Latest news with #DanBuckley
Yahoo
a day ago
- Business
- Yahoo
Armchair investors cautioned on risks of playing Trump tariff market
Amidst the turbulence of stock markets reacting to US President Donald Trump's tariff policies, Dan Buckley, chief analyst at has issued a warning to inexperienced online investors about the dangers of attempting to exploit these fluctuations. Dubbed 'armchair investors', these individuals often trade from the comfort of their homes, managing portfolios within ISAs and self invested private pensions (SIPPs). These investors have been drawn to the 'Trump tariff strategy', which involves buying stocks at a lower price following tariff announcements, with the expectation that their value will bounce back after the initial market shock. However, Buckley cautions that this approach is fraught with risk. "Trump's repeated tariff rhetoric has turned trade policy into a constant headline driver. It also creates volatility that retail trading platforms thrive on," Buckley explained. "Tariff speeches and social media posts trigger intraday swings across key sectors, especially across autos, energy and agriculture, which often leads to retail traders trying to scalp moves or use short-term options trades," he further noted. He highlighted the pitfalls many novice traders face, including being caught out by rapid price movements and incurring losses that exceed their margins. Despite the allure of quick profits, Buckley stressed the importance of thorough research and a cautious approach when trading based on tariff-induced volatility. The shockwaves from Trump's tariff announcements have been felt across global markets, with significant drops in major indices like the S&P 500, Nasdaq and Dow Jones following tariff news. These market movements have been accompanied by spikes in the VIX, or "fear index", and a shift towards traditional safe havens such as gold and US Treasuries. Buckley pointed out that while these market swings represent a reallocation of capital, they also underscore the value of diversification across different assets, classes, countries and currencies. Retail trading platforms have experienced a surge in business due to the tariff announcements. Robinhood, for instance, saw a substantial increase in equity trading volume and options volume in the second quarter of 2025, leading to revenue growth of 45%. The platform also reported a record $6.5bn in client deposits in April, indicating a heightened interest in trading and investing amidst tariff-related market volatility. Buckley concluded by emphasising that while volatility can present opportunities, it also poses significant challenges for retail investors, advising caution and due diligence in navigating these uncertain waters. "Armchair investors cautioned on risks of playing Trump tariff market" was originally created and published by International Accounting Bulletin, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
21-06-2025
- Business
- Yahoo
Experts Predict Whether Apple Stock Can Make You Rich by 2035
Just over a year ago, The Motley Fool asked whether Apple would be a trillion-dollar stock by 2035. Hitting the $1 trillion valuation mark is a rare and phenomenal achievement for any company, but for Apple, it would be a colossal failure, considering its market cap was $2.6 trillion at the time (and it's now at $2.9 trillion). Speculating on the future fortunes of Apple stock is a fun exercise. In fact, back in January, Insider Monkey wrote about 15 stocks that ChatGPT predicted could make investors wealthy in 10 years, and the chatbot ranked Apple No. 1, ahead of Microsoft, Amazon, Alphabet, Meta Platforms and Nvidia. Read Next: Learn More: For beginner and seasoned investors, a far more interesting question would be whether Apple stock can make you rich by 2035. To answer this, GOBankingRates asked real-life industry experts whether investing in Apple stock could make you wealthy by 2025. Also see three reasons to keep an eye on Apple stock. Regardless of the quantity of shares you own, an active, expensive stock may yield an overall higher percentage gain than lower-priced stocks, but you might need to spend a lot to make a little. Is investing Apple at close to $200 a share worth it? 'Apple remains a dominant company with strong fundamentals, recurring revenue and massive cash reserves,' Dan Buckley, chief analyst and contributor at the free online trading resource told GOBankingRates. 'But expecting to make a lot from it in 10 years is unrealistic unless you're investing substantial capital.' Julia Khandoshko, an expert in tech and capital markets and CEO of leading tech and financial engineering hub Mind Money, agreed. 'There is a false perception that large technology companies like Apple are still growing as startups, and many investors expect them to have the same breakthrough growth,' Khandoshko said. 'However, for some reason, the fact that they have turned into grown and stable businesses is ignored.' 'There is no doubt Apple has been very successful, but shares are currently trading on a forward P/E (forward price-to-earnings ratio based on estimates of future earnings for the coming 12 months) of 27, and that is too rich for me,' said Vince Stanzione, CEO and founder of First Information and author of The Millionaire Dropout. For comparison, the S&P is hovering around a forward P/E of almost 22 right now. 'Make no mistake, Apple is a cash cow and users are tied into the Apple brand and app store ecosystem, but Apple reminds me of an ageing rock band living off old hits and royalties,' Stanzione added. Check Out: There's also the question of the intense competition Apple faces now and in a tech-reliant, tech-investing future. 