This is what I’d do about high-yielding SSE shares right now

first_img I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. See all posts by Kevin Godbold Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Simply click below to discover how you can take advantage of this. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! This is what I’d do about high-yielding SSE shares right now Kevin Godbold owns shares in Rank. The Motley Fool UK has recommended Tesco. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Our 6 ‘Best Buys Now’ Sharescenter_img FTSE 100 energy supplier SSE (LSE: SSE) has done a good job of turning itself around from the bleak-looking situation I saw in April 2019.Back then, the deal to demerge its underperforming household energy business had just collapsed. Earnings and the share price had been falling for around two years. The directors were considering other options to get shot of the troublesome division. But that wasn’t the only problem. Trading had been difficult across most of the company’s operations for some time.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Green shootsHowever, things started to improve. I reported in September last year that the stock looked more attractive to me than it had for a long time. By then, the share price had risen by around 22% from its low in May. The directors had engineered a new agreement to sell the household energy services division to Ovo Energy for around £500m. They also announced their intention to use the funds to pay off some of SSE’s high debts.The share price has continued to climb since last September, and last Friday’s third-quarter trading statement shines more light on why that has happened. Adjusted earnings per share have been rebounding strongly and the directors expect the full-year figure to come in between 83p and 88p, which is well up on the 31p we saw last year.The company is making great progress optimising its business for the future. The sale of the energy services division went through on 15 January and SSE is no longer involved in supplying energy and energy services to households in the UK. The firm is also “on course” to cease production at its last coal-fired generation plant at Fiddlers Ferry by the end of March 2020. And “work is continuing” regarding the sale of gas production assets.There were also several developments in the period contributing to SSE’s re-focus on renewable energy assets such as wind and hydro-electric power. Finance director Gregor Alexander said in the report the directors are focusing SSE on businesses that are “well placed to play a leading role in the delivery of a low-carbon strategy that supports the transition to net-zero emissions.”There may be dividend increases ahead!He also said the first financial objective of that strategy is to remunerate shareholders’ investment through dividends based on “the quality and nature of assets and operations, earnings derived from them and the long-term financial outlook.”  The first nine months of the financial year have been “generally positive,” he said.After the directors lowered the dividend recently, it’s encouraging to hear the finance chief emphasising shareholder dividends going forward. Looking back, I think a combination of poor operational performance and a challenging political situation pushed the share price down. But there’s no denying the strength of the turnaround going on in the company and it joins my list of such successful recent outcomes along with the likes of Tesco, Rank, and Haynes Publishing.Congratulations if your contrarian investment strategy helped you spot the potential and get in when the share was near its lows last year. But if you didn’t, the shares still look attractive to me at the recent 1,511p, and I’d aim to pick up a few. “This Stock Could Be Like Buying Amazon in 1997” Image source: Getty Images. Kevin Godbold | Monday, 3rd February, 2020 | More on: SSE I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Enter Your Email Addresslast_img read more

The next stock market crash is coming! Is your portfolio prepared?

