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  • The One Asset Still Holding Strong

    The One Asset Still Holding Strong

    As the value of stocks, crypto, and other assets seemingly disappear, one asset holds the line: Gold. 

    Every time the world turns its head to claim a recession is incoming, gold continuously backs its worth by showing itself to be a solid investment. Case in point: Prices for the precious metal may have dipped a bit this year, but they have outperformed all other asset classes as massive amounts of market sell-off continues. 

    According to Sam Stovall, a chief investment strategist at CFRA, in a recent interview with Barrons“…owning defensive asset classes such as gold and other inflation hedges tends to hold up better on a relative basis. It’s not that they go up but that they lose less on the way down.”

    Mr. Stovall may be onto something. As reported on June 14, a YTD analysis of the SPDR Gold Shares ETF shows a loss of only 1.4%. Compare this to the Invesco QQQ Trust (tracking the NASDAQ-100 Index) and the SPDR S&P 500 (tracking the S&P 500 Index) which have shed 31% and 21% during the same period, respectively. With this, Mr. Stovall seems to be spot on. 

    Now that we have your attention as to why you should secure your financial future in gold, many wonder how to even get in on the action. Rohit Savant, the vice president of research at CPM Group says an appropriate entry for gold is when it drops anywhere from $40 to $50. These suggestions come as one troy ounce was recently valued at $1,847. “Over the next year, they’ll be a lot of volatility in prices,” Rohit said. 

    Not only are modern economists backing the buying of gold to stay safe, but the continuous history of gold’s safety is unmatched. Gold has a track record of outperforming the total market and a track record of keeping families and their wealth safe in times of uncertainty. Gold spiked +925.07% ($674.60) in January 1980 compared to the S&P 500’s 3.87%. The Dow Jones Industrial Average increased by 24% in July 2020, while Gold increased by 59%. A 5-year period has seen the Dow Jones rose 44%, while Gold has risen 46%. As compared to the S&P 500, Gold outperformed the index with a growth of 345.39% from December 31, 1999, to December 31, 2018. December 2018 saw Gold outperform the S&P 500 once again, gaining 4.93% to the S&P’s 9.18% loss. 2018 was the worst year for stocks since 2008…

    In the 1970s, Gold started at just $35 an ounce. It eventually hit a benchmark of a nearly 25-fold increase. Keep in mind the stagflation that took place in the 70s is eerily similar to that of the economic uncertainty we face non. If anything, the 70s proved to the world what investments in gold can do in such situations.


    Sponsored:

    One Nation, Under Inflation

    At this moment the US national debt exceeds $30Trillion. Yes, you read that right. $27 TRILLION.

    If every American citizen—including your children and grandchildren!—were to help pay the debt, every one of us would owe $91,500!

    Government bureaucrats know the only way out of this $30 Trillion-dollar hole is one thing: printing money.

    Because while the dollar is legal tender, no one ever said what that dollar had to be worth. No wonder inflation just clocked in at 8%…

    And that means anyone with a bank account or retirement savings is facing a possible erosion of wealth in the years ahead.

    In 2008, millions of Americans like you and me lost over 50% of their IRA/401(k) almost overnight. 

    If you are concerned, and if you’re not one to sit around and wait for things to happen, there are steps you can take. There is a rule in the tax code that could help you not only protect but also GROW your wealth.

    For a free 39-page Strategic Guide on how YOU can take advantage of this lucrative IRS rule, click here.

  • 5 REITs that Prove Real Estate Pays For Income Investors

    5 REITs that Prove Real Estate Pays For Income Investors

    Mortgage rates may be on the rise but so can your dividend income…

    If you’re looking to generate income that can also grow over time along with inflation there are few investment options that can beat real estate. There’s just one catch: Owning real estate and operating your property empire can be time-consuming and costly. Enter the Real Estate Investment Trust (REIT) an entity designed to own a diverse portfolio of real estate assets (that hopefully grows in value over time) as well as pass through rental income through to investors. 

    Best of all for the mom-and-pop investor, most REITs find themselves trading on major exchanges and offer multiple benefits to investors. Historically speaking, REITs have delivered exceptional total returns based on high and steady dividend income as well as long-term capital appreciation. As a kicker, REIT’s low correlation with other assets also makes them an instant diversifier for your portfolio that can help reduce risk and increase returns. 

    Having recently conducted a deep-dive on the sector, here are the Bottom Line Team’s favorite REITs for your consideration…

    REIT #1 – Iron Mountain Incorporated $IRM – Yield: 5.35%

    Currently trading at $46.22, this REIT is a no-doubter. Not only will your initial investment be very low, but Iron Mountain also has an impressive growth record. The company’s revenue is forecasted to grow faster (7.76% per year) than the U.S. REIT industry average (5.53%). Outside of revenue, Iron Mountain is also trading below its estimated intrinsic value of $94.20. 

    Iron Mountain also provides a route to making money while you sleep. The company is one of “Good Value” based on its Price to Earnings and Rate of Earnings Growth, measured by the PEG ratio (0.79x). Iron Mountain also provides an amazing dividend yield of 5.35%, so take your money and consider sitting it in Iron Mountain Inc. More dividend information:

    • IRM dividends have increased over the last 10 years.
    • IRM dividends (5.35%) are in the top 75% of all U.S. listed companies.
    • IRM dividends (5.35%) are in the top 25% of all U.S. listed companies.

