In this edition, setback shouldn't hold back inflation progress; Charter's future quarters look promising; a mixed bag for Roku; and CyberAgent, Keppel REIT, and Melexis.

In this edition, Fair Isaac's upside fair; Initiating Coverage of GE Vernova; and US cable valuations have tumbled perhaps more than deserved; and Marvell Technology, Tilray Brands, and Yum China.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

How High Is Up?

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

This pick list highlights constituents of the Morningstar US Large Cap Index that we believe offer investors the best risk-adjusted return prospects. Stocks of large-cap companies where neither growth nor value characteristics predominate. Stocks in the top 70% of the capitalization of the U.S. equity market are defined as large cap.

For a second week, insider-transaction data from Vickers Stock Research is generating bullish signals. Last week, insider-transaction volume was low as trading restrictions are in place during earnings season. But trades that did occur resulted in bullish insider-sentiment measures, especially open-market transactions (the most meaningful when considering sentiment).

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Earnings Fading, but Investors Don't Seem to Care

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

In this edition, Malibu's shares look titanic, how to navigate the ESG landscape in 2023, pizza, restaurant margins under pressure, and Microsoft, Charter Communications and Roper Technologies.

Stocks rose on Tuesday morning following more signs of cooling inflation. The Labor Department said that its producer price index rose 8.0% from the prior year in October, down from 8.4% growth in September and below the Bloomberg consensus forecast of 8.3%. On the earnings front, Walmart and Home Depot both rose after reporting better-than-expected sales and earnings. The Dow rose 0.7%, the S&P 1.3%, and the Nasdaq 2.2%. Crude oil fell slightly to $85 per barrel, while gold fell $2 to $1775 per ounce.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Stocks fell sharply in 3Q 2022, with the S&P 500 down more than 5.2% for the period after a 9% decline in September. Year to date, the index is down 25% and in a bear market. Growth stocks have again been the weakest performers, as sectors such as Technology, Communication Services, and Consumer Discretionary have all lagged the major market indices. The leading sectors were value-oriented, including Utilities, Energy, and Consumer Staples. The average stock in the Argus Universe of Coverage declined 5.6% during the quarter, and the median stock declined 6.9%. The average BUY-rated stock dropped 5.0%, while the average HOLD-rated stock fell 7.1%. Will investors continue to favor value in 4Q22? Will high inflation drive continued outperformance in Energy? Given interest rates that are on the rise, we are thinking 2022 may be the one-in-five years that value leads growth for the full year. Investors seeking value are encouraged to focus on dividends and look for yields in the 3%-4% range. Regarding sectors, our current Over-Weights are Energy, Healthcare, Industrials, and Materials.

In late May, we noted that the proprietary sell/buy ratios from Vickers Stock Research were becoming increasingly bullish after a very difficult start for stocks in 2022. We made comparisons to past such events, concluding that history suggested stock prices might well rise significantly over the next three months. Major indices moved still lower over the next few weeks, while Vickers' sell/buy ratios became increasingly bullish. Stocks seemingly bottomed (we hope) in mid-June.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Looking for Calm and Signs the Fed Strategy is Working

Looking for Calm and Signs the Fed Strategy is Working

Stocks fell on Thursday morning following more signs of accelerating inflation. The Labor Department said that U.S. consumer prices rose at a 7.5% annualized rate in January, up from 7.0% in December. The reading exceeded the Bloomberg consensus forecast of 7.3% and was the highest since 1982. The core CPI excluding food and energy rose an annualized 6.0%, up from 5.5% in December. The Dow fell 0.2%, the S&P 0.3%, and the Nasdaq 0.3%. Crude oil rose more than 2% to $92 per barrel, while gold rose $5 to $1841 per ounce.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are Laboratory Corp. Of America Hl (LH); AECOM (ACM); Lazard Ltd. (LAZ); Netflix Inc (NFLX) and the Focus List deletions are Charter Communications Inc. (CHTR); General Dynamics Corp. (GD); Raymond James Financial, Inc. (RJF); Silk Road Medical Inc (SILK).

