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A Basic Buick That's Just Enough Car for the Money

A Basic Buick That's Just Enough Car for the Money

Lately I have been accused of dragging politics into the supposedly safe space of car reviews. With all respect, it is I who am being dragged, by events too stupendous to ignore.
Consider our test car, the 2025 Buick Envista Sport Touring ($30,465, as tested), a compact crossover powered by a three-cylinder engine and uncommonly good looks. Should I elide the fact that this vehicle is built in South Korea in order to take advantage of lower labor costs? Is it germane that the price may blow up, or not, in a few weeks, depending on which way the wind is blowing from the White House? You tell me.
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Intel Stock's Biggest Ally: Washington?
Intel Stock's Biggest Ally: Washington?

Forbes

time3 hours ago

  • Forbes

Intel Stock's Biggest Ally: Washington?

Intel (NASDAQ:INTC) has surged nearly 20% over the past week to levels of about $24.50 a share. So what's been fueling the gains? Earlier this month, President Trump had urged CEO Lip-Bu Tan to step down over his past ties with China. But the narrative flipped last week after a highly positive White House meeting, with Trump later calling Tan's "amazing story" emblematic of the American dream. What's more, reports now suggest the Trump Administration is considering taking a direct stake in Intel, underscoring its strategic importance. So why Intel? Unlike rivals that rely heavily on Asian foundries to produce their chips, Intel still maintains considerable U.S. manufacturing capacity. That makes it the only realistic domestic player to drive the U.S. government's increasing push toward re-shoring semiconductor production, which it sees as a crucial national security priority. Intel's core CPU business has been steadily losing ground to AMD in PCs and servers, while Nvidia has seized the AI market with its GPUs. However, a deal with Washington wouldn't just inject much-needed capital for Intel, which could be used to speed up Intel's repeatedly delayed Ohio mega fabrication unit. An investment would also bring a high level of credibility that could pull in more private capital and drive investor confidence. We've seen this playbook before as the Trump Administration took a $400 million preferred equity stake in rare-earth minerals player MP Materials. (What's Happening With MP Materials Stock?) Investors are betting Intel could be the next beneficiary of that same tailwind. So how are Intel stock's fundamentals looking at this point? Our analysis of Intel along key parameters of Growth, Profitability, Financial Stability, and Downturn Resilience shows that the company has a weak operating performance as detailed below. That said, if you seek upside with lower volatility than individual stocks, the Trefis High Quality portfolio presents an alternative, having outperformed the S&P 500 and generated returns exceeding 91% since its inception. How Does Intel's Valuation Look vs. The S&P 500? Going by what you pay per dollar of sales or profit, INTC stock looks cheap compared to the broader market. • Intel has a price-to-sales (P/S) ratio of 1.9 vs. a figure of 3.3 for the S&P 500 How Have Intel's Revenues Grown Over Recent Years? Intel's Revenues have