Published Research and Articles on the Disruptive Innovators Theme

Hey folks, as you likely suspect we at Tematica do a lot of leg work and deep dives when developing our investment themes and refreshing our thematic mosaic. This means that in addition to scouring financial filings, company presentations, and earnings transcripts, we also chat with company management, thought leaders, and other industry movers and […]

This conversation is provided for informational purposes only and is not an offer or solicitation to buy or sell any securities. Tematica Research was compensated by a third party to conduct this interview. The information described herein is taken from sources that we believe to be reliable, but we do not guarantee the accuracy and completeness of […]

In an attack reminiscent of the Solarwinds hack, The French National Agency for the Security of Information Systems (ANSSI) recently released a report detailing actions taken by Russian hackers “Sandworm” targeting products offered by IT Monitoring system provider Centreon. The company has since responded stating that effected users were using an unsupported freeware version of […]

Tematica Research Membership

For Experienced Individual Investors and Financial Professionals

The Tematica Individual Membership provides thematic investing strategies, trading ideas, and analysis of the most pressing economic and market developments that drive both our thematic perspectives and investing strategies.
Financial Professionals and experienced Individual Investors that become members receive access to the Thematic Leaders List which includes the top stock in each theme, plus our top overall most thematically-positioned stock. Membership also includes the Tematica Select List which are additional trading ideas of stocks riding our 10 investment themes and regular on-going insights and commentary on the market from a thematic perspective.

In a targeted phishing attack it appears hackers have manged to deploy two known pieces of malware that have proliferated throughout several state agencies. DHS, FBI and MSFT are investigating. Hackers have launched a sprawling, multifaceted cyber-attack against the state of Washington, according to two people familiar with the matter. Source: Hackers Have Infiltrated Many […]

Just as the internet has changed how we can communicate, transact, consume, and produce, so will Augmented Reality (AR) and Virtual Reality (VR) improve, and in some respects, utterly transform our lives. Source: An Investor’s Primer on Virtual Reality (VR) and Augmented Reality (AR) | Nasdaq

Yesterday US investors were surprised to see the market suddenly drop around midday, the Dow falling almost 400 points at one point, with no one clear, obvious catalyst. The suspected culprit was a report of new coronavirus cases at a Beijing hospital combined with other reports of the outbreak accelerating outside of China. The coronavirus […]

Recently I touched on the several new additions to the S&P Dow Jones Dividend Aristocrats, a group of S&P 500 constituents that have increased their dividends for at least 25 years. Now, I am circling back to the latest dividend payment from an existing Aristocrat: PepsiCo (PEP) . Widely known for its products that include Pepsi, Lays, […]

The main equity indices closed mostly in the green in Asia today after China cut its 1-year loan prime rate (LPR) by ten basis points and its 5-year by five basis points. This move comes after the People’s Bank of China had earlier cut the rate on $28.65 billion worth of 1-year medium-term lending facility […]

The major equity indices in Asia bounced back from their recent slides shrugging off a growing list of companies warning over the impact of the coronavirus as all but the Shanghai composite closed in the green today. By midday, the main European equity indices were also in the green and US equity futures point to […]

Last Friday we noted traders would likely take a cautious stance heading into the long weekend that saw US equity markets closed yesterday in observation of Presidents’ Day and we were correct in our thinking as stocks gave back most of their gains to finish the day little changed. That concern proved to be on […]

One of the time-tested strategies for investors is buying companies with an increasing dividend policy. To say it is one of the most loved and most watched strategies would be something of an understatement given the incremental income it generates for investors and the $6.7 billion in assets held by ProShares S&P 500 Dividend Aristocrats […]

Love may be the theme for today’s Valentine’s day, but the markets are mostly feeling, “I think I’ll just throw on my comfy sweats, grab a pint of ice cream and go for a Netflix marathon.” Or maybe that’s just us. Yesterday investors continued to reassess risk concerning COVID-19, leaving the major US indices little changed. […]

Stocks continued to shrug off concerns over the coronavirus and kicked into high-gear risk-on mode. The Nasdaq 100 and Nasdaq Composite both hit new all-time highs. The VIX dropped 10% yesterday alone and the yield on the US 10-year rose 7 basis points. Absent from the party were WTI crude, which fell another 1% to […]

Yesterday the major indices reversed a bit of the decline since fears over the coronavirus began. The Nasdaq 100 lead the major US indices, gaining 1.5%, the Nasdaq Composite 1.3%, the S&P 500 0.7% and the Dow 30 0.5% while the CBOE Volatility Index (VIX) lost 4.6%. The oil market continues to suffer with estimates that China’s oil […]

First off, after a nail biter of a game heading into half time, the Kansas City Chiefs dominated the fourth quarter to win Super Bowl LIV.  Before the game, the AFC and the NFC were tied for Super Bowl victories at 27 each. The last time both conferences had the same number of wins was […]

As we get ready to close the books on January, gains in equities earlier in the month have come under pressure as the coronavirus continues to expand. Earlier today China’s National Health Commission confirmed there have been 9,692 confirmed cases of the coronavirus, with 213 deaths, but reports suggest the virus has reached at least […]

In yesterday’s Daily Markets note, your authors shared that as equity markets looked to shrug off the mounting coronavirus news, our suspicion that we had yet to see the real fallout on economic growth and earnings expectations. It would seem we were correct in that thinking. Overnight economists updated their forecasts in an attempt to […]

As your authors commented to each other when discussing yesterday’s market rebound following the coronavirus inspired sell-off on Monday – “that didn’t last long!”  The Nasdaq 100 lead the rebound, gaining 1.6% on the day with the Nasdaq Composite a close second, up 1.4%. The S&P 500 and Dow Jones Industrial Average rose 1.0% and […]

Despite the accelerating velocity for the current earnings season, markets remain focused on the rapidly spreading coronavirus which has surpassed 4,500 cases in China and led China to restrict travel to Hong Kong as the death toll tops 100. Some 60 million are under travel restrictions in China, and select countries, including Indonesia and the […]

Which stocks and sectors could see the most pressure today with Coronavirus spreading? Tematica’s Chris Versace joins Jay Coulter’s The Resilient Advisor Podcast to discuss that and discuss the week ahead’s economic data and earnings reports to watch. Click here to view the episode  

Investors are starting the week off with itchy fingers as they look to assess the growing impact of the coronavirus. As we write today’s Daily Markets note, roughly 2,800 people in China have been infected and 80 killed by the disease, and infections also reported in Europe and the US.  In response, Hong Kong has […]

Despite a rough start yesterday, the major US equity indices managed to close little changed after the World Health Organization (WHO) calmed rising fears around the coronavirus coming out of China. The WHO’s declaration that coronavirus is not a global emergency helped travel stocks such as American Airlines (AAL) and United Airlines (UAL) rebound. In contrast to the WHO, however, yesterday the Centers for […]

Despite a rather volatile session yesterday, stocks ended basically flat but well off their intraday highs. That said, the Nasdaq 100 is up nearly 40% YoY and up nearly 120% over the past four years. While many are comparing today’s markets to those of the late 1990s, your authors included, the Nasdaq 100 rose over 600% […]

The major US equity indices all closed in the red yesterday on the news that the Center for Disease Control identified the first case of coronavirus in the US – a traveler from China was diagnosed in Seattle. Shares of Wynn Resorts (WYNN) and Las Vegas Sands (LVS) lost 6.2% and 5.3% respectively on concerns that the increasingly global outbreak […]

Coming off the Martin Luther King holiday for which the US markets were closed yesterday, shares in Hong Kong led losses in Asia after Moody’s cut its rating for the city from Aa2 to Aa3 on Monday; there are also concerns over a new strain of coronavirus in China just as Lunar New Year holiday travel heats up. As we write […]

Many of the major US equity indices hit new all-time highs again yesterday, pretty standard at this point in 2020. After just 11 trading days in the new year, the S&P 500has already hit five all-time highs and yesterday moved past the 3,300 level for the first time, which has the index once again flirting with […]

One day after the US and China inked their phase one trade agreement, Asian equity indices finished on a mixed note, and European equities are also mixed while US equity futures point to a positive open as investors dig into and attempt to digest the eight-part, 96-page agreement. The long and short of it is there […]

Today is the day many have been waiting for as China and the US are expected to officially ink their phase one trade deal later this morning. In a potential “buy the rumor, sell the news moment,” Asian equities finished the day lower, and European equity indices are currently mixed, but little changed as are US equity […]

Today kicks off December quarter earnings season with earnings for the S&P 500 expected to have declined by 2% in the December quarter according to FactSet. If earnings do in fact contract during the December quarter, it will be the fourth consecutive quarter of year-over-year net income declines for the S&P 500. Despite this, the index managed to […]

This cybersecurity company will likely draw you in with its special $12 dividend, and then keep you for a while. In the last few days, NortonLifeLock (NLOK), the company formerly known as Symantec before selling its enterprise business to Broadcom (AVGO), announced a $12 per share special dividend. Before discussing that eye-popping special dividend, let’s […]

Last Friday stocks gave back all their earlier gains to leave the major US equity indices lower on the day. The major indices took a hit on Friday in response to the December Employment Report from the Bureau of Labor Statistics that showed nonfarm payrolls rose just 145k in December, well below expectations for 160k […]

The S&P 500 set a new intraday high and the Nasdaq Composite Index closed at a record high yesterday as investors breathed a sigh of relief and unclenched following President Trump’s statement that he would tighten sanctions on Iran – which would remain in place “until Iran changes its behavior” — rather than use military […]

Yesterday stocks tried to shake off the stress of the rising conflict between the US-Iran, but all the majority equity indices closed in the red. Early this morning US stock market futures dropped on the news that more than a dozen ballistic missiles were launched from Iran at two military bases in Iraq that host […]

The flight to safety trade reversed mid-day yesterday and is continuing this morning even though Bloomberg is reporting Iran considering thirteen response scenarios to the death of Qassem Soleimani. President Trump yesterday threatened 52 sites for retaliation against Iran, including some of cultural significance, and sanctions on Iraq. Mr. Market is back to being unimpressed. Asian equities closed […]

Who would have guessed back in December that the US-China trade war, which utterly dominated market headlines, would be pushed to the back-burner by threats between the US and Iran lobbed back and forth across Twitter? We are pretty sure Twitter’s founder Jack Dorsey did not imagine his creation being used by the President as a […]

The seemingly unstoppable upward movement of equity markets may have met its match last night. Yesterday, the first day of trading in 2020, saw the Nasdaq 100 rise 1.6%, the Nasdaq Composite gain 1.3%, the Dow 1.2%, and the S&P 500 0.8% driven in large part by the news that China’s central bank cut reserve […]

As 5G fires up across the nation and beyond, this chip-maker will likely be called on to let phones connect to new and old generations of networks. As the smartphone market has matured, it has become increasingly tied to replacement demand. Look at these statistics: As of December 2019, there are 5.175 billion unique mobile […]

Welcome to the first day of trading in 2020! Equity markets in Asia finished the day mixed with markets in Japan and New Zealand closed. The major stock indices in Europe were mostly in the green by midday trading except for Switzerland and Russia while US equity futures indicate positive moves at the open. Even […]

Bristol-Myers Squibb, Amgen and Abbott Labs all recently raised their dividends and should prosper amid the aging population. One of my investment themes, as I look for structural changes tied to the evolving economic, demographic, technological and psychographic landscapes, is the Aging of the Population. It’s no secret that several countries are experiencing a demographic […]

The equity markets have now been closing higher for five consecutive days, marking the longest winning streak since… wait for it…  November. This is giving investors the usual Christmas rally after last year’s brutal lump of December coal. While yesterday did technically see a higher close for the major indices, it was only by a smidgen […]

As investors get ready to close the books on 2019, we will, of course, review those stocks that beat the S&P 500’s year-to-date return. Those winning stocks go hand-in-hand with the common investor phrase “generating alpha.” One of those alpha generators is… Read more here

Yesterday major US indices rose to new highs in the fourth day of positive closes, but your authors here remain traumatized after coffee futures rose 7%, the biggest rally for the commodity since 2015. The coffee market panic was driven by an off-cycle crop year in Brazil coupled with strong global demand – perhaps all those late-night […]

Over the weekend we had confirmation of the phase-one trade deal between the US and China, which is putting equity markets is in a risk-on kind of mood as we head into the last full week of trading of 2019. Asian equities closed mixed on the day, while European equities are trading higher. US futures point to […]

This is the last full week of trading in 2019 as the markets will slow considerably after that given the Christmas and New Year’s holidays. Following Friday’s developments that have likely taken a meaningful amount of uncertainty out of the market, odds are investors will once again turn to assess the speed of the global […]

Santa came a tad earlier than usual this year, giving investors what they wanted most – a reduction in geopolitical uncertainty and an increase in liquidity – but is it all as it appears? Click here to read more including key economic data for the day and stocks making headlines and other news.

Everybody loves getting a present, be it an expected or unexpected one, and we are certainly in the present-giving time of year. For investors, the unexpected present could be a surge in the share price of one of their holdings, a larger-than-expected dividend increase or, in some very special instances, a special dividend. Special dividends […]

Today is all about the Fed, which, ironically, is expected to do nothing and leave rates unchanged. The major equity markets in Asia closed mixed today without much movement in either direction. By midday trading, the major European equity markets were also mixed and again lacking significant moves. US equity futures are mixed this morning with little movement predicted at […]

Yes, all good things do come to an end and that means an end to the Tematica Investing newsletter.

The Tematica Research Cleaner Living Index, which captures those companies benefitting from the shift to better for you products and services, cleaned up in 3Q 2019 compared to all the major US stock market indices.

Today’s Big Picture US market futures point to a modestly lower open Friday morning. After the disappointing manufacturing and services data this week, all eyes will be on today’s Nonfarm Payrolls report, which is expected to see 145,000 jobs added in September, up from 130,000 in August with the unemployment rate holding at 3.7% and wages gaining […]

Today’s Big Picture Barring any new developments on the trade wars or impeachment inquiry front, investors are focused on the release of September services data for the US and Europe. Has the weakness in manufacturing around the world expanded has into services? Stocks in Asia again were in the red today on news that the US will […]

As we get ready for the September quarter earnings season, we’re taking a look at how the September quarter faired.

In this week’s issue we are adding a new Digital Lifestyle position to the Select List, one that is benefitting from the shift in how consumers pay. We also touch on one of the first 2019 holiday shopping forecasts that is very favorable for this new Select List resident as well as a few other Tematica choices. We’ll also use the pullback in our new Living the Life Thematic Leader to improve the average cost basis.

Get ready for the market day ahead with the latest developments that will impact the economy and the stockmarket.

As the stock market and investors wait for the Fed’s upcoming monetary policy meeting and any additional US-China trade developments, we’re adding a new Thematic Leader for our Living the Life investing theme. We also share what investors are likely to focus on in the week ahead, and why the August Retail Sales report was rather confirming from a thematic perspective.

On this episode of the Thematic Signals podcast, Tematica’s Chris Versace breaks down the latest trade developments (including why he doesn’t think a two-step deal is likely) and discusses the European Central Bank rate cut before shares his thoughts on the continued plight of brick & mortar retail as Forever 21 is slated to file […]

In this week’s issue we dig into Apple’s 2019 iPhone event (yeah it was largely expected, but there were a few positives too), why we think Elliot Management is wrong about AT&T’s media play, how Volkswagen is about to disrupt the electric vehicle market, why a new California law could wreak havoc on Uber and Lyft, and why it’s likely game over for GameStop.

Here at Tematica, one of the things we like more than anyone of our investing themes is when two or more of them intersect as it forms a super-theme of sorts. We’ve seen numerous examples over the last several quarters, but there are also times when the tailwind of one of our themes presents a […]

Thematic Signals Podcast: Fixed Income View of Today's Market

On this episode of the Thematic Signals podcast, host Chris Versace is joined by Peter Tchir, who is the Head of Macro Strategy at Academy Securities who provides his fixed income perspective on the opportunities and challenges facing the current market.

In this week’s issue we recap the August stock market turbulence and share why it is more than likely going to continue in September, which is historically the worst month for the stock market. We establish a cover price for our short position in Veeco Instruments and examine recent Cleaner Living M&A moves by The Hershey Company.

With comments on trade offering a conflicting perspective, investors should continue to focus on the data, which continues to point to a slowing global. While trade related posturing will likely continue, we will look to focus on the details of any would be trade deal. Following D23 2019, we are boosting our price target on DIS shares. Also, here’s what you should be watching during this last week of summer.

From Greenland (what was that all about?) to a serious escalation in the trade war, politics are making for a Magic 8-Ball Market.

In this issue of Thematic Investing, we dig into the July Retail Sales Report as well as the issues that confounded the stock market last week. We examine what to watch in the week ahead during the dog days of summer that brings seasonally low trading volumes. We also examine what happens when a company slashes its dividend, and it’s not good news at all.

On this episode of the Thematic Signals podcast, we’re digging into the July Retail Sales and quarterly earnings results from Walmart as both confirm the hard-blowing tailwinds associated with our Digital Lifestyle, Middle-Class Squeeze, Aging of the Population and Cleaner Living Investing themes.

Each week Team Tematica consumes a voracious amount of content as we look to stay on top of the latest data and mine it for tailwind and headwind signals for our 10 investment themes. Here’s are several notable pieces from the last few days.

As we saw last week, trade and geopolitics are likely to take center stage as the bulk of the June quarter earnings season is in the rear view mirror. While retail earnings are still ahead of us, odds are both trade and geopolitical issues will keep the market rangebound near-term as it contends with a big ball of uncertainty. Our response will be to ferret out thematically well positioned companies with inelastic business models that are dividend payers.

Investors need to be watching the moves in the dollar closely, look for those companies with strong balance sheets and cash flows and consider increasing liquidity. The next few months (at least) are likely to be a bumpy ride.

Dr. Roy Speiser of CWR Environmental Products joins this week to discuss the environmental abuse, industrial greed and governmental neglect that has led to the harsh reality that our water supply is not as clean or as safe as we think it is.

In this week’s earlier than usual issue we sum up what hit the stock market last week and where it means the herd will likely head in the near-term. The good news is, we are already there with a number of Thematic Leader and Tematica Select List holdings. We also touch on the key data to watch this week, as well as call out a confirming article in the latest issue of Bloomberg Businessweek that speaks to the coming streaming video war that could change one of the playing fields associated with our Digital Lifestyle investing theme.

This week is probably the busiest one in some time as we have a seas of corporate earnings and economic data coming at us, not to mention the Fed’s latest monetary policy meeting at which it is widely expected to cut rates. And I’ll tell you why I’m not feeling so bad about being stopped out of Netflix shares.

When economies and markets are near a turning point, often the headlines tell a very different story than is revealed by digging deeper into the data – you can’t judge a book by its cover.

A look at the thematic outlook we can piece together from the flow of earnings reports we’ve received thus far, including what’s moving Amazon (AMZN), Apple (AAPL), International Airlines Group (ICAGY), IBM (IBM), Netflix (NFLX), Skyworks Solutions (SWKS) and the impact of spending on cybersecurity.

We are in the early stages of the June 2019 quarterly earnings season, and yes, there are disappointments to be had. The economic data continues to point to a slowing economy, and expectation related concerns for the second half of 2019 remain. We are boosting our stop loss on Costco Wholesale shares, and Axon Enterprises catches a nice win.

Central bankers around the world are opening the stimulus flood gates, markets celebrate and all is good with the world… or is it?

The domestic stock market stared the September quarter giving back some of the June gains as concerns over Fed interest rate cut prospects and the June quarter earnings season weighed on investors. Heading into that, the Thematic Leaders and Select List positions have several strong performers year to date. In particular, we will continue to hold AT&T and Universal Display shares. Finally, we recap the first half return for the Tematica Research Cleaner Living Index.

Key points inside this issue  June quarter earnings season could reset second half expectations  Introducing the Tematica Research Cleaner Living Index Setting protective stop loss levels for the Select List  We are issuing a Sell rating and removing both AXT Inc. (AXTI) and Energous Corp. (WATT) shares from the Select List  And the data continues […]

As consumers continue to shift to digital shopping, a key stool in our Digital Lifestyle investing theme, we are not only seeing more companies embrace the direct to consumer (D2C) business model, but we are also seeing more digital shopping solutions for those companies come to market. Internet shopping platform company Shopify is doing just […]

There are weeks when sitting down to write this piece is tough because not much worthy of note has happened in the markets or the economy outside of the usual noise. This week, that was most definitely not the case. Thank God it is Friday – we all need a break. New Market Highs and […]

Using Options to Protect Yourself in an Uncertain Market

On this episode of the Thematic Signals podcast, Tematica’s Chris Versace is joined by Bob Lang, founder of and Chief Options Trader at Explosive Options, to talk all options and options strategies, including how an investor can use them to protect themselves in an uncertain stock market. While we focus on thematics, Bob focuses on charts and technical analysis to chart his way for both the market and his options trades.

Today we have Fed Wednesday and all eyes will be watching not only what the Fed says but how it says it when it comes to what’s next for monetary policy. Odds are the Fed will wait until it knows the fallout from the G20 summit, but investors are already bracing for an ugly next few weeks. This is prompting us to revisit stop loss levels for the Thematic Leaders.

Sal Gilbertie of Teucrium Trading joins the Thematic Signals Podcast and shares how investors should think about commodities across the 5 to 7-year cycle and why the upcoming G20 summit could serve as another catalyst for commodity prices to move higher.

Near-term bad news is good news for the stock market but we run the risk of the market over pricing in a Fed rate cut in the near-term. The key the Fed will likely be watching will be the upcoming trade meeting. Also, with GDP expectations coming down, we see more risk in EPS expectations that have yet to really follow that move lower. As the streaming video market is poised to get more competitive in the second half of 2019, we are adding a stop loss to Netflix shares.

The markets bet big on Central Bank intervention as labor markets and economic activity overall slows amidst rising geopolitical risks. Plus, we have definitive proof we’ve hit the peak of the economic cycle.

Trade worries continue to escalate stoking uncertainty in the process and raising investor concerns. This has led the major market indices to leak year to date gains, but we have yet to see the trade and tariff impact be factored into earnings and growth expectations for the second half of 2019. As that happens in the coming weeks, the market waters are likely to remain choppy at best. We’ll continue to heed the thematic signals that have guide our thematic investing lens that has allowed the bulk of the thematic leaders to shine so far in 2019.

