Day: October 14, 2024

When it comes to outperforming Wall Street, there isn’t a one-size-fits-all approach. Great companies can be stellar investments even if the stock is soaring to all-time highs. You can afford some more uncertainty if the stock’s valuation is lower.

On that note, let me show you examples of these two strategies. Online advertising technologist The Trade Desk (NASDAQ: TTD) is the skyrocketing industry leader, while game development and 3D world building expert Unity Software (NYSE: U) is a turnaround story trading at a deep discount.

Picking up either one of these top-shelf stocks from the software industry could help you beat the Street and make a fortune in the long run. They would do it in very different ways, though.

The soaring success story

I won’t score any points for originality by presenting a bull case for The Trade Desk. The digital advertising specialist is roaring back from nearly three years in a sectorwide market downturn — and leading the recovery from the front.

It’s more than a business success story, too. The Trade Desk helps clients maximize the return on their advertising budgets, which was a welcome quality during the inflation-driven downturn. The same advantage will help healthier ad budgets achieve record results when the inflation pressure finally fades out.

On top of these tactics, The Trade Desk created a technical workaround for the digital advertising sector as a whole. Third-party tracking cookies have been depreciated across most of the leading browsers, and will soon be almost completely unusable for tracking the performance of ad campaigns. The Trade Desk’s Unified ID 2.0 (UID2) achieves similar ad-tracking results while preserving the privacy of individual users.

The Trade Desk is an innovator with a five-star track record in financial results. The stock is exploring all-time highs again after a deep dip during the inflation crisis. I can’t find an industry rival matching The Trade Desk’s strong and consistent revenue growth over the last three years. For that reason, I don’t mind paying a modest premium for the stock today.

The promising turnaround play

Unity Software is a different story. The company used to be an unquestioned leader in its chosen field of business, inspiring hordes of game developers and digital media studios to base their next projects on its software.

But Unity’s management made a serious mistake last year. Former CEO John Riccitiello introduced a so-called runtime fee, charging developers a small fee per installation. The move turned out to be highly controversial, especially in the video game community. Small charges per installation can raise large barriers to entry in a market where many games are distributed for free and make money through subscription charges or in-game purchases.

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Already fighting the same inflation headwinds as everyone else, Unity Software faced lower interest from game developers. The one-two punch resulted in stalled financial growth. The company parted ways with Riccitiello a year ago, installing new CEO Matt Bromberg in the spring. Interim CEO Jim Whitehurst is now the company’s executive chair. From this position, Whitehurst can continue to apply his software expertise from Red Hat and turnaround success from Delta Air Lines.

This idea isn’t as cut-and-dried as my The Trade Desk recommendation, but Unity Software’s stock comes with the benefit of a robust valuation discount. The stock price is down 52% from its 52-week highs, and shares are changing hands at a very reasonable 4 times sales.

Investors have baked plenty of risk into Unity Software’s stock price, and for good reason. Turnaround efforts are never easy, and in this case, developers have plenty of alternative platforms available.

But I’m inspired by the new management team’s insightful moves. Bromberg has canceled the painful runtime fee for game developers, introduced a more stable fee structure for everybody, and raised prices by about 8% overall. I’m sure Whitehurst played a large part in that policy change. If this dream team can’t put Unity Software back on a winning track, I don’t know who can.

So Unity Software’s stock is affordable for good reason. At the same time, I give this turnaround effort an above-average chance of success. All things considered, the stock looks worthy of a modest investment right about now.

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Anders Bylund has positions in The Trade Desk. The Motley Fool has positions in and recommends The Trade Desk and Unity Software. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.

2 Software Stocks That Could Help Make You a Fortune was originally published by The Motley Fool

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Incumbent Vice President and Democratic nominee Kamala Harris has positioned herself as a cryptocurrency and artificial intelligence supporter, a move debated to draw in younger pro-crypto voters.

This is in stark opposition to President Biden’s approach, which involved signing an executive order to set 30 new federal regulation standards for AI last year.

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“We will partner together to invest in America’s competitiveness, to invest in America’s future. We will encourage innovative technologies like AI and digital assets while protecting our consumers and investors,” Harris said during a fundraiser at Cipriani Wall Street.

Notably, this might be one of the few areas where the Democratic and Republican nominees see eye to eye. Former President Donald Trump – a long-standing advocate for the cryptocurrency sector – has previously announced his plans to fire the current SEC Chair, Gary Gensler, if he wins.

