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To gain an edge, this is what you need to know today.

Google Goes Nuclear

Please click here for an enlarged chart of Nano Nuclear Energy Inc NNE.

Note the following:

• This article is about the big picture, not an individual stock. The chart of NNE is being used to illustrate the point.
• NNE is a micro reactor company.
• The trendline on the chart shows a steady uptrend since last month on the excitement about the use of nuclear power for AI data centers.
• As full disclosure, there is a position in NNE in The Arora Report’s ZYX Buy Change Alert.
• Alphabet Inc Class C GOOG has decided on nuclear power for AI data centers. Most importantly, Google has signed a Master Plant Development Agreement for smart modular reactors with Kairos Power. The first plant will be deployed by 2030.
• The Google agreement will likely build more excitement for nuclear power. The Arora Report has previously mentioned three conventional nuclear plant operators: Constellation Energy Corp CEG, Vistra Corp VST, and Public Service Enterprise Group Inc. PEG. There are two publicly traded smart modular reactors of note – Nuscale Power Corp SMR and Oklo Inc OKLO.
• There are reports Israel has told the U.S. that Israel will not attack Iran’s nuclear facilities or oil infrastructure. This development is impacting the markets in the following ways:
  • Buying in stocks
  • Selling in volatility index (VIX) futures
  • Selling in the dollar
  • Selling in oil
  • Selling in gold and silver
  • As full disclosure, The Arora Report anticipated this scenario as the highest probability scenario and gave the following signals. Readers of The Arora Report got ahead of the curve when they received a signal to take partial profits on gold ETF SPDR Gold Trust GLD in The Arora Report’s ZYX Allocation as well as silver ETF SLV and gold miner Newmont Corporation NEM in The Arora Report’s ZYX Buy.
• Earnings season is in full swing.
  • Among important earnings of note, Bank of America Corp BAC and Goldman Sachs Group Inc GS reported earnings better than the consensus. As full disclosure, BAC is in The Arora Report’s ZYX Buy Core Model Portfolio and is long from $7.69. 
  • Johnson & Johnson JNJ reported lower than expected earnings.
  • The nation’s largest health insurer UnitedHealth Group Inc UNH is lowering its outlook due to rising medical costs.

Magnificent Seven Money Flows

In the early trade, money flows are positive in Apple Inc AAPL, Amazon.com, Inc. AMZN, GOOG, Meta Platforms Inc META, Microsoft Corp MSFT, and Tesla Inc TSLA.

In the early trade, money flows are neutral in NVIDIA Corp NVDA.

In the early trade, money flows are positive in SPDR S&P 500 ETF Trust SPY and Invesco QQQ Trust Series 1 QQQ.

Momo Crowd And Smart Money In Stocks

Investors can gain an edge by knowing money flows in SPY and QQQ. Investors can get a bigger edge by knowing when smart money is buying stocks, gold, and oil. The most popular ETF for gold is SPDR Gold Trust GLD. The most popular ETF for silver is iShares Silver Trust SLV. The most popular ETF for oil is United States Oil ETF USO.

Bitcoin

Bitcoin BTC/USD is range bound.

Protection Band And What To Do Now

It is important for investors to look ahead and not in the rearview mirror.

Consider continuing to hold good, very long term, existing positions. Based on individual risk preference, consider a protection band consisting of cash or Treasury bills or short-term tactical trades as well as short to medium term hedges and short term hedges. This is a good way to protect yourself and participate in the upside at the same time.

You can determine your protection bands by adding cash to hedges. The high band of the protection is appropriate for those who are older or conservative. The low band of the protection is appropriate for those who are younger or aggressive. If you do not hedge, the total cash level should be more than stated above but significantly less than cash plus hedges.

A protection band of 0% would be very bullish and would indicate full investment with 0% in cash. A protection band of 100% would be very bearish and would indicate a need for aggressive protection with cash and hedges or aggressive short selling.

It is worth reminding that you cannot take advantage of new upcoming opportunities if you are not holding enough cash.  When adjusting hedge levels, consider adjusting partial stop quantities for stock positions (non ETF); consider using wider stops on remaining quantities and also allowing more room for high beta stocks. High beta stocks are the ones that move more than the market.

