PonyWang/iStock via Getty Images Amid clear signs that the stock market rally may be breaking down, my focus for the remainder of 2026 remains to reduce my exposure to large caps and rotate more of my portfolio to small-cap stocks that have less correlation to the broader market. I’m particularly interested in companies that have specific growth catalysts to expand their market potential while sti...
PonyWang/iStock via Getty Images Amid clear signs that the stock market rally may be breaking down, my focus for the remainder of 2026 remains to reduce my exposure to large caps and rotate more of my portfolio to small-cap stocks that have less correlation to the broader market. I’m particularly interested in companies that have specific growth catalysts to expand their market potential while still trading at a good price. Arlo ( ARLO ) fits the bill perfectly. The smart home camera maker is down -10% this year, even though the company has posted strong sales and subscriber adds. It’s a great time, in my view, for investors to reassess the bull case in this name. Data by YCharts I last wrote a buy article on Arlo in March, when the stock was trading in the high $12s. Since then, the stock has traded in a range-bound pattern, which I think overlooks the company’s expansion opportunities. I reiterate my buy rating here. First off the bat, we should note Arlo’s transformational acquisition of a company named Aloe Care. We note that historically, Arlo is not a company that has pursued a growth-via-M&A strategy. But in this case, the company’s deal to acquire Aloe Care, which is a medical alerts and fall prevention platform for the elderly. Financial terms for the deal were not disclosed, which likely means this is a smaller bolt-on acquisition. However, we note that this represents a smart vertical expansion into senior care, which is a natural extension and market for Arlo’s smart home products. Combined, the company now estimates that its total addressable market is a whopping $285 billion by 2034: Arlo/Aloe combined TAM (Arlo/Aloe acquisition press release) We think as well that adding seniors to Arlo’s subscriber base will help improve retention rates. The peace of mind that products like Arlo give to caregivers on behalf of the elderly is unlikely to drive churn. In spite of this meaningful new growth catalyst as well as ongoing strong performance, Arlo still trad...
Dow Jones futures: The S&P 500 and Nasdaq jumped as Trump canceled Iran strikes, but still below key levels. The SpaceX IPO priced at 135 a share. CrowdStrike flashed a new buy signal.
Dow Jones futures: The S&P 500 and Nasdaq jumped as Trump canceled Iran strikes, but still below key levels. The SpaceX IPO priced at 135 a share. CrowdStrike flashed a new buy signal.
Lloyds Banking Group Plc became the latest borrower to sell bonds in the booming Samurai market, where issuance has reached the highest level since fiscal year 2015 amid strong demand from yield-seeking investors. The UK lender sold ¥75 billion ($468 million) of yen-denominated bonds on Japan’s domestic market Friday, its first such offering in two years. Even as Japanese interest rates climb, ove...
Lloyds Banking Group Plc became the latest borrower to sell bonds in the booming Samurai market, where issuance has reached the highest level since fiscal year 2015 amid strong demand from yield-seeking investors. The UK lender sold ¥75 billion ($468 million) of yen-denominated bonds on Japan’s domestic market Friday, its first such offering in two years. Even as Japanese interest rates climb, overseas issuers are increasingly tapping the Samurai market to access Japan’s deep investor base. There is strong demand among Japanese buyers for such offerings, said Yutaka Ban , a senior credit analyst at Nomura Securities Co. Samurai bonds are attracting demand because their relatively short maturities and wider spreads appeal to investors navigating a rising-rate environment, Ban said. He added that yen funding can remain cost-effective for foreign borrowers even after accounting for currency-swap costs. Japanese benchmark yields remain well below those in the US and Europe, helping to preserve the appeal of the yen market for some foreign borrowers. Samurai bond issuance rose to ¥503 billion this fiscal year, according to data compiled by Bloomberg as of June 12. That’s the highest level since 2015, when issuance for that period reached ¥538 billion. For investors, Samurai bonds remain attractive because issuers typically offer wider spreads than comparable domestic debt. The spread on one tranche of the Lloyds deal, six-year bonds callable after five years, was 78 basis points over swaps. That compares with 28 basis points for the 2031 notes sold in April by Sumitomo Mitsui Banking Corp., which is rated just one notch higher than Lloyds by S&P Global Ratings, illustrating the additional premium available in the Samurai market. The Lloyds deal was managed by Mitsubishi UFJ Morgan Stanley Securities Co., Mizuho Securities Co., Nomura Securities Co. and SMBC Nikko Securities Inc. Credit Agricole Taps Japan Samurai Market at Wider Spread Renault Joins Foreign Firm Yen Bond...
In this episode of Motley Fool Hidden Gems Investing, Motley Fool contributors Travis Hoium and Lou Whiteman, along with Motley Fool analyst Jason Moser, discuss:
In this episode of Motley Fool Hidden Gems Investing, Motley Fool contributors Travis Hoium and Lou Whiteman, along with Motley Fool analyst Jason Moser, discuss: