Market Continues “Euphoric” Advance As 3500 Becomes Next Target

However, during that same 5-year period, Apple’s share price has risen by 210%.

APPL Earnings Chart

APPL Daily Chart

So why do we still own Apple? Because “fundamentals don’t matter” currently as the momentum chase, fueled by the Fed’s ongoing liquidity interventions, has led to a “runaway train.” But, understanding that eventually fundamentals will matter, is why we have taken profits out of our position twice since January 2019.

The only reason Apple “appears” to be cheap is because of the massive infusion of capital used to reduce the number of shares outstanding. As a business, it is a great company, but it is a fully mature company, which is struggling to grow revenues. With a P/E of 27 and price-to-sales (P/S) ratio of 5.36, investors are grossly overpaying for the earnings growth and will likely be disappointed with future return prospects.

Just remember, “price is what you pay, value is what you get.”

Next Stop, 3500

As noted last week, in July of 2019, we laid out our prognostication the S&P 500 could reach 3300 amid a market melt-up though the end of the year. On Friday, the S&P 500 closed at 3329, with the pushing toward 29,350.

With the Federal Reserve continuing to pump liquidity into the market currently, we are raising our 2020 estimate for the S&P to 3500 as “the mania” goes mainstream. There is absolutely NO FUNDAMENTAL basis for raising the target; it is ONLY a function of the momentum chase.

This urgency to take on “risk,” as investors pile into “passive indexes” under a “no market risk” assumption, can be seen in the extreme lows of the put/call ratio.

Put Call Chart

With the Federal Reserve’s ongoing “Not QE,”

Read More Here...

Average folks optimistic on economy as stock market goes gangbusters

In trying to read the tea leaves of American sentiment, a pair of recent surveys have uncovered — wait for it — optimism.

The stock market is going gangbusters in 2020, and for those invested, the record highs attained by the Dow, S&P 500 and Nasdaq have brought welcome gains.

In the Allianz Quarterly Market Perceptions Study released last week, concerns about a recession or an impending crash were at their lowest levels since 2018.

Allianz Life, which conducts the online survey, found in the fourth quarter of 2019 that 43% of Americans were worried a recession was right around the corner (down from 50% in the third quarter and 44% in 2018).

And 39% said they were worried a market crash was on the horizon (down from 48% in Q3, and 42% in 2018).

Despite the relative calm, said Kelly LaVigne, Allianz Life VP of consumer insights, “The number of people who say now is a good time to invest in the market continues to decrease.”

Some may think the market is too high, or they just don’t want to jump in and put their savings and retirement at risk if things go south, LaVigne said.

About 43% of Americans think their financial situation will get better in 2020, according to last week’s Financial Outlook Survey from Bankrate, which found “optimism is running high.”

“A lot of it is rooted in the fact that unemployment is at a 50-year low, people are working and making more money and consumer spending has been solid,” said Greg McBride, Bankrate’s chief financial analyst.

About 41% of the lowest-income households in the survey (less than $30,000) expected their finances to improve, Bankrate said, ranging up to 49% for highest-income households (more than $80,000).

Share this:

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...

Barron's Picks And Pans: Apple, Boeing, Disney, Tesla And More

This weekend’s Barron’s cover story explains why Dow 30,000 is just the start.

Other featured articles offer a close look at stock picks from some Barron’s Roundtable panelists.

Also, the prospects for pharma and biotech stocks under fire and a struggling aerospace and defense giant.

Cover story “The Method Behind the Melt-Up: Why the Dow Won’t Stop at 30,000” by Ben Levisohn shares why, as investors reach for yield again and with Dow 30,000 in sight, stocks still have room to run. Does that include the likes of Goldman Sachs Group Inc (NYSE: GS) and Microsoft Corporation (NASDAQ: MSFT)?

Barron’s Roundtable panelist Rupal Bhansali’s makes a case that Apple Inc. (NYSE: AAPL) is disadvantaged on many fronts and trying to play catch-up in “Time to Short Apple, Says Rupal Bhansali. Yes, Short Apple.

In “Disney Stock Looks Attractive for the Next 10 Years, Bill Priest Says,” Barron’s Roundtable panelist William Priest says that by focusing on creative talent and shared infrastructure, Walt Disney Co (NYSE: DIS) can make a meaningful transition.

Spotify Technology SA (NYSE: SPOT) had more than 100 million premium subscribers last year and is outcompeting Apple, according to “Tesla and Spotify Stock Could Soar Tenfold, James Anderson Says” by James Anderson. See why this Barron’s Roundtable panelist likes Tesla Inc (NASDAQ: TSLA) as well.

In Meryl Witmer’s “Bed Bath & Beyond is Ready to Rally Under a New CEO, Meryl Witmer Says,” find out why this Barron’s Roundtable panelist says Bed Bath & Beyond Inc. (NASDAQ: BBBY) will not be an overnight success, but the new CEO can build a strong omnichannel retailer.

See also: AMD Poaches Intel Executive To Spearhead Server Business

Redfin’s Stock Could More Than Double, Says Henry Ellenbogen” by Barron’s Roundtable panelist Henry Ellenbogen points out that the average Redfin Corp (NASDAQ: RDFN)

Read More Here...