fallen over recent years. • Intel has seen its top line decline at an average rate of 11.2% over the last 3 years (vs. increase of 5.5% for S&P 500) • Its revenues have decreased 4.0% from $55 Bil to $53 Bil in the last 12 months (vs. growth of 5.5% for S&P 500) • Also, its quarterly revenues fell 0.4% to $13 Bil in the most recent quarter from $13 Bil a year ago (vs. 4.8% improvement for S&P 500) How Profitable Is Intel? Intel's profit margins are much worse than most companies in the Trefis coverage universe. • Intel's Operating Income over the last four quarters was $-4.1 Bil, which represents a very poor Operating Margin of -7.8% • Intel's Operating Cash Flow (OCF) over this period was $10 Bil, pointing to a moderate OCF Margin of 19.5% (vs. 14.9% for S&P 500) • For the last four-quarter period, Intel's Net Income was $-19 Bil - indicating a very poor Net Income Margin of -36.2% (vs. 11.6% for S&P 500) Does Intel Look Financially Stable? Intel's balance sheet looks fine. • Intel's Debt figure was $50 Bil at the end of the most recent quarter, while its market capitalization is $102 Bil (as of 8/15/2025). This implies a poor Debt-to-Equity Ratio of 52.5% (vs. 19.4% for S&P 500). [Note: A low Debt-to-Equity Ratio is desirable] • Cash (including cash equivalents) makes up $21 Bil of the $192 Bil in Total Assets for Intel. This yields a strong Cash-to-Assets Ratio of 10.9% How Resilient Is Intel Stock During A Downturn INTC stock has fared worse than the benchmark S&P 500 index during some of the recent downturns. Worried about the impact of a market crash on INTC stock? Our dashboard How Low Can Stocks Go During A Market Crash captures how key stocks fared during and after the last six market crashes. Inflation Shock (2022) • INTC stock fell 63.3% from a high of $68.26 on 9 April 2021 to $25.04 on 11 October 2022, vs. a peak-to-trough decline of 25.4% for the S&P 500 • The stock is yet to recover to its pre-Crisis high • The highest the stock has reached since then is $50.76 on 27 December 2023 and currently trades at around $24 Covid Pandemic (2020) • INTC stock fell 34.8% from a high of $68.47 on 24 January 2020 to $44.61 on 16 March 2020, vs. a peak-to-trough decline of 33.9% for the S&P 500 • The stock is yet to recover to its pre-Crisis high Global Financial Crisis (2008) • INTC stock fell 56.8% from a high of $27.98 on 6 December 2007 to $12.08 on 23 February 2009, vs. a peak-to-trough decline of 56.8% for the S&P 500 • The stock fully recovered to its pre-Crisis peak by 26 March 2012 Putting The Pieces Together Intel's low valuation, reasonably stable balance sheet, and potential tailwinds from a better relationship with the Trump Administration are positives, while the company's recent revenue contraction and weak margins remain a concern. While you would do well to be cautious with INTC stock for now, you could explore the Trefis Reinforced Value (RV) Portfolio, which has outperformed its all-cap stocks benchmark (combination of the S&P 500, S&P mid-cap, and Russell 2000 benchmark indices) to produce strong returns for investors. Why is that? The quarterly rebalanced mix of large-, mid- and small-cap RV Portfolio stocks provided a responsive way to make the most of upbeat market conditions while limiting losses when markets head south, as detailed in RV Portfolio performance metrics.