first_img Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. “This Stock Could Be Like Buying Amazon in 1997” We can say two things about the next stock market crash. First, there will be one. Second, we can’t know for sure when it will happen.I’m not one for making grand predictions. I focus on finding companies, with good long-term growth potential, attractive dividends and so on.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Having said that, I think there’s one big risk currently evident at both the macro and individual company levels. I reckon you can better prepare your stock portfolio for trouble by giving this risk due attention.Global debt is ballooningMore than a decade after the last financial crisis and recession, the global economy appears fragile. It also appears dependent on the continuing support of central banks via low interest rates and unconventional monetary policy. The trouble is, global debt is ballooning as a result.It hit a new all-time high of $253trn last year, according to the Institute of International Finance. The global debt-to-GDP ratio of 322% also surpassed the highest level on record.Historically, waves of debt accumulation have had unhappy outcomes. And ominously, the World Bank has described the current binge as the biggest, fastest and broadest-based in the past 50 years. Debt is rising on every continent. And it’s rising in households, companies and governments.A word from Warren BuffettAs far as companies are concerned, the International Monetary Fund has painted a scary picture in the event of an economic slowdown just half as severe as the last one. It calculates nearly 40% of total corporate debt in major economies would be owed by companies unable to cover their interest expenses with their earnings.Borrowing money is so cheap that many companies have loaded their balance sheets with debt. In some cases, they’ve upped their borrowings simply to buy back their own shares and/or support otherwise unaffordable levels of shareholder dividends.I think this is a case of what the great investor Warren Buffett calls “the institutional imperative”. He’s warned us never to underestimate “the tendency of executives to mindlessly imitate the behaviour of their peers, no matter how foolish it may be to do so”.Buffett’s own company, Berkshire Hathaway, currently has more cash on its balance sheet than ever before.Financial fitnessBack in the day, I was taught the first thing an investor should do is look at a company’s balance sheet. There was even a simple rule of thumb on ‘net gearing’ to help you judge a firm’s financial fitness.A company’s net gearing is its net debt (total borrowings minus cash and equivalents) as a percentage of shareholders’ equity. You can readily find the relevant numbers for the calculation  on the company’s balance sheet.Net gearing of below 50% is generally prudent, 50% to 100% may be acceptable, and over 100% is into high-risk territory.While not the be-all and end-all, checking the net gearing of the companies in your portfolio should give you a broad overview of the financial fitness of the businesses you own. And how they might fare in the event of an economic downturn.In the coming days, I’m planning to revisit the balance sheets of many popular FTSE 100 stocks. I’ll be looking at net gearing, other indicators of strength and risk, as well as dividend sustainability. Look out for articles on the companies you own or are thinking of investing in! The next stock market crash is coming! Is your portfolio prepared? Image source: Getty Images Our 6 ‘Best Buys Now’ Shares I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool.center_img G A Chester | Monday, 3rd February, 2020 Simply click below to discover how you can take advantage of this. Enter Your Email Address G A Chester has no position in any of the shares mentioned. The Motley Fool UK owns shares of and has recommended Berkshire Hathaway (B shares) and recommends the following options: long January 2021 $200 calls on Berkshire Hathaway (B shares), short January 2021 $200 puts on Berkshire Hathaway (B shares), and short March 2020 $225 calls on Berkshire Hathaway (B shares). Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. See all posts by G A Chesterlast_img read more

Forget the Sirius Minerals share price! I’d invest in Eurasia Mining now

first_img CORRECTION: An earlier version of this article stated that EUA’s share price rose alongside the price of platinum; this has been corrected to palladium.If you, like me, are an investor in  Sirius Minerals (LSE: SXX), chances are the wait to see what happens next for the polyhalite miner feels like a long one. There have been no announcements about the fertiliser producer’s future since Anglo American made a formal proposal to buy it out for 5.5p a share in an all-cash deal.  5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Wait and watch It’s now up to the miner’s shareholders to decide whether to accept AAL’s offer or not. If SXX management is considering any other alternative financing sources or offers from other companies, we don’t know. And going by its expressed opinion on the AAL offer, it doesn’t look like it either. There’s little left for me as an investor to do now, but watch the events as they unfold.  While I’m waiting, however, there are plenty of other stocks to assess. In fact, in the mining industry itself, there are other options to consider. One of these is AAL itself, and not just because it could acquire SXX. Another is FTSE 100 Anglo-Australian mine Rio Tinto, which offers a high dividend yield and has seen a healthy rise in share price over the past five years as well.  The promise of precious metals Yet another option is the metal miner Eurasia Mining (LSE: EUA), whose share price doubled in the last week, coinciding with a sharp increase in the price of palladium during this time. Platinum is EUA’s key revenue source, with palladium, iridium, rhodium, and gold adding marginally to the revenues as well.  So far its revenue comes from the West Kytlim mine in Russia. But it’s developing two other mines in the region as well – Monchetundra and Semenovsky. Of these, Monchetundra has reserves of platinum, gold, nickel, and copper. With even more reserves of platinum waiting to be mined here, the rise in platinum price adds further value to Eurasia Mining. It’s also a positive for the miner that platinum prices are expected to continue rising over time. Its mine in Semenovsky is expected to mine gold and silver. Prices of both precious metals have risen in the recent times too.  Good progress If EUA’s future looks bright, its present isn’t too bad either. In 2018, its revenues grew almost 14 times from 2017 as its West Kytlim mine ran for its first full season of mining. It also made gross profit during the year. Moreover, it was issued the mining license for the Monchetundra project at the end of 2018. It’s now also expanding exploration to the Monchetundra flanks project, after receiving the go ahead for it in December last year.  Like in the case of Sirius Minerals, it’s always worth remembering that mining projects have a long gestation period. Investing in miners early is an exercise in patience. Unlike SXX though, EUA has proven demand for its products, and has started generating revenue. I’m positive on it.  Image source: Getty Images. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Manika Premsingh owns shares of Sirius Minerals. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. “This Stock Could Be Like Buying Amazon in 1997” I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Our 6 ‘Best Buys Now’ Shares Simply click below to discover how you can take advantage of this.center_img Manika Premsingh | Saturday, 8th February, 2020 | More on: EUA SXX Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Forget the Sirius Minerals share price! I’d invest in Eurasia Mining now Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Enter Your Email Address See all posts by Manika Premsinghlast_img read more

Here’s how Fundsmith and Lindsell Train Global Equity performed in the recent stock market crash

first_img I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Edward Sheldon, CFA | Friday, 10th April, 2020 “This Stock Could Be Like Buying Amazon in 1997” Ultimately, this high-quality approach to investing appears to generate great returns when stock markets are rising, as well as protection when markets are falling.I think that’s something to keep in mind if you’re putting together your own portfolio of stocks and funds in the current environment. Diageo, whose vodka, gin and whisky is still being consumed during the shutdown. Image source: Getty Images. When it comes to investment funds, two of my favourites are Fundsmith Equity and Lindsell Train Global Equity. I see these global equity funds as excellent ‘core’ portfolio holdings. Why? Well, both have outperformed major global stock market indexes by a wide margin in recent years. Today, I’ll be analysing the performance of these two funds over the first quarter of 2020. Let’s take a look at how they performed in the recent stock market crash.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Fundsmith and Lindsell Train outperformed According to their most recent factsheets, Fundsmith delivered a return of -7.9% for the first three months of 2020, while Lindsell Train Global Equity delivered a return of -11%.Are these good returns given the market conditions? You bet they are.In comparison, the MSCI World index that many global equity funds are benchmarked against returned -15.7%. Meanwhile, the FTSE 100 index, to which many UK investors pay close attention, returned -23.8%. The S&P 500 index returned -19.6% (in USD terms). So, both funds outperformed significantly over the quarter.Looking at performance in March, when volatility reached the highest level since the Global Financial Crisis in 2008, Fundsmith returned -3.7% for the month. Meanwhile Lindsell Train Global Equity returned -3.3%. By contrast, the MSCI World index returned -10.6%. And the FTSE 100 and the S&P 500 returned -13.4%, and -12.4% respectively. So again, the two funds outperformed by a wide margin.Overall, both of these funds held up very well in the stock market crash, protecting investors from big losses.What drove this outperformance?Why did these funds outperform the wider market? I put it down to the fact that they both focus on high-quality businesses.You see, their portfolio managers, Terry Smith (Fundsmith) and Nick Train (Lindsell Train Global Equity), have very strict criteria when it comes to picking stocks.Instead of owning hundreds of stocks like some money managers do, these portfolio managers only invest in a small number of truly exceptional companies. Specifically, they tend to invest in companies that have robust competitive advantages, strong balance sheets, dependable earnings, and the potential for long-term growth.Some examples of the kinds of stocks they own include: Here’s how Fundsmith and Lindsell Train Global Equity performed in the recent stock market crash Edward Sheldon owns shares in Unilever, Diageo, Sage, Microsoft, and PayPal and has positions in the Fundsmith Equity fund and the Lindsell Train Global Equity fund. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool UK owns shares of and has recommended Microsoft, PayPal Holdings, and Unilever. The Motley Fool UK has recommended Diageo and Sage Group and recommends the following options: long January 2021 $85 calls on Microsoft and short January 2021 $115 calls on Microsoft. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Enter Your Email Address Unilever, whose everyday goods are still being used by millions of people globally during the coronavirus shutdown.center_img Microsoft, whose leading software products are still being used by millions of workers remotely. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Our 6 ‘Best Buys Now’ Shares Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. PayPal, which is benefiting from an increase in online shopping. See all posts by Edward Sheldon, CFA Simply click below to discover how you can take advantage of this. Sage, the cloud-based accounting solutions specialist that is benefitting as businesses increasingly become more digital.last_img read more

