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Recent Articles
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Dividend Increases/Decreases for the Week of August 8
Aug 8, 2025
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Let's take a look at firms raising/lowering their dividends this week.
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Vertex Reports Strong Q2, Trial Setback Punishes Shares
Aug 5, 2025
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Image Source: TradingView.
Though the trial setback in pain management has sent shares of Vertex Pharma tumbling, we continue to like Vertex’s net cash rich balance sheet, cystic fibrosis franchise, its groundbreaking CRISPR/Cas9 gene-edited therapy and its novel non-opioid pain medicine. Shares remain a holding in the Best Ideas Newsletter portfolio. Our $445 per share fair value estimate remains unchanged at this time.
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Amazon’s Third Quarter Operating Income Guidance Conservative
Aug 2, 2025
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Image Source: TradingView.
Though Amazon’s operating cash flow has increased for the trailing twelve month period, free cash flow languished to $18.2 billion compared with $53 billion for the trailing twelve months ended June 30. Similar to its Magnificent 7 peers, Amazon is spending aggressively to capitalize on AI demand and to further grow its AWS business at a hefty pace. There were some soft spots in the quarter related to its third-quarter operating income guidance and free cash flow performance, but we expect Amazon to once again beat the range of its operating income guidance when it reports third quarter results. Free cash flow, however, will continue to be weighed down by robust capital spending.
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The Risks to Apple Are Increasing
Aug 2, 2025
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Image Source: TradingView.
Apple’s fiscal third quarter results were a head-turner and showcased outperformance with the iPhone and Greater China sales, through we note that tariff-related headwinds will impact the firm’s cost structure and possibly its product pricing strategy in the months ahead. The Street is also anxious when it comes to Apple’s strategy in artificial intelligence, where it is spending much less in this area than its Magnificent 7 brethren, as well as the sustainability of its current revenue share agreement with Google. The magnitude of risks is growing to the Apple story, but we still like shares in the newsletter portfolios given its strong underlying performance, robust cash flow generation and superb balance sheet. Our fair value estimate stands at $235 per share.
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