Archive for February, 2016
When we talked on Tuesday, I showed you how the market’s retreat has produced several great bargains in the biotech sector.
I also said I had my eye on other market segments where tech shares are selling at steep discounts.
Today I want to continue our “bargain hunting” by telling you about three great software stocks that have fallen in value because they’ve fallen victim to Wall Street’s hair-trigger herd mentality – what I’m calling the Great Software Selloff of 2016.
You see, as a group, the software sector fell 12% – or 33% more than the S&P 500 – starting Jan. 4, before bottoming out Feb. 11.
As bad as that sounds, it understates the carnage. Indeed, over the last few weeks several software companies found their stocks down by more than 12% in a single session.
But here’s what you won’t hear from the mainstream financial media: Some of these stocks are down for no good reason.
That’s excellent news, because we can turn this overreaction to our advantage by investing in market leaders at discount prices.
In fact, we can grab a handful of software stocks that I expect will go up 100% before the decade is out.
In our conversation on Friday, I said the market is greatly oversold so far this year.
I also said I’d get back to you with some of the more exciting bargains I’m seeing out there.
Today I’m keeping my promise.
Here’s a list of three life sciences stocks I believe are poised for a big rebound.
Why life sciences?
Because, despite the recent slump, that sector – which includes biotech – offers investors among the best long-term opportunities for building wealth.
And that means you definitely want biotech in your portfolio, especially now.
The market is already bouncing back.
And that means the three plays I’m going to tell you about are poised to hand investors 69% on average…
As a technology investing specialist, I rarely get asked about oil prices.
But when I appeared on Closing Bell on Tuesday, that’s exactly what happened.
So… instead of chatting about share-price moves in Facebook Inc. (Nasdaq: FB) or Alphabet Inc. (Nasdaq: GOOGL), I shared with CNBC’s viewers my views on the link between the price of oil (off more than 70% in less than two years) and the turbulent markets (down about 9% over the past year).
That said, sometimes the best conversations I have during these TV appearances happen “behind the scenes.”
Today, I’ll tell you about one such talk I had on Tuesday that helped me better understand where the markets are going from here.
And I’ll show you why – if you’re interested in that – you need to closely observe what happens six weeks from now
With the number of false breakouts recently, investors are understandably antsy about this week’s three-day (so far) rally, the first this year. During his latest appearance on CNBC, Michael lets us know how long he thinks this rally could continue – and the main three “pressure points” propping the U.S. markets up.
To see what Michael had to say, watch the video.
Investors all over the world are distracted by Chinese economic growth – or a perceived lack of it.
We recently learned that China finished 2015 with GDP growth of 6.9%, compared with 7.3% in 2014. That’s a drop of less than half of 1%, but the negative headlines have done their damage.
But those same scary headlines that have investors so nervous are going to help you reap maximum gains from a Chinese sector that most investors are too worried to look into.
Because the truth is, China remains one of the world’s fastest-growing major economies. It’s expanding at three times the speed of the U.S. economy and six times as fast as the European Union’s.
And the opportunity I want to show you today is in a sector that’s growing even faster than that.
Let me show you…
Bull times, bear times or up-and-down times, you never want to be out of the market – especially the tech market.
After all, last year the tech-heavy Nasdaq Composite Index climbed almost 6% during a year that saw the S&P 500 Index and Dow Jones Industrial Average both finish in the red.
And while the market may be down, great stocks and outstanding bargains are out there.
You just have to know where to look.
Today I want you to take a look at one Silicon Valley giant we’ve talked about before.
This company and its savvy leaders are conquering the cloud-based computing space… spending money on growth… moving into new markets… and growing their customer base by leaps and bounds.
Since I first recommended it, this stock has more than doubled. What’s more, it’s poised to double again.
So don’t let the current choppiness make you seasick. Instead, take a calming look at today’s opportunity…
Stocks have taken a big hit over the past month, and many investors are panicked. They’ve stopped buying and started unloading everything.
While such fear-based actions are understandable psychologically, they’re usually huge mistakes. If you manage your financial portfolio poorly right now, you’ll soon end up in the poor house.
That’s why I’ve set you all up with my five tools for beating choppy markets.
With these tactics at your side, you’ll avoid mistakes, turn turbulent markets to your advantage and sleep in peace.
And today I want to give you another option.
Millions of investors dedicate a portion of their portfolio to gold or some other precious metal as a hedge – as “insurance” – against trouble in other markets.
Now, some of these folks go overboard, and you probably know a “gold bug” or two. But at its base, this is a sound strategy, because precious metals generally aren’t effected by the ups and downs of the stock market.
This isn’t a “gold service,” however. Our interest is in tech.
So let’s spend today investigating what I think of as “the gold of tech.”
Not only can you use this investment as a hedge, but big banks, credit card companies and other financial players are beginning to eye the technology behind it as way to disrupt the $500 billion payments industry.
If that upheaval in payments transpires, this “safety” play could soar triple digits or more in the coming years.
To continue reading click here.
If you paid attention to the headlines, you’d think now is a risky time to invest in healthcare.
First off, there’s the day-to-day turbulence we’ve been seeing for the past few months.
Plus, outrage about ObamaCare, high drug prices and rising medical bills means healthcare will remain a controversial – and volatile – sector in the short term.
But that’s just one side of the story.
Rapidly aging populations in North America, Europe and East Asia and ever more frequent and devastating disease outbreaks – like Ebola in 2014 and Zika right now – mean that healthcare spending is destined to escalate for years to come. For instance, global drug spending alone will soar 30% by 2020, to $1.4 trillion, according to IMS, making the life sciences as solid a long-term investment as you can find right now.
So today I want to introduce you to the one medical-tech firm that can get you through this temporary volatility. This company furnishes tools that are crucial for both doctors who treat aging populations here at home and the courageous medical professionals who battle epidemics around the world.
It’s a 119-year-old company that still generates double-digit earnings growth nearly every year.
It recently completed an acquisition that doubles the company’s addressable market to $16 billion.
And it’s set for triple-digit gains by 2021.
Take a look…
To continue reading click here.
Many of my friends and colleagues in Silicon Valley are disappointed by the lack of Oakland Raiders or San Francisco 49ers in Sunday’s big game.
But really, even with this community’s two favorite teams missing, Super Bowl 50 could re-brand itself as the Silicon Valley Bowl.
First off, the Denver Broncos and the Carolina Panthers are set to square off in Santa Clara’s Levi’s Stadium, right in the heart of the Valley.
Moreover, CBS Sports is using the edgiest, most innovative camera technology I’ve ever seen to record and broadcast the game.
For instance, the pylon camera makes it Super Bowl debut this year. With these high-resolution cameras – stuffed inside all eight end-zone pylons – fans will get a field-level view of the action in 2K resolution. And the aerial Wildcat camera can travel 25 mph – twice as fast as previous SkyCams – along its web of wires above the field, meaning it can outrun the players.
But I’m most excited about a new replay camera system that gives one of the trends we’ve long been following here a Super Bowl debut.
Sports broadcasting serves as a testing ground and showcase for TV and camera technology – after all, last year’s game was the most-watched show in U.S. television history. And so the debut of this new replay cam tells me that ultra-high-definition television (UHDTV) is primed to become widely adopted by global consumers.
This technology is now so significant that it’s beginning to disrupt the entire TV sector – enough so that UHDTV sets will earn a 50% market share by the end of this decade – making them a $30.4 billion market.
That’s a market that promises to be highly profitable – and so we want to grab a piece of it.
Here’s how we’ll do it…
To continue reading click here.