    REIT #2 – Vici Properties Inc. $VICI – Yield: 4.89%

    If you thought Iron Mountain was a steal, this will blow your mind. Vici Properties is trading below $30 ($28.81). It is also trading below its intrinsic value of $48.80. Revenue for Vici is also expected to grow at an amazing rate. Vici’s revenue is forecasted to grow at an exceptional rate of 34.36% per year. 

    The company is one of “Good Value” based on its earnings relative to its share price (17.46x), compared to the US market average of 19.26x). Dividends are also a virtue with Vici as the REIT gives a great offering of a 4.89% yield. More dividend information:

    • VICI’s dividend has not dropped by more than 10% at any point in the last 5 years.
    • VICI dividends have increased over the last 5 years.
    • VICI dividends (4.89%) are in the top 75% of all U.S. listed companies.
    • VICI dividends (4.89%) are in the top 25% of all U.S. listed companies
    • VICI earnings ($984.43M) are sufficient to cover VICI’s dividend payouts (85.5%).

    REIT #3 – Simon Property Group $SPG – Yield: 8.26%

    With a Market Cap of $35.97 billion, Simon Property Group is one of the larger REITs on the list. The company may lack in revenue growth with a forecast to grow at a rate of 1.54% per year, which is not exceptional, but Simon Property Group’s earnings are forecasted to grow at an exceptional rate of 23.04% per year. 

    It is no reason analysts give Simon Property Group a “Buy” rating and a 1-year price target of $152.94 (average). The company also promises a dividend yield of 8.26%, which is higher than most “blue chip” stocks and stocks that claim to be “dividend kings.” More dividend information: 

    • SPG dividends have increased over the last 10 years.
    • SPG dividends (8.26%) are in the top 75% of all U.S. listed companies.
    • SPG dividends (8.26%) are in the top 25% of all U.S. listed companies.

    Check out: 3 Stocks Crushing It Despite the Bear Market Selloff 

    REIT #4 – Medical Properties Trust Inc. $MPW – Yield: 7.94%

    If you can spend $15.00 on things you don’t need, reconsider and spend it on a share of Medical Properties Trust currently trading at $14.36. The estimated 1-year price target of $22.50 compliments the amazing fact that MPW has demonstrated consistent long-term earnings growth over the past 10 years (795.24%). 

    Not only are earnings amazing for this REIT, but dividends play a key role in its attractiveness. 

    • MPW’s dividend has not dropped by more than 10% at any point in the last 10 years.
    • MPW dividends have increased over the last 10 years.
    • MPW dividends (7.94%) are in the top 75% of all U.S. listed companies.
    • MPW dividends (7.94%) are in the top 25% of all US listed companies.
    • MPW earnings ($1.12B) are sufficient to cover MPW’s dividend payouts (60.1%).

    REIT #5 – Annaly Capital Managent Inc. $NLY – Yield: 15.41%

    Annaly is the lowest valued REIT on this list, however, it boasts amazing earnings. Annaly is of “Good Value” based on its earnings relative to its share price (3.28x), compared to the U.S. REIT Mortgage industry average (5.06x). Also, Annaly has demonstrated consistent long-term earnings growth over the past 10 years (194.92%).

    Not only are the earnings appealing, but the dividend yield is amazing for a REIT at $5.71. With just a $5 bill, you can be earning a dividend yield of nearly 15%. More dividend information: 

    • NLY dividends (15.41%) are in the top 75% of all U.S. listed companies.
    • NLY dividends (15.41%) are in the top 25% of all U.S. listed companies.
    • NLY earnings ($2.55B) are sufficient to cover NLY’s dividend payouts (50.6%).

    Sponsored

    One Nation, Under Inflation

    At this moment the US national debt exceeds $30Trillion. Yes, you read that right. $27 TRILLION.

    If every American citizen—including your children and grandchildren!—were to help pay the debt, every one of us would owe $91,500!

    Government bureaucrats know the only way out of this $30 Trillion-dollar hole is one thing: printing money.

    Because while the dollar is legal tender, no one ever said what that dollar had to be worth. No wonder inflation just clocked in at 8%…

    And that means anyone with a bank account or retirement savings is facing a possible erosion of wealth in the years ahead.

    In 2008, millions of Americans like you and me lost over 50% of their IRA/401(k) almost overnight. 

    If you are concerned, and if you’re not one to sit around and wait for things to happen, there are steps you can take. There is a rule in the tax code that could help you not only protect but also GROW your wealth.

    For a free 39-page Strategic Guide on how YOU can take advantage of this lucrative IRS rule, click here.

  • 3 Top Stocks With Massive Insider Buying

    3 Top Stocks With Massive Insider Buying

    Management doesn’t buy its own stock by accident…

    Management never buys and sells the stock of their own company by accident. Almost all company information is easily accessible to CEOs and CFOs of the largest companies on the planet. 

    The fact is that insider trading isn’t always illegal. More times than not, as long as key rules are followed, insiders can buy and sell at will. 

