Hiroshi Watanabe/DigitalVision via Getty Images As tensions flare up in Iran again, the stock market is taking on a decidedly "risk-off" attitude. Amid this sentiment shift, my priority remains to rotate more of my equity exposure to small and mid-cap value, but stock selection remains of utmost importance here. The tough macro will have an outsized impact on many businesses that are already strug...
Hiroshi Watanabe/DigitalVision via Getty Images As tensions flare up in Iran again, the stock market is taking on a decidedly "risk-off" attitude. Amid this sentiment shift, my priority remains to rotate more of my equity exposure to small and mid-cap value, but stock selection remains of utmost importance here. The tough macro will have an outsized impact on many businesses that are already struggling, including Veritone ( VERI ). Throughout its history, this software company has dipped its toes into many different businesses and revenue streams, including an ad-tech platform and a talent/hiring product. It is now rebranding itself as an "operating system for AI", but its actual financials fall short of meeting these claims. Down nearly 70% since the start of the year, I'm skeptical that Veritone has any catalysts to support a rebound. Data by YCharts I last wrote a skeptical, neutral article on Veritone in March, when the stock was trading at $2.60 per share. Since then, Veritone has cut nearly in half. At the same time, fundamental indicators have fully worsened that justify that collapse in share prices, including a dismal Q1 earnings print and dwindling cash balances that raise questions as to this company's sustainability. I'm dropping my rating on Veritone one notch further to a sell . Guidance conundrum: where is 48% revenue growth going to come from? Here's the first major issue I have with Veritone. One of the golden rules of investing in a technology business is never to trust a software company that isn't growing. Veritone has made lofty claims about being a leader in AI, and it recently signed a technical partnership with Oracle Cloud Infrastructure to provide the compute backbone behind its services. But the core question remains: how will Veritone meet its own expectations? Veritone outlook (Veritone Q1 earnings release) As shown in the chart above, Veritone is guiding to $130-$145 million in revenue this year, which represents a 48% growth rate at th...
JHVEPhoto/iStock Editorial via Getty Images LyondellBasell ( LYB ) is one of the world's largest producers of plastics and basic chemicals. The company manufactures polyethylene (PE), polypropylene (PP), chemical intermediates, oxyfuels, and specialized polymers for packaging, construction, automotive, and the like. The stock is interesting now; the sector is at the bottom of the cycle. Earnings a...
JHVEPhoto/iStock Editorial via Getty Images LyondellBasell ( LYB ) is one of the world's largest producers of plastics and basic chemicals. The company manufactures polyethylene (PE), polypropylene (PP), chemical intermediates, oxyfuels, and specialized polymers for packaging, construction, automotive, and the like. The stock is interesting now; the sector is at the bottom of the cycle. Earnings are low, and the valuation appears attractive. The chemical sector is cheap but not without reason. China continues to add capacity, putting PE and PP prices under pressure, and the automotive industry (especially in Europe) is also weaker than it was a few years ago. On top of that, LyondellBasell has now cut the dividend by half. That is a large difference from my previous article , in which the dividend was still a major reason to find the stock attractive. LyondellBasell is reducing capex and selling weaker European assets, and by doing so, it is improving the balance sheet. That is positive. However, this is not yet reflected in earnings. At a price of around $65, I still find the stock attractive for a (cautious) Buy rating. The upside is certain if the PE/PP margins recover and cost savings take effect. However, China makes it more difficult to reach old peak margins again. Cost Cuts Have Made LyondellBasell Leaner During my previous article, the share price had fallen sharply and the dividend yield was close to 10%. Management continued to increase the dividend. It seemed that management was saying, we believe this is temporary and that cash flows will remain strong enough. That part of my thesis was too optimistic, as the dividend has currently been halved. However, the dividend cut gives the company opportunities to weather this long downcycle. Building a More Resilient LYB Independent of the Cycle (LYB's Q1 2026 Investor Presentation) LyondellBasell has halved the dividend, reduced capex, sold European assets, and therefore streamlined the organization. Management...
