DIRS.INFO The most relevant business & tech news

☆ Make these 9 top investments in a 'stock-picker's market' as economic growth continues, according to a bear-turned-bull whose hedge fund is up 155% in the last 5 years
▼ + stars: | 2023-08-12 | by ( James Faris | ) www.businessinsider.com time to read: +7 min

Standout hedge fund manager Charles Lemonides came into the year careful but is now more optimistic. Heading into 2023, hedge fund manager Charles Lemonides was preparing for the worst. His hedge fund is down 8% in 2023 through May, though it's still up 155% in the past five years. The hedge fund manager said the economy can take another rate hike or two, even though investors may groan about it. The hedge fund manager is currently bullish on energy stocks broadly — particularly those in the oil and gas industry.

Persons: Charles Lemonides, Lemonides, hasn't, it's, We've, he's, Goldman Sachs Organizations: Investors, Federal Reserve, Netflix, Energy, P Oil & Gas Exploration, Production, Unit Corp, United Natural Foods, Yale Materials, Foods Locations: financials

☆ Here are the six trades and the two price-target changes the Club made this week
▼ + stars: | 2023-08-11 | by ( Morgan Chittum | ) www.cnbc.com time to read: +7 min

During another busy week of earnings and stock market swings, we picked our spots and made six trades, including calling up a Bullpen name. We also changed two Club price targets. Shortly after the opening bell, we trimmed some Caterpillar and booked some profits after the industrial giant's blowout earnings last week. Jim Cramer's Charitable Trust — the holdings we use for the Club — owns 315 shares of Caterpillar. As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade.

Persons: Jim Cramer's, Club —, Stanley Black, Decker, Stanley, Wolfe, Eli Lilly, Lilly, Bob Iger's, Jeff Marks, Jim Cramer, Jim, Jim Cramer Rob Kim Organizations: Caterpillar, DuPont, Revenue, Club, Management, Coterra Energy, West Texas, Wolfe Research, Halliburton, HAL, GE Healthcare Technologies, Disney, The, GE Healthcare, pharma, Big Tech, CNBC Locations: Coterra

☆ A buying opportunity has emerged in this A.I. darling, two top analysts say
▼ + stars: | 2023-08-10 | by ( Samantha Subin | ) www.cnbc.com time to read: +1 min

Investors may want to consider using the recent weakness in Nvidia to snatch up shares of the artificial intelligence darling, according to some Wall Street analysts. The chipmaker sold off nearly 5% Wednesday following comments from Super Micro Computer that pointed to some supply chain bottlenecks related to Nvidia and other competitors. NVDA 5D mountain Nvidia shares over the last five trading days Nvidia ticked down less than 1% Thursday, and shares sit about 11% off their highs. Citi analyst Atif Malik encouraged investors to buy the weakness in shares, calling the supply concerns "overdone." Morgan Stanley's Joseph Moore reiterated his overweight rating in a Wednesday note, adding that the stock remains a top semiconductor pick.

Persons: Atif Malik, Morgan Stanley's Joseph Moore, — CNBC's Michael Bloom Organizations: Micro, Nvidia, Citi

☆ Stingy UK bank saving rates may become a non-issue
▼ + stars: | 2023-08-10 | by ( Liam Proud | ) www.reuters.com time to read: +4 min

LONDON, Aug 10 (Reuters Breakingviews) - Banks are keeping the fruits of higher interest rates for themselves. Between January 2022 and May 2023, the Bank of England hiked rates by 4.25 percentage points. The nine largest UK banks boosted the interest on easy-access savings accounts by 1.18 percentage points, the FCA found. The upshot is that they’ll have to bid more aggressively for funding in the future, for example by raising interest rates on savings accounts. Second-quarter results suggest it too is paying more for funding: interest expense almost doubled between the second half of 2022 and the first half of 2023.