    Best of all, corporate insiders have to report any and all trades they make. And, since they’re almost always acting in their financial self-interest, these moves on their own can be valuable pieces of information regarding the future of a stock. 

    Below are 3 stocks we’ve identified with large increases in insider buying we think are worth a closer look.

    Stock #1 – Occidental Petroleum $OXY

    Image Source

    When oil and gas are running as wild as it is currently due to the war in Ukraine, lack of domestic production, and more, you almost certainly know that you’ll cash out on investment into an oil and natural gas company. 

    Occidental Petroleum focuses on multiple segments: Chemical, Oil and Gas, and Midstream and Marketing. Within the oil and gas segment specifically, the company develops, explores, and produces oil, condensate, natural gas liquids, and natural gas. 

    The insider details: 

    • The percentage change of shares bought by management: +357%.
    • Within whale activity, 224 whales have increased positions. 
    • In Q1, $106.556 million was the company’s directors and management’s quarterly net insider trading. OXY has an off-exchange trading volume of 17,375,242.
    • OXY had a reported lobbying spending instance on April 28, 2022, in which they spent $40,000 for issues surrounding Budget/Appropriations Energy/Nuclear Taxation/Internal Revenue Code.

    Stock #2 – Paramount Global Class $PARA

    Image Source

    As the competition for live streaming services heats up, it’s no doubt executives at Paramount are placing their bets on their own company. Paramount is the new name for CBS All Access. It transformed the at-home experience by adding channels such as MTV, BET, CBS, Comedy Central, and more. 

    When compared to competitors, Paramount offers an amazing price package with starting prices at $6/mo. For an ad-supported subscription and ad-free streaming available for $10/mo. 

    The insider details: 

    • The percentage change of shares bought by management: +101%.
    • In Q2, $645,764 was the quarterly net insider trading by the company’s directors and management.

    Stock #3 – Coinbase $COIN

    Image Source

    Crypto markets are currently shedding value like a dog sheds fur. However, it seems the Coinbase executives are very confident in the bounceback crypto may possibly have. Coinbase specifically was once trading above $250, so those in high commands must really be pushing for something great to come. 

    Coinbase is a fintech company that provides financial infrastructure and technology for cryptocurrencies. The Company offers a financial account for the crypto economy, institutions a marketplace with liquidity for transacting in crypto assets, and ecosystem partners’ technology and services that enable them to build crypto-based applications and accept crypto assets as payment.

    The insider details: 

    • The percentage change of shares bought by management: +206%. 
    • In Q2, $1.12 million was the company’s directors and management’s estimated quarterly net insider trading. 
    • Within whale activities, 261 whales have increased their stake in Coinbase. 
    • COIN has an off-exchange trading volume of 4,214,295.
    • COIN had a reported lobbying spending instance on May 27, 2022, in which they spent $20,000 for issues surrounding Financial Institutions/ Investments/ Securities.

    Your Bottom Line:

    Not all of your trading indicators have to come from the various Bloomberg terminals. To get a slight edge, all you have to do is pay attention to those with the most company insights. Pay attention to, and pick up on the trends in which they’re trading within their own companies.


    Sponsored

    One Nation, Under Inflation

    At this moment the US national debt exceeds $30Trillion. Yes, you read that right. $27 TRILLION.

    If every American citizen—including your children and grandchildren!—were to help pay the debt, every one of us would owe $91,500!

    Government bureaucrats know the only way out of this $30 Trillion-dollar hole is one thing: printing money.

    Because while the dollar is legal tender, no one ever said what that dollar had to be worth. No wonder inflation just clocked in at 8%…

    And that means anyone with a bank account or retirement savings is facing a possible erosion of wealth in the years ahead.

    In 2008, millions of Americans like you and me lost over 50% of their IRA/401(k) almost overnight. 

    If you are concerned, and if you’re not one to sit around and wait for things to happen, there are steps you can take. There is a rule in the tax code that could help you not only protect but also GROW your wealth.

    For a free 39-page Strategic Guide on how YOU can take advantage of this lucrative IRS rule, click here.

  • 3 Stocks Crushing It Despite the Bear Market Selloff 

    3 Stocks Crushing It Despite the Bear Market Selloff 

    As the stock market selloff accelerates, this one sector could be the unsung hero for your investment account.

    The current state of the markets is far from secure and certain. Many investors are pulling out of big-name companies such as Apple, Microsoft, and Tesla as major sell-offs occur across all markets.

    S&P 500 has just recently reached what is known as a bear market, NASDAQ Composite (a tech-heavy index) has been in a bear market since March, and despite the fact that the Dow Jones Industrial Average has yet to reach the point of a bear market, it has suffered major pullbacks within the last month, reaching the point of a correction, or 10% from recent highs. 

    TLDR: Markets as a whole are trading down 20-30% which has forced every investor to ask themselves: How do I survive this brutal market? 

    The answer, as it turns out, is the pharmaceutical sector. These stocks have not only been outperforming as of late but appear poised to continue these gains in the months ahead as recession fears affect nearly every other sector of the economy.

