• For-Profit Colleges Are Scrambling Ahead Of The Presidential Election

    For-Profit Colleges Are Scrambling Ahead Of The Presidential ElectionTwo big pieces of news hit the education market recently, both in the for-profit college sector.On July 29, Strategic Education Inc (NASDAQ: STRA) bought schools and education programs operating in Australia and New Zealand from Laureate Education Inc (NASDAQ: LAUR) for $643 million in cash. The deal will bring a number of brands and an estimated 19,000 students into the Strategic bundle, which already include the for-profit, nearly entirely online colleges Strayer and Capella. With the acquisition, Strategic will have nearly 110,000 students paying, or getting grants and taking loans, to study with them.On Aug. 3, Zovio Inc (NASDAQ: ZVO), formerly Bridgepoint Education, announced that one of its signature education properties, the online, for-profit Ashford University, would be "acquired" by the University of Arizona and become "The University of Arizona Global Campus." The acquisition price was $1.At one time, Ashford was among the largest online, for-profits. But like many schools in the sector, its enrollment has declined by about half to a, still significant, 34,000 students. In 2019 and 2020 Zovio began reducing staff and reported a net operating loss of more than $56 million for 2019. "Acquired" is in quotes because, even though most of the press reported the Ashford deal as a sale to Arizona, it was not. It's more of an agreement to create a legally new entity, the "Global Campus" wherein Arizona would scoop up Ashford's students, programs, teachers and marketing, rebrand everything as "University of Arizona," and Zovio and the University of Arizona would share the proceeds by spitting student tuition income.They may not seem it, but the Strategic Education deal in Australia and the Ashford/Arizona deal are probably related. Most observers agree they are coming at about the same time because the Presidential election is less than 90 days away, and if former Vice President Biden wins, it will likely be an awfully bad time to be in the for-profit college business.Regulatory SeesawThe fast backstory is that President Obama put new regulations on for-profit colleges, linking their ability to get federal money to their ability to prove that their graduates could get jobs. Obama also put the accrediting body for many for-profit colleges on a path to demise, choking their funding and their legal status. Many for-profits (ITT, Corinthian, ECA) closed and enrollments and profits plummeted sector-wide. But President Trump reversed both Obama policies–reinstating the accreditor and repealing the rule requiring schools to prove their degrees have career value. Biden, should he win, is expected to reinstate the Obama rules, if not go further. His campaign plans say, "The Biden Administration will require for-profits to first prove their value to the U.S. Department of Education before gaining eligibility for federal aid." So, for-profit colleges that survived the impact of the Obama rules know what's coming in a Biden win. They know it's bad for them. Doing the math, they probably have eight, maybe 10 months before the regulations and restrictions and scrutiny kick in again. This should also serve as a warning to investors about the for-profit college sector overall. They Won't Go Down Without A FightIf that's right, and Zovio and Strategic see the hammer coming down again, they've chosen quite different paths to survival. Strategic, with its strong cash balance sheet, has picked up education properties beyond the reach of a Biden Department of Education. If Strayer and Capella suffer, they have diversified. That feels smart. But the Zovio/Ashford/Arizona deal is different. It's what education observers call "brand washing," the attempt to hide or change what type of school you are in hopes that regulations won't apply to you. It's a risky and unproven approach, but it's not new. In one example, the for-profit Grand Canyon University (NASDAQ: LOPE) tried it. They created a non-profit, sold their school to it, then hired a for-profit company to run it. The catch is that the two companies are the same: the CEO of the for-profit "management" company and the President of the "non-profit" school are the same person. The IRS allowed this arrangement. The Trump Department of Education did not. In fact, Ashford tried a similar move–selling the school then hiring themselves to run it–before joining the University of Arizona. Again, the IRS was fine with it, but the Department of Education was not. In other words, legally speaking, moving from a private for-profit to something else is anything but certain, especially in a Biden administration, whose future education leaders are watching these maneuvers closely. Which brings us back to the Ashford deal with Arizona. This type of "we're a new school" deal is not new either. It's terribly similar, in terms and design, to the one announced a few years back between the public Purdue University and the for-profit Kaplan University. The pair created a new corporation "Purdue Global" and split the proceeds. Both deals are really like a brand rental, a white-label deal with Ashford renting the University of Arizona brand and Kaplan renting the Purdue nameplate, then sharing the sale. Either way, for investors, "proceed" splitting is an import word because there have been no profits. As of a year ago, the Purdue venture reported a loss of more than $38 million in their 2018 financials. And Graham Holdings (NYSE: GHC), the former owner of Kaplan University said that, "As of September 30, 2019, Kaplan had a total outstanding accounts receivable balance of $72.3 million from Purdue Global related to amounts due for reimbursements for services and a deferred service fee. In addition, Kaplan has a $20 million long-term receivable balance due from Purdue Global at September 30, 2019." Even if becoming a new school works, if the Zovio deal to mingle Ashford with the University of Arizona follows the Purdue deal, it may not be financially successful. The bottom line is that, for for-profit colleges, their skies may be dark again very soon and there are two alternatives to potentially shelter from the storm: to get out of town, as Strategic Education has done, or to hide, as Ashford is doing. Hiding is very uncertain and has been unprofitable so far, which makes getting out of town seem like the strategic decision. See more from Benzinga * Chegg's Biggest Challenge: How To Clamp Down On Cheating And Account Sharing(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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  • Eastman Kodak’s $765 million U.S. loan agreement on hold after recent allegations

    Eastman Kodak's $765 million U.S. loan agreement on hold after recent allegationsEarlier this week, senior Democratic lawmakers asked federal regulators to investigate securities transactions made by the company and its executives around the time it learned it could receive the government loan. “Recent allegations of wrongdoing raise serious concerns,” DFC said late on Friday in a tweet.