We continue to see the market expansion for CBD products, some of which tie into our Cleaner Living investing theme while other hemp-related derivatives fall into our Disruptive Innovators theme. There is little question that a CBD infused ice cream from former hippies Ben & Jerry would be part of our Guilty Pleasure investing theme. Candidly, we […]

Welcome to the Thematic Signals podcast, where we look to distill everyday noise into clear investing signals using our thematic lens and our 10 investing themes. Every week we not only discuss key events that are shaping the stock market, but we also look at key sign posts for the changing economic, demographic, psychographic, and […]

With trade and economic uncertainty remaining in focus for the stock market, we are addding a defensive thematic position in AT&T shares to the Select List given the sticky mobile busines, 6.3% dividend yield and the pending valuation transformation to be had with WarnerMedia. Retailers continue to be in headwind hotwater with two of our investing themes, and Gap specific decision puts its dividend at risk. That has us adding a Gap put position at Tematica Options+ this week.

While the markets are obsessing over the latest trade war headlines, few are watching what really matters . . . and it affects everyone.

As expected, US-China trade has once again taken center stage, and with prospects likey stalled in the short-term, it means the market is once again sitting on trade pins and needles. Meanwhile fresh data show the economy is slowing considerably compared to the March quarter, and odds are investors will start to question June quarter EPS expectations and the market’s current valuation. With President Trump dropping the hammer on Chinese telecom company Hauwei, we discuss the impact to the Thematic Leaders and Select List residents.

A record 13.3 gigawatts of new capacity from wind producers came online in 2012, which no so coincidentally coincided with an expiring tax credit program for that year. This year, 2019, the projection is for 12.7 gigawatts of new capacity to come online. Obviously, consumer demand for alternative energy, part of our Cleaner Living investment […]

The market has embraced a new round of uncertainty as US-China trade took a route few were expecting just a few weeks ago. New rounds of tariffs have amped up trade talk tensions while leading investors to once again question growth expectations for the economy and earnings.

While the “experts” claim the economy is booming and the bull market is solid, we see the emperor does not have new clothes.

As we have long said, thematic intersections can pave the way for pronounced transformation as two tailwinds change the existing landscape. As we continue to age and live longer, companies are examining new solutions to improve those aged lives. In the past, we’ve seen those take on a variety of forms, and now we are […]

This week another Art of the Deal salvo from President Trump brought volatility back in the market as US-China trade talk concerns erupted. We suspect this is part of some late stage negotiating strategy by Trump to win extra concessions from China, but we need to see how trade talks progress this week to see what happens next. Also this week, the European Union once again trimmed its 2019 growth prospects and following its March quarter earnings we are removing Del Frisco’s shares from the Thematic Leaders.

As the March quarter earnings season wears on, we’ve got some updates to share on several thematic leaders and select list residents. We also puzzle through the latest economic data, which despite the eye popping initial March quarter GDP print suggest the global economy is on a slowing path. With a choppy earnings market, we’re sitting out from making a new options call this week, waiting for the choppy waters to calm before putting capital to work in either long or short option positions.

This morning we received the first estimate for Q1 2019 GDP, and it looked at first glance to be considerably better than was expected with the economy expanding at a 3.2% annual pace versus consensus expectations for 2.3% and growth of 2.2% in Q4 2018. Just don’t break out the champagne quite yet as right away we see reasons to dig deeper.

This week we go from the frying pan into the earnings season fire with 30% of the S&P 500 companies report their quarterly results. This will offer a number of thematic data points, as we illustrate with the results from Coca-Cola, Lockheed Martin, Twitter and Verizon. We also chew on the conflicting signals between the Retail Sales and Housing data for March. The answer to that leads us to add a call option position in Home Depot shares at Tematica Options+.

News coming out of Bentonville, AR this week details a series of store enhancements and renovations to 500 Walmart stores in the coming years. As we read through the discount retailer’s plans, the “ding” buttons were going off in our heads as many of them directly touch upon our investment themes. At a reported total cost of $11 billion, these plans are set to have a major impact on both store operations and the customer experience of shoppers. Here is a quick rundown of what we learned.

Ahead of the Easter holiday week, we have a jam packed issue as we review some of the latest economic data and breakdown the IMF’s recent downward revision for its 2019 GDP forecast. And yes, earning season is almost upon us. Before that, we have Disney’s annual Investor Day at which it will formally debut its streaming service Disney+. We also visit with Middle Class Squeeze Thematic Leader Costco Wholesale (COST) following blow out March quarter same-store sales. And eMarketer gives us reasons to be positive on Alphabet/Google as well as Thematic King Amazon. At Options+, we will continue to hold our short position in Veeco Instruments as well as our inverse call option position as earnings season gets underway.

Walmart is teaming with Alphabet Inc. to take the grocery fight via voice ordering to Amazon and its Whole Foods, Alexa combination. In a blog post, Walmart shared that starting this month, customers would be able to grocery shop through the Google Assistant by saying, “Hey, Google, talk to Walmart.” This seems like a positive […]

As we close the books on the barn burning March quarter for stocks, risks remain as we head into the March quarter earnings season. A number of Thematic Leaders delivered outsized returns during the March quarter, and we recap several positions that have been in the news including Apple, Universal Display and others.

At the intersection of our Connected Society and Disruptive Innovators investing themes sits those companies that will turn the datafication of our lives into actionable information.

The tailwinds from the offshore wind power initiatives run deep into our Cleaner Living theme, obviously. This article also shows the impact it’s having on our Disruptive Innovators theme as well.

Geopolitics continue to provide an oversized degree of uncertainty as the C suite is increasingly concerned we will experience a recession before the close of 2020. With so many unknowns, focusing on what we do know reveals significant risks.

We continue to recevie more signs of a slowing global economy that along with other factors looks to be setting up a rocky March quarter earnings season. We continue to think investors should have some downside protection in their holdings for at least the next several weeks.

With the stock market seemingly once again ignoring the growing risks that could lead to a rocky March quarter earnings season, we are making sure subscribers have downside protection amid their holdings.

We are only starting to see commercial deployment of 5G mobile technology, but efforts are already underway for the next evolution of mobile connectivity. Here at Tematica, we’ve been saying there will be another “G” after 5G, much the way there was a 4G after 3G and 2G. With applications still being realized for 4G […]

Tematica Research Context and Perspectives

The early equity market strength in 2019 has many on financial television claiming we are off to the races yet again (shock) but taking a step back and looking at both the internals of the markets and the longer-term economic and geopolitical trends, we see more signs of weakness and rising risks.

The construction and weighting of the indices that power the major market indices as well as ETFs make all the difference as highlighted by Boeing’s current 737 aircraft issues.

The driver for the market so far this week has been retail and Boeing, and we tackle what’s going on with both. We’re adding a new Disruptive Innovator to the Select List and holding steady with Del Frisco shares following good earnings, but not a word on its strategic initiatives.

Some of the issues that electric vehicle owners and potential ones have had to wrap their heads around have included contending with the maximum distance their electric vehicle can travel on a full charge, the amount of time to fully charge the vehicle and where to charge it. Even as Tesla is ramping its fast […]

Between online and mobile ordering, order ahead and in-store pickup, and scan & buy shopping, technology continues to disrupt retail. One of those key disruptors has been Amazon but others, and especially so Walmart, have been vying to catch it. In the last year, Amazon has debuted one of its latest disruptors in its AmazonGo stores […]

Last week’s economic data confirms the global economy continues to slow, and for now, the US remains the best economy on the block. Through the first two months of 2019, the domestic stock market has been on fire even as earnings expectations and dividends continue to be cut. As earnings season fades, time to watch insider selling activity to gauge what lies ahead. Following last week’s earnings report and subsequent drop, we’re doubling down on a Digital Infrastructure Thematic Leader.

Spinning out of Mobile World Congress 2019, an annual mobile event that tends to see a number of announcements each year, perhaps the biggest news on the 5G front is found in one of the smallest devices that you’ll probably never see. These strips could help solve the coverage and range issues associated with 5G […]

Liquidity Trumps Fundamentals in The March 1 edition of Context and Perspectives

Equity markets have once again diverged materially from fundamentals as the perception of the central bank put from the world’s biggest economies overrides fundamentals. I’ve been admittedly surprised by how long this has been going on and how wide the divergence has become, but we are seeing now seeing substantial overhead resistance level for the S&P 500 at a time when challenging fundamentals are growing.

In this week’s issue, we dig into the latest shareholder letter from Warren Buffett, examine the growing number of dividend cuts and other factors make the year to date melt up in the stock market something of a head-scratcher. That best performance in 20+ years hinges on a successful trade deal with China, but there are other factors that we need to examine so we don’t fall prey to a “buy the rumor, sell the news” scenario. We recap the sharp move in Universal Display shares following its latest earnings report and touch on favorable news emanating from Mobile World Congress 2019 for Nokia.

As we enter Mobile World Congress 2019, arguably the mobile event of the year, 5G network and device launch details are coming into greater focus. Verizon is taking the early lead in the US staking out 5G to 30 cities in the US by the end of 2019. Of course, 30 cities is hardly national […]

Another week of the stock market melting up as December quarter issues continue to fall the wayside. Yet, companies continue to serve up weaker guidance leading earnings expectations to fall. There are fresh concerns over the speed of the domestic economy, which continues to look like the best one on the economic block. We break down recent positive data for Amazon, Google, and Costco Wholesale, and discuss what’s ahead with Universal Display and Mobile World Congress 2019.

We’ve often said that navel-gazing in one’s home geography and not looking outside those borders can lead to missing inflection as well as tipping points. That’s especially so with our Disruptive Innovators investing theme given there tend to be some preconceived notions as to where those adoption points are likely to be. Fairly often, there […]

Context & Perspectives on the Market and Economy for February 15 2019 by Lenore Hawkins of Tematica Research

  The market is now back in a bullish mood that is driven primarily by the “not gonna happen” news flow hopes. Rate hike? Not gonna happen. Government shutdown repeat? Not gonna happen. China trade war escalation? Not gonna happen. The question is, just how long can the “not gonna happen” hopes keep pumping hot […]

As we approach the halfway market for the current quarter, stocks continued to rally as December quarter concerns appear to melt away. While the market is hopeful, we will continue to focus on the details and nitty-gritty. Several Thematic Leaders continue to trounce the market and upcoming economic data should put some favorable context around Costco Wholesale (COST) shares. With Middle-class Squeeze consumers struggling, we take a look at LendingClub (LC) shares.

We view today’s sharp drop in the shares of USA Technologies (USAT) that comes on the back of what we see as no new developments in the Board’s previously announced accounting investigation as an opportunity to improve our cost basis in teh shares. Not should we not be surprised by the resignation of its auditors, one would have expected it several weeks ago. Moreover, the revenue called into question is a modest amount vs. reported revenue for the quarters in question.

The US stock market rallied in January and continues to move higher in February even as earnings expectations for the market continue to slump. While caution is warranted near-term, opportunities are emerging with Thematic King Amazon being a shining example. A Board additional to Living the Life company Del Frisco’s signals it is seriously evaluating takeover bids.

Tematica Research Context and Perspectives for Feb 1 2019: What if Everyone Is Looking the Wrong Way?

Over the past few months, the investing markets have considered Federal Reserve Chairman Powell enemy number one. Earlier this week the markets once again showed that America’s central bank drives sentiment more than any other factor, forget trade wars, forget earnings, forget political drama, it is the Fed and only the Fed that matters. Investing is all about finding an inflection point, where the market is wrong – pricing an asset too high or too low, believing a policy to be beneficial when it isn’t or vice versa. Given the ubiquitous nature of the belief that the Fed is the central bank that really matters to the market, what if that supposition is wrong? What if everyone is looking in the wrong direction with the wrong set of expectations?

The market catches a positive breather following Apple’s not as bad as it could have been December quarter earnings report. We still have several hundred reports to go, and the preponderance of companies are issuing weaker than expected guidance. As we navigate upcoming reports and puzzle what they mean for 2019 earnings expectation, the Fed will emerge from its latest monetary policy meeting today, and later this week we should learn how the latest round of US-China trade talks went. Verizon is bulls up on 5G, and that along with issues for China mobile company Huawei as well as bullish earnings report from Ericsson pave the way for a solid one from Disruptive Innovator Leader Nokia.

We are seeing yet another shift in consumer products at the intersection of our Clean Living and Disruptive Innovators investing themes wherein the world’s biggest consumer brands are looking to provide their products to consumers in refillable containers so as to reduce waste. This creates a tailwind behind those providing the containers and the refilling […]

As earnings expectations get cut for the first half of 2019, we remove Altria (MO) from the Thematic Leaders and discuss takeout speculation on USA Technologies. With earnings season kicking into high gear over the next week, volatility is likely to ensue and that keeps us on the sidelines this week.

As the Market Bounces Off Oversold Conditions, Is this the start of another bull run?

So far in 2019, we are seeing a reversal of the heavily oversold conditions from the end of 2018. Those stocks that were hit the hardest in 2018 are materially outperforming the broader market in 2019. The fundamentals, however, both domestically and internationally are not giving us reason to think that this bounce is the start of another major bull run. With all the uncertainty out there, despite the market’s recent “feel good” attitude, we expect to see rising volatility in the months to come as these problems are not going to be easily sorted out.

The December quarter earnings season is upon us, and those reports have started on a decidedly mixed front. We’ve gotten more data pointing to a slowing economy, and the government shutdown continues. As we wait for the pace of earnings reports to move into high gear, the second half of 2018 was home to a number of thematically inspired M&A, and odds are more will be had in 2018. We add back USAT shares to the Tematica Select List and review several of the Thematic Leaders.

We have another sign that transformation is underway at the pharmacy, which over the years has morphed from pharmacy only to a mix of pharmacy, personal care products, and convenience store. Yes, I’ve been known to pick up holiday decorations and even some pre-movie candy. There has been another set of pivots, including the launch […]

Artificial Intelligence, robotics, autonomous vehicles, smartphones, tablets, and cloud computing. These are the “sexy” Disruptive Innovators, Digital LIfestyle and Digitial Infrastructure theme gadgets that grab the headlines for the annual Consumer Electronics Show held each year in Las Vegas. What isn’t expected is the latest and greatest purchases we will make for Nana in 2019.

The thematic tailwinds associated with our 10 investment themes will continue to blow hard in 2019 and we will continue to focus on those companies that are capitalizing on those tailwinds and driving profit growth. In that light, we are using the market pullback to add to Axon Enterprises, the Safety & Security Thematic Leader, which will drop the cost basis considerably.

In the coming years, the demand for chip processing power within cars is going to be enormous — even before fully autonomous vehicles even become a mainstay.  Lane control systems, adaptive cruise control, crash detection systems all place demands on the digital infrastructure inside and outside of a car, not to mention the ability for passengers to stream movies, music and other media as they pass the time.

Last night Apple fired an earnings flare across investor bows calling out the impact of not only the slowing global economy, and China’s in particular, but also the impact of the current US-China trade war. Those factors and several others are likely to weigh on corporate results and guidance to be had in the upcoming December quarter earnings season.

The stock market reacted badly to the Fed’s latest monetary policy statement, but in re-reading it, it looks to be the prudent move after all.

As we get ready for the quiet holiday weeks for the stock market, we recap Costco’s latest earnings report as well as dig into several economic ones. While the November Retail Sales report is positive for several Thematic Leaders and Select List positions, the overall report adds to the growing list of data that points to slower growth ahead. We also share what to watch this week in the markets.

As the smartphone market matures, HTC’s efforts in artificial intelligence, augmented and virtual reality are bearing fruit initially in the healthcare sector, but that is just the beginning for these Disruptive Innovation applications.

With Volvo, Daimler, Tesla and others testing electric trucks, before too long the move to electric vehicles is set to move beyond the car market driving demand for a number of newer technologies and solutions.

New touch-integrated OLED screens could jumpstart 2019 iPhone demand with a thinner, lighter and cheaper alternative to OLED displays used in the iPhone X, iPhone XS, and XS Max.

Market dynamics are reflecting the increase in macro/political volatility across much of the world, but the headlines have yet to catch up with the primary drivers underlying the deep changes. In our previous Context & Perspective piece, I discussed how we are seeing a profound decline in the level of liquidity at a time when debt levels are back to record highs. This week is a highlight reel of warning signs in the context of those record levels of debt.

An expansion of its telemedicine program with Walmart, T-Mobile and Philips to meet veteran needs, the Department of Veterans Affairs is one to watch for this aspect of our Digital Innovators investing theme, which has implications for two other investment themes.

In this issue, investor anxiety continues and we’ll hang onto our short S&P 500 position. Del Frisco’s shares garner some activity attention, but the fundamentals remain intact. Plus, what we should be focusing on in the week ahead.

Japan is embracing IoT and other disruptive technologies to address pain points associated with its aging population. These could be a harbinger of what’s to come here in the US and bodes well for several other of our investment themes.

We are adding some downside protection to our holdings even as Samsung draws a line in the 5G sand and that has us calling Nokia shares up to the Thematic Leaders from the Select List. We also add shares of Skyworks Solutions to the Contender’s List and address recent cannabis rumors surrounding Altria.

We are starting to see artificial intelligence, augmented reality and other aspects of our Disruptive Innovators being adopted in retailers to increase their services in a bid to drive traffic and revenues.

We’ve closed the books on a painful November, and while progress on the US-China trade front is popping the stock market today a number of issues remain that will likely come into focus as the relief rally fades. We recap the Thanksgiving through Cyber Monday holiday shopping, a boon for our Digital Lifestyle investing theme and discuss what investors should be watching this week as we kick off the last month of the trading year.

Ever the disruptor, Amazon is testing its cashierless checkout technology in larger format stores compared to the footprint for Amazon Go. Implications about even if Amazon keeps the technology to itself.

We are in the midst of major shifts in market dynamics. With risiing debt levels and falling liquidity we are seeing a headwind to EPS generation that investors and the multiples they assign to the stock market will have to contend with.

Ahead of the Thanksgiving holiday, the stock market continued to take several gut punches this week, which erased the market’s year to date gains. While we saw this coming, it’s still a tough pill to swallow, but we’ll be patient and prepared as we listen to the confirming data that are our Thematic Signals. Inside this issue, we chart the key items to watch over the coming days, including Black Friday to Cyber Monday, the upcoming Fed minutes and the G20 Summit face-off between the US and China. We also take a look at WATT shares.

The stock market continues to grapple with several headwinds across the geopolitical, economic and economic landscapes. Near-term the changing market mood will be challenging, but we continue to receive favorable signals that confirm our thematic approach.

After a brutal October, the market has managed to regain some of the ground it lost in the early days of November. But it is unusual for the S&P 500 to lose 10% or more twice in any given year. Going back roughly half a century, such double-dipping typically precedes or occurred in conjunction with a recession, (with the exception of 1987 which wasn’t much fun). Is this time different?

Looking to jumpstart its business and brand, Harley-Davidson is joining the ranks of electric vehicles and attempting to tap into our Clean Living investing tailwind.

While we’re enjoying the post-mid-term election rebound in the market, several concerns remain and that means remaining cautious near-term. We’re also discussing earnings from Axon, Disney and Del Frisco’s as well as sharing what’s on ou radar screen for next week. Hint: Italy.

7-11 embraces the Disruptive Innovation that is Scan & Pay to reshape the retail experience

While Wall Street questions Apple’s earnings, we see its moves as very much in step with our Digital Lifestyle investing theme.

The power of disruptive technology leads to down dog taking down those trusty Levi 501s.

Our disruptive technology investing theme is pervading many aspects of the grocery industry from robotics to autonomous delivery vans, reinventing one of the oldest sectors of the economy.

This week we closed the books on the month of October, and what a month it was for the stock market. In short, the month of October wiped out most the market’s year to date gains as investors digested both September quarter earnings and updated guidance that spurred a re-think in top and bottom line expectations.

Kroger eyeing Amazon as it implements robotics in its warehouses to improve its operations.

As expected economic reality is catching up with the stock market, leading to another volatile week as investors reset expectations. With more of the same likely on tap next week, I’m sitting back and collecting earnings-related data points to update our investing mosaic using our thematic lens as the risk to reward in stock prices becomes more favorable.

October Buy-the-Dip Trick or Treat?

For months we have pointed out that US stocks have been outperforming the rest of the world and we warned that this earnings season would likely be a very bumpy ride as earnings would probably be decent, but guidance would not support the market’s multiples. Our concerns have proven warranted.

Qualcomm is partnering with Amazon to bring its Alexa digital assistant to more devices, challenging mutual foe Apple in the process.

By using virtual reality, Macy’s is not only protecting its furniture business but its greater sales conversions and fewer returns.

In a busy as well as volatile week, we continue to receive confirming data points for our investment themes and thematic holdings from a variety of sources including the September Retail Sales report as well as September quarter earnings reports and other events. This week we are scaling once again into our DFRG shares.

What we are currently seeing in the market is a symptom of a whole lot of leverage in equities that had been in rich territory at a time when, even though it is still moving along, signs abound that the economy is slowing. Is this a ‘buy the dip’ opportunity or is it just the […]

Divvy aims to address the pain point of affordable housing, but is it the right time in the business cycle for this disruptive business model ?

Following yesterday’s sharp selloff, we’re explaining the why behind it and what our battle plan will be over the coming days and weeks as corporate reporting for the September quarter kicks into high gear.

New technologies have the potential to either upend the existing playing field or bring about new value propositions that render past business models passe. One of those that is expected to usher in a wider array of connectivity with speeds that match existing cable broadband speeds is 5G. Often times, these new technologies take time, […]

We’ve said it before and odds are we will say it again – applications for our Disruptive Innovators can come from a number of areas, including ones that are less than obvious. Big Data and its use in the restaurant industry is such an example as those companies look to overcome flat traffic trends and […]

When most people talk about rising disposable incomes, the knee-jerk reaction tends to be one that involves China or India. While those are natural reactions and are key drivers for our Rise of the New Middle-class investing theme, we are seeing the same begin to unfold in Africa as auto companies invest for what they […]

In this week’s packed issue of Tematica Investing, we are adding to our positions in Alibaba (BABA) and Del Frisco’s (DFRG), assessing the National Retail Federation’s 2018 Holiday Shopping Forecast, and previewing Costco’s (COST) earnings report that will hit after today’s market close.

Revisions to S&P’s Global Industry Classification Standard (GICS) means big changes to mutual fund and ETF holdings that tracks one of several indices, but were these reclassifications outdated before they even launched?

As Tematica Investing subscribers know, we are big fans of Amazon and one of the key reasons is how it removes friction from a transaction. We are seeing others adopt aspects of our Disruptive Innovators to follow in those footsteps. More often than not the adoption of such new technologies, like Augmented Reality (AR), can […]

We’ve got a full issue this week as we tackle the findings of the recent flash ISM Report and the Business Roundtable survey, get ready for the Fed’s expected rate hike later today and share one of the bigger changes taking place at S&P that will reverberate through mutual funds and ETFs. All that plus some good news for our AAPL and OLED shares.