    Stock #1: Eli Lily and Co | $LLY | +30%

    Company Overview: 

    Eli Lilly and Company was founded in 1876 and is headquartered in Indianapolis, Indiana. They have been an ever-evolving modern marvel in medicine as they are slowly becoming one of the most prominent companies to discover, develop, and market human pharmaceuticals worldwide. 

    The company mainly offers medications for diabetes (both type 1 and 2), cancer (gastric, head and neck, and Hodgkin’s lymphoma), mental illnesses, and more recently Covid-19. 

    Many of Eli Lily’s medical advancements have been made through collaborations with Incyte Corp., Boehringer Ingelheim Pharmaceuticals Inc., AbCellera Biologics Inc., Junshi Biosciences, Regor Therapeutics Group, and more. 

    Why Invest:

    Currently, within the last year, Eli Lily is trading up 30%+ and as major news such as the FDA approving Lily and Incyte’s OLUMIANT® as the first and only systemic medicine for adults with severe alopecia areata AND Eli Lily’s Jardiance® being found to decrease the relative risk of hospitalization for heart failure by 50% when compared in a study against other inhibitors and receptor agonists, the company surely shows no signs of slow down. 

    As of now, Eli Lily’s earnings have grown faster (27% per year) than the U.S. Drug Manufacturers’ general average (15.3%). Their revenue growth is also moving at light speed as growth has been found to be 15% over the last year and is over the 5-year compound annual rate of 6.32%. 

    Return on Assets is also a virtue for Eli Lily as its figures show an increase of 12.8% compared to the U.S. Drug Manufacturers’ general average of 10.15%. Back to revenue growth, Eli Lily’s revenues are forecasted to grow fast than the rest of the U.S. Drug Manufacturers’ general average (7.26% vs. 2.08%). 

    With all the data backing them, Eli Lily undoubtedly has gained the trust of Wall Street analysts. The company’s 1-year price target has an average estimate of $304.28 which is an indication of a possible 5% increase with the current price being $288.07. Analysts have also weighed in on Eli Lily, giving it a “Buy” rating. 

    Stock #2: Novo Nordisk A/S | $NVO | +25%

    Company Overview:

    Another leading global biopharmaceutical company headquartered in Denmark that specializes in treatments for diabetes, obesity, and other chronic diseases is also outperforming the total market. Novo Nordisk A/S is a Bagsværd, Denmark-based company with a $250 billion market cap. 

    Since the beginning of the year, investors haven’t been impressed with a delivered return of -5.24%. However, patience is a virtue, and in a 1-year span, Novo Nordisk is up 25%+. 

    The consensus is that Novo Nordisk’s diabetes franchise will continue to dominate with hopes of solid growth driven by its most popular drugs: Rybelsus and Ozempic. Many investors are also excited about the continual growth of Novo Nordisk’s anti-obesity sector. 

    There are over 650 million people currently living with obesity globally and it is estimated that a measly 2% are treated with any form of anti-obesity medication. 

    Why Invest Now:

    When will we not need medicine development? Coming off of the Covid pandemic, more people are turning their trust in these companies in hopes that they’ll produce the next life-saving drug. Novo Nordisk has done nothing but fulfill that hope. 

    For example, in a 68-week clinical study of adults living with obesity or excess weight with a medical problem, adults taking Wegovy (Novo Nordisk’s recently released anti-obesity drug) lost on average 35 pounds or roughly 15% of body weight.

    The earning growth for the company is also amazing over the last year registering an 8.26% gain which is above the 5-year compound annual rate of 7.67%. As earnings grow, so do revenues. Novo Nordisk’s revenue growth is also moving at amazing speeds as the company reported an 8.82% growth over the last year which is also above the 5-year compound annual rate threshold of 6.3%. Revenues are also forecasted to grow faster than the U.S. market average (15.41% per year vs. 9.22%). 

    Novo Nordisk is currently trading at $104.85 and Wall Street estimates have an average 1-year price target of $124.80 indicating a possible 18% increase. Strong data and a very hopeful Wall Street have also led to an overall rating of “Buy.”

    Stock #3: Merck and Co. Inc | $MRK | +12%

    Company Overview:

    Merck and Co. Inc. is one of the ever-growing worldwide healthcare companies. The advantage Merck has is its two business segments: Pharmaceutical and Animal Health. As you may know, many investors turn to earnings calls to indicate a healthy stock. For Q1 earnings, Merck reported an EPS of $2.14 which beat estimates by $0.31. The healthcare company also reported a VERY healthy $15.90 billion which is up 31.63% YOY and outperformed estimates by $1.25 billion. 

    Why Invest Now: 

    This is an undervalued stock that you can’t afford to miss. Not only is the company undervalued, but Merck pays out dividends as well. The company has a forward P/E ratio of 11.5 and a dividend yield of 3.25%. 

    Revenue has been massive for Merck. Growth over the last year is being reported as 29% which is above its 5-year compound annual rate of 6.21%. Also, Merck’s revenue is forecasted to grow faster than the U.S. Drug Manufacturers’ general average (3.65% vs. 2.08%). 

