Sat.Aug 10, 2024 - Fri.Aug 16, 2024

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Catastrophizing Debt

The Big Picture

I’m deep in my book writing work discussing federal debt when I see a tweet that simply epitomizes the entire genre. Full disclosure: My priors on federal debt are that I don’t know where the line of too much should be drawn, but I do know that none of the terrible things we were warned about over the past 50 years due to excess debt have come to pass.

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The Social Security Cost-of-Living Adjustment (COLA) Forecast for 2025 Was Just Updated. There's Good News and Bad News for Retirees.

The Motley Fool

Social Security benefits get annual cost-of-living adjustments (COLAs) to help beneficiaries keep pace with rising prices across the economy. Inflation has moderated in recent months, and that trend is expected to continue, so The Senior Citizens League (TSCL) recently revised its 2025 COLA forecast downward, albeit modestly. "The 2025 COLA prediction is about 2.57%, down from 2.63% last month," according to TSCL statistician Alex Moore.

Education 246
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Flash Crashes Are Getting Faster

A Wealth of Common Sense

I’m a neat freak, so occasionally, I clean out my office and re-organize. While doing so earlier this week I came across an old Life magazine a reader sent me a number of years ago. It’s from June 1962 and the stock market was the cover story: The pictures are fantastic. So was the lede of the story: The signs, like rumblings of an Alpine ice pack at the time of thaw, had been heard.

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Uber Stock Is Up a Phenomenal 121% in 2 Years: But Is Now the Time to Buy?

The Motley Fool

Despite taking shareholders on a very bumpy ride, Uber (NYSE: UBER) has been a huge winner. In the past 24 months, since August 2022, shares of this growth tech stock have skyrocketed 121%. Investors would've more than doubled their money owning this business, compared to a 34% return from the S&P 500 index. But is now the right time to buy Uber?

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Warren Buffett's Once-Silent Warning to Wall Street Has Turned Into a $277 Billion Deafening Roar

The Motley Fool

For those wondering why Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) CEO Warren Buffett garners so much attention on Wall Street, look no further than his track record. Since ascending to the CEO chair in 1965, he's overseen a greater than 5,230,000% aggregate return in his company's Class A shares (BRK.A) and nearly doubled up the benchmark S&P 500 's annualized total return, including dividends.

Banks 246
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Why Polestar Stock Was Zooming Higher This Week

The Motley Fool

Never underestimate the power of a product launch into a large market, particularly in the auto industry. Scandinavian vehicle maker Polestar Automotive (NASDAQ: PSNY) announced that the production of its latest electric vehicle (EV) has begun in the U.S., and investors were clearly impressed with this news. According to data compiled by S&P Global Market Intelligence , as of Thursday night Polestar's share price had risen more than 10% week to date.

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Billionaire David Tepper Just Slashed His Positions in These 5 Artificial Intelligence (AI) Stocks. Should You Sell Them, Too?

The Motley Fool

Few hedge fund managers have been as all-in on artificial intelligence (AI) as David Tepper. His Appaloosa fund's portfolio has been stacked with AI stocks for quite a while. However, the billionaire investor doesn't appear to be as enamored with AI these days. Tepper slashed his positions in several AI stocks in the second quarter of 2024. Tepper's top five AI cuts in Q2 Each of Appaloosa's top five holdings has a major focus on AI.

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There's a Big Misconception About 2025's Social Security COLA That Needs to Be Cleared Up

The Motley Fool

Now that we're well into August, many retirees are starting to get antsy over Social Security. Specifically, they're eager to know what cost-of-living adjustment (COLA) they're looking at for 2025. So far, estimates are pointing to a smaller Social Security COLA in 2025 than in 2024. And that's not what retirees want to hear. But a larger COLA may not do a whole lot of good, either.

Banks 246
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I Want to Be a Roth Millionaire by Retirement. Here's How I'm Planning to Get There.

