Value Investing

The stock market is truly bizarre. Think about this… In the first quarter of the year, gross domestic product (GDP) contracted roughly 5%. The unemployment rate is currently 14.7%. Our national debt is more than $24 trillion and climbing. Yet, since March 23, the S&P 500 is up 30% and only about 11% off record highs… And here’s the thing, the numbers aren’t expected to get any better. The Federal Reserve thinks that GDP could shrink by an annualized 30% in the second quarter, and the unemployment rate could jump as high as 20%-25%. Retail Is In The Trash Bin… Read More

The stock market is truly bizarre. Think about this… In the first quarter of the year, gross domestic product (GDP) contracted roughly 5%. The unemployment rate is currently 14.7%. Our national debt is more than $24 trillion and climbing. Yet, since March 23, the S&P 500 is up 30% and only about 11% off record highs… And here’s the thing, the numbers aren’t expected to get any better. The Federal Reserve thinks that GDP could shrink by an annualized 30% in the second quarter, and the unemployment rate could jump as high as 20%-25%. Retail Is In The Trash Bin To exacerbate things, on Friday, May 15, the retail numbers showed just how bad things have been for many retailers. The April report showed that on a month-over-month basis (comparing April 2020 with March 2020), retail sales plummeted more than 16%. For comparison, the greatest month-to-month drop-off during the 2008 financial crisis was 4%. On a year-over-year basis, April sales fell 22%. Diving deeper into retail segments, clothing and clothing accessories were hit the hardest (down 89% year-over-year), next was furniture stores (down 67%), and finally department stores (down 47%). While investors had been bracing for a… Read More

Let's face it. An investment in one of the airlines is about what it can accomplish tomorrow, not what it’s going through today. But let's take some time to understand just how hard it’s going to be... Read More

Let's face it. An investment in one of the airlines is about what it can accomplish tomorrow, not what it’s going through today. But let's take some time to understand just how hard it’s going to be... Read More