Share This Article

Facebook LinkedIn
Twitter Reddit
Print Email
Pinterest Gmail
Yahoo
Money Morning
×
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
  • Retire
    • Income Investing Guide
    • Retirement Articles
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
Login My Member Benefits Archives Research Your Team About Us FAQ
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
    ×
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
    ×
  • Retire
    • Income Investing Guide
    • Retirement Articles
    ×
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
    ×
  • Subscribe
Enter stock ticker or keyword
×
5 Ways to Beat the Fed (and Crush Inflation)

Email this Article

Send with mail | ahoo instead.
Required Needs to be a valid email
Required Needs to be a valid email
Two Big-Cap Stocks to Buy on Monday Morning
https://moneymorning.com/?p=1185314
Required Please enter the correct value.
Twitter
Stocks: CAG, TSN

Two Big-Cap Stocks to Buy on Monday Morning

By Shah Gilani, Chief Investment Strategist, Money Morning • @ShahGilani_TW • September 25, 2021

Start the conversation

Comment on This Story Click here to cancel reply.

Or to contact Money Morning Customer Service, click here.

Your email address will not be published. Required fields are marked *

Some HTML is OK

Shah GilaniShah Gilani

I love recommending penny stocks and cheap stocks, but big- and mega-caps absolutely have a place in everyone's portfolio.

The right large-caps add stability and gradual growth to a portfolio. They can smooth out the bumpy volatility that can be oh-so-nice when you're trading, but not-so-nice when you're long stocks. To top it off, they frequently pay a great dividend.

I've got some big stocks to share with you today that you can buy outright or buy in incremental, fractional shares, if that's your thing.

Let's get to them...

From Big Problems to Big Profits

These big-caps could be some of the best plays on the market now, and that's courtesy of rising food prices.

This is something that's staring us in the face every time we shop for groceries. Over the past two years, food costs have risen 16%, which is particularly noticeable in the meat and dairy aisle of your local grocery store. Beef, chicken, pork, fish, eggs - all of these have seen a hike in prices.

This is a major trend - one that I'm watching closely so I can pinpoint the best investments and strategies for, let's say, "delicious" profits.

I think everyone has to start with Tyson Food Inc. (NYSE: TSN). This is a global food company that operates in four segments: beef, pork, chicken, and prepared foods. Each is and will be deeply affected by food inflation.

Back on Aug. 9, Tyson reported strong revenue that beat analyst estimates by 20%, breaking the ten-billion-dollar milestone to score $12 billion in its third quarter. In response, the stock price shot up as much as 14.96% within four days of the announcement. It pays a modest 2.4% dividend every quarter.

But since then, the prices have come back down in what I anticipate is a consolidation before a move even higher.

I like buying Tyson here - and you can juice profits and slash risk if you buy-to-open TSN Jan. 21, 2022 $77.50/$80 call spread for $1.15 or less.

ConAgra Brands Inc. (NYSE:CAG) is another big stock rapidly approaching "must-own" territory. It pays an attractive 3.4% dividend right now.

ConAgra creates and ships groceries, snacks, and frozen goods, among other things. The company sells its products under many brand names, many of which I'm willing to bet you'd recognize - like Slim Jim, Earth Balance, and Healthy Choice - available in grocery stores coast to coast.

It also beat consensus for its most recent quarter, making over $2 billion in revenue. The only problem is it fell short of yearly estimates, which led to a stock value drop of 10.24%.

But I don't think that downturn is any reason to avoid this stock. It's positioned well to turn a profit over the next few months, if not years.

The stock has reformed a tight base, which I like a lot, and it looks as if it could push even higher when it reports earnings again on Oct. 7. I fully expect it to beat estimates once again.

CAG shares are within a few cents of my target of $33.90. I like buying the stock, outright, and for "dessert," buying to open the CAG Dec. 17, 2021 $34/$35 call spread for $0.45 or less.

There's one more stock to tell you about - a tiny, $2 stock in the red-hot electric vehicle (EV) space. It had a wild year, by any measure. Last year, it ran up more than 1,140%. This company is now looking to get a listing on a major U.S. exchange, which means it's possible this stock could repeat its quadruple-digit ride in the next year. Not up to $5, $10, or even $15 - but it could rise to well over $20 per share. You can get some details on this company here...

Follow Money Morning on Facebook and Twitter.

Join the conversation. Click here to jump to comments…

Shah GilaniShah Gilani

About the Author

Browse Shah's articles | View Shah's research services

Shah Gilani boasts a financial pedigree unlike any other. He ran his first hedge fund in 1982 from his seat on the floor of the Chicago Board of Options Exchange. When options on the Standard & Poor's 100 began trading on March 11, 1983, Shah worked in "the pit" as a market maker.

The work he did laid the foundation for what would later become the VIX - to this day one of the most widely used indicators worldwide. After leaving Chicago to run the futures and options division of the British banking giant Lloyd's TSB, Shah moved up to Roosevelt & Cross Inc., an old-line New York boutique firm. There he originated and ran a packaged fixed-income trading desk, and established that company's "listed" and OTC trading desks.

Shah founded a second hedge fund in 1999, which he ran until 2003.

Shah's vast network of contacts includes the biggest players on Wall Street and in international finance. These contacts give him the real story - when others only get what the investment banks want them to see.

Today, as editor of Hyperdrive Portfolio, Shah presents his legion of subscribers with massive profit opportunities that result from paradigm shifts in the way we work, play, and live.

Shah is a frequent guest on CNBC, Forbes, and MarketWatch, and you can catch him every week on Fox Business's Varney & Co.

… Read full bio

Login
guest
guest
0 Comments
Inline Feedbacks
View all comments
LIVE
Visit Money Morning Live


Latest News

January 19, 2023 • By Money Morning Stock Research Team

These Stocks Could Go To $0

January 9, 2023 • By Money Morning Stock Research Team

The Government Is Pouring $391 Billion Into These Stocks - Buy Now

December 27, 2022 • By Money Morning Staff Reports

6 IPOs in 2023 You Can’t Afford to Miss
Trending Stories
ABOUT MONEY MORNING

Money Morning gives you access to a team of market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.

QUICK LINKS
About Us COVID-19 Announcements How Money Morning Works FAQs Contact Us Search Article Archive Forgot Username/Password Archives Profit Academy Research Your Team Videos Text Messaging Terms of Use
FREE NEWSLETTERS
Total Wealth Research Power Profit Trades Profit Takeover This Is VWAP Penny Hawk Trading Today Midday Momentum Pump Up the Close
PREMIUM SERVICES
Money Map Press Home Money Map Report Fast Fortune Club Weekly Cash Clock Night Trader Microcurrency Trader Hyperdrive Portfolio Rocket Wealth Initiative Extreme Profit Hunters Profit Revolution Warlock's World Penny Nation Quantum Data Profits Live Trading Alliance Trade The Close Inside Money Trader Expiration Trader Vega Burst Trader Flashpoint Trader Darknet Hyper Momentum Trader

© 2023 Money Morning All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning.

Address: 1125 N Charles St. | Baltimore, MD, 21201 | USA | Phone: 888.384.8339 | Disclaimer | Sitemap | Privacy Policy | Whitelist Us | Do Not Sell My Info

wpDiscuz