Editor’s Note: As Chief Investment Strategist of Total Wealth, Shah believes in making his track record of recommendations easily accessible to all readers within seconds – and that’s why he’s compiled an Archives page.
If you’ve turned on your television lately, you’ve seen the headlines and maybe read some of the analysts’ reports spreading doom and gloom. The rapid spread of omicron and stories about slowdowns, shutdowns, and lockdowns have all but dominated the headlines. You’ve been told to expect higher inflation, rising interest rates, falling company earnings, and peak valuations across the stock market.
At this point, some investors are running for the hills and putting all of their money into gold bullion.
Fortunately for us, we know something that the financial media doesn’t know.
While some may be running from the markets, they’re about to be crushed by some 71 million new investors who aren’t afraid of anything. These investors are going to plow so much money into the market that they’re actually going to propel the S&P 500 300% higher, maybe more, in the next seven years or sooner.
The media and analysts don’t see what’s happening below. They’re trying to stoke fear where there is none. They don’t see what we see. And they don’t know what we know.
Demographics move markets. I’ve been beating that drum for years. And this next round of generational investors is the largest we’ve seen in decades.
New investors, some 71 million of them, are coming into the market. And they’re collectively far more important than any earnings, profit margins, or net income measures.
“They” are the millennials. And there are 71 million of them ranging from 27 years old to 44 years old now. They are starting to enter the equity universe.
And believe me, nothing moves stocks and markets higher like more buyers than sellers.
This isn’t some fringe belief either. It’s been corroborated by the finest researchers on Wall Street.
Just ask researchers John Geanakoplos of Yale University, Michael Magill of the University of Southern California, and Martine Quinzii of the University of California, Davis. Their report, Demography and the Long-Run Predictability of the Stock Market, supports what we know. They found that population booms around the 30s to 50s correspond to stock market booms.
More investors entering the stock market means a better chance for a bull market.
You probably didn’t know it, but we’re entering one of those “bull market periods” now, right on top of the raging bull market we’ve been enjoying since 2009.
The rationale is simple: stocks are now the principal vehicle for retirement-headed people who start thinking about investing in their future when they’re in their 30s and 40s. That’s where Millenials are right now.
Now might be the perfect time to jump back in on a couple of stocks that were long forgotten because of COVID-19.
And on the other hand, other stocks out there have the potential of continuing their dominance on the market.
Today I’m going to reveal two stocks that will do just that.
Dec 27, 2021
As we head into the end of the year, it’s good to look back on the things that happened this year. But what’s even better is looking ahead to 2022 and deciding which companies will outshine the rest. Today, I …
I’m sure the metaverse seems odd to some of you.
Virtual reality business meetings? Weddings attended only by (ugly) computer generated avatars? Million-dollar real estate in a fake world? All that sounds like it’s straight out of an ’80s sci-fi novel.
But, it doesn’t matter how you feel about it. The metaverse is coming and investing in its building blocks will take you far. How do I know? Because I lived through and passed up the golden opportunities preceding the Dot Com Boom.
Back then, I thought the internet was cool, but I never thought it would take off. Or that I’d ever even use it. Now look where we are. Technology, software as a service, and ecommerce are some of the biggest most profitable industries on the markets.
And as they rose to prominence, the companies that built their foundations became filthy rich.
So, let me be the first to say that you don’t want to shrug off the metaverse and let these two companies leave you behind.
If you live anywhere near New York City, you know that things are getting ugly.
After weeks of what seemed like the beginning of the end for COVID, we are back in emergency mode. And that means you need to change up how you’re investing – ASAP.
I’ve got four picks for you today, just watch the video below to grab ’em all.
Last Friday, Winnebago Industries Inc (WGO) crushed earnings estimates and reported record fiscal first-quarter earnings and revenue, all while dealing with ongoing supply chain constraints and increased production costs.
Let’s look at some numbers…
- Revenue is up 46% over last year, totaling $1.156 billion
- Net income increased 73.52% year-over-year to $99.6 million
- And adjusted earnings per share grew 97% to $3.51.
To put that into perspective, FactSet only expected WGO to make $1.029 billion in revenue and $2.34 in earnings per share. WGO has crushed it, surprising Wall Street.
But not me.
Perhaps Steve Easterbrook never heard the phrase “what goes around, comes around.”
Now he’s paying up $105 million in reparations to the company he used to work for as CEO, adding a nice tip to the billions it has earned over the last 12 months.
