Join professional money manager Bill Gundersen as he navigates the highs and lows of today’s market. From market updates that show record-breaking highs to the intricate details of the AI sector’s recent performance, listeners can expect an in-depth analysis of the economic landscape. With retail sales and geopolitical dynamics impacting the financial world, Bill offers expert insights to help you plan your next investment move. Dive deep into discussions about software stocks, relative values, and emerging trends shaping the market now.
He’s been seen on CNBC, the Fox News Channel, and the Fox Business Channel. His articles can be found on MarketWatch, Seeking Alpha, TheStreet.com, and many other places. He’s the author of the weekly Best Stocks Now newsletter and the inventor of the Best Stocks Now app. He’s president of Gundersen Capital Management. Here is professional money manager Bill Gundersen.
SPEAKER 03 :
And welcome to the Tuesday. It is the Tuesday, February the 10th. Best Stocks Now show with professional money manager Bill Gunnarsson, president of Gunnarsson Capital Management. I’m here with Barry Kite, our chartered financial analyst. And we are up right now in the market. In fact… The Dow is back above 50,000, and that might be a new all-time high there. It’s up 326 points right now to 50,462. The NASDAQ has now turned positive. It’s up 56 points to 23,295. And the S&P 500 is up 12 points to 6,977, closing in on that 7,000 level once again. Small caps are flat so far today. And I think one thing that’s helping the markets today, despite a weak retail sales report that we’ll get to in a bit, interest rates are dropping again. The 10-year is down to 4.14. We were seeing 4.35 not too long ago. So we’re down significantly from there. We have gold down a little bit today. Gold has just gone negative, as has silver. Crude oil is flat. And Bitcoin right now is down 1,100 to 68,501. So welcome to today’s Best Stocks Now show with professional money manager Bill Gunderson of Gunderson Capital Management and Barry Kite, our certified financial planner. We’ve had a couple of really good days in the AI sector. And there’s a little bit of selling today, profit-taking in the AI sector today. And, of course, it was those three companies. Google was one. Amazon was another one. And I’m thinking the third one was Meta. announcing those gigantic capital spending plans at all the AI stores scattered around the Silicon Valley, whether it be Astera Labs or CoreWeave or AMD or whoever, that whole aisle of the supermarket, the AI supermarket, mostly headquartered there in Silicon Valley. They’ve all been on fire here the last two days. I’m seeing some selling there today, a little bit of profit-taking. after two very good days And we had a good day in the market yesterday in that AI space. And like I say, there’s a little bit of profit taking there today. The Dow was mixed yesterday, or the market was mixed, but the NASDAQ had a good day, as I said. And it was, you know, some of the software stocks, there’s a lot of controversy right now around the software stocks today. You’ve got your perma bulls, right? Wedbush, like Wedbush. They’re always going to be bullish on those software stocks, it seems like. Certain ones. Yeah, go ahead, Barry.
SPEAKER 07 :
Well, yeah. No, we had – I saw actually – lately besides webbush right it was you know you were hearing nothing but the demise of software and today i you know kind of uh had some had some of the uh some of the financial channels on in the background and a couple of you know talking heads came on and were uh you know on the on the side of software essentially that uh you know these companies have been around for a long time they’ve They’re integrated into a lot of these companies already, almost like they can’t get rid of them even if they want to kind of mantra. But, you know, it’s just going to be a narrative that’s going to be, you know, it’s going to hang over these software names probably for a long time just because, you know, anything can happen on any given day given some type of technological breakthrough, right?
SPEAKER 03 :
And I’m looking at this chart of iTunes. the ETF that tracks the software index. That’s the one that I use as a proxy. It’s bounced hard, and it’s bouncing hard to the upside again. This is the third day in a row of bounce after just a horrendous sell-off. I mean, it went from $118 a share in late October. It recently hit $80. So 37, that’s about a 25% sell-off in that sector over the space of about three and a half months. That’s pretty bad. That put it into bear market territory. And now you’re getting a bounce. Obviously, I look for candidates for the relative value. I’m really happy that I created that relative value portfolio, which is different from just value, which is low P.E., low price to sales, low price to book. Well, you know, I found that markets are relative. One stock against another, one sector against another, valuations. Valuations are relative as to where a company has traded at historically and where it’s trading at now. You might call it growth at a reasonable price, but I call it relative value. On a relative basis, there’s a lot of these software stocks that are trading at P.E. ratios, forward P.E. ratios.
