In the face of intense pressure to direct more cash to renewables, this blue chip energy stock has remained steadfast in its commitment to oil and gas. And this Friday’s earnings announcement will likely prove once again this strategy pays dividends (big, healthy, growing dividends). In this report, we review the company’s business strategy (and how it differs from peers), strong cash flows, dividend safety, valuation and big risks, including a special focus on social and political risks (i.e. the “woke mob”). We conclude with our strong opinion on who might want to own the shares and who might want to stay away.
Energy Stocks: About to Get (More) Volatile
The 7 Healthiest Big-Dividend REITs (By Industry)
AGNC: Temping 17.8% Yield, Compelling Near-Term Upside
AGNC preannounced a significant decline to its book value for the third quarter, and is now a very tempting 17% yield. Especially considering some uncertainty has been removed and higher interest rates will benefit the net interest income going forward. However, there are massive market cycle risks (and opportunities) that AGNC investors need to navigate. In this report, we review AGNC’s business model, its new book value, price appreciation potential, dividend safety and long-term fundamentals. We conclude with our strong opinion about investing.
Clean Energy Solutions: Buy the Dip, If You Can Call It That
What started out as a microinverter technology (to help efficiently transform sunlight into energy) is rapidly growing into a one-stop-shop home-energy-solutions and technology company. Specifically, as the company’s microinverter business continues to grow rapidly (and gain market share from the other main industry competitor’s inferior technology), the product line continues to expand (now including batteries, EV charging, and impressive industry-leading smart software) into a massive secular trend (cleaner energy) opportunity (the SAM, or “serviceable addressable market,” is estimated to be $23 billion by 2025, versus the company’s $1.7 billion in total revenue over the last 12 months).
Income Equity Portfolio: 3 New Buys, 2 Positions Trimmed
10 Top Dividend-Growth Stocks: REITs, Blue Chips and BDCs
As the market selloff intensifies, one strategy that helps many investors cope is dividend-growth investing. By owning stocks that pay steady growing dividends, it becomes psychologically easier for some investors to avoid the panicked selling that ends up hurting them so badly in the long term. Afterall, long-term compound growth is where the real money is made when it comes to investing. Nonetheless, steady growing dividends can help investors cope with high volatility (like right now), so we have included 10 top dividend growth ideas below. They all pay growing dividends and trade at attractively discounted prices if you are a disciplined long-term investor.
Long-Term Investors: Attractive, Electrical Components, Smid-Cap Stock, On Sale
There is a lot to like about this attractive electrical components stock that we first wrote about back in 2015. For example, it is highly profitable, growing rapidly, has a large Total Addressable Market (“TAM”) opportunity and the shares are currently on sale because short-minded investors are incorrectly extrapolating short-term revenue growth estimates (due to a tough comp and the market cycle) and not seeing the long-term secular trend remains firmly intact.
Adobe to Acquire Figma for $20 Billion
So the highly-profitable multimedia and creativity software company, Adobe, has agreed to acquire web-first collaboration design platform, Figma, for $20 billion (half cash, half shares). At roughly 50 times next years revenues, and considering Adobe’s current total market cap is only around $173 billion, this is a hefty price tag, especially at a time when the market is down and economic growth is slowing. We share our thoughts on the acquisition and the future of Adobe in this quick note.
S&P 500: 25 Biggest Yields with 10+ Years Dividend Growth
Top 10 Growth Stocks (That Are Currently Down Big)
Despite all the gloom and doom in the market, and despite the big reasons to stay bearish (as we will review in this report), the market will eventually recover and go much higher. We don’t know if the majority of the selling is over, or if things will continue to get worse in the short-term (no one does). But we do know that over the long-term we expect the market to eventually recover and go much higher. In this report, we review the terrible market environment, including data on 150 top growth stocks that have sold off hard. Then we rank our top 10 long-term growth stocks from the list, starting with #10 and finishing with our top ideas.
Big Data Stock: Massive Sales Growth, About to Turn EPS Profitable
This big data stock went public in late 2020. And after some incredible post-IPO gains in 2020-2021, the shares came crashing down as the high-growth pandemic bubble burst. However, the company’s massive revenues have continued to grow an incredible pace, it just announced impressive quarterly results last week, and it is about to turn EPS positive (a great thing in this environment). And critically important—there is still a lot more room to run (in terms of sales growth that will lead to massive profits in the relatively near future.
Market Check In: 10,000 Foot View
Top 10 Big-Dividend Preferred Stocks (6% to +10% Yields)
Some investors are happy to know that interest rates on top savings accounts have risen from approximately 0% in 2020 to over 1% (in some cases) in 2022. However, when you factor in inflation of over 8% (CPI is 8.5%) you’re still losing money (or at least losing buying power). For those willing to move further out on the income-investment spectrum, preferred stocks can offer a compelling combination of higher income and lower price volatility (as compared to common stocks). In this report, we rank our top 10 big-dividend preferred stocks, counting down from #10 and finishing with our #1 top idea.
9.6% Yield Preferred Shares: Discounted Price, Strengthening Conditions
The marine shipping industry can be volatile. However many of the companies in this group offer steadier big-dividend preferred shares (that can appeal to income-focused investors). In this report, we review a company that offers seaborne crude oil and petroleum product transportation services worldwide, including its attractive qualities and current risks, and with a special focus on its 9.6% yield preferred shares. We conclude with our strong opinion on investing.
Popular mREIT: Absolute Junk, 2 Better Big-Dividends
The popular mortgage REIT we review in this report offers huge dividends on both its common and preferred shares. And while some investors are drawn to these big income payments, we believe it is an absolute junk investment. In this report, we explain why it should be avoided, and then offer two better big-dividend opportunities for you to consider.
Big-Dividend BDC: Distinct Growth Strategy
Cloud Monitoring Company: Lots of Long-Term Upside, On Sale
If you have the luxury of being a long-term investor, you have a distinct advantage and highly lucrative opportunity that is not available to others. Specifically, you can benefit from long-term compound growth (the eighth wonder of the world), particularly as it pertains to powerful secular trends. In this report, we review one such business (a SaaS application monitoring company) that will benefit from cloud migration and digitization secular trends over the long-term, despite the recent steep share price sell off (buying opportunity) so far this year.
Two High-Income CEFs Worth Considering
When investing in closed-end funds (CEFs), we look for a variety of things, including a big distribution payment, an attractively-discounted price (versus NAV), reasonable leverage, and attractive management team, and a strategy that can succeed (especially in current market conditions). The following two CEFs meet all of these requirements, and they are particularly interesting and worth considering for investment right now.