Tag Archives: NVDA

Top Warren Buffett Stocks To Invest In Right Now

Holding a stake in great businesses that regularly pay dividends and then reinvesting those payouts is one of the most dependable paths to long-term wealth creation. The challenge, then, is finding companies that are positioned to sustain a high level of performance and keep that returned income flowing while also shoring up the future of the business.

With that in mind, we asked three Motley Fool investors to identify a top high-yield stock that’s worth holding forever. Read on to see why they picked these stocks.

Top Warren Buffett Stocks To Invest In Right Now: Moelis & Company(MC)

In the wake of the financial crisis, with so many investment banks tarnished (or in some cases gone), there was an opportunity for an independent company to step up. That’s exactly what Moelis & Co (NYSE:MC) has done — and so far it’s been a raging success.

A company founded in 2007 now is worth over $3 billion. MC stock has risen 132% from its 2014 IPO price of $25. Moelis even was named an adviser to the Saudi Aramco IPO, potentially the largest ever.

Fundamentally, Moelis just keeps chugging along. Adjusted EPS rose 56% in Q1 on the back of a 27% jump in revenue. The company continues to add new directors and partners, while expanding its geographic reach. Without the other divisions — and potential conflicts of interest — seen at larger rivals like Goldman Sachs Group Inc (NYSE:GS) and Morgan Stanley(NYSE:MS), Moelis continues to win more than its fair share of deals.

Meanwhile, a recently raised dividend yields 3.2%, and the company holds no debt. A 19x forward P/E multiple might be considered a bit pricey — particularly because Moelis has a good deal of cyclical risk. Any slowdown in M&A, in particular, could send its revenue and earnings falling.

Still, from a qualitative standpoint, Moelis seems to be in the right place at the right time. And it seems to have a path to grow into a behemoth in corporate finance while rewarding shareholders along the way.

Top Warren Buffett Stocks To Invest In Right Now: Sportsman's Warehouse Holdings, Inc.(SPWH)

Guns-and-camo outfitter Sportsman’s Warehouse Holdings Inc (NASDAQ:SPWH) has seen shares languish since dropping off a cliff in early 2017 as President Trump’s election lessened the impetus for many firearm enthusiasts to make purchases out of fear of pending legislation outlawing things like AR-15s or expanded capacity magazines.

After basing for the last two years, shares look ready to run higher thanks to the action in retail stocks in general lately.

The company will next report results on Aug. 16 before the bell. Analysts are looking for earnings of 16 cents per share on revenues of $204.2 million. When the company last reported on May 24, a loss of eight cents per share beat estimates by two cents on a 14.8% rise in revenues.

Top Warren Buffett Stocks To Invest In Right Now: NVIDIA Corporation(NVDA)

Top Growth Stocks: Nvidia (NVDA)

Source: Shutterstock

 

Nvidia (NASDAQ:NVDA) is a leading computer graphics company, making graphic processing units (GPUs) for consumers and businesses.

These GPUs enhance the processing capability of its users’ computers.

The company has been in the computer graphics business for more than two decades — it invented the GPU in 1999 — so it is a well-established player.

In a recent earnings report, company management noted that NVDA “achieved another record quarter, capping an excellent year.” The fact is, this could be almost any quarter since 2016.

If you look at NVDA’s historic price chart, you can see that the stock goes parabolic in 2016. That’s when the mobility trend took off and enabled all the sectors that NVDA has come to dominate: cloud, augmented reality, virtual reality, Internet of Things, Big Data, smart devices, etc.

NVDA is to the future of computing what Amazon (NASDAQ:AMZN)has become to ecommerce.

Top Warren Buffett Stocks To Invest In Right Now: Enterprise Products Partners L.P.(EPD)

If you think a yield of 3% or 4% sounds good for a retirement account, I’ll bet a 6.3% yield sounds fantastic. Better yet, this stock’s payout is driven by a stable, fee-based business that’s one of the largest of its kind, which makes it an excellent choice for conservative investors. The company is energy infrastructure master limited partnership (MLP) Enterprise Products Partners. 

Before you rush out to buy it, though, be aware that MLP ownership isn’t for everyone — some extra tax hurdles come with those fat yields. But if you do the research and decide you can handle it, Enterprise can be an attractive investment for retirees.

The company has upped its quarterly distribution — the MLP equivalent of a dividend — for an impressive 53 consecutive quarters, with an average annual increase of about 5% over the last decade. That track record of growth is especially important to investors on fixed incomes, as it helps to ensure that the power of a company’s payout won’t get gradually eaten away by inflation. However, Enterprise Products Partners has signaled that it may ease back on that growth rate in 2018.

That’s actually a good thing for investors, because a temporary distribution-growth slowdown will help the company strengthen its already-steady financial situation. It will have more cash available to finance growth projects, maintain its high credit rating, and give itself added flexibility to reaccelerate its distribution growth later, or possibly even buy back units.

