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Value Stocks

HP INC. $30 is a hold. The company (New York symbol HPQ; Conservative Growth Portfolio; Manufacturing sector; Shares outstanding: 990.9 billion; Market cap: $29.7 billion; Price-to-sales ratio: 0.6; Dividend yield: 3.7%; TSINetwork Rating: Average; www.hp.com) is a leading maker of personal computers and home and office printers.

Billionaire investor Warren Buffett, through his Berkshire Hathaway holding company, continues to shrink his stake in HP....

1 min read

Pat McKeough

Growth Stocks

We still prefer the spinoff to its parent

The shares of industrial conglomerate General Electric have gained 55% since it decided to split into three separate firms in November 2021. The company now expects to complete the final spinoff in April 2024. While the breakup should ultimately benefit investors, the recent healthcare equipment spinoff is your better choice for new buying.

GENERAL ELECTRIC CO....

2 min read

Pat McKeough

Growth Stocks

Yum China targets new cities

YUM CHINA HOLDINGS INC. $37 is a buy for aggressive investors. The company (New York symbol YUMC; Consumer Sector; Shares outstanding: 416.9 million; Market cap: $15.4 billion; Price-to-sales ratio: 1.4; Dividend yield: 1.4%; TSINetwork Rating: Average; www.yumchina.com) is China’s largest fast-food operator with over 14,000 outlets, mainly under the KFC and Pizza Hut banners.

The stock is down 13% since the start of 2024 due to China’s slowing economic growth....

1 min read

Pat McKeough

Mining Stocks

Good time to add these to your portfolio

Commodity prices have weakened in the past few months, partly due to China’s slower-than-expected post-pandemic recovery. Even so, we still like the long-term prospects of these two leading resources stocks.

BHP GROUP LTD. (ADR) $62 is a buy. This company (New York symbol BHP; Conservative Growth Portfolio, Resources sector; ADRs outstanding: 2.5 billion; Market cap: $155.0 billion; Price-to-sales ratio: 2.9; Dividend yield: 5.5%; TSINetwork Rating: Average; www.bhp.com) is a leading producer of iron ore, copper, nickel and coal.

The company reported 16.9% lower metallurgical coal production for the first half of its fiscal year ending June 30, 2024....

2 min read

Pat McKeough

Growth Stocks

Microsoft brings AI to PCs

MICROSOFT CORP. $403 is a buy for aggressive investors. The company (Nasdaq symbol MSFT; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 7.4 billion; Market cap: $3.0 trillion; Price-to-sales ratio: 13.6; Dividend yield: 0.7%; TSINetwork Rating: Above Average; www.microsoft.com) invested $10 billion in OpenAI, the developer of the ChatGPT chatbot; it uses artificial intelligence (AI) software to interact with users in a conversational way and produce human-like written responses.

Microsoft is now incorporating that AI technology, as a new product (called Copilot), into its Office software products.

For example, Copilot can review a document and suggest ways to improve its readability....

1 min read

Pat McKeough

Growth Stocks

Keysight expands in Europe

KEYSIGHT TECHNOLOGIES INC. $155 is still a buy for aggressive investors. The company (New York symbol KEYS; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 177.8 million; Market cap: $27.6 billion; Price-to-sales ratio: 5.1; No dividend paid; TSINetwork Rating: Average; www.keysight.com) makes an array of devices for testing electronic equipment.

The company has now acquired 98.2% of the shares in ESI Group....

1 min read

Pat McKeough

Growth Stocks

Four ways you can profit from AI

All four of these technology stocks have moved up lately due to investor enthusiasm for their artificial intelligence products. While they look expensive in relation to earnings, we still like their long-term prospects.

ADOBE INC. $606 is buy for aggressive investors. The company (Nasdaq symbol ADBE; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 455.3 million; Market cap: $275.9 billion; Price-to-sales ratio: 14.1; No dividends paid since June 2005; TSINetwork Rating: Average; www.adobe.com) makes software that lets computer users create, edit and share documents in the popular PDF format....

5 min read

Pat McKeough

Dividend Stocks

Verizon attracts more users

VERIZON COMMUNICATIONS INC. $41 is a buy. The telecom provider (New York symbol VZ; Income Portfolio, Utilities sector, Shares outstanding: 4.2 billion; Market cap: $172.2 billion; Price-to-sales ratio: 1.3; Dividend yield: 6.5%; TSINetwork Rating: Average; www.verizon.com) is the second-largest wireless carrier in the U.S....