In Puerto Rico, we are seeing the phenomenon of Disruptive Innovation play out in the area of renewable energy as residents struggle to get back on their feet following Hurricane Maria. What was once a savings or clean energy advantage, solar power is almost becoming a necessity for safety and security.

Last week all eyes were on Apple and Fall 2018 new model iPhone launch and this week Amazon is taking the new product spotlight as it announces a number of new Echo products and others that include its digital assistant, Alexa. These products confirm that our view several years ago that voice would be the […]

There has been much talk this year about the rapid rise and fall of Bitcoin. We here at Tematica have long said the far more interesting disruptor is Blockchain, and as Bitcoin has fallen hard in recent weeks, we’ve seen a flurry of renewed news flow for blockchain, including a growing number of patent filings […]

If you’ve been in a checkout line – either one with a cashier or a self-checkout one – you’ve probably experienced the hassle of waiting in line, sometimes for what may seem like forever if coupons, checkbooks and the like are being fished for. One of the successful strategies employed by Amazon is its ability […]

Following the recasting of our investing themes over the last several, we are introducing The Thematic Leaders, which crystallize and embody their respective thematic tailwinds.

Following several bullish data points from last week, including ones found in the August Retail Sales report, we are adding to our position in Del Frisco’s Restaurant Group (DFRG). The August Retail Sales report was also positive for our Amazon, UPS, Costco Wholesale and McCormick & Co. shares.

We are on the cusp of seeing 5G network service being deployed, just not in the application that many of us would expect. That’s right, not the smartphone but rather for in-home wireless service and it’s from Verizon. Pretty interesting given that Verizon mostly stopped expanding FiOS fiber-to-the-home service in 2010 and since then has been […]

It’s rather easy to recognize the growing influence that gaming (and by that we mean video games) is having on our culture from entertainment, sports, and a few other vantage points. With networked and multi-player gaming, we are seeing gaming chip away at more traditional forms of content consumption, with certain titles giving way to […]

In this issue, we finish our thematic recasting as we revisit our Aging of the Population investing theme and introduce AMN Healthcare (AMN) shares to fold.

With the news of delayed 10K filing and an internal investigation into accounting and other issues, we are exiting the shares of USA Technologies.

The right to defend yourself and your property apply in today’s increasingly connected world, just as it did more than 200 years ago. While the public debate and much of the media coverage focus on the Second Amendment and the right to keep and bear arms, the threats we face today are changing, just as the way we interact with people, data and content are changing.

Based on the company’s robust August same-store sales results, which capped its August quarter, we are boosting our price target on COST shares to $250 from $230.

The inelastic nature of the products produced by these guilty pleasure companies has enabled them to weather price increases better than other products and services that are considered to be more of a commodity in nature. One in particular, as unfashionable as it might be, has us adding it to the Tematica Select List this week.

When even the owner of a gym is struggling the time for fitness, we see the market as ripe for a Disruptive Innovator. Peleton is the first major entrant into this space we see between Disruptive Innovator and the Digital Lifestyle in which those seeking fitness are able to squeeze a class into their ever […]

We have long said one of the dark sides of our Digital Lifestyle investing theme is a tailwind for our Safety & Security theme, and a new report makes the case for the not only the reverse, but it also invokes our Disruptive Innovators one as well. I’m talking about mobile payments. With debit and […]

In this missive, we are breaking down the August ISM Manufacturing Report and its components, plus sharing a quick update on Paccar that keeps us bullish on the shares. We also remind subscribers that after tonight’s market close, Costco Wholesale shares its latest same-store-sales report.

Tematica’s Living the Life investing theme looks to capture the global spending on higher-end affordable luxury as well as luxury branded goods and services that from an economic perspective have a high-income elasticity of demand. As people become wealthier, which we are seeing with the Rise of the Middle Class across many emerging economies, especially China, they will buy more luxury goods.

I’ve been keeping a close watch on the shares of Chipotle Mexican Grill (CMG. The company was previously part of what we now refer to as our Clean Living investment theme given its use of fresh, high-quality raw ingredients including meats that are raised without the use of non-therapeutic antibiotics or added hormones and none of the ingredients in the food (excluding beverages) in U.S. restaurants contain genetically modified organisms (GMOs). 

We are nearing the commercial deployments of 5G, one of the next-gen technologies that fall under our Disruptive Innovators investing theme. By sharing its 5G essential patent licensing rates, Nokia is offering one of the firmest signals that 5G devices will soon be a reality. Initial shipments are expected to begin in 2019 and reach […]

In this week’s issue, we are closing out our position in Habit Restaurants with a tasty gain, adding a new position in Alibaba as part of Digital Lifestyle investing theme. We also have some updates on our positions in Apple and Universal Display, both of which have been on a tear lately.

There is are several factors pressuring margins at hospitals that are poised to accelerate the pace in hospital closures. This comes at a time, keeping with or Aging of the Population investing theme and Boomer Economy Index, that population dynamics are expected to drive a spending shift that favors the demand for healthcare. As we […]

As the current bull market is poised to make history, the Tematica Investing Select List continues to deliver above market returns. Ahead of the post Labor Day race to the end of 2018, we’re pruning shares of Paccar, Rockwell Automation and GSV Capital and scaling into shares of Applied Materials and Netflix at current levels.

We saw many confirming data points for Amazon, Costco Wholesale, Habit Restaurant and McCormick & Co. shares in the July Retail Sales report as well as in Walmart’s stellar July quarter results.

  They say too much information is a dangerous thing, but in the case of consumers, access to information is helping reshape how they are living their lives: According to a recent survey from Label Insight, 39% of U.S. consumers say they would switch from the brands they currently buy to others that provide clearer, […]

As we hit the midpoint of the current quarter, we acknowledge our quarter to date winners as well as those that are lagging the market. We also scale deeper into Dycom shares, examine the impact our Middle-Class Squeeze investing theme is having on the housing market and share a Digital Lifestyle company that could be the next Blue Apron.

When it comes to the market that is diabetes — it affects some 30 million Americans, more than 9% of the population, according to the CDC and rates of those diagnosed with diabetes rises with age, to 25% of those 65 and older — we are seeing a number of new products and services that […]

After last night’s close GSV Capital (GSVC) reported June quarter results — while the financial media headlines reported a mixed quarter in terms of revenue and the bottom line — our view is the quarter was a solid one characterized by the continued increase in its net asset value per share.

With Farmland Partners slashing its 3Q 2018 dividend by 75% and dim prospects for the following dividend payment, we are exiting FPI shares as the investment thesis has changed considerably.

Last night’s July sales report from Costco confirms our thesis as it continues to take consumer wallet share and open additional warehouses that will drive high margin membership fee income.

Much the way a car would be challenging to drive if there were no roads or a radio would only play static if there were no radio stations, there would be no Digital Lifestyle to live if the underlying high-speed data networks, increasing computing power, and falling storage costs that make it possible didn’t exist, which is where our new theme, Digital Infrastructure, comes into play.

Our focus on Disney remains the coming transformative events that are the acquisition of Fox’s TV and movie assets, and the 2019 launch of its Disney streaming service. The former doubles down on the existing content strategy, while the latter could lead to a change in how investors value Disney shares. To me, that is a far greater opportunity than the modest June quarter miss on the top and bottom line.

In this week’s issue, we book a tasty win as we trim back our position in Habit Restaurant (HABT) and share some updates on Costco Wholesale and United Parcel Service.

In Japan, the number of elderly people aged 65 or older accounts for roughly 27%  of the country’s 127.1 million population and by 2050 it’s expected to reach 40%. This data from World Population Review suggests Japan is the oldest country in terms of aged population and will remain so. For us here at Tematica, it […]

We’ve seen a number of interface technologies over since the dawn of the PC age, but until now and in one way or another they have all hinged on the screen. No matter how big or how small, consumers have been able to see what they have been looking for or working on, but with […]

Amazon’s recent PillPack acquisition and surging health and beauty sales should have not only have traditional pharmacies and beauty retailers concerned but really every retailer should be asking themselves just how “Amazon-proof” is their business model?

It’s a big issue this week as we once again boost our Apple price target, talk on the shifting stock market dynamic and provide updates on Nokia, AXT, and Habit Restaurant as we also explain why we remain bullish on Amazon and Costco shares.

One of the hot topics on the street today is who will emerge as the victor when it comes to the electric vehicle. Our question is if there is no single winner in the auto segment today, why does there need to be one when it comes to electric vehicles and if that’s the case which strategy is best for investing in this tailwind?

Over the last few days, we’ve had quarterly results from two companies that are riding tailwinds associated with our Digital Lifestyle investment theme – Facebook (FB) and Amazon (AMZN). The report from each company, however, and their reception from investors couldn’t have been more different. 

  Grubhub was one of the first companies with its mobile and online ordering platforms to disrupt how we order food takeout and delivery. The company continues to expand its restaurant offering, which now spans more than 80,000 local restaurants in  1,600 cities under its Grubhub, Seamless, and Eat24 applications. With sales up 50% in […]

We’ve seen the subscription business model come back into vogue changing the way people buy meals, cosmetics, and clothing. Now we’re seeing it expand into the automotive market, which is bound to impact the auto dealer business model. Then again, as autonomous vehicles come of age in the next several years, and ride-hailing services become […]

Established businesses tend to focus on improvements to their existing products and services, making iterative changes and adjustments along the way, which allows them to maintain their pole position in their particular category, without rocking the boat too much, safe and steady. Disruptive Innovators on the other hand not only look to rock the boat but often tip it over and completely change the lake. 

This week we are in the throes of an earnings season and trade meetings that could shape the market outlook for stocks in the back half of 2018. Those same drivers will have the market trade day-to-day in the very near-term. We discuss that as well as share updates on Dycom (DY), Nokia (NOK), AXT Inc. (AXTI), Farmland Partners (FPI), Paccar (PCAR) and United Parcel Service (UPS).

We’re also looking for confirming data points for our investment themes, especially those that are poised to disrupt existing business models. In the case of 5G mobile technology, one of the meaningful questions is when we will see commercial deployments of both 5G networks and 5G devices. After all, a 5G network is pretty hard […]

  There is only so much one can learn from a two-dimensional book, and that is prompting the use of holograms, one of the technologies inside our Disruptive Technologies investing theme, in educational settings. Given the many systems and their inner workings inside the human body, holograms are a natural fit with medicine, and in […]

As the dust settles on Prime Day 2018, Amazon (AMZN) shares some positive data points that bode well for our United Parcel Service (UPS) shares, while Ericsson offers reaffirming comments on 5G that solidify our view on Dycom (DY), AXT (AXTI) and Nokia (NOK) shares.

As we get ready to drink from the earnings fire hose later this week, we share our thoughts not only the overall market but also on Amazon’s 2018 Prime Day, Netflix 2Q 2018 earnings report, what happened with Farmland Partners last week and how the June Retail Sales Report was a positive for our Habit Restaurant and Costco Wholesale shares.

We’ve recently recasted our Middle Class Squeeze and New Middle Class investing themes, which entailed splitting a few themes apart and reconstituting them to make them clearer and more focused. Today, we’re combining Connected Society, Content is King and Cashless Consumption to form our Digital Lifestyle investing theme, which reflects consumers’ existing and increasingly digital footprint and making a key addition to the Tematica Investing Select List along the way.

As part of constantly revisiting and testing our investing themes, from time to time we will make changes and enhancement to them. As part of that ongoing effort, we recently re-cast part of our Rise & Fall of the Middle Class investing theme. That move left Rise of the New Middle Class, which we’ve shortened to the New Middle Class and focuses on areas around the world, notably China and India, but other emerging markets as well where rising disposable incomes are driving demand for a host of products and services.

The growing number of headwinds from trade and tariffs to slowing growth, higher interest rates and the rebound in the dollar could result in more conservative guidance than the market is expecting. What could it mean if that expected EPS growth in the second half? Well, you’ll just have to listen to the episode to find out.

In this week’s Tematica Investing issue, we recap the 2Q 2018 performance and share why we think the upcoming earnings season is likely to lead to a major reset of earnings expectations vs. levels expected back in January. The reason? Trade, tariffs and uncertainty.

One of the industries that has both adapted to and felt the pain of our Digital Lifestyle investing theme is the music industry, something near and dear to the hearts and souls of team Tematica. Over the decades, we’ve seen the migration from vinyl albums to 8-track to cassettes to CDs followed by the abiltiy […]

When we look at any of our investment themes, we are mindful of confirming data points as well as ones that challenge their base assumptions. That is especially true with our Disruptive Technologies and Business Models investing theme. While we recognize that disruption may not play out as expected and may take hold in other […]

This week Amazon finally did what it was long rumored to do — enter the pharmacy space with its acquisition of PillPack, an online pharmacy that lets customers buy medications in pre-made doses. From my perch, I see the long expected move by Amazon into the pharmacy space as putting pressure on the prescription drug business, especially for […]

Apple CEO Tim Cook has been vocal about growing the company’s Services business as way to not only diversify its revenue stream, but in my view also make its iOS and other devices even stickier with consumers. As we have seen before Content is King is a key driver in our Digital Lifestyle investing them […]

We continue to see signals for the adoption of autonomous vehicles that will disrupt existing business models, which in our view raises more questions about not only retail store fronts, but those companies that invest in commercial real estate. We’ve long thought the brick & mortar pain would expand to include grocery and banks, and […]

This week we moved from signs that tariffs and inflation would play a role in the upcoming earnings season to investors recognizing that is the likely reality following reports from Harley Davidson and Universal Stainless & Alloy Products. With earnings expectations for the S&P 500 yet to factor in this reality, we could be in for a bumpy 2Q 2018 earnings season as expectations for the second half of 2018 get rejiggered. We’re also doing some Select List pruning, cutting GLW, LYTS and OLED shares in the process.

One of the problems with US investors is they tend not to look much past thier shores for investment opportunities or confirming data points. Here at Tematica, we recognize our investment themes are global in nature, and that causes us to take a more wholistic perspective. The US is not the only country battling truck […]

The dust has barely settled on the legal ruling that is paving the way for AT&T (T) to combine with Time Warner (TWX), and we are alread hearing of new products and services to stem from this combination. No surprise as we are seeing a blurring between mobile networks and devices, social media and content […]

From time to time we recast and sometimes streamline our investing themes to ensure they remain both relevant and relatable. This week we are combining our Cash-strap Consumer theme with the Fall in our Rise & Fall of the Middle Class to form the Middle Class Squeeze investing theme.

With trade and tariffs being the market words of the week, we review the positioning and exposure for that on the Tematica Investing Select List. We’re cutting MGM Resorts (MGM) from the Select List, and are recasting our Rise & Fall of the Middle Class theme into two – the New Middle Class and the Middle Class Squeeze.

In this week’s issue we are adding a new company, Farmland Partners, to the Tematica Investing Select List, and sharing some positive updates for Rockwell Automation shares.

Costco’s May sales data shows it continued to gain consumer wallet share in May.

In this week’s issue of Tematica Investing, we bump up our price target for Apple following WWDC 2018. MGM Resorts avoids the Las Vegas strike while Paccar shares catch an upgrade. We also examine the sudden decision by De Beers to accept lab grown diamonds, which has us looking at shares of Charles & Covard.

What can we say other than it’s the latest sign of the woes faced by traditional brick & mortar retailers – the closing of once iconic flagship locations as they are caught between the push-pull of our investment themes. In this case it’s the accelerating shift toward digital shopping that is part of our Connected […]

We continue to hear more and more about chord cutting as consumers increasingly to over the top and streaming vidoe services and they shift how, where and when they consume that content. Given the Content is King perspective that we have, it comes as little surprise to see that consumers are utilizing multiple platforms because […]

Team Tematica logs plenty of air miles each year, and we would love to see a more stream lined way to getting not only in and out of the airport, but on and off the airplane as well. It seems, we’re not alone in that thinking and now Emirates, the world’s biggest long-haul carrier, is […]

On the heels of Apple’s WWDC 2018 that unveiled a new ARKit 2.0 that will bring will jump start applications utilizing Augment Reality (AR) across Apple’s more than 1 billion iOS devices, we are apt to see more apps rolling out those features. While the WWDC demo showcased multigame playing with Lego, there have been a […]

In this week’s issue of Tematica Investing, we’re making some moves with the Tematica Investing Select List as we exit Starbucks shares and trim back our position in USA Technologies. We preview Costco’s earnings later this week and offer updates on our holdings in Apple, MGM Resorts, Paccar and Rockwell Automation.

Use for new and Disruptive Technologies tend to crop in some unexpected places, but they usually help pave the way for greater adoption. One such use for augmented and virutal reality apps is in worker training. Carrying out these tasks in the virtual world leads to not only savings, but it also allows for the […]

The iPhone is not only one of the most addictive devices around, something that is becoming even more so thanks to Fortnite, it is also one of the most connected. As tends to be the case, however, Apple will lag the overall market with features until a tipping point is at hand. It appears that […]

On the news that Apple plans to fully transition its iPhone lineup to organic light emitting diode displays, we are adding back shares of Disruptive Technology company Universal Display (OLED) to the Tematica Investing Select List.

As the market flip flops on trade negotiations with China and North Korea, we are adding back a specialty contractor that is poised to prosper from the pending 5G network buildout. We also share why we’re sticking with Applied Materials shares and dig through LendingClub shares as part of our Cash-strapped Consumer investing theme.

While we applaud Coca-Cola (KO) for embracing technology to connect with consumers while enabling them to customize their soda beverage of choice, the larger question to us is how does this fit with the shifting consumer preference for healthy food, snacks and drinks? In many ways it appears that Coca-Cola is looking to extend the […]

Target has been one of those retailers that in our view has been lost between the shift to digital commerce offerings from Amazon (AMZN) and club/warehouse ones from Costco Wholesale (COST) and others. What we find interesting is how Target continues to baby step its way into the Connected Society with GPS maps being deployed […]

Tematica Chief Macro Strategist joined Neil Cavuto and Charlie Gasparino to dig into the latest on a Delaware court ruling in favor of National Amusement’s Shari Redstone and what its impact could be on various classes of stock shares

Tematica Research co-founder Chris Versace says the Federal Reserve will likely raise interest rates four times this year, but investors should stay in the market. Click Below to Watch the Video  

The April Retail Sales report offered a number of confirming data points for several of our investment themes and a number of positions on the Tematica Investing Select List. We also preview what we’ll be listening for in upcoming earnings from Applied Materials (AMAT), and share what Apple (AAPL) CEO Tim Cook had to say about original content and Apple.

Disney’s March quarter earnings confirmed the power of our Content is King investing theme as well as the benefits to be had with lower tax rates and share buyback programs. Operating results were favorable as was cash generation, and with prospects of more to come Disney is moving down the path with its own direct to consumer streaming services. If those services are successful, it could cause a major re-think in how peopel value DIS shares.

This week we are adding shares of a quick-service restaurant chain as part of our Guilty Pleasure investing theme , while also boosting our price target on a recently added name to the Tematica Investing Select List following robust margin performance in the March quarter and strong prospects for more realized synergies.

We are turning a rare mistake into a long-term opporutnity as we formally add shares of AXT (AXTI) back to the Tematica Investing Select List.

Technology tends to bring disruption, and more often than not disruption upends existing business models often times with a ripple effect in tow. Many people tend to think of direct impact, while we here at Tematica think of that as well as the second and third derivatives to be had. Maybe its the fact that […]

Live from the floor of the NYSE, Tematica CIO Chris Versace shares his insights into the latest earnings release by Apple (AAPL) and Snap (SNAP) and explains that while Apple is much more than a cell phone company, SNAP is really just a feature, not a sustainable business model as it stands now.

During a busy week of earnings and start of the month economic data, Apple once again put the doomsayers in their place with another quarterly beat and an upsized capital return program that supports our $200 price target. Let’s talk the Fed ahead of today’s latest monetary policy press release, and we’re using the robust pullbacks in AXTI and LYTS to scale into these positions on the Tematica Investing Select List.

  Literally from “the street”, Tematica Chief Investment Officer joined Olivia Voznenko of Modern Wall Street from just outside the New York Stock Exchange to discuss what we were looking to see from Apple’s quarterly earnings announcement:   As a bonus question, Olivia asked Chris the question we always like to hear: “what industries are […]

We’re seeing an earnings season develop that far from what was expected. The S&P 500 group of companies were expected to deliver 17%-18% EPS growth year over year in 1Q 2018 and reaffirm the outlook that would equate to at least 18% EPS growth in 2018 vs. 2017. The commentary that we’ve gotten over the last week, raises some questions about those growth expectation.

Earnings season for 1Q 2018 is underway, and while we’ve gotten off to a promising start, the season is only just getting started. We’ll continue to watch all the data as it comes in for 1Q 2018 to size up what we’re likely to hear in the coming weeks. We’ve got some bullish results from a competitor of Applied Materials, and we’re putting Habit Restaurant shares under the microscope.

As the stock market continues to see-saw back and forth based on the latest headlines emanating on the geopolitical front, we’re adding back shares in this Cashless Consumer company to the Tematica Investing Select List, and checking in on several other Select List positions. With 1Q 2108 earnings season kicking off next week, we’re likely to see the uncertainty of the last few weeks play out in corporate guidance, making the market volatility to continue. Our perspective should be it’s a chance to scoop up well thematically positioned companies at better prices.

Amid all of the market gyrations, we continue to focus on the medium to longer-term opportunities associated with our thematic signals. That has us issuing a Buy rating and to the Tematica Investing Select List for a company with an Asset Lite investment theme angle.

As we digest this tit for tat tariff action between the Trump Administration and the Chinese government, our growing concern at Tematica Research is what this means for the guidance to be had in the upcoming 1Q 2018 earnings season.

As we close the books on 1Q 2018, we are starting the new quarter off on very different footing than we have in some time – one that has investors filled with questions, concerns and a good dash of uncertainty. This is likely to make for a challenging 1Q 2018 earnings season that is right around the corner.

One of the key tenants for investing is to not fall in love with your investments, and that has putting the near-term prospects of Facebook shares under the microscope after a week-long public relations storm for the company. There is certainly going to be a short-term disruption underway in where and how companies will advertise. In the medium to longer-term, advertisers will still want to reach consumer where they are and the question is will that be Facebok?

Brookdale Senior Living is a company that is positioned to benefit from our Aging of the Population investment theme. But we must determine whether those thematic tailwinds are enough for its stock to earn a buy rating at this point in time.

