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It's time for investors to consider taking profits in some high-flying artificial intelligence names, according to Citi. The value of AI linchpin Nvidia has more than doubled year to date, while Super Micro Computer has tripled. Given this backdrop, Pettit recommends investors take profits in popular AI names — most notably the enabler stocks like semiconductors — and allocate funds "across the theme's value chain." MCD YTD mountain Shares this year Several popular consumer staples stocks are in the basket, including Kraft Heinz and J.M. Hartford Financial Services Group is the most negatively correlated stock in the basket, with shares up 25% this year.
Persons: propping, Drew Pettit, Pettit, Kraft Heinz, J.M, Chubb Organizations: Citi, Nvidia, Gilead Sciences, Hartford Financial Services, Allstate, Honeywell, Exxon Mobil . Correction Locations: Biopharmaceutical
Hartford Financial Services Group : "I tend to not like the insurers, just because there are so many different variables. I do like Chubb. But this fellow, Chris Swift, who's come in and fixed Hartford, he deserves the premium that the stock is getting, and it can go even higher."
Persons: Chubb, Chris Swift, who's Organizations: Hartford Financial Services Locations: Hartford
In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailLightning Round: If you're looking to buy SMCI just buy Nvidia, says Jim Cramer'Mad Money' host Jim Cramer weighs in on stock including: Hartford Financial Services, Super Micro Computers and SiteOne.
Persons: Jim Cramer Organizations: Nvidia, Hartford Financial Services, Micro Computers
The S & P 500 has been notching fresh highs as of late, but investors with a keen eye may find reasonably priced stocks that are beating the market. The benchmark is currently flexing a last 12-month price-earnings ratio of roughly 25 times, according to FactSet data. But some stocks are offering solid performance at a lower valuation when compared with the S & P 500. Shares climbed more than 18% in 2024 through Monday's close, compared with the S & P 500's 13% gain. Shares have climbed more than 35% in 2024, while Arch's TTM price-earnings ratio sits at 7.95, the lowest on the list.
Persons: Chubb, Warren, Berkshire Hathaway, Joshua Shanker, America's Shanker Organizations: CNBC Pro, CNBC, . Insurance, Berkshire, Chubb, Bank of America, " Insurance, Arch Capital, Arch, Bank, America's, Fox Corp, Hartford Financial, Altria Locations: Monday's
The stubbornly high inflation readings to start 2024 are good news for one group of stocks — insurance companies. Stocks to watch In general, Wall Street analysts are buying the underlying story for these insurance stocks. For a slightly different angle, Wells Fargo analyst Elyse Greenspan upgraded Hamilton Insurance Group to overweight last week. Potential downsides To be sure, there are several factors that could derail the rally for insurance stocks. Another concern is so-called "social inflation," in which legal trends or regulatory changes can drive costs higher for insurance companies.
Persons: Goldman, Robert Cox, Stocks, Goldman's Cox, Cox, Wells, Elyse Greenspan, Hamilton, HG, Greenspan, Jimmy Bhullar, Andrew McGee, McGee, — CNBC's Michael Bloom Organizations: Bureau of Labor Statistics, Allstate, Wall Street, PGR, Progressive, Hartford Financial Services, Hamilton Insurance Group, U.S . Insurance, JPMorgan, CNBC Locations: Northbrook , Illinois, Wells Fargo
A fresh batch of earnings are set to come out next week, ranging from Big Tech companies to major pharmaceutical names, and analysts think some names could post stand-out results. Roughly 19% of S & P 500 companies are set to report next week, including megacap names such as Apple, Microsoft and Amazon. Thus far, about 22% of companies have reported earnings for the fourth quarter, with nearly 74% of those names surpassing expectations, FactSet data shows. Nearly 20 analysts have revised their quarterly earnings estimates upward. Other companies that have earnings momentum heading into next week include Hartford Financial Services and A. O. Smith Corporation , both of which have received roughly 20 earnings estimate revisions in the past three months.
Persons: FactSet, Brent Thill, Thill, AMZN, Tal Liani Organizations: Big Tech, Apple, Microsoft, CNBC, Jefferies, Amazon, MGM Studios, Royal, Qualcomm, Bank of America, Hartford Financial Services, Smith Corporation Locations: Wednesday's
Investors will get another clue when the January jobs report is released on Friday. Economists predict that 185,000 jobs were added last month, a slowdown from the gain of 223,000 jobs in December and 263,000 in November. A further deceleration in the labor market would likely please the Fed, as it would show that last year’s rate hikes are successfully taking some air out of the economy. Along those lines, average hourly earnings, a measure of wages that is also part of the monthly jobs report, are expected to increase 4.3% year-over year. So far, tech earnings season is not off to an inspiring start, with Microsoft (MSFT), Intel (INTC) and IBM (IBM) all reporting weak results.
The Fed's meeting Tuesday and Wednesday comes amid a flood of corporate earnings reports, with about 20% of the S & P 500 reporting that week. The most important day for earnings is Thursday, when Apple , Alphabet and Amazon report after the bell. The Nasdaq Composite was up 11% for the month as of Friday afternoon, well ahead of the 6.2% gain in the S & P 500. Traders have been watching the S & P 500 edge closer to the key threshold of 4,100 , its high from December. AAPL 1Y line apple Apple is also important because of the signals it can send about the strength of the consumer, supply chains and China's reopening.
Why insurance stocks have outperformed There are a few things that have led to the sector's outperformance this year and that are expected to give it a lift in 2023. Within the group, he's focused on property and casualty insurance and life insurance. Other analysts also see value in so-called multi-line companies, which bundle different kinds of insurance together, and reinsurance, which is insurance for insurance companies. Which stocks insurance analysts like Dwelle's top pick is AIG , which has property and casualty and life insurance. He also recommends the insurance group for investors who want to orient themselves more conservatively and stay away from buying beaten up growth stocks, such as tech names.
Morning Bid: Meta averse, ECB decides and CS slides
  + stars: | 2022-10-27 | by ( ) www.reuters.com   time to read: +4 min
A look at the day ahead in U.S. and global markets from Mike Dolan. Meta added a deep pothole to an already bumpy U.S. earnings season - another obstacle to a market pumped-up by bets of some central bank relief on the horizon as G7 economies slow. read moreWith Apple (AAPL.O) and Amazon reporting later on Thursday, sentiment toward tech giants remains on edge. But after two-week, trough-to-peak bounce of almost 10%, global stock indices (.MIWD00000PUS) struggled to make much headway for the second session on Thursday. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
The three major averages closed higher Friday, with the S & P 500 adding 2.37% to close at 3,752.75. Stovall said the S & P 500 had six positive moves of 1% or more in the last 17 trading days, as of Friday. Earnings, earnings, earnings About 150 S & P 500 companies report earnings in the coming week. Technically speaking Scott Redler, partner with T3Live.com, said he is watching a formation in the S & P 500 that could be positive. His first target for the S & P 500 is 3,800.
Consistent returns may seem hard to find amid a topsy-turvy stock market and soaring Treasury yields. The latest hot inflation report dashed investors' hopes of a more accommodative Fed, which has already raised rates four times this year. These stocks had the biggest median percent gain during those 10 months of rate spikes, according to FactSet's data. What follows are the top 10 under-the-radar stocks poised to outperform as the Fed continues to hike interest rates. Higher interest rates are generally a positive development for insurers and banks.
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