Traditional 60/40 Portfolio

Probability based risk reward adjusted for inflation does not favor long duration strategic bond allocation at this time.

Those who want to stick to traditional 60% allocation to stocks and 40% to bonds may consider focusing on only high quality bonds and bonds of five year duration or less. Those willing to bring sophistication to their investing may consider using bond ETFs as tactical positions and not strategic positions at this time.

The Arora Report is known for its accurate calls. The Arora Report correctly called the big artificial intelligence rally before anyone else, the new bull market of 2023, the bear market of 2022, new stock market highs right after the virus low in 2020, the virus drop in 2020, the DJIA rally to 30,000 when it was trading at 16,000, the start of a mega bull market in 2009, and the financial crash of 2008. Please click here to sign up for a free forever Generate Wealth Newsletter.

Sidus Space, Inc. SIDU shares are trading lower on Tuesday.

In an SEC filing, the company announced an offering of 3.75 million shares at an assumed price of $2.67 per share. The offering also contains up to 3.745 million pre-funded warrants to purchase up to 3.745 million shares of Class A common stock.

Per Sidus Space, the net proceeds from this offering will be approximately $8.9 million. The firm will use the net proceeds from this offering for sales and marketing, operational costs, product development, manufacturing expansion, and working capital, along with other general corporate purposes.

Also Read: Oil Prices Take Largest Plunge In Over A Year As Israel Vows To Spare Iranian Facilities: Energy Stocks Sink, Airlines, Cruise Lines Rally

In a press release, Sidus Space announced that the U.S. Federal Communications Commission (FCC) has approved its operation of a micro constellation of remote sensing, multi-mission satellites in Low Earth Orbit (LEO).

This regulatory milestone is a significant step in Sidus Space’s plans for on-orbit expansion and underscores its strategic commitment to enabling new missions while delivering flexible, cost-effective data acquisition solutions through its innovative data-as-a-service model.

The company retains ownership of the data collected by its LizzieSat sensors for all missions, giving customers a distinct advantage in accessing valuable data streams.

The FCC approval marks a significant milestone for Sidus Space as it expands its on-orbit presence and enhances its capacity to provide a variety of industries with improved real-time, space-based data services.

According to Benzinga Pro, SIDU stock has lost over 79% in the past year.

Price Action: SIDU shares are trading lower by 11.2% to $2.335 at last check Tuesday.

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U.S. stocks were lower, with the Dow Jones index falling around 100 points on Tuesday.

Shares of Walgreens Boots Alliance, Inc. WBA rose sharply during Tuesday’s session following better-than-expected quarterly earnings.

Walgreens reported fourth-quarter fiscal year 2024 sales of $37.55 billion, up 6% year over year (+6.1% on constant currency), beating the consensus of $35.76 billion, reflecting sales growth across all segments. Adjusted EPS was 39 cents, down 40.8%, beating the consensus of 36 cents, according to data from Benzinga Pro.

Walgreens Boots Alliance, Inc. WBA gained 12.3% to $10.11 on Tuesday.

Here are some other big stocks recording gains in today’s session.

Wolfspeed, Inc. WOLF shares jumped 25% to $14.24 after the company announced it signed a signed a non-binding preliminary memorandum of terms for up to $750 million in proposed direct funding under the CHIPS and Science Act.

MeiraGTx Holdings plc MGTX gained 13.4% to $5.26 after safety and tolerability was confirmed in its gene therapy study for Parkinson’s.

Telefonaktiebolaget LM Ericsson (publ) ERIC climbed 12.5% to $8.48 following a third-quarter earnings beat.

Rumble Inc. RUM gained 9.5% to $5.99.

Montrose Environmental Group, Inc. MEG gained 7.2% to $25.16. Montrose Environmental Group announced a $249 million US Army Corps Of Engineers Environmental Services contract.

TechTarget, Inc. TTGT gained 7.2% to $26.97. Craig-Hallum analyst Jason Kreyer upgraded TechTarget from Hold to Buy and raised the price target from $34 to $36.

