Independent Insight

Are You Ready If a Crash is Coming?

Are You Ready If a Crash is Coming?

The stock market is getting a bit nerve-racking for some as concerns deepen that the U.S. Federal Reserve may start raising interest rates at the same time the economy is slowing down. That scenario didn’t work out so well in late 2018 and investors are getting increasingly worried about a repeat. However, those same investors have been spoiled the last 18 months or so with some spectacular gains. If the recent market moves are more than just a healthy pullback and a severe downturn is coming, are you and your portfolio ready? Here are some ways to protect your capital. 

Shopify Cracks China with JD.com Deal

Shopify Cracks China with JD.com Deal

Shares of Shopify, like most technology companies lately, are getting battered around. But it’s business as usual for the e-commerce leader as the firm has struck a partnership deal with large Chinese online player JD.com. TD Securities sent a note to its clients with some thoughts on the arrangement and what it may mean for Shopify’s prospects. Here are the hi-lights.

Nine Secrets to Buffett Colleague’s 20%+ Average Annual Gain Over 25 Years

Nine Secrets to Buffett Colleague’s 20%+ Average Annual Gain Over 25 Years

Have you heard of Lou Simpson? Don’t feel badly if you haven’t. Apparently, Simpson, who passed away this week at 85, liked it that way as the value investor, once considered an heir to Warren Buffett, didn’t seek the public spotlight. What he did do as the manager of GEICO’s investment portfolio from 1980 to 2004, was consistently deliver impressive outperformance (see Simpson’s annual returns below). GEICO was a majority-owned subsidiary of Buffett’s Berkshire Hathaway for most of that time, and became wholly-owned by Berkshire in 1996. Buffett was so impressed by Simpson’s results, he left him alone to do his thing. How did Simpson do it? Here are nine secrets to his investing success. 

When to Sell: Excerpts From Howard Marks’ New Memo

When to Sell: Excerpts From Howard Marks’ New Memo

Howard Marks has been writing investment-themed memos for 40 years. They are always thorough and thought-provoking. In his latest missive, the billionaire co-founder and co-chairman of Oaktree Capital Management, majority-controlled by Canada’s Brookfield Asset Management, he tackles selling stocks, a topic he’s never covered in a memo. When and how to sell a stock is often the most difficult thing an investor has to master. Here are a few excerpts followed by a link to the full text. 

Best Stock Ideas From Our All-Star Roster

Best Stock Ideas From Our All-Star Roster

Time for a list of compelling stock ideas for this year courtesy of our all-star roster of money managers, analysts and investment newsletter writers. From real estate expert Dennis Mitchell to highly successful contrarian Benj Gallander, from large caps to small, dividend payers to growth companies, we’ve assembled an eclectic array of top stock picks for you to consider to freshen up your portfolio. 

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Our 10 Most Popular Videos & Articles of 2021

Our 10 Most Popular Videos & Articles of 2021

We couldn’t resist. We’ve produced all of this content this year that we know not everyone had a chance to see so why not assemble a list of the most popular posts. It’s interesting for us to see what kind of investment stories resonate with people, and which don’t 🙁 Here are the 10 videos and articles that Uncommon Sense Investor subscribers and visitors gravitated to the most, along with a description of each.

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Kiplinger’s 22 Best Stocks to Buy For 2022

Kiplinger’s 22 Best Stocks to Buy For 2022

If you’ve been a subscriber for a while you’ll have noticed we like to present research from Kiplinger from time to time, usually in Sunday’s Weekend Reading email. This investment publisher has been around since 1920, has nearly one million subscribers, attracts 4.5 million unique website visitors per month, and consistently produces high-quality investment research. Kiplinger’s Best Stocks list for the upcoming year has been released for your consideration.

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Divorce: 10 Financial Steps to Navigate Your Big Life Change – Audio and Full Transcript

Divorce: 10 Financial Steps to Navigate Your Big Life Change – Audio and Full Transcript

Libby Wildman, John O’Connell and I enjoyed participating in our recent live Money Show about divorce. We’ve received a lot of positive feedback about what we think was an important and thought-provoking show loaded with invaluable insight. Libby, Head of Wealth Advisory at Davis Rea Investment Counsel, is very open about having been divorced twice and delivers step-by-step financial advice and anecdotes based on her years of professional and personal experience. John O’Connell has also been through the often stressful and emotional aspects of divorce and, like Libby, has guided many clients through the process over his 11 years as Chairman & CEO of Davis Rea. Whether you’re contemplating divorce, going through one, or post-divorce, listen to the full show and/or read the full transcript to take advantage of two pros dispensing real world and actionable advice. 