    Merck is also generating higher Returns on Assets and Returns on Capital. For Assets, the company reported an increase of 14.3% which is greater than the U.S. Drug Manufacturers’ general average of 10.15%. For Capital, Merck has generated an increase of 19%. In just three years, this is a 16% increase.

    With these numbers, it’s no mystery as to why 84 hedge funds disclosed ownership of stakes in Merck at the end of Q1 2022. Hedge funds have increased investment values by $2.08 billion bringing the total to $5.86 billion (when reported at the end of Q1). The hedge fund sentiment for the stock is positive.

    As the news broke that the FDA has accepted Merck’s application for its KEYTRUDA® (pembrolizumab) as Adjuvant Therapy for Stage IB-IIIA Non-Small Cell Lung Cancer, Wall Street upgraded its sentiments towards the stock. Merck’s 1-year average price target sits at $97.35, indicating a 15% potential increase. Wall Street also has rated Merck as a “Buy.”

    Your Bottom Line:

    If you happen to of already owned one of these names, odds are it has been the best investment this year. And if not, you might consider adding them to your portfolio. 

    As previously noted, the overall market is trading down 20-30% this year and these low-risk companies are thriving and have proved themselves to be amazing sources of security in a choppy market. 

    Not only are they performing well since the market decline, but a bonus is they pay great dividends.


    Sponsored

    One Nation, Under Inflation

    At this moment the US national debt exceeds $30Trillion. Yes, you read that right. $27 TRILLION.

    If every American citizen—including your children and grandchildren!—were to help pay the debt, every one of us would owe $91,500!

    Government bureaucrats know the only way out of this $30 Trillion-dollar hole is one thing: printing money.

    Because while the dollar is legal tender, no one ever said what that dollar had to be worth. No wonder inflation just clocked in at 8%…

    And that means anyone with a bank account or retirement savings is facing a possible erosion of wealth in the years ahead.

    In 2008, millions of Americans like you and me lost over 50% of their IRA/401(k) almost overnight. 

    If you are concerned, and if you’re not one to sit around and wait for things to happen, there are steps you can take. There is a rule in the tax code that could help you not only protect but also GROW your wealth.

    For a free 39-page Strategic Guide on how YOU can take advantage of this lucrative IRS rule, click here.

  • 4 High-Growth Stocks Trading at Bargain Basement Valuations

    4 High-Growth Stocks Trading at Bargain Basement Valuations

    “Whether we’re talking about socks or stocks, I like buying quality merchandise when it is marked down.” – Warren Buffet

    With the current economy being so uncertain, there is no doubt that some high-potential stocks are trading at values way below their true value. The good thing for you? We have taken the time to put together a list of our favorite stocks trading at a discounted price.

    We provide the fundamental and technical analysis for you, entering option contracts or buying into the stock is STRICTLY up to you.

    This is not professional advice from a financial broker – Please keep this in mind…

    Block – $SQ

    Company Overview:

    Along with its subsidiaries, Block/Square is endlessly creating tools that enable sellers to accept more forms of payments and provides reporting and analytics that helps businesses and individuals track the financial progress of their company. 

    Hardware products are also a major aspect of the company allowing for contactless and chip reading technologies that accept Europay, MasterCard, and Visa. 

    Outside of the physical hardware, Block/Square also provides CashApp, which enables users to send, spend, and store money which has gained major traction with the implementation of cryptocurrency usage within the app. 

    The Opportunity?

    • In 2021, SQ’s revenue was $17.661 Billion. This represents an 85.95% YOY increase from 2020’s total revenue.
    • Block has created many new revenue streams relentlessly since going public, and its TAM continues to expand with new products and services such as Tidal and Spiral. 
    • The average 1-year stock price forecast for Block is set at $150.04, which indicates a possible increase from current levels of 108.77%. The lowest target is $70.7 target and the highest is set at $325.50. 
    • Block’s latest 1-year P/E ratio is -543.6x. Block’s P/E ratio for fiscal years ending December 2017 to 2021 averaged -254.2x.
    • 5-Year Average Revenue Growth: 58.5%

    CrowdStrike – $CRWD

    Company Overview

    Cloud protection is the technology of the future and CrowdStrike provides cloud-delivered protection across endpoints and cloud workloads, data, and identity. 

    CrowdStrike also offers threat intelligence, IT operations management, threat hunting, managed security services, log management, and Zero Trust identity protection. 

    In the world of ever-growing technology, it would be impossible to see CrowdStrike fade away anytime soon. 

    The Opportunity?

    • Total revenue was $874.4 Million, an 82% increase compared to $481.4 Million in 2020.
    • The company has a highly scalable business model despite posting losses recently. CrowdStrike is forgoing profits in the short term by spending much of its revenue on sales and marketing. 
    • The average 1-year stock price forecast for CrowdStrike is $244.14, which predicts an increase of nearly 45%. The lowest target is $202 and the highest target is set at $367.50. 
    • As the P/E ratio has risen, CrowdStrike still boasts an impressive P/E ratio of -213.43 compared to -319.82 during the same time period last year. 
    • 5-Year Average Revenue Growth: 100.4%

    Sea Group – $SE

    Company Overview

    Sea Limited is still a $68 billion dollar company and its mission statement is to better the lives of consumers and small businesses with technology. 

