There are a lot of things to like about the largest TV-based on-demand streaming platform in the US, starting with its dramatic business growth thanks to the global shift from linear TV to over-the-top (“OTT”) streaming services. The company is consistently delivering powerful top and bottom-line growth, driven by an increasing number of users and higher advertising revenues. It’s also taking initiative to expand into international geographies (to fuel more growth), and it enjoys a very large and expanding total addressable market opportunity. In this report, we review the business, growth, its unique selling opportunity, the financials, valuation and risks. We conclude with our opinion on investing.
Top 10 High-Income CEFs (5.2% to 9.4% Yields)
If you like high-income investments, this report reviews our top 10 high-income closed-end funds (“CEFs”) with annual yields ranging from over 5.0% to over 9.0% (many of them paid monthly). The opportunities range from bond funds to style-specific equities, and we consider the distribution yields, premiums/discounts (versus NAV), investment strategies (versus current market opportunities), fees, risks and more. We currently use a handful of CEFs within our prudently concentrated Income Equity portfolio (along with other attractive income opportunities, such as dividend-growth stocks, REITs, BDCs and more), and if you are an income-focused investor—the CEF names on this list are very attractive and worth considering. Without further ado, here are the details on our top 10 high-income CEFs.
PIMCO's Big-Yield CEFs: Cracks in the Dam? (PCI) (PDI) (PKO)
Income-hungry investors flock to PIMCO’s fixed-income closed-end funds for multiple reasons, including the big yields (often in excess of 9.0%), monthly payments, and sometimes even the ridiculously low prices (as we wrote about here and here). And while some investors are reassured by PIMCO’s track record of no distribution cuts in several of their most popular funds (for example (PDI), (PCI) and (PKO)), there is a lot more going on under the hood, and the recently proposed merger between these funds could be a little window dressing by the firm as the track of no distribution cuts may be in jeopardy. In this report, we pull back the curtains on these funds to reveal a little bit about how the sausage is made, and then conclude with our opinion on whether they still make for good investments, or if it is time to move on to new opportunities.
Palantir: Selling Put Options, Lots of Cash
Big data software company Palantir has become an emotional stock for many people with widely ranging viewpoints. And these differing viewpoints have created volatility that leads to high premium income (i.e. cash) being available in the options market. In this report, we share a high income-generating options trade on Palantir that we believe is attractive to place today and potentially over the next few trading sessions, as long as the price of the underlying shares doesn’t move too widely before then.
Palantir: Massive Upside
Palantir is a software company, that is growing rapidly, and it has a massive total addressable market. It provides big data analytics solutions (ranging from data mining to visual analytics), on a single consolidated platform, thereby enabling informed decision-making. The company is having great success landing and expanding government agency contracts, but is also recently attempting to diversify into enterprise-grade commercial organizations too. In this report, we analyze Palantir’s business model, its market opportunity, financials, valuation, risks, and finally conclude with our opinion on investing.
New Options Trade: Very High Upfront Income, Connected TV
The market has not been kind to top growth stocks in recent months, and that means there are some very attractive businesses trading at very attractive prices. But rather than diving in headfirst, this report reviews an option trade that generates very high upfront premium income (that you get to keep no matter what) and it gives you a shot at picking up shares of one of the top growth stocks around at an even lower price. This trade covers a stock in the connected TV space, and we believe the trade is attractive to place today—and potentially over the next few trading days—as long as the market doesn’t move too dramatically before then.
No Brainer: Own This High-Growth, Cloud-Based, CRM Juggernaut
If you like to own well-managed, high-growth, industry leaders that will likely make you a lot of money over the long-term, this cloud and subscription based Customer Relationship Management (“CRM”) company is a no brainer. The is so much to like about this business, including it large total addressable market and digital transformation trajectory, its impressive top and bottom lines, its powerful cash flow, the constant innovation, impressive acquisition track record and compelling valuation, to name a few. In this report, we review the business model, market opportunity, financials, valuation, risks, and finally conclude with some important takeaways for investors.
Undervalued 5.4% Yield Midstream: Decreasing Leverage, Increasing Distributions Expected
One of the largest and most diversified midstream pipeline operators in the US, the company we review in this report is focused on deleveraging its balance sheet and positioning for future distribution increases. And despite the recent strong price gains, the company continues to trade at discount to peers and has more upside ahead considering the healthy fundamentals. In this report, we review the health of the business, valuation, risks, dividend safety, and conclude with our opinion on investing.
Top 10 Big Dividends: Income Ahead of Inflation
If you are an income-focused investor, you’re likely concerned about the combination of low yields and inflation. For example, with the 10-year US treasury offering less than 1.5% yield, and growing inflation threatening to devalue your nest egg, you’re likely looking for differentiated investment opportunities that don’t involve too much risk. One strategy worth considering is to assemble a wide-ranging portfolio of investments (wide-ranging to help you diversify away a lot of the big risks) that also provides higher yields and will help keep you ahead of inflation. In this report, we share our top 10 Big Dividends to help you identify opportunities that might fit the bill for you.