'The company faces increasing competition, regulatory pressures and the challenge of keeping pace with new innovations, which could lead to periods of slower growth compared to its past trajectory,' Buckley said. People trust brands probably more than they should. But if a company misses on a product or falls behind emerging tech, loyalty goes out the window. For Apple, 'services now carry a big piece of the load: High-margin, recurring revenue [are] tied to the iPhone,' said David Materazzi, CEO and founder of Galileo FX, the popular automated trading platform. However, that's the catch, he explained. 'The more Apple shifts to services, the more it still depends on hardware. Without new hit products, that becomes a treadmill. People assume the brand protects them. It doesn't. It attracts them, then it demands performance. It's priced for precision,' Materazzi said. 'So, if we're not expecting any major breakthroughs from Apple, we should view it as a company that thrives on its large, loyal customer base and generates steady income from it,' Khandoshko said. 'From this perspective, Apple is a solid long-term investment with predictable cash flows — but it's not the kind of stock for speculation or chasing exponential returns.' You can't argue with Apple's performance; it continues to drive the tech industry and its market cap continues to increase. However, in the next 10 years, a downturn isn't out of the question. Stanzione summed up what all the experts we asked felt. 'I don't believe Apple will disappear in the next decade, but unless some amazing new product comes out soon it's turning into a utility type stock that will give you a decent return and a small dividend but not make you fantastically rich in my opinion,' he said. More From GOBankingRates Mark Cuban Tells Americans To Stock Up on Consumables as Trump's Tariffs Hit -- Here's What To Buy This article originally appeared on Experts Predict Whether Apple Stock Can Make You Rich by 2035 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
Yahoo
21-06-2025
- Business
- Yahoo
Experts Predict Whether Apple Stock Can Make You Rich by 2035
Just over a year ago, The Motley Fool asked whether Apple would be a trillion-dollar stock by 2035. Hitting the $1 trillion valuation mark is a rare and phenomenal achievement for any company, but for Apple, it would be a colossal failure, considering its market cap was $2.6 trillion at the time (and it's now at $2.9 trillion). Speculating on the future fortunes of Apple stock is a fun exercise. In fact, back in January, Insider Monkey wrote about 15 stocks that ChatGPT predicted could make investors wealthy in 10 years, and the chatbot ranked Apple No. 1, ahead of Microsoft, Amazon, Alphabet, Meta Platforms and Nvidia. Read Next: Learn More: For beginner and seasoned investors, a far more interesting question would be whether Apple stock can make you rich by 2035. To answer this, GOBankingRates asked real-life industry experts whether investing in Apple stock could make you wealthy by 2025. Also see three reasons to keep an eye on Apple stock. Regardless of the quantity of shares you own, an active, expensive stock may yield an overall higher percentage gain than lower-priced stocks, but you might need to spend a lot to make a little. Is investing Apple at close to $200 a share worth it? 'Apple remains a dominant company with strong fundamentals, recurring revenue and massive cash reserves,' Dan Buckley, chief analyst and contributor at the free online trading resource told GOBankingRates. 'But expecting to make a lot from it in 10 years is unrealistic unless you're investing substantial capital.' Julia Khandoshko, an expert in tech and capital markets and CEO of leading tech and financial engineering hub Mind Money, agreed. 'There is a false perception that large technology companies like Apple are still growing as startups, and many investors expect them to have the same breakthrough growth,' Khandoshko said. 'However, for some reason, the fact that they have turned into grown and stable businesses is ignored.' 'There is no doubt Apple has been very successful, but shares are currently trading on a forward P/E (forward price-to-earnings ratio based on estimates of future earnings for the coming 12 months) of 27, and that is too rich for me,' said Vince Stanzione, CEO and founder of First Information and author of The Millionaire Dropout. For comparison, the S&P is hovering around a forward P/E of almost 22 right now. 'Make no mistake, Apple is a cash cow and users are tied into the Apple brand and app store ecosystem, but Apple reminds me of an ageing rock band living off old hits and royalties,' Stanzione added. Check Out: There's also the question of the intense competition Apple faces now and in a tech-reliant, tech-investing future. 'The company faces increasing competition, regulatory pressures and the challenge of keeping pace with new innovations, which could lead to periods of slower growth compared to its past trajectory,' Buckley said. People trust brands probably more than they should. But if a company misses on a product or falls behind emerging tech, loyalty goes out the window. For Apple, 'services now carry a big piece of the load: High-margin, recurring revenue [are] tied to the iPhone,' said David Materazzi, CEO and founder of Galileo FX, the popular automated trading platform. However, that's the catch, he explained. 'The more Apple shifts to services, the more it still depends on hardware. Without new hit products, that becomes a treadmill. People assume the brand protects them. It doesn't. It attracts them, then it demands performance. It's priced for precision,' Materazzi said. 