SPEAKER 07 :
uh price to cash flow ratios that we haven’t seen in a long long time well one of your early trades there was amd and so i mean if you think about it from a relative value standpoint if you look at you know nvidia and and amd obviously nvidia had had this you know huge run for you know multi-year run uh amd and a lot of other chip names kind of left behind and then you started seeing you know a little life in amd and when you look at it at it from a relative value basis amd was was much more undervalued at that particular point than say Nvidia. Hence, you ended up getting into it and then had a good run for the name.
SPEAKER 03 :
Yes, and so anyways, we’ll continue to watch that software sector, looking for bargains in that sector. Now, Venezuela has gone to kind of the back burner for now, and Cuba has come forward to the front burner as they warn the airlines that there’s no jet fuel until March. Canada has regular flights to Cuba. You know, there was always that rumor that Trudeau was Fidel Castro’s son. What, really? Well, you never heard that one. Yeah, because Trudeau’s mother was in love with Fidel Castro. But anyways, they’re saying, hey, we can’t fly to Cuba for a while. Something’s got to give there in Cuba. And last I heard, they’re willing to sit down and talk. But at the same time, you don’t just change Cuba overnight, that leadership and all down there. So we’ll continue to watch that, both China and Russia. have pledged to help and support Cuba. That should tell you everything you need to know about Cuba. That’s who’s behind Cuba. And, of course, China and Russia like having eyes on the U.S. so close to the U.S., right, as kind of a strategic. And we kind of want Russia and China out of Cuba because, you know, the Trump doctrine is controlling the Western Hemisphere. Okay, retail sales were up 2.4% on a year-over-year basis. The categories that dragged this month were furniture and home furnishings. Well, you know, people aren’t moving around as much with interest rates where they are. You don’t have this moving to another neighborhood or trading up into a larger home. All these people that are sitting on a 3% mortgage, not real anxious to trade up and get a 6% mortgage. So that’s got to hurt the furniture and the home furnishings category, I would think. Department stores saw a 0.3% decline from a year ago, which isn’t good for Macy’s and Kohl’s and Dillard, some of the survivors in that bricks and mortar department store industry. But then you had the growth came from Amazon, Etsy, Wayfair, eBay, which is the online type stuff. And they’re pointing to the K-shaped economy where the high-end stuff did well and the low-end stuff didn’t do well. I don’t know if there’s much to that. But the market seems to be shaking this off today with… The Dow above $50,000 once again. I’m going to have to look at the Dow during the break and see what it is that’s driving the Dow higher today.
SPEAKER 07 :
Yeah, and tax refunds too. As tax season goes on, folks are going to end up with, have been withholding more than they should have just based on the new big beautiful bill tax regulations. So likely you’re going to get this pickup in retail sales here the next few months because folks are just going to have a little bit more money in their pocket.
SPEAKER 03 :
My mother used to hang the refund check on our tree at home. So when my dad drove home from work, there was that check from the IRS, that refund check, and we would go out for dinner and celebrate at the Castaways Restaurant in Burbank, California, which looks over the whole valley below, beautiful San Fernando Valley. And that was a big deal. I remember getting that refund, man. Okay, today in the Dow, what’s driving it? Well, DuPont, not exactly a market leader, is up 3.5%. Disney, a market dog, is up 2.9%. Salesforce, there you go, up 2.4. Microsoft up 2.2. Amazon up 1.6. That’s what’s driving the Dow higher. And there has been a little bit of a rebound in some of these bigger blue-chip, soggy-type stocks. We’ll be right back.
SPEAKER 1 :
Thank you.
