Circuit”… But hopefully with a lot less blood and a bit more reliability. That’s what’s happening on the M6 motorway, the UK’s longest and busiest motorway, dubbed the “Backbone of Britain,” later this year. The UK Chamber of Commerce estimates that £1.7 million-worth of goods and commerce flow down the M6 every hour. #-ad_banner-#But automated “platoons” of semi trucks could push that figure much higher, while cutting costs significantly. Here’s how it works. The lead truck will be driven by a person, while a convoy of nine other semis will be piloted autonomously, each following the lead truck, drafting in the slipstream, and saving as much as 15% in fuel consumption. Daimler AG (XETRA: DAI) is already testing automated tractor trailers in Germany, and its vehicles will likely be used in the UK program and on U.S. roads. Indeed, its Freightliner Inspiration Truck is the first — and only — truck of its kind to be granted a license for road use in the United States. The Inspiration is chock full of radar, sensors, cameras and other equipment that control speed, distance from other vehicles and lane position. It can sense traffic and road… Read More

Have you ever wondered why the United States is so different from any other country, or why so many of the products used around the world were invented here? Go anywhere on earth, and you’ll see people using smartphones. Where did the smartphone originally come from? America. It was originally developed by IBM in Florida. #-ad_banner-#Likewise, you’ll find Internet access everywhere, which was also invented in the United States. In fact, go to any large city in the developed world, and you can watch a Hollywood movie, hear American music and find a Starbucks. Call it American ingenuity, but the… Read More

Have you ever wondered why the United States is so different from any other country, or why so many of the products used around the world were invented here? Go anywhere on earth, and you’ll see people using smartphones. Where did the smartphone originally come from? America. It was originally developed by IBM in Florida. #-ad_banner-#Likewise, you’ll find Internet access everywhere, which was also invented in the United States. In fact, go to any large city in the developed world, and you can watch a Hollywood movie, hear American music and find a Starbucks. Call it American ingenuity, but the things we come up with are inevitably sought after by people in nearly every corner of the world. Even where the governments don’t like us — like in Russia and Iran. This has gone on throughout history. The list is endless: the cotton gin, the telegraph, the telephone, the light bulb, the airplane. You get the picture. I’m not saying this to be patriotic. I say it to remind you that we have something unique in this country that’s helped us out of every economic mess we’ve found ourselves in. In fact, nearly every time our economy has looked down… Read More

You wouldn’t know it from the headlines about obesity, but Americans spend a lot of time and money on fitness — and that spending is rising every year. The aging of America, which eventually could be a drag on the fitness segment as the Baby Boom population gets extremely old, is still a net positive: doctors increasingly insist that seniors stay active, driving demand for athletic shoes and apparel from folks well into their 70s. Spending on athletic and sports clothing rose about 13% from 2009 through 2014, for example — and faster-growing segments, such as women’s activewear, are booming. Read More

You wouldn’t know it from the headlines about obesity, but Americans spend a lot of time and money on fitness — and that spending is rising every year. The aging of America, which eventually could be a drag on the fitness segment as the Baby Boom population gets extremely old, is still a net positive: doctors increasingly insist that seniors stay active, driving demand for athletic shoes and apparel from folks well into their 70s. Spending on athletic and sports clothing rose about 13% from 2009 through 2014, for example — and faster-growing segments, such as women’s activewear, are booming. Here are two ways to play the trend: #-ad_banner-#​Foot Locker (NYSE: FL) is the world’s largest athletic-shoe retailer, with more than 3,400 stores in 23 countries as well as a robust online-retail business. In addition to its flagship brands (Foot Locker, Lady Foot Locker and Kids Foot Locker), Foot Locker operates under the Champs Sports, Footaction, SIX: 02, Runners Point, Sidestep and Eastbay brands. What’s remarkable about Foot Locker is that it’s growing so rapidly, 42 years after its founding. Sales are growing at 5% to 7% annual rate, thanks to annual increases in sales per square foot (a key… Read More

The rebound in U.S. stocks is being mirrored abroad, as global indices bounce back from sharp losses most of them endured in the early weeks of the year. Energy prices also are enjoying a resurgence. So the bargain stocks we picked up while they were down are already generating solid returns. But as the market continues to rally, it will be more important to continue to be selective when buying stocks. Valuations for shares of quality companies will rise beyond reasonable levels, and higher-valuation stocks are vulnerable to selloffs if sentiment again turns south. #-ad_banner-#One way to protect your portfolio… Read More

The rebound in U.S. stocks is being mirrored abroad, as global indices bounce back from sharp losses most of them endured in the early weeks of the year. Energy prices also are enjoying a resurgence. So the bargain stocks we picked up while they were down are already generating solid returns. But as the market continues to rally, it will be more important to continue to be selective when buying stocks. Valuations for shares of quality companies will rise beyond reasonable levels, and higher-valuation stocks are vulnerable to selloffs if sentiment again turns south. #-ad_banner-#One way to protect your portfolio while generating income is to look to stocks with above-average dividend yields. Income stocks are insulated somewhat from selloffs because as their share prices fall, their yields rise — creating a higher share-price floor as income investors move in. And with fears of a global economic slowdown still prevalent, few observers think the nightmare scenario for high-yielding stocks — a sharp rise in short-term interest rates — will come to pass in 2016. When looking at stocks with above-average yields, remember that the yield alone isn’t the only criterion. We also need to ask how safe the yield is, by… Read More

One of the most explosive formations in technical analysis is called the “flag.” The pattern consists of a nearly straight-up price advance followed by a consolidation, which usually takes the form of a pennant or small rectangle. #-ad_banner-#Technical analysis holds that a stock typically leaves a consolidation formation in the same direction as it enters. Since the flag begins with an explosive move higher, the odds of shares breaking out to the upside are high.  That’s particularly true when the underlying company has a robust fundamental outlook, like today’s trade, Domino’s Pizza (NYSE: DPZ).  In late February, Domino’s… Read More