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Three Canadian Focus List Stocks For 2022

Three Canadian Focus List Stocks For 2022

RBC Capital Markets has released its RBC Strategy Canadian Focus List for 2022. There are 27 companies on the list. We’ve pared it down to three less obvious names in software and manufacturing, which the analysts give 12-month potential upside of between 25 per cent and 28 per cent. Maybe these stocks would fit nicely into your portfolio.

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10 U.S. Stock Picks For 2022

10 U.S. Stock Picks For 2022

We’re always on the lookout for stock ideas, especially ones that could refresh your portfolio for next year. Courtesy of James Glassman, author and Contributing Columnist at Kiplinger, who’s been assembling these annual lists for nearly 30 years, here are 10 stock ideas to consider. 

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Outperforming Value Investor Says Uber is Cheap & Could Double. Seriously.

Outperforming Value Investor Says Uber is Cheap & Could Double. Seriously.

What do I know about Uber? Well, I’ve used its service for several years fairly regularly including Uber Eats. The ride-sharing company expanded rapidly around the world, bleeds money and is not profitable. Uber has been involved in a ton of lawsuits. And its previous CEO got the boot for being a jerk. That’s about it. But as an investment is Uber undervalued? Boyar Research is run by President Jonathan Boyar and he and his team have consistently outperformed the S&P 500 the last several years. Boyar specializes in undervalued companies and he says Uber is one of them and that the stock could more than double in the next year. Here is a summary as to why. 

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Top “Special Situations” Amazon Partner Could Gain 59%

Top “Special Situations” Amazon Partner Could Gain 59%

There are many types of companies that benefit from Amazon’s sprawling e-commerce, supply chain logistics, delivery, cloud services, advertising, and entertainment businesses. One of them continues to be Canada’s Cargojet (TSX:CJT), which just struck a new deal with Amazon. And like Amazon, Cargojet’s stock took a breather last year but is still higher by 237 per cent over the last five years compared to a gain of 295 per cent for its American partner. One analyst believes Cargojet’s stock will take flight again this year and could gain nearly 60 per cent. Here’s why. 

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Could the Nifty Five Go the Way of the Nifty 50?

Could the Nifty Five Go the Way of the Nifty 50?

Billionaire Howard Marks tells a great story about joining the investment research department at Citibank for a summer job in 1968 when the Nifty 50 stocks were all the rage trading at as much as 80 times earnings. Xerox, Kodak, and Polaroid, among them. Marks, co-founder & co-Chairman, Oaktree Capital Management (majority owned by Brookfield Asset Management), watched over the next five years as these seemingly infallible companies lost as much as 80-to-90 per cent of their value as inflation surged. Now, the so-called Nifty Five (Apple, Microsoft, Amazon, Alphabet, and Nvidia for argument’s sake), account for the bulk of the gains in the major stock indices and are trading at rich multiples. Could that change over time? It would be odd if it didn’t. Louis-Vincent Gave is the co-founder & CEO of Gavekal Research. Here’s what he believes could in store for the Nifty Five.

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Top Five Dogs of the Dow For This Year

Top Five Dogs of the Dow For This Year

The Dogs of the Dow theory was popularized by investment manager Michael B. O’Higgins in his 1991 book Beating the Dow. He proposed an investor at the beginning of the year could buy the 10 highest-yielding Dow Jones Industrial Average components in equal amounts. Hold them until the end of the year. Do the same thing the following year, and so on. Since 2000, this strategy has posted a decent average annual return of 8.7 per cent. But the income and value Dogs of the Dow approach has underperformed the index the last four years. Maybe that streak is broken this year. Here now are the top five Dow dogs for 2022. 

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Analyst Who Nailed 1,700% Gain on Restoration Hardware Says Playboy Could Double…Thrice

Analyst Who Nailed 1,700% Gain on Restoration Hardware Says Playboy Could Double…Thrice

Brian McGough has one of the better track records in retail research. The long-time analyst at Hedgeye Risk Management made one of his most lucrative calls in 2017 when he said shares of Restoration Hardware could multiply despite a lot of pessimism surrounding the luxury home furnishings company. The stock indeed surged over four years from below $40 to more than $700. Now, McGough is putting his reputation on the line again by saying Playboy Group (see our recent piece on the company below) could double and double again from the current price. In this brief, spirited, and sometimes salty conversation from Hedgeye’s Morning Call, McGough lays out his bull case for the iconic brand and his boss, Keith McCullough, explains why he has his analyst’s back despite some recent turbulence for Playboy (NASDAQ:PLBY), and is sticking with the stock.

