MarketBeat: Week in Review 4/4 – 4/8

Articles by Sean Sechler                                                                                                                                                                

Part of successful investing means The Federal Reserve was back on the front burner this week. Notes from the recent FOMC meeting suggest the Fed is serious about making a series of aggressive interest rate hikes in the next few quarters. However, as earnings season approaches, investors have other concerns about economic growth. And if earnings disappoint, that will take the wind out of any hope of a sustained rally. The official start of the earnings season is still a week away. However, next week investors will have an opportunity to digest the latest Consumer Price Index (CPI) data and it’s supposed to rise again. There’s never a dull moment when you’re investing in this market. And you can count on the MarketBeat team to watch the stocks and stories that are moving the markets, understanding the difference between price and value. This is true with a “high price” stock that may cost hundreds of dollars for one share. But it’s also true of low-priced stocks. These stocks can be overlooked as being of low quality because of their low price. But Sean Sechler has three socks that are priced under $50 that present a good buying opportunity. Sechler was also looking at three dividend stocks that income-oriented investors should have on their radar in April. And for more speculative investors, Sechler has two biotech stocks to consider. These are companies with strong pipelines in addition to drugs and therapeutics that are already in the market.

Articles by Jea Yu

Jea Yu analyzed two stocks that have been problematic for investors for different reasons. One stock is of El Pollo Loco (NASDAQ:LOCO) which has not been able to enjoy the same recovery as other restaurant chains. But a recent change at the top may bring about a series of initiatives that could help reverse the company’s fortunes. Yu was also looking at Xpeng (NYSE:XPEV). The Chinese electric vehicle manufacturer is facing some geopolitical concerns including a delisting possibility. However, as more attention is being placed on EV stocks, the attractive delivery numbers of Xpeng may serve as a catalyst. One stock that needs no such catalyst is Lululemon (NASDAQ:LULU). The company delivered another stellar earnings report. And as Yu points out the company is raising its guidance in advance of their Analyst Day.

Articles by Thomas Hughes

Earnings season is almost upon us. And that means it’s time for investors to start looking at the companies that are primed to deliver an upside surprise. Not to worry, Thomas Hughes has that covered with his article on three stocks to buy before first-quarter earnings are released. One stock that’s not on that list, but that Hughes believes is a solid buy is Chevron (NYSE:CVX). In addition to generating record profit from higher oil prices, the company has a sustainable dividend that is likely to move higher. Hughes was less bullish on Lamb Weston (NYSE:LW) despite its recent price movement. Hughes points out that ongoing headwinds due to inflation and the supply chain raise questions about the sustainability of higher margins.

Articles by Sam Quirke

Quality stocks don’t suddenly turn into bad stocks. That summarizes the lesson that Sam Quirke has for investors who are looking at Apple (NASDAQ:AAPL) stock. Like nearly every tech stock, AAPL stock was caught in the flight to safety. However, as that sentiment is changing, so are the fortunes of this FAANG stock. And Quirke details why it might be time for investors to jump back in. A different story is playing out with Netflix (NASDAQ:NFLX). The streaming giant had a disastrous earnings report in January and the stock was punished as a result.  However, if the company can post better-than-expected numbers in its upcoming earnings report, NFLX stock may be ready to improve on already impressive recent gains.

Articles by Melissa Brock

The home improvement sector was one of the key growth stories during the pandemic. And while the housing market itself may be showing signs of cooling off, Melissa Brock cites data that shows why the home improvement boom may still have legs. With that in mind, Brock gives investors three home improvement stocks to buy now. Another sector that still appears to have legs (or wheels) in a post-pandemic summer is that of recreational vehicles. The industry posted record deliveries in 2021 and with many companies still showing backlogs, recreational vehicle stocks may still have some run. Brock was also writing about sin stocks. Some investors may write these stocks off on principal, but Brock points out that these are typically among the best defensive stocks because their products and services are always in demand.