In this shortened trading week, investors got the latest CPI and PPI data and both numbers remain at historically high, if not record, levels. The big takeaway is that inflation is not yet peaking, particularly since the effect of the Russian war on Ukraine is not fully accounted for in these numbers. The shortened trading week closed with JPMorgan Chase reporting dismal earnings and warning of increased economic risks. If this pattern of lower earnings and tepid guidance plays out as expected, it will confirm the worst fears of investors. That is likely to have a major effect on the price of equities. Next week earnings season begins in earnest. And you can count on the MarketBeat team to watch the stocks and stories that are moving the markets.
Articles by Sean Sechler
The”R” word (recession) is being discussed as a near certainty by analysts. One way that investors can observe this is to watch the stocks that are showing strength in recent trading sessions. These are typically companies that have products and services that remain in high demand no matter what is going on in the economy. With that in mind, Sean Sechler gives investors three recession-proof stocks to consider buying now. While not necessarily defensive stocks, the war in Ukraine is creating a supply-demand disparity in steel. And Sechler gives investors three stellar steel stocks that look particularly appealing right now. And while some investors may not believe now is a time to invest in the tech sector, if you’re an investor with a longer time horizon before retirement, Sechler has three tech stocks that are solid choices for your retirement portfolio.
Articles by Jea Yu
It’s been difficult to be an investor in cannabis stocks for the last few years. However, Tilray (NASDAQ:TLRY) recently posted a surprise profit. And with the possibility of forward progress on legalization of marijuana at the federal level, Jea Yu believes TLRY stock may be presenting an opportunity for speculators. Another stock that has been beaten down for other reasons is PayPal (NASDAQ:PYPL). However, Yu makes the case that this PYPL stock still offers opportunities for investors who are looking to buy on the dip. One stock that doesn’t look to be dipping anytime soon will be Conagra (NYSE:CAG). As Yu points out, the consumer packaged foods company is dealing with shrinking margins due to inflation. However, the company is taking actions to pass along their higher costs which should begin to hit the bottom line in the next few quarters.
Articles by Thomas Hughes
Thomas Hughes was looking at a different stock in the cannabis sector, OrganiGram (NASDAQ:OGI). OrganiGram is not profitable yet, but the headline news is that it is expecting to be profitable sooner than expected. As Hughes points out that means OGI stock has likely found a bottom giving speculative investors a path for growth. One company that has been having no problems on the bottom line is Lululemon (NASDAQ:LULU). The company delivered a strong earnings report at the end of March. And analysts continue to believe that the company’s pricing power will lead to continued revenue and earnings growth in future quarters. Hughes was also taking a look at dividend stocks. We believe these stocks should always be in fashion. But never more than now, and Hughes gave investors three dividend stocks that are likely to receive upgrades during this earnings season.
Articles by Sam Quirke
Sam Quirke gave investors an overview of this week’s events at Twitter (NYSE:TWTR). Anyway you look at it, there’s an interesting opportunity setting up for the company, and Quirke offers some suggestions for how to analyze the state of play. Quirke also analyzed Ross Stores (NASDAQ:ROST). The company recently received a price target increase. And the company’s own guidance suggests that consumers are already starting to make the shift to value retail chains which should provide an additional catalyst. One company that could use a catalyst is Nvidia (NASDAQ:NVDA) which has come across a series of unfortunate headwinds that have been a drag on NVDA stock. But Quirke believes there may be reasons for speculative investors to begin nibbling at the stock ahead of earnings.
Articles by Chris Markoch
In times like this, investors are on the hunt for undervalued stocks. And Chris Markoch gave investors three Easter egg stocks that are trading near their 52-week lows and showing signs of being undervalued. Markoch was also looking at bank stocks as earnings season begins. Inflation is a double-edged sword for banks. This is a time when quality matters, and Markoch gave investors three bank stocks that look to hold up well no matter what inflation throws at them. Chris was also looking at Delta Air Lines (NYSE:DAL). Although the airline stock was rising after a strong earnings report, Markoch has concerns about how inflationary pressures may affect passenger volume as the year goes on.
Articles by Melissa Brock
With inflation remaining at record highs, Melissa Brock had her eye on cost-conscious retail stocks that offer investors recession proof hedges for their portfolio. A recent CNBC poll cites that 81% of Americans believe a recession is likely this year. With that in mind, Brock gave investors three retail stocks that are likely to flourish in whatever direction the economy moves.
Despite record-high inflation, supply chain disruption, and increased cost pressures due to rising wages, the retail sector has been one of the better performers in 2022. At this time, many retailers have been easy to pass along their costs to consumers.
The question is how long can that last? Investors will get their first clue when the March 2022 Advance Monthly Retail Report is released on April 14, 2022. However, if you’re looking to invest in the sector, it’s important to widen your lens. Retail sales slowed sharply in February as opposed to January. However, this is a time when investors have to dive into the report. While some categories are struggling, other categories are outperforming the sector and may continue to do so.
That’s the focus of this special presentation. We’re taking a look at seven retail stocks that have been solid performers thus far in 2022 and have a solid outlook for the remainder of the year.