I think this FTSE 100 stock is one of the best shares to buy for May

first_img Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Our 6 ‘Best Buys Now’ Shares I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. I don’t think choosing the best shares to buy right now is easy. Not because there’s a dearth of value. But because we’re spoilt for choice with so many stocks on offer at discount prices.The near-term economic outlook is certainly foggy, due to the impact of Covid-19. However, it’s at such times of uncertainty and fear that far-sighted investors can pick up shares at bargain prices. A trading update today from FTSE 100 equipment rental giant Ashtead (LSE: AHT) persuades me it’s one of the best shares to buy for May. This, with a view to owning it for the long term.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Best shares to buy offer high investment returnsAshtead is an international equipment rental group with national networks in the US, the UK, and Canada. Indeed, it’s the largest firm in the sector in the UK. It’s also the second-largest in North America. Acquisitions have helped drive its growth. These included the US equipment rental interests of Rentokil, incidentally another of my best shares to buy at the moment.The group’s business model is very simple. Purchase equipment from leading manufacturers, rent it on a short-term basis, and finally sell it in the second-hand market. Because of its size, Ashtead can buy a wide range of equipment, and at good prices. The range of equipment – from small hand-held tools to the largest construction gear – also means it has a wide range of customers.A simple business model, economies of scale, and a diverse customer base are attractive qualities for investors. They tend to both reduce risk and increase the prospect of high investment returns. Even after the recent fall in its shares to a discount price, Ashtead has delivered an annualised 33% return for investors over the last decade.Best shares to buy need survivabilityIn looking for the best shares to buy now, survivability is an essential quality. I was very encouraged by Ashtead’s trading update today. The company said its general tools business has suffered a decline in volume, due to the impact of Covid-19. However, this has been mitigated by its speciality businesses. Notably, “Sunbelt Rentals is designated as an essential business in the US, UK, and Canada, supporting government and private sector responses to the pandemic.”It added: “This includes providing vital equipment and services to first responders, hospitals, alternative care facilities, testing sites, food services, telecom, and utility companies while continuing to service ongoing construction sites and increased facility maintenance and cleaning.”The company said it remains in “a strong financial position.” And that it expects underlying profit before tax for its financial year ending 30 April to be around £1,050m (down 5% on the previous year). The shares are currently at 1,950p, or 30% below their pre-crash high. The stock is trading at a cheap 8.3 times the expected pre-tax profit.Going forwardLooking ahead to fiscal 2021, the company said it’s modelled a variety of downside scenarios over the coming year, “reflecting activity levels much lower than those which have been experienced to date.” It reckons it would remain free cash flow positive “under all these scenarios.”I believe Ashtead has strong survivability credentials. This, together with the current discount share price, attractive business model, and long-term growth prospects, makes it one of the best shares to buy today, in my book. “This Stock Could Be Like Buying Amazon in 1997” G A Chester | Monday, 27th April, 2020 | More on: AHT Image source: Getty Images. Enter Your Email Addresscenter_img I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Simply click below to discover how you can take advantage of this. Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. I think this FTSE 100 stock is one of the best shares to buy for May See all posts by G A Chester G A Chester has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.last_img read more