Here is our quick analysis of the Fed’s monetary policy statement exiting the March 2018 meeting, and we find it rather Goldilocks in nature with risks to the upside in terms of what is to be had from tax legislation.

As we wait for the results of the Fed’s latest monetary policy meeting later today, we’ll put an Aging of the Population company under the microscope and share some thought on what renewed privacy concerns are likely to bring about.

While it is rather clear to us why Toys R Us is filing bankruptcy and even Star Wars themed toy sales weren’t enough to help Mattel (MAT) this past holiday season, in-app purchases for the new iOS version of Fortnite are rather revealing. The recently launched gaming app, which sits at the center of our […]

Shares of social media platform and Connected Society hub, Facebook, are being hit over renewed privacy concerns spinning out of more revelations concerning the 2016 presidential election. With the company already refocusing on quality interactions among its users, we expect it will answer the call for greater privacy safeguards as it expands its reach into video related content.

With headwinds mounting for Universal Display shares, we’re exiting the position on the Tematica Investing Select List and collecting the long-term gains to be had since first adding the shares in October 2016. Given the long-term prospects of organic light emitting diode displays, we’re adding OLED shares to the Tematica Investing Contender List, looking to call them back to active duty when the industry begins adding fresh capacity.

Amid DC-centric uncertainty back in vogue, we are seeing renewed uncertainty in the market this week. We’ll stick to our thematic knitting, which should Trump-proof the Tematica Investing Select List. We also game out the pending bankruptcy for Toys R Us, the latest but certainly not the last company to fall victim to our Connected Society investing theme.

Even though Costco missed EPS by a modest amount, the underlying strategy remains very much intact and that has us continuing to hold this Cash-Strapped Consumer company that is embracing aspects of our Connected Society theme.

As the market vacillates back and forth based on the latest concerning proposed steel and aluminum tariffs, we share our sobering perspective and continue to share updates for positions on the Tematica Investing Select List.

I continue to think Trump is following the negotiating strategies he laid out in his 1987 book, Art of the Deal, should Trump actually enact the trade tariffs on steel and aluminum, then what? As an investor, we have to game out the potential outcomes so we can assess the potential risk and position ourselves accordingly, which is what we’ve done here today.

The latest entrant into the meal kitting business continues our bearish call on Blue Apron (APRN) shares, and we take a look at an Aging of the Population company that looks to get a lifeline from China for its balance sheet and its business.

The February heavy truck order data is in, and it confirms the current upswing in demand that led us to add this Economic Acceleration/Deceleration position on the Tematica Investing Select List.

We have to question whether President Trump will go ahead with his proposed tariffs or is it a negotiating tactic at a time when NAFTA negotiations remain underway? We’ve seen the president pull this tactic from his book, Art of the Deal, several times over the last year and given the potential consequence of a trade war to the domestic economy as well as the stock market, there are several reasons we can’t rule this possibility out.

In this week’s review of the Tematica Investing Select List, I’ll highlight some of strong returns we’ve seen recently as well as share some of my current thoughts on its holdings. 

The increasingly short-term focused nature of the stock market has battered shares of Universal Display (OLED) as the industry takes a normal pause to digest added capacity over the last 12-24 months. We’ve seen this before, and it’s likely a bump in the road as end demand continues to rise. We will use this recent pain to our long-term advantage and scale into the position at current prices. As we do this, we are suspending our stop loss.

The stock market will pivot and roll based on the latest data point similar to what we saw between the January Employment Report and the January CPI Report. Said another way, volatility is back and will be with us at least for the next several weeks. As I’ve said before, volatility is not a bad thing – it can offer us an opportunity if we’re prepared, and given our Contender List, I would argue that we are just that.

We’ve got a shortened week for the stock market, but there will still be some economic data that will bring some clarity on inflation, the recent scourge of the stock market. We also have two holdings on the Tematica Investing Select List reporting earnings this week, and we share what’s expected and what we’re looking for.

The bottom line is whether you’re a fan of super hero films or not, Disney’s The Black Panther is a well-crafted story that expands as well as enhances the Marvel tapestry, and the post-credit scenes advance the inter connected storyline that Marvel has carefully put in place over the last 10 years. It’s great fun, and I recommend seeing it.

Applied Materials delivered another spectacular quarter as chips continue to become the new fabric of our digital lives and OLED demand continues to not only grow but widen out as well. The cherry on top was the boosted dividend, which adds support to the upside with our price target, and upsized buyback authorization that should cushion potential downside in AMAT shares.

Earlier this morning we received the January Consumer Price Index (CPI), one of the closely watched measures of that now dirty word – inflation. As a quick reminder, the market swings over the last two weeks were ignited by the headline wage data in the January Employment Report, as well as other signs, such as rising freight costs. This topic of resetting inflation expectations and what it may mean for the Fed and interest rates has been a topic of conversation amongst all investors this week.

You’ve probably noticed that retailers are doing all they can to clear out winter-related items as they prepare for the spring season. It means sales, sales, sales, and in some cases compressed margins. Walk through almost any mall, and you’ll see signs for buy one get one free, buy one get the next one 50% […]

With the market’s volatility over the last several days, a number of stocks are revisiting levels that are 5%, 10%, 15% lower than they stood at end of January. And while investors have been thunderstruck by the market gyrations, the day to day data from the December quarter earnings season as well as recent economic data, has continued to confirm certain opportunities. One of the recurring drum beats this earnings season has been companies talking about rising freight costs and the impact on earnings, due to the national shortage in available trucks.

The recent reset for domestic stocks following a rapid ascent over the last few month has removed some of the froth from the market. Of course, as valuations levels have drifted back to earth from the rare air they recently inhabited there are opportunities this new market dynamic bring, but there have also been several casualties.

The thematic investing approach we utilize at Tematica Research focuses on identifying sustainable market shifts that come about due to shifting economics, demographics, psychographics, technologies, mixed with regulatory mandates and other forces. This week, we see all of these factors wrapped up in our Safety & Security investment theme in a decline in gun sales, […]

As we all know, yesterday’s market drop saw the Dow Jones Industrial Average fall 1,175 points, marking its worst closing point decline on record. As we like to say, context is key, and that drop of more than 1,100 points, however, equated to a percentage decline of 4.6% — understandably unsettling, but nowhere near as sharp a punch to the gut one would expect by relying on just the absolute point drop.

After yesterday’s mixed earnings blitzkrieg that featured results from Apple, Amazon, Alphabet/Google and United Parcel Services, we’re boost several price targets and trimming one.

Shares of this Disruptive Technology company are soaring after an upbeat long-term outlook

With tax reform changes poised to spur capital spending on factories and productivity improvements, we’re adding this Tooling & Re-tooling company to the Tematica Investing Select List.

While the herd is caught up in changes to Facebook that may lead to a dip in average usage, we see the surge in average revenue per user as the real drive in earnings. With advertising rates climbing and the company focused on monetizing the majority of its platforms, we see it continuing to win overall advertising spend dollars in the coming quarters.

The market’s current “priced to perfection” status has brought about some jumpiness the last few days. Such volatility is not a bad thing as it allows us to take advantage of potential disconnects between businesses and stock prices. Case in point, is the opportunity we are seeing with Universal Display and Apple.

This morning this Disruptive Technologies company delivered better than expected December quarter results, but with the market priced to perfection, investors will be drilling into its smartphone comments to determine the near-term direction of the shares. We’ll be buyers on weakness given the long-term prospects for the adoption of the company’s products.

As earnings season for the Tematica Investing Select List heats up, in this post we break down what we’ll be watching in reports from six holdings in the coming days. In particular, given the recent melt-up in the market that has been fueled in part by favorable fundamentals and 2018 tax rate adjustments, we detail what we’ll be hoping to hear from these key companies and their forecasts for the coming quarter and beyond.

Shares of this Disruptive Technology company have been hard hit in the short-term, but it’s the long game that matters most.

Following an earning beat and clarity on tax reform benefits, we are boosting our price target on this non-residential construction play.

As we wrap up an exciting week at the Inside ETFs Conference, we share our thoughts on several earnings announcements out this week that either includes or directly impact several names on our Tematica Select List, in particular, some chatter around iPhone chatter around sales.

Winter weather could hamper construction activity for this company on the Select List, but the underlying need to rebuild remains.

While some focus on the short-term, Apple remains a long-term story and a core Connected Society holding.

As we assess potential tax related benefits to be had, we’re adding this pharmacy turnaround, Aging of the Population company to the Contender List

As we move deeper into 4Q 2017 earnings season, we are seeing the Wall Street herd once again come around and upgrade companies that we’ve been bullish on and reside on the Tematica Investing Select List due to the strong thematic tailwinds propelling their businesses.

Not all retailers are riding the digital shopping tailwind that is part of our Connected Society investing theme.

Parental responsibilities are nothing new when it comes to technology, but Apple already intends to tackle this renewed concern.

Adding two infrastructure rebuilding plays to the Contender List, and watching a third as well.

2018 is off to a solid start and several positions on the Tematica Investing Select List are benefitting — as expected — from the announcements at CES 2018

Two pieces of construction related data add to our bullish outlook on this Tematica Investing Select List holding.

AT&T throws its hat into the 5G ring, and it’s good news for these two Select List holdings.

As we enter 2018, let’s recap key moves on the Tematica Investing Select List in 2017 as we boost several price targets, trim one position back and see what’s on tap in January.

New gaming data from Macau confirms our cautious stance with this Guilty Pleasure holding.

Amazon was certainly the largest thematic disruptor of 2017, and by every indication it’s looking like it could be putting on a repeat performance for 2018. Of course, there are several other thematic disruptors we see on the horizon as we take out our crystal ball a peek ahead to the coming year in this special issue of Tematica Investing.

With consumers increasing shifting their content consumption to streaming services, be it online or via mobile, we are seeing a number of moves by companies to position themselves accordingly. AT&T (T) is looking to buy Time Warner (TWX), Alphabet (GOOGL) is expanding the reach of YouTubeTV and Apple (AAPL) is hiring programming talent. Amid all […]

There are several thematic aspects that make the Disney acquisition of Fox a good one.

The better than expected November Retail Sales report had several early holiday presents for the Tematica Investing Select List. We discuss!

Beneath the as expected December Fed meeting, signs emerge the stock market isn’t buying all of what Yellen had to say.

We’ve spent our fair share of time looking into the future of autonomous vehicles — the technology behind them, the players that are making it happen and the implications this new technology could have on everything from the car manufacturers to parking systems to rental car companies. One comment, in particular, stands out from our special […]

In this week’s issue, we share some larger Select List thoughts as well as what we’ll be focusing on as the Fed exits its latest FOMC meeting. We also lay the groundwork for Thursday’s earnings from Costco.

We cover a lot of ground in this week’s issue, shedding a name vulnerable to California wildfires as we discuss mobile gaming and body camera stocks and offer favorable iPhone X findings for our Apple shares.

In 2017 the intersection of our Connected Society and Content is King investing themes saw Digital Kill the TV Ad.

The adoption of social media by companies to reach customers, share its wares, drive revenues and build its brands continues. Amid the battle between Facebook and LinkedIn, we are seeing businesses embrace Instagram, in some cases as its only web presence, to reach customers. Even as we peruse Instagram, we are seeing more companies have […]

Over the last year, we’ve seen considerable progress in the use of voice interface technology, due in part to the success of Amazon’s (AMZN) Alexa, but also efforts by Alphabet and to a lesser extent Apple. Like most Disruptive Technologies, we are seeing the use cases continue to expand and ripple across our Cashless Consumption […]

In this week’s issue, we once again boost our Amazon (AMZN) price target and offer several updates alongside yet another annual dividend increase from McCormick & Company

Mobile phones are making our Connected Society ever more connected as we become increasingly obsessed with that precious device. It is the first thing many of us look at in the morning and the last thing at night, but there is ample opportunity for a lot more folks around the world to join us addicts!

The holiday weekend shopping data confirms our view on several Connected Society positions on the Tematica Select List, and the data is prompting us to book a hefty call option win for Tematica Options+ subscribers.

In this holiday week issue of Tematica Investing, we’re trimming back another profitable position and setting the stage for the upcoming holiday shopping season that kicks off later this week.

As we head into the last several months of 2017, we’re harvesting some big gains with these two thematic positions and optimizing 2017 capital gains by shedding two positions on the Select List.

Robust demand drivers discussed on last night’s earnings call has us once again boosting price targets for these two Disruptive Technology positions on the Tematica Investing Select List.

After Amazon acquired Whole Foods, it seems that many forgot about its prior effort to disrupt the grocery industry with Amazon Go. Now the company has shared that it is close to bringing this worker-less concept that relies on its mobile app and a litany of sensors to allow shoppers to do their thing all […]

E-sports has a growing fandom that is garnering corporate endorsement deals and seeing competitive leagues debut. Today we share an overview of this aspect of our Content is King investing theme.

After months of speculation over tax reform, we now have competing proposals on how to reduce corporate taxes and put more capital in the hands of individual taxpayers. From an investing perspective, there has been much buildup over what this could mean for both the U.S. economy as well as corporate profits and earnings per share as early as 2018. If you’re thinking this sounds like expectations are likely ahead of themselves, we’re right there with you.

To start the week off, we are scaling into one position, exiting another, boosting some price targets and sharing other Select List updates. This is all part of our process of cleaning up the Select List as we come down to the final stretch of 2017 and begin to prepare for 2018.

Here’s our strategy for this Connected Society-Content is King company following last night’s earnings

Over the last several trading days, we’ve had a number of companies on the Tematica Select List report their quarterly earnings. This has us focusing today’s issue on recapping what was said, and sharing our views as well as making any price target adjustments.

We are adding a position in this digital advertising platform company that is riding the shift toward digital ads.

On our recent podcast deep dive on our Connected Society investing theme, we talked about efforts to remove friction to digital shopping. We’ve seen great strides with 2-day delivery and painless return policies, but there are still a few pain points to be overcome. One of them has been the ability for consumers to see […]

As we saw in 3Q 2017 earnings results from Asset-lite Business Model company Alphabet (GOOGL) and Connected Society company Facebook (FB), the current platform of chose among consumers is mobile. We are, however, seeing the seeds of the next technology revolution — voice-powered intelligent solutions — with more players entering the fray. The current leader […]

Being a smart investor means knowing when to avoid a troubled stock like this one.

Amid a busy week that has the latest from the Fed and the first look at the proposed tax reform bill, we several earnings reports from companies on the Tematica Investing Select List

Apple reports 3Q 2017 results this week. The focus will be on the company’s guidance not only on iPhone production commentary, but the timing around these models being launched in other markets. We see the Apple story far from over and are using this opportunity to make a move on the shares with an aggressive price target.

We are taking advantage of the missed perception in yesterday’s 3Q 2017 earnings report to scale into the shares of this Disruptive Technology company on the Tematica Investing Select List.

We are boosting our price target on AMZN shares after Amazon crushed expectations, led by its increasingly profitable Amazon Web Services business, which we see as a key differentiator vs. brick & mortar retailers.

  Apple (AAPL) has historically done a very great job of expanding its capabilities by cobbling together a series of nip and tuck acquisitions in order to bring its solution to market at the right time. At its most recent iPhone event, Apple teased it would be bringing wireless charging to the iPhone and Apple […]

  Over the last three years Wal-mart has been exploring ways to compete more effectively with the rise of e-commerce, but also help improve its in-store experience for those shoppers that continue to… you know… actually go to a physical store. One of those strategies has been to test robots that would scan the shelves […]

With earnings season underway, here are our thoughts on results from AXTI, NOK, and UPS as well as comments on BETR shares.

As the pace of 3Q 2017 reports increases, we are seeing the market swing back and forth based on whatever the news is of the day —‚ good and bad. As the market goes through its daily gyrations, we’ll continue to use our thematic lens to guide us through the earnings onslaught. In particular, we take a look at recently added Corning and its first earnings announcement since being added to the Tematica Select List.

Is now the time to pick off Blue Apron, one of the more widely publicized IPO’s of 2017? In this post we dig into why this busted IPO isn’t cheap even at current levels, and it has a lot to do with the 800-pound gorilla that has entered the space, Amazon.

The investing herd continues to catch up to us, and here’s what’s on tap this for earnings on the Tematica Investing Select List

Given the growing number of cord-cutters in the U.S. as more shift from broadcast TV to a variety of streaming services, Nielsen (NLSN) is pivoting its business model to ride this Connected Society tailwind. Give the enormous pool of advertising dollars that are at stake given the shift in viewer consumption habits it makes perfect […]

As semiconductor capital equipment company Lam Research (LRC) reported quarterly earnings that topped expectations and guided the current quarter above expectations, we are boosting our price target on AMAT shares.

This week the roller coaster that is 3Q17 earnings season is reaching full speed. As we stand at the crosswinds of the thematic tailwinds and headwinds that are being revealed through all of the earnings reports and conference calls, there are several key items that we are learning from Netflix and CSX that are crucial for investors to understand.

Source: Rent the Runway seeks to broaden appeal with new monthly service |Chain Store Age   Yesterday, apparel Rent the Runway company announced a new, lower-priced service to broaden its target audience: The New York-based company on Monday announced a less costly membership option that allows women to rent four items from its website, choosing […]

Tematica’s investing strategy focuses not only on those long-term forces that generate formidable tailwinds or headwinds but also on major pain points, as solutions can generate serious value to entrepreneurs and investors alike. The problem of Social Security numbers for definitive identification is one such pain point.

Peltz’s play for P&G highlights it is not focused on true product innovation.

The publishing industry has been one of the early victims of the internet as readers shifted to online articles and publications, which altered the dynamics of the all-important advertising revenue stream and subscription dynamics. As we approach nearly two decades of internet related creative destruction, the rise of mobile usage is another thorn in the […]

As it’s transformation continues, we’re adding one of the early pioneers in the “smartphone” space to the Tematica Contender List.

While we like to focus on the out-performers we tend to spend as much if not more time on the ones that are underperforming.

  Jane Helgesen had a rough night recently, as nausea kept the 71-year-old retired nurse scurrying to the bathroom. A sensor under the bed recorded her comings and goings, sending alerts to her daughter, Britt, who lives nearby. Feeling better the next day, Helgesen used a doorbell camera to welcome guests, whose images are displayed […]

We expected the playing field in electric vehicles to become more competitive as a growing number of manufacturers looked to challenge Tesla (TSLA). Given the Rising Middle-Class and level of pollution in China — according to the Chinese Ministry of Health, industrial pollution has made cancer China’s leading cause of death — we are not […]

We have shared many a data point on the hidden costs associated with our Fattening of the Population investing theme. Recently the Center for Disease Control and Prevention reminded that us the vast majority of people do not realize the degree to which obesity and being overweight leads to cancer and other healthcare issues. We […]

We at Tematica have shared our view that Amazon (AMZN)is the innovator to watch as it continues to disrupt exisitng business models. Amazon is not always successful as evidenced by its flopping in the smartphone market, but like any true innovator they keep working at it and sometimes that means outflanking a competitor where they […]

The 2017 holiday shopping forecast from the National Retail Federation adds credence to our thesis on two call option plays.

This week we’re pouring over earnings results and beginning of the month data looking for sign posts for our investing themes, including several items impacting our Foods with Integrity investment theme, as well as the Connected Society. Additionally, we look at the weather-related impact on retail sales and what it might mean for several of the stocks on the Tematica Select List with retail exposure.

We’re upping our price target on this Connected Society derivative company as we get ready for holiday shopping 2017.

Surprise surprise! More reports on the growing frequency of cyber attacks – painful for companies and consumers, but great for this position on the Tematica Investing Select List.

A shooting in Las Vegas is pressuring casino stocks, but we’ll remain patient with the one of the Tematica Investing Select List.

We’ve seen several gaming and augmented and virtual reality applications as well as some furniture based ones come to market but now we are seeing a new partnership jump into the AR/VR waters. This pairing of MasterCard and Swarovski brings our Disruptive Technologies and Cashless Consumption investment themes together as shoppers can purchase within the […]

Applied Materials served up a stronger than expected multi-year outlook, which reaffirms our long-term view in its business as well as another.

As we close out Q317, Nike’s earnings results reinforce several as our investment themes as well as our recent comments on the dollar.

Apple shares have slipped since the company’s lackluster September special event as investors question iPhone 8 model demand ahead of the early November launch of the iPhone X. That slip in Apple shares has overflowed and resulted in the same downward pressure on our Universal Display (OLED) shares, but there is potential upside still to be had.

Apple’s shift to glass will likely drive incremental glass demand, much the way its shift to organic light emitting diode displays with the iPhone X is spurring demand for those products

The company formerly known as Google that goes by the name Alphabet is quietly expanding its hardware reach. First by scooping up certain HTC assets that helped develop Google’s Pixel smartphone, which we think is a back-door way of protecting its core search business as voice becomes a more dominant method of search. Second, Google […]

Stocks continued to inch higher over the last several days ahead of today’s next Fed policy meeting. Over the last few days, we’ve seen GDP expectations for the current quarter revised lower from economists, regional Fed banks and even companies like FedEx (FDX), which sees GDP hitting all of 2.2% this year. I continue to […]

We are exiting this Disruptive Technology position ahead of what could be a contentious time ahead of a key compliance mandate.

We are once again boosting our price target on this Disprutive Technology company, and call out what it could mean for another position on the Tematica Investing Select List.

As we enter the peak season for the corn harvest, we check in on current conditions what it could mean for CORN shares as well as a potential China-related game changer for corn demand.

Shares of LSI Industries are poised to benefit from post-hurricane rebuilding as well as the overall shift to light emitting diode (LED) lighting vs. conventional lighting technologies.

After recently adding Nokia Corp. (NOK) shares to the Contender List, we are now adding them to the Tematica Select List given continued progress in its higher margin, intellectual property (IP) business.

We knew Apple’s special event this week was headed downhill fast when the first thing mentioned about the new iPhone was the pretty colors it would come in. This week in Cocktail Investing we share our takeaways and insights for that event, as well as for the latest economic data and thematic signals that are the backbone of our thematic investing lens.

  As we’ve entered the latest season, NFL ratings have continued to fall. While some may attribute it to concussion-related concerns, we see the loss in viewers stemming from the need to compete with consumers being able to watch what they want, when they want, where they want. In other words, it’s the confluence of […]

  With innovation stalling, at least for now, in the smartphone market, we see companies shifting their R&D investments in technologies that are poised to disrupt other markets. One of those receiving the most attention these days is the automotive industry. While the guts of cars and trucks have become littered with chips and sensors, […]

Even though our concerns over the underlying fundamentals of the market remain — especially amidst this most recent rebound — thematic tailwinds continue to propel several of our positions on the Tematica Select List, particularly those tailwinds for the Cash-Strapped Consumer and Connected Society investment themes.

