Pintec Technology Holdings Ltd – ADR (NASDAQ: PT) stock price soared 53.3% today despite a lack of announcements from the Chinese fintech that serves enterprise clients.

Shares of the company had been under a wave of buying pressure since yesterday, when it closed up 13.6%. Although the exact driver of the rally is unclear, the recent rally could significantly benefit the company if it persists.

Also read: The best financial stocks to buy right now.

Pintec Technology provides financing solutions to other businesses in the area of ​​SME Loans, Business Loans, Installment Loans and Personal Loans. The Company also provides services such as operating Financial RPA Centers of Excellence on behalf of clients.

The fintech company also offers robo-advisory services to more than 70 funds. The services are based on Renminbi-denominated assets while offering over 4,000 services to over 290,000 retail clients who have processed transactions worth over 8.4 billion Renminbi.

The above are just a few of the services offered by Pintec Technology Holdings, indicating that the company has significant long-term potential given the uncertain business environment created by the COVID-19 pandemic.

Pintec also operates a fund supermarket, a trading system for public fund products. Therefore, recent investor interest in the company may be warranted given the strong product line it offers in its home market.

More than 7.32 million PT shares had changed hands at the time of writing as investors bought the shares of the Chinese fintech company, and I wouldn’t blame them.

PT shares look quite attractive at current prices, given that they have a market capitalization of 420.68 million based on Wednesday’s closing price. The recent rally also means that the company’s shares could easily break above the $1 mark.

Shares of Pintec Technology last traded above the $1 mark on January 23-24, 2022 before falling back, and its current price does not meet Nasdaq listing requirements.

Investors are hoping the recent rally will push PT shares back above the $1 mark. Meanwhile, those looking to buy the shares should know that they traded as low as $15 in the past on the day they listed on Nasdaq on October 25, 2018.

*This is not investment advice. Always exercise due diligence before making investment decisions.

Pintec Technology share price.

Pintec Technology’s stock price climbed 53.32% to trade at $0.7318, up from Wednesday’s closing price of $0.4773.

It is one of the most popular real estate investment trusts (REITs) in the market today and pays a high yielding monthly dividend. It also operates in a sector poised for a serious rebound in the coming months. So maybe retail oriented Real estate income (NYSE:O)currently priced at just over $66 per share, may reach $100 before the end of this year.

That could be a tall order, though. In its nearly 30-year history as a publicly traded entity, the REIT’s all-time high stock price was just under $80 per share. Here’s my take on possibly breaking that much-vaunted $100 level by next New Year’s Eve.

A true commercial power

There’s no doubt that Realty Income has the size, reach, and notoriety to jump into the triple-digit club. That’s huge, even by the standards of the well-capitalized REIT segment, with a dizzying portfolio of 11,136 properties in its portfolio as of December 31 last year and a market capitalization of $39 billion.

It is also a model retail REIT in the way it manages to grow its business. Regular rent increases are built into her rental agreements, and she has the financial muscle to not only maintain that portfolio, but to constantly expand it. Last year alone, it invested more than $6.4 billion in 911 properties, many of which were under development or expanding.

Realty Income also has the dosh for doing a bit of shopping in addition to building portfolios. Last year, for example, it completed the acquisition of another REIT, Vereit, in an all-stock deal.

The problem with being such a big player, however, is that it becomes exponentially harder to achieve significant growth (one of the reasons big companies like to make acquisitions; they add size quickly).

For 2021, Realty Income was, as always, profitable and growing. The full year saw the REIT increase revenue by 26% compared to the 2020 tally. Meanwhile, normalized funds from operations (FFO, widely considered the most important profitability metric for REITS) lagged only slightly, at a clip of 23%.

We must bear in mind that the latter part of 2021 has seen the world slowly emerge from what we hope is the decline of the coronavirus pandemic. Year-over-year comparisons were expected to be favourable. Still, the company has done a good job of growing its business over the years, albeit not usually at such high rates.

New month, new payment

For REIT investors, stock fundamentals are only part of the equation. Since REITs, with their relatively high dividend yields, are popular with income investors, their payouts really matter. Realty Income is way ahead of the pack here, as it distributes its distribution monthly as opposed to the much more standard quarterly of so many other dividend-paying stocks.

Since it goes by the name of “The Monthly Dividend Company”, this frequency – and the payment itself – are fundamental. Realty Income is a dividend aristocrat and more, as it has declared dividend increases multiple times a year since 1998 (a company is only required to do so once a year to achieve aristocrat status).