Stock market crash! I think these shares could thrive in a post-Covid world

first_img With a global recession around the corner, it’s clear that investors need to be pretty careful when it comes to selecting shares. But it’s not all bad news. There are a number of stocks that could thrive in a post-Covid-19 landscape. And many of them look quite appealing from a price standpoint following the recent stock market crash.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Homeward boundThe coronavirus crisis has thrown a light on the correlation between high pollution rates and the spread of potentially-fatal diseases. It’s a trend that Killik & Co expects to have big ramifications for lawmakers across the globe.The financial services giant believes that “a lasting impact of the coronavirus outbreak might be an increased focus on air quality, speeding up the decarbonisation of energy supply.” It adds that it expects more stringent emissions-related legislation “both at an industrial level and at a local level, with potentially more cities banning polluting vehicles and driving a shift to electric vehicles.”Sales of electric vehicles are of course already taking off. According to the Society of Motor Manufacturers and Traders sales of battery-powered electric vehicles rocketed more than 220% in 2019. Car manufacturers are investing more and more into greener technologies, in turn bolstering consumer demand. And the likelihood of more legislation should see them ramp up expenditure still further.Rising electric vehicle sales mean good news for power grid operator National Grid, of course. By extension energy suppliers like SSE can also look forward to increasing demand for their services. The latter’s large exposure to renewable energy sources also sets it up nicely to ride increasingly-green legislation.More shares to buy after the stock market crashIt’s clear that the Covid-19 outbreak could prove a game-changer with regards to our traditional working practices. The popularity of flexible working has grown in recent years thanks to the relentless progress of technology. It seems that companies will be eager to embrace the idea of their workers operating from home too, as a hedge against future pandemics and in a bid to cut office costs in what promises to be a tough next few years for the global economy.A report by Deloitte illustrates how workers’ expectations have changed following the Covid-19 lockdown. Out of a survey of 500 financial industry employees, some three quarters said that they expect to work from home one day a week or more once quarantine measures are rolled back.This is a theme that investors can ride by buying shares in companies like Softcat and Iomart. Their expertise in building safe and reliable IT services and cloud computing platforms for use by home workers puts them in great shape to ride the phenomenon. It’s likely that telecoms providers like Vodafone and Telecom Plus will also benefit from a rising home-working culture. These are all shares I’d happily buy following the stock market crash. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Royston Wild | Tuesday, 26th May, 2020 Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Stock market crash! I think these shares could thrive in a post-Covid world I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Simply click below to discover how you can take advantage of this. Our 6 ‘Best Buys Now’ Sharescenter_img Image source: Getty Images Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Royston Wild has no position in any of the shares mentioned. The Motley Fool UK owns shares of and has recommended Iomart Group. The Motley Fool UK has recommended Softcat. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. “This Stock Could Be Like Buying Amazon in 1997” Enter Your Email Address See all posts by Royston Wildlast_img read more

The Glencore share price is up 57% since the stock market crash! Is it a Buy?

first_img Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Our 6 ‘Best Buys Now’ Shares Image source: Getty Images. See all posts by Kirsteen Mackay Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Enter Your Email Address “This Stock Could Be Like Buying Amazon in 1997” FTSE 100 precious metals miner Glencore (LSE:GLEN) has endured a rocky few years with regulatory issues, price wars and hard working conditions. Despite falling 28% year-to-date, the Glencore share price is up over 57% since the stock market crash in March.In December 2017, Glencore’s share price was peaking above £4 and shareholders were excitedly cashing in. But around this time, it began a long decline, which finally fell off a cliff in February/March this year. Since the 2020 stock market crash, however, the Glencore share price has rebounded 57%. At around £1.70 a share, it is a far cry from previous price highs, but it shows signs of investor belief and recoverability.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Criminal investigationsMining stocks are an unpopular sector to own, both for the risk associated with them and for ethical reasons. Mining shares are notoriously volatile because the demand for their resources fluctuates, and the places excavated are often situated in parts of the world where corruption and hostile conditions exist. Glencore mines its cobalt in Africa and has endured many political and reputational hurdles in recent years. In June 2019, 40 people tragically lost their lives in an accident at its Kamoto copper mine in the Democratic Republic of the Congo (DRC).On Friday Glencore announced it is facing yet another investigation, this time from the Office of the Attorney General of Switzerland.  Specifically stating “for failure to have the organizational measures in place to prevent alleged corruption in the DRC”. This is Glencore’s fourth regulatory investigation in under two years and is not good news for its share price.In addition to this, the US-China trade war has been dragging on for two years and looks set to continue. This weighs heavily on demand for natural resources (and the Glencore share price). Mining companies have faltered with the challenging economic backdrop affecting their operating costs. Glencore is no different as the trade war has caused the demand for cobalt and copper to wane. However, it has clients on both sides, with Tesla in the US and a four-year partnership to supply Cobalt to China’s GEM Co through to 2024. Is the Glencore share price too cheap to ignore?The coronavirus pandemic has caused havoc with industries around the world and mining is no different. The market for natural resources has declined and recovery will take time. However, some of Glencore’s offerings, namely cobalt and copper, are likely to be necessary for a long time to come.Glencore is a world leader in cobalt mining, which is used in the making of electric car batteries, laptops, and smartphones — all products with increasing demand. It also mines for nickel, zinc, lead, aluminium, gold, and silver, along with extracting oil and gas.Tesla, the electric car company controlled by Elon Musk, already signed a contract with Glencore for its cobalt and last week extended this. It now intends to use cobalt from Glencore’s mines in the DRC to make lithium-ion batteries at Tesla’s Gigafactories in Berlin and Shanghai. This is great news for the Glencore share price.The regulatory concerns shouldn’t be ignored and if you buy shares in the firm, you should know the risks involved. I think the Glencore share price will rise, but it will be a volatile journey. Although the share price looks cheap, there are less volatile stocks available (I like SSE, for instance).center_img Kirsteen has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. The Glencore share price is up 57% since the stock market crash! Is it a Buy? Simply click below to discover how you can take advantage of this. Kirsteen Mackay | Tuesday, 23rd June, 2020 | More on: GLEN I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement.last_img read more

