Author Archive: Jeff Reeves

Senior Investment Analyst

This 5% Yield Dog Is About To Have Its Day

Jeff Reeves, Senior Investment Analyst
Updated: September 23, 2022

It’s been a brutal year for tech stocks, and one of the hardest hit names in the sector has been Intel Corporation (INTC). And unfortunately, things seem to be getting worse lately – not better.

Case in point: Intel stock is down more than 40% year-to-date, with a decline of almost 20% coming in the last month or so after very disappointing Q2 results at the end of July.

By comparison, the Nasdaq composite is down “only” 26% on the year and 11% in the last 30 days.

With returns like this, there are really only two ways to view the chipmaker as it trades at the lowest levels since 2015… Either Intel is crazy cheap after these declines, or investors who are bargain hunting in INTC are just plain crazy.… Read more

This 6.3% Blue Chip Is Dialed in for Steady Gains Ahead

Jeff Reeves, Senior Investment Analyst
Updated: September 16, 2022

Wall Street has been giving investors whiplash lately, as the big rebound from July evaporated in August. And as we look to close out the year, more volatility is sure to follow.

Most financial news channels blame the choppy environment on rising interest rates, rampant inflation or other macroeconomic boogeymen. But that’s just because the media needs to keep you clicking on headlines if they want to get paid! The real reason for recent volatility is much simpler.

It’s not really troublesome data points driving the market, but rather troublesome bouts of “first order” thinking.

Spend time around toddlers or pets and you’ll see the perils of first order thinking on display.… Read more

Snag 7%+ Yield in This Crash-Proof Energy Stock

Jeff Reeves, Senior Investment Analyst
Updated: September 9, 2022

If you did any driving over the holiday weekend, you may have noticed that prices at the pump are much more manageable than they were just a few months ago. In fact, they recently hit their lowest level since mid-February.

That’s great for motorists, but has admittedly created plenty of pain for investors who thought the windfall profits in the oil patch were sustainable. Consider that the popular Energy Select Sector SPDR Fund (XLE) made up of blue chip energy stocks is down almost 15% from its June high, while the S&P 500 on average has managed to post a small gain in the same period.… Read more

Here’s the ONLY Way To Invest in a Leading a 14.9% REIT

Jeff Reeves, Senior Investment Analyst
Updated: August 26, 2022

Among the many lessons I learned in the aftermath of the 2008 financial crisis, one of the most important was to do my own research. You simply cannot get ahead by chasing whatever tickers are hot on CNBC and Twitter, or by taking the headlines in financial media for granted.

But I must admit, it’s not always comfortable to think like a contrarian and focus on long-term income over a short-term adrenaline rush. It sometimes means sitting on stocks that may seem to “underperform” the high-octane tech stocks everyone’s gushing about. And it sometimes means thinking differently about performance by looking at what’s important to you vs.… Read more

Ride the Recovery With This 4.7%+ Momentum All-Star

Jeff Reeves, Senior Investment Analyst
Updated: August 19, 2022

Thinking like a contrarian can sometimes be a crucial part of investing profitably. To be clear, that doesn’t mean you ignore reality. It just means that you’re willing to look beyond the obvious narratives based on the last few trading days, and instead look to what the future holds.

Right now, we’re at an interesting point in the stock market that lends itself to contrarian thinking. On one hand, the last several months have all given us ample proof of the risks on Wall Street – inflation, rising rates and volatility. But looking forward, the narrative may be changing.

July Inflation was flat month-over-month as measured by the Consumer Price Index.… Read more

This 6.2% Dividend Stock Has Staying Power

Jeff Reeves, Senior Investment Analyst
Updated: August 12, 2022

Like many who are passionate about investing, I am a numbers guy. And like many people who are serious about facts and figures, it’s hard to bite my tongue when I run across egregious errors in financial media that might mislead the investing public.

Here are a few that have irked me lately that you should watch out for:

Stock splits:  Arguing that Alphabet Inc. (GOOGL) is different after its July stock split is like arguing that cutting a pizza into more slices somehow changes the quality of the crust. The value of a company or its total profits doesn’t change just because there are more shares (or slices) to go around.… Read more

Harness 5%+ Dividends With “Small Ball” Stocks Like This One

Jeff Reeves, Senior Investment Analyst
Updated: August 5, 2022

One of my favorite things about the summer months is minor league baseball. You can get a dog and a beer on the cheap, most games are followed by fireworks and there’s no hour-long wait to pull out of the parking lot.

Besides, if you’re a student of baseball then there’s so much to appreciate. Talent in the big leagues makes it all look easy. And while the minors is messy at times, it makes you appreciate the importance of things like shrewd baserunning, taking pitches or placing the perfect bunt.

I love the investing version of “small ball,” too. Less flashy long-term plays may not ever become household names, but that doesn’t mean they aren’t valuable players in your portfolio as a whole.… Read more

This “Antifragile” Sin Stock Pays 8.4% with Continued Upside in 2022

Jeff Reeves, Senior Investment Analyst
Updated: July 29, 2022

Statistician and trader Nassim Nicholas Taleb published his book “The Black Swan: The Impact of the Highly Improbable” in 2007 – just months before the global financial crisis and Great Recession hit full swing. In this, and in other writings, he explores the importance of preparing for the unexpected.

After a brutal year or so on Wall Street, I recently went back to Taleb’s works. They offer some very important lessons on resilience and risk, and I highly recommend them.

But since most people prefer simple, real-world examples to a homework assignment, let me give you the Reader’s Digest version – using tobacco giant Altria Group Inc.Read more

This Megabank Is a Megabuy After Earnings

Jeff Reeves, Senior Investment Analyst
Updated: July 22, 2022

Last week, I shared with you one of my top picks right now in pharmaceutical giant AbbVie (ABBV). The stock has tripled its dividend in about 10 years and is one of the rare investments that’s actually up in an admittedly rocky 2022.

And the week before that, I detailed another “MVP” stock in Stellantis (STLA). This automaker is plotting big cost-savings after a recent merger, currently delivering more than 5X the yield of the typical stock in the S&P 500.

This time around I want to share with you another recommendation, megabank JPMorgan Chase (JPM). This financial stock also exhibits the three must-have factors I look for – strong management, attractive value and generous payouts – but has recently been making headlines after earnings that make this trade a bit time-sensitive.… Read more

This Recession-Resistant Healthcare Play Has Tripled Its Dividend

Jeff Reeves, Senior Investment Analyst
Updated: July 15, 2022

Last week, I shared one of my top picks in this volatile market via automaker Stellantis (STLA). You can get all the details in my analysis, but the short version is that this stock is set up for big cost-savings after a recent merger, trades at P/E ratio of just 3X earnings, and delivers more than 5X the yield of the typical stock in the S&P 500 index at present.

This week, I want to share a bit more about the “MVP” philosophy behind this pick by highlighting another stock that is equally attractive.

MVP stands for three core factors that any income-oriented investor should explore before making an investment — Management, Valuation and Payouts.… Read more