Latest news with #lowvolatility
Yahoo
3 days ago
- Business
- Yahoo
Leerink Partners Decreases PT on Abbott Laboratories (ABT) to $136 From $143, Maintains a Hold Rating
Abbott Laboratories (NYSE:ABT) is one of the top low volatility healthcare stocks to buy now. Analyst Mike Kratky from Leerink Partners reiterated a Hold rating on Abbott Laboratories (NYSE:ABT) on July 21, decreasing the price target to $136.00 from $143.00. An operating room with a doctor monitoring a patient's vital signs during surgery with a medical device. The analyst justified the Hold rating with the company's performance, stating that Abbott Laboratories' (NYSE:ABT) recent Q2 earnings report presented a mixed picture. Management slashed their organic sales growth guidance, attributed primarily to several headwinds collectively affecting the Diagnostics segment outlook. These include changes in HIV funding, disruptions from value-based purchasing (VBP) in China, and weaker-than-expected COVID-19 sales. Kratky also stated that positive aspects for Abbott Laboratories (NYSE:ABT) exist amid these challenges, especially in the company's MedTech segment, which delivered solid growth. The non-MedTech segments are, however, continually facing complications, warranting a cautious outlook as these segments contribute significantly to the company's revenue. Abbott Laboratories (NYSE:ABT) discovers, develops, manufactures, and sells healthcare products. Its business segments include Diagnostic Products, Established Pharmaceutical Products, Medical Devices, and Nutritional Products. The company's Abbott Molecular is a leader in oncology molecular diagnostics with its Vysis FISH assays. While we acknowledge the potential of ABT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
3 days ago
- Business
- Yahoo
UnitedHealth Group (UNH) Responds to the Department of Justice
UnitedHealth Group Incorporated (NYSE:UNH) is one of the top low volatility healthcare stocks to buy now. On July 24, UnitedHealth Group Incorporated (NYSE:UNH) released a statement responding to the Department of Justice after a review of the media reports about investigations into specific aspects of its involvement in the Medicare program. A senior healthcare professional giving advice to a patient in a clinic. UnitedHealth Group Incorporated (NYSE:UNH) stated that it has now begun complying with the formal criminal and civil requests from the Department, and has 'full confidence in its practices and is committed to working cooperatively with the Department throughout this process'. It added that UnitedHealth Group Incorporated (NYSE:UNH) has a historical record of 'responsible conduct and effective compliance,' with independent CMS audits showing that its practices are ranked 'among the most accurate in the industry.' Management stated that after a decade-long civil challenge by the Department to aspects of the company's Medicare Advantage business, 'a court-appointed Special Master concluded there was no evidence to support claims of wrongdoing'. UnitedHealth Group Incorporated (NYSE:UNH) has launched its own initiative to provide confidence and transparency to stakeholders, focusing on conducting 'third-party reviews of policies, practices, and associated processes and performance metrics for risk assessment coding, managed care practices, and pharmacy services.' UnitedHealth Group Incorporated (NYSE:UNH) provides healthcare coverage, data consultancy, and software services. It operates through the OptumRx, OptumInsight, OptumHealth, and UnitedHealthCare segments, which have solid operations. While we acknowledge the potential of UNH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
5 days ago
- Business
- Yahoo
Low volatility, US dollar, tech 'super boom': Market Takeaways
Yahoo Finance Markets and Data Editor Jared Blikre joins Asking for a Trend with Josh Lipton to take a look at the biggest takeaways from Friday's trading session: the trend of low volatility, the US dollar ( driving markets more than crypto or commodities, and the tech sector "super boom." To hear more about the tech super boom, watch Jared's full Stocks in Translation interview with Stock Trader's Almanac editor in chief Jeffrey Hirsch here. To watch more expert insights and analysis on the latest market action, check out more Asking for a Trend here. in this bull market, we are seeing a lot of low volatility days, and that's what we're seeing right here, melt up. And I will show you the week's action in the S&P 500 just to reiterate what we saw after the closing bell. And by the way, let's just start with the sector action. All 11 sectors for these five days in the green. Interestingly, healthcare led. You don't see that very often, at least not lately. Then materials, industrials, real estate, financials, so an interesting mix, mostly cyclicals in there, but also the one defensive, which is healthcare. Tech the laggard. And you got to think what's going to happen next week once we have all those big tech earnings, but uh, we'll leave that for next week. And let's just check out the S&P 500 over these five days, and there are fresh records every single day, up 1.5%, and I was sitting down with Jeff Hirsch of the Stock Traders Almanac. We're going to listen to him in a couple of minutes here, but I just wanted to add, when we have a low volatility period, and it's been almost 20 days now, when you get a break to the upside