SPEAKER 03 :
And welcome back here to the Best Docs Now show. Well, talk about permabulls, right? I don’t know. I’m not a fan of being a permabull. I mean, you can’t be a permabull on AI. You couldn’t have been a permabull on electric vehicles. There’s just, you know, things change very rapidly in today’s world. But here’s the epitome of a permabull, microstrategy, which is now called strategy. Executive chairman and founder Michael Saylor said the company will continue purchasing Bitcoin indefinitely. I’d say that’s a permable, Barry. Revealing plans to buy every quarter forever. No matter what, by the way, which just tells you that, I mean, yeah. Despite the cryptocurrency trading under $70,000 amid recent market volatility, the firm recently added approximately $90 million worth of Bitcoin to its holdings, doubling down while other investors have grown nervous about price fluctuations. In an interview with CNBC, Saylor characterized Bitcoin as digital capital that will naturally experience two to four times the volatility of traditional assets like gold, equity, or real estate.
SPEAKER 07 :
Two to four times, by the way. The standard deviation of the S&P 500, by the way, is usually around anywhere between 12 to 15. So if you’re talking about, what, you said two to four times as much? I mean, you’re talking about potentially 60% swings, right, happening essentially 68% of the time.
SPEAKER 03 :
That’s like getting on an airplane in Charleston, and you’re headed for Phoenix, and they say, this is going to be one of the worst rides you’ve ever had. The wind is horrible, and we’re going to leave the fastened seatbelts. I’m getting off that plane.
SPEAKER 06 :
If you’re a thrill seeker, though, I guess that’s your aisle.
SPEAKER 03 :
Yeah. And, of course, we know that in this recent quarter, strategy lost. $42.93 per share. I don’t know. It’s anybody’s guess. Without being able to put a valuation on something, and really the supply-demand is hard to measure because it’s all underneath the surface. Really the only way you can measure the supply-demand are by the ETFs, the buying of the ETFs. And it’s mostly been outflows in Bitcoin.
SPEAKER 07 :
Well, and I’ve even seen, and I don’t know how this affects it going forward, but I’ve seen a lot of, you’ve got a lot of these Bitcoin miners who now have redirected their power assets towards AI.
SPEAKER 03 :
Yeah, they’re going to power data centers. Right. Instead of using their power to generate Bitcoins, they’re going to sell that power that they’ve, purchased or built and like you say redirected which isn’t a good sign for michael saylor now another thing i would say everybody comes to market from a different direction goldman sachs has what they call a panic index Now, this isn’t on Bitcoin. This is on the markets. They’re saying that this reading is close to maximum fear in the market. I’m not seeing that. Now, I don’t know what they use to measure panic. But when the market’s hitting new all-time highs, the Dow’s above 50,000, we have all-time record earnings, and the earnings picture just keeps going higher. Interest rates are going lower. We seem to have a decent tax situation these days. It’s not too draconian. I don’t know where they’re getting this max fear thing, but they do have their own proprietary gauge system. And it’s showing it at a very high level, but it’s really kind of month to month. I wouldn’t pay too much attention to this. On the other hand, I like Invesco’s take on the market a lot better. They say take a deep breath as market fundamentals remain supportive. And I’ve been saying that for I don’t know how long. I mean, basically since 2009 with these rising earnings with lots of blips and turbulence along the way. and mini crashes and secondary sell-offs within a primary uptrend, investors don’t need to zoom out too far to see the big comeback for stocks over the past week. says Invesco, which has been around for a long time. Invesco, they’re up in Denver. I think they’re pretty good. I think they bought Janus at one time.
SPEAKER 07 :
They were kind of one of the early mutual fund shops, right?
SPEAKER 03 :
Yeah.
SPEAKER 07 :
Or they were buying them up or something early on.
