Latest news with #bearish
Yahoo
3 days ago
- Business
- Yahoo
2 Unpopular Stocks That Should Get More Attention and 1 We Ignore
When Wall Street turns bearish on a stock, it's worth paying attention. These calls stand out because analysts rarely issue grim ratings on companies for fear their firms will lose out in other business lines such as M&A advisory. At StockStory, we look beyond the headlines with our independent analysis to determine whether these bearish calls are justified. Keeping that in mind, here are two stocks where you should be greedy instead of fearful and one where the skepticism is well-placed. One Stock to Sell: J. M. Smucker (SJM) Consensus Price Target: $110.36 (4% implied return) Best known for its fruit jams and spreads, J.M Smucker (NYSE:SJM) is a packaged foods company whose products span from peanut butter and coffee to pet food. Why Do We Avoid SJM? Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion Efficiency has decreased over the last year as its operating margin fell by 23.7 percentage points Underwhelming 2.8% return on capital reflects management's difficulties in finding profitable growth opportunities, and its shrinking returns suggest its past profit sources are losing steam J. M. Smucker's stock price of $106.08 implies a valuation ratio of 10.4x forward P/E. If you're considering SJM for your portfolio, see our FREE research report to learn more. Two Stocks to Watch: Palantir (PLTR) Consensus Price Target: $104.96 (-31.6% implied return) Started by Peter Thiel after seeing US defence agencies struggle in the aftermath of the 2001 terrorist attacks, Palantir (NYSE:PLTR) offers software as a service platform that helps government agencies and large enterprises use data to make better decisions. Why Is PLTR a Top Pick? Billings have averaged 38.6% growth over the last year, showing it's securing new contracts that could potentially increase in value over time Fast payback periods on sales and marketing expenses allow the company to invest heavily and onboard many customers concurrently Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends At $153.40 per share, Palantir trades at 94.4x forward price-to-sales. Is now the right time to buy? Find out in our full research report, it's free. Stryker (SYK) Consensus Price Target: $422.71 (8.6% implied return) With over 150 million patients impacted annually through its innovative healthcare technologies, Stryker (NYSE:SYK) develops and manufactures advanced medical devices and equipment across orthopedics, surgical tools, neurotechnology, and patient care solutions. Why Do We Watch SYK? Existing business lines can expand without risky acquisitions as its organic revenue growth averaged 10.4% over the past two years Revenue base of $23.22 billion gives it economies of scale and some negotiating power Free cash flow generation is better than most peers and allows it to explore new investment opportunities Stryker is trading at $389.40 per share, or 28.2x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it's free. High-Quality Stocks for All Market Conditions Trump's April 2024 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines. Take advantage of the rebound by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. 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
6 days ago
- Business
- Yahoo
The Canadian Dollar is Trending Down as the U.S. Dollar Index Fights to Bottom Out
December Canada dollar futures (D6Z25) present a selling opportunity on more price weakness. See on the daily bar chart for the December Canadian dollar futures that prices are starting to trend down and have formed a bearish double-top reversal pattern. See, too, at the bottom of the chart that the moving average convergence divergence (MACD) indicator is in a bearish posture as the blue MACD line is below the red trigger line and both lines are trending down. More News from Barchart Insider Trading Alert: Here's Who Bought Nvidia and AMD Stock Before the U.S. Chip Deal with China Dear Tesla Stock Fans, Mark Your Calendars for July 23 Robinhood Keeps Hitting New Highs. How Should You Play HOOD Stock Here? Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Fundamentally, the U.S. economy is presently in a healthy state, evidenced by recent upbeat economic data that shows a growing economy. Such also suggests the Federal Reserve will be limited in its ability to lower interest rates, for fear of sparking problematic inflation. That scenario is U.S. dollar-bullish. It's my bias the U.S. dollar index ($DXY) has at least put in a near-term price bottom, if not a major price bottom. A move in the December Canadian dollar futures below chart support at the June low of .7310 would give the bears more power and it would also become a selling opportunity. The downside price objective would be .7100 or below. Technical resistance, for which to place a protective buy stop just above, is located at .7400. IMPORTANT NOTE: I am not a futures broker and do not manage any trading accounts other than my own personal account. It is my goal to point out to you potential trading opportunities. However, it is up to you to: (1) decide when and if you want to initiate any trades and (2) determine the size of any trades you may initiate. Any trades I discuss are hypothetical in nature. Here is what the Commodity Futures Trading Commission (CFTC) has said about futures trading (and I agree 100%): Trading commodity futures and options is not for everyone. IT IS A VOLATILE, COMPLEX AND RISKY BUSINESS. Before you invest any money in futures or options contracts, you should consider your financial experience, goals and financial resources, and know how much you can afford to lose above and beyond your initial payment to a broker. You should understand commodity futures and options contracts and your obligations in entering into those contracts. You should understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you. On the date of publication, Jim Wyckoff 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
Globe and Mail
16-07-2025
- Business
- Globe and Mail
EURAUD May Resume Lower