Guilty Pleasure company MGM Resorts is making some below the operating line moves that could give greater confidence in the company hitting EPS forecasts.

Several of the Disruptive Technologies investment theme companies on the Tematica Select List will play a key role in the Apple Special Event scheduled for Tuesday, September 12th, even if the companies themselves are never mentioned. With expectations once again running high ahead of this Apple event, here’s what we’ll be watching for as it pertains to the Tematica Select List.

While there may be some enthusiasm for Apple’s newest iPhone model, odds are it’s not going to alter the business model in a meaningful keeping the company reliant on a slowing market.

Despite the potential impact to be had from Irma, Disney’s return to business in the coming quarters, plus its buyback program, keep us comfortably patient with the shares.

As shoppers increasingly shift to digital commerce, retailers and providers of beauty products, in particular, are embracing the Disruptive Technology that is Augmented Reality (AR) to enhance the experience. The technology enables apps that allow shoppers to try products ranging from makeup to hair color, helping to shift shoppers to a company’s digital platforms. Augmented […]

Our thematic investing approach at Tematica Research includes exploring the intersection of shifting economics, demographics, psychographics, technologies, mixed with regulatory mandates and other forces. Truth be told, when it comes to regulatory mandates, more often than not we’re looking at how the government is getting in the way of innovation or pushing mandates that will force […]

In this week’s issue, we dissect what’s likely to happen in the stock market as we move deeper into September from August and face several issues that could once again make for a tumultuous, drama-filled September.

Late last week, while many were trying to squeeze in the last few days of summer vacation, Cash-Strapped Consumer company Costco Wholesale (COST) reported better than expected August sales, once again proving despite Amazon (AMZN) related fears, Costco continues to gain consumer wallet share.

A new coverage initiation pops shares of this Disruptive Technology company ahead of Apple’s next iPhone event on Sept. 12.

MGM Hotels & Resorts, Macau China

Adjusting for the impact of Typhoon Hato, August gaming revenue growth in Macau remained impressive, which is good news for our Guilty Pleasure investment theme position MGM.

  We’ve seen a number of companies, like Netflix (NFLX) and Amazon (AMZN) look to position themselves within our Content is King investing theme. It’s a smart strategy as that proprietary content is a competitive moat that helps reduce customer churn. With Watch, Facebook (FB) is looking to push into streaming video and vie with Alphabet’s […]

Over the years, we’ve seen the positive as well as the negative impact of regulatory mandates. Given our Aging of the Population theme, we suspect there is growing demand to be had for the Disruptive Technology that is self-driving cars. We also see the technology changing retail and grocery as well. While some may get […]

Our latest weekly issue of Tematica Investing sees us shedding one position, but offers confirming data points for several others on the Tematica Select List.

Best Buy continues to make progress on its digital efforts, but it’s not enough to make the Tematica grade just yet.

After visiting several Whole Foods locations, here is our initial view on the Whole Foods-Amazon marriage.

While all eyes were on the less than robustly viewed Mayweather McGregor bout in Las Vegas, upcoming data will chart the course for this Guilty Pleasure company.

Data leading to an upgrade for SBUX shares at Wedbush confirms our Rise & Fall of the Middle Class and Affordable Luxury thesis on the shares.

A filing by Samsung Electronics confirms our bullish stance on this semiconductor capital equipment company as China looks to become a player in chips.

Battle Lines Between Amazon and Wal-Mart are being set

As the country turns the page on the eclipse, political maneuvering retakes center, all while the battle lines between Wal-Mart and Amazon are being set for the future of retail. Of course, we have our sleeper pick too that is strengthening its position while everyone else focuses on WMT and AMZN.

We’re not only seeing a blurring of our Content is King and Connected Society investing themes here in the U.S., we’re seeing in China as well in a deal between Tencent and the NFL. Live news and sports were two of the holdouts in streaming content, but with Google (GOOGL) adding streaming news to YouTube; […]

Several quarters ago we shared our view that after capacitive touch, voice would be the next interface to watch. We’ve seen adoption growth in smartphones with Apple (AAPL) and Siri, Microsoft (MSFT) and Cortana, and then in intelligent speakers like Amazon’s (AMZN) Alexa powered Echo products. We’ve even read about licensing deals between Amazon and […]

Disruptive technologies have a way of upending the conventional way, and we’re starting to see that with augmented reality (AR). While games from Nintendo and demonstrations of gaming potential by Apple (AAPL) have been initial applications, AR is being adopted in a variety of shopping apps like the one from Sephora, and a new one […]

We continue to hear more and more about one aspect of our Disruptive Technology theme taking jobs. Yes, we’re talking about the growing use of robots as companies look to reduce costs while driving output higher. While we expect the use of robots to grow over time and expand the number of applications, we thought […]

One of the differentiators between successful Disruptive Technologies and those that never seem to leave the R&D stage is market acceptance, which is fueled by usable applications and products. While there has been much talk over the uses of augmented reality and virtual reality, including at Apple’s (AAPL) last WWDC event, the number of related […]

  Whether it’s on the go, at work or at home, streaming content continues to account for a growing portion of consumer content consumption. It’s, therefore, no surprise that Apple (AAPL), Facebook (FB) and others are looking to join Netflix (NFLX) and Amazon (AMZN) in delivering proprietary content. On the flip side, Disney (DIS) is […]

  Through our thematic lens, we see this as Content is King meeting the Connected Society, a theme that has led to much creative destruction over the last several years. With Netflix (NFLX), Amazon (AMZN) and now even Apple (AAPL) moving into proprietary content that is streamed to wherever and whenever consumers want, perhaps it’s […]

Our Content is King theme isn’t the only one getting a lot of attention this week as more companies look to invest not only in payments, which we see as Cashless Consumption but also artificial intelligence, a slice of our Disruptive Technologies theme. As we look at these moves, we are reminded of the global […]

Self-driving vehicles, from cars to trucks to shuttle buses, will have a disruptive effect as that technology is adopted. From a thematic perspective, we see it further transforming the retail landscape as well as shifting how people think about their cars, one of the most underutilized assets around. We also see the technology serving as […]

  Thus far Apple (AAPL) has stayed on the Content is King theme sidelines, but a combination of recent hire and a purported $1 billion check book to develop content change that. Granted, that $1 billion is well below what Netflix (NFLX) and Amazon (AMZN) are spending, but Apple has Apple TV – a solid […]

We expect Disney shares are likely to trade sideways over the next several weeks as the market continues to digest the recently announced moves by the House of Mouse. We, on the other hand, continue to see our Content is King investment theme providing significant tailwinds to the business, and as such we’re suspending our stop-loss and will instead look to use further share weakness to improve our cost position.

We expect Disney shares are likely to trade sideways over the next several weeks as the market continues to digest the recently announced moves by the House of Mouse. We, on the other hand, continue to see our Content is King investment theme providing significant tailwinds to the business, and as such we’re suspending our stop-loss and will instead look to use further share weakness to improve our cost position.

We are using the mismatch between reset earnings expectations vs. the pullback in shares of this Food with Integrity company to improve our cost basis.

It’s a phrase we use often here at Tematica, but it bears repeating: the only thing better than one thematic tailwind, is multiple tailwinds. This story on pymnts.com — a favorite of ours for keeping tabs on our Cashless Consumption investment theme among others — we count three themes:

Dan Sisco has discovered a technology that allows him to access half a dozen major TV channels, completely free.“I was just kind of surprised that this is technology that exists,” says Mr. Sisco, 28 years old. “It’s been awesome. It doesn’t log out and it doesn’t skip.”Let’s hear a round of applause for TV antennas, […]

You’ve got to spend money to make money. That appears to be the mantra over at Netflix, where the DVD-by-mail service turned mega-streaming outlet has racked up nearly $20 billion in debt expanding its platform to new areas, producing original content, and buying the rights to show other company’s movies and TV shows.The Los Angeles […]

Historically September has been one of the worst performing months for the market, and given our concerns about earnings expectations vs. the market’s valuation, the pending normalization of the Fed’s balance sheet and speed of the economy not to mention continued drama in DC and North Korea, we want to dress the investing table properly ahead of entering the last month of the quarter.

Tune in for this special episode of Cocktail Investing, featuring a recording from our last Thematic Summit that we held for our institutional subscribers at the end of June. It was a deeper than usual look at the economy and markets, and we also discussed a number of things as they relate to the Tematica Select List. The Select List is our recommended list of thematically well-positioned companies for our subscribers.

Would you consider getting a cable-replacement TV service from a cable company? If so, Comcast has a proposal for you.The company says it is rolling out an internet-based streaming video service, called Instant TV, this fall. The service will join other streaming video services from pay TV providers, including Dish’s Sling TV and DirecTV Now […]

We are in the thick of things this week, amid several hundred earnings reports, anxiously awaiting the latest Fed commentary coming out of its monetary policy meetings, and of course, there all that is coming out of Washington D.C. these days. In this week’s issue we walk through the implications of each as well as dig into thematic data points coming out of earnings reports.

While Alphabet warns of rising costs in its Google division, it crushes 2Q 2017 expectations as it continues to ride several thematic tailwinds. The market, however, is putting downward pressure on the shares, a move we don’t think is warranted as we look at the situation through our thematic investment lens.

One of things keeping the Unemployment Rate low has been the explosion in demand for workers in the many fulfillment and distribution centers across the country — after all, someone has to grab all the orders from the shelves and put them in the box to ship to you.  Or do they?

Three Square Market (32M) is offering implanted chips to employees interested in being biohacked.The new scheme, which 32M emphasized as being voluntary, begins on 1 August. According to the firm, the RFID chip will be implanted into their hand to “make purchases in their break room micro market, open doors, login to computers, use the […]

  Amazon.com Inc plans to meet on Wednesday with a dozen U.S. ranchers, seeking to expand distribution of organic and grass-fed meats as it takes over Whole Foods Market Inc, according to the meeting’s organizer.Analysts and investors have speculated that Amazon is aiming to combine its expertise in order fulfillment with the grocer’s facilities to […]

This week, Amazon sent more than a flare across the bow of newly public meal kit company Blue Apron (APRN) and took one step deeper into expanding its food focused efforts

At last weekend’s D23, Disney shared what’s up and coming for both its animated as well as live action movies. For those of us that have been paying attention, there was only modest new news, but the event did solidify our view that 2017 is a transition year for the company’s core film business and will set the stage for strong growth potential in 2018 and beyond.

Second quarter earnings season really began late last week, and it has been anything but smooth sailing, exactly as we have been predicting for awhile

    Visa Takes War on Cash to Restaurants. Company offers up to 50 merchants $10,000 apiece to upgrade payment technology and stop taking cashVisa’s new initiative is part of its broader effort to steer Americans away from using cash, long one of its biggest competitors. Visa Inc. has a new offer for small merchants: […]

There’s no disagreement from us on the underlying thesis of this article by the Wall Street Journal — that until either gas prices go up or battery prices go down, it’s still going to be cheaper to own and operate a combustion engine car. But when we look at the landscape today through our thematic lens, we see a different narrative begin to emerge

In this week’s issue, we’re adding a new commodities ETF to the Tematica Select List as part of our Scarce Resources investment theme. Plus updates on AMZN, AMT, OLED, MKC, IFF and BETR.

Amazon’s Echo is about to have some more competition in the digital assistant arena: China’s e-commerce giant Alibaba will start selling a $73 voice-activated speaker.The Tmall Genie X1 will be available for 499 yuan ($73) to the first 1,000 people who buy it during a one-month trial, the company announced on Wednesday. It may prove […]

As it seems like most of the country is on vacation this week, we’re going to use the lull in activity to take a moment to look back at the quarter that was and get our house in order as we enter the back half of the year.

With the Nasdaq Composite Index and technology, in general, starting to pull back, we’re using it as an opportunity to take our gains on this ETF and move on.

The cyber threats keep coming, which is good news for HACK, and the market seems to be putting an unfair beating on COST, which we’ll use to our advantage this morning by adding to our position.

While we see many favorable aspects to Amazon’s acquisition of Whole Foods Market, we also see the pullback in Costco shares as an opportunity to take another run at the shares of the warehouse retailer.

While many have been focused on the retail environment —and we count ourselves among them here at Tematica — we’ve also been watching the painful restaurant environment over the past few months. It’s been one characterized by falling same-store-sales and declining traffic – not a harbinger of good things when paired with rising minimum wages. […]

NIKE, Inc. (NYSE: NKE) today introduced the Consumer Direct Offense, a new company alignment that allows Nike to better serve the consumer personally, at scale. Leveraging the power of digital, Nike will drive growth—by accelerating innovation and product creation, moving even closer to the consumer through Key Cities, and deepening one-to-one connections.“Through the Consumer Direct […]

It seems every day we hear about the inevitability of the autonomous car with many hoping that it will usher in a new area of safety. Globally, road crashes are the 9th leading cause of death. Clearly, there is room for improvement and Apple’s (AAPL) CEO Tim Cook agrees, citing the auto industry as ripe for a major disruption in a recent interview.

While May Retail Sale disappointed, it confirmed several of our investing themes as well as positions on the Tematica Select List

Following last week’s addition of a Guilty Pleasure company, this week we’re adding another new position in a company that is a compound semiconductor substrate company.

Investors in some of the high-flying stocks like Facebook and Alphabet that have driven the Nasdaq Composite Index more than 17 percent higher year to date should ponder what an advertising tax could mean to revenues and EPS expectations

Macy’s (M) gross margin warnings serve as a reminder of the more than challenging retail environment that is a direct fallout of our Connected Society and Cash-Strapped Consumer investing themes.

Our Guilty Pleasure investing theme examines a variety of companies and businesses that range from alcohol, beer and spirits to chocolate, tobacco and gaming. We examine each of these, and when the time is right, meaning a thematic tailwind is blowing and there is sufficient net upside to be had, we’ll add shares to the Tematica Select List. That’s what we’re doing today with

It’s easy to imagine the battle for places to plug in an all-electric car could soon look like an airport terminal during a summer weather delay — which if you’ve been lucky enough to avoid, let’s just say it can be like a Black Friday battle royale as travellers hunt for places to plug in their i-thingies and laptops.

We nearly passed right over this article on Business Insider because it didn’t seem all that newsworthy to us — the ins and outs of how Amazon is producing its video content.  But then near the bottom came some very interesting figure: Global dominationJPMorgan has estimated that Amazon will spend $4.5 billion on video in […]

The latest May jobs creation and cuts reports confirms out views on several Tematica Select List positions

We’re adding an aerospace company to the Tematica Contender’s List, which is where we list companies that we’re doing more work on and in some cases we’re waiting for the risk to reward trade-off to reach more appetizing levels.

Over the past few years, esports have taken the gaming world by storm. Although China accounts for 57% of worldwide esports viewership, according to IHS Markit, the market in Europe has gained a lot of attention recently for its rapid growth.In the run-up to this week’s Wargaming.net 2017 World of Tanks Grand Finals in Moscow, […]

With the Burrito chain’s health scare firmly in the rearview mirror, the question still remains if this Foods with Integrity investment theme company can make the full comeback and overcome a new set of hurdles that sit in front of them. CLICK HERE TO WATCH (forward to the 38 min mark): http://www.cheddar.com/videos/147086

Facebook has signed deals with millennial-focused news and entertainment creators Vox Media, BuzzFeed, ATTN, Group Nine Media and others to make shows for its upcoming video service, which will feature long and short-form content with ad breaks, according to several sources familiar with the situation.Facebook is planning two tiers of video entertainment: scripted shows with […]

As the stock market has moved higher and higher, it’s not lost on us that a number of holdings on the Tematica Select List have been inching up week after week, closing the gap on our respective price targets.

There are several drivers of a company’s business as well as the price of its shares, assuming it is publicly traded. We described many of these in Cocktail Investing: Distilling Everyday Noise into Clear Investment Signals for Better Returns, but a short list includes new technology, regulatory mandates, the overall speed of the global economy […]

With ransomware set to be THE cyber attack strategy of 2017, here’s what Tematica learned from our conversation with Focal-Point regarding WannaCry and other ransomware attacks.

Mother Nature sensing we might like the lull after the last few week heavy flow of earnings and data, many across the globe are contending with the WannaCry ransom ware cyber attack. Today we dig into what it means for our Safety & Security investment theme position.

Traditional landline telephone service has been going the way of the Dodo bird as chord cutters look to slash communication costs and rely increasingly on their smartphones. With the latest software update, one can call or message any contact that has Amazon’s free Alexa app on their phone, an Echo or Echo Dot provided they have […]

    The battle for the digital consumer is on with Amazon responding to Walmart’s attempts to grow its online and mobile business. Back in February, Amazon cut its free shipping price from $49 to $35 and this week is slashed that down to $25, which compares to Walmart’s current $35 minimum for free shippping. […]

We see several confirmations of our thematic tailwinds in several of our holdings, including Disney (DIS), Amplify Snacks (BETR), USA Technologies (USAT), AMN Healthcare (AMN), Amazon (AMZN) and Alphabet (GOOGL).

It literally feels like every day Amazon is rolling out something new — whether it’s auto parts store, a video version of its Echo Device or a new Amazon exclusive piece of content, which we have today. It’s no secret that Amazon Prime is the Trojan Horse of everything Amazon goes these days — getting a […]

  We continue to hear more and more about the potential for self-driving cars, which falls into our Disruptive Technology investing theme, but has implications across our Connected Society, Aging of the Population and other themes as well. Even the Oracle of Omaha, Warren Buffett lamented on the disruption to be had when self-driving cars […]

TrumpCare passing the House and heading to the Senate for a vote has put pressure on healthcare workforce solutions company AMN Healthcare (AMN) even as it reported better than expected March quarter results.

We are boosting our price target on Connected Society company Facebook (FB) to $160 from $150 following this week’s better than expected 1Q 2017 quarterly results and arguably cautious outlook.

In this alert we share the consensus expectations for two key holdings on the Tematica Select List, as well as our thoughts heading into earnings reports next week.

After last night’s market close, this Disruptive Technology investment theme company smashed consensus expectations for 1Q 2017 on both the top and bottom line, leading us to raise our price target (again!)

In this week’s issue we set the table for what is expected from several companies on the Tematica Select List, and also update our price targets for Amazon and Alphabet.

While the earnings reports we’ve received thus far have been encouraging, in sifting between the headlines there are some reasons to be concerned and as we get the bulk of this week’s reports today and tomorrow, we suspect more concerns will bubble to the top. 

A preview of what we’re looking for in AT&T’s upcoming earnings announcements at the cross-section of the Connected Society and Content is King, while also looking for confirming data points to support our Dycom (DY) position

The market has been mostly trending sideways as the primary driver of the market, namely the expanding P/E ratios based on assumptions around the impact of future Trump administration policies and prospects for earnings growth, come into question. We have been seeing heavier volume on down days than on up for both the Dow and […]

During our downtime last week, we’ve rolled up our thematic sleeves and today we are adding two new positions to the Tematica Select List as part of our Cashless Consumption and Food with Integrity investing themes.

For now, Netflix Inc. investors can have rapid subscriber growth or a big jump in profit — not both.The streaming-video giant reported first-quarter user gains that fell short of estimates because there wasn’t a “House of Cards”-style hit to draw new viewers and retain others. On the other hand, the lack of big-budget productions boosted net […]

Every once and a while we come across a data point that we even we shake our heads at and today is one of those days. We know gaming is a key aspect of our Content is King investing theme, but we were surprised to learn the Universty of Utah created a varsity sports program […]

Comcast Corp (CMCSA.O) on Thursday unveiled a wireless service with an unlimited data plan, making it the first major U.S. cable provider to enter the highly competitive wireless market.Unlimited data, talk and text will be available by mid-year for $65 per line for up to five lines, or $45 per line for customers with Comcast’s […]

It looks like April is at least starting off more like March than January or February. As we discussed in this week’s Monday Morning Kickoff, we are in what we call No Man’s Land — that time period after the quarter close and before companies start reporting their earnings. It tends to be a time of reduced trading volume, something we’ve seen at both NYSE and Nasdaq listed stocks, as investors wait for tell-tale signs of what’s to come. Another way to phrase it is to say they are waiting for the first signs of what is likely to come.

The only thing better than one thematic tailwind pushing on a company’s business is two… so you can imagine how powerful three of them must be! Amazon is a company actively adding that 3rd leg to the stool.

Restaurants stocks are challenged by consumer spending and a shift in eating preferences. That same preference shift bodes very well for two “buy the bullets, not the gun” companies on the Tematica Select List

This Asset-Iite Business Model company is taking steps to win back advertisers, while a Rise & Fall of the Middle Class one holds its annual Investor Day today.

Restaurants stocks are challenged by consumer spending and a shift in eating preferences. That same preference shift bodes very well for two “buy the bullets, not the gun” companies on the Tematica Select List

  This week the House of Representatives officially confirmed Congress’ decision to repeal ISP protections which, as we discussed last week, permits internet providers like Verizon and AT&T to sell your browsing history and location info to advertisers.But never fear — PornHub is here. According to our extensive “research,” they’ve officially rolled out a secure, […]

Following in the footsteps of HBO, AT&T, and Comcast, it’s looking like Verizon wants to appeal to the watch what I want, when I want, where I want Connected Society viewer. More competition should serve to improve choice, price and programming choices, and hopefully lower cable bills as well. The question is what does this […]

Amid slowing growth prospects, we assess where thing stand in the stock market as we get ready for the deluge of 2017 first-quarter earnings announcements, which promises to result in a bumpy ride.

With three trading days left to go in the quarter, we wanted to share some quick thoughts on several Tematica Select List positions

  Since the advent of the VCR, the basic formulas has been the same: release the movie into theaters, and then after a period of time release to directly to consumers, whether it’s a premium cable channel, VCR tape, DVD, or streaming service.  Of course, what has changed has been the decrease in the period […]

If you’re a fan of that one show where the undead aren’t the biggest threat to the living, or the one where the Cinnabon guy used to be a shady-ish lawyer, but you want a little more from the shows, you’re just the person AMC is looking for: The cable network is preparing to launch an online […]

Uber Technologies Inc. is suspending its self-driving car program after one of its autonomous vehicles was involved in a high-impact crash in Tempe, Arizona, the latest incident for a company reeling from multiple crises.In a photo posted on Twitter, one of Uber’s Volvo self-driving SUVs is pictured on its side next to another car with […]

Spring has brought a different kind of fresh air to the stock market as expectations for both GDP and earnings are starting to be revised lower, and odds are there is more to come. We’ll continue to be patient and focus on thematics, with the intent of using any market weakness to add new positions to the Tematica Select List and scale into existing ones where it makes sense.

