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Investing Insights

5 Scary Stocks for You to Avoid This Halloween

Investing Insights

Morningstar, Ivanna Hampton, Sarah Hansen

Bonds, Stocks, Analysis, Advice, Trading, Funds, News, Investment, Morningstar, Entrepreneurship, Mutual, Ideas, Etfs, Finance, Investing, Business, Economic, Independent, Christine Benz

4.2539 Ratings

🗓️ 27 October 2023

⏱️ 29 minutes

🧾️ Download transcript

Summary

Netflix, United Airlines, and Tesla are all not cheap – plus, we have some stocks for you to avoid this spooky season.

Transcript

Click on a timestamp to play from that location

0:00.0

Please stay tuned for important disclosure information at the conclusion of this episode.

0:06.2

Tesla's fallen short after its new price cuts.

0:09.4

Netflix posted stellar results where we think its tailwind should subside soon.

0:13.8

And we have five scary stocks for you to avoid this Halloween.

0:17.8

This is Investing Insights.

0:24.1

Welcome to Investing Insights. I'm your host, Ruth Saldana. Let's get started with a look at your

0:29.4

Morning Star headlines. Tesla's price cuts weighed on its third quarter financial results.

0:35.4

The electric vehicle makers operating income fell more than 50% compared to the same quarter last results. The electric vehicle makers operating income fell more than 50%

0:39.2

compared to the same quarter last year, despite a 9% year-over-year uptick in revenue growth.

0:46.4

Morningstar's annual forecast has factored in price cuts weighing on profits and margins.

0:51.7

Our analyst has trimmed his near-term forecast, however, to account for fourth-quarter

0:55.5

price cuts and lower margins in 2024, as Tesla picks up its cyber truck production. Tesla plans to

1:02.7

start cyber truck deliveries at the end of November. Morningstar expects the light-duty truck

1:07.6

expenses will temporarily affect automotive profit margins through 2024.

1:13.0

This is the same thing that happened in the Model 3 ramp-up. As production scales, however,

1:18.5

the truck should become profitable. Morningstar is lowering its estimate of Tesla stock worth to

1:23.8

$210 per share, down from $215 a share.

1:30.3

Netflix's subscriber growth jumped in the third quarter.

1:33.3

The streaming giant added nearly 9 million subscribers.

1:37.3

That's the company's best showing since 2020 second quarter, which was during the pandemic

1:42.3

lockdowns.

1:43.3

New sign-ups pushed total revenue up up 8% year-over-year.

...

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