Seeking out great stocks to buy is important, but identifying quality investments is only half the battle. Many would say it’s just as essential for investors to know which stocks to steer clear of. A losing stock can eat away at your precious long-term returns. By taking a proactive approach to avoiding losing stocks, you can set yourself up for greater success in your investing journey.
Even the best gardens need pruning and our team has spotted a few stocks that seem like prime candidates for selling or avoiding. Read on to find out why we believe these particular stocks are poor investment choices and learn how to apply our analysis to your own portfolio management strategy…
US Dollar Replaced By “Biden Bucks”?
A former advisor to the CIA and Pentagon now believes President Biden plans to retire the US dollar we know.
And replace it with what he calls “Biden Bucks”. It is underway.
On March 9, Biden signed Executive Order 14067, which could pave the way for Biden Bucks.
[Click to see how to save your investment and retirement accounts >>>]
Black Hills Corporation (BKH)
Natural gas producer Black Hills Corporation reset its growth outlook lower after reporting disappointing Q4 results, slashing its 2023 EPS view to $3.65-$3.85 from $4.00-$4.20. The revision was driven by a rapid shift in macroeconomic factors, including elevated natural gas price volatility and higher natural gas demand driven by winter storm Elliot in December 2022. With elevated natural gas price volatility, higher interest rates, and general inflationary pressures forecasted through 2024, Black Hills is only expected to grow earnings by 1% in 2023, 2% in 2024, and 4% in 2025.
Summit Materials (SUM)
Summit Materials has struggled to show consistent growth since its 2015 initial public offering. Over the last eight years, the vast majority of the company’s growth has come from acquisitions, with only 2.9% of its growth coming from organic revenue expansion. Between 2015 and 2022, the company spent more than $1 billion buying other construction material companies, taking on debt to do so. This strategy has weighed on Summit Materials’ balance sheet and share price.
Unfortunately, construction materials isn’t a great business to be in, especially with your average U.S. mortgage rate now above 6% in a cooling market. Investors would be wise to steer clear of this homebuilder stock.
Millionaire Trader Demonstrates: “The Perfect Trade”
For over 36 years, I have shown tens of thousands of ordinary Americans how to radically change their financial future.
And in just ten seconds, I’ll demonstrate a powerful (yet simple) strategy anyone can use to collect gains of 373% gains in just 8 days –in bullish AND bearish conditions.
You don’t need trading experience… and you can get started with $100 or less.
I’ve agreed to an interview, where I’ll demonstrate this trade live –you’ll see exactly how it led to triple-digit gains over 48 timesand double-digit gains over 81 different times.[Click here to watch…]
Funko Inc. (FNKO)
Last month, pop culture consumer products company Funko, Inc. announced a set of leadership changes, including a C-suite management shakeup, a COO role creation, and the introduction of an execution consultant following several missteps over the last two quarters. The changeover in management could take several quarters to reset and could present challenges in building investor confidence. FNKO shares currently trade at a premium to its historical averages and near the high end of its relative valuation range versus the S&P 500. The stock’s rich valuation seems unwarranted, considering the high degree of execution risk.
You might also like:
- China to attack the Dollar on Jan. 6?
- Federal Reserve predicts 24,290% from here
- Buy this AI Stock before January 1
- Congress Just Fast-tracked New A.I. Energy Breakthrough
- Elon Musk: THIS will be bigger than Tesla
- The Cold, Hard Truth About A.I. Stocks
- EV charging stations that pay you up to $93/day!
- Legendary Wall Street Stock-Picker Names #1 A.I. Stock of 2023, Live On-Camera
- Missed NVIDIA? Don’t Miss This ‘Great $2 AI Moonshot’ Opportunity
- No 1 Stock to Buy ASAP