Check out this stock chart. This is the part where a financial writer would normally make some kind of half-hearted analogy to a roller coaster ride. It would certainly be fitting in this case, not only because of the stock’s stomach-churning ups and downs, but also because it belongs to none other than Six Flags (NYSE: SIX).  —Recommended Link— A stock that yields 67% a year? Really? If you’re happy with stocks yielding you 4% or 5% a year, you don’t need this. But if you want to see how we built a portfolio that now… Read More

Check out this stock chart. This is the part where a financial writer would normally make some kind of half-hearted analogy to a roller coaster ride. It would certainly be fitting in this case, not only because of the stock’s stomach-churning ups and downs, but also because it belongs to none other than Six Flags (NYSE: SIX).  —Recommended Link— A stock that yields 67% a year? Really? If you’re happy with stocks yielding you 4% or 5% a year, you don’t need this. But if you want to see how we built a portfolio that now pays us a 67% cash on cash return – with no leverage, options, or gimmicks — then go here ASAP. Six Flags knows a thing or two about adrenaline-inducing rides. It has constantly raised the entertainment bar over the years, introducing thrilling attractions such as Goliath, the world’s fastest and steepest wooden coaster, and Zumanjaro, the world’s tallest drop ride (41 stories at 90 mph). It has even just given us the first looping virtual reality coaster.  As the world’s largest regional theme park owner, Six Flags operates 145 roller coasters (925 total rides) that delight… Read More

It feels a little like we’re in the Twilight Zone. It’s as if two economic realities exist at the same time. To understand what I mean, consider the backdrop in light of the Federal Reserve’s recent interest rate cut. Sure, there are some potential things to be worried about, like recent manufacturing data. Or the trade war. But unemployment is at a 50-year low and stocks are making all-time highs. Meanwhile, I can still take out a new mortgage for the same rate I did in 2012. Curious indeed. To make sense of all this, I turned to… Read More

It feels a little like we’re in the Twilight Zone. It’s as if two economic realities exist at the same time. To understand what I mean, consider the backdrop in light of the Federal Reserve’s recent interest rate cut. Sure, there are some potential things to be worried about, like recent manufacturing data. Or the trade war. But unemployment is at a 50-year low and stocks are making all-time highs. Meanwhile, I can still take out a new mortgage for the same rate I did in 2012. Curious indeed. To make sense of all this, I turned to StreetAuthority’s resident income expert, Nathan Slaughter. I consider Nathan to be the dean of StreetAuthority analysts. That’s because he’s been researching, writing, and delivering picks to readers since 2004. For the past six years, Nathan has been at the helm of High-Yield Investing, one of StreetAuthority’s most popular newsletters. Prior to joining StreetAuthority, Nathan spent some time as a financial planner and wealth management advisor. He’s covered a lot of investment ground here over the past 15 years, from commodities to micro-caps. But most of his time has been spent in the pursuit of quality income-paying stocks and securities. If… Read More

And just like that, the S&P 500 is back to hitting new all-time highs. This is happening thanks in large part to an accommodative Federal Reserve, who for the third time this year cut interest rates by 25 basis points on October 30. The benchmark federal funds rate now sits at 1.5% to 1.75%. #-ad_banner-#Also helping is the fact that the trade war with China has simmered. In fact, it looks like we may get a Phase 1 agreement soon. (Although I wouldn’t hold my breath. This is far from over.) And finally, third-quarter earnings have been better than expected… Read More

