Everywhere you look there seems to be malaise about global economic growth and the outlook for markets. Forecasts for economic growth are continuously downgraded, and more than a third of global bonds carry a negative yield as investors rush to safety. However, digging deeper in the data uncovers a market disconnect between this wall of worry and a booming global payments processing industry.  #-ad_banner-#Visa Inc. (NYSE: V) beat expectations to report a 10% increase in global payment volume and a “remarkably steadfast consumer in the face of significant global instability.”  Here in my office in Colombia, I’m watching the shift… Read More

Everywhere you look there seems to be malaise about global economic growth and the outlook for markets. Forecasts for economic growth are continuously downgraded, and more than a third of global bonds carry a negative yield as investors rush to safety. However, digging deeper in the data uncovers a market disconnect between this wall of worry and a booming global payments processing industry.  #-ad_banner-#Visa Inc. (NYSE: V) beat expectations to report a 10% increase in global payment volume and a “remarkably steadfast consumer in the face of significant global instability.”  Here in my office in Colombia, I’m watching the shift to a cashless society happen first hand as people get tired of carrying large stacks of bills and instead opt for credit and debit cards. This shift in emerging markets could carry global payment growth, with Boston Consulting Group (BCG) forecasting as much as $900 billion in transaction-based revenue growth up for grabs through 2024. One market leader is taking advantage of the Brexit shakeup to snap up a competitor at a 12% discount, expanding its global footprint. Even better, its board just authorized a massive share buyback, and earnings this year could be well over expectations. Consumers Seem Unaffected… Read More

With the market hitting new highs recently, investors should be weary of small-cap stocks. That’s because when the market inevitably turns, it’s usually smaller stocks that lead the charge in either direction. #-ad_banner-#But while investors should be cautious about small-cap stocks in general, my colleague Andy Obermueller has identified one that could be an exception. Back in August of last year, Andy highlighted a little-known company called Amplify (NYSE: BETR), an Austin, Texas-based snack food company. Amplify’s best-selling product is Skinny Pop, a healthy form of popcorn. But it also makes a host of other health-conscious foods for consumers. When… Read More

With the market hitting new highs recently, investors should be weary of small-cap stocks. That’s because when the market inevitably turns, it’s usually smaller stocks that lead the charge in either direction. #-ad_banner-#But while investors should be cautious about small-cap stocks in general, my colleague Andy Obermueller has identified one that could be an exception. Back in August of last year, Andy highlighted a little-known company called Amplify (NYSE: BETR), an Austin, Texas-based snack food company. Amplify’s best-selling product is Skinny Pop, a healthy form of popcorn. But it also makes a host of other health-conscious foods for consumers. When Andy originally wrote about Amplify, he issued an immediate “buy” recommendation on the stock, which had recently gone public. Andy recently confessed to his Game-Changing Stocks readers that his timing was perhaps a little bit off, but anyone who followed his recommendation is still sitting on a nice gain:       “Looking back, I can see — and feel obligated to confess — that I made an error in my timing. As with many IPOs, the market created future entry points far more attractive than the pricing available at the time of my recommendation. I erred further in failing… Read More

When discussing consumerism from a socio-economic standpoint, the term “upward mobility” is always used. When consumers move up in economic class, money moves with them. I’ve discussed the rise of the emerging market middle class in previous articles. One product/service that had trouble gaining traction among the new middle class is consumer banking. Financial institutions like Citigroup (NYSE: C) and JP Morgan Chase (NYSE: JPM) have established large institutional footprints in emerging markets in corporate banking, as well wealth management services for the emerging market rich. #-ad_banner-#However, unlike in the United States where there is a brick and mortar bank… Read More

When discussing consumerism from a socio-economic standpoint, the term “upward mobility” is always used. When consumers move up in economic class, money moves with them. I’ve discussed the rise of the emerging market middle class in previous articles. One product/service that had trouble gaining traction among the new middle class is consumer banking. Financial institutions like Citigroup (NYSE: C) and JP Morgan Chase (NYSE: JPM) have established large institutional footprints in emerging markets in corporate banking, as well wealth management services for the emerging market rich. #-ad_banner-#However, unlike in the United States where there is a brick and mortar bank on every single corner, brick and mortar banking has not grown in emerging markets. But money still needs to move and consumers will find other ways to do it besides a traditional bank. Enter Western Union (NYSE: WU). Spun off from First Data Corp (NYSE: FDC) in 2006, Western Union is recognized as one of the nation’s largest independent providers of consumer money transfer services. Nearly 80% of the company’s revenues come from consumer to consumer services such as its branded Western Union Money Gram product, pre-paid debit cards, and money orders. In the United States, these services are distributed… Read More

Chances are, you’ve read plenty of articles telling you how you should be investing this election season. Articles like: “Invest In These Companies If Clinton Is Elected” “How To Profit From A Trump Presidency” And more… But I have news for you. #-ad_banner-# It doesn’t matter who gets elected. Based on factual historical data, chances are good that the market is going to sink. In fact, I’m bracing for as much as a 30% economic plunge.  It’s hard to believe, but it’s true. History suggests that there’s a strong predictable pattern.  Every four years, the American people head to… Read More

