The market was down slightly yesterday but still closed out the month with a bang — best August on record since 1984. Zoom was one of the obvious highlights yesterday. The video conferencing app you love to hate quadrupled revenue from this time last year. Zoom’s revenue was $663.5 million compared to the analyst number of $500.5 million. That’s a quality beat after the company got a little scare on the security side at the start of the pandemic. SensorTower noted the company averages 148.4 million monthly users, which is up 4,700% since this time last year.
The downers yesterday were bank stocks. Chase, Citigroup, BAC, and Wells Fargo were all down more than 2%.
3 Tiny Stocks Primed to Explode
The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.
We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.
Click here for full details and to join for free
Sponsored
In other news, the SPAC frenzy continues on Wall Street, and this time its Utz Quality Foods. Yes, Collier Creek Holdings and the Pennsylvania potato chip-snack-maker inked a deal on Monday. Under the surprising ticker “UTZ,” the company will try to take its lockdown momentum to the big stage. Second-quarter sales and adjusted operating profits rose 11% and 15%, respectively, from the prior year. For the year, Utz expects an 8% growth to $932 million in sales. Going public will likely make this largely Northeast brand into more of a nationwide name…It has a growing collection of snacks plus licensing deals with TGI Friday’s and Herdez. Already, by revenue, Utz is the fourth-largest snack food company in the U.S., and the incoming influx of cash will give them the runway they need to expand.
Ok, putting down my bag of cheese puffs now. Another area where I am taking a gander is the housing market. Demographic trends are showing a strong market as home-buyer interest and low interest rates combine for a market that is on fire. Don’t take my word for it, just look at some of these statistics:
- The U.S. homeownership rate hit 67.9% in the second quarter of 2020, the highest level since the third quarter of 2008, up from last year’s 64.1%
- The ownership rate among those under 35 rose to 40.6%, which is the biggest percentage gain by age group quarter to quarter, while the rate for those 35 to 44 also rose significantly.
- This past week, the U.S. Census Bureau reported that new-home sales surged 13.9% on a month-to-month basis in July to a seasonally adjusted annual rate of 901,000, a 14-year high. Economists had been expecting sales to fall to 782,000 from 791,000 in June.
After looking at these numbers, we added Toll Brothers (TOL), Meritage Home Corporation (MTH), PulteGroup Inc. (PHM), and Lennar Corporation (LEN) to our watchlist.
Below you can find some of the most notable stocks to watch today.
