Money & Investing - Banks.com

Right now, as we near the end of Quarter 3, there is all sorts of speculation about which stocks will do well, and which will tank. 24/7 Wall St. offers a look at 5 stocks to buy after Labor Day. Personally, I like the 3 stocks that the article suggested. Here they are:

GE (GE)

I like the way that GE (GE) is doing its best to get rid of sections that are dragging it down (read: appliances) by selling them. Additionally, GE has been holding on to parts of its business that are likely to see growth in the future: medical supplies and broadband digital programming. GE is also positioning itself for a more environmentally friendly future, and is turning out greener products.

Verizon (VZ)

The thing I like about Verizon (VZ) is its emphasis on the future and technology. It is pushing its fiber optics network, FiOS, and that is a good thing. Everything should be migrating more in that direction, and that means that Verizon could soon give cable companies a run for their money. The company already offers great signal connections for its cell phones, and by diversifying into high def TV and Internet access Verizon is positioning itself for the future. When people start demanding more fiber, Verizon will be one of the very few with an infrastructure that can give it to them.

Ford (F)

I’m not too fond of Ford (F), honestly. But it’s cheap and unlikely to fail. As the Big Three automakers threaten to fail, the chances of government intervention are increasingly likely. It’s highly doubtful that Congress will let an American institution fail. Not when that august body has been catering to the auto lobby for decades. See taken over by a foreign company? Never! At any rate, if it is taken over, that would be good for the stock. And a little government help — in the form of billions in loan money already being floated in Congress — is likely to give the stock price a little boost.

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions and any loss that may result from your decisions.

Tags: stock market, stock market news, investing blog, stocks,
speculation, investments, GE

U.S. stocks are somewhat mixed this morning, with some sectors gaining and others falling a bit. In general, though, even the news that higher oil prices are being seen had small effect on stock index futures — although that could change.

One of the main worries right now is that there could be more bad news. Every time there has been some optimism on the stock market recently, things have turned around and become worse. Bloomberg reports on some of the fears regarding U.S. economic data:

“My concern is that we still have not yet seen all of the bad news come to the table,” James Bevan, who helps oversee about $10 billion as London-based chief investment officer at CCLA Investment Management, said in an interview with Bloomberg Television. “I’d be much happier attempting to buy the S&P 500 at 1,150,” or about 10 percent lower than yesterday’s closing price, he said.

Predicting the stock market

Predicting the stock market is actually rather difficult. It is a volatile market (although not as volatile as some), and it can change direction unexpectedly. And, while it is possible to pick out trends in the direction of stocks and other investments, one never knows when that trend will change. This is why “timing the market” rarely works.

For most people, the best investing strategy is to buy when there is a dip and try to sell when there is a bounce. For those who are not concerned with being active traders, the “buy and hold” strategy is one that is often used. Since the stock market generally gains over time, having solid stocks that are likely to have steady gains over several years are considered relatively safe bets — although even the best plans can go awry and the best companies fail.

In the end, it is important to note that no one really knows where U.S. stocks are headed — especially in the near future. The best you can do is, well, the best you can do.

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions and any loss that may result from your decisions.

Tags: stock market, stock market news, investing blog, U.S. stocks,
economy, investments, investing strategy

The stock market is mixed this morning, as new data comes in. Worries over the financial sector (thanks to news of bank failures and crackdowns) are renewing themselves again. Additionally, oil prices are rebounding after declining overall for a few days. Increased oil prices usually weigh on the stock market. Investor’s Business Daily reports on some of the movers today on the stock market so far:

GMX Resources (GMXR) gained 2.85 to 71.34 in fast trade. The oil and gas producer is working on the right side of a new base.

Group mate EOG Resources (EOG) climbed 5.30 to 105.71 on brisk volume. It’s trying to recover from a 37% sell-off, but the stock has met resistance.

On the downside, Big Lots (BIG) fell 1.68, or 5%, to 31.38 in heavy trading, despite beating views and raising guidance.

LDK Solar (LDK) slipped 0.81 to 49.25 as it pulled back from a seven-month high. The Chinese solar wafer maker rose 9% Monday on a strong sales outlook.

With economic data mixed, investors are wary of where to go next.

One of the best things to do in times like these is to carefully evaluate some value stocks that are likely to pull through the current bear market. This are stocks of companies with strong fundamentals. Strong fundamentals mean that the underlying strength of the company’s management and business model will pull the stock through these tough times.

The reason now is the time to buy such stocks is that you can get them for a lower prices. At some point, the stock market will rebound (it always does; over time the stock market gains overall) and when it does, the solid stocks that you buy now will provide you with some tidy gains. The trick, of course, is choosing the stocks that will make it through this particular difficulty.

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions and any loss that may result from your decisions.

Tags: stock market, stock market news, investing blog, value stocks,
bear market, investments, oil prices