6 Cheap Sports Betting and iGaming Stocks

Plus: Soft CPI gives green light for Fed rate cuts, rethinking 60/40 portfolios, is Intel a buy? [Morningstar](?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_smartinvestor&utm_content=55935&elqTrackId=f39e9dbb959b4aa69140fa4d314d529c&elq=47609a660701444e949851d22c3a36e4&elqaid=55935&elqat=1&elqCampaignId=28428) [Smart Investor] Smart Investor [Tom Lauricella, chief markets editor]( Connect with Tom on [LinkedIn]( [Tom Lauricella] In this week's newsletter: - [Soft Inflation Reading in CPI Report Strengthens the Case for a Fed Rate Cut in September]( - [6 Sports Betting and iGaming Stocks Trading at a Discount]( - [Pimco’s Ivascyn: Why Investors Should Switch Their 60/40 Portfolio to 40/60]( - [Is Intel Stock a Buy After Its Big Selloff?]( - [Going Into Earnings, Is Tesla Stock a Buy, a Sell, or Fairly Valued?]( It looks like the Federal Reserve will have the green light to cut interest rates, thanks to a legit soft inflation report. Even costs for consumers that have been stubbornly high, like housing, showed smaller increases in June. Morningstar’s chief US economist Preston Caldwell has what you need to know about the [June Consumer Price Index]( report. With the friendly inflation news, stocks pushed to new record highs and bonds rallied. Some readers might wonder: Hey, aren’t bonds and stocks supposed to move in opposite directions? That’s the basic principle behind the 60/40 portfolio template – 60% stocks and 40% bonds. This rule famously (at least in the markets) crashed and burned in 2022. Since then, it’s fared better, but Pimco’s Dan Ivascyn says investors may want to flip the approach. Check out Sarah Hansen’s story, in which [Ivascyn lays out Pimco’s thinking on why 60/40 could be better off now as 40/60](. With the quarter’s end and the month’s big macroeconomic news behind us, the focus again turns to earnings. Friday brought the first round of bank reports, with big profits from [JPMorgan]( but bad news from [Wells Fargo](. Along with the start of earnings season, we offer up what Morningstar analysts are going to watching for from [Charles Schwab]( [Netflix]( and [Tesla](. This week, we also take a deep dive into Intel. While semiconductor stocks have been enjoying a big bull market, Intel has been left in the dust. What’s hurting the former industry leader? Can it recover? Leah Breakstone has Morningstar equity strategist [Brian Colello’s thoughts here](. Lastly this week, we check in with Morningstar senior equity analyst Dan Wasiolek’s top stock picks in the booming world of [sports betting and iGaming](. That’s it for this week! As always, check out our [Markets page]( for our latest coverage, live stock market updates, and [our weekly calendar]( of key upcoming data and events. [Six Sports Betting and iGaming Stocks Trading at a Discount]( [Six Sports Betting and iGaming Stocks Trading at a Discount]( The stocks have not been performing well over the past year, despite positive revenue projections. Leah Breakstone [See the Stocks]( Share: [facebook]( [twitter]( [linkedin]( ADVERTISEMENT [media]( [media] Markets and the Economy [Pimco’s Ivascyn: Why Investors Should Switch Their 60/40 Portfolio to 40/60]( [Pimco’s Ivascyn: Why Investors Should Switch Their 60/40 Portfolio to 40/60]( With yields high and inflation stabilizing, Ivascyn says investors should consider owning more bonds and fewer stocks. Sarah Hansen [Where International Diversification Works—and Where It Falls Short]( [Where International Diversification Works—and Where It Falls Short]( Recent diversification and performance benefits of non-US stocks have been muted, but that trend may not persist. Christine Benz [What’s Happening in the Markets This Week]( [What’s Happening in the Markets This Week]( Q2 earnings in full swing, including BlackRock, J&J, and Netflix. Leah Breakstone [Can the US Continue to Outperform?]( [Can the US Continue to Outperform?]( Valuations of foreign developed markets look cheap relative to the US. Larry Swedroe [The Best International Stock Funds]( [The Best International Stock Funds]( These international mutual funds and ETFs all earn Morningstar Medalist Ratings of Gold. Tori Brovet [Best International Companies to Own: 2024 Edition]( [Best International Companies to Own: 2024 Edition]( These companies from various corners of the globe are well positioned for the future. Emelia Fredlick, Margaret Giles [Soft Reading on Inflation Strengthens the Case for September Rate Cut]( [Soft Reading on Inflation Strengthens the Case for September Rate Cut]( June CPI report shows falling prices for gas, used cars, and airfare driving inflation lower. Sarah Hansen [Are Diversified Real Asset Funds a Good Inflation Hedge?]