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All 71 Stock Market Panic Attacks Since 2009 Have Been Buying Opportunities

All 71 Stock Market Panic Attacks Since 2009 Have Been Buying Opportunities

There have been more than 70 occasions since the bull market began nearly 13 years ago when investors could have been spooked out of many of their stock positions or scared out of the market entirely by any number of frightening narratives. Every one of those times, detailed in the chart below, were opportunities to buy stocks. That’s according to Dr. Ed Yardeni, President of Yardeni Research, to which we subscribe and sometimes publish excerpts of his work including this piece of research. Yardeni hasn’t yet said whether he believes the current turmoil in the market is another panic attack but chances are this current concern about rising interest rates hurting stocks will pass. Do we hear 72?

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Why Amazon is a Barron’s Top Pick For 2022

Why Amazon is a Barron’s Top Pick For 2022

I recently finished reading Amazon Unbound: Jeff Bezos and the Invention of a Global Empire, a fascinating inside look at the history of the pioneering company and its founder. The author, Brad Stone, Senior Executive Editor, Technology at Bloomberg, also wrote a previous book about Amazon entitled The Everything Store: Jeff Bezos and the Age of Amazon. Stone provides a very well-researched account of how and why Bezos and his team have succeeded in creating a global juggernaut and details the missteps, as well. Even though Bezos has stepped away from the CEO role, Amazon’s growth story is far from over. Barron’s has made it one of its top 10 stock picks for 2022. Here’s why.

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Six Best Cloud Computing Stocks to Buy Now

Six Best Cloud Computing Stocks to Buy Now

One of the fastest-growing areas of technology continues to be cloud computing. After the term was coined 15 years ago by former Google CEO Eric Schmidt, cloud computing – networks of remote servers hosted on the internet to store, manage, and process data – has exploded into a $445 billion industry, and is expected to more than double by 2026. Here are six cloud companies, including a Canadian firm, that have strong growth and are well-liked by analysts. 

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17 Questions to Ask Yourself

17 Questions to Ask Yourself

Morgan Housel has some questions for you to ask yourself. He’s a partner at Collaborative Fund, a former columnist at The Motley Fool and The Wall Street Journal, and author of the book The Psychology of Money. Housel says these questions are relevant to everyone, and apply to lots of things.

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Be Your Own Investment Composer & Beware Foolish Advice

Be Your Own Investment Composer & Beware Foolish Advice

Recently, gloomy headlines have taken to note that stocks have moved in larger ranges than has been accustomed these past months. Not surprising really. When we get comfortable, change is sure to follow. Night follows day. There is a rhythm to things, and like all complex organisms, the world according to market prices has its rhythms. Who will be your (investment) composer?

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15 Best Quotes From Elon Musk’s Person of the Year Interviews

15 Best Quotes From Elon Musk’s Person of the Year Interviews

You’ve probably heard Elon Musk was named Person of the Year by Time, not the distinction it used to be when the publication was more relevant, and by Financial Times (FT). Musk, the CEO of Tesla and SpaceX, is a fitting choice. He is defiantly who he is, not what people want him to be. If he’s not refined enough for some people’s taste, or tweets too much, Musk doesn’t care. The richest man in the world is a brilliant and complex product of our times. Here are Musk’s 15 best quotes from the interviews he did with Time and FT. 

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Top 10 Analyst-Ranked Dow Jones Stocks

Top 10 Analyst-Ranked Dow Jones Stocks

We all love lists, right? There was a hugely popular Book of Lists, back in the day, and BuzzFeed is a successful purveyor of listicles. We also love lists that are cleanly presented and concise. Here’s a list like that, along with some cogent commentary, of the top 10 Dow Jones stocks as ranked by analysts. These companies all have dominant businesses, wide moats and good growth prospects. Maybe you’ll want to put a few of them on your shopping list. 

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Insiders Selling at Record Pace While Extreme Speculation Continues

Insiders Selling at Record Pace While Extreme Speculation Continues

Jesse Felder’s commentary is always succinct, to the point, and worth considering. The former hedge fund manager and Founder, Editor & Publisher of The Felder Report provides free excerpts of the reports he writes for his subscribers. The latest illustrates the rampant speculation in the stock market while, at the same time, the so-called smart money, executives and other insiders, selling at a record pace as shown in two eye-popping charts. The resolution to this situation will be televised and will not be pretty. 

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How Money Manager & 100-Bagger Author Chris Mayer Deals with Volatility

How Money Manager & 100-Bagger Author Chris Mayer Deals with Volatility

In a sea of noise, you can always count on Chris Mayer for some calm, rational thoughts about the market. The co-founder & Portfolio Manager of Woodlock House Family Capital takes the long view and has strategies and techniques to avoid getting his emotions too involved with the state of his fund. It makes sense because Mayer, you may remember from our interview with him, is also the author of 100-Baggers: Stocks That Return 100-to-1 & How to Find Them. Here are Mayer’s thoughts about the recent turbulence in the stock market along with some interesting stats and factoids.

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