    All three of the companies within Sea Limited are expanding rapidly. The company’s financials top-line growth story has shown growth and has been good over the last three years. The company’s top line has grown at over a 100%  per year at the same time gross margins haven’t been what we’d hoped for currently. They sit at 39% but that’s because right now shopee and sea money aren’t money-making ventures. The top line has looked great the bottom line has not so much.

    Also, analysts expect Sea’s revenue to grow about 37% in both 2022 and 2023. Those are impressive growth rates for a stock that trades at five times this year’s sales.

    The Opportunity?

    • Total GAAP revenue for 2021 was $10 Billion which is up 127.5% YOY.
    • Sea Limited owns Shopee and Garena. It is currently one of the top e-commerce platforms in Southeast Asia and is now gaining traction in Latin America as well. 
    • The average 1-year stock price forecast for Sea Limited is $174.41, which indicates a possible 128.64% growth. The lowest target is $86.86 and the highest is set at $420.
    • Sea Holdings’ P/E tells us that market participants think the company will perform better than its industry peers, going forward. Shareholders are clearly optimistic. Sea’s latest 1-year P/E ratio is 47.6x. Sea’s P/E ratio for fiscal years ending December 2017 to 2021 averaged 13.5x.
    • 5-Year Average Revenue Growth: 88.7%

    Shopify – $SHOP

    Company Overview

    Shopify has nearly shed 80% from the ATH set in November. It has been a painful six-month span for investors. 

    However, the most interesting feat is that Shopify is continuing to improve its business with each passing week. In April, Shopify announced a partnership with Strike that would allow merchants to accept Bitcoin payments using the Lightning Network. 

    Shopify has also given hints as to its interest in acquiring Deliverr in a $2 Billion deal. The acquisition would propel Shopify to use machine learning in an attempt to optimize its fulfillment services to the absolute max. 

    The Opportunity?

    • Total revenue for the full year of 2021 was $4.61 Billion which is an increase of over 57% compared to 2020.
    • The company has a vision for the future and makes targeted investments in core products as well as in fulfillment center networks that allow merchants to offer customers speedy shipping times. 
    • The average 1-year stock price forecast for Shopify stock is currently $609.98, which indicates a possible increase of 75.07%. The lowest target is $378.75 and the highest is $2,090. 
    • Shopify’s latest 1-year P/E ratio is 241.7x. Shopify’s P/E ratio for fiscal years ending December 2017 to 2021 averaged -11.2x.
    • 5-Year Average Revenue Growth: 69.6%
  • Inflation Nation: Big Money Betting on 1 Asset to Save Their Portfolios

    Inflation Nation: Big Money Betting on 1 Asset to Save Their Portfolios

    Big name investors are investing in this asset to save themselves from the incoming recession…

    Gold has a track record of outperforming the total market and a track record of keeping families and their wealth safe in times of uncertainty. In the last 20 years alone Gold has massively outperformed the S&P 500 seeing returns of upwards of 575%+.

    In the 1970s, Gold started at just $35 an ounce (shown in the chart below). It eventually hit a benchmark of a nearly 25-fold increase. Keep in mind the stagflation that took place in the 70s is eerily similar to that of the economic uncertainty we face now:

    • You already pay more at the register, but buy less with your dollar…
    • Gas is as high as $8 at the pump in California, and skyrocketing nationwide. From 1973 to 1975, crude prices doubled leading to high inflation and a recession for countries that imported large amounts of oil (sound familiar?)…
    • The threat of cold homes and sky-high energy bills this winter is very, very real

    Ray Dalio has been a long-time proponent of Gold. He continuously says “cash is trash,” and the truth of the matter is that this is bullet-proof logic. Many Americans are unprepared for what is to happen to the United States’ current economic situation and this neglect of action will lead to some watching their savings dwindle away

    The 1970s showed the world what investment in Gold can return in the right situation. Imagine if you had the opportunity to make 12X times your money (or more) during a time in which Americans are running around like headless chickens. To make sure you don’t make the financial mistake of your parents, we have gathered a detailed, easy, and fast way to defend and grow your savings from the uncertainty of inflation with Gold

    One Nation, Under Inflation

    At this moment the US national debt exceeds $30Trillion. Yes, you read that right. $27 TRILLION.

    Government bureaucrats know the only way out of this $30 Trillion-dollar hole is one thing: printing money.

    And that means anyone with a bank account or retirement savings is facing a possible erosion of wealth in the years ahead. In 2008, millions of Americans like you and me lost over 50% of their IRA/401(k) almost overnight. 

    Fortunately, there’s something you can do. There is a rule in the tax code that could help you not only protect but also GROW your wealth.

    For a free 39-page Strategic Guide on how YOU can take advantage of this lucrative IRS rule, click here.

  • $10 Stock Gets “All-In” Buy Alert


    Sponsored by: Banyan Hill
    Paul Mampilly is a Wall Street legend.

    (Barron’s crowned his hedge fund as the “world’s best” and Kiplinger ranked it in the top 1%.)

    But a few years ago, he left Wall Street.

    “I just grew tired of helping the rich get richer,” Paul explains. “So I started sharing my No. 1 investment picks with Main Street Americans.”

