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12.05.2022

Perspective ETFs in the ESG energy segment: Invesco Global Clean Energy Portfolio ETF

This ETF invests in green energy ventures. The pandemic led to a 300% increase of its share price. But since the beginning of 2022 they have lost 30%, twice as much as the S&P 500 SPY ETF. The net capital which has outflown from the Fund has reached $31.5 billion over the last 12 months, while the major outflow was recorded in December 2021. However, its shares are still seen to be overbought as P/E multiplier is at 24 that is well above the average of 20 for the EFT’s that are linked to the S&P 500, while the dividend yields are above PBD’s numbers.

Inflation in the United States is rising negatively affecting all shares with a high P/E ratio. So, we may expect a further decline of the PBD share price and other similar assets that cannot be protected from rising risks. Traditional energies are looking more attractive on this background and could be a perfect hedge asset amidst geopolitical uncertainties.

11.08.2022

Perspective Peers of Ethereum: Avalanche

Avalanche is ranked by Coinmarketcap at the 12^th position by market cap with $7.8 billion, which is 4% less than Ethereum’s market cap. AVAX prices dropped by 82% of its peak values, allowing investors to buy it at early 2021 prices. Avalanche’s infrastructure consists of three logically isolated networks, each of these with their own processing, validators, and own set of rules.

This platform is often compared to the existing internet web infrastructure with core connection protocols like HTTP, surrounded by a huge number of networks to their apps. Avalanche allow for the creation of public and private systems as a blockchain or DAG (Directed Acyclic Graph) and for the use of different virtual machines for apps, including EVM engine (Ethereum Virtual Machine) that allows Enthereum network programs to be developed.

Avalanche includes C-chain to create smart contracts that are processed on an advanced EVM engine, P-Chain that coordinates validators that process transactions and also allows for the creation and management of new subnetworks, and X-Chain which is a directed acyclic graph regulating issuance and trade of cryptoassets. DAG systems record new transactions on top of the old ones, allowing for processing speed to be increased and for capacity substantially. It is quite different to other blockchains, where transactions are compiled in blocks in order to be processed.

The advantage of Avalanche is that it provides anyone with the opportunity to create his or her own isolated blockchain with its own set of parameters, including access to apps and the programming language with which it will work. Every subnetwork can process around 4,500 transactions per second compared to 14 processed by the Ethereum network.

12.04.2024

CarMax Is More Committed to Innovations But Market Conditions Make It Sinking

CarMax (KMX) quarterly report came out on April 11, vividly displaying why any immediate investment into the used car market still sounds like not a good idea. The stock quickly lost ground, wasting a double-digit number of percentage points as a response to its net income drop to $0.32 per share against $0.44 cents per share a year ago, also compared to much stronger $0.52, $0.75 and $1.44 per share in the previous three quarters. Analyst polls estimated a net income per share at about $0.50, which would be 56% better than the reality.

This almost looks like a financial fiasco in the company's efforts to withstand slowing demand in the segment. CarMax Q4 2023 revenue decreased by 1.7% to $5.6 billion, slightly below consensus expectations of $5.8 billion, indicating the lack of gross marginality of the business. This happened even though the total supply of unsold used vehicles on dealer lots grew by 9% YoY to 2.27 million units in March, according to Cox Automotive data. CarMax CEOs delayed their own goal of selling over 2 million units annually, when measuring combined retail and wholesale actions, to between 2026 and 2030, from its prior target of 2026.

A "higher-for-longer" Fed fund rates is demonstrably bad for car sales volumes, be it new generation Tesla cars or just pre-owned vehicles, while operating costs for warehouses are growing. Besides, easing some semiconductor constraints in North America may help marginally improving orders for new cars, leaving used-car sales under the same pressure. Meanwhile, the entrance of Asia players offered significant discounts. Therefore, North American and European operators of the used car market need to sell many great cars at cheaper prices. CarMax already posted its official warning of a potential "hit to profit-sharing revenue" due to inflationary impact to its partners, before last Christmas. "While affordability of used cars remains the challenge for consumers, pricing improved during the quarter," Enrique Mayor-Mora, executive vice president and CFO admitted.

It was only a smaller division of CarMax Auto Finance, which managed to get a 19% better income due to "a lower provision for loan losses" and an increase in average managed receivables. Yet, this was rather news from the side business, which was clearly not enough to be optimistic. The company added that it is now focused on enhancing its omni-channel experience and leveraging data science and automation. Carmax said it delivered "strong retail and wholesale" graphic processors, which helped to increase "used saleable inventory units" more than 10%, but used total inventory units was unchanged despite innovations. The company seeks to achieve efficiency improvements in its core operations, believing that they "are well-positioned to drive growth as the market turns", according to Enrique Mayor-Mora. This may be useful to strengthen competitiveness in better times for the segment. Yet, the current challenges are too heavy to be ignored by market crowds.