Stock market crash: I’d follow Warren Buffett and buy cheap UK shares to make a million

first_img Royston Wild | Friday, 31st July, 2020 Stock market crash: I’d follow Warren Buffett and buy cheap UK shares to make a million Simply click below to discover how you can take advantage of this. See all posts by Royston Wild Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Enter Your Email Address Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. The 2020 stock market crash has created quite a dilemma for buyers of UK shares. On the one hand, fears of further market volatility and possibly another stock market crash are preying on investors’ minds. But then the pathetic returns on lower-risk investments like Cash ISAs mean that many feel they have no choice but to continue investing in equity markets.Our view here at The Motley Fool couldn’t be clearer. If you want a realistic chance of making a million then share investing is the best game in town. Stock market crashes come and go and investors shouldn’t be put off by them. Studies show that individuals who build a well-balanced shares portfolio tend to make electrifying returns over the long haul.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Buy like Warren BuffettAt times like these it’s a good idea to remind yourself of the investing strategies of successful stock pickers. And few are more successful than billionaire investor Warren Buffett. Stock market crashes have never, ever dimmed his appetite for buying stocks.In fact, his belief that investors should “be fearful when others are greedy and greedy when others are fearful” has been one of the cornerstones of his successful investing blueprint. His goal of buying undervalued, top-quality shares following a stock market crash has enabled him to get rich from rampant share price recoveries as economic conditions have gradually improved.There are many macroeconomic and geopolitical problems and uncertainties that are treading on share investor confidence right now. Covid-19, US-Chinese trade wars, Brexit and rising civil unrest in the States are just some of the issues fanning fears of another market crash. But upheaval is nothing new, and history shows us that over the long run, stock markets still deliver exceptional returns to patient investors.As Warren Buffett famously pointed out: “In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts; the Depression; a dozen or so recessions and financial panics; oil shocks; a flu epidemic; and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497.”Playing the stock market crashSo don’t be put off by the prospect of a second stock market crash. Even if the value of the UK shares that you buy falls in the near term you can, over the long run, expect your investments to still soar in price.And by following some other key Buffett tips you can minimise any short-term price weakness your UK shares may otherwise endure. Buying companies with clear advantages (or’ economic moats’) over their competitors like excellent brand power, market-leading products, or low cost bases is another. Buying stocks below their intrinsic value is a good idea too. This offers a decent margin of safety in case of unfavourable events.Don’t wait before taking the plunge with UK shares, I say. By following Warren Buffett and buying after the stock market crash you have a chance to supercharge your long-term returns. You could possibly even make a million or more.center_img Our 6 ‘Best Buys Now’ Shares I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Image source: The Motley Fool “This Stock Could Be Like Buying Amazon in 1997” Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool.last_img read more

Stock market crash: 2 bargain UK shares I’d buy in an ISA today to retire in comfort