Chances are, you’ve read plenty of articles telling you how you should be investing this election season. Articles like: “Invest In These Companies If Clinton Is Elected” “How To Profit From A Trump Presidency” And more… But I have news for you. #-ad_banner-# It doesn’t matter who gets elected. Based on factual historical data, chances are good that the market is going to sink. In fact, I’m bracing for as much as a 30% economic plunge.  It’s hard to believe, but it’s true. History suggests that there’s a strong predictable pattern.  Every four years, the American people head to the voting booth to elect the next U.S. president. The ripple effects from that vote can impact many financial markets… including the U.S. stock market.  And economic turmoil has immediately followed almost every new President once he’s taken office.  In 1937, Franklin D. Roosevelt’s first year, the market was down by 27.3%. Nixon watched the Dow Jones Industrial Average plunge 36%. In Reagan’s second year the unemployment rate hit 10.8% — the highest rate since the Great Depression. And according to CNN Money, in Obama’s second year, the market lost $2.8 trillion in value in only a few weeks… “some… Read More

Benjamin Franklin was a Founding Father, statesman and signer of the Declaration of Independence. He was also a brilliant inventor — creating bifocals, the lightning rod and the odometer. #-ad_banner-# But his greatest invention has been shrouded in mystery for more than 250 years… It involves controlling one of the most important resources known to man: energy. In 1749, through a revolutionary experiment, Franklin created a device that could capture and harness energy. Then, 150 years later, Thomas Edison picked up where Franklin left off. Since then, many others have carried forward this work. But a few months ago, a… Read More

Benjamin Franklin was a Founding Father, statesman and signer of the Declaration of Independence. He was also a brilliant inventor — creating bifocals, the lightning rod and the odometer. #-ad_banner-# But his greatest invention has been shrouded in mystery for more than 250 years… It involves controlling one of the most important resources known to man: energy. In 1749, through a revolutionary experiment, Franklin created a device that could capture and harness energy. Then, 150 years later, Thomas Edison picked up where Franklin left off. Since then, many others have carried forward this work. But a few months ago, a band of scientists — backed by an eccentric billionaire — took Franklin’s dream to new heights. They finally broke through — and now it has the potential to make early investors a fortune. From Franklin, Tesla, Edison — And Now Musk We’ve all heard the first part of the folk tale… Ben Franklin was convinced that lightning bolts contain energy, and he wanted to prove it. So during a thunderstorm, he flew a kite with a metal key attached, hoping the kite would get hit. And it worked. The kite was struck by lightning, and the key produced a… Read More

Global pharmaceutical sales hit a record $1 trillion in 2014, and forecasts expect another $300 billion in growth by 2018 according to Thomson Reuters. If you watch TV, read magazines, or even go out in public, this probably doesn’t surprise you. We are constantly bombarded with advertisements for various drugs. In an industry dominated by big money and marketing, it can be hard for small-cap companies to thrive. There are a few approaches, though, that can help smaller companies succeed: 1. Create a ground-breaking product that cannot be copied 2. Partner with a larger pharmaceutical company to help with… Read More

Global pharmaceutical sales hit a record $1 trillion in 2014, and forecasts expect another $300 billion in growth by 2018 according to Thomson Reuters. If you watch TV, read magazines, or even go out in public, this probably doesn’t surprise you. We are constantly bombarded with advertisements for various drugs. In an industry dominated by big money and marketing, it can be hard for small-cap companies to thrive. There are a few approaches, though, that can help smaller companies succeed: 1. Create a ground-breaking product that cannot be copied 2. Partner with a larger pharmaceutical company to help with marketing and distribution In today’s Project Alpha, we’ve found a company that does both. A Misunderstood Acquisition Has Left This Pharma Leader Undervalued Sucampo Pharmaceuticals (Nasdaq: SCMP) is a global biopharmaceutical company primarily focused on the Research and Development (R&D) of drugs. Its main product, AMITIZA, is the first chloride channel activator developed for the treatment of chronic constipation. It may not be the sexiest product, but the most successful drugs rarely are. Since 2006, AMITIZA, also known as lubiprostone, has been dispensed over 10 million times. Currently, it is available as a small oral gelcap taken twice a day and… Read More

President Obama hasn’t come out with his own “crisis of confidence” speech as did President Carter, but there is definitely an air of economic malaise that is holding the country back.  Even as unemployment has dropped to below 5% and job numbers have risen, the U.S. economy has continued to struggle to post any kind of substantial growth. Four of the past five quarters have seen GDP growth of 2% or less, which is not the kind of progress you would expect in a bull market. #-ad_banner-#But there is a glass-is-half-full perspective to this new normal of slow growth. One… Read More