out of that, you usually see more upside. So, but if you get a break to the downside, well, you usually get more downside. So, whenever we break this low volatility spread, that's going to be top of mind for me, and it's probably going to take you, uh, it's going to be an indication of where the next part of the rally or the decline goes. What has been the big driver of the markets outside of stocks? It has been the dollar over the last 24 hours or so, and this was really interesting because I was watching that press conference, it wasn't really a press conference. President Trump was walking around the Fed building with Chair Powell, and there's a little bit of drama there, but the dollar was heading higher after that. And that's just based on some of the headlines that came out of the meeting that Trump is not going to replace Powell, at least for the time being. And so we saw this, it kind of melted up overnight, and the net result is over the last two days it was up about 33 basis points. Doesn't seem like a lot, but in currency terms, it's not nothing. And I'm not ascribing all of the downside in commodities and crypto to it. And let me just put the futures board on there, but I think it was, uh, it was definitely a factor. And so here's our commodities board, more red than green, looks like softs leading the way down, OJ and also coffee down the most, but also silver, palladium, and then sugar. And then looking at crypto, I'm not going to spend a lot of time on this, but Bitcoin kind of slid down below some support. Let me put the year to date on this so I can chart this for you. Here we go. So we did have a little bit of a range here, a break of the range, but in the big picture, you're to date, just barely looks like a blip on your screen there. We keep hearing, Jared, of a skinny bull, a skinny bull with low breath. What do we mean by that? Well, let's take a look at the tech super boom and, or think about it. And here's where I want to call out that Jeffrey Hirsch clip that we have prepared, sat down with us on Stocks and Translation. He's, of course, the editor of the Stock Traders Almanac, so he's very much into seasonality, but separately, he also tracks some of these super cycles, and these are multi-year cycles, sometimes multi-decadal cycles that we see in some different markets, especially tech-driven. Let's take a listen. This is all part of our longer-term outlook of what we call the super boom, um, which is based upon, uh, you know, inflation and in the end of more like peace time, and also, uh, technology. Culturally, what I call a culturally enabling paradigm shifting technology. This is something that Yale discovered back in the '70s where we see these moves after these postwar periods of 500% or more. Um, we came out with this in 2010, this forecast for Dow 38,820 when it was about 10,000. All right, so getting, getting back to your question, what is, what's with this skinny bull market? It's true. We've had less than half of the S&P 500 stocks really participating year-to-date. You're not seeing, uh, you're not seeing these wild, uh, bullishly internal stats like 70% above their 200-day moving average. And then you take a look at the smaller caps, and here's what I have on the screen here. I'm comparing the MAG 7 to the IWM, which is Russell 2000 ETF since the election. So basically since November 5th. And the Russell 2000 here is break even. Uh, it's barely been able to hold its water here. And of course, there's a big decline and it declined more than MAG 7, but here's the MAG 7, they're only back up to their highs. And even the MAG 7 are kind of struggling it seems to carry the market. The MAG 7 have really become Nvidia and Microsoft. Those have been the biggest two drivers. And I want to show you something else here, and I'm going to wrap this all up after a few more charts. Here's Ark Innovation Fund versus IShares Russell 2000 ETF. And you can see it has just rocketed past these old highs here. And so, and then here's Bitcoin versus small caps. And this is up even more, 68% versus a break even. So where is the strength coming from? You're not seeing it in the middle of the market. You're seeing it from some of the big players and then a bunch of fringey places like innovation, like disruption, like crypto and all these other smaller place. And we also meme stocks. I mean, we just did an entire segment or you just did an entire segment on it. That's where we're seeing the money flow. So you put it all together, there's a vast swath of stocks that are not participating here, but things look good if you're in the right places or if you're just in the major indices and you don't mind watching things go up just a little bit every day. Finally, what's on the Jared Blikre radar for next week? You know, I am interested in some of these big tech earnings. I do want to see what happens with Apple. I'm not counting Apple out by any means. Some of the others as well, but I also want to focus on the dollar. I'm going to see if it continues its ascent because Monday morning, I'm going to do, I'm going to show, I'm going to do August seasonality and we can talk about this too. Dollar typically rises at this point in the year, so that could be a contrary trade. And then meme stocks and all this fringey stuff I've been talking about. That's what I'm going to watch. A lot on deck. Thank you, buddy. Appreciate it. Later.