SPEAKER 03 :
Yep, I think they do good work, and I usually am in agreement with them. I like this line they use. For a guy from my generation, they say, every silver lining has a touch of gray, which is a line from the 1987 Grateful Dead song, Touch of Gray. uh and they’re saying that uh you know this this crash in silver and all this and the crash in bitcoin if you step back like i do every day sometimes i liken it to an artist who is is so focused on the detail we had a my my father owned some uh he owned a little uh land and it had some artists uh cottages on it were artists and there was a very well-known artist there That painted a lot of stuff. He painted for Sears, and then they would make prints of his painting. But he would get right down. He’d be standing two inches from that painting to put a highlight on that red car coming out of the bridge up in Maine or whatever. He did a lot of scenes like that, Old Americana. But he says, I have to step back from time to time from the painting and look at the big picture. And you have to do that also in the stock market. You have to look at that big picture. And the big picture still looks very good, even though they’re always constantly throwing stones at the economy. I mean, I’m sure we’ll hear about retail sales today. the K-shaped economy. We hear about the crash in the jobs market, you know, even though initial jobless claims are still in the low 200,000s. You’ve also had gold reclaiming 5,000 as China’s central bank extends gold buying spree for the 15 months in a row. What’s with China really loading up on gold? What do they see coming?
SPEAKER 07 :
I don’t know. Well, they’ve seen – I mean, what they’ve seen is they’ve seen Russia essentially be ostracized from the financial markets, right, globally. And if you’re going to plan on doing some – uh you know invasion of taiwan or doing something that’s going to make the the world stage uh not to uh not too happy then uh you know ditching your dollars and owning some some gold might be the route you go it doesn’t seem china’s going to bitcoin as their uh currency of choice if they get ousted from the world economy it seems like gold which backs up what i always say that it’s
SPEAKER 03 :
intrinsic value that that gold has we’re going to get earnings from ford that’ll be kind of interesting to see how they’re doing uh we’ve had earnings from a coca-cola this morning and we’ll get to that one uh tonight we’re going to get uh cloud flares uh that’s kind of an interesting one and robin hood i would say those are the two big ones that will come in after the close robin has been tanking recently because of their crypto exposure we’ll be right back This is Bill Gunderson. Thank you for tuning in to today’s Best Stocks Now, Best Inverse Funds Now show. I put several hours of research in during the wee hours of the morning each day to bring you the very best cutting-edge stories that I can. To get two free weeks of my newsletter, go to GundersonCapital.com. To talk to us about our fee-based only money management services, call us at 855-611-BEST. Now, back to the second half of the show. And welcome back here to the second half of today’s Best Docs Now show. Well, two weeks from today, we’ll be in Houston. And on the 25th, 26th of February, we’ll be there at the Westin. Galleria Hotel, teaching a workshop that Wednesday night at 7 p.m., and meeting with folks all day Wednesday and all day Thursday in one-hour appointments to reserve a spot to the workshop or to the appointment, grab an appointment, or both. Call us at 855-611-BEST, 855-611-BEST, or go to our website at gundersoncapital.com. Super Bowl recap. Kalshi volume surges while sportsbooks… may have improved their hold. You know, there was a time when I was a little bit bullish on that sector, when DraftKings and Flutter kind of dominated that space. But now I just see that space as totally diluted. Kashi coming along has really changed the dynamics of it all.
SPEAKER 07 :
It’s so saturated. I saw Polymarket actually had a commercial during the Super Bowl, which is another Kashi-like company. And, yeah, I mean, like you said, It’s saturated. I mean, I think DraftKings now has a predictions section. I think even Robinhood, I believe, has been working on that. Robinhood’s getting into sports betting. Yeah, so it’s an area of the market that pretty much everyone is gravitating towards.
SPEAKER 03 :
Well, as we watched the Super Bowl on Sunday, one member of my family had five bucks on the national anthem. She had a minute and 59 seconds.
SPEAKER 07 :
It was kind of a long one. I think she probably won. Did she win?
SPEAKER 03 :
No, it came in at a minute and 49, I think.
SPEAKER 07 :
Oh, okay. It seemed like it was a long one.