Rising consumer debt levels amid higher interest rates and a lack of wage growth are an ominous sign for this automotive company.

Over the weekend, Barron’s published two favorable articles offering confirming data points for several positions on the Tematica Select List

The power of streaming the content you want, when you want it on the device you prefer is not to be underestimated. It’s been a sea-change in how people consume content, and that has led to a shift in the hardware that people use. With Netflix outstripping digital video recorders (DVRs), we have to question […]

Whether its running out of dryer sheets, laundry detergent or even fabric softener, it’s one of those things that we tend not to think about until it’s too late. It usually means a quick run to store to grab some before that laundry pile gets too out of control. Feeling your pain, GE Appliances has […]

We’ve been hearing the rumble over virtual reality (VR) grow over the last several months, and now research firm IDC is calling for significant growth in VR shipments over the next five-years. While we can see a growing list of applications, from home repair to healthcare and education, we have to admit it’s rather rare […]

With inflation ticking up amid a slowing domestic economy, the Fed is walking a tightrope as it looks to stay on track with more interest rate hikes in 2017.

While the February Retail Sales Report headline figure came in as expected, thematic tailwinds and headwinds paved the way for those sectors that saw stronger retail sales and poured cold water on those that continue to contract.

Keeping in mind the Fed has a knack for boosting interest rates at the wrong time, and it increasingly looks like Trump’s fiscal policies will take longer than expected to take hold and boost the economy, we continue to tread prudently and cautiously in the near-term.

Donald Trump announces major cuts to several key departments in America. Voters in the Netherlands re-elect Prime Minister Mark Rutte and the results are being felt around the world, Boom Bust’s Bianca Facchinei has the full story. Chief investment officer at Tematica Research, Chris Versace joins us to discuss larger repercussion by the federal rate […]

Our collective Tematica hats are off to Lowe’s Companies as it steps up its virtual reality efforts to move past design visualization to skills training. Imagine taking classes on different remodeling projects ahead of tackling that project in your own home. This embracement of Disruptive Technologies could empower Cash-strapped Consumer to become the next set […]

Healthcare expenditures are being driven by a combination of our Aging of the Population and Rise & Fall of the Middle Class investing themes, but there are two other Tematica themes that are poised to change the how, where, when and why people consume healthcare — Connected Society and Disruptive Technology. There is little argument that […]

This Food with Integrity company delivered in-line earnings and guidance as it shrugs off food deflation with continued organic growth and cost savings initiatives.

Given all the data points we’re looking at this week the only conclusion we can draw is that things are not headed in the direction of an expanding economy, but rather a slowing one.

Snap, the parent company of Snapchat and the latest Connected Society-Content is King hybrid company has gone public but is it really worth the $34.7 billion market cap it had when it closed out its first week of trading?

As the stock market continues to melt higher, our weekend reading turned up two charts that add to our already increasingly cautious view in the near-term stock market.

We were stopped out of this Cash-strapped Consumer play amid weaker than expected earnings, but news on membership fees gives us reason to keep an eye on the shares.

Costco (COST) shares were hit on Friday following weaker than expected earnings, but news on membership fees and continued warehouse growth gives us reason to keep an eye on the shares.

What do rising minimum wages and the need for workers that are always prompt and courteous add up to? If you’re an employer, especially in the quick-service restaurant industry you may say higher costs and problems. When there are problems, companies tend to look for solutions and we’ve already seen ordering kiosks pop up at […]

We’re seeing Connected Society mobile carriers morph their business models toward Content is King given their thinking that people will want to consume content on all these mobile devices. It’s true, so true in fact that Chevrolet is following AT&T and Verizon in offering an unlimited data plan for Chevrolet owners who have an in-vehicle OnStar […]

In this week’s program, Tematica’s cocktail mixologists, Chris Versace and Lenore Hawkins talk about everything from the market’s reaction to Trump’s speech before Congress to the widening divide between the real hard economic data reports coming in, and finally an in-depth conversation with boxed.com CEO Chieh Huang

While Trump delivered a good speech last night, there was little to be had in details and policy timetables. But the stock market loved it and is gapping higher yet again today, which looks to us like it’s increasingly further out along its skis. 

Google’s YouTube on Tuesday unveiled a web-TV service that will offer a package of over 40 broadcast and cable channels for $35 a month, making the tech giant the latest entrant in a race to win over millions of consumers who are shifting away from traditional TV.The new service, dubbed YouTube TV, is set to […]

We are once again boosting our price target on this Disruptive Technology stock, which faces ramping demand across a number of applications. Subscribers that are underweight the shares should use any post-Trump speech weakness to build their positions.

Ahead of President Trump’s speech to a joint session of Congress on Tuesday, Feb. 28, investors should consider some defensive measures just in case the stock market gets a case of post-speech indigestion.

Later this week Tematica Select List company Dycom Industries (DY), a specialty contractor serving the wireless and broadband markets, will report its quarterly results. Here’s what Wall Street is expecting.

Ahead of President Trump’s speech to a joint session of Congress tomorrow night, we are putting some defensive measures into play for the Tematica Select List, which should preserve some of our year-to-date gains should the market get a case of indigestion.

In this week’s episode of Cocktail Investing, Tematica’s cocktail mixologists, Chris Versace and Lenore Hawkins sit down to discuss some of the week’s economic data, relevant political events and share where they have spotted a few of the latest Thematic Signals

  Trump is the first president to speak at CPAC since ReaganFeb. 24, 2017 – 8:17 – Tematica Research Chief Macro Strategist Lenore Hawkins, The King’s College Manhattan Finance Chair Brian Brenberg and Daily Caller News Foundation Editor-in-Chief Chris Bedford discuss President Trump’s speech at CPAC. CLICK HERE TO WATCH: Trump is the first president […]

We are once again boosting our price target on this Disruptive Technology company that is benefitting from the adoption of organic light emitting display technology across a growing number of consumer electronic and automotive applications.

Reuter’s is reporting social media giant Facebook is in talks to stream Major League Baseball games this season. Should a deal emerge between the two….

This morning we are adding this “missing link” Connected Society stock to the Tematica Select List with a Buy rating given 17 percent upside to our price target.

The last week has been a barn burner for a number of our positions on the Tematica Select List and this week we added a new Disruptive Technology position, while another reports its quarterly earnings this week.

It’s been a while since we’ve seen the TV ad touting cotton as the fabric of our lives. Over the last few years, as we’ve been migrating more and more into the digital society, we’ve thought the new fabric of our lives is chips. As we know from our devices, be it a laptop, smartphone, tablet, we are facing the need for more computing power, greater connectivity speeds and more connections into more things (cars, homes, and that Internet of Things thing).

In a shortened week, here’s what we’re watching on the earnings and economic data front as it relates to the overall economy and the Tematica Select List.

As our Disruptive Technology play on the Tematica Select List holds a series of non-deal roadshow with meetings in San Francisco courtesy of Deutsche Bank (DB), a couple of key pieces of thematic datapoints emerge.

An update on this Aging of the Population theme company with its business extremely well positioned to benefit from the healthcare worker shortage that we continue to see in the monthly JOLTS report.

Shares of this Disruptive Technology play are once again climbing higher, likely due to bullish comments shared by compound semiconductor capital equipment company Applied Materials (AMAT) on the organic light emitting diode market on its earnings call last night.

Donning our thematic hats and looking at the January report, we find continued support for the accelerating shift toward digital commerce in the January Retail Sales Report.

Earlier today the Census Bureau published its report on January Retail Sales, which topped expectations with a print of +0.4 percent vs. the expected 0.1 percent. Stripping out January Auto sales and food services, Retail sales +0.2 percent month over month. To us, the more telling figure was the 5.1 percent year over year increase […]

As we noted yesterday, Time Warner (TWX) shareholders met yesterday to decide on the $86 billion merger with AT&T (T). As expected Time Warner shareholder approved the proposed merger and coming out of that meeting, Time Warner anticipates the transaction closing before the end of 2017.

Today, shares of Disruptive Technology company and Tematica Select List resident Universal Display popped due to several catalysts including chatter over Apple (AAPL) moving its next iteration of the iPhone to organic light emitting diode display technology, and …

Since our last issue, the stock market continued to move higher on the news that President Trump will soon be sharing his tax overhaul plan and Fed Chairwoman’s Yellen’s congressional testimony yesterday.

Amazon over the past couple of years has become the prime player (sorry for the pun) in our Connected Society investment theme given it’s dominance in the eCommerce and cloud computing space. That same dominance and push into eCommerce also places it at the heart of the The third theme Amazon dances around is Content […]

As we shift more of our digital lives into the smartphone, security becomes increasingly important and that is giving rise to new technologies. Apple brought its TouchID into them mainstream with the iPhone, but Osram is scaling up its infrared iris-scanning technology for Samsung. We’re thinking these disruptive technologies are likely to move past smartphones […]

Amazon founder Jeff Bezos would make almost any list of the world’s most powerful people. In retail, he’s clearly on top, and in tech, he’s close to it. In book publishing, he would be the undisputed No. 1 for 10 years running. In addition to a $65 billion stake in Amazon, Bezos owns the Blue Origin rocket […]

Yesterday the Bureau of Labor Statistics released its monthly JOLTS report (Job Openings and Labor Turnover Summary), revealing further details on labor market conditions in December. Despite all the post-election euphoria, the number of job openings actually declined by 4k and has dropped 130k since September. While the number of new hires rose 40k, the […]

With cyber hacking back in the news on several fronts, we make a move to add a Safety & Security thematic holding.

2016 saw a dramatic rise in the number of online adverts containing malware, according to digital threat management company, RiskIQ. In total, there was a 132.6% rise in ‘malvertising’ compared with 2015. Delivered through ad networks such as Google and Facebook, threat actors use malvertising to propagate malware, ransomware, and scams (disingenuous advertising), as well […]

Hollywood, these days, seems remarkably poised for a similar disruption. Its audiences increasingly prefer on-demand content, its labor is costly, and margins are shrinking. Yet when I ask people in Hollywood if they fear such a fate, their response is generally one of defiance. Film executives are smart and nimble, but many also assert that […]

Until Apple can bring to market a new product, or reenergize an existing one that can jumpstart growth, the company will be tied to the iPhone upgrade cycle.

Amid the earnings deluge, we’ve gotten a number of confirming thematic data points, and yes, we’re going to share them with you as well as take some defensive measures to protect our current gains.

After back-to-back earnings disappointments, the market stops out one of our positions in the Tematica Select List

This morning the US Bureau of Economic Analysis published its take on Personal Income & Spending for December. We’re rather fond of this monthly report given the data contained within and the implications for several of our investment themes, including Cash-strapped Consumers as well as Affordable Luxury and the Rise & Fall of the Middle […]

Perhaps it was the success of Snap’s recent vending machine promotion that has led McDonald’s to bring the first “Big Mac ATM” to consumers, but underneath it all the increasing interest in the fast-food industry for automation and robotics is no joke. Facing increasing cost pressures, including rising minimum wages, restaurant groups from McDonald’s to […]

As quarterly earnings season moves into full swing we begin to digest all the backward-looking results and put the puzzle pieces of the forward corporate commentary together to assess its impact on our Tematica Select List positions.

Earlier this month we had CES 2017 in Las Vegas, a techie’s mecca of new whiz-bang products set to hit the market, in some cases later this year, but in others in 2018 and beyond. A person tracking the CES trade shows over the years likely remembers the changes in inputs from clunky keyboards and […]

We’ve all been there – you arrive home from the grocery store and are ready to eat a nice apple, nectarine, avocado or some other fruit or veg, and you have to content with an annoying product sticker. Worse yet, you may not see it and wind up taking a bite out of it. Individually, […]

With a 20+ day range-bound market, the presidential inauguration, the velocity of earnings reports picking up, and Eurzozone drama, we’ve opted to see how things unfold over the next several days before making any new moves.

There is little question that streaming content is altering the playing the field, not just how people consume audio and video content, but increasingly where certain content can be found. First, it was movies, then TV shows, but as back catalogs were seemingly pervasive, streaming services like Netflix, Hulu, and Amazon have looked to differentiate […]

When confronted with a structural change, like the one posed by the combination of self-driving auto technology and the psychographic shift toward fewer people owning cars instead opting for  Uber, Lyft,  Zipcar and the like most tend to contemplate the first derivative. Often times though the ripple effect to be had is far larger and […]

The NFL had a panic-filled season this year, with regards to viewership. In the the first chunk of the season, the NFL saw primetime viewership dive by double digits relative to last year. The league officially blamed the presidential election, but also said it could work on improving things like how much advertising was being served […]

JetBlue has become the first airline to provide free, high-speed Wi-Fi on all flights.The airline announced Wednesday that it will offer its “Fly-Fi” aboard every aircraft—from the departure gate to the arrival gate—so that customers can stay connected without having to wait for the aircraft to ascend beyond 10,000 feet. With Fly-Fi, passengers can watch […]

Apple and the iPhone have been at the forefront of our Connected Society investment theme and Apple Pay lands the company in our Cashless Consumption theme as well. For a long time, Apple has held off creating original content preferring instead to be a platform via iTunes and its app ecosystem for others to distribute […]

Among the sea of announcements at CES 2017, there were a number that focused on one aspect of our Disruptive Technology investing theme prompting us to make a new addition to the Tematica Select Investment List this week.

Looking back 2016 was quite the year with Greek debt relief, the EU’s tax crackdown, the sale of Yahoo ([stock_quote symbol=”YHOO”]) and rumored takeover of Twitter ([stock_quote symbol=”TWTR”]), the unexpected Brexit vote and the ensuing British Pound Sterling’s plunge to multi-decade lows, the Italian referendum followed by Prime Minister Renzi’s resignation, the troubled Monte dei […]

As we begin 2017, several positions on our Tematica Select Investment List have been named “best picks for 2017”, but our favorite stock wasn’t mentioned.

 According to data published by the Administration on Aging, about 28% (12.5 million) of noninstitutionalized older persons live alone (8.8 million women, 3.8 million men) with almost half of older women (46%) age 75+ live alone. There are all sorts of concerns over this aspect of our Aging of the Population investment theme, but where there […]

2016 was a year of marked investment in content from the likes of Netflix, Amazon and Alphabet. But there are more companies entering the fray including Facebook and even Apple. Given the global thirst for content, which both Amazon and Netflix are aiming to cater to, it comes as little surprise that Alibaba is looking […]

Talk about kismet! We just wrote about how when you examine the hours of actual use with one’s vehicle (car or truck) vs. the total cost of ownership, it’s really rather impractical. Now Mercedes unveils a potential answer to such low utilization levels that is another step in the direction of our Asset Lite investing theme […]

We keep hearing that thematic investing is gaining significant popularity in investing circles, especially when it comes to Exchange Traded Funds (ETFs). For more than a decade, we’ve viewed the markets and economy through a thematic lens and have developed more than a dozen of our own investing themes that focus on several evolving landscapes. […]

We’re starting to hear more and more about drones, and the fact that 7-11 beat Alphabet and Amazon to the punch with a delivery service is pretty big news to us. We suspect we are in very early innings with this aspect of our Disruptive Technology theme, but we’re certainly open to having burritos, burgers, […]

Looking through our thematic lens we see a number of investing themes performed extremely well for 2016

  We’ve said it more than few times… the only thing we love more than one thematic tailwind is the intersection of two or more. In the case of the Robo Barmaid, a pay-and-go beer dispenser, we’ve got three — Disruptive Technologies (robotics), Cashless Consumption (contactless payment cards) and Guilty Pleasure (the beer of course!). […]

We’ve heard quite a bit about the move to electric cars. Heck before its recently approved merger with Solar City, Tesla was essentially just an electric car company. Granted they are beautiful cars, but hardly ones that have hit the mainstream. We’ve seen competitive efforts from Chevrolet with the Volt and Honda is slated to […]

One of the bigger downfalls in our increasingly Connected Society when it comes to mobile connectivity is battery life as in making sure you have enough to keep the device powered and running. No juice in the battery means you have a brick in your hand that won’t communicate, message, shop, transact or take photos. […]

We’ve long suspected Facebook would eventually move past short video advertising into longer format programming to capture an even greater portion of the video advertising dollars that are fleeing traditional broadcast TV. It’s got the user base and aims to improve that monetization. Video content, especially outside the US, is a solid strategy to do […]

Facebook’s media headaches don’t start or end with fake news: With 1.8 billion monthly visitors, Facebook is a media-sharing powerhouse. But unlike the search giant Google or other big networks such as Twitter, Facebook exerts more control over what you see. Those News Feed algorithms are really, really good at getting you to click your […]

With all of the indices firmly in overbought territory, how likely are we to see the Santa Claus rally that traditionally comes at the end of December?

As the market continues to melt higher we continue to see favorable thematic drivers that keep a Buy rating intact on many of our positions. Also we take a look at the potential of adding a new investment theme to the mix.

Toronto Sun: Lenore Hawkins and Chris Versace guest columnists for the Toronto Sun cover the many worldwide implications for the Italian referendum on December 4, 2016

While financial, industrial and small cap stocks in the US have been partying like it’s 1979 since Trump’s election victory, investors would be wise to take more than a passing look across the Atlantic at Europe’s next biggest threat, the Italian constitutional referendum.

    Intel and Amazon plan to work together on a series of smart home initiatives in the near future, the companies announced today in conjunction with Amazon Web Services’ (AWS) re:Invent conference in Las Vegas this week.Most notably, the companies plan to create a reference design for “an Intel-based smart speaker” that includes the Alexa […]

Digital shopping blazed the consumer spending path over the last several days, firmly cementing the shift that is driving several of our Connected Society positions. This week we add another position to fully round out our Connected Society portfolio.

After the 2016 election cycle,  and the on going “threat” of Fake News, will people return to trusted sources for thier news? And do those “trusted” sources deserve their trust? Fact-checking largely didn’t begin until the stories were published. The @solikearose account has since turned private, and there don’t seem to be any reports of porn […]

Much like music, TV and movies, gaming has finally felt the pinch of the shifting preference by consumers (gamers in this case) for digital downloads over the physical cartridges of yesteryear and DVDs. We suspect mobile gaming on smartphones and the ability to download a game as well as play it where/when one wants it […]

RT BOOM BUST: Tematica CIO Chris Versace examines Fed Chair Yellen’s remarks to congress, in which she made the case for a likely December rate hike.

Lenore Hawkins, Tematica Chief Macro Strategist

RT Boom Bust: Tematica Research Chief Macro Strategist Lenore Hawkins on what to expect from markets as president-elect Trump prepares to take office

The shifting consumer preference toward food that is good for you (protein, natural, organic and others) has resulted in some interesting corporate moves including Hershey’s purchase of Krave and subsequent  dried meat bars. Some companies, like PepsiCo prefer to be more forward thinking and therefore monitor potential new snacks and ingredients. While crickets based protein […]

We’re coming to you a tad earlier than usual this week, given the Thanksgiving holiday that historically has led to reduced trading volumes as Wall Street essentially takes a four day weekend before the final sprint to the end of the year.

As the Trump Trade propels the market higher, some indices have become overbought, we are adding an ETF to the Select List.

November will showcase virtual reality technology, the next potentially disruptive technology to how people consume content. With VR headsets available from Google, Facebook, Samsung and HTC among others at a growing number of retail locations ranging from Target to Macy’s and Amazon, the showcase is likely to stoke interest this holiday shopping season. The secret […]

The center of the home has been the attention of many companies, ranging from Apple to Google and Microsoft, that emphasize differing strategies (streaming of digital content and gaming among the most prevalent). One commonality in all of this is the TV, which has gone through several upgrade cycles as new technologies, such as LCD […]

Markets are in tumult today because the degree of confidence in estimating the difference between candidate Trump and President Trump is larger than for any other presidential candidate in modern history.

While today’s teens and Millennials have enjoyed rich graphics and plotlines in their gaming experience, those of us that grew up with Missile Command, Asteroids, Centipede, Defender and many other classics fondly recall our Atari gaming system. Was it simple by today’s standards, absolutely, but we still spent hours saving the world or defending the […]

The race to replace broadcast TV with streaming services has become even more competitive with Hulu tossing it’s hat in the ring alongside the soon to be launched DirecTV Now from AT&T that is likely to benefit from the announced Time Warner acquisition. To drive viewers, it’s all about the content and increasingly proprietary content […]

Uber’s business model is one that is centered in our Asset Lite investing theme, but add in it’s partnership with General Motors and it has even more disruptive potential for how people use cars. Implications abound, but let’s remember that most auto manufacturers are also working on @#$%^& and that would put all of this on […]

We’ve continued to watch gaming become a growing force in our Content is King theme as it has spawned movies like Assasin’s Creed as well as live events that attract viewers worldwide. It was only a matter of time until Facebook focused on gaming, now we want to see how it brings its growing emphasis […]

While we continue to see thematic tailwinds blowing, several market headwinds are likely to restrain much of any progress in the coming days — a recipe that calls for staying on the sidelines for the time being.

The UK’s sharp increase in cyber security spending serves as a reminder that such security is a global problem and requires near- constant updating as the “bad guys” mount newer and different attacks. The key call is the increasing importance of deterrence, which speaks to proactive vs. reactive security.   The U.K. government will spend £1.9 […]

While we tend to shy away from initial public offerings themselves, with customers that include Coca-Cola, Under Armour and Costco now that Cloud accounting software company BlackLine is public, we’ll keep our eyes on it as a contender for our Asset-Lite investing theme and for our Thematic Index. Blackline, a Los Angeles-based accounting software company, […]

We are using the weakness in Amazon’s (AMZN) shares resulting from disappointing earnings in the short-term to build our position for the long-term.

The market has over-reacted to yesterday’s blog post by Alphabet (GOOGL) that it would pause the expansion of its Google Fiber, leading to the fall in Dycom shares by more than 14%. We smell opportunity.

This week we make a move on this global creator and manufacturer of flavors and fragrances used in everything from foods and beverages to perfumes and household products.

AT&T has been all over the news the last several days, and the news flow continues today when fresh from yesterday’s conference call to discuss the merger with Time Warner,  CEO Randall Stephenson shared its soon to launch DirecTV Now video streaming service will cost $35 per month. Details were rather sparse and we expect […]

We can deny it all we want, but the age of self-driving, driverless, or autonomous vehicles — whatever your preferred phrase would be — is coming. We’ve written how the confluence of an aging population, declining rates of Millenials even getting a license, and advancing technology will make this happen: We can fight it, but […]

After disappointing earnings reports from Sherwin Williams (SHW), Whirlpool Corp. (WHR) and Under Armour (UA) we are issuing this special alert rather than waiting until tomorrow for the next regular issue of Tematica Investing.