Yahoo
7 days ago
- Business
- Yahoo
3 Low-Volatility Stocks We Keep Off Our Radar
Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies. Choosing the wrong investments can cause you to fall behind, which is why we started StockStory - to separate the winners from the losers. Keeping that in mind, here are three low-volatility stocks to avoid and some better opportunities instead. Mister Car Wash (MCW) Rolling One-Year Beta: 0.76 Formerly known as Hotshine Holdings, Mister Car Wash (NYSE:MCW) offers car washes across the United States through its conveyorized service. Why Do We Pass on MCW? Poor same-store sales performance over the past two years indicates it's having trouble bringing new shoppers into its stores Eroding returns on capital from an already low base indicate that management's recent investments are destroying value Depletion of cash reserves could lead to a fundraising event that triggers shareholder dilution At $6.75 per share, Mister Car Wash trades at 14.8x forward P/E. Dive into our free research report to see why there are better opportunities than MCW. AMN Healthcare Services (AMN) Rolling One-Year Beta: 0.36 With a network of thousands of healthcare professionals ranging from nurses to physicians to executives, AMN Healthcare (NYSE:AMN) provides healthcare workforce solutions including temporary staffing, permanent placement, and technology platforms for hospitals and healthcare facilities across the United States. Why Is AMN Risky? Declining travelers on assignment over the past two years show it's struggled to increase its sales volumes and had to rely on price increases Sales are expected to decline once again over the next 12 months as it continues working through a challenging demand environment Shrinking returns on capital suggest that increasing competition is eating into the company's profitability AMN Healthcare Services's stock price of $20.52 implies a valuation ratio of 16.9x forward P/E. If you're considering AMN for your portfolio, see our FREE research report to learn more. WaFd Bank (WAFD) Rolling One-Year Beta: 0.69 Founded in 1917 and rebranded from Washington Federal in 2023, WaFd (NASDAQ:WAFD) is a bank holding company that provides lending, deposit services, and insurance through its Washington Federal Bank subsidiary across eight western states. Why Should You Dump WAFD? Net interest income trends were unexciting over the last five years as its 7% annual growth was below the typical bank company 102.2 basis point (100 basis points = 1 percentage point) decline in its net interest margin over the last two years reflects the company's willingness to accept lower yields to defend its market position Performance over the past two years shows each sale was less profitable as its earnings per share dropped by 18.8% annually, worse than its revenue WaFd Bank is trading at $30.04 per share, or 0.9x forward P/B. Read our free research report to see why you should think twice about including WAFD in your portfolio, it's free. Stocks We Like More When Trump unveiled his aggressive tariff plan in April 2024, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that's already erased most losses. Don't let fear keep you from great opportunities and take a look at 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-micro-cap company Tecnoglass (+1,754% 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
7 days ago
- Business
- Yahoo
3 Low-Volatility Stocks We're Skeptical Of
Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets. Finding the right balance between safety and returns isn't easy, which is why StockStory is here to help. Keeping that in mind, here are three low-volatility stocks that don't make the cut and some better opportunities instead. Zoom (ZM) Rolling One-Year Beta: 0.84 Started by Eric Yuan who once ran engineering for Cisco's video conferencing business, Zoom (NASDAQ:ZM) offers an easy to use, cloud-based platform for video conferencing, audio conferencing and screen sharing. Why Is ZM Not Exciting? Average billings growth of 5% over the last year was subpar, suggesting it struggled to push its software and might have to lower prices to stimulate demand Competitive market dynamics make it difficult to retain customers, leading to a weak 98% net revenue retention rate Demand will likely be soft over the next 12 months as Wall Street's estimates imply tepid growth of 3% At $75.75 per share, Zoom trades at 4.9x forward price-to-sales. Check out our free in-depth research report to learn more about why ZM doesn't pass our bar. Brown-Forman (BF.B) Rolling One-Year Beta: 0.49 Best known for its Jack Daniel's whiskey, Brown-Forman (NYSE:BF.B) is an alcoholic beverage company with a broad portfolio of brands in wines and spirits. Why Does BF.B Worry Us? Organic sales performance over the past two years indicates the company may need to make strategic adjustments or rely on M&A to catalyze faster growth Forecasted revenue decline of 3% for the upcoming 12 months implies demand will fall off a cliff Day-to-day expenses have swelled relative to revenue over the last year as its operating margin fell by 6 percentage points Brown-Forman's stock price of $30.90 implies a valuation ratio of 15.9x forward P/E. To fully understand why you should be careful with BF.B, check out our full research report (it's free). MGP Ingredients (MGPI) Rolling One-Year Beta: 0.79 Headquartered in Atchison, Kansas, MGP Ingredients (NASDAQ:MGPI) is a leading supplier of high-quality ingredients to the food and beverage industry Why Do We Pass on MGPI? Annual sales declines of 2.8% for the past three years show its products struggled to connect with the market Forecasted revenue decline of 19.8% for the upcoming 12 months implies demand will fall even further Operating profits fell over the last year as its sales dropped and it struggled to adjust its fixed costs MGP Ingredients is trading at $32.49 per share, or 12.3x forward P/E. If you're considering MGPI for your portfolio, see our FREE research report to learn more. Stocks We Like More Donald Trump's April 2024 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities. The smart money is already positioning for the next leg up. Don't miss out on the recovery - check out our Top 5 Strong Momentum 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-small-cap company Exlservice (+354% 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. Sign in to access your portfolio
