A few days ago, an article about Nike (NYSE:NKE) argued that "Nike's shares aren't priced to buy." The reasoning was that "Nike is, at best, fairly valued. And it certainly isn't trading hands at fire-sale prices." The question is: should you expect (and wait for) fire-sales prices? Most value investors know the maxim that it is better to buy a great business at a fair price than to buy a mediocre business at low price. We think that Nike is a great business at a fair price. We have been waiting for Nike's price to come down for a long time and meanwhile, we have sold PUT options, though unfortunately these options have never been exercised (but we cashed-in premiums). Today, we bought the stock.
Reasons to avoid the stock
We invest with a long-term view and therefore we ask long-term questions:
Has the management of Nike changed its strategy? Is Nike's long-term strategy ultimately going to fail? Is there anything that can or has damaged the Nike brand?
Of course, competition is there, but is there any industry where there is no long-term competition? Under Armour (NYSE:UAA), Adidas (OTCQX:ADDDF), Lululemon (NASDAQ:LULU) are all good companies, but they have always been there. Under Armour and Lululemon are perceived as new entrants, but they were actually founded 20 years ago (in 1996 and 1998), Adidas is almost a century old, while Nike is "only" 52-years old. So, what has changed? These industries move in waves, but the quality of the Nike brand, its management, and innovation have been a constant. In sum, if your answer to any of the previous questions is YES, then you should reconsider our investment thesis. If it is NO, then we can move on to the next paragraph.
Best Low Price Stocks To Buy Right Now: RELX N.V.(RENX)
Advisors' Opinion:- [By Stephan Byrd]
Get a free copy of the Zacks research report on Relx (RENX)
For more information about research offerings from Zacks Investment Research, visit Zacks.com
- [By Stephan Byrd]
Relx (NYSE:RENX) was upgraded by research analysts at Barclays to a “buy” rating in a report released on Monday.
RENX has been the subject of several other research reports. Zacks Investment Research raised shares of Relx from a “sell” rating to a “hold” rating in a report on Thursday, August 16th. UBS Group cut shares of Relx from a “neutral” rating to a “sell” rating in a research note on Thursday, June 14th. Two investment analysts have rated the stock with a sell rating and three have given a buy rating to the company. The stock presently has an average rating of “Hold” and a consensus target price of $23.00.
Best Low Price Stocks To Buy Right Now: Gogo Inc.(GOGO)
Advisors' Opinion:- [By Demitrios Kalogeropoulos]
Inflight internet service provider Gogo (NASDAQ:GOGO) trailed the market last month by shedding 26% compared to a 3.6% increase in the S&P 500, according to data provided by S&P Global Market Intelligence.
- [By Max Byerly]
BidaskClub lowered shares of Gogo (NASDAQ:GOGO) from a hold rating to a sell rating in a report released on Wednesday morning.
A number of other research firms also recently weighed in on GOGO. Northland Securities set a $2.00 price target on Gogo and gave the company a sell rating in a research note on Tuesday, November 6th. ValuEngine raised Gogo from a hold rating to a buy rating in a research note on Tuesday, November 6th. Finally, Zacks Investment Research raised Gogo from a hold rating to a buy rating and set a $7.50 price target on the stock in a research note on Wednesday, November 14th. Two analysts have rated the stock with a sell rating, five have issued a hold rating and three have assigned a buy rating to the company. The company presently has a consensus rating of Hold and a consensus target price of $7.65.
- [By Keith Noonan]
Gogo (NASDAQ:GOGO) stock gained 38.1% in January, according to data from S&P Global Market Intelligence. The in-flight broadband company's stock fell roughly 44% from October through December, but shares saw substantial recovery early in 2019 thanks to a hardware performance fix, raised full-year guidance, and a rebound for the broader market after 2018's turbulent close.
- [By Paul Ausick]
Gogo Inc. (NASDAQ: GOGO) fell nearly 13% Monday to post a new 52-week low of $3.52. Shares closed at $4.04 on Friday, and the 52-week high is $14.76. Volume totaled about three times the daily average of around 1.7 million. The company announced after markets closed Thursday that it was reviewing strategic alternatives and exploring ways to cut costs.
Best Low Price Stocks To Buy Right Now: LendingClub Corporation(LC)
Advisors' Opinion:- [By Nicholas Rossolillo]
Tech-savvy young people are helping foster the sharing economy, but at this point there are very few pure-play "sharing" stocks. However, many companies are using the trend to start new business segments and transform existing operations. Here are two doing just that, Booking Holdings (NASDAQ:BKNG) and Ford Motor Company (NYSE:F), as well as peer-to-peer lender Lending Club (NYSE:LC).
- [By Garrett Baldwin] President Trump will announce today if he will pull the United States out of the Obama-era nuclear deal. Trump wants European members of the treaty to amend certain issues regarding Iran's uranium enrichment capacity. Energy stocks and oil prices had been rising on speculation that Trump would slap Iran again with economic sanctions, disrupting the region's oil production. Comcast Corp. (Nasdaq: CMCSA) is currently working to obtain enough capital to purchase certain assets of Twenty-First Century Fox Inc. (NYSE: FOXA). The ability to raise capital would allow Comcast to replace Disney's $52 billion bid for the many of Fox's key businesses. Markets are reacting to a speech made this morning by U.S. Federal Reserve Chair Jerome Powell. During a speech in Zurich, Switzerland, Powell said that rising U.S. interest rates would not have a significant impact on emerging markets and foreign stock markets. This has long been a concern for other nations as the U.S. dollar rises and American bonds become more attractive to international investors. Four Stocks to Watch Today: DIS, C, SNAP The Walt Disney Co. (NYSE: DIS) will lead another busy day of earnings reports today. Investors will be exploring the impact of recent price hikes at the company's theme parks, as well as the ongoing concerns about cable cutting and how this trend affects ESPN. Markets anticipate that the company will report earnings per share of $1.68 on top of $14.23 billion in revenue. Shares of Citigroup Inc. (NYSE: C) are on the move. The uptick came after activist investor ValueAct announced a $1.2 billion stake in the investment bank. Citigroup shares were up 1.2% in pre-market hours. Shares of Snap Inc. (NYSE: SNAP) gained 1% in pre-market hours. The owner of social media giant Snapchat said that its CFO Drew Vollero will step down next week. The executive will be replaced by a financial executive at Amazon.com Inc. (Nasdaq: AMZN). Snap continues to face incredible pressures after the f
- [By Max Byerly]
Get a free copy of the Zacks research report on LendingClub (LC)
For more information about research offerings from Zacks Investment Research, visit Zacks.com
- [By Shane Hupp]
GrubHub (NYSE: GRUB) and LendingClub (NYSE:LC) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, risk, institutional ownership, profitability and analyst recommendations.
- [By Stephan Byrd]
Get a free copy of the Zacks research report on LendingClub (LC)
For more information about research offerings from Zacks Investment Research, visit Zacks.com
- [By Max Byerly]
ILLEGAL ACTIVITY NOTICE: “LendingClub (LC) Scheduled to Post Quarterly Earnings on Tuesday” was published by Ticker Report and is owned by of Ticker Report. If you are viewing this news story on another site, it was illegally copied and republished in violation of United States & international trademark & copyright laws. The original version of this news story can be viewed at https://www.tickerreport.com/banking-finance/4144756/lendingclub-lc-scheduled-to-post-quarterly-earnings-on-tuesday.html.
No comments:
Post a Comment