From Nasdaq: 2025-05-23 23:01:00

In a podcast, analysts discuss investing in companies with strong leaders like Elon Musk, Home Depot’s earnings, and creating a “laziness” stock basket. They also answer listener questions about Roth IRAs and dividend investing.

Elon Musk plans to stay as Tesla CEO for the next five years and reduce political spending. Shareholders likely view this as positive news for the company’s future and brand reputation.

Analysts reveal a “Double Down” stock recommendation for potentially lucrative investments. Historical returns show significant growth for companies like Nvidia, Apple, and Netflix. Join Stock Advisor for access to alerts on three incredible companies.

In a discussion about Tesla’s unpredictability, analysts reflect on past decisions regarding buying or selling the stock. Despite doubts and pessimism, Tesla’s stock has nearly doubled in the past 12 months, showcasing the resilience and growth potential of the company. Elon Musk’s control over Tesla as the CEO highlights the importance of separating political beliefs from investing beliefs. Having a singular leader in control can be beneficial, as seen with Jeff Green of The Trade Desk who owns 48% of the voting power. This control can provide stability and a clear vision for the company.

Home Depot reported a 9% increase in total sales, with a rise in comp sales numbers in the United States. Despite a slight decrease in earnings per share due to operating expenses, the big ticket transactions over $1,000 were positive. The company reaffirmed its full-year guidance, showing confidence in the market it serves and its ability to maintain pricing levels amid tariffs.

Home Depot’s CFO highlighted the company’s nimbleness and strong partnerships with suppliers, with over 50% of purchases sourced in the US. Their strategy to maintain current pricing levels across their portfolio, despite tariffs, shows their flexibility and lower exposure to global supply chain disruptions compared to other retailers like Walmart. Home Depot, a long-term outperformer, saw a quarter with reduced share repurchases. Investors should look beyond five years and focus on the company’s decades-long potential. With 55% of US homes over 40 years old, home improvement spending will likely increase, creating opportunities for growth in the future.

While Home Depot prioritizes reinvesting in the business and paying dividends over share repurchases, the company remains a strong performer in the market. Share repurchases may accelerate in the future, depending on market conditions. This strategy aligns with the company’s priorities and financial goals for long-term success.

Zooming out, Home Depot’s performance over the past decade has been impressive, with total returns up 330%. Share repurchases have declined this quarter, but the company’s clear priorities ensure shareholders are rewarded first. With a focus on the long term, Home Depot remains a solid investment option for those looking for steady growth.

Creating a basket of stocks focused on human laziness could include companies like DoorDash, Uber, Domino’s, Amazon, Walmart, Netflix, and Lyft. These companies cater to convenience and ease, reflecting a shift towards more efficient lifestyles. Other potential additions could be Spotify, Wayfair, Chewy, and Instacart, as they also offer services that cater to consumer laziness. Summary: Jason Moser discusses how companies like Amazon, Uber, and Lyft have revolutionized consumer behavior, making life more efficient. He emphasizes the positive impact of these companies on consumers. Ricky Mulvey and Moser wrap up their discussion on consumer habits, with Moser highlighting the convenience and evolution of the consumer mindset.

Summary: Robert Brokamp explains self-directed IRAs and alternative investments, focusing on a specific private equity offering via a SAFE. He delves into the complexities and risks associated with investing in start-ups and private equity. Brokamp advises caution and emphasizes the potential high returns but also the high risks involved in such investments. Investing in start-ups or private equity should be limited to no more than 5% of your portfolio. It’s difficult to time the stock market or interest rates, so buy a house when you can afford it based on current rates. Consider a float-down option when locking in a mortgage rate. For early retirement, understand how an ETF like Vanguard’s high-dividend yield ETF (VYM) fits into your portfolio. Top holdings include Broadcom, JP Morgan, and Exxon. While dividend-paying stocks are good for retirement income, consider if VYM aligns with your investment goals. Save in a Roth IRA if you expect to be in a higher tax bracket in retirement. Traditional IRA is better if you’ll be in a lower tax bracket. Consider your current tax bracket and projected income in retirement when deciding between the two. Contributing to a traditional retirement account and getting a tax break means investing the tax savings for more retirement savings. If income limits prevent traditional IRA deductions, opt for a Roth IRA. Roth accounts allow penalty-free withdrawals and have no minimum distribution age requirements. Consider contributing to both accounts, as long as limits aren’t exceeded.

For college savings, consider shifting to a high-yield savings account as the start date approaches. Age-based portfolios in 529 plans offer asset allocation guidance. Utah’s plan, rated highly, suggests a mix of stocks and bonds for college savings at different ages. Adjust allocations based on personal risk tolerance and financial goals.

Disclaimer: Stocks mentioned in the podcast may have interest to the speakers. Always make investment decisions carefully. Personal finance content follows editorial standards and is not advertiser-approved. Advertisements are sponsored and for informational purposes only. Check show notes for full advertising disclosure. Thanks for tuning in.

Board members of Alphabet and Amazon are associated with The Motley Fool. JPMorgan Chase advertises with Motley Fool Money. Some podcast speakers have positions in various companies. The Motley Fool holds positions in and recommends several companies, including Amazon, Alphabet, and Netflix. Recommendations are based on research and analysis. 1. The stock market surged today, with the Dow Jones Industrial Average gaining 500 points, reaching a new record high. Tech stocks led the way, with Apple and Amazon both seeing significant gains. Investors are optimistic about the economy’s recovery and the potential for increased consumer spending.

2. In other news, a new study has found that eating a Mediterranean diet may reduce the risk of developing Alzheimer’s disease by as much as 40%. The diet, which is rich in fruits, vegetables, nuts, and olive oil, has been linked to improved brain health and cognitive function.

3. The United Nations has reported a record number of civilian casualties in Afghanistan, with over 1,600 people killed or injured in the first half of 2021. The increase in violence comes as US and NATO forces withdraw from the country, leaving Afghan security forces to fend off a resurgent Taliban.

4. The Tokyo Olympics have officially begun, with the opening ceremony taking place in a mostly empty stadium due to COVID-19 restrictions. Athletes from around the world paraded into the arena, with Japan’s Naomi Osaka lighting the Olympic cauldron. The games will feature over 11,000 athletes competing in 33 different sports.



Read more at Nasdaq: Elon Musk Commits to Tesla. Is That a Good Thing?