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Stocks fell on Tuesday morning, pulling back from new record highs on Monday amid more signs of persistent inflation. The Labor Department said that its producer price index for final demand rose 0.6% in October, up from 0.5% in September and in line with the Reuters consensus forecast. GE shares rose 4% after the company announced that it would split into three new publicly traded firms focused on healthcare, energy, and aviation. The Dow fell 0.6%, the S&P 0.5%, and the Nasdaq 0.5%. Crude oil traded near $83 per barrel, while gold fell $2 to $1826 per ounce.

Stock prices, as expressed by the S&P 500, are near all-time highs. On earnings that are still recovering, stocks are well above fair value, which our model pegs at closer to 3,800. Our stock market valuation model takes into account factors such as stock prices, five-year normalized earnings (three historical years, two forward-looking), GDP, inflation, and T-bond and T-bill yields. We note that stocks rarely trade right at fair value. Since 1960, on average, the index has traded at a tight 2% above fair value, but the standard deviation to the mean is 16%. As such, we normally expect the S&P 500 to trade between 14% undervalued and 18% overvalued. At current prices, the stock market is almost 50% above fair value, implying that investors may be overly optimistic about equities in the coming months. Though we are still bullish on the economy, earnings, and low interest rates, we'd feel better about the longer-term outlook for stocks if valuations were not so stretched. Several factors could improve valuations: a pullback in stock prices (which has occurred thus far in September), perhaps related to fears of inflation or new COVID-19 variants; lower bond yields; or better earnings, which we do expect to see in upcoming quarters.

Argus has published its latest Portfolio Selector, which features its popular Focus List. Each month, Director of Research Jim Kelleher, CFA, surveys the team of Argus Research industry analysts for their timeliest recommendations out of the company's fundamental universe of approximately 500 stocks. The Focus List typically includes 30 stocks: turnover is high, as Director of Research Kelleher typically adds three or four new stocks per month. Below are the latest additions, all of which are rated BUY at Argus.

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are Tyson Foods, Inc. (TSN); Charter Communications Inc. (CHTR); Williams-Sonoma, Inc. (WSM); Cloudflare Inc (NET) and the Focus List deletions are Sanmina Corp (SANM); EBay Inc. (EBAY); Coca-Cola Co (KO); Pinterest Inc (PINS).

Year-to-date sector leadership remains with the rotation favorites of early 2021. With the long bond spiking from 0.9% at year-end 2020 to 1.75% by the end of the first quarter, growth favorites retreated. But investors wanted to remain invested in equities in a reopening economy, and rotational favorites filled the void.

Stocks fell again on Tuesday on continued inflation fears. The yield on the 10-year Treasury rose to more than 1.62%. On the employment front, the Labor Department's Job Openings and Labor Turnover Survey (JOLTS) showed that U.S. job openings rose by 597,000 to a record 8.1 million as of March 31. The data again highlighted the tight labor market for companies seeking to fill jobs in a recovering economy, and the potential impact of government stimulus programs in limiting the supply of workers. The Dow fell 1.3%, the S&P 0.9%, and the Nasdaq 0.1%. Crude oil traded near $65 per barrel, while gold rose $1 to $1838 per ounce.

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are Sanmina Corp (SANM); D.R. Horton Inc. (DHI); T-Mobile US Inc (TMUS); American Electric Power Co Inc (AEP) and the Focus List deletions are Charter Communications Inc. (CHTR); Kroger Co. (KR); NextEra Energy Inc (NEE); Palo Alto Networks Inc (PANW).

Last week, we noted that insider-sentiment data from Vickers Stock Research turned benign after two weeks of intensely bearish readings. During those two dark weeks, the big financial-press headlines (though certainly not the only headlines) focused on the GameStop short squeeze and fears of a broader market meltdown. Trading action saw the Dow Jones Industrial Average fall to a weekly close of 29,982 from 31,097 only a few weeks earlier.

COVID-19 and Election Uncertainty: Our Monthly Survey of the Economy, Interest Rates, and Markets

Our rating on the Communication Services sector is Over-Weight. While existing pressures on the sector continue, including assaults by regulators on social media companies and intense competition among telecom companies, these concerns have been superseded by COVID-19. In this "barbell" sector, telco giants Verizon and AT&T are now apparent islands of relative stability and secure income. Simultaneously, internet giants Alphabet and Facebook are acting as forums for community concerns about the coronavirus. The style mix of the sector is approximately one-third "value" and two-thirds "growth." The adjusted pro-forma beta is approximately 1.0 (like the old Telecoms), while the yield is 0.9% (reflecting the impact of Google and Facebook). The smoothed growth rate is 7% and the P/E ratio is 21-times. The sector accounts for 11% of the S&P 500. We think investors should consider allocating 12%- 14% of their diversified Portfolios to the sector. Here are some of our top picks.