Persons: juicier, BoE, George Hay, Streisand Neto Organizations: Reuters, Authority, Barclays, Lloyds Banking Group, Bank of, FCA, Monday, Reuters Graphics Reuters, NatWest, Barclays ’, Lloyds, Banco Santander, Banco Bilbao Vizcaya Argentaria, European Central Bank, Bank of England, ECB, Spanish, Financial, HSBC, Santander UK, Nationwide Building Society, TSB Bank, Virgin Money, Bank, Thomson Locations: Britain, Spain, Bank of England, Italy, Hungary

☆ Analysis: Trump and team seek to destroy credibility of his election subversion trial before a date is even set
▼ + stars: | 2023-08-07 | by ( Stephen Collinson | ) edition.cnn.com time to read: +11 min

And as prosecutors seek a speedy trial, he warned that his team will seek to run out the process for years in an apparent attempt to move it past the 2024 election. Trump slams prosecutors, judge, Biden administration and GOP senatorsDefense teams have the right to use every courtroom mechanism within legal bounds to their client’s best advantage. Trump’s team sought an extension of a Monday afternoon deadline to file on the matter, but Chutkan refused their request. Lauro also further revealed his hand on defense strategy by arguing that despite being told multiple times by officials and campaign advisers that he lost the election, Trump’s actions were not criminal since he was convinced he won. Donald Trump … believed in his heart of hearts that he had won that election,” he said on NBC’s “Meet the Press” on Sunday.

Persons: Donald Trump, won’t, Trump, Biden, Mike Pence, William Barr, meanwhile, Barr, Pence, Joe Biden’s, ” Pence, Dana Bash, Ron DeSantis, DeSantis, –, Tanya Chutkan, Obama, Jack Smith, ”, Chutkan, John Lauro, ” Barr, Lauro, Donald Trump …, “, Chris Christie, ” Christie, Christie, CNN Christie Organizations: CNN, Justice Department, Trump, Republican, GOP, Defense, Sunday, Republicans, Prosecutors, Union ” Sunday, House, CBS, Former New Jersey Gov, Union, Capitol Locations: Washington, “ State, United States, Florida, Iowa, South Carolina, Virginia, Former, “

☆ These stocks reporting earnings next week have historically exceeded expectations and rallied as a result
▼ + stars: | 2023-08-04 | by ( Alex Harring | ) www.cnbc.com time to read: +3 min

About four out of every five of those stocks that have already reported have exceeded Wall Street's expectations. CNBC Pro used FactSet data to screen for companies reporting next week that have historically beat Wall Street expectations at least 70% of the time. Entertainment company Lionsgate has beaten expectations for earnings and sales 70% and 63% of past quarters, respectively. Shares have popped an average 3.9% in the sessions directly following its past earnings reports. The average analyst surveyed by Refinitiv sees that ascent continuing, with nearly 50% upside expected over the next year.

Persons: Tyler Radke, Armour, Refinitiv, — CNBC's Michael Bloom, Fred Imbert Organizations: CNBC, Citi, Entertainment, Lionsgate, Mattel

☆ Here are the 5 price-target changes and 4 trades we made during this busy earnings week
▼ + stars: | 2023-08-04 | by ( Kevin Stankiewicz | In Kevinstankiewicz | ) www.cnbc.com time to read: +7 min

In a jam-packed week of earnings, the Club executed multiple trades and elevated price targets for some of our biggest stocks. Following AMD's better-than-feared Q2 release late Tuesday, we raised our price target on the stock to $135 per share from $120. Wednesday On this relatively calm day, we reiterated our 1 rating and $110 price target on shares of Emerson Electric (EMR). Against this bullish backdrop, we raised our price target on Amazon to $160 per share, up from $140. Our previous price target was $185.

