Stock Picks From Seeking Alpha’s August 2024 New Analysts

Showcase Intro

In August, we welcomed twenty-six new analysts who published their first-ever article on Seeking Alpha. In this article, our editors highlight some of the best ideas from these new analysts and introduce all the rest.

The first five introductions are spotlight features, including a longer excerpt from the analyst’s article. The rest of the new analysts will be introduced after these with a more brief excerpt, and organized by rating from Strong Sell to Strong Buy. Each section includes details about the newcomers’ interests and background, so you can get to know them a bit more.

With all the ideas and information shared in this article, I’d invite you to join the conversation and let others know what you think: are any of these picks worth following up on?

To our new analysts: welcome to the community! And please don’t hesitate to share more in the comments to introduce yourself to our readers.

Top Stock Picks From Seeking Alpha’s New Analysts

Jon Gillett | Medical Properties Trust Stock: Material Upside From Current Levels

Biography: “Jon Gillett manages investments for individual investors through his firm, Wilco Financial. With degrees in accounting and finance and an early career as an investment analyst for a deep-value/distressed investment focused hedge fund, he tends to favor investments in companies that exhibit an attractive combination of momentum, quality, and/or valuation characteristics.“

Strong Buy | Medical Properties Trust, Inc. (MPW)

Mark Twain once wrote, “The reports of my death are greatly exaggerated.” These are fitting words for the current state of Medical Properties Trust, which, despite the fears and negative sentiment surrounding the name, appears to me to be extremely attractive from a risk/return perspective at this stage of the game. Granted, it’s been a rough ride for investors over the past few years, but approaching valuation from a forward-looking, probabilistic viewpoint, it appears to me that the potential upside to its current price is much greater than the potential downside, and also significantly more likely.

PA Research | Intel: Is The Moat Still Intact?

Biography: “As an investment professional with a strong background in fundamental analysis, I believe that growth and value style investing are not independent. Thus, my buy-side investment analysis focuses on special situations, long-term small-cap and mid-cap stocks with attractive competitive advantages.“

Strong Sell | Intel Corporation (INTC)

Wall Street never responds well to EPS / Revenue misses, and even worse when growth and profitability turn negative. As we have all observed over the last reporting quarters, Intel is in deep trouble, the top line is shrinking, and we all know what happens when any business is not able to cut costs proportionally to match the margins, the picture just gets worse.

Since many analysts have already pointed out the numbers, I will not spend a substantial time in this article discussing those. However, I would like to dive into Intel’s brand, and what it has meant to consumers over the years and try to assign an intrinsic value for the business.

Strategic Risk Mitigation Research | Why I Sold Patria Investments Stock Following The Q2 Earnings

Biography: “Investor looking for opportunities with a nice risk-adjusted ROI. Focused on companies dominating their spaces, in sectors with long-term growth and resilience. Especially interested in Semiconductors, Cybersecurity, and Medical technology – but remaining open-minded to everything. I will generally hold for as long as I believe the company and the management can deliver results.“

Hold | Patria Investments Limited (PAX)

Following the last earnings release, I sold my entire position in Patria Investments after management announced immediate changes to their capital allocation. This new way of allocating capital focuses much less on distributing cash flows to shareholders through dividends.

As their great dividend growth proposition (8% yield at the time with prospects of continued double-digit growth) was why I originally bought PAX as part of my dividend portfolio, I was far from thrilled, of course.

I think for existing and future shareholders, especially dividend investors, this creates unnecessary and largely unrewarded risk. So I hope to give clarity to those who may be looking to buy the dip or are still unsure about whether to hold or sell their position.

Daria Naumova | Veolia Environnement: A High Quality, Hidden Gem In France

Biography: “My name is Daria Naumova. I’m a student studying a Bachelor of Arts in Economics and Management at the University of Westminster in London. My investment strategy focuses on evaluating a company’s growth potential by thoroughly understanding its operations and strategy. I support my investment theses with a detailed analysis of financials, leadership, strategic initiatives, market dynamics, and the competitive environment.“

Strong Buy | Veolia Environnement SA (OTCPK:VEOEY)(OTCPK:VEOEF)

Veolia Environnement SA is a French company providing resource management and usage optimization services in over 40 countries, offering solutions in three main business areas: water management, waste management, and energy services. The company has a very bright outlook that remains overlooked by the market. The company’s recently announced strategic program, titled GreenUp, is likely to be a powerful growth catalyst that can drive significant value creation. Given the potential and plans set out by the program, the current market valuation of the company seems to significantly underestimate its prospects, especially when compared with close competitors in the utilities sector.