For retirees looking for an excellent yield, a conservative investment, and a bright future, it doesn’t get much better than Enterprise Products Partners.

Best Financial Stocks To Watch For 2019

Scores of companies generate huge returns for their investors without making splashy financial headlines. That’s why it can make a great deal of sense to look for stocks to buy that Wall Street is currently ignoring. 

So, which stocks are potential hidden winners that can be safely purchased today? We asked a team of investors to weigh in, and they picked these stocks.

 

Best Financial Stocks To Watch For 2019: 8×8 Inc(EGHT)

If you want to beat Netflix at its own high-growth game, you will have to take some risks. On that note, let me introduce you to 8×8, the most exciting little telecom-like company you’ve never heard of.

8×8 sells voice and video communications services built on cloud-computing concepts. The company mostly serves small and medium businesses at this point, but it has started to sniff around a few huge customers in the enterprise category. Big contracts are the long-term future of this business. According to CEO Vik Verma, only 10% of the enterprise communications market is served by cloud-based solutions today, leaving the vast majority of a $50 billion annual sales opportunity untapped.

Now, 8×8 is hardly the only game in town. Besides a handful of other cloud communications specialists, the big boys of the telecom world also dip their toes into these waters. There are no guarantees that 8×8 will beat all comers and become the undisputed king of internet-based enterprise communications. But you can’t win if you don’t play, and 8×8 is most definitely in the game.

This company has some high-growth chops. Over the last five years, 8×8’s revenues have increased by 160%, closely followed by 184% higher share prices. But shares are trading at a mind-boggling 208 times forward earnings estimates and 109 times the company’s free cash flows. At these nosebleed levels, it’s a volatile ticker that’s prone to sudden jumps — and the occasional crash.

So, I’m not 100% sure that 8×8 is a guaranteed long-term winner. All I’m saying is, if the company keeps up the good work for another few years, it could make shareholders very happy indeed.

If.

Don’t back up your truck to the buying window. This is a lot of speculation and a certain amount of gambling, but that’s what it takes to beat Netflix, in my book.

Best Financial Stocks To Watch For 2019: NVIDIA Corporation(NVDA)

Imagine your daughter or son 20 years from now, chatting with you in a beach house overlooking a gorgeous white sand beach with their kids — your grandchildren — splashing in the crystal-clear water. Your adult child is telling you about how much the kids love their new pediatrician. Here’s the kicker: You’re not in a beach house and are instead in a virtual reality world while your fully autonomous car is driving you to visit your child. And that pediatrician is a robot.

Too far-fetched? Maybe, but maybe not. And if it does come about, your grown-up offspring would likely be bragging to you if you had bought them shares of NVIDIA. The company is at the center of the technologies that could make that future possible.

NVIDIA’s graphics processing units (GPUs) power the world’s most popular video game applications, which makes them perfect for virtual reality as well. The company’s GPUs are also well suited for artificial intelligence (AI) applications. And NVIDIA ranks as a key leader and innovator in self-driving car technology. 

Being at the forefront of several enormously important tech trends caused NVIDIA stock to soar close to 900% over the last three years. I expect NVIDIA to remain an important player in these areas for a long time to come. There should be plenty of room for the stock to go much higher over the long run — even if the future doesn’t turn out exactly like I think it will.

Best Financial Stocks To Watch For 2019: Euro FX(P)

The first stock on this list may come as a complete surprise considering its core business is still in free-fall, but streaming music company Pandora Media Inc (NYSE:P) is actually a cheap stock on the rise.

The company started to turn around its business by finally pivoting away from its core ad-supported streaming music platform. Pandora just acquired digital-audio tech firm AdsWizz, and in doing so, potentially changed the entire company’s growth narrative from dying streaming music platform to growing audio-streaming advertising marketplace.

AdsWizz is a firm that specializes exclusively in digital audio advertising. Based on management commentary, it seem like Pandora is planning on using AdsWizz to create a centralized digital audio advertisement marketplace. This could have potentially huge effects, seeing as the digital audio advertising market is expected to grow by a ton over the next several years as radio ads shift to the digital format.

In other words, the whole idea is that the AdsWizz acquisition accelerates Pandora’s ad-tech roadmap, thrusts the company more deeply into the secular growth audio advertising market, ditches the company’s reliance on its struggling streaming music platform, and opens up new revenue opportunities.

That is a solid formation for a bull thesis on Pandora stock.

Meanwhile, the company just reported first quarter numbers, and they were much better than expected. While the core ad-supported streaming music platform continues to dwindle in popularity, the subscription business is actually growing nicely, and that fits in well with this company’s big turnaround story.

Pandora stock used to be north of $30. Today, it is still only $7. Therefore, if this turnaround plays out to completion, Pandora stock could still head markedly higher.