While being a monthly-paying aristocrat is a very attractive quality in a dividend-paying stock, that in itself doesn’t make Realty Income payout superior, however.

The company’s all-important dividend yield is 4.3% at the moment, which is good relative to non-REIT income stocks, but more or less in the middle of the REIT spectrum. He beats Federal Real Estate Investment Trustis 3.6% and Digital Real Estate Trustis 3.4%, for example. But it is eclipsed by the nearly 5% of Domestic commercial properties and WP Careyis muscular 5.4%.

Crossing the $100 barrier

So, given all of this, does Realty Income have a good chance of hitting the $100 mark this year?

For all its benefits, power and dividend appeal, I would say no. I think the recovery in the retail sector due to the apparent waning of the coronavirus pandemic is already priced into the stock price. I don’t think that in the next three quarters Realty Income’s business will grow dramatically and unexpectedly high enough to drive its value more than 50%.

Don’t get me wrong, I really like Realty Income. I would be very happy for the company and its many shareholders if it reached unprecedented price levels. But it’s a massive operator in a retail sector that, aside from the occasional frightening global pandemic, rarely sees monster growth spurts/recovery.

So, if I were to look into my crystal ball, I would probably witness the stock price rise…but not to heights as high as $100. At least not by the end of this year.

Comcast Corporation (NASDAQ:CMCS.A) has received a lot of attention due to a substantial price movement on the NASDAQGS over the past few months, rising to US$53.73 at one point and falling to a low of US$45.13. Certain movements in the stock price can give investors a better opportunity to get into the stock and potentially buy at a lower price. One question to answer is does Comcast’s current stock price of $47.07 reflect the true value of the large cap? Or is it currently undervalued, giving us the opportunity to buy? Let’s take a look at Comcast’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

See our latest analysis for Comcast

What is the opportunity at Comcast?

According to my multiple price model, which compares the company’s price-earnings ratio to the industry average, the stock price seems justified. I used the price/earnings ratio in this case because there is not enough visibility to predict its cash flow. The stock’s ratio of 15.07x is currently trading slightly above its industry peers’ ratio of 14.66x, which means that if you buy Comcast today, you’ll pay a relatively reasonable price for it. . And if you think Comcast should be trading within this range, then there’s not much room for the stock price to rise above the levels of other industry peers over the long term. On the other hand, Comcast’s stock price also seems relatively stable compared to the rest of the market, as indicated by its low beta. This may mean that the stock is less likely to fall due to natural market volatility, suggesting fewer buying opportunities in the future.

Can we expect growth from Comcast?

Investors looking for portfolio growth may want to consider a company’s prospects before buying its stock. Buying a big company with solid prospects at a cheap price is always a good investment, so let’s also take a look at the company’s future expectations. Comcast’s earnings over the next few years are expected to increase by 25%, indicating a very optimistic future. This should lead to more robust cash flow, fueling higher share value.

What does this mean to you :

Are you a shareholder? CMCS.A’s bullish future growth appears to have been factored into the current share price, with stocks trading around industry price multiples. However, there are also other important factors that we have not considered today, such as the financial strength of the company. Have these factors changed since the last time you consulted CMCS.A? Will you have enough conviction to buy if the price moves below the industry PE ratio?

Are you a potential investor? If you’ve been keeping an eye on CMCS.A, now might not be the most optimal time to buy, given that it’s trading around industry price multiples. However, the optimistic outlook is encouraging for CMCS.A, which means that it is worth looking further into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.

So, if you want to dig deeper into this stock, it is crucial to consider the risks it faces. At Simply Wall St, we found 1 warning sign for Comcast and we think they deserve your attention.

If you’re no longer interested in Comcast, you can use our free platform to see our list of over 50 other stocks with high growth potential.

Feedback on this article? Concerned about content? Get in touch with us directly. You can also email the editorial team (at) Simplywallst.com.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.

The Travelers Companies, Inc. (NYSE:TRV) is one of the largest P&C insurance companies in the country. Although the P&C insurance industry is highly fragmented and competitive, its unique nature allows insurers to realize economic benefits. The industry has shown positive results despite struggling with a return from non-catastrophic losses to pre-pandemic losses. Travelers is an elite player in the industry, with healthy underwriting profits and investment income providing the foundation for creating shareholder value. Management’s interests are aligned with those of investors and they have returned money to investors in the form of dividends and share buybacks at aggressive rates. Travelers’ free cash flow is substantial and supports the company’s dividend and stock buyback program. Free cash flow is also undervalued, as well as the company as a whole.