SPEAKER 03 :
To me, you know, like going to the horse races, at least you’re handicapping. You’re using your brain power. I created spreadsheets back in the early days when my father… took me to the horse races. I use my brain and I use math. I mean, just guessing what the national anthem, the length of, you know what? I like challenges. I like figuring things out. I just think it’s ridiculous now, and I wouldn’t own any of those sports-related stocks, sports betting, gambling, and I think it’s hurt. Ones like Robinhood, too. I don’t think interactive brokers, it’s been hitting new highs recently. I don’t think they’re getting in on that but it certainly has hurt Robinhood recently. Okay, we got United States Antimony. Let me get my cube of antimony and check on it. No, it’s not tarnishing or anything. It’s SB, by the way, on your elements chart. United States Antimony, UAMY, and America Gold and Silver, USAS. I’m going to add that to the app today. is going to construct and operate an antimony processing plant in Idaho’s Silver Valley, which seems to be kind of the antimony capital. of the world but antimony as we know is used in a lot of things it’s one of the rare earths and there’s a lot actually going on in Idaho I’ve also noticed this one U U U U has been pretty perky lately but I just want to tell you those things are not going to as stocks yes You can trade them, but they’re not going to give you instant gratification like some of these AI stocks where sales are booming now. These are long-term companies that you might want to wait a while. Mountain Pass, to me, is the one that is furthest along. in their rare earth. They have revenue. Yes, and I would say USAR is probably second because of the huge mound in Texas down there that supposedly has got a lot of rare earth in it. Now, as I turned the corner the other day in my neighborhood coming home from church on Sunday, I saw that the clutch coffee that just went in, I mean, this thing just went in and opened maybe three or four months ago. It had a fence around it like it went out of business. No, Dutch Brothers bought out Clutch Coffee, and I guess we’re going to have a Dutch Brothers here. Really?
SPEAKER 07 :
So that one’s going to become, that one location right there is going to become a Dutch Brothers, huh?
SPEAKER 03 :
Yeah.
SPEAKER 07 :
That was fast because they just literally, like you said, they just branded it, right?
SPEAKER 03 :
I thought, wow, they didn’t last long, but no, they got bought out. They didn’t make it. Some brothers in North Carolina started a little chain of drive-thru coffees, which are a dime a dozen, but they have a pretty good concept. And they get bought out. And Dutch Brothers is expanding. They’re going to have a lot of groceries and stuff. They have a very good CEO, Christine Barone. She’s very sharp. I like what she’s doing there. But, again, I see that as a crowded field. But they’re going to have their own ground coffee, ready-to-drink iced lattes, creamers, and single-serve coffee pods. at places like Walmart and Albertson. So hats off to Christine Barone, who’s building a franchise there. And it is a publicly traded stock that we owned at one time, BROS. Taiwan Semiconductor, we’ve got to check on this. Their January sales, I mean, chip sales are just off the charts right now. Not all chip companies. But Taiwan builds the chips, okay? So they kind of represent all chip companies, just about. Taiwan rises after January sales surged 37% year over year. 37% year over year. That’s the kind of growth we’re seeing. And of course, their biggest clients are Apple, Nvidia, and AMD. So Taiwan Semi is hitting a new all-time high here today. Apple, in focus. We’re going to have an article out on that. We’ve got about four articles right now.
SPEAKER 07 :
We’ve got a lot of ideas bouncing around in that.
SPEAKER 03 :
Yes. And, you know, I just like to give, here’s what we think. This is a well-known company, a stock that a lot of people own. And here’s the facts. Here’s what you should know about it. And those articles, I try to teach a lesson of how to analyze a stock. It doesn’t take that long. You know what else I noticed? S&P Global, SPGI, that stock is tanking today. Traditional research companies are not doing well at all because research has been commoditized to the individual with things like the Best Stocks Now app. You used to have to buy research from S&P Global. They do research reports on individual companies and on indexes and whatnot. That stock is getting clobbered today. Faxet got clobbered here recently. That’s an industry that’s kind of being disrupted big time by Seeking Alpha and other websites that have commoditized the research a little bit. They used to have a lock on that.