What Does This Mean for AI and Crypto?

Kamala Harris’ 180-degree turn from the current administration’s viewpoint has been rejoiced by the crypto sector and garnered attention from industry leaders. The vice president’s message comes when the crypto industry flexes its financial muscles, becoming a significant player in the 2024 presidential race.

“Kamala just said she will encourage innovative technologies like DIGITAL ASSETS,” said Hayden Adams, CEO of cryptocurrency exchange Uniswap, in a post on X. “I believe this is her first time referencing crypto publicly and it’s in a positive way.”

NVIDIA

Chip manufacturer NVIDIA Corp. (NASDAQ:NVDA) has been a cornerstone in the artificial intelligence industry for several years. The California-based company held 88% of the GPU market share as of the first quarter of 2024 – marking a whopping 8% sequential increase.

NVIDIA is undoubtedly one of the best-performing S&P 500 stocks in 2024, up nearly 170% year-over-year. If elected, Harris’ advocacy for the AI sector could propel NVDA’s shares even higher, as analysts expect the stock to surge by over 15%.

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Furthermore, given the growing demand for AI chips, NVIDIA’s revenues are expected to amount to $125.54 billion in fiscal 2025, indicating a 125.4% rise year over year. The company’s bottom line is expected to rise by over 138% year over year, with earnings per share (EPS) reaching $2.84 in the current year.

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Coinbase

Coinbase Global, Inc. (NASDAQ:COIN), the largest cryptocurrency exchange in the U.S. in terms of trading volume, has been embroiled in a legal battle with the SEC for quite some time. In June 2023, the federal regulator filed two lawsuits within just two days of each other in an effort to crack down on the U.S. crypto sector.

Coinbase‘s legal battles have continued since then, with the crypto exchange going head-to-head against the country’s largest securities regulator. But this could soon change if Harris emerges victorious and the White House implements favorable crypto policies.

Cathie Wood, founder and CEO of Ark Invest, who gained prominence during the pandemic by delivering over 325% returns to investors, recently invested approximately $2.2 million in Coinbase, according to research from Coindesk. Ark Invest’s flagship Fintech Innovation ETF holds $67 million worth of COIN shares, translating to a 7.43% weightage in the fund.

Coinbase could benefit significantly if Harris comes to power, as the company’s EPS is expected to grow at a compound annual growth rate (CAGR) of nearly 200% over the next five years.

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This article Kamala Harris Plans to Boost AI and Crypto Sectors If She Wins – These Specific Stocks Could Benefit originally appeared on Benzinga.com

What is going on at Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B)? In the last few months, the “Oracle of Omaha” has directed his firm to dump almost $10 billion of one of its largest holdings and a popular stock among institutional investors. The sales come as Berkshire sits on the largest pile of cash it’s ever kept on the books. What does Warren Buffett know that Wall Street doesn’t?

Buffett has made a career of patient, disciplined investing, focusing on backing great companies for the long haul rather than picking great stocks. As he puts it, “When you find a truly wonderful business, stick with it. Patience pays.” His philosophy has made him one of the wealthiest people on the planet. So, investors pay attention when he makes big moves, like offloading roughly a quarter of one of his largest holdings.

Berkshire sells nearly $10 billion in Bank of America stock

The company in question, Bank of America, has been a key part of Berkshire’s portfolio since Buffett helped prop up the bank in the wake of the financial crisis. He paid $5 billion for preferred stock and warrants to buy an additional 700 million shares at just over $7 per share before 2021.

Despite the state of the bank at the time, Buffett had faith. His patience and foresight paid off, and he exercised the warrants six years later for an on-paper profit of $12 billion. Buffett remained a net buyer of Bank of America until this year, when he began selling chunks of his firm’s more than $40 billion stake.

As the sales began in July, the bank’s stock price took a hit, but despite Berkshire’s continued offloading, shares are up nearly 9% since its low after the sales began. Why is he selling while much of Wall Street seems to believe Bank of America is moving in the right direction?

Concerns about the macro picture, but it might be simpler than that

Buffett is remaining tight-lipped, refusing to comment in detail on the trades. While there’s no way to know for sure what he’s thinking, we can make an educated guess. I think it has less to do with Bank of America itself than with his larger strategy. After all, it’s not the only holding that was slashed this year. Berkshire shed billions in Apple stock as well.