Deia Capital | The Swatch Group: A Luxury Leader At A Fraction Of Its Liquidation Value

Biography: “I am a senior manager working for a MBB consultancy in Europe. As part of my consultancy job, I carry out commercial due diligence in sectors beyond banking and technology. In my free time, I have been an avid individual investor for the last 10+ years. I am trained as an engineer, passed all three CFA exams, and hold an MBA from INSEAD. I am all about long-term investing in clearly undervalued shares whose companies have business models and operate in sectors I understand.“

Buy | The Swatch Group AG (OTCPK:SWGAF) (OTCPK:SWGAY) (OTCPK:SWGNF)

The Swatch Group, a highly integrated luxury watch manufacturer, has had a negative financial performance with its EPS decreasing by 35% from 2014 to 2023. Due to headwinds in China, the 2024 H1 results showed a significant, additional drop in net earnings. This negative performance was mainly driven by external factors. But, unfortunately, Nick Hayek, the CEO and main representative of the group’s majority owners, did not show any willingness to turn around the group’s fortune.

At current share prices, The Swatch Group offers an irresistible valuation: a 10-year trailing, net cash-adjusted PER below 9 together with a 3.7% dividend yield. This attractive valuation is combined with strong downside protection thanks to the group’s assets

New Analyst Stock Ideas From August 2024

The City Stock Picker | Intrinsic Valuation Of MGP Ingredients Reveals It’s Overvalued

Biography: “As a seasoned investor with a rich educational background in Business, Finance, and Accounting from a prestigious UK university, I bring a holistic and in-depth understanding of the financial markets.“

Sell | “I believe that MGP Ingredients (MGPI) is overvalued in relation to its underlying value. This is revealed by two different valuation techniques that I use. In the report, I go on to explain how the recorded earnings within the income statement are not an accurate reflection of the actual cash flows that can be expected to benefit investors.”

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Supporting Souls | Why NIO Isn’t Worth Investing In

Biography: “Adwait Ahire is a former investment banker and equity research analyst, with over 4 years of experience. He has been advising institutional clients on effective investment strategies for their portfolios, along with potential acquisition targets.“

Sell | “The Shanghai-based electrical vehicle (“EV”) and battery manufacturer, most known for their revolutionary idea of battery-swapping stations as opposed to the conventional charging stations, NIO Inc. (NIO), operates in an electric vehicle landscape engulfed in current challenges, including escalating competition and overwhelming quarterly losses.”

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Alan Galecki | Despite High Volatility Again, The Thesis On Flow Traders Is Broken

Biography: “As a seasoned investor with a rich educational background in Business, Finance, and Accounting from a prestigious UK university, I bring a holistic and in-depth understanding of the financial markets.“

Sell | “Flow Traders Ltd. (OTCPK:FLTLF) has been seen as an equity play to “hedge” against volatility, i.e. stress in the markets. This has even worked for a while, like the results and massive dividends for the year 2020 show. However, since then, Flow Traders has been losing market share in its most important region.”

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Weebler Finance | Cash In Now: Manhattan Associates’ Stock Price Is Overinflated

Biography: “I specialize in analyzing individual stocks. With a strong educational background in both finance and economics, I’ve developed a deep fascination with the stock market and the potential it offers to investors at all levels.“

Sell | “Manhattan Associates Inc. (MANH) is a solid business that demonstrates clear leadership in the supply chain and omnichannel retail space. The price of the stock, however, is simply too high right now.”

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Gabriel Zimmerman | Leggett & Platt: True Earning Power Could Have Been Overestimated

Biography: “I started my investment career as a Real Estate Manager, working together with landlords of multifamily homes. However, due to high valuations, especially in the aftermath of the pandemic, I gradually shifted my own investment focus to the stock market and its more diverse investment opportunities.“

Hold | “After the stock lost about 80%, Leggett & Platt (LEG) caught my attention. Before 2023, LEG consistently reported EPS of about $2 or more, which led me to think that the recent performance might be just a temporary slip. However, after a closer inspection of the fundamentals, my enthusiasm slowly faded away.”

