Articles for author: Ron Finklestien

March 26, 2024

Ron Finklestien

The Rise of Services, Tech, and Communications: A Market Snapshot

Services Sector Flies High During the bustling afternoon hours on Tuesday, Services stocks are the shining stars, lifting the sector by 0.5%. Within this realm, MGM Resorts International (MGM) and Dominos Pizza Inc. (DPZ) are standout performers, boasting gains of 4.1% and 3.7% respectively. The iShares U.S. Consumer Services ETF (IYC) mirrors this trend, lofting 0.5% today and a robust 7.84% year-to-date. MGM Resorts and Dominos Pizza aren’t slouching either, up 3.76% and 17.39% respectively, year-to-date. This duo collectively makes up a significant 0.5% slice of the underlying holdings within IYC. Tech & Communications: Rising Titans On another front, the

March 26, 2024

Ron Finklestien

The Evolution of Healthcare Stocks Amidst the Artificial Intelligence Revolution

Optimism from Nvidia and Market Forecasts Artificial intelligence (AI) is not just a passing trend, but a burgeoning investment opportunity that has captivated investors worldwide. In recent months, AI stocks have surged, propelling the S&P 500 to unprecedented heights and solidifying the ongoing bull market. Companies harnessing AI have the potential to revolutionize various sectors, but the healthcare industry stands poised to emerge as the ultimate victor. Image source: Getty Images. The AI juggernaut, Nvidia (NASDAQ: NVDA), is not just a silent observer in this arena. CEO Jensen Huang recently proclaimed at the GTC conference that AI will reshape the

March 26, 2024

Ron Finklestien

Cathie Wood’s Strategic Move: 3 Stocks that Got Her Attention

Tesla: The Electric Rollercoaster Tesla’s tumultuous journey in the stock market continued in 2024 after a stellar performance in the previous year. The leading electric vehicle (EV) manufacturer faced strong headwinds due to disappointing financial results causing the stock to plummet. Despite increased EV production and a 20% rise in unit deliveries, Tesla’s revenue growth stalled at just 3%. The company’s aggressive pricing strategies to boost demand led to a significant decline in average selling prices. As a result, profit margins took a hit, causing adjusted earnings to drop by 40% year-over-year. Analysts raised concerns about Tesla’s sales growth trajectory

March 26, 2024

Ron Finklestien

Stock Market Rollercoaster: A Glance at Utilities and Energy Sectors

When it comes to the unpredictable ride of the stock market, the Utilities and Energy sectors have recently taken a nosedive in Tuesday’s afternoon trading session. Utilities stocks are leading the pack with a 0.8% loss, closely followed by the Energy sector showing a 0.5% decline. Let’s dive into the details and explore the reasons behind this plummet in the market landscape. Utilities Sector Blues: Dominion Energy Inc and NextEra Energy Inc The once-stable Utilities sector is currently facing turbulence with two prominent stocks, Dominion Energy Inc and NextEra Energy Inc, experiencing significant setbacks. Dominion Energy (D) and NextEra Energy

March 26, 2024

Ron Finklestien

The Impact of Boeing’s Troubles on Airline Stocks

Boeing (NYSE:BA) CEO Dave Calhoun’s resignation announcement this week marked yet another chapter in the troubled journey of the commercial aircraft manufacturer. The turmoil at Boeing has rippled through the industry, affecting other airline stocks. The company’s woes began with a door plug incident in January that raised significant safety concerns. This has led to a 25% decline in BA stock this year, exacerbating its five-year downturn of 50%. The aviation ecosystem is tightly knit, with airlines heavily dependent on Boeing for their fleet modernization. The lack of alternatives, with Airbus (EPA:AIR) struggling to meet demand, amplifies the challenges facing

March 26, 2024

Ron Finklestien

American Dreams: SK Hynix’s $4 Billion Semiconductor Venture in Indiana

The Seeds of Growth SK Hynix’s plan to invest $4 billion in a cutting-edge chip-packaging facility in West Lafayette, Indiana, ignites a beacon of hope for the revival of America’s semiconductor industry. This move epitomizes the Biden administration’s vision to reignite the dormant embers of U.S. semiconductor dominance.  Situated in close proximity to Purdue University, renowned for its prowess in semiconductor and microelectronics engineering, the facility is poised to create 800 – 1,000 jobs. A synergy of state and federal incentives is anticipated to underpin the financing of this ambitious project, as reported by the Wall Street Journal. The Ripple Effect SK

March 26, 2024

Ron Finklestien

Delve into Saul Centers Series E Cumulative Redeemable Preferred Stock Ex-Dividend Alert

Quarterly Payouts Unveiled Dive into your calendars, fellow investors! On the distinguished date of 3/28/24, Saul Centers Inc’s 6.000% Series E Cumulative Redeemable Preferred Stock (known in symbol form as BFS.PRE) will commence trading without the rightful dividend attached to it. This quarter, a bountiful $0.375 per stock unit shall be paid out come 4/15/24. This dividend corresponds to about 1.65% of BFS.PRE’s most recent share price of $22.74. When the stock market unfurls its banners on 3/28/24, expect BFS.PRE shares to shimmy 1.65% lower, provided no market ulcers erupt. Calculated annually, the present return stands at approximately 6.45%, graciously

March 26, 2024

Ron Finklestien

The Boeing Company: A Look at Recent Management Changes Amid Delivery Concerns

Shakeup at the Cockpit In a move that echoes the turbulent skies of yesteryears, David Calhoun, the CEO of Boeing, and Chairman Larry Kellner have announced their resignation. This decision comes in the wake of a federal investigation stemming from a mid-flight door panel incident back in January. Furthermore, Stan Deal, President and CEO of Boeing’s Commercial Airplanes division, has also made an abrupt departure, signaling a dramatic shakeup at the aerospace giant. Analyst Perspectives Analysts have been quick to weigh in on these developments. Josh Sullivan from Benchmark sees the recent chain of events as a necessary step to

March 26, 2024

Ron Finklestien

Unveiling Liberty Broadband Corp’s Series A Cumulative Redeemable Preferred Stock Dividend

Embrace the Cash Flow Prepare for the upcoming financial tango as Liberty Broadband Corp’s Series A Cumulative Redeemable Preferred Stock (Symbol: LBRDP) gears up to trade ex-dividend on 3/28/24. Investors should keep a keen eye on this quarterly dividend of $0.4375, set to be paid out on 4/15/24. Delving into Dividend Details As this distribution represents 1.84% against LBRDP’s recent share price of $23.78, a discernible shift of 1.84% downwards in LBRDP’s trading position is expected on 3/28/24. The current annual yield stands strong at approximately 7.42%, outshining the common 6.37% yield in the “Communications Services” preferred stock domain, as

March 26, 2024

Ron Finklestien

Exploring GDX Options for March 2025

Unlocking New Investment Avenues Investors tracking VanEck ETF Trust – Gold Miners ETF (Symbol: GDX) witnessed the unveiling of new options, slated for the March 2025 expiration date. These fresh offerings, with a healthy 360-day runway, bring forth a unique avenue for put or call sellers to potentially command a higher premium compared to more immediate contracts. Delving into specifics, one intriguing scenario shines a light on the put contract pegged at the $22.00 strike price. Sporting a modest bid of 2 cents, this contract lays down an interesting proposition. By venturing into a sell-to-open strategy for this put contract,