Insurance: where competition does not harm profitability

Peter Thiel rightly argues that “competition is for losers”. Competition pushes returns toward the cost of capital, making it difficult, if not impossible, to create economic value. At first glance, the insurance industry should be a very unprofitable industry. According to the National Association of Insurance Commissioners (NAIC), Travelers is the sixth largest P&C insurance company in the United States, with just 3.96% market share. The insurance industry is highly fragmented. The NAIC’s 2020 Market Share Report lists 125 leading P&C insurers offering products and services across all lines.

Among travelers Filing 10-K 2021, they cite statistics from AM Best showing that there are about 1,100 P&C insurance groups in the United States, comprising about 2,600 P&C insurance companies. In 2020, the top 150 insurers account for around 94% of the sector’s total net premiums written. If competition is for losers, then on the face of it, the insurance industry is an industry of losers.

However, the insurance sector is unique. Insurance is required by law, so the business tends to be relatively stable. Regardless of the economic cycle, individuals and businesses need insurance. This gives insurers pricing power that they would not otherwise have.

Insurance products lack real differentiation. Success is earned through a combination of agent referrals, cost, and brand awareness. Agent referrals are important because most people get their insurance through an agent. Insurers need agents to run business as they please. Because differentiation doesn’t really exist, insurers need to be able to price their products at lower rates than their competitors. Brand awareness is important because insurance is about trust and strong brands tell consumers they can trust the insurer.

P&C insurance recovers from the pandemic

The sector posted good premium growth and strong financial results in 2021, despite the disruptions the sector has suffered.

The industry has accelerated its adoption of new technologies, spurred by the pandemic and the need to adapt to supply chain disruptions. These innovations aim to help insurers improve their pricing policies, improve their efficiency and reduce their costs.

According to Aon (NYSE: AON), total premium growth in the first nine months of the year was 9.5%, up 7.3 points from the same period in 2020. Commercial lines increased by 9.8 %, compared to personal lines which increased by 4.8%. As the economy recovered, the sector also saw growth in commercial and personal autos as well as workers’ compensation. Travelers is the market leader in workers’ compensation, with 6.84% of the market. It is also the second largest insurer in total commercial auto, with a market share of 6.22%. It is the tenth largest passenger car insurer overall, with a market share of 1.96%.

The industry has experienced a Net underwriting loss of $5.6 billion due to a return of non-catastrophic losses to pre-pandemic levels. However, the industry’s net income grew 8% in the first nine months of 2021, from $35.5 billion in 2020 to $43.5 billion in 2021, fueling surplus growth. 73% politics. The total expense ratio remained at 38.4%.

Aon’s reports also show that direct loss ratios across most lines in the first nine months of 2021 were lower than in the same period a year earlier.

The path to profitability

According to Travelers Fourth Quarter 2021 Results, in 2021, Travelers had a loss and loss adjustment ratio of 65.1%, unchanged from 2021, and an underwriting expense ratio of 29.4%, compared to 29.9% in 2020, for a combined ratio of 94.5% compared to 95% the previous year. As an indication, according to a report from Veriskthe P&C insurance industry had a combined ratio of 99.5% in the first nine months of 2021.

An insurer derives its income from its underwriting and investment activities. Premiums paid by policyholders constitute a float that insurers can use to invest. Underwriting profits arise when the insurer receives more in premiums than it pays in claims.

Travelers earns a profit from its underwriting activities and invests those profits in a portfolio consisting largely of fixed income instruments. Travelers has grown its premiums from more than $28 billion in 2018 to nearly $30.9 billion in 2021. During this period, net investment income has grown from approximately $2.5 billion to over $3 billion.

The company’s combined ratio reflects the profitability of the business and its technical margin of 5.5%.

The company’s underlying combined ratio, which represents fewer catastrophic losses, was 90.3%, showing that the company’s editorial was particularly good, having improved an already impressive underlying combined ratio of 90.7% the previous year.

The interests of management are aligned with those of shareholders

The company’s 2004 incentive plan resulted in a performance share reward program. Under this program, performance share grants are linked to the achievement of an adjusted return on equity (ROE) over a three-year period. When management does not achieve these objectives, it cannot acquire performance shares. When he reaches or exceeds these objectives, a range of performance shares is acquired (50% to 150% for grants in 2020, 50% to 200% for grants in 2021 and 2022), depending on the ROE achieved. .

Although ROE is an imperfect measure, and I prefer return on invested capital (ROIC), it is useful for aligning the interests of management with those of shareholders. By doing so, shareholders know that management will make decisions that will create value for the company, or at least aim to do so.