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Menlo Research| Fast Retailing: Recommending A Hold Despite Tailwinds

Biography: “I am a financial writer who selects and analyzes high-quality stocks with great risk/reward propositions. My universe of stocks covers various industry verticals and geographies.“

Hold | “I am recommending a Hold rating for Fast Retailing Co., Ltd. (OTCPK:FRCOY), which is the parent company of Uniqlo. There are a lot of tailwinds for Uniqlo in this current economy, as the company is poised to benefit from its ability to offer high quality/low price products, as well as its efficiencies from technology and scale.”

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Ruize Xia | Construction Partners: On A Road To Robust Growth, Q3 Updated

Biography: “Currently a high school student located in China. Trained as a buy-side analyst by Fundamental Edge and ITPM. Long Only & Growth Investor.“

Hold | “Construction Partners, Inc. (ROAD) just had a superb quarter, with both revenue and EPS beating expectations. While I’m positive about the business’s growth outlook with a 3-year view, valuation and the limited gap between my independent 1-year target price and the current stock price is a concern. “

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Amrita Marathe | Accenture Stock Promising Potential For Growth

Biography: “I like to focus on investing mainly in large, tech-sector stocks. I occasionally choose energy, medical, and consumer good stocks as well to diversify. My investment strategy is relatively safe, and I don’t often take risks.“

Hold | “Accenture plc (ACN) has long been a global leader in consulting, various technology services, and strategic operations for companies. Following a relatively stagnant performance in the NYSE over the past 12 months, I believe recent acquisitions, partnerships, and contracts encourage that notion that the previously flat-lined ACN will have a prosperous and fruitful future.”

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Jeff Zhang | Iris Energy: Future Growth Priced In

Biography: “Following the ideas of Michael J. Howell, Raoul Pal and Julien Bittel among others, I believe that global liquidity is the main driver behind asset prices, and as such I invest primarily based on medium-term liquidity cycles.“

Hold | “In my view, Iris Energy Limited (IREN) is not a long-term hold. While the consensus among analysts is a strong buy with an average price target of $19.08, fundamental analysis suggests that these estimates are overvalued.”

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Muslim Farooque | BrightSpring Health Services: Evaluating The Investment Case Seven Months Post-IPO

Biography: “I’m Muslim Farooque, a financial journalist and analyst since 2019. After qualifying as a chartered accountant, I earned a Bachelor of Science degree from the esteemed Oxford Brookes University.“

Hold | “Seven months into its initial public offering (“IPO”), BrightSpring Health Services (BTSG) stock has performed underwhelming. Despite tackling important pain points in its niche, the market’s reception of the home-based healthcare and pharmacy services provider has been relatively lukewarm.”

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Ethan Wu | Clipper Realty Stock: Much Safer Than It Appears

Biography: “I am a senior at Northwestern University pursuing a degree in economics, and would like to work in the financial industry after graduation. I am a self-taught investor, and I have been managing my personal portfolio for the last two years.“

Buy | “Clipper Realty Inc. (CLPR) is a REIT that owns and operates seven residential and two commercial properties in Brooklyn and Manhattan. CLPR is clearly focused solely on NYC real estate, which allows for it to operate with greater expertise in the area than more diversified REITs. Furthermore, NYC is a highly desirable place to live, and a large majority of residents are renters.”

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Oriol Argelich | Repsol: Undervalued And Offers A 7% Dividend Yield

Biography: “My name is Oriol Argelich, and I work for the AEAT, the Spanish equivalent of the IRS. I have a background in Economics and recently passed the public exams to become an “Inspector de Hacienda del Estado”, the highest level of responsibility within the AEAT.“

Buy | “With renewed market volatility and concerns over an impending U.S. recession, dividend-oriented investors can look overseas to Spain for a great income-producing play. Repsol, S.A. (OTCQX:REPYY)(OTCQX:REPYF) is a Spanish, integrated oil and gas firm founded in 1987. Employing 25,000 workers, it’s one of the largest companies in Spain and ranked as the 332nd largest public company in the world.”

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Shawn Kai Lim | Lululemon: Strong International Prospects, Trading At A Discount

Biography: “I am a new investor currently studying economics in the UK, with a strong enthusiasm for learning the intricacies of the stock market. My long-term goal is to work on the buy-side, where I can apply my analytical skills to manage investments and contribute to achieving superior returns for clients. “

Buy | “Lululemon Athletica Inc. (LULU) stock has fallen from a 52-week high of $516.37 to $260.60 (as of 21 August, 2024), making it a compelling buy opportunity. I opine that the market has overreacted in the short term to recent negative press.”