This week we make a move on this global creator and manufacturer of flavors and fragrances used in everything from foods and beverages to perfumes and household products.

While a current Presidential candidate might take a disparaging tone when she refers to these “basement dwellers” the world of esports (professional gamers” is starting to rack up some series dollars these days —  $250 million in esports venture investments in August alone. At Tematica, we’re of course intrigued by the eSports phenomenon when viewed through our […]

A tough week of negative earnings pre-announcements for the stock market so far, we dig into which companies are finally coming to grips with reality and what it means for our investment themes and holdings

We continue to be prudent with the Tematica Investing Select List: maximizing returns while minimizing risk as we shore up the portfolio ahead of Q3 the earnings storm.

  This morning, Hulu quietly changed the starting rate for its ad-supported tier of service to $5.99/month (down from $7.99/month). The deal only applies to new subscribers, and increases to $7.99/month after 12 months. Source: Hulu Drops Price To $5.99, But Only For New Users & Only For 12 Months – Consumerist

It seems like Amazon is reaching the tipping point of world domination. After overhauling the book publishing and distribution world long ago, it’s Amazon Prime service has reshaped the way the world shops online. Now it appears, they are going after your kids — finally integrating Twitch Interactive into its Amazon Prime video service. What […]

The backbone of our Connected Society thematic, and to some extent our Content is King thematic, is the speed at which individuals around the world can connect to the internet. It impacts everything from the security and speed to browsing and processing online transactions, to the ability to stream movies and other digital content. For […]

In this week’s issue of Tematica Investing, we take another run at Costco (COST) as part of our Cash-strapped Consumer investing theme.

In today’s issue of Tematica Investing, we review confirming data points for several of our thematic positions as we, and the rest of the world, wait for Janet Yellen to tell us what we already know.

We’ve touched on this aspect of our Content is King investing theme before, but nothing like data from PricewaterhouseCoopers to confirm it and the theme itself! Box-office markets over the next few years are expected to grow more quickly abroad than in North America, where receipts have been relatively flat and are forecast to expand […]

Yesterday, the CEO of NBC Universal revealed that even though the numbers were down, the Olympics still brought in a hefty haul for the Peacock.  Why? The Olympics bring out the endangered species — a live audience. And by “live”, we mean living breathing people sitting and watching a TV without fast-forwarding through commercials. And […]

The stock market is moving a little faster and more volatile over the last few days, far different than what we saw through most of the summer. Inside this issue we recap the drivers for the flip-flopping — it’s a technical term, trust us 😉 — of the market and what’s likely to be on investor radars next.

200+ cable channels, DVR’s, streaming content, chord-cutting . . . the list goes on and on as the reasons for declining audience levels. The one hold-out is the NFL gridiron, which seems to have been able to resist the trendline and drive large, live audiences. While the first Clinton-Trump debate of 2016 could bring in […]

The focus of the self-driving, driverless, or autonomous car and its impact typically surrounds the consumers’ acceptance of the concept and when, how and yes, if the adoption curve will ever trend upwards, let alone take on the proverbial hockey stick curve upwards. As we’ve mentioned here in Thematic Signals many times recently, we’ve ruled out […]

  When faced with the choice of where to test its first fleet of self-driving cars, Uber went with the obvious choice — Pittsburgh? Not San Francisco or San Jose. Not Austin, TX or Brooklyn, NY. Nope, they went with Pittsburgh, and this article listed below from the New York Times reveals how and why […]

While 4K TV sales are dominating the shelves these days, there isn’t much 4K content on those TV’s . . . Sony is looking to change that in advance of the holiday season . . . On stage, Cerny showed off actual 4K game footage from games like Spider-Man and Deus Ex: Mankind Divided, not […]

Tomorrow, September 7th is the anticipated launch of the iPhone 7. We have to say anticipated because Apple hasn’t officially said its planned event is for the launch of its latest iThingy. Of course, everyone knows it’s going to be the launch of the 7, so this dance is starting to get a little old, to say […]

In 2004, the price for a gallon of gas averaged $1.88.  Four years later, after topping more than $4 per gallon, the average price settled in at $3.27 per gallon for the year, a nearly 75 percent increase. This move basically put Hummer out of business as who would want 8,000 lbs of steel on […]

Commercials. No Commercials. That’s the headline of this article. It’s what’s below the headline that caught our attention, where it refers to CBS coming out with original series programming, including what appears to be a brand new Star Trek. Taking a page out of the Amazon (AMZN) and Netflix (NFLX) playbook,  CBS is embracing a […]

Another step in the appification of TV that also offers the ability to watch multiple games at the same time. Paired with the new Papa John’s ordering app also on Apple TV, it’s another reason not to get off the couch once NFL season kicks into gear. With FOX Sports GO, Apple TV users who […]

In today’s issue of Tematica Investing, we adding a new position as we dig into falling food prices (which is a good thing for this company) and the consumer’s move towards Food with Integrity.

We’ve shared here in Thematic Signals our view that the tipping for the driverless car is near. It’s quite simple really, the Millenials are driving less and fewer are even getting a license, let alone a car; while the baby-boomers are aging and giving up the keys (are having them ripped out of their bloody […]

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Several years ago Corporate America flirted with Second Life, but the combination of 3D-scanning technology and Virtual Reality (VR) could lead to a more robust shopping experience. Adoption by both businesses and consumers could accelerate the transformation of the mall from shopping hub to one more focused on dining and entertainment as consumers browse from […]

The Connected Car market lurched forward as Hyundai now offers the ability to use Amazon’s (AMZN) Alexa voice interface to control the car. Voice controls inside the car have been around for some time in products from the Honda Motor Company (HMC) and others, but the voice technology has made even Apple’s (AAPL) Siri look […]

Growing up on Long Island in the 80’s in a small town out on the North Fork called Mattituck there was a furniture store along a fairly busy street (busy for Mattituck standards). One day the owner decided to sell some used bikes out front. They sold quickly. Then he sold another bike, and another, and another, […]

Artificial intelligence. Drones. Autonomous vehicles. Voice technology. How many Domino’s (DPZ) pizzas have been consumed during late-night coding and strategy sessions across the tech-hubs throughout the world? Well, maybe the pizza delivery man has been taking notes while delivering, because don’t look now, but Domino’s is no longer just feeding the tech world, they are part […]

We are issuing a buy on this stock as part of our Rise & Fall of the Middle Class theme, which stands to benefit from robust repair & remodel spending over the next few years.

NBC is obviously scrambling to someone justify the 30% drop in viewership of this year’s games versus the London games just 4 years ago. 3.4 billion minutes of streaming is certainly impressive — and expected, to say the least considering the elements of the Connected Society thematic — but how much revenue did those minutes […]

As expectations are reset, it can mean opportunity — opportunity for taking positions in companies we see as well-positioned from a thematic perspective, but at better prices than just a few weeks ago. We saw that last week with CalAmp Corp (CAMP), and we see it again this week with this nursing staffing company

  Change is never easy, no matter what it is and how it takes shape. In this case, as the adoption rate of Replacement / Demand player Airbnb and other peer-to-peer platforms approaches the mainstream, the economic shifts occurring in local cities is dramatic. The obvious is the shift in dollars from hotels into the hands of […]

What do you get when you mash together aspects of our Connected Society  and Content is King investing themes? One answer is gaming. Add in our “Death of the Mall as You Know It” view and we are not surprised by the return of video arcades. These 21st-century arcades are filled with high-end 3D games […]

Very Minority Report-ish for the Wearables category but then again so was chiral scrolling before Apple brought it mainstream with the iPhone. Always a question of whether Disruptive Technologies such as this make it from the lab to the real world and then to commercialization, but this looks pretty cool.   A group of PhD students […]

Slowly but surely we learn of more tasks around the house, particularly those annoying ones that we’d like to put off if we can, are being overtaken by robots. While this may reduce tasks in and around the home, it does have us wondering more and more about the future of civilization and whether Disney’s […]

Another data point that the input interface is moving past hardware (keyboard, mouse, trackpad and screen) to voice. If you’ve been cooking and your hands are coated in raw chicken meat, you know the power of the voice interface associated with Amazon’s Echo and Apple’s Siri. We see far more potential as the Connected Home […]

Even the Olympics can’t overcome the shifting media consumption habits . . . So far, NBC isn’t delivering the audience it promised advertisers who spent more than $1.2 billion for commercials during the 17-day event. Of particular concern is a roughly 30% drop among viewers age 18-34, a demographic advertisers pay a premium to reach. […]

The thesis this article raises about the connection between the appeal in Donald Trump with some Americans, our desire to return to a time when things were simpler and happier (the Reagan Years) and the success of the new series “Stranger Things” from Netflix is certainly an interesting, if not entertaining read. But what caught out […]

In this week’s issue of Tematica Investing we add to the Tematica Select List with a Connected Society player, as well as include updates other key holdings, including out thoughts “The Mouse”.

Streaming video continues to grow as does consumer spending on streaming video services. That trend has led Hulu to drop its free streaming service in favor of a subscription business model. Increasingly Hulu is looking more and more like Content is King company Netflix. How long until there is so much proprietary content that we’ll be thinking once […]

Beginning all the way back in 1994 with its original investment in The Golf Channel, followed by taking a controlling stake in QVC the following year (which it eventually sold to Liberty Media for a cool $7.4 billion profit), Comcast (CSMCSA) has a history of using its muscle and foresight to secure the fuel that keeps consumers […]

  Amazon sits right in the cross-hairs of several of our themes: Connected Society (online shopping), Cashstrapped Consumer (cheap online shopping + Prime free shipping) and even Content is King with the Amazon original series. Nothing represents the impact Amazon Prime is having than this story detailing the expansion of the online giants’ fleet of […]

Closing the books on July, the Tematica Select List had a number of positions that handily outperformed the S&P 500, which rose 3.6% for the month.

RT BOOM BUST: Boom Bust host Edward Harrison talks to Tematica’s Chris Versace about stocks, with details about Google, Amazon, Apple, and Facebook and how to invest thematically if you want better returns.

The next super-hero release is typically a must-see event for the staff here at Tematica, and it’s been that way probably since Richard Donner’s Superman hit the screen in 1978. Sure, there were dark periods — most of the 90’s to be specific — and there have been times where they all start to become formulaic. For the most […]

As temperatures persist in the mid to upper 90’s across much of the country, it coincides with this move we are making to add another name to the Tematica Select List.

At Tematica Research, we identify investment themes — or thematics as we refer to them at Tematica — by looking at the intersection of shifting economics, demographics, psychographics, technologies, mixed in with regulatory mandates and other forces. To put it more simply, we look at the real world that companies are operating in, and try and […]

“Everyone’s trying to find a way to maintain market share and also extend themselves in a different way that’s maybe not traditional to retail,” said David LaPierre, a vice chairman with the Global Retail Services Team at CBRE. Source: What the changing tenant list in Times Square says about retail   A 40,000 square foot NFL […]

  The Content is King thematic — one of the better performers in our Thematic Index — focuses on how the in today’s over-stimulating world, it’s the content providers that are breaking through the noise and building lasting interactions and engagement with users. Yahoo! (YHOO) would be what we call a negative confirmation of the theme […]

5x revenue buyout? Is this the Internet Bubble again? In this case, Unilever’s $1 billion (yes, that’s billion with a “B”!) buyout of the Dollar Shave Club has less to do with its e-commerce chops than what it was able to accomplish with its content — develop a loyal following of men purchasing what basically […]

Even as the market continues it melt-up, we still maintain our cautionary approach. We’ve been asked if we feel a little bit like Chicken Little screaming that the sky is falling. The answer to that is an emphatic no.

Tematica Research Unveils The Thematic Index – An Alternative to Outdated Sector Investment Strategies
Handily outpacing the S&P 500 in the first half of 2016, the Thematic Index offers a holistic view of influences that can drive or stifle portfolio growth

FORBES: After months and months of mud raking and bravado in the financial press and no shortage of fear inducing presentations from the likes of Square Hedge Fund Manager Bill Ackman

FOX BUSINESS: Tematica Research CIO Chris Versace on the stock market and why Netflix (NFLX) shares plunged after hours.

  In yet another example of “Revenge of the Nerds”, the gamers of the world are starting to see a payoff for the thousands of hours spent playing video games. While still rare, the world of eSports is gaining enough momentum that the so-called “real sports” teams are seeing how they can get involved by […]

Even as the market continues it melt-up, we still maintain our cautionary approach. We’ve been asked if we feel a little bit like Chicken Little screaming that the sky is falling. The answer to that is an emphatic no.

This article in the Wall Street Journal talks about the new mall, one driven by our need and desire for an experience, even when shopping. It’s no longer about price or selection when you head the mall, it’s about the experience when you’re there. In our thematic world, this is an extension of the Content is […]

The Rise & Fall of the Middle Class investing thematic we’ve developed at Tematica Research largely looks at the emerging middle class in developing countries and their increasing demand for goods and services — everything from healthcare and communications, to clothing, food and consumer goods. The demand for cheap labor has led companies from all […]

Renewed Brexit fallout uncertainty and Italian banking concerns have tipped the market mood back to cautiousness. Recent earnings have been disappointing and likely set the stage for what is to be a challenging June quarter earnings season. We remain very comfortable with the Tematica Select List holdings given the mix of defensive business models and thematic tailwinds.

  We all want more and more of the comforts of home when we’re in the skies, including the ability to connect with work and friends, or continue to consume content at blistering paces — drivers of our Content is King and Connected Society thematics . Unfortunately, those connections in today’s world can also be […]

Behind all those selfies, social media posts, likes, snaps, and shares, the Millennials are starting to impact real business models like banking, insurance and investing . . . Millennials like to handle their finance themselves, and they primarily do so online. And their savvy extends beyond balancing their check books. Older Millennials are 28 percent […]

Unless you’ve been hiding under a rock over the past few days, you’ve heard that the biggest macro risk for 2016 has come to pass, as voters in the United Kingdom voted to leave the European Union last Thursday. Voter turnout was 72%, with a solid margin of 52% to 48%. The next step in the process is for the UK to invoke Article 50 of the Lisbon Treaty, but Prime Minister David Cameron has announced he will step down in October and has already made it clear that he will understandably leave this to his successor. 

Brexit polls have moved back and forth favoring “Stay” then “Leave” then “Stay” again, ping-ponging the degree of uncertainty. As we know, the stock market abhors uncertainty and has responded in kind based on the latest Brexit poll.

  The realities of the Connected Society and Content is King thematics are that consumers are ignoring the ads that are essentially funding the content they are consuming on their phones, tablets, laptops and TV’s around the world.  As made famous in the 1976 movie All the President’s Men, when you really want to know what’s […]

At over 6,000 words, this piece by Joe Nocera of the New York Times isn’t a quick read . . . but it’s worth taking the time!  The Content is King thematic we use at Tematica focuses on the epic battle being fought from all angles — from Disney (DIS) to Netflix (NFLX) to Amazon Prime (AMZN) and dozens […]

  It’s one thing to drive an electric car on a daily basis and run the risk of the battery running out . . . but what about being 30,000 fee up in the air with a battery keeping your plane aloft? This electric-powered Disruptive Technology appears to be coming to the skies if NASA and several airlines have […]

Rising disposable incomes in the emerging economies and especially in China have led to a trade up in diets, a thirst for the branded products and now travel and entertainment. This is already starting to influence content decision at the major movie studios and airline destinations,  and this will only accelerate as the influence grows. […]

Banks are increasingly adapting their business to the growing Connected Society. As comfort levels among consumers rise with Cashless Consumption, banks are able drive productivity higher and costs lower. Fewer people mean fewer salaries and lower benefit costs at a time when healthcare costs continue to climb no thanks to the Affordable Care Act. Without […]

Over the last week, we’ve seen quite a shift in investor sentiment — fear and worry has come to the forefront, eclipsing greed. We dug into this data earlier this week in the Monday Morning Kickoff, but the needle has only moved further toward fear in the last few days.

We’ve written a lot about how the Content is King and Connected Society thematics are creating the drive towards an experience-driven economy. Consumers are moving away from the American shopping mall to entertainment centers, while buying the stuff they need online through the Amazon’s of the world and the like. This article from the Wall […]

Apps are starting to blur the lines between smartphones and smartTVs, like AppleTV. From shopping to gaming, we are starting to see a more profound change beyond streaming and placeshifting for how consumers will use their TVs.  Buoyed by its $2.45 billion IPO two years ago, Europe’s answer to GrubHub is alive and kicking in 15 […]

Whether its characters from Disney’s Marvel, Star Wars or Pixar stable, or even DC’s own Batman and Superman, people will flock to the movies to quench their content thirst. Increasingly the international box office is becoming a bigger and bigger factor in movie decisions. Some film, like Expendables 3, are being made solely because of […]

Being able to monetize patent portfolio is a key strategy in our Asset-Lite business model, but that can take many forms. From an outright sale to a highly profitable licensing business model like we’ve seen at Qualcomm, Dolby and Rambus, patents can drive significant cash flow. Of course this hinges on the competitive position and time to patent expiration. Ever since […]

We always love it when organizations catch up to our way of thinking. In this case it’s a reminder that the vector of the global economy is down and its velocity slow . . . a beat we’ve been drumming for weeks here at Tematica Research.

Following Amazon’s Prime Fresh and Walmart’s teaming with Uber and Lyft for grocery delivery, the intersection of Content is King and the Connected Society is driving a shift in where and how people buy groceries and ingredients. Much like other industry shaking events associated with the Connected Society, this will have a profound impact on […]

No slowdown expected in mobile data consumption as more smartphones are sold and carriers deploy faster mobile networks globally. A rather compelling view for our Connected Society and its going global. Implication for smartphone vendors, RF chip companies, mobile infrastructure equipment and many more as newer mobile technologies are deployed. According to the recently published Ericsson […]

A step in the right direction for Cashless Consumption, and we have to wonder if KFC is a test bed for other Yum Brands (YUM) chains such as Pizza Hut and Taco Bell.  One more step toward the Cashless Consumption tipping point that is being spurred on by our Fattening of the Population investing theme. […]

Several years ago former defense secretary Leon Panetta warned about the growing threat of cyber attacks. As we wade deeper and deeper into the increasingly Connected Society in which the Internet is a backbone of commerce and transactions as well as communications and streamed entertainment, the dark side is we are increasingly at risk. Some […]

Year to date return, we’re looking at a whopping 2.58 percent for the S&P 500. Pulling the lens cap back even further, we’d see that over the last year, the S&P 500 is actually down 0.5 percent for the 12 months ending May 2016. Net net however, with the market rallying 2.3 percent last week, it was the best week for the S&P 500 over the last twelve. And so, in this week’s edition of Tematica Investing, we are making two important moves.

When a brand as trusted (and as yummy) as Oreo moves shifts gears to online and mobile as well as apps because traditional advertising isn’t getting it done…. kinda tells you something. To us its more Content is King and Connected Society at work.  Massive disruption in the ad industry prompted Mondelez to switch gears […]

This story on Abercrombie & Fitch Co. provides yet another confirming datapoint in our Connected Society thematic and the transformation of the American-style mall, which is helping to drive our Content is King thematic as well. Here are just a couple of excerpts . . . Executive Chairman Arthur Martinez attributed the decline to “traffic headwinds, particularly in […]

The market move has turned more bearish of late, and we are not surprised Wall Street has adopted the more cautious stance we’ve had these last several weeks. A headline freak out on the April CPI report shows us just how nervous the stock market is these days. We’ll continue to be disciplined when contemplating adding each new position to the Tematica Select List.

The accessibility of music driven by the digital revolution has enabled music to pervade consumers lives more than ever. With services from Pandora , iHeartMedia , Sirius XM Radio SIRI -0.37%, Apple AAPL +0.24% and Spotify, people enjoy music in places and ways never imagined just a few short years ago. For artists, the revolution has brought new platforms to reach hundreds of millions […]

The market move has turned more bearish of late, and we are not surprised Wall Street has adopted the more cautious stance we’ve had these last several weeks. A headline freak out on the April CPI report shows us just how nervous the stock market is these days. We’ll continue to be disciplined when contemplating adding each new position to the Tematica Select List.

Currently, we are dealing with a market that is seesawing around as it attempts to come to grips with slowing growth expectations, even though oil prices have continued to inch higher. But even more uncertainty is on the horizon.

As we’ve shared with you thus far, overall earnings expectations for the S&P 500 group of companies has continued to trend lower since the end of 3Q 2015. The expected volatility has us on the sidelines from jumping on new positions . . . for now. But that doesn’t mean we’re not busy sharpening our pencils and getting ready for the right opportunity.

“The Big Short” won all kinds of accolades for its vivid depiction of the 2008 financial crisis, which managed to turn complicated financial instruments into a riveting morality tale.

It’s earnings season, and with anywhere from a few hundred to more than a 1,000 companies reporting their results, this certainly makes for a volatile time with investors shooting first as results hit the tape and asking questions over the quality of those earnings later. As we navigate the maze of earnings reports to be had in the coming days, we’ll continue to refine our thematic shopping list and look to pounce on opportunities that offer a compelling risk to reward trade off.

Earnings season kicks into high gear this week. Despite the headline print of the Dow Jones Industrial Average, which has climbed just over 1 percent over the last week given the moves in the 30 stocks that comprise the index, we’re seeing choppy waters emerge following March quarter results

We are seeing a new era of content given the entrance of companies like Netflix (NFLX), Amazon (AMZN) and Hulu as well as the growing influence of gaming, which has already spawned several cross platform properties. New technologies bring challenges, but at the end of the day no matter where consumers are with whatever device they have in their hands, content is what they will be consuming in one form or another. It’s at this inflection point where we focus our investment strategy on one of the oldest content producers in the business.

Over the last few days, we’ve seen volatility creep back into the markets as more investors focus on its stretched valuation and weakening economic fundamentals. We have discussed this in recent editions of our Monday Morning Kick Off and spotlighted the disparity in this week’s edition. With the investment community realizing there is a high probability of the Fed will now only boost interest rates maybe twice in 2016 if at all, fundamentals are starting to once again take center stage.

Expectations for GDP in the current quarter fell even further this week, Fed Chairwoman Janet Yellen pushes out potential rate hike timing, dividend stocks come back into vogue as Yellen’s comments reverse hawkish comments last week and that’s good news for several of our holdings, examining Nike (NKE) and Under Armour (UA) shares, but only one gets on the Tematica Contender List, ,more thematic confirmation ripped from the headlines…

As we just mentioned new subscribers are joining us today and therefore we thought it made sense to include a recap of the current Tematica Select List. Given all that has gone on we have some new stop losses to put in place, and it seemed like a good time to share an update with existing subscribers as well.