Persons: Here's, Johnson, Stanley Black, Decker, Jim Cramer, AMD's, Emerson, —, it's, Eli Lilly, LLY, Walt Disney, We'll, Jim Cramer's, Jim, Jim Cramer Rob Kim Organizations: Club, Microsoft, GE Healthcare, GE, Honeywell International, Caterpillar, Devices, Honeywell, Turnaround, AMD, Emerson Electric, National, Big Tech, Apple, Coterra Energy, Wynn Resorts, WYNN, Jim Cramer's Charitable, CNBC Locations: MSFT, GEHC, Missouri

☆ Buy Spotify shares after the music streaming giant's post-earnings drop, Deutsche Bank says
▼ + stars: | 2023-07-26 | by ( Brian Evans | ) www.cnbc.com time to read: +1 min

Spotify's post-earnings selloff created a buying opportunity for investors, according to Deutsche Bank. The bank upgraded the music streaming service to buy from hold Wednesday. But analyst Benjamin Black said that Spotify's results are a function of currency fluctuations as opposed to a fundamental company issue, adding the selloff is overdone. SPOT YTD mountain Spotify stock slumped more than 14% after reporting quarterly results on Tuesday. Despite Tuesday's steep decline, Spotify shares are up more than 77% year to date.

Persons: selloff, It's, Benjamin Black, Black, — CNBC's Michael Bloom Organizations: Deutsche Bank, Spotify Locations: Tuesday's

☆ Here are Wednesday's biggest analyst calls: Microsoft, Amazon, Apple, Netflix, Spotify, Meta & more
▼ + stars: | 2023-07-26 | by ( Michael Bloom | ) www.cnbc.com time to read: +7 min

Here are the biggest calls on Wall Street on Wednesday: Morgan Stanley reiterates Amazon as overweight Morgan Stanley said it's bullish on the e-commerce giant's earnings next week. Morgan Stanley downgrades RTX to equal weight from overweight Morgan Stanley said in its downgrade of the stock that risk/reward seems "balanced" right now. Morgan Stanley upgrades WW International to overweight from equal weight Morgan Stanley said shares of the company formerly known as Weight Watchers are underappreciated. Citi reiterates Meta as a top pick Citi said Meta is a top pick heading into earnings on Wednesday afternoon. Morgan Stanley reiterates General Motors as overweight Morgan Stanley said the stock's weak reaction to Tuesday's GM earnings report is a "headscratcher."

Persons: Morgan Stanley, it's bullish, it's, Raymond James downgrades, Raymond James, Morgan Stanley downgrades RTX, Needham, NFLX, Citi, Eli Lilly, Elliot, Burger, Disney, TD Cowen, bitcoin, GOOGL Organizations: Deutsche Bank, Spotify, Deutsche, Barclays, Apple, Target, Bank of America, NXP Semiconductors, International, Netflix, Citi, Goodyear Tire Deutsche, Elliot Management, Goodyear, Elliott Management, Operational, Restaurant Brands Citi, Microsoft, Hollywood, Meta, JPMorgan, United Airline, AFL, DAL, Motors, UAW Locations: 1Q23

Microscopic contaminants were found in a metal used in the engine's high-pressure turbine discs - part of the engine core. In an interview, Chief Executive Greg Hayes acknowledged the airlines' frustration over a spate of problems with the Geared Turbofan (GTF) engines over the last seven years. While the latest GTF issue could be the last straw for some, we suspect that the negative (share price) response is overdone". Low-cost Indian carrier Go First, which plunged into financial crisis this year, blamed "faulty" Pratt & Whitney engines for the grounding of about half its 54 Airbus A320neos. Announcing quarterly earnings on Tuesday, RTX increased its 2023 sales expectation from $72 billion to $73 billion to $73 billion to $74 billion.

Persons: Whitney, Pratt, Greg Hayes, Safran, RTX, Robert Stallard, Wizz, Hayes, Pratyush Thakur, Valerie Insinna, Mike Stone, Susan Mathew, Rajesh Singh, Tim Hepher, Shounak Dasgupta, Sharon Singleton, Nick Zieminski Organizations: Pratt, Airbus, U.S, RTX Corp, Raytheon Technologies, CFM International, GE, Reuters, Research, Spirit Airlines Inc, JetBlue Airways, Wizz, Thomson Locations: Paris, Bengaluru, Washington, Chicago

☆ Don't chase the Coinbase rally as regulatory risks still linger, analysts warn
▼ + stars: | 2023-07-25 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +2 min

Investors shouldn't chase the Coinbase rally that was sparked by a pop in crypto asset XRP due to a partial legal win in federal court, analysts warned. The judge also ruled that Ripple violated securities laws when selling XRP to institutions but not to retail investors. However, some analysts noted investors should stay cautious around Coinbase for a little while longer. Despite the ways Coinbase and the crypto industry can benefit from the ruling, the dark cloud of regulatory uncertainty hasn't gone away yet. He added that although the ruling is positive, it's "not a Panacea" for Coinbase.