Bit Digital, Inc. BTBT gained 5.8% to $3.4813. Bit Digital acquired Enovum Data Centers for total consideration of approximately $46 million.

Ardent Health Partners, Inc. ARDT gained 5.2% to $19.85.

Foot Locker, Inc. FL gained 4% to $24.72.

American Airlines Group Inc. AAL gained 3.3% to $12.27.

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Disclosed on October 15, George J Christ, 10% Owner at Altair Engineering ALTR, executed a substantial insider sell as per the latest SEC filing.

What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Tuesday showed that Christ sold 100,000 shares of Altair Engineering. The total transaction amounted to $9,523,390.

At Tuesday morning, Altair Engineering shares are down by 0.0%, trading at $95.5.

About Altair Engineering

Altair Engineering Inc is a provider of enterprise-class engineering software enabling origination of the entire product lifecycle from concept design to in-service operation. The integrated suite of software provided by the company optimizes design performance across multiple disciplines encompassing structures, motion, fluids, thermal management, system modeling, and embedded systems. It operates through two segments: Software which includes the portfolio of software products such as solvers and optimization technology products, modeling and visualization tools, industrial and concept design tools, and others; and Client Engineering Services which provides client engineering services to support customers. Majority of its revenue comes from the software segment.

Financial Milestones: Altair Engineering’s Journey

Revenue Growth: Altair Engineering’s revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 5.41%. This indicates a substantial increase in the company’s top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Analyzing Profitability Metrics:

• Gross Margin: With a high gross margin of 79.49%, the company demonstrates effective cost control and strong profitability relative to its peers.

• Earnings per Share (EPS): Altair Engineering’s EPS reflects a decline, falling below the industry average with a current EPS of -0.06.

Debt Management: Altair Engineering’s debt-to-equity ratio is below the industry average. With a ratio of 0.33, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Understanding Financial Valuation:

• Price to Earnings (P/E) Ratio: The current Price to Earnings ratio of 298.62 is higher than the industry average, indicating the stock is priced at a premium level according to the market sentiment.

• Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 12.84, Altair Engineering’s stock is perceived as being overvalued in the market, particularly in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Altair Engineering’s EV/EBITDA ratio stands at 95.97, surpassing industry benchmarks. This places the company in a position with a higher-than-average market valuation.

Market Capitalization Analysis: Reflecting a smaller scale, the company’s market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

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Why Pay Attention to Insider Transactions

It’s important to note that insider transactions alone should not dictate investment decisions, but they can provide valuable insights.

From a legal standpoint, the term “insider” pertains to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

A company insider’s new purchase is a indicator of their positive anticipation for a rise in the stock.

While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.

Unlocking the Meaning of Transaction Codes

When it comes to transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S indicates a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Altair Engineering’s Insider Trades.

Insider Buying Alert: Profit from C-Suite Moves

Benzinga Edge reveals every insider trade in real-time. Don’t miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.

This article was generated by Benzinga’s automated content engine and reviewed by an editor.

You’re not alone if you’ve ever wondered whether it’s better to get in and out of stocks to make a quick profit or stay invested for the long haul. Many investors debate whether “timing the market” or “time in the market” is the smarter strategy. 

Kevin O’Leary, a well-known investor and television personality, has clarified his position: “It’s impossible to time the market.” He’s not the only one. Legendary investor Warren Buffett has already echoed similar thoughts for decades, urging people to focus on the bigger picture.

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Timing the Market Is Risky Business

Kevin O’Leary recently shared his thoughts on investors who try to sell stocks when they believe they’re overvalued. “If you were concerned about valuations, you would have sold all your stock two quarters ago and you would have missed out on a huge part of this year’s gains,” O’Leary pointed out. His message? You can’t predict the market’s ups and downs and trying to do so can cost you.

Trending: This Adobe-backed AI marketing startup went from a $5 to $85 million valuation working with brands like L’Oréal, Hasbro, and Sweetgreen in just three years – here’s how there’s an opportunity to invest at $1,000 for only $0.50/share today.

