Assurant and Nielsen Holdings Rose on October 18
Assurant (AIZ), a global provider of risk management products and services, was one of the S&P 500’s top gainers on October 18, 2017.
IBM was the S&P 500’s top gainer on October 18. IBM rose almost 10% on Wednesday amid its 3Q17 earnings report and strong revenue growth forecast.
The S&P 500 started this week on a stronger note following the fifth consecutive weekly gain. It continued to move higher on Wednesday.
What Analysts Suggest after Charles Schwab’s 3Q17 Earnings
Charles Schwab (SCHW) is being analyzed by 19 analysts in October 2017. Eight of them have given it a “strong buy” rating, and five have rated it a “hold.”
Charles Schwab (SCHW) has a PB (price-to-book) ratio of 3.20x on a next 12-month (or NTM) basis. Its competitors’ average PB ratio on an NTM basis is 1.13x.
In 3Q17, Charles Schwab (SCHW) incurred total expenses (excluding interest) of $1.2 billion compared to $1.1 billion in 3Q16, reflecting a 9.0% rise.
KeyCorp’s Valuation Is Close to Industry Average
KeyCorp’s valuation looks slightly overvalued compared to KBE. However, it’s undervalued compared to KRE, the regional banking ETF.
KeyCorp is a large regional bank with about $94 billion in assets. It competes with JP Morgan (JPM) and Bank of America (BAC) in various service segments.
KeyCorp (KEY) is represented in key ETFs focused on the banking sector. The SPDR S&P Bank ETF (KBE) has KeyCorp comprising ~1.7% of its portfolio.
How Bank of America’s Valuation Compares
Bank of America (BAC) stock has risen 15.6% over the past six months and 60.1% over the past year, mainly due to improved operating performance supported by credit offtake, rising efficiency, and…
Due to its strong diversified performance and balance sheet strengthening, Bank of America (BAC) has seen a steep rise in its stock price, and continues to hold the most “buy” ratings among…
In 3Q17, Bank of America’s (BAC) non-interest expenses fell sequentially and YoY (year-over-year), reflecting strong operating efficiency. This fall was partially offset by continued investments in technology. The bank’s expenses fell to $13.1 billion…
Getting the Balance Right
So what’s the ideal construction? Would maintaining a simple 50/50 split between risk-reducing and return-seeking assets do the trick?
In October 2017, Discover Financial Services (DFS) is being covered by 24 analysts. Of those, only one analyst has rated DFS a “strong sell,” and none of them have given it a “sell” rating.
Discover Financial Services’ (DFS) banking services have been ranked second in terms of customer satisfaction, according to a survey conducted by J.D. Power in August 2017.
Why PNC Financial Has Been Pricing at a Premium
PNC Financial (PNC) successfully diversified its banking operations by extending offerings in asset management, consumer services, and investment banking.
In 1Q15, PNC Financial bought back 4.4 million common shares worth $0.4 billion. The purchase was part of its four-quarter repurchase program.
PNC Financial’s non-interest income declined by 10% compared to the previous quarter—mainly due to higher fourth quarter gains on asset dispositions.
CME Returned $1.6 Billion in 2015: What About Dividends?
CME Group (CME) has returned more than $5.6 billion to shareholders in the form of dividends since the variable dividend policy in 2012. In 2015, CME declared dividends of $1.6 billion.
CME Group (CME) recorded average daily volumes of 18.2 million in January 2016. This compares to average daily volumes of 13.2 million in 4Q15.
CME Group’s (CME) operations outside the United States are expanding at a good pace. Volumes are impressive as CME leverages investments in global headcount, partnerships, and product development.
Why LSE Stock Has Outperformed over the Years
VanEck London Stock Exchange Group (LSE LN) has undergone a major transformation in the past five years and has evolved from a small to a top player among exchanges. London…
VanEck Visa (V US) is a great example of how the network effect creates powerful competitive advantages for companies in the electronic payments industry. Visa (V US) dominates the global…
Currently, in the industry, there has been sizable growth within recent years. Over the past five years, ETF AUM have grown in the US alone from $1.2 trillion to almost $3 trillion and the growth appears to be accelerating.
The Bond Holy Grail: More Income, Less Risk
And bonds are extraordinarily good at generating income. As Display 4 shows, bond returns come from two places—capital appreciation and coupon income.
Chubb Limited (CB) reported revenue per share of $68.96 on a trailing-12-month (or TTM) basis.
Chubb Limited’s (CB) Global Reinsurance division reported income of $227.0 million compared to $218.0 million in 1H16.
Why the Importance of ESG Investing Has Grown over the Years
In this series, we’ll be looking at the dividend yield of some of the ESG-compliant stocks that have been chosen based on their holdings in the iShares MSCI USA ESG Select ETF (SUSA).
In this series, we’ll look at 11 S&P 500 companies offering high dividend yields.
Consumer Staples Select Index sales, earnings, and dividends have grown at a CAGR[1. Compound annual growth rate] of 2.3%, 2.9%, and 7.4%, respectively, between 2012 and 2017.
Is It the Time for Baby Boomers to Put Retirement Assets at Risk?
At the top of every equity market cycle, some prognosticator invariably claims “this time it’s different,” helping foster pro-risk behavior and a false sense of security at precisely the wrong time.
What’s harder than getting your clients who are reluctant to save to have the discipline to regularly contribute to their investment portfolio?
“Computer power is growing significantly, algorithms are becoming more sophisticated, and, perhaps most important of all, the world is generating vast quantities of fuel that powers AI—data.”