During the last few weeks, the stock market, as measured by the S&P 500, has undergone a powerful rally. As of last night, that market had climbed 8.6% from its Feb. 11 close. While we are enjoying the market’s move higher, the economic data has continued to point to a slower domestic and global economy. Examples include the following:

It’s been another up and down week for the stock market, once again shaped by the the moves in oil prices. These movements can cause short-term disruptions in stock prices as evidenced by the gyrations of the last few weeks, but our thematic tailwinds continue to be a guiding light in the market storm.

From a market perspective, this holiday-shortened trading week certainly started off on a high note, reflecting what appeared to be progress in stabilizing oil prices in an OPEC and non-OPEC production deal. As more details became clear, however, it appeared there were cracks already in the works as oil production levels were to be frozen […]

It has been a busy week with several hundred earnings reports and a plethora of economic data that continues to point to a slowing in the domestic services economy as the domestic manufacturing economy flirts with a recession. The market continues to grapple with matching the economic reality with slower growth prospects for companies.

As the Northeast dug out from #Blizzard2016 earlier this past week, you could say the slowdown from the storm was a harbinger of what was to come this week in the form of more data pointing toward a slowing domestic and global economy. From my perspective, the Fed’s commentary following their monetary policy meeting this […]

Amid the volatility that has led all the major markets lower on a year-to-date basis, yesterday we saw a bit of a reprieve following comments from European Central Bank President Mario Draghi suggesting perhaps another round of stimulative monetary policy could be in the cards. Perhaps he had a preview of this morning’s Eurozone Flash […]

We are throwing in the towel on both Apple ([stock_quote symbol=”AAPL”]) and Skyworks Solutions ([stock_quote symbol=”SWKS”]), given respective supplier and competitor warnings that point to a very rocky road ahead in the first half of 2016. Following Thursday’s market close, both Cirrus Logic ([stock_quote symbol=”CRUS”]) and Qorvo ([stock_quote symbol=”QRVO”]) pre-announced weaker-than-expected December-quarter results, which they attribute to “customer demand.” I […]

It seems that at least once or twice per week we are asked, in some form or another, one of the following questions: • What sectors do you rate as a buy right now? • Do you like Financials? What about Technology? • What is going to be the next big sector? • What sectors […]

While the “bad news is good news” move in the market over the last few days is decidedly more enjoyable than those gut-wrenching market falls of late, it’s like a party that goes on for too long; at some point someone has to turn off the music, close up the bar and call it a […]

3Q15 was a blow to consumer confidence, and fanned the flames of uncertainty – one thing the stock market does not like. Earlier this week we closed the books on September, and we all know the market ended the month on a weak note. Taking a step back, the September quarter was mired with issues […]

The calendar has officially turned to Fall here in the United States. Of course, on the East Coast, where Tematica is based, we’ve had days that haven’t felt much different than the dog days of summer. But the level of pumpkin-spice “everything” in the stores is what we call a “confirming data-point” for the changing […]

I have written extensively about the efforts of the recording industry to squeeze blood from the streaming music industry stone by attempting to get allies in Congress and the White House to increase the royalty rate paid by streaming companies like Pandora , Apple ([stock_quote symbol=”AAPL”]), Amazon.com ([stock_quote symbol=”AMZN”]), Spotify, Google ([stock_quote symbol=”GOOGL”]) Play Music, […]

There has been a push by many politicians of both parties in Washington to beat up on Wall Street generally and hedge funds in particular. One need to look no further than Republican presidential candidate Donald Trump who claims hedge fund managers are not paying enough taxes. In a tirade that received accolades from liberals […]

The odds are pretty high that your home or office has at least one Apple device if not more. A new report from the digital media analytics company comScore suggests that Apple’s iPhone has continued to grow its lead in the U.S. smartphone market, with just over 44 percent share of all American smartphone users […]

As you digest all of the economic data we dumped on your today, you’re likely getting the correct view that we tend to look at things from several different angles, with the Employment Report being one such item. In addition to all of the third party metrics and the below the headline data we look […]

We recently closed the books on the month of August, and in short, it was one of the worst August months we have seen in some time. In our view, yet to emerge forecasted earnings revisions and second half economic expectations as well as the Fed’s upcoming FOMC meeting on September 16-17 will keep the […]

As we get through the current storm of uncertainty and into calmer waters, we’ll continue to build out our Tematica Select Investments List. We recognize the current choppiness will likely be with us until we move past the Fed FOMC meeting in a few weeks time, but we also know volatile times like this can […]

What very few are talking about is what happened just after China’s devaluation of its currency on Aug. 11 and how it could affect the U.S. going forward. When China loosened its grip, its currency fell more than China wanted. To stop the slide, the People’s Bank of China was forced to liquidate more than […]

As hard as it may be to believe, Microsoft MSFT -4.88% remains in a dispute with the Internal Revenue Service (IRS) over an audit from ten years ago. The extensive audit by the IRS stems over how tax is calculated for income made by Microsoft overseas. Granted Microsoft is large international company with revenues of nearly $94 billion […]

NEW YORK (TheStreet) — Over the last few weeks, there has been a steady uptick in skepticism and uncertainty against a backdrop of slowing global growth and earnings. All the major indexes were down in single digits last week and U.S. markets opened today down sharply, following the lead of Asian and European markets.  

There is little debate that patent law is a complicated subject, yet the idea of protecting intellectual and private property is a centerpiece of American free market capitalism. Congress is once again contemplating changes to patent law to help consumers by cracking down on costly and abusive patent lawsuits. Seeing an opportunity, lobbyists for big […]

NEW YORK (TheStreet) — It’s only a matter of time before Alphabet investors separate the wheat from the chaff. Let me explain. Last night the company now formerly known as Google(GOOG – Get Report)(GOOGL – Get Report) and now known as Alphabet announced a new operating structure that in some ways looks to shine the light of transparency on the Internet search giant […]

More red flags of an IPO bubble? Code Rebel CEO Arben Kryeziu joins the Making Money panel debate growing concerns of an IPO bubble. Watch Now >>

What a difference an IPO’s business can make! Some can be fantastic performers, while every now and again we get one that flops out of the gate. Nothing captures that better than the recent IPO of online goods seller Etsy  ([stock_quote symbol=”ETSY”]), which has seen the company’s shares fall more than 40% since the offering, and Shopify  ([stock_quote symbol=”SHOP”]), […]

Over the next 18 months Americans will be picking a President.  Last week Senator Ted Cruz announced that he is going to run for the Republican Party nomination in the 2016 US Presidential election.  I’ve been asked many times what I think of him, or of the other anticipated candidates. While I typically like to […]

My regular readers are already familiar with what I like to call BUC Lately I’ve been mulling over a new one, which applies quite well to the discussions around Greece, but I think is universally applicable – L4 I was speaking with a friend of mine who lives in the States and she was asking […]

Are there too many average investors in the markets? FBN’s Charles Payne, Penn Financial President Matt McCall, Heritage Capital LLC President Paul Schatz, Fairfax Global CEO & CIO Paul Dietrich, Fabian Wealth Strategies Thematic Growth Portfolio Manager Chris Versace and Scottie Hughes TPNN.com News Director on whether the markets are flooded with too many average investors […]

FBN’s Charles Payne, Penn Financial President Matt McCall, Heritage Capital LLC President Paul Schatz, Fairfax Global CEO & CIO Paul Dietrich, Tematica Research Chief Investment Officer Chris Versace and Scottie Hughes TPNN.com News Director on teaching kids to invest. Watch Now >>

If we’re rooting for America to be #1, why are we investing elsewhere?  FBN’s Charles Payne, Growth & Dividend Report Editor Chris Versace, Plimsoll Mark Capital Managing Director Jim Awad, Navellier & Associates CEO Louis Navellier, Tea Party News Network News Director Scottie Nell Hughes and Penn Financial Group founder Matt McCall on Americans investing […]

The human mind is incredibly adaptable, which has been a key component of our success as a species, but that adaptability has a downside in that after a time, we can get accustomed to most anything, be it heaven or hell.  I am incredibly blessed to live in two of the most gorgeous places on […]

Another day suffering through work and life on the Italian Riviera and somehow managed to endure another epic sunset.  I think nature did its very best when creating this part of the world.  Nearly every morning I awake to a sunrise that takes my breath away.  Alright, alright… that is when I manage to get […]

After a chilly day of frost and snow in which I managed to walk into entirely too many door jams, (I swear they moved), tripped over nearly every rug in my home, (did they get fluffier over the weekend?) and for some reason decided the refrigerator was the best place to leave my iPhone… By […]

Greece was all over the headlines again last week as the deadline for debt talks neared. The Maastricht Treaty, which created the European Union, is starting to sound an awful like the Eagles “Hotel California,” with many in Greece left rethinking, “This could be Heaven or this could be Hell.” The treaty provided a lengthy […]

Tuesday night I was lucky enough to see Queen performing in Milan with Adam Lambert.    Queen, well what’s left of Queen, still has it and Adam Lambert brought along insane vocal and performance skills, along with something even more rare in the music industry.  He’s a very classy guy.  After Kanye West’s ridiculous behavior over […]

Landed back in Milan to find the city covered in a beautiful soft layer of snow, then somehow stayed awake for the 2 hour drive back to Genova, (thank God for SUVs and snow tires).  A long hot shower and a glass of wine later, I started to feel human again.  What is it about airplanes […]

While shoppers were watching their pennies this holiday season, I was grinching over the relationship between the Fed and the big banks as reminiscent of the abusive relationship between Ike and Tina Turner – bail them out then beat them up with an onslaught of massive fines.  According to a global banking study by the Boston Consulting […]

Last night’s decision over Eric Garner in New York after what happened in Ferguson has left the United States in more turmoil than the nation has experienced in years, maybe even decades. I tossed and turned much of the night, unable to sleep, angry and sad.  Liberty, what I hold most dear, weeps.   Much […]

Iraq has again descended into anarchic terror as the government  and tenuous order left in place by the US crumbles without the power of the US military behind it.  Now the US finds itself once again forced to engage in a situation that will cost dearly both in terms of actual dollars and in lives […]

  There’s been quite a bit of chatter on Facebook and in the investment community concerning Walgreens’ (WAG) announcement that it does not intend to take advantage of the tax breaks its potential acquisition of Alliance Boots in the UK would allow under the tax code, a strategy which could save it and thus its […]

I spoke at FreedomFest in Las Vegas… in July… yes, know my pain.  On my way out from my talk my dear friend Richard Rahn, (the infamous one-eyed economist) grabbed me and introduced me to the lovely Emerald Robinson so that we could talk about the recently enacted Foreign Account Compliance Tax Act aka FATCA and […]

I recently was in studio in New York, speaking with Neil Cavuto on the latest scandal facing President Obama’s Administration over the treatment of Veterans by the VA , involving alleged deception about the waiting time for treatment at veterans hospitals.   While it would be easy to say that this is the fault of an incompetent administration, […]

Earlier this week I appeared on the Rick Amato Show with my writing partner, Chris Versace.   We discussed the FCC’s recent statements  concerning regulating conservative media, somehow justifying regulating freedom of speech.  We also discussed the IRS Scandal concerning Lois Lerner’s refusal to testify and claims that her emails have been lost. In the second […]

I think most people are clear that in a robust, healthy economy entrepreneurs are able to quickly turn their ideas into reality, in the process creating jobs and occasionally having an enormous impact on the way we live, as in the case of Apple, Amazon, and for the ladies out there, Spanx.  My two homes, […]

Yesterday the NBA barred Clippers owner Donald Sterling for life for the racist remarks he made in a recorded private conversation. Naturally Facebook immediately became a hotbed for inflammatory debate, much of it not worth one’s time to read as all too often in today’s society thoughtful discussion and reasoned, rational debate is replaced by […]

Earlier this week I spoke with Graham Ledger on the recent Toyota and GM recalls.  So far this year, automakers have recalled about 9 million vehicles in the U.S. If that pace continues, the nation would break the record of 30.8 million recalled vehicles set in 2004. Toyota’s recalls come as rival GM recalls 2.6 […]

Ever had one of those days when you realize that the Universe is having a bit of fun at your expense and taking the opportunity to make sure you don’t get overly confident? That was my Friday. I’d recently returned to Genova, Italy, where I spend a good deal of my time and was working […]

The United States suffers from a significant mismatch between expectations and reality, which has up until recently been address by bureaucratic denial and protestations/assurances that if only more money/power are handed over, the dream can yet be realized. This mismatch is possibly the greatest in the area of foreign policy. Most Americans are aware that […]

This may come as a shock to my regular readers, but I have a confession. Michael Jordan is better at basketball than I. The gap between his ability and mine needs to be addressed.

As anyone who has managed employees, raised a child or just dated once in a while knows, people (just like dogs) respond to incentives. Private sector incentives push towards producing more with less. Government incentives push towards accomplishing less and less with more and more. Awareness of human nature naturally leads one towards the ideal of smaller government.

On February 18th, I spoke with Charles Payne and Julie Roginsky on Fox Business’ Cavuto show about the headlines claiming that Obamacare aka the Affordable Care Act (ACA) will harm jobs. We had a lively debate, which was surprising given that the three Sports Illustrated models gracing this year’s cover were waiting in the green room, […]

The headlines this week have been touting how “Prison life has never been so good,” here and here. While I understand why taxpayers would be none too pleased at the idea that prisoners enjoy more daily life perks than those out earning a living every day, it isn’t the perks that are the problem. It […]

On February 13th, at I must add the ungodly hour of 6:30am PST, I spoke with Stuart Varney on Fox Business concerning the dismal state of income levels in the United States. According to the US Census bureau, median household income is just over $51k, which is about where it was 20 years ago! We […]

Obama already pushed back the employer mandate to 2015 from 2014, conveniently after the mid-term elections. Now his administration is pushing back the mandate for businesses with 50-99 employees to 2016. For companies with over 99 employees, they must cover 70% of employees by 2015 vs. 95%.   This is now the 18th executive branch […]

On February 10th I spoke with Neil Cavuto on how NSA surveillance affects international communications. Watch the latest video at video.foxbusiness.com I work internationally, dividing my time between San Diego, California and Italy. I sometimes advise on deals that have involving high-profile, publicly traded companies and the actions my clients take are significant enough to […]

Perhaps the reason so few are saving is because the job situation isn’t exactly rosy, nor are income levels. According to the most recent report from the Bureau of Labor Statistic, the unemployment rate has dropped to 6.7% which looks on the surface to be good news. However, if you look a bit deeper, the […]

There was a time when no one, outside perhaps the most esoteric economic geek circles, could name the current Chairman of the Federal Reserve. Those days are now long gone as the Fed has taken a much more active role in the economy and the various Fed Presidents and Chairman have evolved into media cult […]

By completely restructuring how health care works in the US, those responsible for implementing the Affordable Care Act are restructuring and controlling what today amounts to about 15% of the U.S. economy. With that in mind, after having 4 years to prepare for this, they still are not ready to implement a major portion of […]

The NSA works for us.  The power to govern lies with We the People and flows from us to the government, not the other way around.  The NSA does not dictate to us what the appropriate constraints on its activities ought to be.  It may suggest, but We the People decide what controls we want […]

On May 22nd, I spoke with Graham Ledger on Wealth TV about the horrific show the Senate put on in an attempt to shame Apple for not voluntarily paying more in taxes than it required by the tax code by implying inappropriate corporate behavior. The Daily Ledger Chewing Up Apple from One America News Network […]

The Federal Reserve has been under considerable pressure to provide details for just how it will control all the excess liquidity that it has created through quantitative easing. The Fed’s balance sheet, which can roughly be thought of as a proxy for the potential money supply, is almost 2.4 times the size it was in […]

Unemployment continues to be a drain on the economy and the ranks of those even searching for a job declines. With such slow economic growth, it isn’t possible to get the unemployment situation to improve significantly, despite the attempts at upbeat headlines.  On April 5th we learned that March experienced the biggest monthly increase in […]

None of the four major components of the business cycle, (real income, sales, production and employment) have managed to get back to their 2007 highs, even now as we enter the fifth year of the recovery. This is truly a record, if an unfortunate one. The chart above shows the continual stop and go pattern […]

It took the federal government around 200 years to accumulate a trillion dollars in debt. Within the following decade it tripled that number, then doubled it again in just twelve years, and doubled it again in another 8 years. Overall the national debt has increased sixteen-fold in just 30 years. Incidentally, this period coincides with […]

On February 26th Lenore Hawkins joined Neil Cavuto to discuss the apoplectic fits of politicians and the media all over the country concerning the sequester, which represents a rather small decrease in the increase of government spending.  Yes you read that correctly, if the sequester actually occurs, government spending will still be higher in 2013 than […]

On January 25th, Lenore Hawkins joined the Freedom Fighters to talk about Americans giving up their citizenship due to the onerous tax code. The current tax code is outrageous.  In 1913 the Federal Tax code was 400 pages.  It is now over 72,000 pages! Americans spend over 7.6 billion hours a year preparing their taxes […]

I’m fairly certain that when the G20 convened, many of the attendees believed that as a result of their high-minded meetings, some brilliant announcement would be given to the markets and once again the world would be deemed safe, at least for a little while.  Instead, the Cannes meeting ended with no solutions and not […]

On September 27th, Freedom Fighters Chris Cotter, Nancy Skinner, and Lenore Hawkins discussed the Fed’s plans to monitor the Internet, and why Coca-Cola is choosing China. Watch the latest video at video.foxbusiness.com

On July 28th, Lenore Hawkins joined the Freedom Fighters (Liz Claman and Ellis Henican) to discuss the government report that Obamacare is going to increase healthcare expenditures and the impact of the debt ceiling debacle on states.

Only July 21st, Lenore Hawkins joined the Freedom Fighters, (Charles Payne, Ellis Henican and Kmele Foster) and on Freedom Watch to discuss the economics of electric cars, Florida selling info on citizens obtained by the DMV, the federal government’s restriction of potatoes in school lunches and the impending FAA shut down.

My friend Dan Mitchell, senior fellow at the Cato Institute, had a frightening blog post today.  According to the Ways and Means Committee, 51% of households paid no income tax in 2009.  Click here for his piece. This is a dangerous tipping point as with over half of households paying no taxes, the incentives to […]

The Debt Ceiling is a cap set by Congress on the amount of debt the federal government can legally borrow. The cap applies to debt owed to the public, (meaning anyone who buys U.S. bonds) plus debt owed to federal government trust funds such as those for Social Security and Medicare.  The limit was first […]

The Debt Ceiling is a cap set by Congress on the amount of debt the federal government can legally borrow. The cap applies to debt owed to the public, (meaning anyone who buys U.S. bonds) plus debt owed to federal government trust funds such as those for Social Security and Medicare.  The limit was first […]

When a nation has more debt than it can manage, it has two options (1) inflate its way out by printing more money or (2) restructure the debt. Typically the most politically feasible solution is to inflate.  Generally wages tend to keep up to some degree with inflation, so the employed feel as if they […]

I’m starting to feel a bit like the grim reaper this week as the downward trends continue. This morning the ADP report showed that private sector jobs rose by only 38,000 last month, much less than the downwardly revised 183,000 gain that was expected. Economic Analysis And Charting By HiddenLevers Large businesses with 500 employees […]

After the disappointing growth in the first quarter of 2011, many economists believed that the economy would pick up in the second quarter.   At Meritas we looked at the trends in housing (still dropping), employment (fewer employed today than in 2000), income (declining real wages) the credit markets (little expansion), and government spending (fiscal stimulus […]

Thank you to all those who have served and the families and friends who have loved them.  Thank you for our liberty and security.  May we always seek to deserve your sacrifice.

Today saw the dollar continue to drop, slipping to below 74 before closing at 74.27, getting closer and closer to the March 2008 low. In turn, commodities are making new highs with gold closing above $1,500 and silver above $46. The cyclically sensitive currencies like the Aussie dollar and the Canadian loonie are strengthening as […]

The following segment was on CBS’s 60 minutes last night and discusses the likelihood of a state and local funding crisis, which Meredith Whitney predicts will begin in the next 12 months. The municipal bond market is one of the most opaque in the investing world and is subject to strong political machinations. Ms. Whitney […]

This is a hilarious video on you tube talking about Quantitative Easing, Inflation, Deflation and the Financial Crisis.  Enjoy!

I hear politicians and pundits talking about the massive federal debt and assume that the only way to deal with the problem is to raise tax rates.   Raising rates in tough economic times can be very damaging to the economy and may in fact, result in lower tax receipts as tax payers can shift their […]

Roughly a million Americans have dropped out of the job market altogether over the past two months. That is the only reason why the headline unemployment rate is not exploding to a post-war high.  The share of the US working-age population with jobs in June actually fell from 58.7% to 58.5%. This is the real […]

Both extremes of anarchy and large government harm the economic success of a nation.

A recent Gallup poll shows that Americans are finally worried about the magnitude of the federal debt. We can only hope that this awareness translates into political pressure to curb spending and address both the current mountain of debt and the tsunami of unfunded liabilities racing towards us.

When you hear monetary policy think Federal Reserve. When you hear fiscal policy, think IRS and federal spending.

As many of you who follow this blog can probably surmise, I am not a big fan of the the current capital gains tax and now the administration is looking to increase the tax 33%, from from 15% to 20%.  A friend of mine over at the Center for Freedom and Prosperity, (he’s also a senior fellow […]

Last night I watched the CEO of General Motors lie to the American people in a commercial that absolutely typifies the culture in Washington DC.  He stated that GM has repaid the TARP loan, “in full, with interest, five years ahead of schedule.”  Well now that sounds wonderful and aren’t we all just pleased as […]

After the horror of yesterday’s tax filing and the corresponding drop in my net worth, I decided to do a little research.  In 1913 the federal tax code was about 400 pages long.  Today it is around 70,000.  Americans spend 7.6 billion hours a year preparing taxes, which equates to about 3.8 million skilled workers, making […]

We are living in a time in which civility and mutual respect appear to be discarded relics from the past.  This morning I read through a speech my father gave to a group of lawyers, newly admitted to the bar, in Judge McKibben’s courtroom in Nevada on November 18th, 2004 and it reminded me of […]

There’s been a lot of talk about the situation with Greece and the European Union.  Greece is chided for its fiscal irresponsibility as the rest of the EU demands “austerity” measures before entering into any talk of a bailout.  The likelihood of a bailout is still anyone’s guess, but at the moment, neither Germany nor […]

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