One of the most explosive formations in technical analysis is called the “flag.” The pattern consists of a nearly straight-up price advance followed by a consolidation, which usually takes the form of a pennant or small rectangle. #-ad_banner-#Technical analysis holds that a stock typically leaves a consolidation formation in the same direction as it enters. Since the flag begins with an explosive move higher, the odds of shares breaking out to the upside are high.  That’s particularly true when the underlying company has a robust fundamental outlook, like today’s trade, Domino’s Pizza (NYSE: DPZ).  In late February, Domino’s reported stellar fourth-quarter results. Revenue increased 15% to $741.2 million, fueled by an 11% increase in domestic same-store sales. That translated to earnings of $1.15 per share, which beat Wall Street’s consensus by $0.05. Shares responded by jumping 13% in one day (the flagpole) and then consolidating in a narrow rectangle (the flag). We’ll dig deeper into the chart in a moment. But first, let’s explore three fundamental factors that support our bullish view of the stock. 1. An Innovative, Tech-Savvy Company Domino’s focus may be on making pizza, but it’s not sleeping on the tech front. The company is… Read More

Tax season is in full swing, and the tax filing deadline just a little more than a month away.  Although it’s rather annoying for taxpayers, the beauty of the tax business is that taxes must be filed every year regardless of how the economy is doing. This makes the companies preparing tax returns and selling tax software steady businesses.  #-ad_banner-#Plus, with the U.S. economy strengthening there has been a steady rise in employment, which is increasing demand for tax-related companies.  But the industry has become more aggressive when it comes to attracting customers. The winners will be those that can… Read More

Tax season is in full swing, and the tax filing deadline just a little more than a month away.  Although it’s rather annoying for taxpayers, the beauty of the tax business is that taxes must be filed every year regardless of how the economy is doing. This makes the companies preparing tax returns and selling tax software steady businesses.  #-ad_banner-#Plus, with the U.S. economy strengthening there has been a steady rise in employment, which is increasing demand for tax-related companies.  But the industry has become more aggressive when it comes to attracting customers. The winners will be those that can offer the most value to customers, while keeping things relatively cheap and easy. With that, there are a number of ways to use your portfolio to play tax season this year.  The DIY Play Intuit (Nasdaq: INTU), parent company of TurboTax, is a big bet that people will continue to gravitate toward the do-it-yourself tax prep model.  The latest data from the Internal Revenue Service shows that self-prepared e-filings are up 3% so far in 2016. But TurboTax is seeing even bigger gains, with 9% growth in e-filings from this time last year. This means that TurboTax is stealing… Read More

I’m often amazed at how short-sighted the pundits on Wall Street can be. Present them with nearly a century’s worth of facts and they still refuse to believe what’s right in front of their faces.  #-ad_banner-#Specifically, I’m talking about the power of relative-strength investing. Longtime readers might already be familiar with relative-strength investing. We’ve talked about it before in previous StreetAuthority Daily issues. But for those who need a refresher, allow me to provide a brief recap. If used correctly, this strategy could be the very thing that helps you land your next 100%-plus return.  I find it funny that… Read More

I’m often amazed at how short-sighted the pundits on Wall Street can be. Present them with nearly a century’s worth of facts and they still refuse to believe what’s right in front of their faces.  #-ad_banner-#Specifically, I’m talking about the power of relative-strength investing. Longtime readers might already be familiar with relative-strength investing. We’ve talked about it before in previous StreetAuthority Daily issues. But for those who need a refresher, allow me to provide a brief recap. If used correctly, this strategy could be the very thing that helps you land your next 100%-plus return.  I find it funny that when it comes to purchasing material items, people always seem to go with the latest craze or the hottest new products — yet the same can’t be said for buying and selling stocks. The notion of buying the best-selling new gadget, clothes or automobile seems like common sense to consumers. But here’s the ironic part, if you take this same concept and bring it into the investing world, many on Wall Street will simply scoff at you. Most have long considered the idea of buying the best performing stocks as “thoughtless” or “foolish.”… Read More

Last week, I examined mid-cap stocks and talked about why they’re a happy hunting ground for investors today. To summarize, investors have poured money back into U.S. stocks after the January swoon, as economic indicators are confirming that the U.S. economy remains on a growth path, with positive trends for employment and consumer spending, with low inflation and interest rates. It’s true that the global economic picture looks precarious, so we can’t be complacent about risk. But companies that generate all or most of their revenue in North America should be fine over the next few quarters. #-ad_banner-#In this environment, midsized… Read More

Last week, I examined mid-cap stocks and talked about why they’re a happy hunting ground for investors today. To summarize, investors have poured money back into U.S. stocks after the January swoon, as economic indicators are confirming that the U.S. economy remains on a growth path, with positive trends for employment and consumer spending, with low inflation and interest rates. It’s true that the global economic picture looks precarious, so we can’t be complacent about risk. But companies that generate all or most of their revenue in North America should be fine over the next few quarters. #-ad_banner-#In this environment, midsized companies stand a good chance to outperform expectations. The largest companies are safe havens in time of uncertainty, and many continue to look attractive. But as fears of a U.S. recession abate, the mid-cap sector could outperform — especially when it comes to attractively valued shares of companies catering to consumers. I told you about one such company earlier this week. Here are two more attractive targets in the mid-cap field: Lamar Advertising (Nasdaq: LAMR) specializes in outdoor advertising. If that phrase evokes billboards, you’re right — but Lamar, though more than a century old, is a leader in 21st… Read More