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The return on my Jubak Picks Portfolio
from May 1997 through the end of 2019: 584%
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Jubak’s Picks

Stocks for a 12-18 Month Horizon


Performance

2019
+10.2%

2018
+10.2%

2017
+13.2%

Since Inception
+584%

Top 50 Stocks

50 Best Stocks in the World


Performance

2019
+21.19%

2018
-8.22%

2017
+28.1%

2016
+21.5%

Dividend Income

Stocks that Pay You


Performance

2021
+18.59%

2020
+15.71%

2019
+4.90%

2018
-15.52%

2017
+6.48%

2016
+26.8%

Best in Business Award

Archives:

Please Watch My New YouTube Video: Quick Pick NiSource

Please Watch My New YouTube Video: Quick Pick NiSource

Today I posted my two-hundred-and-eighth YouTube video: Quick Pick NiSource. This week’s Quick Pick is NiSource (NYSE: NI). If you saw my last Trend of the Week video, you know that I believe the dip in utilities represents a good buying opportunity as utilities make the transition away from coal and natural gas with an eye toward the future of electricity. Investors have already started “rewarding” some utility stocks, like Eversource Energy (NYSE: ES) and NextEra Energy (NYSE: NEE), because they see these utilities starting that transition. Which means, of course, that these stocks have been bid up on that recognition. Eversource is rated by Morningstar as 6% overvalued and NextEra, which owns Florida Power & Light, is rated at fair value by Morningstar. The utility I’m looking at is NiSource, which largely services Indiana and Ohio—not generally considered bastions of cutting-edge green energy technologies. But! Goods going from coast to coast necessarily travel through those states, and as trucking companies make the transition to electric, the utility companies that service those areas will need to provide the power. NiSource is at the beginning stages of its own transition away from coal and toward renewable sources. The stock currently trades at a 20% discount, according to Morningstar, with a 3.65% dividend, higher than both Eversource and NextEra. NiSource says they’re expecting 6-8% annual earnings growth over the next 10 years and they’ve started investing in renewables in Indiana and Ohio. I think this is a stock that will start to get recognized as committing to the energy transition and I’ll be adding it to my dividend portfolio.

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China Covid cases near April peak; Beijing, Shanghai tighten restrictions

China Covid cases near April peak; Beijing, Shanghai tighten restrictions

On Monday China reported 28,127 new domestically transmitted Covid cases on Monday as the country neared its April peak. Infections in the southern city of Guangzhou and the southwestern municipality of Chongqing accounted for about half the total. In Beijing, cases have hit new highs every day, prompting calls from the city government for more residents to stay in place and show proof of a negative COVID test, not more than 48 hours old, to get into public buildings. Beijing shut parks and museums on Tuesday. Late on Tuesday, Shanghai announced that from Thursday people may not enter venues such as shopping malls and restaurants within five days of arriving in the city, although they can still go to offices and use transport. Earlier, the city of 25 million people ordered the closure of cultural and entertainment venues in seven of its 16 districts after reporting 48 new local infections. So much for hopes of a quick reopening of China’s economy.

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Please Watch My New YouTube Video: Trend of the Week Time for Utilities?

Please Watch My New YouTube Video: Trend of the Week Time for Utilities?

Today I posted my two-hundred-and-seventh YouTube video. This week’s Trend of the Week: Time for Utilities? I think it is. Looking at Utilities Select Sector SPDR Fund (XLU), you can see the recent dip in utilities, which means yields are up. On top of that, I think utilities are a good long-term investment opportunity. Utilities make their returns by spending capital and putting those projects into their rate base so that regulators allow utilities to hike prices to earn a market return on that invested capital. Utility National Grid recently came out with a study predicting that by 2030, electrifying a typical highway gas station to handle just passenger EVs, will require the same amount of power that is needed for a pro sports stadium-well above the electrical supply they’re currently getting. In 2035 the demand growth looks even more dramatic after the study adds in demand from larger electric trucks. Then each highway gas station/truck stop will need as much electricity as a small town. And this demand won’t be averaged over the course of a day. There will be a need for spikes of power, as cars and trucks quickly recharge their batteries. Currently, we’re building electric cars faster than we are building the necessary infrastructure to charge them. Because of that, we’re going to see a lot of capital put into new infrastructure by utility companies. Which means a larger rate base and higher revenue for utilities.

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Please Watch My New YouTube Video: 10% More to This Rally?

Please Watch My New YouTube Video: 10% More to This Rally?

Today I posted my two-hundred-and-sixth YouTube video. Today’s topic: 10% More to this Rally? The S&P rose above 4,000 Tuesday morning leading investors and analysts to forecast this rally climbing about 10% higher. Looking at a chart of the S&P 500 for a full year shows a clear bear market trend. Each high is lower than the previous high and the market has never seriously threatened to take out the December 2021 high. The current rally might be able to match the August peak of 4280 since investors are trying to take advantage of the rally before the year ends. But I don’t expect gains to stick. Looking forward, I still see high interest rates and a slowing economy and the Fed is unlikely to pivot away from its interest rate increases as investors hope. If you want to take advantage of the rally, by all means, go for it! Just remember, a 10% gain isn’t enough of a gain to justify betting the house.

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