SPEAKER 07 :
uh research oh yeah essentially i mean information wise right was so so hard to get back in the you know back then and you know there was only so many outlets that had it and they they owned i mean they owned the information they were the monopoly yes now bloomberg is not a publicly traded company but you have to wonder if bloomberg is seeing i’ll have to talk i i know a guy here in mount pleasant that works for bloomberg he’s a programmer
SPEAKER 03 :
I wonder if poor Michael Bloomberg is seeing a decrease in sales as data, research, analysis becomes more commoditized and more in the public. Well, we’ll have our takeout on Apple. We’re working on Meta. We’re working on several, Microsoft, and, of course, Lilly, which just reported here recently, and probably AMD coming up now. Let’s take a look at one that has reported today. And I got to tell you, this is a widely held stock. You hear that term a lot on CNBC. These are the ones. I would just say that Wall Street tends to invest in brand names. rather than stocks that are disruptors and maybe not known as well as the brand names. And so a stock like Coca-Cola is in most of your portfolios that come from the big Wall Street firms. And the people that are covering Coca-Cola are like SPI Global and Bloomberg. I mean, that’s a whole cottage industry. that is being disrupted. And like I say, they used to have a corner on the market, really. There were some big, there still are. Argus was a big research house. And of course, Merrill Lynch has their own cadre of analysts that write up research reports and provide those research reports to the clients. Well, let’s just put one of the big ones, widely held, it might be in your portfolio. How is Coca-Cola doing? treated its investors over the years. We’ll be right back.
SPEAKER 05 :
Welcome back to the final segment of today’s Best Stocks Now show. Well, you know, you could do worse than Coca-Cola owning the stock
SPEAKER 03 :
But you could also do better. That’s just me, okay? Over the last 10 years, an investment in Coca-Cola, and here’s the problem. It’s hard to keep a company this big, this large, this massive, this worldwide saturation throughout the world. You can go into the middle of nowhere down in Baja, California into a little grocery and there’s all the Coca-Cola products are there, right? So their growth rate. You look at their recent quarter here, their sales are up 2% year over year, 2%. That’s a win for Coca-Cola, right? I mean, they’re happy. And it usually comes from stealing a little market share away from Pepsi or maybe, maybe one of their purchases that they’ve made recently. Their earnings are up 5%. So all things being equal, you know, 5% per year, they pay a dividend yield of 2.7%. You add those two together, and maybe you’re going to make 8% on your money in Coca-Cola. But obviously, it’s not a steady climb. And if you look over the last 10 years, that’s about what the stock has averaged here. Over the last 10 years, KO 9.7, actually, 9.7%. It’s probably seen a little bit of multiple expansion in the PE ratio because we’ve seen that across the board in the market here recently. But you have to put that up against the S&P 500, which is 27.1% per year. So, you know, if you’re seeking alpha, and that is performance that’s superior to the index, you’re not going to have Coca-Cola in your portfolio. But if you’re looking for just safety and a big name that’s not going out of business, during the last bear market, 08 and 09, it was down 27% in that 15-month period of time, but the market was down 54%. So it does hold up better in a recession. It’s kind of recession-proof. People don’t give up drinking their Diet Coke during a recession, really. But it is what it is. The stock today, after this report, 2% growth in sales, 5% growth in earnings. and the stock is down 2.3%.
SPEAKER 07 :
Yeah, I mean, just stagnant. I mean, it’s one of those classic names that we see when folks come over or transfer in. It’s a name that almost always pops up, and it tends to be one that’s just kind of languished along, and no one’s going to look at their statement and say, you know what, why are we holding this Coca-Cola?
SPEAKER 03 :
Yeah, it’s high risk. It’s really high risk, this Coca-Cola. No, you know, people feel comfortable, and that’s kind of what the big firms want you to be when you open up your statement is to see all these names that you recognize and use their products. McDonald’s, AT&T, Procter & Gamble, Kimberly-Clark, Coca-Cola, that’s your typical name. Big Wall Street firm portfolio. That’s what they make them out of. And even, you know, I’ve seen many Fisher Investments portfolios come to me. They’re still pretty much in that neck of the woods for the most part. Those big recognizable names that are not going to lose too much and they’re not going to make too much. They’re just going to kind of schlog it out. I couldn’t, I don’t know, I just couldn’t do that myself.
