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6 minutes ago
- Yahoo
Bernie Sanders Diagnoses Democrats' Biggest 2024 Campaign Failure
Sen. Bernie Sanders (I-Vt.) accused Democrats of turning their backs on the working class while recently breaking down why Vice President Kamala Harris' 2024 presidential campaign failed. During a stop in Wheeling, West Virginia, of his 'Fighting Oligarchy' tour, the nation's most prominent progressive told a packed auditorium Saturday that Harris had 'too many billionaires telling her not to stand up for the working class of this country.' Sanders was unapologetic when asked if his comments were too harsh during Sunday's episode of CNN's 'State of the Union.' 'I like Kamala, she's a friend of mine,' he told host Dana Bash. 'But her core consultants, you know, were very influenced by wealthy people.' 'How do you run for president and not develop a strong agenda which speaks to the economic crises facing working families?' the Vermont senator said. Detailing the struggles that every day Americans face, Sanders said, 'We have more income and wealth inequality today than we've ever had. We've got 60% of our people living paycheck to paycheck.' 'You've got a health care system which is broken and dysfunctional, and despite spending so much, we're the only major country not to guarantee health care to all people,' he went on. 'How do you not talk about these issues?' While Bash reminded Sanders that 'affordability' was part of Harris' platform, he dismissed her ideas as too 'vague' for average voters to see as real solutions to real problems. His strategy for winning back the working class? Unwavering support for struggling Americans. 'Is it a radical idea that we join every other major country on Earth and guarantee health care to all people? Is that a radical idea?' he asked. 'You tell me how many people are talking about that.' Also advocating for livable wages and easier access to higher education, he said, 'These ideas exist all over the world. They don't exist in America. And they don't exist because of the power of the oligarchs economically and politically.' 'In my view, the current political system in the United States of America is broken and corrupt,' he went on. Sanders' message wasn't without a glimmer of hope, however. 'If we stand together, if we're united, if we don't let Trump divide us up, there's no stopping what we can do as a nation in terms of improving life for ordinary people,' he told Bash. Related... Bernie Sanders Rips 'Extremely Dangerous' Paramount-Trump Settlement: 'Government Extortion' Bernie Sanders Says Yes To Love, No To AI Girlfriends Bernie Sanders Makes Rare Endorsement In New York City Mayoral Race
Yahoo
6 minutes ago
- Yahoo
After Sitting on the Sidelines For 14 Months, Warren Buffett Could Be Buying One of His Favorite Stocks Again
Key Points Warren Buffett has been a net seller of stocks in each of the last 11 quarters. While he doesn't time the market, Buffett won't buy stocks if they don't trade below his estimate of intrinsic value. This stock's price has come down from its all-time high while its financials improve, making it a more appealing value right now. 10 stocks we like better than Berkshire Hathaway › Warren Buffett hasn't seen a lot to like in the stock market recently. In fact, he and his team of investment managers at Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) have been net sellers of stocks for 11 straight quarters. Buffett's stock sales have accelerated over the past five quarters. That includes monster sales of Berkshire's stakes in Apple and Bank of America. In the meantime, he's stopped buying one stock investors had seen him buy consistently each quarter since mid-2018. As a result, Berkshire's cash pile has climbed to a whopping $344 billion. But the market may be offering Buffett an opportunity to start buying his favorite stock again, and investors should consider doing the same. Buffett isn't timing the market Buffett's big stock sales over the last few years and his lack of purchases may be seen by some as the Oracle of Omaha trying to predict the future and time the market. While it might look like market timing, Buffett is merely sticking to what's worked for him as an investor for the last 60 years or so. "We try to price, rather than time, purchases," Buffett wrote in his 1994 letter to shareholders. The same could be said of Berkshire's stock sales. If the market is offering a massive premium on one of Berkshire's holdings, Buffett ought to sell it, pocket the cash, and look for opportunities in stocks trading well below their intrinsic value. That could even include buying Berkshire Hathaway shares themselves. In fact, the board of directors updated its share repurchase policy in 2018, allowing Buffett to buy back shares of the company as long as it traded below its intrinsic value, conservatively determined. Buffett quickly went to work buying back shares following that change, indicating that the stock looked like a bargain. Between 2018 and May 2024, Buffett spent $78 billion buying back shares of Berkshire Hathaway. Over the last 14 months, however, Buffett hasn't spent a single dollar buying back the stock based on Berkshire's quarterly earnings reports. He holds himself to the same high standards he expects of the CEOs of all the companies Berkshire invests in. "All stock repurchases should be price-dependent. What is sensible at a discount to business-value becomes stupid if done at a premium," he wrote in his 2023 letter to shareholders. But Berkshire shares have fallen considerably since Buffett announced he would step down as CEO at the end of the year during the company's annual meeting in May. And after a further sell-off sparked by its second-quarter earnings report, shares are starting to look a lot more appealing. That could open the door for Buffett to start buying back Berkshire's stock. Will Buffett