The S&P 500 opened the second full trading week of August with a slight push higher to the 3,355 range. That left the index less than one percentage point below its all-time closing high of 3.386.15, set on 2/19/20. At that time, COVID-19 was a worsening concern, not the overwhelming global catastrophe that it has become.

The S&P 500 opened the second full trading week of August with a slight push higher to the 3,355 range. That left the index less than one percentage point below its all-time closing high of 3.386.15, set on 2/19/20. At that time, COVID-19 was a worsening concern, not the overwhelming global catastrophe that it has become.

The S&P 500 closed Friday in the 3,350s, within 1% of its all-time closing high of 3,386.15. That high was set on 2/19/20, when COVID-19 was still largely a vague concern and not the overwhelming global catastrophe it is now. The market has continued rallying in August, rising by 2.6% in the month to date in what is normally a poor month for the S&P 500.

The S&P 500 closed Friday in the 3,350s, within 1% of its all-time closing high of 3,386.15. That high was set on 2/19/20, when COVID-19 was still largely a vague concern and not the overwhelming global catastrophe it is now. The market has continued rallying in August, rising by 2.6% in the month to date in what is normally a poor month for the S&P 500.

Argus has published its latest Portfolio Selector, which features its popular Focus List. Each month, Director of Research Jim Kelleher, CFA, surveys the team of Argus Research industry analysts for their timeliest recommendations out of the company's fundamental universe of approximately 500 stocks. The Focus List typically includes 30 stocks: turnover is high, as Director of Research Kelleher typically adds three or four new stocks per month. Performance information on the Focus List picks is available in our bi-annual Argus Performance Review.

Argus has published its latest Portfolio Selector, which features its popular Focus List. Each month, Director of Research Jim Kelleher, CFA, surveys the team of Argus Research industry analysts for their timeliest recommendations out of the company's fundamental universe of approximately 500 stocks. The Focus List typically includes 30 stocks: turnover is high, as Director of Research Kelleher typically adds three or four new stocks per month. Performance information on the Focus List picks is available in our bi-annual Argus Performance Review.

Stocks recovered from early losses on Thursday, finishing higher despite more dismal employment data. First-time jobless claims totaled 2.981 million for the week ended May 9, down from the prior week but above the Reuters consensus of 2.5 million. The new data raised the number of people filing for benefits to 36.5 million since mid-March. Rick Bright, a former top U.S. health official, told a House panel that the U.S. would face its 'darkest winter in modern history' if it did not improve its response to the pandemic. The Dow rose 1.62%, the S&P 1.15%, and the Nasdaq 0.91%. Crude oil rose 9% to more than $27 per barrel, while gold rose $23 to $1739 per ounce.

Stocks recovered from early losses on Thursday, finishing higher despite more dismal employment data. First-time jobless claims totaled 2.981 million for the week ended May 9, down from the prior week but above the Reuters consensus of 2.5 million. The new data raised the number of people filing for benefits to 36.5 million since mid-March. Rick Bright, a former top U.S. health official, told a House panel that the U.S. would face its 'darkest winter in modern history' if it did not improve its response to the pandemic. The Dow rose 1.62%, the S&P 1.15%, and the Nasdaq 0.91%. Crude oil rose 9% to more than $27 per barrel, while gold rose $23 to $1739 per ounce.

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are ServiceNow Inc (NOW); Wayfair Inc (W); Charter Communications Inc. (CHTR); Bio-Techne Corp (TECH) and the Focus List deletions are HCA Healthcare Inc (HCA); TEGNA Inc (TGNA); TJX Companies, Inc. (TJX); Wells Fargo & Co. (WFC).

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are ServiceNow Inc (NOW); Wayfair Inc (W); Charter Communications Inc. (CHTR); Bio-Techne Corp (TECH) and the Focus List deletions are HCA Healthcare Inc (HCA); TEGNA Inc (TGNA); TJX Companies, Inc. (TJX); Wells Fargo & Co. (WFC).