The History of Traveler Profitability

Travelers increased its revenue from $27.6 billion in 2016 to $34.2 billion in 2021. During this period, it increased its net operating income after taxes (NOPAT) by nearly 2.9 billion to nearly $3.6 billion.

Travelers’ NOPAT margin was 10.4% in 2016, falling to 7.9% in 2017, averaging 8.15% between 2017 and 2020, before returning to 10.4% in 2021. The results show an invested capital turnover of 1.02, showing excellent capital allocation efficiency. The combination of these two elements resulted in an improvement in ROIC from 9.7% in 2016 to 10.6% in 2021.

The profitability of travelers allows it to generate significant free cash flow (FCF). However, FCF has been erratic, growing from nearly $2.8 billion in 2016 to over $1.8 billion in 2021, for a cumulative FCF of over $10.4 billion, or 25% of its market capitalization.

Travelers’ ability to generate substantial FCF has enabled it to increase its common stock dividends for each of the last 18 yearsfrom $1.16 in 2004 to $3.49 in 2021.

The company’s FCF has always been attractively priced, which speaks to the company’s overall state of undervaluation. Significant FCF generation and attractive pricing suggest the company’s economics are strong and future stock price performance will be good. Currently, the company has an attractive FCF yield of 4.2%.

Travelers has a generous dividend payout ratio of 24.24%, which reflects its ability to grow without major investments. The company’s FCF can support the company’s dividend policy, which currently yields 2.04%. In April 2021, the company implemented a stock repurchase authorization that added $5 billion in repurchase capacity. In 2021, Travelers repurchased 13.9 million shares under its $2.16 billion stock repurchase authorization. As of December 31, 2021, Travelers’ had $4.01 billion of capacity remaining under its stock repurchase authorization.

Evaluation

Not only is the company’s FCF attractively priced, but the company itself is undervalued. Travelers has a price/earnings ratio (P/E) of 11.77 and a 5-year P/E ratio of 14.11. In comparison, the S&P 500 has a P/E ratio of 24.87. The implication is not only that investors can buy the company at an attractive price, but that shareholders can also earn attractive returns from this same undervaluation.

Conclusion

Industry effects govern a firm’s ability to sustainably earn economic profits. Despite the competitive nature of the P&C insurance industry, the fact that it is both broadly mandated by law and essential to mitigating the risk of economic loss, makes the industry not only non-cyclical, but one in which rivals can achieve economic benefits. . Additionally, the insurance sector showed signs of recovery, despite the disruptions in the sector, as non-catastrophic losses returned to pre-pandemic levels. The result is that Travelers operates in a favorable competitive landscape. In this landscape, the company has shown its ability to grow profitably and generate returns above the opportunity cost of capital. The insurer’s profitability enables it to generate free cash flow, the price of which has been attractive on the market. Additionally, the company remains undervalued relative to the broader market, making it a very attractive stock to buy.

Shares of Huntsman Corp (HUN) closed today 0.7% below their 52-week high of $41.50, giving the company a market capitalization of $8 billion. The stock is currently up 17.7% year-to-date, 47.3% over the past 12 months and 119.3% over the past five years. This week, the Dow Jones Industrial Average fell 2.5% and the S&P 500 2.7%.

Commercial activity

• Trading volume this week was 67.5% above the 20-day average.
• The beta, a measure of the stock’s volatility relative to the broader market, is 1.0.

Technical indicators

• The stock’s Relative Strength Index (RSI) was above 70, indicating that it may be overbought.
• The MACD, a momentum indicator that follows the trend, indicates an upward trend.
• The stock closed below its Bollinger Band, indicating it may be oversold.
• The stock closed 3.1% higher than its 5-day moving average, 11.3% higher than its 20-day moving average and 20.0% higher than its 90-day moving average.

Comparative market performance

• The company’s stock price is the same as the S&P 500 index, beats it on a 1-year basis and beats it on a 5-year basis
• The company’s stock price is the same as the Dow Jones Industrial Average, beats it on a 1-year basis and beats it on a 5-year basis
• The company’s share price is the same as the performance of its peers in the materials industry sector, beats it on a 1-year basis and beats it on a 5-year basis

Comparative performance by group

• The company’s year-to-date stock price performance beats the peer average by -833.0%
• The company’s stock price performance over the past 12 months outperforms the peer average by 497.6%
• The company’s price-to-earnings ratio, which relates a company’s stock price to its earnings per share, is -64.2% below average.