SPEAKER 07 :
You say you don’t like looking at bad stocks.
SPEAKER 03 :
It’s kind of like betting on how long is the national anthem going to be. There’s no challenge there whatsoever. And we’ve had some good stocks in that industry over the years. One of the biggest winners I ever found was Hanson’s Natural Soda.
SPEAKER 07 :
Yeah, and Celsius.
SPEAKER 03 :
Which became Monster Energy. Yeah. And I had Green Mountain Coffee, which is now Keurig Dr. Pepper. I had them in the early days, and we did make some money in Celsius, I think. I’d have to look back. Celsius eventually really sold off. as Pepsi started playing games with their inventory and stuff like that.
SPEAKER 07 :
I think it made money in emerging growth, and then it got bigger, and it ended up in Ultra, and then kind of, no pun intended, fizzled out.
SPEAKER 03 :
Fizzled out. And then you’ve got the private companies, the Red Bull guys, one of the richest guys around. He’s one of the originals in that whole energy drink industry. I picked up one the other day, C4. It’s got 300.
SPEAKER 07 :
That’s a pre-workout.
SPEAKER 03 :
Caffeine.
SPEAKER 1 :
300.
SPEAKER 03 :
Does it help you read charts better? I don’t know. It’ll make you tingle for sure.
SPEAKER 1 :
300.
SPEAKER 03 :
Probably kill you if you keep that up. But anyways, there have been some big winners, but, you know, your old line, Pepsi and Coke and Dr. Pepper, it’s pretty hard to get any alpha. Where you’d get alpha on those is if the market tanked. They wouldn’t go down as much. So that’s alpha. You could also get alpha on the downside in the market. Okay, let’s take a look at the next one here. BP, okay, big oil. Big oil is back in favor. It’s not because oil prices are going up. It’s because the build-out. And I’m not a big fan, again, of the big oil companies like Exxon, BP, Chevron. I’m more of a fan of the drillers, the equipment companies. There was a big deal in the drilling industry. Transocean Offshore bought Varonis yesterday. That’s a pretty big merger there. And I’m seeing a lot of stocks in that sector, the oil service sector, not the oil produced, not the big oil companies. That’s been a really good sector. It’s number two behind AI right now. And we do have some exposure there for the first time in a long time. But you look at a big oil stock, which that’s another thing. That’s a popular, you know, an older investor. I mean, beyond really the even boomers. You know, older folks, maybe in their 70s, they still love big oil, and they’ve had it forever. And BP, you know, over the last 10 years, about what you’d get out of Coca-Cola, 8.7% per year over the last 10 years from BP, 8.7%. The dividend yield, and this is just a different kind of an animal here. This is not growth stock. The dividend yield is 5.4%.
SPEAKER 1 :
5.4%.
SPEAKER 03 :
And, you know, it is what it is. It’s just not my cup of tea. I tend more towards growth stocks. Okay, well, we’re out of time. We’ve got some big earnings coming in tonight. To get four weeks of the newsletter, GundersonCapital.com to set up an appointment with us. 855-611-BEST. Have a great day, everybody.
SPEAKER 01 :
This show is not a solicitation to buy or sell any securities. Bill Gunderson or clients of Gunderson Capital Management may have long or short positions in stocks mentioned during the show. Past performance is not indicative of future performance. Gunderson Capital Management is a fee based registered investment advisory firm. All accounts are held at Charles Schwab. Schwab is a member of SIPC and FINRA.
Join professional money manager Bill Gundersen as he navigates the highs and lows of today’s market. From market updates that show record-breaking highs to the intricate details of the AI sector’s recent performance, listeners can expect an in-depth analysis of the economic landscape. With retail sales and geopolitical dynamics impacting the financial world, Bill offers expert insights to help you plan your next investment move. Dive deep into discussions about software stocks, relative values, and emerging trends shaping the market now.