He may be worried that the market is overvalued and wants to prepare his firm. He is finding it increasingly irrational. In his 2023 shareholder letter, he said that “markets now exhibit far more casino-like behavior than they did when [he] was young.”

If that’s true, a major economic event is certainly possible. Given that Buffett believes Berkshire should play its role in helping the economy in the event of a sharp downturn, the firm needs a huge reserve of liquid assets that will allow it to not just protect itself but also to “help extinguish the financial fire,” as Buffett wrote last year.

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While this is possible, I think a more innocuous reason is at play. I think Buffett simply believes that both Apple and Bank of America, while still wonderful companies, don’t have the upside he’s looking for moving forward. Better opportunities exist. He may be setting up another major buy or series of buys. We’ll have to wait and see. However, there is one stock he’s continuing to buy, purchasing $345 million of it last quarter.

Warren Buffett’s favorite stock is his own

Since the beginning of the year, Berkshire has repurchased nearly $3 billion of its own stock. This is one of the primary ways Buffett rewards his shareholders, as the company doesn’t issue a dividend. The continued repurchases are a good sign that he believes in his own company since Buffett can repurchase his stock only if he believes it to be undervalued at the moment. If he’s buying shares, Berkshire has the implicit blessing of one of the best investors in history.

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Does Warren Buffett Know Something Wall Street Doesn’t? The Billionaire Legend Dumps $9.6 Billion of Key Holding While Buying $345 Million of His Favorite Stock. was originally published by The Motley Fool

• Retail sales, Fed speakers, Q3 earnings will be in focus this week.

• Netflix is a buy with upbeat profit and subscriber growth expected.

• Walgreens Boots Alliance is a sell with disappointing earnings, guidance on deck.

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U.S. stocks ended higher on Friday to cap off their fifth winning week in a row, as investors digested the first batch of third-quarter earnings and continued to assess the Federal Reserve’s rate plans for the months ahead.

For the week, the benchmark S&P 500 and the blue-chip Dow Jones Industrial Average climbed 1.1% and 1.2%, respectively. Both averages hit fresh all-time highs and closed at records. The tech-heavy Nasdaq Composite added 1.1%.

Source: Investing.com

The holiday-shortened week ahead – which will see the U.S. stock market closed on Monday in observance of Colombus Day – is expected to be another busy one as investors assess the outlook for the economy, interest rates and corporate earnings.

Most important on the economic calendar will be Thursday’s U.S. retail sales report for September, with economists estimating a headline increase of 0.3% after sales rose 0.1% during the prior month.

Source: Investing.com

That will be accompanied by a heavy slate of Fed speakers, with the likes of district governors Neel Kashkari, Christopher Waller, Mary Daly, and Adriana Kugler all set to make public appearances.

As of Sunday morning, investors see an 86% chance of the Fed cutting rates by 25 basis points at its November 7 policy meeting, and a 14% chance of no action, according to Investing.com’s Fed Monitor Tool.

Meanwhile, third-quarter earnings season shifts into high gear, with Netflix (NASDAQ:NFLX) leading the charge. Other high-profile companies reporting include Bank of America (NYSE:BAC), Citigroup (NYSE:C), Goldman Sachs (NYSE:GS), Morgan Stanley (NYSE:MS), American Express (NYSE:AXP), Johnson & Johnson (NYSE:JNJ), UnitedHealth (NYSE:UNH), Procter & Gamble (NYSE:PG), Walgreens Boots Alliance (NASDAQ:WBA), United Airlines (NASDAQ:UAL), ASML (AS:ASML), and Taiwan Semiconductor (NYSE:TSM).

Regardless of which direction the market goes, below I highlight one stock likely to be in demand and another which could see fresh downside. Remember though, my timeframe is just for the week ahead, Monday, October 14 – Friday, October 18.

Stock To Buy: Netflix

I foresee another strong performance for Netflix’s stock this week, as the streaming giant’s third quarter earnings report will easily beat estimates thanks to favorable consumer demand trends and an improving fundamental outlook.

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The Los Gatos, California-based Internet television network is scheduled to release its Q3 update after the U.S. market closes on Thursday at 4:00PM ET. A call with co-CEO’s Ted Sarandos and Greg Peters is set for 5:00PM ET.

Market participants expect a sizable swing in NFLX stock after the print drops, according to the options market, with a possible implied move of 7.9% in either direction.