And just like that, the S&P 500 is back to hitting new all-time highs. This is happening thanks in large part to an accommodative Federal Reserve, who for the third time this year cut interest rates by 25 basis points on October 30. The benchmark federal funds rate now sits at 1.5% to 1.75%. #-ad_banner-#Also helping is the fact that the trade war with China has simmered. In fact, it looks like we may get a Phase 1 agreement soon. (Although I wouldn’t hold my breath. This is far from over.) And finally, third-quarter earnings have been better than expected — granted the bar was set pretty low. Going into earnings season, analysts believed that earnings for companies in the S&P 500 were set to decline 4% compared to the same period a year ago. It would have marked the first time the index reported three straight quarters of year-over-year earnings decline since Q4 2015 through Q2 2016. With more than 71% of the companies in the S&P 500 reporting actual results, 76% have reported a positive earnings surprise. As it sits now, the earnings decline is -2.7%. That’s not only better than the -4% that was expected, but it’s… Read More

The big story last week was the Federal Reserve. The Fed meets every six weeks, and, for the third consecutive meeting, they cut rates. That’s the story. As investors, we need to dig behind the story and look at why the Fed cut rates. Interest rates are one of the Fed’s most important policy tools. They use interest rates to fine tune economic growth. This is based on the theory that excessive growth causes inflation while slow growth creates unemployment. In theory, the Fed tries to ensure interest rates are just right so that we see growth without high inflation… Read More

The big story last week was the Federal Reserve. The Fed meets every six weeks, and, for the third consecutive meeting, they cut rates. That’s the story. As investors, we need to dig behind the story and look at why the Fed cut rates. Interest rates are one of the Fed’s most important policy tools. They use interest rates to fine tune economic growth. This is based on the theory that excessive growth causes inflation while slow growth creates unemployment. In theory, the Fed tries to ensure interest rates are just right so that we see growth without high inflation or unemployment. Cutting rates generally means inflation is low and unemployment is rising. It’s the kind of situation we see before a recession. But this time is different. —Recommended Link— The safest stocks in America Like any other investor, I try to buy low and sell high… but the BIG difference with me is that I buy just one kind of stock. They sell a product that 152 million customers are virtually addicted to. And the kicker is: they are the only type of stocks mandated by law to make a profit. Read More

I enjoy warm weather as much as the next person. But during the end of August when temperatures are hitting the high 90s and low 100s, I get tired of it… quickly. I yearn for the crisp mornings of fall and the changing of the leaves.  This year at home in the Northwest, however, it seems we skipped fall and jumped right into winter. We’ve already had snow and below-freezing temperatures. In fact, temperatures over the last month have been significantly below average.  Some might point towards El Nino or La Nina bringing about the onslaught of cold. But according… Read More

I enjoy warm weather as much as the next person. But during the end of August when temperatures are hitting the high 90s and low 100s, I get tired of it… quickly. I yearn for the crisp mornings of fall and the changing of the leaves.  This year at home in the Northwest, however, it seems we skipped fall and jumped right into winter. We’ve already had snow and below-freezing temperatures. In fact, temperatures over the last month have been significantly below average.  Some might point towards El Nino or La Nina bringing about the onslaught of cold. But according to the National Weather Service, there’s about an 85% chance that neither will be present this year. But regardless of the reasoning behind the weather events, the cold and snow reminds me to check in with some of my favorite “winter” stocks. You see, colder temperatures also bring the possibility of thicker profits for many companies that rely heavily on seasonal trends. For instance, many utility companies that provide natural gas or electricity for folks can see a spike in profits if it’s an exceptionally cold winter.  I’ve highlighted a few other companies that benefit from a cold and snowy… Read More

Among Warren Buffett’s biggest all-time winners is Coca-Cola (NYSE: KO).   Buffett owns 400 million shares of the stock, and paid a split-adjusted average price of less than $3.25 a share. Today, that stake in KO is worth about $20 billion, which means Buffett has made nearly than 1,500% on his investment. That’s truly remarkable. And Buffett obviously made a great decision when he bought KO. You probably know most of that part of the story, but what you may not know is that Buffett still fought to get the best price possible on his buy. In fact, in at least one case,… Read More