Tesla, Inc. (NASDAQ:TSLA) is one of the best forever stocks to buy, according to analysts. On June 7, JPMorgan reiterated that Tesla (NASDAQ:TSLA)’s ambitions around autonomous vehicles, humanoid robotics, and energy storage are underappreciated. Consequently, the investment bank upgraded the stock to Neutral from Underweight. JPMorgan expects Tesla’s share price to rise to about $475 […]
Tesla, Inc. (NASDAQ:TSLA) is one of the best forever stocks to buy, according to analysts. On June 7, JPMorgan reiterated that Tesla (NASDAQ:TSLA)’s ambitions around autonomous vehicles, humanoid robotics, and energy storage are underappreciated. Consequently, the investment bank upgraded the stock to Neutral from Underweight. JPMorgan expects Tesla’s share price to rise to about $475 […]
Apple Inc. (NASDAQ:AAPL) is one of the best forever stocks to buy, according to analysts. On June 6, Deep Asset Management’s Gene Munster reiterated that Apple Inc. (NASDAQ:AAPL) is on the cusp of edging higher. Munster expects the company’s sentiment to receive a significant boost from the Worldwide Developers Conference, terming it the most important […]
Apple Inc. (NASDAQ:AAPL) is one of the best forever stocks to buy, according to analysts. On June 6, Deep Asset Management’s Gene Munster reiterated that Apple Inc. (NASDAQ:AAPL) is on the cusp of edging higher. Munster expects the company’s sentiment to receive a significant boost from the Worldwide Developers Conference, terming it the most important […]
Meta Platforms, Inc. (NASDAQ:META) is one of the best forever stocks to buy according to analysts. On June 6, Morgan Stanley analyst Brian Nowak reiterated that Wall Street is overlooking Meta Platforms, Inc. (NASDAQ:META), expanding competitive moat amid massive artificial intelligence spending. According to Nowak, investor sentiment around Meta Platforms has lagged that of other […]
Meta Platforms, Inc. (NASDAQ:META) is one of the best forever stocks to buy according to analysts. On June 6, Morgan Stanley analyst Brian Nowak reiterated that Wall Street is overlooking Meta Platforms, Inc. (NASDAQ:META), expanding competitive moat amid massive artificial intelligence spending. According to Nowak, investor sentiment around Meta Platforms has lagged that of other […]
Alphabet Inc. (NASDAQ:GOOGL) is one of the best forever stocks to buy, according to analysts. On June 5, Moody’s Ratings touted Alphabet Inc.’s (NASDAQ:GOOGL) move to raise $84.75 billion, affirming it as credit-positive. According to the ratings firm, the massive equity raise underscores Alphabet’s strong financial profile, which is capable of funding incremental investment through […]
Alphabet Inc. (NASDAQ:GOOGL) is one of the best forever stocks to buy, according to analysts. On June 5, Moody’s Ratings touted Alphabet Inc.’s (NASDAQ:GOOGL) move to raise $84.75 billion, affirming it as credit-positive. According to the ratings firm, the massive equity raise underscores Alphabet’s strong financial profile, which is capable of funding incremental investment through […]
NVIDIA Corporation (NASDAQ:NVDA) is one of the best forever stocks to buy according to analysts. On June 8, South Korean SK Telecom announced it will leverage NVIDIA Corporation (NASDAQ:NVDA)’s DSX platform to build a gigawatt-scale AI cloud infrastructure. The AI factory is poised to come online next year and will support AI services for enterprises […]
NVIDIA Corporation (NASDAQ:NVDA) is one of the best forever stocks to buy according to analysts. On June 8, South Korean SK Telecom announced it will leverage NVIDIA Corporation (NASDAQ:NVDA)’s DSX platform to build a gigawatt-scale AI cloud infrastructure. The AI factory is poised to come online next year and will support AI services for enterprises […]
Microsoft (NASDAQ:MSFT) is one of the best forever stocks to buy, according to analysts. On June 4, TD Cowen reiterated its Buy rating on Microsoft (NASDAQ:MSFT) and set a $540 price target. The bullish stance is in response to the company asserting its AI strategy with seven new self-built models focused on fine-tuning and cost […]
Microsoft (NASDAQ:MSFT) is one of the best forever stocks to buy, according to analysts. On June 4, TD Cowen reiterated its Buy rating on Microsoft (NASDAQ:MSFT) and set a $540 price target. The bullish stance is in response to the company asserting its AI strategy with seven new self-built models focused on fine-tuning and cost […]
Amazon.com, Inc. (NASDAQ:AMZN) is one of the best forever stocks to buy, according to analysts. In June, Amazon.com Inc. (NASDAQ:AMZN) announced plans to invest more than €10 billion to expand and strengthen its operations in Europe. The company plans to modernize its fulfillment facilities, which are at the center of its e-commerce empire. Part of […]
Amazon.com, Inc. (NASDAQ:AMZN) is one of the best forever stocks to buy, according to analysts. In June, Amazon.com Inc. (NASDAQ:AMZN) announced plans to invest more than €10 billion to expand and strengthen its operations in Europe. The company plans to modernize its fulfillment facilities, which are at the center of its e-commerce empire. Part of […]