Today is Tuesday, October 12, 2021.
AT&T Hits New Low Due to Analyst Downgrade
Shares of telecommunications giant AT&T (NYSE: T) fell to $26.03 Monday, the stock’s lowest price in over 10 years.
Numbers: In 2021, shares of AT&T have fallen 11.58%. It is also down 33% in the past five years, largely due to bad acquisitions.
Catalyst: A Barclays analyst maintained AT&T’s equal rating on Monday but lowered the price target from $34 to $30, writing that the technicals are challenging as the company changes its media business by spinning off WarnerMedia.
Optimism: Despite the tough environment for AT&T, others are still bullish on the stock. Last week, a MoffettNathanson analyst upgraded the stock to Neutral from Sell and raised the price target from $23 to $28.
More Good News: Also on Monday, Ericsson reached a five-year deal with AT&T to grow its 5G network.
Final Thoughts: AT&T will announce its earnings on October 21.
Notable Earnings Today: AZZ (NYSE: AZZ), Pinnacle Financial Partners (Nasdaq: PNFP), SMART Global Holdings (Nasdaq: SGH), Fastenal (Nasdaq: FAST).
Notable IPOs Today: Gesher I Acquisition Corp. (Nasdaq: GIACU).
Notable Equity Crowdfunding Campaigns Ending Today: n/a
Notable Economic Events Today: Job openings (10:00 a.m. ET).
Green Energy Boom Could Come
While the oil and gas sector is booming right now, a renewable energy boom could come next, according to analysts.
Big Picture: As prices for traditional energy skyrocket, renewable energy offers companies a chance to get in at a lower price. Both solar and wind energy usage have increased in recent years as well.
Stocks: If you’re looking for an individual stock in the renewable energy space that analysts favor, check out electric vehicle infrastructure stock ChargePoint (NYSE: CHPT), solar company Enphase Energy (Nasdaq: ENPH), renewable energy asset owner Brookfield Renewable (NYSE: BEP), and energy infrastructure owner NextEra Energy (NYSE: NEE).
ETFs: Other, if you prefer exchange-traded funds (ETFs) instead of stocks, check out Invesco Solar ETF, ALPS Clean Energy ETF, and First Trust Global Wind Energy ETF.
Final Thoughts: Having some exposure to the growing renewable energy market is a good idea.
Famous Investor Praises Bitcoin as “Digital Gold”
Billionaire investor Bill Miller, who is also the founder of Miller Value Partners, praised Bitcoin and a few other cryptocurrencies during a recent conversation with author William Green.
Bullish: Miller praised Bitcoin and compared it to “digital gold” during the conversation. He said that the digital asset is now established and has the backing of venture capitalists.
More Coin Praise: During the conversation, Miller also said that he liked Coinbase (Nasdaq: COIN) and that there are some other cryptos, such as Etherum that are good.
Background: Miller, who famously bought shares of Amazon (Nasdaq: AMZN) 20 years ago, made an investment in Bitcoin earlier this year. It is meaningful for Bitcoin to have the support of a famous investor.
Big Picture: Investors are always looking for a hedge in their portfolios. For a while, investors turned to gold, but Bitcoin has become another alternative.
Final Thoughts: The price of Bitcoin is at its highest level since May.
Trends to Watch
Not a Fan: Jamie Dimon says bitcoin is ‘worthless’ (CNBC)
Gamechanger: Timing Is Everything for Merck’s COVID Pill (The Atlantic)
New Heights: Oil settles up 1.5%; hits multi-year highs on surging demand (Reuters)
SoHigh: SoFi Technology Stock Jumps on Bullish Morgan Stanley Note, $25 Price Target (TheStreet)
More Women Than Ever: Record number of women opening retail investing accounts (Yahoo! Finance)
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