Although high dividend yields are attractive to income seekers, they can sometimes signal that the dividend is unsustainable and a payout cut is on the way. Is that where we are headed with Pfizer (NYSE: PFE) ? The healthcare giant's poor stock market performance over the past few years has pushed its forward yield to a juicy 6.4%. But is the company's dividend safe? Pfizer's revenue, earnings, an...
Although high dividend yields are attractive to income seekers, they can sometimes signal that the dividend is unsustainable and a payout cut is on the way. Is that where we are headed with Pfizer (NYSE: PFE) ? The healthcare giant's poor stock market performance over the past few years has pushed its forward yield to a juicy 6.4%. But is the company's dividend safe? Pfizer's revenue, earnings, and stock price dropped off a cliff due to its inability to sustain the incredible sales generated by its coronavirus business. However, over the trailing 12 months, the stock has climbed by a respectable 25%. Can the company maintain this momentum? There is a good chance it can. Here are two reasons why. Image source: Getty Images. Continue reading
Alexandr Lebedko/iStock via Getty Images Today we are revisiting the WD-40 Company ( WDFC ). This remains one of our oldest positions and one of the first stocks our founder ever owned after receiving a few shares as a gift as a child. We were a lone Buy call on the name again in the fall of 2025. Since then, we have seen a nice rally in shares, but much of those gains have been given back. It is ...
Alexandr Lebedko/iStock via Getty Images Today we are revisiting the WD-40 Company ( WDFC ). This remains one of our oldest positions and one of the first stocks our founder ever owned after receiving a few shares as a gift as a child. We were a lone Buy call on the name again in the fall of 2025. Since then, we have seen a nice rally in shares, but much of those gains have been given back. It is expensive for the muted growth being experienced. And in the last five years it has really gone nowhere, and aside from collecting a little yield from the dividend, it's been painful. Though it is one of several hundred long-term "house positions" at our Investing Group, the underperformance does stand out. But having owned it for decades, we are not letting it go anytime soon. But the company has struggled some with operational costs and very slow growth over time. Data by YCharts One thing remains a constant, and that is that, yes, the stock on traditional valuation metrics has, in modern times, always been more expensive than the market. It may not be justified by the growth, but it has long been premium priced for whatever reason. The company has been through many economic cycles and over time remains a stable and reliable grower. Today, we check back in on its just-reported fiscal second-quarter earnings . Let us discuss. Revenue Growth The market has remained somewhat volatile, though we are seeing fundamental execution from the company. Shares have historically traded at a premium, and while a mid-30s FWD EPS valuation is high for slow and stable growth (mid-single-digit EPS growth), that is a bit of a quality tax, if you will, that investors pay for this name. That can change in the future, and certainly there is better growth and value elsewhere. As such, we are moving to a hold here, as we have held shares for many years. It is true that the company has immense pricing power and has no AI threat because you cannot, and as long as we have machinery and parts that n...
Wall Street ended this volatile week on a quiet note. As of 2 p.m. ET, the leading market indexes remained well within 1% of Thursday's closing scores. The Dow Jones Industrial Average (DJINDICES: ^DJI) made the biggest move, sliding 0.5% lower. The Nasdaq Composite (NASDAQINDEX: ^IXIC) shows a 0.3% gain right now, down from a 0.8% jump around 11:30 a.m. ET. In between, the S&P 500 (SNPINDEX: ^GSP...
Wall Street ended this volatile week on a quiet note. As of 2 p.m. ET, the leading market indexes remained well within 1% of Thursday's closing scores. The Dow Jones Industrial Average (DJINDICES: ^DJI) made the biggest move, sliding 0.5% lower. The Nasdaq Composite (NASDAQINDEX: ^IXIC) shows a 0.3% gain right now, down from a 0.8% jump around 11:30 a.m. ET. In between, the S&P 500 (SNPINDEX: ^GSPC) is down by 0.1% -- effectively a rounding error. Continue reading
The Trump administration has stepped up an effort to unmask a Reddit user who criticized Immigration and Customs Enforcement (ICE). After failing to obtain information through a summons issued to Reddit, the government reportedly issued a subpoena demanding that Reddit provide the information and appear before a grand jury in Washington, DC. The Intercept described the subpoena today. "According t...
The Trump administration has stepped up an effort to unmask a Reddit user who criticized Immigration and Customs Enforcement (ICE). After failing to obtain information through a summons issued to Reddit, the government reportedly issued a subpoena demanding that Reddit provide the information and appear before a grand jury in Washington, DC. The Intercept described the subpoena today. "According to a subpoena obtained by The Intercept, Reddit has until April 14 to provide a wide range of personal data on one of its users, whom US Immigration and Customs Enforcement agents have been trying unsuccessfully to identify for more than a month," the article said. The legal saga began in US District Court for the Northern District of California. On March 12, the anonymous Reddit user whose information is being sought filed a motion to quash a summons seeking a host of information from Reddit. The summons was issued by the Department of Homeland Security and directed Reddit to turn information over to an ICE senior special agent. Read full article Comments
Bryan Bedder/Getty Images Entertainment Sherwin-Williams ( SHW ) and Axalta Coating edged higher in Friday's trading even as Wells Fargo downgraded both names to Equal Weight from Overweight with respective $365 and $30 price targets, saying the Middle East war has caused lower production of certain chemicals and logistical disruptions, leading to broad-based inflation across most commodity chains...
Bryan Bedder/Getty Images Entertainment Sherwin-Williams ( SHW ) and Axalta Coating edged higher in Friday's trading even as Wells Fargo downgraded both names to Equal Weight from Overweight with respective $365 and $30 price targets, saying the Middle East war has caused lower production of certain chemicals and logistical disruptions, leading to broad-based inflation across most commodity chains, flowing down to coatings raw materials. In addition to a likely margin squeeze from higher costs, Wells Fargo's Michael Sison thinks top-line results for coatings names will be pressured by a tougher macro backdrop as affordability remains challenging due to inflation and still-elevated interest rates, which should pressure the housing market, auto sales, and possibly industrial production. Sison lowered his estimates for Sherwin-Williams ( SHW ) slightly to account for his challenging outlook for the U.S. housing market and incremental raw material inflation, even as the company is relatively insulated given that 80% of its sales are generated in North America, which has the best raw material availability and lowest inflation. The analyst also sees pressure on Axalta Coating's ( AXTA ) margins from rising raw material costs as the Middle East conflict persists, and he expects a top-line impact from a weakening global macro backdrop, as inflation pressures weigh on light vehicle purchases and repairspending. However, Sison reiterated his Overweight rating on PPG ( PPG ), remaining positive on the company's end market exposure in the current environment and encouraged by growth in PPG's other end markets such as aerospace, which he believes will remain resilient. More on Sherwin Williams and Axalta Coating Sherwin-Williams: Resilient Results In Soft Environment (Rating Upgrade) Sherwin-Williams: Don't Paint Over This Excellent Opportunity Axalta: Underwhelming Results, An Equally Underwhelming Potential Merger
Bloomberg's Erin Hudson joins Katie Greifeld on "Bloomberg Real Yield." The concerns building in the private-credit industry are starting to inflict pain in a rapidly growing segment of the US municipal debt market. (Source: Bloomberg)
Bloomberg's Erin Hudson joins Katie Greifeld on "Bloomberg Real Yield." The concerns building in the private-credit industry are starting to inflict pain in a rapidly growing segment of the US municipal debt market. (Source: Bloomberg)