Wednesday, July 23, 2014
Five-Star Investor
Bargains are hard to find in a market hovering just above fairly valued levels, but new data may provide some clues.
Special Report
In this final excerpt from their new book, Morningstar's Heather Brilliant and Elizabeth Collins examine how companies can build competitive advantages around network effect and scale efficiency.
Earnings News
Management's cost-cutting, restructuring, and strategic moves should help Microsoft regain lost ground in the mobile devices and the cloud, says Morningstar’s Norm Young.
Morningstar Minute: Wide Moat Spotlight
This company regularly considers an additional fifth special dividend per year, which can turn into a nice payout for shareholders.
    Stock Strategist
    This snowplow manufacturer shows pricing power indicative of a narrow moat, and a warmer winter might melt investors' high expectations and create an entry point into this stock.
    Heard on the Boards
    Did you retire early--say, prior to age 65? If so, we'd like to hear how you did it--especially if you managed to retire early without taking an Internet company public or inheriting a lot of money from your parents.
      Morningstar Minute
      Medalist of the Week
      This fund has to overcome a major hurdle with its expenses, but it has far exceeded expectations in a short time frame.
        Earnings Insights
        Stock Analyst Notes
        Although some of Google's nontraditional products could have smaller margins, they still have strong potential for growth, and the stock remains a suitable core holding for many investors.
        Morningstar Specialists
        Sam Lee: Rational Investing
        And when to make big bets.
          Christine Benz: Real-life Finance
          Longevity annuities might be a newly available option for your IRA, but retirees should weigh the pros and cons before buying these vehicles.
            Rekenthaler Report
            These funds may have been second-rate but seem no longer to be.
              Bob Johnson: Reading Indicators
              Increasing employment and income data suggest that retail sales could accelerate even more from here, says Morningstar's Bob Johnson.
                Russ Kinnel: Fund Investing
                Keep an eye on these Medalist funds that have hefty weightings in energy and materials, says Morningstar's Russ Kinnel.
                  Josh Peters: Dividend Investing
                  Companies are buying back shares at near-record levels, but Morningstar's Josh Peters says firms can serve shareholders much better with dividends rather than stock repurchases.
                    Matt Coffina: Wide-Moat Investing
                    With the uptick in merger and acquisition activity, whether it be for tax-inversion or strategic reasons, investors should focus on the target company, which can benefit from the deal immediately, says Morningstar's Matt Coffina.
                      ETFs
                      ETF Investing
                      Fickle foreign portfolio flows add another dimension of volatility.
                        Real Life Finance
                        The Short Answer
                        We clear up terms such as margin of safety, risk-free rate of return, and sensitive stocks.
                          Stocks
                          Stock Strategist
                          Attractive growth opportunities can't cover up nosebleed valuations.
                            Mutual Funds
                            Fund Spy
                            A shift is under way in the makeup of the taxable-bond universe.
                              Perspectives
                              Perspectives: GMO
                              GMO's Jeremy Grantham looks back at investing mistakes made over his 47-year career, expresses his concerns about a highflying market as well as a dearth of food and fertilizer, and revisits the Keystone.
                                Bonds
                                Video Report
                                The risk of bank-loan defaults is muted at the same time investor demand for such products remains elevated, but this volatile asset class is not for near-term cash needs, says Fidelity's Eric Mollenhauer.
                                  Closed-End Funds
                                  CEF Weekly
                                  Regional equities struggled but MLPs surged ahead in the first half of 2014.
                                    Market Barometer
                                    Lg
                                    Md
                                    Sm
                                    Value—Growth
                                    Day Return
                                    +1.25%
                                    0
                                    -1.25%
                                    1Wk Return
                                    +1.25%
                                    0
                                    -1.25%
                                    1Mo Return
                                    +4%
                                    0
                                    -4%
                                    3Mo Return
                                    +8%
                                    0
                                    -8%
                                    1Yr Return
                                    +20%
                                    0
                                    -20%
                                    3Yr Return
                                    +20%
                                    0
                                    -20%
                                    1Wk1Mo3Mo1Yr3Yr
                                    Market Consensus
                                    NA
                                    Actual
                                    2.4%
                                    Market Consensus
                                    NA
                                    Actual
                                    -3.969M
                                    Market Consensus
                                    308K
                                    Actual
                                    Market Consensus
                                    2533K
                                    Actual
                                    Market Consensus
                                    475K
                                    Actual
                                    Market Consensus
                                    NA
                                    Actual
                                    Market Indexes
                                    DJIA
                                    17,087
                                    -26.9
                                    -0.2%
                                    S&P 500
                                    1,987
                                    3.5
                                    0.2%
                                    NASDAQ
                                    4,474
                                    17.7
                                    0.4%
                                    Morningstar U.S. Market
                                    5,011
                                    8.9
                                    0.2%
                                    Morningstar Small Cap
                                    7,541
                                    9.4
                                    0.1%
                                    Commodity Futures
                                    Gold
                                    $1,313.40
                                    0.56%
                                    Jul 14
                                    Light Crude
                                    $103.05
                                    0.64%
                                    Sep 14
                                    Natural Gas
                                    $3.76
                                    -0.34%
                                    Aug 14
                                    Maturity
                                    %Yield
                                    6 Month
                                    0.05
                                    2 Year
                                    0.50
                                    5 Year
                                    1.67
                                    10 Year
                                    2.48
                                    30 Year
                                    3.26
                                    1 Yr Ago
                                    Last Close
                                    Data as of last close