16.06.2022

Not Every Tech Stocks are Equally Strong: SAP

SAP stocks have lost 30% since the beginning of 2022. The German tech company develops enterprise software and solutions to manage business operations. For example, one of its services can be used to manage all business travel financial activities and related spending. In other words, it is quite a routine company with a stable and strong cash flow. Once SAP software is installed on a corporate level it is hard to do without it as it is deeply integrated into the business core processes. Moreover, SAP is restructuring its business model around its subscription base and this will allow for cash flows to be even more predictable and balanced through the financial year. Such a model is in favourable to Wall Streel investors.

The war in Ukraine has a 300-million-euro negative effect on SAP business, and it is only a marginal 1% of the overall revenue base for the company, while its dominance in the ERP segment is secure. The revenues added 11% year-on-year to 7.08 euros in Q1 2022. The revenues grew by 6% in Q4 2021.

The company has made some successful M&A deals, acquiring Qualtrics, a cloud-based subscription software platform, that delivered +48% revenue in Q1 2022. This company had a gross margin above 90% in 2021 while SAP’s gross margin was at 70% for the same year.

SAP management promised to triple its cloud-based business by 2025, and boost revenues to 22 billion euros, while operational profit is forecasted to grow by 40% from the current 8.4 billion euros. This is a very extensive growth for the company that has a high P/E ratio at 17. The company may not perform very high growth rates as its younger tech sector peers, but it may certainly recover to new all-time highs in the long-term perspective. However, the sector may require several quarters to recover, and the recovery would be headed by such reliable companies as SAP with a low risk profile.

15.09.2022

Safe Haven Assets for Long-Term Investments: Broadcom

Broadcom is an American semiconductor and infrastructure software development company. Soon it is expected to close a merger deal with VMware, a cloud computing and visualization company, that will open new cross-sales opportunities for Broadcom to boost its revenues. Broadcom stocks are now 25% off their peak values.

According to the Q3 FY 2022 financial report that ended July 31, consolidated revenues grew by 25% year-over-year to $8.46 billion, and EPS went up by 40% to $9.73 per share. The semiconductors segment, that added 32% year-over-year, was the primary driver for the company’s profit. The company’s free cash flows (FCF) topped $4.3 billion, allowing it to spend $1.7 billion on dividends and 1.5 billion on the shares repurchase program. The company is planning to continue spending at least 50% of FCF on dividends that added 43% every year on average since 2016.

According to the Q4 FY 2022 forward guidance, the company is expecting its revenues to go up by 20% year-over-year to $8.9 billion and for EDITDA to go up by 25% to $5.6 billion. Broadcom has great experience in expanding its product portfolio by M&A operations, and apparently it will continue on this way. The company is also expected to benefit greatly from the $52.7 billion CHIPS bill in the United States.

Rafael Quintana Martinez

Money Manager de alto rendimiento, con una sólida formación académica, profesional y de campo. Más de 9 años de experiencia especializada en el comercio de mercados financieros internacionales. La devoción, la fiabilidad, la responsabilidad y la ética impulsan mi vida. Actualmente me desempeño como Analista Senior para Metadoro. https://metadoro.com/es https://mx.investing.com/members/contributors/235587671/ https://es.tradingview.com/chart/EURUSD/rE9gVips/

29.08.2025

Ravencoin Need to Hold above $0.01500 to Confirm Upside Trajectory

Ravencoin (RVN) is losing 5.0% to $0.01234 this week, underperforming the broader crypto market, where Bitcoin (BTC) is down 2.7% to $109,798. The token has been consolidating after a sharp 122% jump to $0.02426 in July, fuelled by its listing on Upbit. However, RVN failed to sustain those levels and has since moved sideways. The current trading range is narrowing, suggesting a potential breakout ahead. Encouragingly, prices have surpassed the downtrend resistance, improving the chances of further upside. To confirm a bullish trajectory, RVN must rise above the $0.01500 resistance. Otherwise, a dip towards $0.01000 remains possible, with recovery potential thereafter.

RVNUSD

1330

Rafael Quintana Martinez

28.08.2025

BTC Is Aiming for $125,000

Bitcoin (BTC) is trading neutrally around $113,037 this week, recovering from a 3.9% decline after prices bottomed at $108,619. The correction followed the new all-time high at $124,544 on August 14, but BTC held well above the key support at $100,000. Prices have since returned to the middle of the ascending channel, signalling a retest before the next move higher. From a technical perspective, the rise in trading volumes during the recent correction suggests BTC is gearing up for another rally toward $125,000 and potentially beyond.