This story was produced by the Kwhen automated news generator. For more articles like this, please visit us at finance.kwhen.com. Write to [email protected]. © 2020 Kwhen Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Bench-Corp. (ASB) today closed 0.9% below its 52-week high at $25.78, giving the company a market capitalization of $3 billion. The stock is currently up 12.6% year-to-date, 38.8% over the past 12 months and 11.8% over the past five years. This week, the Dow Jones Industrial Average fell 1.2% and the S&P 500 1.1%.

Commercial activity

• Trading volume this week was 29.1% below the 20-day average.
• The beta, a measure of the stock’s volatility relative to the broader market, is 0.9.

Technical indicators

• The stock’s relative strength index (RSI) was between 30 and 70.
• The MACD, a momentum indicator that follows the trend, indicates an upward trend.
• The stock closed below its Bollinger Band, indicating it may be oversold.

Comparative market performance

• The company’s stock price is the same as the S&P 500 index, beats it on a 1-year basis and lags it on a 5-year basis
• The company’s stock price is the same as the Dow Jones Industrial Average, beats it on a 1-year basis and lags it on a 5-year basis
• The company’s share price is the same as the performance of its peers in the financial industry sector, beating it on a 1-year basis and lagging it on a 5-year basis

Comparative performance by group

• Year-to-date, the company’s stock price performance outperforms the peer average by 67.7%
• The company’s stock price performance over the past 12 months exceeds the peer average by 6.5%
• The company’s price-to-earnings ratio, which relates a company’s stock price to its earnings per share, is -57.3% below average.

This story was produced by the Kwhen automated news generator. For more articles like this, please visit us at finance.kwhen.com. Write to [email protected]. © 2020 Kwhen Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

A article published Thursday in the Washington Free Beacon, Blumenthal revealed that he and his wife “sold between $1,265,000 and $2,550,000 worth of Robinhood stock in the last quarter of 2021.”

Hearst Connecticut Media could not independently verify or refute the Washington Free Beacon’s information, including whether any trusts controlled by Blumenthal’s wife’s family bought or sold Robinhood stock.

Blumenthal is one of the wealthiest members of Congress. Most of his wealth comes from the family of his wife, Cynthia, who are from the Malkin family, with real estate in and around Manhattan that includes shares in the Empire State Building.

Based on public records, the senator’s wealth is reported by various publications at $80-105 million. But neither Richard Blumenthal nor Cynthia Blumenthal control investments in family trusts, sources said, including Malkin Holdings LLC and related entities listed in the senator’s annual financial disclosure forms.

Blumenthal’s reporting and response highlighted a problem that has arisen over the years in Blumenthal’s long political career.

Themis Klarides, the former Republican leader of the State House who is seeking to challenge Blumenthal for his US Senate seat, seized on the Washington Free Beacon article, saying in a post Thursday on his Twitter page: “Blumenthal sold millions of shares of Robinhood as he called for an investigation into the trading platform – a clear conflict of interest.”

“Elected officials should not be allowed to use inside information for financial gain – we need to pass the STOCK Act now,” she added.

The Stop Trading on Congressional Knowledge Act, or STOCK Act, was passed in 2012. It states that members of Congress and other government employees cannot engage in securities trading based on information that they learned in the course of their work. It requires timely disclosure of stock market transactions.

The Free Beacon story makes no accusations of insider trading by Blumenthal.

Blumenthal said Friday he “strongly supports” the STOCK Act and stronger legislation that would “absolutely prohibit” members of Congress from owning or trading stocks.

The GameStop frenzy was one of the most bizarre events in recent Wall Street history.

On January 27, 2021, shares of struggling video game retailer GameStop soared thanks in part to a group on the Reddit site called “WallStreetBets”. Members of the group began encouraging each other to buy GameStop stock in an attempt to force huge losses on hedge funds that had bet the company’s stock price would plummet.

The day after the trading frenzy, Robinhood abruptly halted trading in some meme stocks, stocks of companies suddenly gaining internet popularity, citing Wall Street rules and insufficient liquidity, among other reasons.

It sent shares of GameStop and other companies plummeting, prompting lawsuits, congressional hearings, and a Securities and Exchange Commission investigation. Blumenthal asked for an investigation by consumer protection officials and Congress on Feb. 1 — and said legislative reform was needed.

Republicans and Democrats have called for updates to the STOCK Act. House Speaker Nancy Pelosi, a Democrat who had opposed the idea, recently gave the green light to a plan that would prohibit members of Congress from trading in stocks.

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