The Motley Fool

All told, I likely won't be able to pinpoint exactly how much money I'll need down to the penny for a comfortable retirement. Maybe $1 million will do the trick, or perhaps $400,000 in an individual retirement account will suffice, especially if I have other accounts to tap into. However, I do know that $87,000 -- the median retirement savings for American households -- won't cut it for me personally.

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Here's Why I'll Never Give Up My Costco Executive Membership

The Motley Fool

Image source: Getty Images When I first joined Costco , I didn't have kids yet and therefore didn't spend as much as I do now on groceries. But years back, I decided to upgrade to an Executive membership when my family started spending more on food, and I've stuck with it ever since. In fact, there's pretty much nothing anyone can say to convince me to give up that Executive membership -- despite the higher cost.

Finance 246
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The Best Stock to Invest $1,000 in Right Now

The Motley Fool

Stocks across tech have declined over the last month, as recent economic reports have made Wall Street fearful of a looming recession. A new jobs report revealed the U.S. labor market added 114,000 jobs in July, significantly lower than expected and the 179,000 reported in June. The figures caused a sell-off in the stock market, with tech companies experiencing some of the worst declines.

Investing 246
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Here's Exactly How Many Apple Shares Warren Buffett Just Sold

The Motley Fool

When Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) reported its second-quarter earnings a couple of weeks ago, investors learned that CEO Warren Buffett and his team sold a large portion of its massive stake in tech-giant Apple (NASDAQ: AAPL). However, investors didn't know exactly how much Apple stock Berkshire sold and still owned. Berkshire only reported that it owned $84.2 billion in Apple stock as of June 30.

Stakes 246
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Should You Buy the Dip in Nvidia Stock?

The Motley Fool

With shares down 14% from an all-time high of $136 hit two months ago, Nvidia 's (NASDAQ: NVDA) rocketship rally seems to be unraveling, even as revenue and earnings continue to hit new records. While the chipmaker is still arguably one of the best companies in the world, the market may be losing excitement about the artificial intelligence (AI) industry in general.

Returns 246
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Is SoFi Technologies a Millionaire-Maker?

The Motley Fool

Digital banking and financial services company SoFi Technologies (NASDAQ: SOFI) is back within shouting distance of its 52-week low and roughly 75% off its 2021 peak. Investors often let price drive a stock's narrative. For example, SoFi's share price keeps falling, so the business must also be bad. But is that true, or does the market have it all wrong?

Banks 246
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3 Reasons to Cancel Your Costco Membership in August

The Motley Fool

Image source: Upsplash/The Motley Fool It's not always easy to see the signs that a relationship isn't working out. But this month might be a good time to reevaluate your relationship with Costco. Here are a few reasons August might be the best time to cancel your Costco membership. 1. Price increases are coming in September After strongly hinting at an upcoming increase last May, Costco finally dropped the official bomb that membership fees are increasing as of Sept. 1, 2024.

Companies 246
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Interest Rates Are About to Do Something They Haven't Done Since March 2020, and It Could Trigger a Big Move in the Stock Market

The Motley Fool

Inflation refers to the general rise in the price of goods and services. The U.S. Federal Reserve aims to keep the consumer price index (CPI) measure of inflation growing at an annual rate of 2%, and the central bank will adjust the federal funds rate (overnight interest rates) when it deviates too far from that target. The CPI hit a 40-year high of 8% in 2022, triggering one of the most aggressive campaigns to hike interest rates in the history of the Fed.

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Sam's Club Set to Roll Out Order Minimums on Aug. 19

The Motley Fool

Image source: Getty Images If you're a current Sam's Club member or have been considering joining, you'll want to be aware of some upcoming changes the retailer is making. Sam's Club is establishing order minimums to qualify for free curbside pickup, free delivery, and free shipping. These changes will take effect on Aug. 19, 2024. Here's what you need to know before you place your next order.