At the start of 2025, EURAUD made a massive push up, but out of a bullish wave B triangle, so that leg up was wave C, and it could be now finished at 1.85 area. Keep in mind that moves out of a triangle are final in a sequence, so it's not a surprise that we see a sharp reversal, which can be a signal for the top. That being said, be aware of bears and more weakness after the current deep corrective rally which can be now finished at 61.8% Fib resistance; an ideal turning point. EURAUD pair is coming sharply and impulsively down back below channel support line in the 4-hour chart, which confirms resistance in place and bearish reversal. It can be actually still unfolding a five-wave bearish impulse, so after current wave 4 pullback, be aware of more weakness for wave 5 down to 1.76 area. For more analysis like this, you may want to watch below our latest recording of a live webinar streamed on July 7 2025:
Yahoo
16-07-2025
- Business
- Yahoo
Hims & Hers (HIMS): A Bear Case Theory
We came across a bearish thesis on Hims & Hers on FJ Research's Substack. As of 3ʳᵈ July, Hims & Hers's share was trading at $47.98. HIMS's trailing and forward P/E were 70.56 and 104.30 respectively according to Yahoo Finance. A nurse in a telehealth platform talking with a patient on video call for consultation. The author of the article has decided to sell their entire position in Hims & Hers, a company they had previously been bullish on. This decision was not made due to market timing or volatility, but rather due to a reevaluation of the company's business model and growth potential. The author had initially invested in Hims & Hers due to its simple consumer interface, direct-to-consumer distribution in healthcare, and potential for growth with GLP-1s and personalized care. The author's reevaluation of Hims & Hers was triggered by several concerns, including the company's lack of defensible infrastructure, thin margins, and questionable economics. The company's business model was found to be heavily reliant on marketing, with no proprietary diagnostics, IP, or systems. Additionally, the company's response to a recent controversy surrounding its sourcing of GLP-1 compounds raised concerns about its behavior and priorities. The author also notes that the hype cycle around GLP-1s may be cooling, which could impact Hims & Hers' growth potential. The author has decided to rotate their capital into a new investment that meets their criteria of being essential, durable, scalable, and deeply misunderstood. While the article does not specify the new investment, it suggests that the author has a high level of conviction in their decision to sell Hims & Hers. The author notes that selling Hims & Hers was a difficult decision, but ultimately necessary to ensure rational capital allocation and long-term wealth creation. The company's high short interest and structural issues contributed to the author's decision to sell. Previously, we covered a bullish thesis on Hims & Hers by M.V. Cunha on Substack, highlighting its breakout growth, strong FCF, and accelerating subscriber monetization. The company's stock price has depreciated by 10% since our coverage. This is because the previous thesis - emphasizing HIMS's long-term evolution into a vertically integrated, precision-based care platform with strong growth prospects - has partially played out, but new concerns have emerged discussed in the new coverage. FJ Research's article shares a contrarian view, citing concerns over HIMS's business model, lack of defensible infrastructure, and thin margins, leading the author to sell their entire position. HIMS isn't on our list of the 30 Most Popular Stocks Among Hedge Funds. While we acknowledge the risk and potential of HIMS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. 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
07-07-2025
- Business
- Yahoo
1 Unpopular Stock that Deserves a Second Chance and 2 to Think Twice About
When Wall Street turns bearish on a stock, it's worth paying attention. These calls stand out because analysts rarely issue grim ratings on companies for fear their firms will lose out in other business lines such as M&A advisory. At StockStory, we look beyond the headlines with our independent analysis to determine whether these bearish calls are justified. Keeping that in mind, here is one stock where you should be greedy instead of fearful and two where the skepticism is well-placed. Consensus Price Target: $69.91 (5.3% implied return) Headquartered just outside of Detroit, MI, Masco (NYSE:MAS) designs and manufactures home-building products such as glass shower doors, decorative lighting, bathtubs, and faucets. Why Is MAS Risky? Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy Estimated sales for the next 12 months are flat and imply a softer demand environment Shrinking returns on capital suggest that increasing competition is eating into the company's profitability At $66.38 per share, Masco trades at 15.3x forward P/E. Dive into our free research report to see why there are better opportunities than MAS. Consensus Price Target: $39.33 (3.3% implied return) With roots dating back to 1982 and a strong presence in the Mid-Atlantic region, United Bankshares (NASDAQ:UBSI) is a bank holding company that provides commercial and retail banking services through its United Bank subsidiary across multiple states. Why Are We Wary of UBSI? Sales were flat over the last two years, indicating it's failed to expand this cycle Net interest income trends were unexciting over the last four years as its 6.4% annual growth was below the typical bank company Capital trends were unexciting over the last two years as its 7.3% annual tangible book value per share growth was below the typical bank company United Bankshares's stock price of $38.09 implies a valuation ratio of 1x forward P/B. To fully understand why you should be careful with UBSI, check out our full research report (it's free). Consensus Price Target: $22.89 (-5.6% implied return) Working in stealth mode for eight years, Bloom Energy (NYSE:BE) designs, manufactures, and markets solid oxide fuel cell systems for on-site power generation. Why Do We Love BE? Impressive 14.5% annual revenue growth over the last five years indicates it's winning market share this cycle Incremental sales significantly boosted profitability as its annual earnings per share growth of 68.2% over the last two years outstripped its revenue performance Free cash flow margin is now positive, showing the company has crossed a key inflection point Bloom Energy is trading at $24.24 per share, or 54.1x forward P/E. Is now the right time to buy? Find out in our full research report, it's free. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