'So, if we're not expecting any major breakthroughs from Apple, we should view it as a company that thrives on its large, loyal customer base and generates steady income from it,' Khandoshko said. 'From this perspective, Apple is a solid long-term investment with predictable cash flows — but it's not the kind of stock for speculation or chasing exponential returns.' You can't argue with Apple's performance; it continues to drive the tech industry and its market cap continues to increase. However, in the next 10 years, a downturn isn't out of the question. Stanzione summed up what all the experts we asked felt. 'I don't believe Apple will disappear in the next decade, but unless some amazing new product comes out soon it's turning into a utility type stock that will give you a decent return and a small dividend but not make you fantastically rich in my opinion,' he said. More From GOBankingRates Mark Cuban Tells Americans To Stock Up on Consumables as Trump's Tariffs Hit -- Here's What To Buy This article originally appeared on Experts Predict Whether Apple Stock Can Make You Rich by 2035 Sign in to access your portfolio
Yahoo
09-06-2025
- Automotive
- Yahoo
Is Investing In Musk's Autonomous Robotaxis Too Risky? 3 Experts Weigh In
Tesla has defined bearish investors for many years. People criticized the valuation when the corporation was worth $10 billion and those voices rang louder when the company reached a $100 million market cap. For You: Read Next: According to Bloomberg, the electric vehicle (EV) maker's valuation now hovers at around $1 trillion, but each rally makes it more difficult to generate future gains. For instance, Tesla would have to become a $10 trillion company to generate a 10 times return for its investors. You don't need a stock to 10 times to beat the market and some investors believe that Tesla's upcoming robotaxis presents a compelling long-term opportunity. However, some people have expressed concerns that autonomous robotaxis are risky and may lead to significant losses for investors if they fall short of expectations. Here's what some of the experts think about investing in Musk's autonomous robotaxis. While Tesla is no stranger to a rich valuation, the stock's ability to perform well in the long run heavily depends on robotaxis and humanoid robots delivering on their long-term potential. These are well-known catalysts, but it's important to consider the risk of what would happen if those initiatives fall short of expectations. Dan Buckley, financial markets commentator at compared Tesla's valuation and catalysts to taking out a call option. Check Out: 'Tesla's robotaxi and humanoid bot ambitions might excite headlines, but investors are still paying venture-capital prices for a public company. Its valuation is effectively a call option on a highly uncertain future — where demand for these emerging technologies, Tesla's ability to execute on them and the economics of production all remain unproven — as well as highly regulated and capital-hungry.' John Ellmore, editor and spokesperson for Electric Car Guide, also expressed concerns that Tesla isn't the frontrunner in the autonomous vehicle industry. Although Tesla has the spotlight due to Elon Musk and its reputation as an EV maker, Ellmore highlighted how one competitor is miles ahead of Tesla. 'The launch of Tesla's robotaxi comes with plenty of hype, but it's important to remember that Tesla is not ahead of the game in autonomous driving — Waymo is by far the more established player. Betting on Tesla for robotaxis today is absolutely a risk. Tesla is relying on future tech narratives to justify its valuation.' Waymo is one of the companies under the Alphabet umbrella. Investors who buy Alphabet also get exposure to Google, YouTube, Google Cloud and the tech conglomerate's additional business segments. It's more diversified than Tesla and has a much lower P/E ratio. Many futuristic movies and cartoons depict flying cars and other inventions that we haven't achieved at this time. For instance, 'Back to the Future' predicted that we would have flying cars in the year 2015. We still don't have flying cars and it's a cautionary tale that demonstrates how innovative investments can become duds. Robert R. Johnson, Ph.D., chartered financial analyst (CFA), chartered alternative investment analyst (CAIA), professor of finance at Creighton University's Heider College of Business, cautioned people against investing in companies that rely on innovation to justify their valuations. 'The problem with investing in innovation is that too often, investors are overly optimistic about its potential. For all but the most optimistic of speculators, I believe investors would be wise to steer clear of Tesla,' he said. Innovative companies going bust is nothing new. EV makers like Nikola Motors and Workhorse are shells of their former selves after they attracted plenty of speculative investors in 2021. Space exploration companies like Virgin Galactic also had their stock prices go to orbit before crashing down to Earth. Some innovations are real, while others are exaggerated fantasies. However, investors have to look at a company's current financial numbers before deciding if it's a good investment. More From GOBankingRates Mark Cuban Warns of 'Red Rural Recession' -- 4 States That Could Get Hit Hard These 10 Used Cars Will Last Longer Than an Average New Vehicle 25 Places To Buy a Home If You Want It To Gain Value This article originally appeared on Is Investing In Musk's Autonomous Robotaxis Too Risky? 3 Experts Weigh In