3 Reasons General Motors Stock Is a Screaming Buy
3 Reasons General Motors Stock Is a Screaming Buy

Yahoo

time3 hours ago

  • Yahoo

3 Reasons General Motors Stock Is a Screaming Buy

Key Points General Motors has sharply reduced its shares outstanding and boosted EPS. The Detroit carmaker has invested billions into its brands and product lineup. Moreover, management has successfully restructured its business in China. 10 stocks we like better than General Motors › When thinking about General Motors (NYSE: GM), many investors think back to the financial crisis and government bailout, but that doesn't do justice to the company that GM has become in the years since. GM is doing a lot of things right, and it's quietly becoming arguably the best automotive investment out there. Here are three reasons why. Returning value When it comes to returning value to shareholders, there are two primary pathways: dividends and share buybacks. Each comes with its advantages, but General Motors has decided to go heavy on share buybacks, with its stock trading at a paltry eight times price-to-earnings. General Motors has been extremely engaged in share buyback programs over the past decade. The Detroit automaker has consistently used strong free cash flow, along with the belief that its stock is heavily undervalued, to significantly reduce shares outstanding and boost earnings per share. You can see the extreme change in the graphic below. The carmaker has spent nearly $25 billion on share repurchases over the past three-plus years, reducing the number of shares outstanding from 1.5 billion to 950 million over that span. This is a significant and serious amount of cash spent to buy back shares when you consider that GM's market cap is roughly $50 billion. As long as GM's stock remains cheap, GM buying back its shares is good for investors, and that isn't likely to change in the near-term. Investing in brands/product General Motors has spent billions of dollars and years of time investing in its portfolio of brands and vehicles, and it's starting to pay off. Chevrolet, the heart and soul of General Motors, and GMC have both been thriving in 2025, with a record first half for GMC and the best since 2019 for Chevrolet. The brands, and GM in general, are coming off a product wave over the past few years that brought updated crossovers, SUVs, and EVs to the market -- and its highly profitable trucks are next. Chevrolet is also making a splash in the EV market, becoming the No. 2 brand during the second quarter, trailing only Tesla in the U.S. market. July was the best sales month ever for the Equinox EV, and it was the best sales result for an EV other than a Tesla in the U.S. market. The Equinox is projected to place in the top three in sales for 2025, behind only Tesla's Model Y and 3. In the broader picture, General Motors has invested heavily into its products and brands, and that's going to carry sales momentum for years to come. A turnaround in China China has been the promised land for automakers for decades: a booming population with a craving for vehicles. Unfortunately for foreign automakers, domestic brands have thrived in recent years -- so much so that there's a brutal price war going on, causing even the best foreign autos to struggle with profitability and market share. General Motors had previously been extremely successful in China, driving billions to the bottom line at its peak. But this price war hit GM hard, too, and forced the company back to the drawing board for a roughly $4 billion restructuring strategy. It's paying off, and GM just turned in a second consecutive quarter of sales increases, increasing 20% during Q2. "Our strong Q2 performance reflects the sustainable growth trajectory we are building in both sales and market share through local innovations," said Steve Hill, GM senior vice president and president of GM China. "We remain committed to driving profitable growth for China business by focusing on strong execution, business agility and customer choices." What it all means General Motors has been doing a lot of things right lately, even if Wall Street hasn't noticed. The company has spent tens of billions of dollars reducing its shares outstanding, poured billions in investments into brands and products, and reversed one of its biggest weaknesses in China. General Motors is buying back its shares on the cheap, and it's time mainstream investors started following suit. Should you invest $1,000 in General Motors right now? Before you buy stock in General Motors, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and General Motors wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $668,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,106,071!* Now, it's worth noting Stock Advisor's total average return is 1,070% — a market-crushing outperformance compared to 184% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 13, 2025 Daniel Miller has positions in General Motors. The Motley Fool has positions in and recommends Tesla. The Motley Fool recommends General Motors. The Motley Fool has a disclosure policy. 3 Reasons General Motors Stock Is a Screaming Buy was originally published by The Motley Fool

Wheat Sneaking Higher to Start Friday
Wheat Sneaking Higher to Start Friday

Yahoo

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  • Yahoo

Wheat Sneaking Higher to Start Friday

Wheat is showing gains across most contracts early on Friday. The wheat complex fell back lower on Thursday, closing with weakness across all three markets. CBT soft red wheat futures were down 3 to 4 cents on the day. KC HRW futures posted 2 to 2 ½ cent losses in the front months on Thursday. Preliminary open interest was up 8,739 contracts on Thursday. MPLS spring wheat was down 3 to 4 cents on the session. Export Sales data from USDA this morning indicated sales backing off slightly from last week to 722,846 MT, though that was still on the higher side estimates. That was the second largest for the marketing year only behind last week and more than double the same week last year. The largest buyer was South Korea at 130,000 MT, with 114,900 MT sold to Mexico. More News from Barchart Coffee Prices Extend Wednesday's Rally Coffee Prices Extend Wednesday's Rally Grain Market Update: Could a Rate Cut, Inflation Spur Fund Buying in Wheat, Soybeans, and Corn? Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. A South Korean importer purchased 50,000 MT of US wheat in their tender overnight. Sep 25 CBOT Wheat closed at $5.03 1/2, down 3 3/4 cents, currently up 2 3/4 cents Dec 25 CBOT Wheat closed at $5.24 1/2, down 3 3/4 cents, currently up 1 1/2 cents Sep 25 KCBT Wheat closed at $5.04 1/4, down 2 1/2 cents, currently up 2 3/4 cents Dec 25 KCBT Wheat closed at $5.26, down 2 cents, currently up 1 3/4 cents Sep 25 MGEX Wheat closed at $5.73 1/4, down 3 3/4 cents, currently unch Dec 25 MGEX Wheat closed at $5.92 1/4, down 3 3/4 cents, currently up 1/4 cents On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

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