O’Leary also highlighted that even the pros struggle with this: “88% of managers can’t beat the index. In other words, they can’t beat the S&P 500.” This means that most experts attempting to time the market are losing in the long run.

Instead of timing, O’Leary suggests diversifying your investments, maybe holding more fixed-income products or going to cash temporarily. But he warns against selling everything just because you think you know when the market will dip. It’s just too unpredictable.

Trending: Beating the market through ethical real estate investing’ — this platform aims to give tenants equity in the homes they live in while scoring 17.17% average annual returns for investors – here’s how to join with just $100

Warren Buffett, the “Oracle of Omaha,” has been saying the same thing for years – “Don’t watch the market closely.” He explains that reacting to every little market fluctuation can lead to poor decisions. He recommends that investors concentrate on the company’s long-term potential rather than fretting about day-to-day price fluctuations.

He famously said, “Only buy something that you’d be perfectly happy to hold if the market shuts down for 10 years.” His entire investment philosophy centers around purchasing solid, undervalued firms and remaining loyal to them through good times and bad. To him, investing in quality businesses with good leadership and long-term prospects is more important than trying to make quick profits based on market trends.

See Also: These five entrepreneurs are worth $223 billion – they all believe in one platform that offers a 7-9% target yield with monthly dividends

Buffett also made an excellent analogy about investing in stocks, comparing it to buying into a local business you believe in. “If you had a chance to buy into a good company in your hometown – and you knew it was a good company and knew good people were running it and you bought in at a fair price, you wouldn’t want to get a quote every day,” he explained. 

For him, investing should be about the business itself, not the daily ups and downs of the stock price.

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Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades and downgrades, please see our analyst ratings page.

• Scotiabank raised FirstService Corporation FSV price target from $190 to $200. Scotiabank analyst Himanshu Gupta maintained a Sector Perform rating. FirstService shares closed at $184.78 on Monday. See how other analysts view this stock.
• DA Davidson boosted the price target for ACI Worldwide, Inc. ACIW from $52 to $57. DA Davidson analyst Peter Heckmann maintained a Buy rating. ACI Worldwide shares closed at $52.66 on Monday. See how other analysts view this stock.
• UBS cut the price target for Philip Morris International Inc. PM from $105 to $103. UBS analyst Faham Baig maintained a Sell rating. Philip Morris shares closed at $120.08 on Monday. See how other analysts view this stock.
• Wells Fargo raised The Sherwin-Williams Company SHW price target from $350 to $400. Wells Fargo analyst Michael Sison maintained an Equal-Weight rating. Sherwin-Williams shares closed at $384.16 on Monday. See how other analysts view this stock.
• BMO Capital raised S&P Global Inc. SPGI price target from $537 to $589. BMO Capital analyst Jeffrey Silber maintained an Outperform rating. S&P Global shares closed at $527.52 on Monday. See how other analysts view this stock.
• Truist Securities raised McDonald’s Corporation MCD price target from $295 to $350. Truist Securities analyst Jake Bartlett maintained a Buy rating. McDonald’s shares closed at $309.84 on Monday. See how other analysts view this stock.
• Evercore ISI Group raised the price target for Brinker International, Inc. EAT from $69 to $90. Evercore ISI Group analyst David Palmer maintained an In-Line rating. Brinker settled at $87.70 on Monday. See how other analysts view this stock.
• Piper Sandler raised Viper Energy, Inc. VNOM price target from $57 to $61. Piper Sandler analyst Mark Lear maintained an Overweight rating. Viper Energy shares closed at $51.97 on Monday. See how other analysts view this stock.
• Oppenheimer cut the price target for Zimmer Biomet Holdings, Inc. ZBH from $145 to $135. Oppenheimer analyst Steven Lichtman maintained an Outperform rating. Zimmer Biomet shares closed at $104.83 on Monday. See how other analysts view this stock.
• TD Cowen cut SM Energy Company SM price target from $64 to $60. TD Cowen analyst Gabe Daoud upgraded the stock from Hold to Buy. SM Energy shares closed at $44.62 on Monday. See how other analysts view this stock.

Considering buying MCD stock? Here’s what analysts think:

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