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Improvements in this Metric Could Be the Bullish Sign Palantir Stock Needs

The Motley Fool

Palantir (NYSE: PLTR) has sent contradictory signals to investors. Its Artificial Intelligence Platform (AIP) has offered exponential productivity gains to its clients. One spoke of Palantir accomplishing more in one day than a hyperscaler had in four months. Another claimed to build 10 times faster with 3 times fewer resources. The problem for investors in the software-as-a-service (SaaS) stock was that these gains did not appear to translate in the financials.

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1 Wall Street Firm Thinks Nvidia Stock Is Going to $150. Is It a Buy?

The Motley Fool

After hitting a high of $140 in June, Nvidia (NASDAQ: NVDA) shares have pulled back amid a broader market sell-off, as well as reports that Nvidia's upcoming Blackwell chip might get delayed. Despite all that, UBS is sticking with its $150 price target and "buy" rating on the stock. These price targets are usually just an estimate of where an analyst thinks a stock can trade in the near term.

Prospects 246
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3 Soaring Stocks That Are Screaming Buys in August

The Motley Fool

August has been a rocky month for investors thus far, with a sell-off induced by economic fears and a tough earnings season for a number of popular AI stocks. However, some stocks have passed the earnings test with flying colors and look poised for further gains. Without further ado, keep reading to see these three stocks that look like screaming buys today.

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Down Over 8% In the Last Month, Should You Buy the Dip on These 3 Vanguard Growth ETFs?

The Motley Fool

Even after the broader market's epic rally last week, megacap growth stocks have still gotten crushed over the past month. Microsoft , Alphabet , Amazon , Nvidia , and Tesla are now down between 13% and 28% from their 52-week highs -- highs that were mostly achieved earlier this summer. Here's why investors looking for a broad-based approach to buying growth stocks may want to consider exchange-traded funds (ETFs) -- and some factors they should be aware of before taking a position in these low-

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Why Rivian Stock Sank Friday, and Why Investors Shouldn't Panic

The Motley Fool

Rivian Automotive (NASDAQ: RIVN) shares were dropping on Friday afternoon after the company made a surprising announcement. While most of the focus on the electric vehicle (EV) maker has recently related to the unveiling of its next-generation SUV, today's news was about its commercial delivery vans. Shares plunged as much as 5.5% on news that the company has suspended production of the vans destined for e-commerce giant Amazon.

Investors 246
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Did Netflix Just Say "Checkmate" to Disney? Why Investors Should Pay Attention to the Streamer's New Concept

The Motley Fool

Two of the biggest media companies in the world are The Walt Disney Company and Netflix (NASDAQ: NFLX). For years, just mentioning the word "Disney" brought to mind the company's global theme park business. However, a few years ago Disney decided to branch out from its core businesses and compete with Netflix more directly. The company launched its own streaming service called Disney+, a move that forced Netflix's hand when it comes to creating enticing original content.

Investors 246
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Should You Buy XRP While It's Under $1?

The Motley Fool

For nearly four years, crypto investors have waited for the big breakout moment for XRP (CRYPTO: XRP) , which is still languishing under the $1 mark. And now that moment seems to have arrived. At the beginning of August, the long-running Securities and Exchange Commission (SEC) court case against Ripple (the company behind the XRP token) finally wrapped up, and it looks like the worst of XRP's regulatory headaches is over.

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3 Artificial Intelligence (AI) Stocks That Can Skyrocket Up to 1,200%, According to Select Wall Street Pundits

The Motley Fool

Beginning in the mid-1990s, the internet completely changed the way consumers and businesses interacted. Though it took time for this innovative technology to go mainstream and mature, the internet, ultimately, altered the growth trajectory for Corporate America in a positive way. For three decades, Wall Street and investors have been eagerly awaiting the next leap forward in technology that would do for businesses what the internet did in the mid-1990s.

Taxes 246
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Here's Why 2025's Social Security COLA Probably Won't Be Enough for Retirees-- No Matter What It Amounts To

The Motley Fool

Millions of retired Americans collect monthly benefits from Social Security. And at this point, there's a big question seniors want an answer to: What will their 2025 Social Security cost-of-living adjustment (COLA) look like? It's too soon to answer that. Recent estimates put 2025's Social Security COLA at 2.63%. But we won't have a clear number until inflation data for 2024's entire third quarter becomes available.

