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Value Stocks

Shares of drug wholesaler McKesson have surged over 270% in the past five years. That’s largely due to its deal with the U.S. government to distribute COVID-19 vaccines. Even though the pandemic has eased, the company should continue to benefit from its plan to narrow its focus to North America.

MCKESSON CORP....

2 min read

Pat McKeough

Growth Stocks

Adobe has an AI advantage

ADOBE INC. $521 is buy for aggressive investors. The company (Nasdaq symbol ADBE; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 455.3 million; Market cap: $237.2 billion; Price-to-sales ratio: 13.2; No dividends paid since June 2005; TSINetwork Rating: Average; www.adobe.com) has announced new versions of its generative artificial intelligence (AI) model, Firefly, promising higher-quality images and the ability to produce new types of media.

This new edition was trained on about 70% more images, which should improve the system’s ability to create photo-realistic images....

1 min read

Pat McKeough

Mining Stocks

Three more updates to protect your gains

TEGNA INC. $14 is still a hold. The company (New York symbol TGNA, Conservative Growth Portfolio, Consumer sector: Shares outstanding: 201.5 million; Market cap: $2.8 billion; Price-to-sales ratio: 1.0; Dividend yield: 3.3%; TSINetwork Rating: Average; www.tegna.com) owns 64 TV stations and two radio stations in 51 U.S....

2 min read

Pat McKeough

Growth Stocks

New soft drink deal cuts RBI’s risk

RESTAURANT BRANDS INTERNATIONAL INC. $67 is a buy for aggressive investors. The fast-food operator’s (New York symbol QSR, Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 453.0 million; Market cap: $30.4 billion; Price-to-sales ratio: 4.5; Dividend yield: 3.3%; TSINetwork Rating: Average; www.rbi.com) four restaurant banners in the U.S.—Burger King, Popeyes, Firehouse Subs and Tim Hortons—have renewed their relationship with Coca-Cola until 2033.

Under the new agreements, Coca-Cola will invest in and support marketing priorities with all four banners to drive additional traffic and contribute to franchisee profitability.

The company will probably earn $3.24 a share for all of 2023, and the stock trades at a reasonable 20.7 times that estimate....

1 min read

Pat McKeough

Growth Stocks

Weight-loss drug fears hurt fast-food stocks

The launch of new weight-loss drugs like Ozempic, which cause people to eat less, has hurt fast-foods stocks like Yum and Yum China. However, these drugs come with serious side effects, which limits their use. We feel these companies’ top brands will continue to attract customers, particularly in overseas markets.

YUM! BRANDS INC....

2 min read

Pat McKeough

Growth Stocks

Quality issues delay deliveries

BOEING CO. $178 remains a hold. The aircraft maker (New York symbol BA; Conservative Growth Portfolio, Manufacturing sector; Shares outstanding: 603.2 million; Market cap: $107.4 billion; Price-to-sales ratio: 1.5; Dividend suspended in June 2020; TSINetwork Rating: Extra Risk; www.boeing.com) now expects to deliver between 375 and 400 of its 737 Max airliners in 2023, down from its previous estimate of 400 to 450....

1 min read

Pat McKeough

Growth Stocks

Their long-term outlooks remain bright

The shares of these two food ingredient suppliers have dropped lately, mainly due to concerns that an economic slowdown would hurt their sales and make it harder to raise their selling prices. However, they play a vital role in global food production, which bodes well for their long-term prospects.

ARCHER DANIELS MIDLAND CO....

2 min read

Pat McKeough

Blue Chip Stocks

Groceries give Walmart an edge

WALMART INC. $163 is a buy. Shares of the retailing giant (New York symbol WMT; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 2.7 billion; Market cap: $440.1 billion; Price-to-sales ratio: 0.7; Dividend yield: 1.4%; TSINetwork Rating: Above Average; www.walmart.com) are now up 14% since the start of 2023, compared to 11% for the S&P 500 Index.

That’s largely because higher interest rates and inflation are prompting more consumers to visit its discount-price stores, particularly for groceries....

1 min read

Pat McKeough

Growth Stocks

Visa rewards investors

VISA INC. $237 is a buy. The company (New York symbol V; Conservative Growth Portfolio, Finance sector; Shares outstanding: 2.1 billion; Market cap: $497.7 billion; Price-to-sales ratio: 15.5; Dividend yield: 0.9%; TSINetwork Rating: Above Average; www.visa.com) operates the world’s largest electronic-payments network....

1 min read

Pat McKeough

Dividend Stocks

This dividend looks safe

VERIZON COMMUNICATIONS INC. $34 is still your #1 Income Buy for 2023. The telecom provider (New York symbol VZ; Income Portfolio, Utilities sector, Shares outstanding: 4.2 billion; Market cap: $142.8 billion; Price-to-sales ratio: 1.1; Dividend yield: 7.8%; TSINetwork Rating: Average; www.verizon.com) is the second-largest wireless carrier in the U.S....

1 min read

Pat McKeough

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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.