This 8.5% Yield BDC Is Compelling
The 8.5% yielding BDC we cover in this report is relatively new, but well established and large, and it has a strong balance sheet and ample access to attractive deal flow. Like other BDCs, it faced challenges during the pandemic, but has come through relatively unscathed, and continues to use market dislocation to optimize its portfolio. Importantly, management expects the dividend coverage to improve (including the return of special dividends), going forward. Yet because of nervous near-term and backward-looking investors, it still trades at a discount to NAV. If you are a long-term high-income-focused investor, this one is worth considering.
Income Equity Portfolio Performance; +4 Top High-Income Opportunities
The Blue Harbinger Income Equity portfolio was up 0.76% in May (outpacing the S&P 500), and it is now up 14.77% for the year (also outpacing the S&P 500). And it finished the month with a highly compelling 6.0% yield. In this report, we review the performance and positioning of the portfolio, plus 4 top high-income opportunities, all of which we currently own.
Disciplined Growth Portfolio Update; +2 Powerful Rip Van Winkle Stocks
After gaining 52.9% in 2020 and 51.6% in 2019, the Blue Harbinger Disciplined Growth portfolio is down nearly 2.3% this year, as top growth stocks take a breather. In this report we review one new trade in the portfolio, as well as 2 very attractive growth stocks (that we own) that will likely be trading much higher a few years from now if you can force yourself to ignore the near-term volatility.
New Options Trade: Energy Sector, Yield Boosting
If you are an income-focused investor, you may want to consider the yield boosting options trade in this report. It’s a strategy that some investors repeat often, and in this particular instance we are focused on a high-income energy-sector investment that offers a 7.5% yield (paid quarterly), and this trade adds significantly to that amount. We believe this is an attractive trade to place today, and potentially over the next few trading sessions, as long as the price of the underlying security doesn’t move too dramatically before then.
Attractive Long-Term Upside, Earnings Announcement Tonight
This digital payments fintech company is growing rapidly and experiencing improving margins. It also has a lot more room to grow as the total addressable market is large and the company offers an expansive line of valuable solutions. The share price has been volatile (as high-growth stocks in general have sold off in recent months), but the business remains on a healthy trajectory, and it announces quarterly earnings today after the market closes. In this report, we review the business, competitive strengths, growth opportunities, financial health and conclude with our opinion on investing.
A Unique Combination of Dividends, Growth and Value
If you are looking for a unique combination of dividends, growth and value, this 5G-related technology stock is worth considering. The 2.0% yield may not seem high, but it has strong history (and trajectory) of growth, and so does the overall business. It also has an attractive valuation (thanks to short-term market forces), especially considering the large total addressable market and future growth opportunities. In this report, we review the business, the market opportunity, the dividend, valuation and risks. We conclude with our opinion on investing.
Solid Energy Play: 4.3% Yield, Buybacks and Upside
If you like dividend-growth stocks, offering an attractive yield and price appreciation potential, you may want to take a hard look at this diversified energy manufacturing and logistics company. It’s coming out of its toughest year in operating history (2020, thanks to covid), but is giving strong indications there are more share price increases, share buybacks and eventually dividend hikes, once it gets the additional 2020 debt under control—which we believe it will quite soon (i.e. it’s currently turning the corner hard). In this report. we review the business, dividend safety, valuation, risks and then conclude with our opinion on investing.
50 Top Growth Stocks In Freefall: These 3 Are Worth Considering
Common characteristics of “top growth stocks” include very high sales growth trajectories, high gross margins and very large total addressable markets. And many of these stocks were pandemic darlings—gaining 50%, 75%, 100% and more—after the initial onset of the pandemic, but have since been in freefall in recent months (as economies re-open), and there could still be significantly more pain ahead. In this report, we share helpful data on 50 top growth stocks (to help you gain perspective on the current situation), and then review three stocks in particular that are attractive and worth considering for investment.
Boring High Income CEF: 6.2% Yield, Paid Monthly
If you are an income-focused investor, boring can be very attractive. And the utility-sector closed-end fund (“CEF”) we review in this report has many boring and many attractive qualities. And considering our ongoing low interest rate environment (combined with the increasing trajectory of inflation), this monthly high-income producer is worth considering. In this report, we review the investment strategy, holdings, valuation, fees, pricing and conclude with our opinion on investing.
A Powerhouse High Growth E-Commerce Stock
Although this company lags Amazon in global e-commerce sales, it is a rapidly growing ecommerce juggernaut in its own right, and its expanding list of highly valuable add on services is benefiting customers and the company itself. 2020 was obviously an aberration year, as e-commerce sales spiked due to the pandemic. But 2021 revenue growth is expected to be higher than pre-2020 years, and the large total addressable market opportunity gives the shares plenty of room to run. And although we expect volatility in the short-term, the recent price pullback provides some additional margin of safety for long-term investors. In this report, we review the business, growth prospects, valuation, risks and conclude with our opinion on investing.
50 High-Yield Energy Stocks, Up Big: These 3 Are Worth Considering
Energy demand was reduced by the pandemic (for example, less people needed gas to drive their cars to work), and that came after supply was increased by improved extraction technologies (for example, fracking). This resulted in major pain for the energy sector, especially as investors flocked to the technology stocks that naturally fit the “social distancing” story during the pandemic. However, a lot has changed this year, as oil prices are up and the energy sector (XLE) has gained about 40%! In this report, we highlight 50 high-yield energy stocks that are up big, and then dive into three names that are particularly attractive and worth considering.