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Even Though It's Down 20% in the Last Year, I Have High Hopes for This Dividend Stock Over the Next 5 Years

The Motley Fool

The industrial sector is up 14% over the last year -- slightly lagging the performance of the S&P 500 , but still a solid gain. Despite being an industry leader in heavy equipment for agriculture, construction, and forestry, Deere (NYSE: DE) stock is down 20% over the last year and hovering around a three-year low. Here's why the dividend stock has sold off far enough and why it is worth buying and holding for the next five years.

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3 High-Yield Dividend Stocks That Can Earn You Bundles of Cash

The Motley Fool

Based on the prices and dividends at the time of this writing, the average dividend yield of shares in Vitesse Energy (NYSE: VTS) , the JPMorgan Equity Premium Income ETF (NYSEMKT: JEPI) , and Whirlpool (NYSE: WHR) is 7.8%. All three are attractive, but all contain risk. Before adding these three stocks to a high-yield portfolio, here's what you need to know.

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SoFi: Buy, Sell, or Hold?

The Motley Fool

SoFi Technologies (NASDAQ: SOFI) has made excellent progress in diversifying its business into becoming a one-stop shop for customers' financial needs. It has also expanded its technology platform, which lets non-bank companies offer financial products to their customers. These growing businesses have helped SoFi report its third consecutive profitable quarter, but the stock continues to struggle and is down by a third this year.

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Prediction: Nvidia Stock Is Going to Soar After Aug. 28

The Motley Fool

Nvidia (NASDAQ: NVDA) is a $2.6 trillion company, and it currently represents 5.8% of the value of the S&P 500 index. In June, Nvidia stock was sitting on a 150% year-to-date gain, which was responsible for one-third of the entire return in the S&P 500. Both Nvidia and the index have been in a slump since mid-July, but there is a seismic event coming up on Aug. 28 that could reverse both of their fortunes.

Returns 246
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If I Could Tell All Retirees 1 Thing About Social Security, I'd Say to Do This Before You Claim Benefits

The Motley Fool

Social Security can play a critical role in your retirement budget. Sixty percent of retirees said Social Security is a major source of their income in the most recent iteration of an annual Gallup poll. Another 28% said it was at least a minor source. Either way, you'll want to make the most of your Social Security benefits if you can. But one thing that can trip up a lot of retirees is not properly planning ahead.

Taxes 246
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Where Will SoundHound AI Stock Be in 1 Year?

The Motley Fool

Shares of SoundHound AI (NASDAQ: SOUN) have crushed the broad market in the past year with stunning gains of almost 170%, despite witnessing a lot of volatility. Investors have been buying this small-cap company hand over fist to take advantage of the growing demand for voice-based artificial intelligence (AI) solutions. But SoundHound stock really took off earlier this year after Nvidia revealed a small stake in the company, which has carved out a niche in the voice AI market despite its small

Stakes 246
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Prediction: This Tech Giant Will Emerge as the Leading Artificial Intelligence Company in the World

The Motley Fool

Companies have spent tens of billions of dollars in a race to advance artificial intelligence capabilities over the past two years. Several companies have emerged as big winners in the early days of the generative AI boom, but not all of them will maintain their leading position. But I predict one tech giant will come out ahead in artificial intelligence in the long run.

Companies 246
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Should You Buy XRP (Ripple) Right Now With $100 and Hold Through 2024 and Beyond?

The Motley Fool

Like its digital asset peers, XRP (CRYPTO: XRP) has had a wild journey up to this point. The Ripple network's native token has had periods of monster price run-ups and dips in the past several years. But it currently trades 78% off its all-time high from January 2018. As of this writing, Ripple has the world's seventh most valuable blockchain , worth just over $32 billion.