( [Are Diversified Real Asset Funds a Good Inflation Hedge?]( Evaluating if these strategies deliver better performance in inflationary conditions. Vedran Beogradlija [What Does Broadcom’s Stock Split Mean for Investors?]( [What Does Broadcom’s Stock Split Mean for Investors?]( Shares of the chipmaker will carry a fair value estimate of $155 after its 10-for-1 split. Sarah Hansen [Going Into Earnings, Is Tesla Stock a Buy, a Sell, or Fairly Valued?]( [Going Into Earnings, Is Tesla Stock a Buy, a Sell, or Fairly Valued?]( Watching companywide operating profit margins, affordability, and full self-driving software updates. Seth Goldstein [Is Intel Stock a Buy After Its Big Selloff?]( [Is Intel Stock a Buy After Its Big Selloff?]( Intel is struggling to compete amid the AI boom, even in its traditional PC market. Leah Breakstone [Going Into Earnings, Is Netflix Stock a Buy, a Sell, or Fairly Valued?]( [Going Into Earnings, Is Netflix Stock a Buy, a Sell, or Fairly Valued?]( We’ll be watching subscriber growth and details on Netflix’s ad-supported service. Matthew Dolgin [Going Into Earnings, Is Schwab Stock a Buy, a Sell, or Fairly Valued?]( [Going Into Earnings, Is Schwab Stock a Buy, a Sell, or Fairly Valued?]( We’ll be watching new client asset inflows, and decrease in high-cost funding. Michael Wong [Going Into Earnings, Is Tesla Stock a Buy, a Sell, or Fairly Valued?]( [Going Into Earnings, Is Tesla Stock a Buy, a Sell, or Fairly Valued?]( Watching companywide operating profit margins, affordability, and full self-driving software updates. Seth Goldstein [SolarEdge Stock Is Down 74% In 2024. Is It a Buy or a Sell?]( [SolarEdge Stock Is Down 74% In 2024. Is It a Buy or a Sell?]( Weakening demand for solar has sent the stock tumbling. Leah Breakstone [Wells Fargo Earnings: Shares Tumble 6% on Updated Expense Guidance]( [Wells Fargo Earnings: Shares Tumble 6% on Updated Expense Guidance]( We expect operating losses to remain a lingering factor for Wells Fargo stock until regulatory issues are resolved. Suryansh Sharma [JPMorgan Earnings: Higher Rates and One-Time Gains Turbocharge Profits]( [JPMorgan Earnings: Higher Rates and One-Time Gains Turbocharge Profits]( We plan to increase our fair value estimate of JP Morgan’s stock, but the valuation demands caution. Suryansh Sharma Chart of the Week [We Expect GDP Growth to Weaken Until Fed Starts Cutting Interest Rates]( [We Expect GDP Growth to Weaken Until Fed Starts Cutting Interest Rates]( Our economic forecast is optimistic in the long run thanks to labor supply and productivity expansion. Preston Caldwell [Read More]( Share: [facebook]( [twitter]( [linkedin]( Popular This Week [5 Top-Performing Mid-Cap Growth Funds]( Funds from MSCI and Vanguard attempt to match market returns. Frank Lee [The Best Energy Stocks to Buy Now]( These five undervalued energy stocks look attractive today. Tori Brovet [The Best Tech Stocks to Buy]( Ten undervalued stocks offer attractive prices in a predominantly overvalued sector. Sbidag Demerjian, Margaret Giles [The Best Value Funds]( These mutual funds and ETFs invest in value stocks and earn top ratings from Morningstar. Tori Brovet [Best International Companies to Own: 2024 Edition]( These companies from various corners of the globe are well positioned for the future. Emelia Fredlick, Margaret Giles [The 10 Best Dividend Stocks]( These undervalued stocks with reliable dividends are worth considering. Susan Dziubinski [The Best International Stock Funds]( These international mutual funds and ETFs all earn Morningstar Medalist Ratings of Gold. Tori Brovet [Morningstar Company Reports]( See More Get Top Stock Picks and Market Insights Every Week on The Morning Filter. Every Monday morning, Susan Dziubinski sits down with Morningstar Chief U.S. markets strategist Dave Sekera to discuss what's on his radar, new Morningstar research, and stock picks or plans for the week ahead. [Watch Now.](morningstar/streams?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_smartinvestor&utm_content=55935) Stay connected: [twitter]( [facebook]( [linkedin]( [instagram]( [YouTube]( [Apple News]( [View online]( | [See all newsletters]( | [Share your feedback]( [Unsubscribe]( from this newsletter. Or update your [email preferences](. © 2024 Morningstar, Inc. All Rights Reserved. 22 W. Washington St. Chicago, IL 60602