Persons: XRP, Peter Christiansen, Bank of America's Jason Kupferberg, Kupferberg, Christiansen, Michael Bloom Organizations: of, Citi, Bank of America's, SEC, Coinbase, Bank of America, America's Locations: Southern, of New York, Cancun

☆ Why Cities Across the US Look the Same: Remote Work, High Home Prices
▼ + stars: | 2023-07-25 | by ( David A. Banks | ) www.businessinsider.com time to read: +15 min

The shift to remote work early in the pandemic allowed wealthy residents to ditch big cities in droves and set up shop in smaller cities and towns nearby. While the surging costs of housing and the new freedom of remote work helped trigger this mass migration, small cities have been laying the groundwork over the last decade to entice these big-city refugees. Then came the pandemic, and remote work suddenly made small cities a viable home for wealthy professionals. For the past two decades, cities have turned to an economic development strategy I've deemed "the city authentic." It spiked even more during the pandemic when change of addresses from New York City jumped a whopping 787%.

Persons: Tim Burton, —, Richard Florida, millennials, DAVID BREWSTER, downtowns, weathers, It's, Alison Roman, Chrissy Teigen, it's, restaurateurs, John Greim, Instagramable cafés, David A, Banks Organizations: Urban, New York Times, Creative, The New York Times, Industrial Development Agency, IDA, Arts, Craft, Fulton, Star Tribune, Getty, Social, Business, New York City, Neighborhood Initiative, Globalization Studies, University, Albany SUNY, UUP Locations: America, Hudson, New York City, Austin , Texas, Charlotte, North Carolina, Denver , Minneapolis, Salt Lake City, Dallas, Louisville, Connecticut, Florida, Washington, Fulton, New York, Athens, Georgia, Tulsa , Oklahoma, Arts District, Saint Paul , Minnesota, , New York, Rensselaer, Troy, Rensselaer County, Newark , New Jersey, Dudley, Boston

☆ Vir Biotech slumps to over 3-year low as flu prevention therapy fails trial
▼ + stars: | 2023-07-20 | by ( ) www.reuters.com time to read: +1 min

July 20 (Reuters) - Vir Biotechnology's (VIR.O) shares plunged 45% to a more than three-year low on Thursday after the company's experimental antibody therapy to prevent a type of flu failed to meet its goals in a mid-stage trial. The biotechnology firm, which came into prominence through its COVID-19 antibody therapy sotrovimab developed in partnership with GSK plc (GSK.L), lost over $1 billion in market capitalization in early trade hit by the therapy's failure. The company said it will conduct further analyses on the trial data to "better understand these outcomes", but TD Cowen analyst Phil Nadeau does not expect the therapy to undergo further development. The company is developing antibody therapies against hepatitis B and D, for which data is expected later this year, and also has development programs for COVID-19, HIV and influenza. Reporting by Leroy Leo in Bengaluru; Editing by Shailesh KuberOur Standards: The Thomson Reuters Trust Principles.