Profit estimates have been revised upward 29 times in the last 90 days, reflecting growing confidence among analysts. Only two downward revisions have been noted, underscoring Wall Street’s bullish sentiment toward Netflix.

The company’s recent cost-cutting measures, along with its ability to drive subscriber growth, have positioned it as a dominant player in the streaming space.

Source: InvestingPro

Netflix is seen earning $4.53 per share, jumping 37% from EPS of $3.11 in the year-ago period. Meanwhile, revenue is forecast to increase 14.3% year-over-year to $9.76 billion.

If confirmed, this would represent the highest quarterly sales in Netflix’s 27-year history, driven by strong demand for its lower-cost, ad-supported tier and the company’s ongoing crackdown on password sharing, a move that has pushed more users to sign up for their own accounts.

As such, I reckon Netflix will maintain its solid pace of net streaming subscriber additions and easily top Wall Street estimates of about 4.2 million new global subscribers added during the third quarter.

NFLX stock hit a new all-time high of $736 on Friday before ending at $722.79. At current levels, Netflix has a market cap of $310.2 billion.

Source: Investing.com

Shares are up 48.4% in the year to date.

InvestingPro highlights Netflix’s promising outlook, emphasizing its favorable positioning in the streaming industry, which has allowed it to leverage a resilient business model and strong profit growth.

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Stock to Sell: Walgreens Boots Alliance

In contrast, Walgreens Boots Alliance is set to deliver a disappointing earnings report when it updates investors on its fiscal fourth quarter before the market opens on Tuesday at 7:00AM ET.

The retail pharmacy giant has been struggling to navigate a challenging macroeconomic environment, and the outlook for the stock remains bleak.

According to the options market, traders are pricing in a swing of about 7.5% in either direction for Walgreens stock following the print.

Earnings have been catalysts for outsized swings in shares this year, as per data from InvestingPro, with WBA gapping down a massive 22.7% when the company last reported quarterly numbers in late June.

Analysts expect a sharp decline in earnings, with forecasts calling for a drop of roughly 53% compared to initial estimates from 90 days ago. This significant downward revision reflects the numerous challenges facing Walgreens, including weaker consumer demand, rising labor costs, and persistent inflationary pressures.

Source: InvestingPro

Wall Street sees Walgreens earning $0.36 per share, compared to EPS of $0.67 in the year-ago period, amid higher cost pressures and declining operating margins.

Meanwhile, revenue is forecast to inch up 0.4% year-over-year to $35.55 billion, as it deals with low consumer spending due to the challenging retail environment.

Adding to its woes, Walgreens is expected to provide soft guidance for the upcoming fiscal year as it struggles to adapt to the rise in popularity of online pharmacy and direct to consumer platforms, which are both seen as posing a threat to Walgreens’ business.

WBA stock ended at $9.21 on Friday, not far from a recent low of $8.22, which was the weakest level since September 1996. At its current valuation, the Deerfield, Illinois-based retail drugstore chain operator and pharmacy services provider has a market cap of $7.9 billion.

Source: Investing.com

Shares – which were removed from the Dow Jones Industrial Average earlier this year – are down 64.7% in 2024.

Not surprisingly, Walgreens has a below-average InvestingPro ‘Financial Health’ score of 1.8 out of 5.0 due to worries over its weak profitability outlook and significant debt load.

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Disclosure: At the time of writing, I am long on the S&P 500, and the Nasdaq 100 via the SPDR® S&P 500 ETF, and the Invesco QQQ Trust ETF. I am also long on the Technology Select Sector SPDR ETF (NYSE:XLK).

I regularly rebalance my portfolio of individual stocks and ETFs based on ongoing risk assessment of both the macroeconomic environment and companies’ financials.

The views discussed in this article are solely the opinion of the author and should not be taken as investment advice.

Follow Jesse Cohen on X/Twitter @JesseCohenInv for more stock market analysis and insight.

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Stocks closed another week at record highs as investors began to digest quarterly earnings releases and debate intensified over what the Federal Reserve will do at its November meeting.

For the week, the Nasdaq (^IXIC), the S&P 500 (^GSPC), and the Dow Jones Industrial Average (^DJI) all rose more than 1%, with both the Dow and S&P 500 closing at all-time highs Friday.

In the week ahead, a monthly report on retail sales will lead the economic calendar as investors assess whether or not the economy is reaccelerating following a surprisingly strong September jobs report.