    Readers of his Profits Unlimited research service have had the chance to pocket incredible gains.

    In 2016, he recommended Tableau Software … it shot up 199% in just 3 years.

    That same year, he recommended PayPal… that shot up 125% in less than 2 years.

    He also recommended Teradyne, that brought us 92% in a little over a year.

    Now, in this new video presentation, he reveals his No. 1 stock for 2021.

    And at just $10 a share, he believes it will do better than all these other stocks … combined!

    Click here to see the details on Paul’s No. 1 stock pick.

    “It’s about to make a major move,” Paul continues. “BlackRock just bought 514,000 shares, Vident just bought 404,000 shares, and Invesco just scooped up 8 million shares. It could move fast. Real fast.”

    Those who want in will have to act now.


    Click here to get details on Paul’s No. 1 stock pick.

     

  • 2 Under-the-Radar Crypto Stocks You’ve Never Heard Of

    2 Under-the-Radar Crypto Stocks You’ve Never Heard Of


    Back in the California Gold Rush of the 1850s, over 750,000 pounds of gold (worth just over$1.4 billion) was discovered.

    That sounds like a lot – but as we all know the way to strike it rich back then wasn’t to find gold but to supply the frenzied miners in search of their fortunes.   

    The California Gold Rush saw huge fortunes made, but it wasn’t from gold discoveries…

     

    • Levi Straus
    • Phillip Armour
    • Wells Fargo

    They were all founded during the 1850s gold rush and went on to make their founders rich. 

    Today, a similar “gold rush” is happening, this time in digital cryptocurrencies (bitcoin, ethereum, etc…). And the boom may have only just begun…

    And just like in the California Gold Rush, there are under-the-radar crypto players that stand to benefit even if they don’t actually mine bitcoins.

    So, BLI dove in, and found 2 under-the-radar crypto stocks you’ve probably never heard of.


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    P.S. Last year, one technology expert made a shocking prediction about Bitcoin and what it means for the real future of money. Click here to see what he thinks is about to happen.

     

     


    #1 Under-the-Radar Stock #1: Canaan

     

    Canaan is a Chinese bitcoin mining device maker, that had disappointing third-quarter results being blamed on COVID-19.

    The stock was up in excess of 150% in the past month and it slumped 13% on Monday the 20th of November, as reported revenue free fell 76% year over year to $24 million.  And the company booked a net loss of $12.7 million.

    Management stated that demand is returning for its equipment and presales are on the uptick for the fourth quarter after it dumped old inventory on the cheap.

    “Current orders with Canaan won’t ship until April due to the high demand for ASIC miners.” Thomas Heller, chief operating officer at mining software company HASHR8. 

    Mining for bitcoins is an expensive endeavor, and estimates have been made that the value of Bitcoin needs to be in excess of $15,000 for Canaan to be profitable.  

    There in, may lie the silver lining for Canaan as Bitcoin stands at $18,824 as of Tuesday mid day, but it is taking a beating, off $446 so far for the day .  But as the saying goes, “all that glitters is not gold.”  

    We’d be cautious on this stock…

     

    #2 Under the radar stock stock: HIVE Blockchain Technologies (OTC:HVBTF)

     

    HIVE is a crypto currency mining company that owns state-of-the-art green energy-powered data centre facilities in Canada, Sweden, and Iceland producing newly minted digital currencies like Bitcoin and Ethereum continuously on the cloud. 

    The company saw an 8% increase in revenue from the previous years quarter to $13 million in digital currency mining.  Cash flow grew substantially from a loss of $4.6 million a year ago to a positive flow of $10.6 million. All told HIVE reported second quarter profits of $7.4 million. 

    “We’ve been able to drive down costs, which has led to the highest cash flow in any one quarter since HIVE went public three years ago.” Said Frank Holmes, Interim Executive Chairman of HIVE.

    Case in point, they’ve locked down 50% of their energy cost for 2021 in Sweden at 1.2 cents per kilowatt per hour, one of the lowest rates in the industry.

    And HIVE continued expansion in 2020 and is currently in negotiations to acquire a data center in Grand Falls, New Brunswick, giving the company access to an additional 50 megawatts (MW) of low-cost green energy. 

    HIVE mined over 32,800 Ethereum and 88,300 Ethereum Classic coins in the quarter ended September 30. In the previous quarter they mined 25,000 Etherium coins, a significant increase over 50% compared to the same period last year. 

    “HIVE is the only public crypto mining company producing Ethereum on an industrial scale, sourcing green energy from facilities in Sweden and Iceland. With the explosion in DeFi, which has increased the demand for Ethereum, and now the debut of Ethereum 2.0, which will shrink the supply of Ethereum, we are in a very attractive position,” added Mr. Holmes.

    The Bottom Line: One 1 of These Stocks is Worth Investing In  As this new market emerges, there will be companies that soar and others that flounder.  The prospect of its legitimacy is taking hold as more corporations and institutional players join the foray.

    For investors looking to invest in under-the-radar crypto stocks it looks like HIVE Blockchain Technologies (HIVE.V), with its strong competitive position and positive cash profits, seems to be worth considering by investors today. 