Persons: Vir Biotechnology's, sotrovimab, Cowen, Phil Nadeau, Nadeau, Leroy Leo, Shailesh Organizations: GSK plc, COVID, Alnylam Pharmaceuticals, Vertex Pharmaceuticals, Thomson Locations: Bengaluru

☆ Jim Cramer doesn't see a recession on the horizon, says recent conjecture "just doesn't hold up under close scrutiny"
▼ + stars: | 2023-07-18 | by ( Julie Coleman | ) www.cnbc.com time to read: +2 min

CNBC's Jim Cramer told investors on Tuesday that he doesn't think all the buzz about a recession being just around the corner holds much weight. "Those who cling to the notion that we're about to enter recession must find all of these examples daunting, if not depressing," Cramer said. "But earnings season has shown the recession thesis just doesn't hold up under close scrutiny, even if so many so-called experts tell us otherwise." "If the bears were right about the inevitable recession, it'd be the opposite: a strapped consumer, out of cash and hanging on by her fingertips," he said. "Defaults are minimal, including defaults in the dreaded commercial real estate space, which I keep telling you was a well overdone crisis."

Persons: CNBC's Jim Cramer, Cramer, homebuilders, PepsiCo hasn't, Wells, Morgan Stanley —, wouldn't Organizations: PepsiCo, JPMorgan Chase, Bank of America Locations: Wells Fargo

☆ Welcome to the Dollar War: a Global Fight Over America's Economic Dominance
▼ + stars: | 2023-07-16 | by ( Phil Rosen | ) www.businessinsider.com time to read: +17 min

The US even reminded everyone just how influential the buck is when it effectively froze Russia out of the global financial system with sanctions last year. Becoming the issuer of the global reserve currency is about trust. The US has controlled the global reserve currency for 102 years — giving it a special status in the world economy. Still, given that the country controlling the global reserve currency holds that status of an average of 94 years, history seems to indicate it's high time for a successor. Why shouldn't the financial world resemble something closer to the mosaic of cultures, politics, and nations that exists today?

Persons: Chenzi Xu, there's, Xu, —, Ron Temple, Gregory Brew, Eurasia's Brew, dollarizing, Stephen Jen, Jen, we've, Stanford's Xu, Luiz Inácio Lula da Silva, Josh Lipsky, " Lipsky, It's, Alexander Wise, Jan Loeys, Loeys, dollarization, Wise, Lazard's Temple, isn't, Phil Rosen Organizations: Stanford, Federal, European Central Bank, People's Bank of China, Lazard, Publishing, Getty Images, International Monetary Fund, Bank of International Settlements, Eurasia Group, Sandman's, Eurizon, IMF, Atlantic Council, JPMorgan Locations: Russia, Israel, France, China, America, Saudi Arabia, Brazil, India, Pakistan, Bolivia, Iraq, South Africa, Beijing

☆ Citi shares its top A.I. picks in software, including two names 'unfairly categorized' as losers
▼ + stars: | 2023-07-14 | by ( Samantha Subin | ) www.cnbc.com time to read: +2 min

Citi is sharing its top software names to play the booming artificial intelligence market, including two companies it views as "unfairly categorized" as losers. Alteryx shares are down more than 16% this year, while Nice has gained nearly 9%. Radke also said that strong momentum from expanded software and a growing product portfolio should offset fears that AI may hinder Alteryx. Recent analyst day announcements also highlighted ways the company is using AI and machine learning within its data analytics cloud platform, he added. The firm's $70 price target on shares suggests more than 65% upside from Thursday's close, — CNBC's Michael Bloom contributed reporting

Persons: Tyler Radke, MongoDB, Radke, — CNBC's Michael Bloom Organizations: Citi, Nasdaq, Nice Locations: Covid, Israel

☆ Sell crypto platform Coinbase before its earnings report, Barclays says
▼ + stars: | 2023-07-13 | by ( Alex Harring | ) www.cnbc.com time to read: +2 min

Investors should dump Coinbase ahead of its earnings report, Barclays warned. Analyst Benjamin Budish downgraded the crypto platform to underweight from equal weight while raising his price target by $9 to $70. Despite the increase, his new target implies the stock could drop 18.6% in the next year from Wednesday's close. The stock has surged more than 140% in 2023, staging a comeback from 2022's nosedive as investors have closely watched crypto stocks. Coinbase is expected to report second-quarter earnings next month, per FactSet.