Among Warren Buffett’s biggest all-time winners is Coca-Cola (NYSE: KO).   Buffett owns 400 million shares of the stock, and paid a split-adjusted average price of less than $3.25 a share. Today, that stake in KO is worth about $20 billion, which means Buffett has made nearly than 1,500% on his investment. That’s truly remarkable. And Buffett obviously made a great decision when he bought KO. You probably know most of that part of the story, but what you may not know is that Buffett still fought to get the best price possible on his buy. In fact, in at least one case, the “king of buy-and-hold” sold put options to help him get the share price he wanted… —Recommended Link— Wharton Economist Reveals Fatal 5G Flaw… And The $5 Stock That Can Fix It It’s true… the latest and greatest wireless technology has a devastating problem that could cripple cellular communications worldwide. But one company has developed a fix. Wireless carriers around the globe are throwing billions of dollars their way… boosting the company’s stock price up to 2,247% over the next 12 months. Click here to stake your claim. In 1993, Buffett wanted… Read More

There’s some much-needed good news to report for shareholders of one of America’s most storied companies. Shortly after sealing the $34 billion acquisition of Red Hat back in July, IBM (NYSE: IBM) predicted the open-source software provider would generate $350 million in revenues in its first full post-merger quarter. The actual number: $371 million. That contribution helped third-quarter revenues from Big Blue’s cloud and cognitive software unit rise 6.4% to $5.3 billion. That’s the good news. For those who may not be familiar, the Red Hat acquisition is one of a number of moves Big Blue has made in… Read More

There’s some much-needed good news to report for shareholders of one of America’s most storied companies. Shortly after sealing the $34 billion acquisition of Red Hat back in July, IBM (NYSE: IBM) predicted the open-source software provider would generate $350 million in revenues in its first full post-merger quarter. The actual number: $371 million. That contribution helped third-quarter revenues from Big Blue’s cloud and cognitive software unit rise 6.4% to $5.3 billion. That’s the good news. For those who may not be familiar, the Red Hat acquisition is one of a number of moves Big Blue has made in recent years to remake itself. The bad news: Unfortunately, it wasn’t enough to offset weakness elsewhere, most notably in the core global technology services division. Can Big Blue Finally Turn It Around? Overall sales for the period dipped 4% to $18 billion. That was about $200 million below expectations — and the fifth consecutive quarterly decline. On the positive side, adjusted earnings of $2.68 per share came in ahead of expectations for the 9th straight quarter. But the investment community remains fixated on the persistent top-line slump. This has dogged IBM as the company transitions from legacy mainframe… Read More

Believe it or not, but the first battery came about from the dissection of a frog. In 1780, Luigi Galvani was dissecting a frog affixed to a brass hook. When he touched the frog’s leg with his iron scalpel, the leg twitched. Galvani believed the energy stemmed from the frog and called it “animal electricity.” His friend and physicist Alessandro Volta thought differently. Volta thought the animal electricity was actually a result of two different metals joined together. Volta was right. After much experimentation, he invented the first true battery around 1800, called the Voltaic Pile. The voltaic pile consisted… Read More

Believe it or not, but the first battery came about from the dissection of a frog. In 1780, Luigi Galvani was dissecting a frog affixed to a brass hook. When he touched the frog’s leg with his iron scalpel, the leg twitched. Galvani believed the energy stemmed from the frog and called it “animal electricity.” His friend and physicist Alessandro Volta thought differently. Volta thought the animal electricity was actually a result of two different metals joined together. Volta was right. After much experimentation, he invented the first true battery around 1800, called the Voltaic Pile. The voltaic pile consisted of pairs of copper and zinc discs piled on top of each other, separated by a layer of cloth or cardboard soaked in brine. The device pile produced a continuous stream of electricity, albeit only an hour’s worth at best. Still, it was a major leap forward that launched a rapid evolution in batteries.  Today, alkaline batteries are what you’ll usually find when you purchase a pack of AA or AAA batteries. Alkaline batteries are still in high demand, but there’s been a major shift towards lithium. In fact, we have good reason to believe that lithium batteries are the… Read More