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WiseWealth IQ | Sprott Stock: Leverage For The Coming Gold And Uranium Bull Run

Biography: “I have been investing and trading in my personal account for over 7 years now, with respectable profits. I focus on Commodities, iGaming & Casinos and cheap asset heavy businesses. I like to hold my investments for longer periods.“

Buy | “Uranium and gold are both set up to perform well in the second half of 2024. Sprott Inc. (SII)(SII:CA) is an asset management company with a focus on bullion and commodities. With substantial assets under management (“AUM”) of over $31.2 billion, they have established themselves as one of the players to watch out for, characterised by rapid growth in their AUM.”

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Antonio Federico | Brembo, Pulling Premium Brakes In Your Portfolio At A Discount

Biography: “I am a value investor. My investment approach focuses on the analysis of high-quality businesses, those who are going to stay around for a long time. I turn financial statements and any company release upside down to identify any opportunities and risk.“

Buy | “Brembo N.V. (OTCPK:BRBOY)(OTCPK:BRBOF) offers right now a very interesting investment opportunity. While its top and bottom-line growth prospects remain strong, it is now selling well below its historical price/earnings, price-to-book, and price-to-sales levels and, as you will see below, it is also selling well below its equity value “

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Mining Value | Rightmove: End Market Buoyed By Recent UK Election

Biography: “Hi, I am currently a final year student at LSE. I follow a value investing principle, looking for undervalued stocks with promising growth prospects. Related to my value investment focus, I have a particular interest in UK equities, energy and materials.“

Buy | “In this first article of mine, I will commence coverage with a Buy recommendation on the UK’s leading property portal, Rightmove plc (OTCPK:RTMVF)(OTCPK:RTMVY). With a strong financial profile and wide moat, the company’s end market is likely to be buoyed by ambitious housing policies pursued by the newly elected Labour government.”

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Jason Najum | MindMed And Other Psychedelic Stocks Brace For FDA’s Decision On MDMA Therapy

Biography: “Contributor to National Geographic, Lonely Planet, and other major media organizations. In the biotech and psychedelic medicine space, he was a writer and senior editor for both Microdose and Psychedelics.com.“

Strong Buy | “The FDA’s decision on MDMA therapy for PTSD is imminent, impacting MindMedicine (MNMD)(MMED:CA) investors and the psychedelic medicine industry. An FDA advisory committee voted against approving MDMA therapy, causing market volatility and uncertainty for psychedelic stocks.”

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Bryant Trombly | VGSH ETF: Capitalizing On The Fed’s Next Moves

Biography: “With over a decade of professional experience in the financial industry, I specialize in market analysis and financial planning, catering to clients with complex estate and investing needs, as well as business owners. My career began at prestigious firms such as Morgan Stanley and Merrill Lynch before cofounding the independent firm Destination Wealth Advisors.“

Strong Buy | “Vanguard Short-Term Treasury Index Fund ETF (VGSH) is currently an excellent buy with a strong yield and an attractive price appreciation target, as it stands to benefit the most from the normalization of the yield curve and the anticipated Federal Reserve rate cuts.”

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Marek Malina | Small Caps Rebound Is Finally Coming – Time To Buy IWM

Biography: “Analyst of financial markets in Wood & Company, one of the biggest investment companies in EU, popular investor on social investing platform eToro and founder of an investment and financial website.“

Strong Buy | “I believe that the years of underperformance of smaller stocks, represented by the iShares Russell 2000 ETF (IWM), are coming to an end. There are several reasons for this statement.”

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Lionne Capital Research | Chegg: New Investments In AI, Stock Is Very Undervalued

Biography: “I worked for several financial institutions in Europe almost all my life. I usually covered European and American stocks for several clients in NY. I look for consistent earnings, and dividend growth.“

Strong Buy | “Chegg, Inc. (CHGG) recently announced restructuring efforts to realign expenses with the company’s near-term revenue trends. I cannot say when the stock price will trend higher, but clearly, the company is making a lot of efforts to transform the organization. “

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Thomas Veth | Airbnb: An Attractive Play

Biography: “I am a 20-year-old Economics & Business economics student at UvA. My investment strategy is investing in free cash flow compounding machines which are highly predictable.“

Strong Buy | “Airbnb, Inc. (ABNB) is poised to transform its income statement in the coming years, as it leverages its operating efficiency and economy of scale to in innovative as they have always done. By claiming their strong position in either a duopoly with Booking.com or oligopoly with others like Expedia.”

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Editor’s Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.