In corporate news, the results from Bank of America (BAC), Goldman Sachs (GS), and Morgan Stanley (MS) will round out earnings from big banks, while reports from United Airlines (UAL) and Netflix (NFLX) will also highlight the week.

A building case for no-cut November

In the past week, speculation that the Federal Reserve will not cut interest rates further at its November meeting has been growing. The September jobs report, which included another decline in the unemployment rate and one of the highest monthly payroll addition numbers of the year, helped ease fears that the labor market was rapidly deteriorating.

On Thursday, the latest Consumer Price Index (CPI) report showed core prices increased more than expected. On Friday, the latest Producer Price Index (PPI) told a similar story, with core prices increasing 2.8%, compared to Wall Street’s expectations for a 2.6% increase.

Some have argued that given this data — as well as recent minutes from the Fed’s September meeting revealing “some” officials would’ve supported a smaller interest rate cut — the central bank is likely to hold rates steady in November.

“As long as inflation isn’t getting towards 2% so dramatically and there’s no crisis that unfolds in the labor market, which I don’t foresee, I don’t think there’s anything that gives the Fed reason to cut further this year,” Yardeni Research chief markets strategist Eric Wallerstein told Yahoo Finance.

As of Friday, markets were pricing a roughly 18% chance the Fed doesn’t cut in November, up from a 3% chance seen a week prior, per the CME FedWatch Tool.

Retail reading

Stronger-than-expected economic data has helped drive the “no cut” discussion. Investors will have another update in that department this week with the release of the September retail sales report on Thursday.

Economists expect that retail sales increased 0.2% in September from the prior month. In August, retail sales rose 0.1%, defying the decline economists had projected.

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“Retail sales, in particular, could be a significant market mover as variance in the series has increased, and scrutiny over the health of the consumer has intensified,” Jefferies’ economics team led by Thomas Simons wrote in a note to clients on Friday. “We would warn that one should not read too deeply into a miss against consensus (upside or downside) because retail sales measures spending with a very heavy weighting towards goods rather than services, and it is measured in nominal terms. Weakness may just be due to continued disinflation or deflation in goods.”

Netflix takes the big screen

Big banks largely passed Wall Street’s test to open earnings season. Investor focus will remain on financials early in the week with reports from Morgan Stanley, Goldman Sachs, and Bank of America before shifting to Netflix results on Thursday after the bell.

The streaming giant’s stock is up about 50% this year and trading near an all-time high. Wall Street expects Netflix to report earnings per share of $5.16 on revenue of $9.77 billion. This would represent nearly 40% earnings growth compared to the year prior.

But Wall Street is heavily debating whether or not the stock can sustain its massive run. In the near term, Citi analyst Jason Bazinet believes Netflix announcing further price hikes in the US could be a catalyst for the stock.

“We expect Netflix’s stock to trade higher on a US price hike announcement, but we would expect shares to eventually trade lower as investor’s hopes for $25 in 2025 earnings per share are dashed,” Bazinet wrote.

Yields on the rise

The 10-year Treasury (^TNX) is hovering near 4.1% for the first time since late July.

The 10-year has now added roughly 30 basis points over the past week as investors have scaled back their expectations for interest rate cuts amid signs that inflation may be stickier than initially thought while economic growth data holds steady.

For much of the past few years, higher yields have been a headwind for stocks. But Piper Sandler chief investment strategist Michael Kantrowitz told Yahoo Finance on Thursday yields likely have not risen enough to be too much of a headwind just yet.

“I don’t think this backup in interest rates is all that worrisome for equities in aggregate,” Kantrowitz said. “But where it does show up is in leadership.”

Kantrowitz pointed out that areas like Real Estate (XLRE) and the small-cap Russell 2000 Index (^RUT), which had benefited from investors anticipating lower rates, have lagged amid the 10-year yield’s recent rise.

For now, Kantrowitz added, rising rates are determining market leadership more than they are weighing on the S&P 500 index.

“If rates keep going higher, I don’t think it’s a massive issue for equities unless it persists for, I’d say, a few months,” he said.

Monday

Economic data: NY Fed 1-year inflation expectations, September (3% prior)

Earnings: No notable earnings.