     

  • Don’t Lose Money by Ignoring This Market

    It’s a big world out there.

    The U.S. has a population of 330 million people.

    India has a population of 1.3 billion people, and China has a population of 1.4 billion people.

    Both China and India have rapidly growing economies, are experiencing increased productivity, better standards of living, and as a result the rise of a new global middles class.

    rising productivity per person could allow both economies to surpass the size of the U.S. economy by 2030.” The Motley Fool

    And Africa is in a position to account for over half of the global population growth through 2050, according to the United Nations.

    Clearly signaling the most dramatic economic growth potential will take place outside of the United States in the next century.

    Does your portfolio include international stocks?

    It should.

    We’re singling out three international stocks for you to take a look at…

    JD.com (NASDAQ: JD) China accounts for one half of the global e-commerce market, and JD sits right behind Alibaba(NYSE: BABA). JD is China’s largest direct retailer and second-biggest e-commerce company. JD delivers general merchandise and its supermarkets have been growing exponentially by serving lower-tier cities in China.

    JD’s revenue rose 34% in its second-quarter annually to $28.5 billion, beating expectations by $1.2 billion, and its adjusted net income surged 53%.

    Yandex (NASDAQ: YNDX) One of Europes largest internet companies and the leading ride-hailing provider. Its core business revolves around its search engine and digital advertising services, prompting its reference to that of being the “Google” of Russia.

    Yandex is a leading Artificial Intelligence company in Russia and operates several platforms including; ridesharing, food delivery, social networks, video, and cloud services.

    Yandex announced its quarterly earnings results on July 28th, 2020. Revenue stood at $591.90 million for the quarter, compared to analysts’ expectations of $594.73 million. The company generated $1.14 earnings per share over the last year and has a current price-to-earnings ratio of 175.0.

    StoneCo LTD (NASDAQ: STNE) A Brazillian based financial tech company, which is benefiting from the move towards paperless banking.

    “Founded by serial entrepreneur Andre Street, the company processed its first transaction in 2014 and has since grown to become one of the most significant e-commerce players in the lucrative South American market.” My Wall St. Own It

    With a population of 220 million people, the customer base is significant and it is poised to enter Latin and other South American markets as the digital payments market grows. On September 1st StoneCo raised its bid to buy Brazilian software company Linx S.A. (NYSE: LINX) for $1.12 billion, contributing to a boost of its stock.

    When StoneCo went public back in 2018 Warren Buffett Berkshire Hathaway (NYSE: BRK.B) bought 14 million shares at $24 a pop. More recently StoneCo reported Q3 earnings fell 21% but revenue rose 14% to about $124 million, total payment volume climbed 28% to $6.9 billion, and total active clients surged 48.6% to 519,400.

    Your Bottom Line: You can surely expect international stocks to play a more important role in your portfolio. Populations will continue to explode across the world, and countries will develop their economies. Thanks mostly to U.S. ingenuity, their citizens will benefit from a higher standard of living and your portfolio can expand right along with them.

    The BLI Staff


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  • Why 1 CEO Put His Company’s Entire Cash Reserves in Bitcoin

    Why 1 CEO Put His Company’s Entire Cash Reserves in Bitcoin
    We didn’t believe it either…
    How could Bitcoin possibly be safer than debt backed by good old Uncle Sam?
    Yet that’s exactly what one CEO of a billion-dollar software company believes.
    In fact, he’s put his companies’ entire cash reserves — a cool $425 million — into the digital currency.
    The rationale is simple: Sooner or later the Fed’s hell-bent intention to print more and more money and keep interest rates low will catch up to them.
    This inflationary action will eventually cause interest rates to rise.
    At least that’s the case if you ask MicroStrategy Inc.(NASDAQ: MSTR) CEO Michael Saylor said when the Fed relaxed its inflationary policy it was the signal for him to take action.
    It’s worth noting that MicroStrategy provides enterprise analytics software and services worldwide – not cryptocurrency trading.
    At the time of this writing, MicroStrategy sports a $1.5 billion market cap and is sitting on $500 million dollars in cash reserves. In recent months, the CEO and his team sought ways to protect and grow the company’s cash on hand – and didn’t like their options.
    U.S. Treasuries yield practically nothing, the stock market is incredibly volatile, and gold “continues to be mined” according to Saylor.
    In a move that astonished onlookers, Saylor invested $425 million in Bitcoin, with the blessings of the remainder of shareholders in his company.
    Saylor estimates that asset inflation will erode more than 20% a year of U.S. Dollar purchasing power which amounts to $85 million per year on $425 million.
    Why Bitcoin?
    Saylor offered that there is a finite amount of Bitcoin available, countering the potential for decreasing returns, and will continue to buy crypto with cash from operations.
    In a recent interview with Bloomberg, he’s predicting other public and private companies will follow suit. “It will probably be private companies first, because they don’t have as much inertia…The public companies our size, then mid-sized companies.”
    Saylor isn’t blindly committed to cryptocurrency, though, as he has indicated that if bond yields jump he would move currency out of crypto back into bonds.
    “Right now this is the only thing we can find with a positive real yield.” Said Saylor.