April brings flowers and baseball. But it’s also a frantic time for anyone in the investment business, as companies with a fiscal year end of December 31 start to report their first quarter earnings. As I wrote in Money Grab, this can be very stressful: Companies that beat Wall Street analysts’ estimates could see their … More The Power of a Penny
The stock market has been on a tear since the presidential election in November, up 10% as of January 27 and passing DOW 20,000, which has newscasters all a-twitter. So, will this upward momentum last? … More Will the January Effect Fizzle in February?
July 10, 2013 Until its price peak in late 2011, gold had been in a twelve year bull market. Its price appreciation accelerated following the 2008 financial crisis, more than doubling from less than $800 an ounce in 2008 to over $1,800 per ounce in 2011. During 2013, however, gold lost its glitter. The price … More Why Gold Has Lost Its Glitter: Don’t Rush to Buy
June 15, 2013 Most financial advisors have typically recommended that investors allocate a certain percentage of their portfolio to bonds. Depending on your age, risk tolerance, and income needs, that percentage may range from 25-40% or even higher. Historically, bonds have not only supplied steady income to a portfolio, but have also reduced overall risk … More Bonds: Getting Kicked Off the Playground
June 10, 2013 In May 2004 General Electric (GE) spun off many of its financial operations into a new company called Genworth (GNW). These operations included domestic and international mortgage insurance, life and long-term care insurance, international payment protection insurance, and wealth management. The financial crisis of 2008 nearly swamped the new company, due to … More Can Genworth Make Enough Money in Long-Term Care Insurance?
May 29, 2013 You pay your bills each month. You have a cash cushion that covers several months of living expenses. And you have some extra money that you want to invest, to grow for the long term. But you aren’t sure exactly what you should buy. Perhaps you are new to investing. Or maybe … More So Many Choices – What Do I Buy First?
4/29/2013 Apple stock dropped 44% in seven months, from its peak of around $700 in September 2012 to $390 in April 2013. The drop was due to slowing growth, a dearth of exciting new products, increasing competition, compressing margins, and negative year-over-year earnings comparisons. Analysts demanded a more shareholder-friendly use of the company’s huge cash … More Apple: Is it Safe to Take a Bite?
March 28, 2013 Analysts expect a big dividend hike before Apple’s April 2013 earnings report, pushing the yield to around 3.5%, in line with Microsoft at 3.3% and Intel at 4.1%. This would send exactly the wrong message to investors, and would guarantee that Apple would not regain its September 2012 $700 value anytime soon. … More Apple: A Big Dividend Hike Would Send the Wrong Message