Tuesday:

Economic data: Empire Manufacturing, October (0.5 expected, 11.5 prior)

Earnings: Bank of America (BAC), Charles Schwab (SCHW), Citi (C), Goldman Sachs (GS), J.B. Hunt (JBHT), Johnson & Johnson (JNJ), Progressive (PGR), State Street (STT), United Airlines (UAL), UnitedHealth Group (UNH), Walgreens Boots Alliance (WBA)

Wednesday

Economic data: MBA Mortgage Applications, week ending Oct. 11 (-5.1% previously); Import price index month-over-month, September (-0.3% expected, -0.3% prior); Export price index month-over-month, September (-0.3% expected, -0.7% prior)

Earnings: Abbott (ABT), Alcoa (AA), ASML (ASML), Citizens (CIA), Discover Financial Services (DFS), Morgan Stanley (MS)

Thursday

Economic data: Initial jobless claims, week ending Oct. 12 (258,000 previously); Retail sales month-over-month, September (0.2% expected, 0.1% prior); Retail sales excluding auto and gas, September (0.3% expected, 0.2% prior); Philadelphia Fed Business Outlook, October (2.9 expected, 1.7 previously); Industrial production, month-over-month, September (0% expected, 0.8% prior); NAHB housing market index, October (42 expected, 41 prior); Leading Index, March (-0.1% expected, +0.1% previously); Existing home sales, month-over-month, March (-5.1% expected, 9.5% previously)

Earnings: Netflix (NFLX), Blackstone (BX), Travelers (TRV), First National Bank (FBAK), Western Alliance (WAL), WD-40 (WDFC)

Friday

Economic data: Housing starts month-over-month, September (-0.9% expected, 9.6% prior); Building permits month-over-month, September (-0.3% expected, 4.9% prior)

Earnings: Ally Financial (ALLY), American Express (AXP), Comerica (CMA), Procter & Gamble (PG)

Josh Schafer is a reporter for Yahoo Finance. Follow him on X @_joshschafer.

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Costco is again venturing into the precious metals market, expanding its offerings beyond the gold and silver bars it sold to great success. The retail giant now offers 1-ounce platinum bars for $1,089.99 exclusively to members via its website. This move is part of Costco’s broader strategy to diversify its product lineup and capitalize on the growing demand for collectible precious metals.

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A Continuation of Costco’s Precious Metals Success

Costco entered the precious metals market in 2023, introducing gold bars. The retailer sold more than $100 million of these bars in just the first quarter of that year. More recently, it added silver coins, which sold for $675. Now, platinum joins the lineup with its Swiss-made bars engraved with an image of Lady Fortuna, the Roman goddess of fortune and prosperity.

While the price of platinum has seen modest increases year to date – up 15% from 2023 – the allure of precious metals remains strong for collectors and investors. Gold has recently hit record highs and remains the more popular investment due to its higher appreciation rate.

However, CNN reports that Costco’s decision to sell platinum bars is less about competing with gold and more about continuing its “treasure hunt” retail strategy.

“We try to create an attitude that, if you see it, you ought to buy it because chances are it ain’t going to be there next time,” Costco’s founder once said to the Wall Street Journal. “That’s the treasure-hunt aspect. We constantly buy that stuff and intentionally run out of it from time to time.”

Trending: Are you rich? Here’s what Americans think you need to be considered wealthy.

Why Platinum?

Platinum may not be as sought after as gold, but it uniquely appeals. It’s a rarer metal used in industrial applications and as a form of wealth preservation. Costco’s platinum bars are made of 999.5 pure platinum, which collectors and investors might find appealing as a diversification opportunity.

Kelly Bania, a senior research analyst at BMO Capital Markets, told ABC News that Costco’s move to introduce platinum bars is consistent with its strategy of offering high-margin products. Platinum’s market value fluctuates around $1,008 per ounce, so Costco’s $1,089.99 price tag reflects a small markup. However, buyers are willing to pay a premium for the convenience of purchasing precious metals from a trusted retailer.

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Trending: The global games market is projected to generate $272B by the end of the year — for $0.55/share, this VC-backed startup with a 7M+ userbase gives investors easy access to this asset market.

Should You Invest?

Investing in precious metals like platinum carries potential risks. Unlike stocks or bonds, precious metals don’t generate income and are subject to price volatility. Additionally, selling these metals can involve fees, making them a more complex investment for the average buyer.

Those considering platinum as an investment should do thorough research and possibly consult a financial advisor to ensure it fits their long-term goals.

Ultimately, Costco’s venture into platinum sales may be more about marketing than moving large quantities of the metal. But for shoppers who enjoy the thrill of snagging exclusive items, platinum bars are another example of the unique finds that make Costco a popular destination.

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