Persons: Benjamin Budish, Budish, we're, BlackRock, bearish, Michael Bloom Organizations: Barclays, Barclays isn't Locations: Wednesday's, Coinbase

☆ Cloudflare, Palo Alto Networks and Zscaler tumble as Microsoft expands in cybersecurity
▼ + stars: | 2023-07-12 | by ( Jordan Novet | ) www.cnbc.com time to read: +3 min

Cloudflare , Palo Alto Networks and Zscaler shares all fell Wednesday after analysts noted Microsoft's entry into a part of the cybersecurity market where those three smaller companies already compete. Shares of Zscaler and Palo Alto both slid as much as 7.4%, while Cloudflare shares fell as much as 6.5%. Analysts emphasized that the new Microsoft Entra Internet Access and Microsoft Entra Private Access products are in the preview stage, with no pricing details available. The Microsoft Entra Private Access service offers an alternative to long-standing virtual private networks, or VPNs, which let employees access internal programs while working remotely. Microsoft Entra Internet Access can help security administrators control employees' connections to cloud apps, including Microsoft 365 applications such as Teams.

Persons: Satya Nadella, Joy Chik, Morgan Stanley, Hamza Fodderwala Organizations: Palo Alto Networks, Palo Alto, Analysts, Microsoft, Management, Microsoft Defender, Cloud Apps, Jefferies, UBS Locations: Palo, Palo Alto

☆ SunPower shares can more than double after recent sell-off, Raymond James says
▼ + stars: | 2023-07-12 | by ( Sarah Min | ) www.cnbc.com time to read: +2 min

It's time to buy the recent weakness in SunPower , Raymond James said. SPWR 1D mountain SunPower shares 1-day SunPower shares are down by more than 45% this year, a sell-off that the analyst views as "excessive." The sell-off is driven in part by the firm's exposure to California, which earlier this year passed NEM 3.0. That points to further growth for residential solar ahead. Thus, we look at the recent underperformance in SunPower shares as a buying opportunity."

Persons: Raymond James, Pavel Molchanov, Molchanov, SunPower, Michael Bloom Locations: SunPower, California, U.S, Germany, Australia

☆ Citi downgrades U.S. stocks, sees S&P 500 pull back 9% to 4,000
▼ + stars: | 2023-07-10 | by ( Yun Li | ) www.cnbc.com time to read: +1 min

Strategists at Citi downgraded U.S. equities after a strong first half of 2023, saying an economic slowdown will weigh on company earnings. The Wall Street firm slashed the rating to neutral from overweight Monday and said the S & P 500 will pull back 9% to end the year at 4,000. "After a solid 1H, US outperformance may go on pause," Citi strategists said in a note. The market ended the first half of the year with a bang as the S & P 500 popped 15.9% for its best first half since 2019. The S & P 500 shed 1.2% last week.

Organizations: Citi, US Strategy, Nasdaq, Federal Reserve, Wall Street, CNBC

☆ Micron and Pfizer are the most oversold S&P 500 stocks. Here are the other buying opportunities
▼ + stars: | 2023-07-08 | by ( Brian Evans | ) www.cnbc.com time to read: +3 min

Traders on Wall Street are back to worrying that the Federal Reserve has significantly more ground to cover to tame inflation. CNBC screened the for the most oversold stocks on Wall Street based on their 14-day relative strength index. Chipmaker Micron and pharmaceutical giant Pfizer were among the most oversold stocks on Wall Street with RSI readings of 21.72 and 20.16, respectively. However, the top spot for most overbought stocks currently belongs to AmerisourceBergen , with a 14-day RSI reading of 88.42. ABC YTD mountain AmerisourceBergen is the most overbought stock on Wall Street.

Persons: nonfarm payrolls, FactSet, DAL Organizations: Federal Reserve, CNBC, Chipmaker Micron, Pfizer, Micron, MU, RSI, FactSet, Delta Airlines, ABC Locations: AmerisourceBergen

☆ History shows Wall Street can sustain its first half advance. How Jim Cramer is playing it
▼ + stars: | 2023-07-06 | by ( Kevin Stankiewicz | In Kevinstankiewicz | ) www.cnbc.com time to read: +8 min

While together, the Nasdaq's nearly 20% annual gain in 1983 was quite respectable, the second half was clearly less fruitful. "I don't like the setup now for the beginning of the second half, although I think the second half could be strong." .SPX YTD mountain S & P 500 YTD peformance For the broader S & P 500, recent history suggests that its first-half strength, rising almost 16%, could be built on over the next six months. "That's why I think a strong first half tends to carry over into a strong second half." Stovall said he can envision some choppiness ahead for the S & P 500.