first_img Our 6 ‘Best Buys Now’ Shares “This Stock Could Be Like Buying Amazon in 1997” Peter Stephens | Tuesday, 11th August, 2020 | More on: AZN MRW Enter Your Email Address See all posts by Peter Stephens Stock market crash: 2 bargain UK shares I’d buy in an ISA today to retire in comfort Buying UK shares to retire in comfort may not sound like an appealing idea to many investors after the market crash. After all, valuations across the FTSE 100 and FTSE 250 have come under severe pressure due to a weak economic outlook.However, buying high-quality UK shares now while they offer good value for money could be a shrewd move. You may benefit from the stock market’s likely recovery in the coming years.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…With that in mind, here are two stocks that could be worth buying in an ISA today. They could help you to retire in comfort.AstraZeneca: a defensive ally in a market crashWhile many UK shares have struggled to post gains in 2020 due to the market crash, AstraZeneca’s (LSE: AZN) share price has moved 8% higher since the start of the year. This may be due in part to its strong recent results. For example, in the first half of its financial year, the company grew its total revenue by 14%, while its core earnings per share moved 26% higher.The prospects for the stock appear to be positive. Its investment in new drugs seems to be catalysing its financial performance. And, since its sales and profitability are less closely aligned to the economic outlook than many UK shares, it could offer defensive characteristics.Given that there’s an ongoing threat of a second market crash, AstraZeneca’s growth potential in difficult economic conditions could increase demand for its shares. Although it trades on a price-to-earnings (P/E) ratio of around 27, its 27% earnings growth forecast for next year could mean it offers good value for money. As such, now could be the right time to buy a slice of it for the long run.Morrisons: a FTSE 100 stock with long-term growth potentialEven though the Morrisons (LSE: MRW) share price is down 3% in 2020 as a result of the market crash, it’s held up better than many UK shares. Of course, rising demand for groceries has helped to strengthen its recent financial performance. For example, the company reported like-for-like sales growth of 5.7% in the first quarter of its financial year.Looking ahead, Morrisons seems to be in a good position to maintain a relatively high rate of growth. For example, it’s rapidly expanding its online presence. This could allow it to capitalise on what may prove to be a permanent shift towards online grocery delivery or collection for many UK consumers.Certainly, weak consumer confidence and a competitive marketplace could hold back Morrisons’ share price. It also faces the threat of a second market crash.However, compared to most UK shares, it’s experiencing strong demand for its products. And, with a solid strategy, it could outperform the wider stock market in the coming years. Peter Stephens owns shares of AstraZeneca and Morrisons. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.center_img Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Simply click below to discover how you can take advantage of this. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Image source: Getty Images. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool.last_img read more

3 moves Warren Buffett has made recently

first_img Warren Buffett is the greatest investor of all time. Not only has he amassed a fortune of around $80bn from investing, he’s also generated huge, market-beating returns for his investors over the long run.Given Buffett’s phenomenal investing track record, it can pay to keep an eye on his movements. With that in mind, here’s a look at three moves he’s made recently.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Buffett is still building his cash pileThe first move from Buffett I want to highlight is that he’s continued to build his cash pile. At the end of June, his cash pile stood at a whopping $147bn, up from $137bn at the end of March. Part of this increase was the result of the sale of his airline stocks earlier in the year.My take here? Buffett is still not seeing a great deal of value in the market. Clearly, he’s waiting for a better opportunity to buy. Having that amount of cash on hand will give him a huge war chest to go out and buy high-quality assets if share prices fall again in the near future.Buying a bank stockWhile he may not be seeing a ton of value, Buffett has been doing a little bit of buying. In recent months, he’s bought a large amount of Bank of America stock. In the space of a little over two weeks, he spent $2.1bn on the bank stock.Like most bank stocks, Bank of America has underperformed this year as a result of the coronavirus. Year to date, its share price is down about 25%. Buffett clearly sees value after the recent share price decline.I see this trade as an interesting contrarian move. Banks are heavily out of favour right now, due to the high level of economic uncertainty. However, if the global economy strengthens, their share prices could rebound.If UK investors are looking to replicate this Buffett trade, they’ve plenty of options. Shares in Lloyds Bank, Barclays, and HSBC have all taken a beating this year and could be worth a look. That said, it could be a while before UK bank stocks bounce back.Sticking to his ‘circle of competence’Finally, Buffett has also recently struck a $10bn deal to buy Dominion Energy’s natural gas transmission and storage business. This is his largest deal since his takeover of Precision Castparts in 2016. “We are very proud to be adding such a great portfolio of natural gas assets to our already strong energy business,” Buffett said in a press release.This strikes me as another contrarian move by the investing legend. While many investors are focused on the technology and healthcare sectors right now, Buffett is loading up on assets that are a little bit less exciting. In other words, he’s not getting caught up in the market hype.This is a classic ‘stick to what you know’ trade from Buffett. Our 6 ‘Best Buys Now’ Shares I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Image source: The Motley Fool Edward Sheldon, CFA | Friday, 14th August, 2020 center_img 3 moves Warren Buffett has made recently “This Stock Could Be Like Buying Amazon in 1997” Enter Your Email Address Edward Sheldon owns shares in Lloyds Banking Group. The Motley Fool UK has recommended Barclays, HSBC Holdings, and Lloyds Banking Group. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Simply click below to discover how you can take advantage of this. See all posts by Edward Sheldon, CFAlast_img read more