Tag: Stocks

3 Advertising & Marketing Stocks to Watch Amid Industry Woes

The rise in service activities, along with increased digital marketing services and the success of the work-from-home trend, is enabling the Zacks Advertising and Marketing industry to counter the prevailing revenue softness.

Customer-centric approaches to business, digital strategies, and technology investments are helping Publicis Groupe S.A. PUBGY, National CineMedia, Inc. NCMI and AdTheorent Holding Company, Inc. ADTH to sail through the current testing times.

About the Industry

The Zacks Advertising and Marketing industry comprises companies that offer an extensive range of services, including advertising, branding, content marketing, digital/direct marketing, digital transformation, financial/corporate business-to-business advertising, graphic arts/digital imaging, healthcare marketing and communications and in-store design services. Prominent players from the industry include Interpublic and Omnicom. The pandemic has changed the way industry players have conducted business and delivered services so far. Currently, the industry’s key focus is on channelizing money and efforts toward media formats and devices. To position themselves suitably in the post-pandemic era, service providers are increasing their efforts toward formulating strategic initiatives and identifying sources of demand.

What’s Shaping the Future of the Industry?

Economic Recovery: The sector is a major beneficiary of the broader economy and service activities. According to the Bureau of Economic Analysis, GDP grew at an annual rate of 2.5% in 2023 compared with 1.9% growth in 2022. Economic activities in the non-manufacturing sector are in good shape. The Services PMI measured by the Institute for Supply Management has stayed above the 50% mark for the past 14 months, indicating continued expansion.

Reviving Demand: The industry is mature, with demand for services remaining stable over time. Revenues, income and cash flows are anticipated to gradually reach the pre-pandemic levels, aiding most industry players to pay out stable dividends.

Digital Marketing Gathering Steam: Digital media consumption has shot up, with consumers spending more

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Best Tech Stocks in 2024: Tech Investing 101

The technology sector is vast, comprising gadget makers, software developers, wireless providers, streaming services, semiconductor companies, and cloud computing providers, to name just a few. Any company that sells a product or service heavily infused with technology likely belongs to the tech sector.

Person working outdoors with laptop, phone, and headphones.

Image source: Getty Images.

What are Tech Stocks?

What are Tech Stocks?

Hardware Companies

These design and build devices such as:

  • Personal computers.
  • Smartphones.
  • Fitness trackers.
  • Smart speakers.
  • Enterprise equipment, such as servers and networking gear.

Software Companies

These design the software that runs on hardware, such as:

  • Operating systems.
  • Databases.
  • Cybersecurity software.
  • Productivity software.

Software companies are increasingly moving to a software-as-a-service model where customers buy a subscription to a program instead of a one-time license. The arrangement generates recurring revenue for the software company.

Semiconductor chips power the hardware. Semiconductor companies design and/or manufacture central processing units, graphics processing units, memory chips, and a wide variety of other chips that help to run today’s devices.

Telecom companies that provide wireless services are part of the tech sector. So are the video streaming companies that provide easy access to high-quality content, and the cloud computing providers that power those streaming services.

The best tech stocks in 2024

The best tech stocks in 2024

Many of the most valuable companies in the world are technology companies. These are some of the most dominant and impressive tech stocks that investors should consider:

  1. Amazon.com (AMZN -0.83%) is the leading online retailer and leading provider of cloud computing infrastructure.
  2. Microsoft (MSFT -0.71%) is a dominant software company known for its Windows PC operating system and Office productivity software. Microsoft is also the second-largest provider of cloud infrastructure.
  3. Apple (AAPL 1.02%) makes the iPhone, iPad, and Mac computers. Intense customer loyalty ensures plenty of repeat
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Top 11 Stocks to Buy From all 11 Sectors | Investing

In investing, a sector is a broad business category that a given company belongs to. Grouping companies, especially companies that offer stock to the public, by sector is a helpful way of sorting them into convenient groups.

There is no law or regulation that dictates the official names and criteria of sectors, but the financial industry has adopted and generally adheres to a specific set of sector groupings called the Global Industry Classification Standard, or GICS. The GICS was developed in 1999 in a joint effort between Standard & Poor’s Global and Morgan Stanley. It has been a reliable industry standard ever since.

Under the GICS there are 11 sectors. They are as follows:

Knowing a company’s sector is very useful when selecting stocks to buy and hold in an investment portfolio. Because different sectors can perform differently according to their own specific market and economic conditions, diversifying holdings among sectors can reduce the overall risk of a portfolio. In this way, sector diversification is an effective risk reduction strategy.