1 min read

Pat McKeough

Blue Chip Stocks

Our best Wall Street picks for 2024

Here are our top U.S. stock picks for 2024—one each from our Conservative, Aggressive and Income portfolios.

All three are in a strong position to fuel your returns, not only in 2024 but–more importantly–for many years to come. Moreover, their position as market leaders will help limit any losses if the economy slows.

MCDONALD’S CORP....

4 min read

Pat McKeough

How To Invest

Q: Hello, Pat. What is your take on investing for the long term in MarineMax Inc. (HZO)? Thanks.

A: MarineMax Inc., $34.51, symbol HZO on New York (Shares outstanding: 22.3 million; Market cap: $769.6 million; www.marinemax.com), operates as a recreational boat and yacht retailer, and a services firm for yacht owners in the U.S.

The company sells new and used recreational boats, including pleasure and fishing boats, mega- and small yachts, sport cruisers, ski boats, jet boats, and other recreational boats.

It offers marine parts and accessories comprising marine electronics; dock and anchoring products that include boat fenders, lines, and anchors; boat covers; trailer parts; water sport accessories, which comprise tubes, lines, wakeboards, and skis; engine parts; steering and control systems; corrosion control products and service products; high-performance accessories, including propellers and instruments; and a line of boating accessories such as life jackets, inflatables, and water sports equipment.

MarineMax also provides novelty items such as shirts, caps, and licence plates; marine engines and equipment; maintenance, repair, and slip and storage accommodation services; and boat or yacht brokerage services.

The company has more than 130 locations worldwide, including 81 dealerships and 59 marinas.

Its businesses include IGY Marinas, which operates luxury marinas in yachting and sport fishing destinations around the world; Fraser Yachts Group and Northrop & Johnson, two leading luxury yacht brokerage and services firms; Cruisers Yachts, one of the world’s premier manufacturers of sport yachts and motor yachts; and Intrepid Powerboats, a premier manufacturer of powerboats.

Meanwhile, MarineMax also offers financing and insurance services as well as digital technology products to connect boaters to a network of marinas, dealers, and marine professionals.

In addition, it operates MarineMax Vacations in Tortola, British Virgin Islands, which offers luxury boating adventures to vacationers.

MarineMax has also made 15 acquisitions since April 2019.

On January 5, 2023, the company announced completion of its latest takeover: Boatzon is a retail technology platform dedicated to the marine industry....

3 min read

Pat McKeough

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Investors Association of Canada
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Browse Premium Topics

Cannabis

Spinoffs

One of the ways a company can try to unlock its own hidden value is by creating a separate company out of a corporate subsidiary. The parent company can either sell stock in the new company to the public, or spin it off—hand the stock out to its own investors.

Dividend Stocks

Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.

ETFs

What are ETFs?

ETF is an acronym for exchange traded fund. These exchange traded funds are used to track indexes as closely as possible, since investors cannot actually buy an index outright.

Value Stocks

What are value stocks?

One of the sweetest and most profitable pleasures of successful investing is to buy high-quality “value stocks” (or stocks that are reasonably priced, if not cheap, in relation to its sales, earnings or assets), then hold on to them as mainstream investors recognize the value and push up the share price.

Blue Chip Stocks

Blue chip stocks are big, well-established, dividend-paying corporations with strong business prospects. These are companies that also have sound management that should be able to make the right moves to keep competing successfully in a changing marketplace.

Penny Stocks

A penny stock in general trades for under five dollars a share, and as the name implies, sometimes for pennies. Most of the time they’re young companies, or start-ups in speculative markets like mining or technology.

Growth Stocks

Growth stocks are companies that are likely to have sales and earnings growth well above market average. Frequently they pay few, if any, dividends. Instead they typically reinvest any extra cash flow to promote further growth. Chosen wisely—according to Pat McKeough’s advice—high-quality growth-oriented stocks can be worthwhile additions to most well-diversified portfolios.

Wealth Management

Wealth management is the practice of putting your savings to work so that it continues to grow over your lifetime and will also benefit your heirs. Wealth management encompasses many different areas of investing like long term investment planning and retirement planning.

Mining Stocks

Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.

How To Invest

Pat McKeough has been making investing for beginners simple—and profitable—by helping investors make big gains for more than 25 years. His advice to beginning investors is the same as it is for all investors: buy high-quality, mostly dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over the five main economic sectors (Resources, Manufacturing, Finance, Utilities and Consumer). Pat also believes investors should avoid stocks in the broker/media limelight and focus on those with hidden or little-noticed assets.

Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.