start buying again? Berkshire Hathaway's earnings disappointed many investors, leading the market to sell off the stock. After a stellar 2024, the insurance business is back to more normalized operations, including big payouts earlier this year due to the California wildfires. That's led to a drop in underwriting profits, which pushed the conglomerate's total operating earnings down nearly 4% last quarter. It's worth noting, however, that Berkshire faced significant foreign exchange headwinds last quarter, which negatively affected operating earnings. Berkshire also wrote down its Kraft Heinz investment by $5 billion. That follows a $3 billion impairment charge it took in 2019. That further negatively affected reported earnings. Nonetheless, Buffett has seen the book value per share of Berkshire Hathaway climb, including a 2.1% gain from the first quarter, and a 10.9% increase from a year ago. Combined with the declining stock price over the last three months, Berkshire Hathaway shares now trade for a price-to-book ratio of about 1.5. That's an important valuation, because when Buffett last repurchased shares of Berkshire, the stock traded below that valuation. The stock has rarely dipped below that price since last May. But shares are certainly more attractive after the sell-off. A couple of factors could keep Buffett from buying at the current price. First, Berkshire's marketable equity portfolio is a significant factor in its book value. Buffett may still see most of the stocks in the portfolio as overpriced, especially as stocks continued to climb over the past year. That would push him to require a lower multiple for Berkshire stock, since repurchasing Berkshire shares would also mean purchasing a small piece of its equity portfolio. The other factor is that he may want to use a significant chunk of cash to bolster the railroad business in the near future. Union Pacific and Norfolk Southern have agreed to a merger, threatening the competitiveness of Berkshire's Burlington Northern Santa Fe. When you consider the strength of Berkshire's balance sheet and that it's not relying on insurance float for any capital at this point, it should trade for a higher price-to-book value ratio than it has historically. With shares trading around 1.5 times book value, the stock finally looks to be trading near its intrinsic value again, making it worth buying. Should you buy stock in Berkshire Hathaway right now? Before you buy stock in Berkshire Hathaway, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Berkshire Hathaway 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 $653,427!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,119,863!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 182% 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 4, 2025 Bank of America is an advertising partner of Motley Fool Money. Adam Levy has positions in Apple and Union Pacific. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway. The Motley Fool recommends Kraft Heinz and Union Pacific. The Motley Fool has a disclosure policy. After Sitting on the Sidelines For 14 Months, Warren Buffett Could Be Buying One of His Favorite Stocks Again was originally published by The Motley Fool
Yahoo
6 minutes ago
- Yahoo
Why Reddit Stock Skyrocketed This Week
Key Points Reddit reported its second-quarter results on July 31, and the stock has been on a tear since then. Reddit's sales and earnings are rising rapidly. Data licensing for artificial intelligence models has turned into a powerful growth driver for Reddit. 10 stocks we like better than Reddit › Reddit (NYSE: RDDT) stock continued to rocket higher in this week's trading thanks to strong quarterly results. The social media player's price rose 14.2% over the last week of trading. Reddit published its second-quarter report on July 31, and the results spurred a surge in bullish momentum that extended into this week's trading. The company's share price is now up roughly 308% over the last year of trading. Reddit stock roars higher on big Q2 beats Reddit's second-quarter report arrived with results that caused investors to adopt a far more bullish stance on the company's outlook. In Q2, Reddit reported a profit of $0.45 per share on sales of $500 million. The performance came in far better than the average analyst estimate, which had targeted earnings per share of $0.19 and revenue of $426 million. The company's sales increased 78% year over year in the period, and the strong performance beats caused a wide range of Wall Street analysts to significantly increase their one-year price targets on the stock. With excitement surrounding Reddit's future growing, strong post-earnings valuation gains continued over the last week of trading. What's next for Reddit? For the current quarter, Reddit expects its sales to come in between $535 million and $545 million. Hitting the midpoint of that guidance range would mean posting year-over-year sales growth of roughly 55% in the third quarter. Reddit is seeing strong sales and earnings momentum in conjunction with data generated from its platform being a go-to resource for the training of artificial intelligence (AI) models. While the platform's user base has historically monetized at relatively low levels compared to other social sites, data licensing for AI models seems to have changed the game. Should you invest $1,000 in Reddit right now? Before you buy stock in Reddit, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Reddit 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 $653,427!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,119,863!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 182% 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 4, 2025 Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why Reddit Stock Skyrocketed This Week was originally published by The Motley Fool 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