Unfortunately, with thousands of stocks grouped into 11 sectors, picking the right ones to buy can seem like a daunting task. Here’s a look at one top stock from each of the 11 different sectors:

SHW

Sector: Materials
Industry: Specialty chemicals

With manufacturing, distribution and retail outlets in 120 countries, SHW is a world leader in the development, production and distribution of paints, stains and coatings for retail and commercial customers.

SHW is a large-cap

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3 Advertising & Marketing Stocks to Watch From a Booming Industry

The rise in service activities, along with increased digital marketing services and the success of the work-from-home trend, is enabling the Zacks Advertising and Marketing industry to counter the prevailing revenue softness.

Customer-centric approaches to business, digital strategies and technology investments are helping Publicis Groupe S.A. PUBGY, Omnicom Group Inc. OMC and WPP plc WPP to sail through the current testing times.

About the Industry

The Zacks Advertising and Marketing industry comprises companies that offer an extensive range of services, including advertising, branding, content marketing, digital/direct marketing, digital transformation, financial/corporate business-to-business advertising, graphic arts/digital imaging, healthcare marketing and communications and in-store design services. Prominent players from the industry include Interpublic and Omnicom. The pandemic has changed the way industry players have conducted business and delivered services so far. Currently, the industry’s key focus is on channelizing money and efforts toward media formats and devices. To position themselves suitably in the post-pandemic era, service providers are increasing their efforts toward formulating strategic initiatives and identifying sources of demand.

What’s Shaping the Future of the Industry?

Economic Recovery: The sector is a major beneficiary of the broader economy and service activities. According to the Bureau of Economic Analysis, GDP grew at an annual rate of 2.5% in 2023 compared with 1.9% growth in 2022. Economic activities in the non-manufacturing sector are in good shape. The Services PMI measured by the Institute for Supply Management has stayed above the 50% mark for the past 12 months, indicating continued expansion.

Reviving Demand: The industry is mature, with demand for services remaining stable over time. Revenues, income and cash flows are anticipated to gradually reach pre-pandemic levels, aiding most industry players in paying out stable dividends.

Digital Marketing Gathering Steam: Digital media consumption has shot up, with consumers spending more time on various

Read More ...

9 Best Small-Cap Stocks to Buy in 2024 | Investing

As the old saying goes, past performance doesn’t guarantee future returns. But it’s not uncommon for stocks that are struggling to keep circling the drain and for recent outperformers to continue to ride their momentum even higher going forward.

The following companies are among the best small-cap stocks to buy in 2024, thanks to impressive returns in the prior year and strong outlooks for the future. All have delivered gains of more than 100% since Jan. 1. At the same time, all are still modest in size, with no stock over $10 billion and a few smaller than $1 billion.

There’s risk in smaller stocks, as they are not as well capitalized as big-name blue chips. There’s also a chance that prior gains and enthusiasm will fade away in the new year if things go sideways for the broader economy, or for these stocks in particular.

That said, the following nine companies all clearly have something to offer, and each is worth considering if you’re looking for the top small-cap stocks to buy in 2024:

Stock Sector Market Cap* YTD Gain*
Applied Optoelectronics Inc. (ticker: AAOI) Technology $692 million 882%
Bitfarms Ltd. (BITF) Finance $731 million 415.9%
Carvana Co. (CVNA) Consumer discretionary $6.8 billion 740.3%
Carrols Restaurant Group Inc. (TAST) Consumer discretionary $435 billion 491.9%
Duolingo Inc. (DUOL) Technology $9.3 billion 203.9%
e.l.f. Beauty Inc. (ELF) Consumer staples $7.1 billion 132.6%
Forestar Group Inc. (FOR) Real estate $1.6 billion 103.2%
Simpson Manufacturing Co. Inc. (SSD) Materials $7.7 billion 106.9%
Talkspace Inc. (TALK) Health care $391 million 290.2%

Applied Optoelectronics Inc. (AAOI)

Sector: Technology
Market cap: $692 million
2023 performance: +882%

Manufacturer Applied Optoelectronics produces fiber optic equipment, lasers and other high-tech gear. It’s a small, niche player, but like many of the best small-cap stocks to buy now, its unique

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3 Advertising & Marketing Stocks to Watch Amid Industry Woes – November 7, 2023

The rise in service activities, along with increased digital marketing services and the success of the work-from-home trend, is enabling the Zacks Advertising and Marketing industry to counter the prevailing revenue softness.