President Obama hasn’t come out with his own “crisis of confidence” speech as did President Carter, but there is definitely an air of economic malaise that is holding the country back.  Even as unemployment has dropped to below 5% and job numbers have risen, the U.S. economy has continued to struggle to post any kind of substantial growth. Four of the past five quarters have seen GDP growth of 2% or less, which is not the kind of progress you would expect in a bull market. #-ad_banner-#But there is a glass-is-half-full perspective to this new normal of slow growth. One sector may be in an economic sweet spot where it benefits from low input costs and enjoys pricing power that will help margins expand. There is one company within this sector not only benefits from the economic outlook but also from the potential for several big catalysts that could play out before the end of the year. Is The New Normal Of Weak Economic Growth Bad For All Stocks? The advance estimate for U.S. second quarter GDP growth will be released on July 29, with market expectations for 2.3% on a seasonally adjusted annual rate. That would be more… Read More

Recently I’ve been telling my readers about a quiet revolution that’s taking place thanks to eccentric billionaire Elon Musk and his band of scientists at Tesla Motors (Nasdaq: TSLA). You see, for years they’ve been working feverishly at their lab in Fremont, California on a battery that could provide enough energy to power a house. Earlier this year, news came along that they’d finally broken through. And now, for the first time in decades, we could see the entire utility sector turned on its head as a result — leading to massive gains for early investors. As you… Read More

Recently I’ve been telling my readers about a quiet revolution that’s taking place thanks to eccentric billionaire Elon Musk and his band of scientists at Tesla Motors (Nasdaq: TSLA). You see, for years they’ve been working feverishly at their lab in Fremont, California on a battery that could provide enough energy to power a house. Earlier this year, news came along that they’d finally broken through. And now, for the first time in decades, we could see the entire utility sector turned on its head as a result — leading to massive gains for early investors. As you can see, Tesla’s battery storage device looks nothing like your old-fashioned AA battery. It’s a sleek, compact unit that you can mount on the wall in your garage. One single, stand-alone unit delivers enough power to take an entire home completely off the grid. Simply charge it with a solar panel, windmill or any other power source, and you’ve got all the energy you need. #-ad_banner-#Thanks to Tesla, the world is about to see that an energy sea-change has been quietly unfolding before their eyes for several years now. And many of… Read More

These days, investors are bombarded with a lot of chatter from the market. The internet, TV and radio are flooded with so-called “experts” claiming to know the future of the economy and offering varying opinions on where investors should place their hard earned dollars. #-ad_banner-#On any given day, you might come across a dozen articles online claiming the market is in-store for a major bull run, only to see a news report claiming the next recession is just around the corner, not even an hour later. With the market presenting you such a mixed bag of opinions, how are you… Read More

These days, investors are bombarded with a lot of chatter from the market. The internet, TV and radio are flooded with so-called “experts” claiming to know the future of the economy and offering varying opinions on where investors should place their hard earned dollars. #-ad_banner-#On any given day, you might come across a dozen articles online claiming the market is in-store for a major bull run, only to see a news report claiming the next recession is just around the corner, not even an hour later. With the market presenting you such a mixed bag of opinions, how are you to know what investments you can actually trust? Simple: just ignore it completely. Now, I know that might sound like a stretch, but trust me, it isn’t. The market — and its thousands of pundits — often panders to what I think is an investor’s absolute worst enemy: their emotions. Whether its fear, optimism, excitement or panic, many investors have a way of letting their emotions completely cloud their judgments. And often times, that can cost them a big gain or lead them to some hefty losses. The truth is ignoring the market allows to you completely take the emotion… Read More

U.S. stocks have shaken off a lot of bad headlines over the past year. Just consider the gloomy news we’ve endured: •    China’s economy growing at a slower pace •    Energy producers shutting down production, facing bankruptcy •    Terrorist attacks hit several cities in Europe, Middle East •    Europe faces intractable economic problems •    Donald Trump captures GOP nomination •    Employment growth much slower than expected in May •    UK voters opt to leave EU And that’s only a few of the biggest stories. Yet the S&P 500 is up slightly from its year-ago… Read More

U.S. stocks have shaken off a lot of bad headlines over the past year. Just consider the gloomy news we’ve endured: •    China’s economy growing at a slower pace •    Energy producers shutting down production, facing bankruptcy •    Terrorist attacks hit several cities in Europe, Middle East •    Europe faces intractable economic problems •    Donald Trump captures GOP nomination •    Employment growth much slower than expected in May •    UK voters opt to leave EU And that’s only a few of the biggest stories. Yet the S&P 500 is up slightly from its year-ago level. #-ad_banner-#What accounts for the stock market’s resilience? The main reason is the continued strength of the U.S. economy, especially relative to other major economies around the world. Job growth has been fairly strong (May notwithstanding), corporate earnings are chugging along just fine and wages are starting to rise. Interest rates also remain historically low, with the Fed reluctant to hike rates because of all the uncertainty arising from the bad news I listed in the bullet points above. That’s not to say the bad news is illusory or irrelevant. Risks abound in today’s climate. Economic instability abroad could still… Read More