Commentary

How To protect Your Dividend Growth Portfolio from the Pending Market Crash

Ever since I first entered the investment industry circa 1970, I have been confronted with a constant and persistent admonition about the next pending market crash. In those early days I contributed much of the negativity toward stocks to a lingering overhang from the Great Depression...

Commentary

The Top 3 Medical Distributors Are On Sale: AmerisourceBergen, Cardinal Health and McKesson Corp.

The top 3 Medical DistributorsAmerisourceBergen (ABC), Cardinal Health (CAH) and McKesson Corp. (MCK) dominate the distribution of pharmaceuticals and are estimated to represent 90% to 95% of the market. Moreover, each are dividend growth stocks, and as a specific subsector group all appear significantly undervalued.

Commentary

Interest Rates and Stock Values Truth Be Told

The idea that interest rates directly affect stock prices is a commonly held belief among many investors. There are some that even go as far as to say that the only reason the stock market is up is because interest rates have been artificially kept low by the Fed.

Commentary

Value Investing Is A Long-Term Strategy and Should Be Judged Accordingly

Almost by definition, value investing rarely performs well in the short run. This is especially true when you are in a strong bull market like we’ve been in since March 2009. Most companies as represented by the S&P 500 are currently trading at fundamental multiples that are significantly above historical norms.

Commentary

This is How You Can Beat the Market Without Fail

With this article I am going to present several ways that investors, especially retired investors, can beat the market without fail. However, what I will be presenting may not be what you are expecting, particularly if you have a narrow notion of what beating the market means.

Commentary

Investing Is Hard Enough: Here Is How to Avoid Making Obvious Mistakes

The Key to Avoiding Obvious Mistakes Understanding how to value a business is the key to avoiding making obvious mistakes when purchasing or selling common stocks. When you know what your investment is worth, the market cannot take advantage of your gullibility.

Commentary

The Right Way to Value Growth Stocks: Part 3

In part 2 of this series I focused on how to value slow and moderately growing businesses. In this article, Part 3, I will shift my focus on how to value faster growing companies (growth stocks).

Commentary

Principles of Valuation Part 2: Price Is What You Pay, Value Is What You Get

The venerable investor Warren Buffett has a real knack of putting complex concepts and ideas into simple and easily understood terms. In my opinion, his quote, “Price is what you pay. Value is what you get” is one of the more profound and important statements he has ever uttered.

Commentary

When to Buy or When to Sell A Stock: Part 1

As a seasoned and grizzled veteran of the financial services industry for now going on 50 years, the most commonly asked questions I have received, and still do to this day, are: when to buy and when to sell a stock?

Commentary

Cisco Systems Inc: Quality, Dividend Growth & Attractive Valuation

Cisco Systems Inc. (CSCO) is one of the highest quality large-cap technology companies in the world. After being overvalued for most of 2019, this high-quality once pure growth stock, now dividend growth stock, has come into fair value.

Commentary

For Long-Term Investors Only: It’s A Market of Stocks!

Since the beginning of April 2009, the Standard & Poor’s 500 (the stock market) has enjoyed one of the longest bull markets on record. As a result, I am starting to hear from a lot of investors that they are becoming worried that this great bull market must soon come to an end.

Commentary

Even After the Recent Correction I Still Think McDonald’s Is Overvalued

This article is offered as part of our ongoing FAST Graphs YouTube request series. Although time does not allow me to cover every stock that is requested, I do try to provide analyze out loud videos on stocks that either are currently in the news, or that offer special lessons on valuation.

Commentary

CBS and Viacom Merger: High Risk Tempered by Extremely Low Valuation

14 years ago the Redstone family spun out Viacom (VIA) from CBS Corp (CBS). However, the companies have decided to once again merge into what they hope will become a dominant entertainment company. Given that the entertainment market is extremely competitive and quite risky, future visibility is very muddy in my humble opinion.

Commentary

Forecasting the Future: Part 2

The primary purpose of this article on the importance of forecasting the future results of a business is offered to illustrate the conceptual validity of forecasting earnings (and every other metric) as the key to long-term investor success.

Commentary

Forecasting Future Business Results are The Key to Successful Stock Investing: Part 1

As investors, we can learn a great deal from the past about the businesses we are contemplating investing in. However, as investors, we must also recognize that we can only truly invest in the future.