And with that must money to spare, it’s no wonder that this company is paying its shareholders a high dividend that you don’t want to miss out on.
I talk about this company and more in today’s Buy, Sell, or Hold. Click the video here to watch.
The closer we get to the supposed jolliest time of year, the more apparent market pessimism becomes.
Inflation worries, repeated sell-offs, and mixed COVID news have nervous nellies more skittish than ever. Many are worried that the typical end-of-year “Santa Claus Rally” will pass them by (maybe they fear a little coal in their stockings, too).
Luckily for us, though, there are plenty of reasons not to be like them.
Here are the big three:
- The bond market is behaving nicely…
- The stock market is on the rise, despite all the volatility…
- And an all too often forgotten market mover is still firing hundreds of billions of dollars every quarter at select stocks.
And even better yet for you, there’s an ETF that captures those inflows and has been on a tear.
This quarter the S&P 500 companies have spent $234 billion in buyback programs, breaking a three-year-old record high.
And as insane as spending billions to take your stock off the markets forever sounds… it is an incredible buy opportunity for us.
As the number of float shares on the market shrinks, the worth of the shares in your portfolio will rise.
As Christmas Day draws ever nearer, it is clear which companies are making the most of the holiday rush and which are falling behind.
I like focusing on the winners for my readers out there, so in today’s watchlist I’ve got some companies who have lorded over this holiday season – beating Wall Street expectations at almost every turn.
BuzzFeed Inc went public this week via a SPAC merger that, for all intents and purposes should have gone well.
But for some reason, investors got spooked and the resulting sell-off has created an incredible profit opportunity for you.
In today’s video, I’ll cover just how to play the Buzzfeed merger and three other unlikely stocks.
Every crypto, every alternative-coin or token on the market, has a problem. A big problem.
Fraud is rampant in the crypto-space. News stories about investors falling for NFT or “meme” coin scams are a weekly occurrence – if not daily.
But all that noise describing how robbers make off with millions of dollars from exchanges or private crypto-owners as if it were a cheesy action film has drowned out something important.
Something bigger than $1 billion in crypto stolen.
The most traded cryptocurrency on the markets is a sham that could tank the whole crypto market.
So today, I’m breaking down every aspect of the biggest crypto scam no one knows about.
I’ve got a hot one for you today: a reopening trade.
Leisure and travel companies have been taking an incredible beating as news of Omicron circulates. But I’ve gone on the record to say that the COVID-killing pill could turn the industry around.
And the company I’m recommending today won’t just benefit from the likes of Pfizer or Merck. It has its own prospects and a crowd of Redditors behind it – and we all know what that means for the short term…
Dec 06, 2021
The meta-verse isn’t even close to being fully realized, but it’s already dishing up profits for companies that provide critical infrastructure to make its virtual world a reality.
Meta Platforms (FB) has already invested more than $16 billion in building and operating 18 Facebook cloud campuses in the US. It expects to invest as much as $34 billion as it retools its data centers and networks for the demands of a globally-distributed virtual world.
The FB numbers are big, that’s for sure, but they’re only part of the global data center demand story. Companies all around the world are moving operations into the cloud. As a result, global data center infrastructure spending will climb to $200 billion in 2021.
That’s a solid tailwind for companies that support data center buildouts.
Even with all that investment, the metaverse won’t ever be widely adopted if global networks aren’t fast enough to keep the user experience exciting. Today, even the most popular communal gaming experiences are limited by how many users can join and play at any given time, in part, because of network limitations.
That means the metaverse will need significantly faster global networks to meet its potential.
Which is exactly what I’m watching this week.
Dec 03, 2021
“It’s the supply chain, stupid.”
- My open note to U.S. Fed Chair Jay Powell.
I never bought into the whole “inflation-is-transitory” call by the U.S. Federal Reserve.
I knew that assessment was wrong – dead wrong, in fact. I knew that inflation is actually “structural” (i.e. “sticky”) and here to stay. And I said so … openly – during appearances on Fox Business News and here at Total Wealth Research in my talks with you.
The Jay Powell-headed Fed clearly doesn’t get it.
That’s creating risks to the U.S. economy – huge risks.
But it also creates major trading-and-investing opportunities for us – windfall-magnitude opportunities, in fact.
To reap that windfall, you need to understand both types of inflation – and see the difference.