Customer-centric approaches to business, digital strategies and technology investments are helping Omnicom Group Inc. (OMC Free Report) , National CineMedia, Inc. (NCMI Free Report) and Harte Hanks, Inc. (HHS Free Report) to sail through the current testing times.

About the Industry

The Zacks Advertising and Marketing industry comprises companies that offer an extensive range of services, including advertising, branding, content marketing, digital/direct marketing, digital transformation, financial/corporate business-to-business advertising, graphic arts/digital imaging, healthcare marketing and communications and in-store design services. Prominent players from the industry include Interpublic and Omnicom. The pandemic has changed the way industry players have conducted business and delivered services so far. Currently, the industry’s key focus is on channelizing money and efforts toward media formats and devices. To position themselves suitably in the post-pandemic era, service providers are increasing their efforts toward formulating strategic initiatives and identifying sources of demand.

What’s Shaping the Future of the Industry?

Economic Recovery: The sector is a major beneficiary of the broader economy and service activities. According to the “advance” estimate released by the Bureau of Economic Analysis, GDP grew at an annual rate of 4.9% in the third quarter compared with 2.1% growth in the second quarter. Economic activities in the non-manufacturing sector are in good shape. The Services PMI measured by the Institute for Supply Management has stayed above the 50% mark for the past ten months, indicating continued expansion.

Reviving Demand: The industry is mature, with demand for services remaining stable over time. Revenues, income and cash flows are anticipated to

Read More ...

7 Best Marijuana Stocks to Buy Now | Investing

Earlier this year, the U.S. Department of Health and Human Services said it recommends reclassifying marijuana from a Schedule 1 drug to Schedule 3, a development greeted with enthusiasm by the legal marijuana industry.

If the rescheduling happens, then the industry would be able to come out from under the shadow of Internal Revenue Service Code Section 280E, which prohibits marijuana companies from taking certain tax deductions and credits that federally legal businesses enjoy.

That would remove a huge impediment to profitability, and in September marijuana stocks rallied to the year’s high point on the news.

Now, they have resumed a years-long slump, with the New Cannabis Ventures Global Cannabis Stock Index hitting a record low this week.

The sell-off may be rooted in worries that upcoming earnings reports might not be as strong as hoped, fears about a new House speaker who has historically opposed bills that supported the cannabis industry, and general market malaise, New Cannabis Ventures said in a note to investors.

“While 280E might get wiped out, which would be a huge benefit for cannabis companies, the sector remains under pressure,” according to New Cannabis Ventures.

In addition to tax issues, oversupply and competition within the legal market have depressed prices, and the cheaper illegal market lures customers who would otherwise spend on legal products.

Meanwhile, in the U.S., marijuana companies have found it harder to secure loans after the regional banking crisis earlier this year, which brought a chill to an already difficult financing market. Banking laws are set federally, and most lenders don’t want to deal with the onerous paperwork that comes with lending to marijuana companies.

These factors have led to a broad pullback in cannabis shares, creating bargain opportunities for those who are willing to hold shares for a long time.

“With

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7 Best Psychedelic Stocks to Watch | Investing

The U.S. psychedelics industry is expanding in late 2023, with heavy private investment and with the blessing of the chief U.S. drug-approval agency.

In late June, the U.S. Food and Drug Administration issued its first-ever draft guidance on psychedelic drug clinical trials in key areas like psychedelic therapy and high-end herbal medicine, providing industry companies with a glimpse at a regulatory roadmap for drug development.

In addition, the psychedelic drugs market is expected to grow from $4.9 billion in 2022 to $11.8 billion by 2029, according to U.K.-based Brandessence Market Research. That’s a compound annual growth rate of about 13.5%.

Starting in 2022, two U.S. states – Oregon and Colorado – established dates to legalize specific psychedelic substances. On Jan. 1, 2023, Oregon became the first state to legalize the adult use of psilocybin (psychedelic mushrooms) via the Oregon Psilocybin Services Act. The legislation creates a licensure process for manufacturers and service centers but requires that a state-certified facilitator be present during psilocybin consumption and does not allow retail sales.

Later in 2023, more U.S. states, including Arizona, Minnesota, Nevada and Washington, have passed legislation to open a path to legalization for so-called psilocybin services. Most psychedelics are still classified as Schedule 1 substances by the federal government, however, so it remains to be seen how federal law will comingle with state allowances for psychedelics.

Regardless, the industry appears to be a year or two away from getting enough private funding for research and development to make significant moves forward, and the opportunity for ground-floor investment in psychedelic drugs exists right now.

What stocks will prosper the most in that time frame? Many of these investments are very cheap now and are risky just because that’s the nature of the beast, so it’s important to do your due diligence

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6 Best Small-Cap Stocks to Buy in 2023 | Investing

An underappreciated edge individual investors possess? The agility to delve into small-cap stocks without influencing market dynamics – an impossible feat for the largest and brightest funds on Wall Street.

Traditional financial wisdom, however, champions mega-caps as the path to stock market returns.

A deeper dive reveals that small caps can match their mega-cap counterparts when it comes to stability. The small-cap universe has stocks of all criteria: growth, dividend, value, turnarounds – you name it.

Historically, small-cap stocks tend to outperform large-cap stocks. Scholars have labeled this phenomenon the “size-effect,” tracing its origins to more modest attention from the press, Wall Street analysts and large investment funds. This dynamic often results in a delayed or dulled market response to news or operational improvements for small-cap stocks, sometimes allowing individual investors to perform information arbitrage.

While the world of small-caps offers additional risk, the right investor can also achieve superior returns. For those keen to exploit the small-cap anomaly, these six stocks are worthy of your consideration. Whether you’re tapping into the hot artificial intelligence industry or looking to play a turnaround, this curated list caters to a diverse range of investment appetites:

Stock Sector Market cap YTD Gain (as of Sept. 7 close)
WW International Inc. (ticker: WW) Consumer cyclical $840 million 190.9%
Shutterstock Inc. (SSTK) Communication services $1.4 billion -22.5%
Intapp Inc. (INTA) Technology $2.4 billion 42.7%
International Seaways Inc. (INSW) Energy $2.1 billion 21.7%
Xponential Fitness Inc. (XPOF) Consumer cyclical $950 million -16.1%
Winnebago Industries Inc. (WGO) Consumer cyclical $1.9 billion 19.3%

WW International Inc. (WW)

Sector: Consumer cyclical
Market value: $840 million
YTD return: 190.9%

WW International, better known as WeightWatchers, is a poster story for digital disruption. With competitors releasing free apps like MyFitnessPal and easily accessible internet weight loss information, the company’s core business

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Artificial Intelligence Stocks: The 10 Best AI Companies | Investing

Virtually every industry is being disrupted by artificial intelligence, automation and robotics in some way. The world got a firsthand look at remarkable advances in AI technology recently, including OpenAI’s ChatGPT AI chatbot, Google’s Bard AI chatbot and Microsoft’s Copilot AI assistant.

Whether it be machine learning, large language models, smart applications and appliances, digital assistants, synthetic media software, or autonomous vehicles, companies that aren’t investing in AI products and services risk becoming obsolete. Countless companies stand to benefit from AI, but a handful of stocks have AI and automation as a central part of their businesses.

Here are 10 of the best AI stocks to buy, according to Bank of America:

Stock Implied upside from Oct. 3 closing price
Microsoft Corp. (ticker: MSFT) 29.2%
Alphabet Inc. (GOOG, GOOGL) 10.2%
Nvidia Corp. (NVDA) 49.4%
Meta Platforms Inc. (META) 24.6%
Taiwan Semiconductor Manufacturing Co. Ltd. (TSM) 46.4%
ASML Holding NV (ASML) 42%
SAP SE (SAP) 21.9%
RELX PLC (RELX) 16.5%
Arista Networks Inc. (ANET) 21.7%
Baidu Inc. (BIDU) 71.9%

Software giant Microsoft invested $1 billion in OpenAI in 2019 as part of a partnership that made Microsoft Azure OpenAI’s exclusive cloud provider, and it announced a new multiyear, multibillion-dollar investment in OpenAI in January 2023. Microsoft integrated ChatGPT into its Bing search engine in February. In September, Microsoft announced that it is integrating its AI assistants into a single AI experience called Microsoft Copilot. Analyst Brad Sills says heavy investments in AI technology will drive “meaningful” upside for Microsoft’s revenue and operating income over time. Bank of America has a “buy” rating and $405 price target for MSFT stock, which closed at $313.39 on Oct. 3.

Google and YouTube parent company Alphabet uses AI and automation in virtually every facet of its business, from ad pricing to content promotion to Gmail

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