As seen on:
X

This Rocky Stock Market Requires An All-Terrain Portfolio

The bulk of U.S. stock gains in this long-running bull market are due to one variable: the expansion of the price-to-earnings ratio. Earnings for S&P 500 companies have stagnated since 2014. Stock prices have gone up because the Federal Reserve and other central banks have squeezed all investors to the same side of the risk curve. […]

Random Thoughts on Apple

I wrote more articles about Apple than almost any other company over the last five years. For a long time it was one of the most hated stocks on Wall Street, and when we bought it for the first time in 2013, an outraged client wrote me an email calling our purchase “irresponsible” – which motivated me to write […]

World Leaders Are Taking Investors Down A Dangerous Economic Path

Conditions for investors around the world are getting worse. Let’s start with Europe, the world’s second-largest economy. The European Union is a collection of states that are vastly different from one another. They are separated by culture, language (which impedes labor mobility, resulting in semipermanent labor productivity disparity between countries — think Greece and Germany), […]

New iPhones Are Not Enough

It is hard to find a bigger Apple stock cheerleader than me. I’ve been writing Apple stock love poems for years. For a long time, it was easy to love the shares because they were unloved by others and it was cheap. Until recently, when Apple stock was still trading in the low $100s and at single-digit multiples, […]

The World Is Becoming Desperate About Deflation

The Great Recession may be over, but eight years later we can still see the deep scars and unhealed wounds it left on the global economy. In an attempt to prevent an unpleasant revisit to the Stone Age, global governments have bailed out banks and the private sector. These bailouts and subsequent stimuli swelled global […]

SoftBank’s Big Plan For A Smarter Internet Is Brilliant

Masayoshi Son doesn’t do anything small nor does he do things in a simple way. A few months ago SoftBank Group announced that it would be raising $100 billion to invest in Son’s vision of the singularity. (That is more than the capital of the entire venture capital industry.) Singularity is the point when computer intelligence […]

Don’t Blame Amazon for The Ice Age in Retail

In my latest 2 minutes and 29 seconds of fame, I was on Fox Business discussing why Amazon should not be blamed for all the troubles in retail-land.   You can read my articles here and here.

Why Amazon Will Not Kill This Business

Tesco is a great example of how one should be very careful judging a company’s fundamental performance by looking solely at the performance of its stock. The company reported another great quarter with a lot of “increases”: total sales increased 4.3%; same stores increased 0.9%; store traffic increased (it has been increasing for many quarters […]

It’s Not Just Amazon’s Fault

Retail stocks have been annihilated recently, despite the economy eking out growth. The fundamentals of the retail business look horrible: Sales are stagnating and profitability is getting worse with every passing quarter. Jeff Bezos and Amazon get most of the credit, but this credit is misplaced. Today, online sales represent only 8.5 percent of total […]

Good Companies Don’t Always Make Good Stocks

I was recently going through a new client’s portfolio and found it full of the likes of Coca-Cola, Kimberly-Clark and Campbell Soup — what I call (pseudo) bond substitutes. Each one is a stable and mature company. Your mother-in-law would be proud if you worked for any one of them. They have had a fabulous […]