BTCUSD

1505

MetadoroIn-house analytics

27.08.2025

It’s Going to Be a Luminous Night for Wall St

There was a three-day delay in further rallying on Wall Street, soon after the spectacular run-up due to the Federal Reserve (Fed) rate cut pledges at Jackson Hole, and with a new all-time record for the major S&P 500 broad index. It is now approaching the next milestone of 6,500 points. The coming night August 27-28, may become one more boosting moment for the U.S. stocks, especially its AI and cloud tech segment. The reason lies, of course, in the release of long-awaited quarterly earnings from Nvidia giant. Most likely, the figures and forward guidance projections for the rest of 2025 will again be crushing for the sceptics camp to support trend-following investors like most of us. Nvidia's EPS (equity per share) earnings have never crossed the special barrier of $1 per share before, but that is what the consensus expectation is, with the previous record of $0.9 in Q4 2024 and $0.76 being released in the previous quarterly period. Quarterly revenue last year was $30 billion at the end of August, then $35 billion in November, $39.3 billion in February and $44.06 billion quarterly in May, and now the expert pool is aiming for $45.8 billion. We will see what numbers will come out today. But even if something goes a little unravelled in the specific numbers for the previous three months, so that some values in the lower or upper lines would not hit high enough compared to already inflated bets of the radical optimists among experts, any potential decline in NVDIA quotes would be very reasonable to buy more of Nvidia shares, without putting it off for a long time. In no later than a couple of days or early next week, if not immediately, new stock purchases will be an even better investment than what can be done at current prices just above $180 per share.

At the same time, the chances of showing new peak price values following the report this night appears to be much higher than the possibility of a temporary, and conditionally safe, drawdown. Therefore, it makes sense to keep positions in Nvidia open. One can’t go totally wrong here: either investors win right away, also well protected from being outside the growing-again market, or one would be exposed to a limited risk with a clear prospect of new profits just around the corner. Thus, it would also be prudent to leave some capital free for possible additional purchases at a lower price. So that if a lower price would be granted by doubting markets, there would also be enough money to grab it with.

Let's not forget that Nvidia has been the most powerful market flagship for at least two years and a half. It is the only business with more than $4 trillion in capitalization now, since it absolutely dominates the generative AI chip industry with a share of more than 80% globally. Therefore, it is the market-defining stock. Nvidia is that very feeding trough that not only gives the investment community with money directly from winnings in its own share prices, but also feeds the rest of the tech sector by being a key pillar of Wall Street growth. Thus, markets desperately needs to see Nvidia dynamics for cues.

NVDA

1461

Bash

27.08.2025

Brave Hands Picked Up Some of Eli Lilly's Wealth

Did I mention we can use that chance of picking up some unusually cheap shares of Eli Lilly (LLY)? We just discussed this excellent opportunity in detail in early August hot on a trail of LLY's plummet to $640. The next day there was an ultimate low around $625. Well, over the next couple of weeks the stock price recovered by as much 15%. Again, yesterday LLY gained another 5.85%, the figure similar to the famous and nearly pure gold standard, in one trading session. Pre-market trading on August 27, found LLY another full percentage point higher, at about $744 per share. All it took was brave hands, and they found a little wealth, indeed. But for all the other indecisive ones, now is not the time of sucking lemons yet. I bet, the price will continue to grow from the current $735 to at least my target range between $825 and $875, since the very reason for recent doubt, which was the not entirely convincing initial clinical trials of the new oral drug for weight loss, has been eliminated. Now everything is much better with the pill, and the expert expectations of super extra profits in the tens of billions of dollars are back again!

LLY's Orforglipron pill reportedly met its primary and secondary goals. This means, not only regulatory approvals but also global popularity is coming as soon as the end of this year. The oral weight loss medication Orforglipron is opposed to all similar kinds of medicine based on injections. And the new pill showed strong performance in testing groups of patients with both obesity and type 2 diabetes, "the higher-risk and more difficult-to-treat population", a new research note from William Blair said. Participants taking the highest dose of the drug had a significant weight loss over 72 weeks. Based on analysis of three Phase III studies, it revealed the "highest competitive advantage in diabetes" which is affecting roughly 15% of the adult population in both the US and Europe. Type 2 diabetes patients often manage multiple "comorbid conditions such as hypertension or dyslipidaemia with oral medications", which makes another advantage for Lilly’s oral formulation. "It is therefore our opinion that Orforglipron could be seamlessly incorporated into patients’ daily routines, thereby encouraging uptake," William Blair concluded in its report.

The Bank of America's securities branch hastily reiterated its Buy rating on Eli Lilly in the middle of this week. They highlighted an expected sales growth of approximately 35% in 2025, well surpassing the industry average. "We believe that orfor [Orforglipron] could represent a double-digit billion dollar opportunity," Truist Securities said in a client's note on Tuesday. August 26. I wonder where all those smart guys were when a bunch of brave souls were withstanding bearish headwinds on the last frontier about $100 per share below than the currently quite comfortable price levels? Then, you see, they turned away from the white and blue pill, but now they are ready to swallow it at a much higher price. Anyway, we're all in the same bullish boat now.

LLY

1361