Persons: Jim Cramer, Jim, Wells, JPMorgan Chase, Morgan Stanley, Stocks, tech's, Sam Stovall Sam Stovall, Stovall, UBS Global Wealth Management Claudia Panseri, Claudia Panseri, Panseri, Jim Cramer's, Spencer Platt Organizations: Nasdaq, Procter & Gamble, Club, JPMorgan, Big Tech, FactSet, Federal Reserve, CFRA Research, CNBC, UBS Global Wealth Management, New York Stock Exchange, Getty Locations: U.S

☆ ETFs delivered mixed messages in the first half. Thoughts on what might work for the second half
▼ + stars: | 2023-07-05 | by ( Bob Pisani | ) www.cnbc.com time to read: +3 min

Despite a strong first half performance for the broad equity markets, ETF equity flows have been subpar this year. The big money has gone into Treasury ETFs and money market funds. First half inflows were subpar The first half ended with a modest acceleration of inflows into equity ETFs. Regardless, first half equity inflows were still well short of the prior years' first half activity. Join us Wednesday at 1:10 p.m. on ETF Edge for our second half ETF playbook.

Persons: Todd Sohn, . Sohn, Sohn, " Sohn, Dave Nadig Organizations: Tech, Energy, P Tech, Nasdaq, Fidelity, Renaissance Capital, Technology, Nvidia, Microsoft, Edge, VettaFi

☆ Big Tech fund manager reveals how to trade expensive valuations — and the stocks to buy
▼ + stars: | 2023-06-27 | by ( Ganesh Rao | ) www.cnbc.com time to read: +4 min

Investors should focus on trading momentum rather than worry too much about lofty valuations in Big Tech stocks, according to chief investment officer Patrick Armstrong. "I've kept the mega-cap tech stocks that have really been the driver of returns for my portfolio and for the market," Armstrong told CNBC's Squawk Box Europe Monday. Yet Big Tech valuations have pushed the index's forward average price-to-earings ratio to 21 times, its highest level since 2004, barring a brief period in 2018 and 2021, according to FactSet data. Despite his discomfort about these steep valuations, Armstrong said he's not selling yet for two reasons. Armstrong added that if the economy slips into a recession, the recent tech rally could become a period of stagnation, with Big Tech stocks treading water as they attempt to grow into their lofty valuations.

Persons: Patrick Armstrong, Armstrong, I've, CNBC's, It's, he's, you've Organizations: Global Equity Strategy, Big Tech, Tech, Microsoft, Apple, Adobe, Investors Locations: Big Tech

McKinsey says generative AI could add $7.3 trillion in value to the world economy each year and believes half of today's work activities could be automated between 2030 and 2060. The latest Bank of America survey in June showed 29% of global investors don't expect AI to increase profits or jobs. "There's a lot of focus on the risks that generative AI can bring. He sounded confident over the capacity of some professional information and data providers, which own proprietary data, to integrate generative AI into their products. Cristina Matti, small and midcaps portfolio manager at Amundi, said indiscriminate investing was not an option for investors seeking AI exposure.

Persons: Gilles Guibout, UK's Pearson, Chegg, Pearson, Thomas McGarrity, Andrea Scauri, Scauri, Capgemini, Cristina Matti, Danilo Masoni, Lucy Raitano, Chizu Organizations: Nvidia, McKinsey, AXA Investment, Bank of America, Microsoft, RBC Wealth Management, Accenture, Thomson Locations: MILAN, Europe, United States, Paris, Lemanik, Amundi

Search resuls for: "overdone"

25 mentions found