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  • Twitter expressed interest in buying TikTok’s U.S. operations – sources

    Twitter expressed interest in buying TikTok's U.S. operations - sourcesIt is far from certain that Twitter would be able to outbid Microsoft Corp and complete such a transformative deal in the 45 days that U.S. President Donald Trump has given ByteDance to agree to a sale, the sources said on Saturday. The news of Twitter and TikTok being in preliminary talks and Microsoft still being seen as the front-runner in bidding for the app’s U.S. operations was reported earlier by the Wall Street Journal.

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  • 7 Quantum Computing Stocks to Buy for the Next 10 Years

    7 Quantum Computing Stocks to Buy for the Next 10 YearsQuantum computing — or the use of quantum mechanics to create a genre of next-generation quantum computers with nearly unlimited compute power — has long been a concept stuck in the theory phase.But quantum computing is starting to grow up. Recent breakthroughs in this emerging field — such as Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) claiming to achieve quantum supremacy in late 2019 — have laid the foundation for the quantum computing space to go from theory, to reality, over the next several years. This transition will spark huge growth in the global quantum computing market.The investment implication?InvestorPlace – Stock Market News, Stock Advice & Trading TipsIt's time to buy quantum computing stocks.At scale, quantum computing will disrupt nearly every industry in the world, ranging from finance, to biotechnology, to cybersecurity, and everything in between.It will improve the way medicines are developed by simulating molecular processes. It will reduce energy loss in batteries through optimized routing and design, thereby allowing for the creation of things like hyper-efficient electric car batteries. In finance, it will speed up and optimize portfolio optimization, risk modeling and derivatives creation. In cybersecurity, it will disrupt the way we think about encryption. It will create superior weather forecasting models, unlock advancements in autonomous vehicle technology and help humans fight climate change.I'm not kidding when I say quantum computing will change everything.And quantum computing stocks are positioned to be big winners over the next decade. * 7 Travel Stocks to Buy Banking On Pent-Up Demand So, with that in mind, here are seven quantum computing stocks to buy for the next 10 years: * Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) * International Business Machines (NYSE:IBM) * Microsoft (NASDAQ:MSFT) * Quantum Computing (OTCMKTS:QUBT) * Alibaba (NYSE:BABA) * Baidu (NASDAQ:BIDU) * Intel (NASDAQ:INTC) Quantum Computing Stocks: Alphabet (GOOG, GOOGL)Source: rvlsoft / Shutterstock.com Among the various quantum computing stocks to buy for the next 10 years, the best buy is probably Alphabet stock.That is because many many consider Alphabet's quantum computing arm — Google AI Quantum, which is built on the back of a state-of-the-art 54-qubit processor dubbed Sycamore — to be the leading quantum computing project in the world. Why? This thinking is bolstered mostly by the fact that, in late 2019, Sycamore performed a calculation in 200 seconds that would have taken the world's most powerful supercomputers 10,000 years to perform.This achievement led Alphabet to claim that Sycamore had reached quantum supremacy. What does this mean? Well, this benchmark is loosely defined as point when a quantum computer can perform a task in a relatively short amount of time that no other supercomputer could complete in any reasonable amount of time.Many have since debated whether or not Alphabet has indeed reached quantum supremacy.But that's somewhat of a moot point.The reality is that Alphabet has built the world's leading quantum computer. The engineering surrounding this supercomputer will only get better. So will Sycamore's compute power. As that happens, Alphabet has the ability to — through its Google Cloud business — turn Sycamore into a market-leading quantum-computing-as-a-service business with huge revenues at scale.To that end, GOOG stock is one of the best quantum computing stocks to buy today for the next 10 years. International Business Machines (IBM)Source: JHVEPhoto / Shutterstock.com The other "big dog" in the quantum computing space that closely rivals Alphabet is IBM.IBM has been big in the quantum computing space for years. But Big Blue has attacked this space in a fundamentally different way than its peers.That is, while other quantum computing players like Alphabet have forever chased quantum supremacy, IBM has shunned that idea in favor of building on something the company calls the "quantum advantage."Ostensibly, the quantum advantage really isn't too different from quantum supremacy. The former deals with a continuum focused on making quantum computers perform certain tasks faster than traditional computers. The latter deals with a moment focused on making quantum computers permanently faster at all things than traditional computers.But it's a philosophical difference with huge implications. By focusing on building the quantum advantage, IBM is specializing its quantum computing efforts into making quantum computing measurably useful — and economic — in certain industry verticals, for certain tasks.In so doing, IBM is actually creating a fairly straightforward go-to market strategy for its quantum computing services in the long run. Help this industry, do this task, really well.And so, with such a realizable, simple and tangible approach, IBM stock is one of the most sure-fire quantum computing stocks to buy today for the next 10 years. Quantum Computing Stocks: Microsoft (MSFT)Source: NYCStock / Shutterstock.com Another big tech player in the quantum computing space with promising long-term potential is Microsoft.Microsoft already has a huge infrastructure cloud business, Azure. Building on that infrastructure foundation, Microsoft has launched Azure Quantum, a quantum computing business with potential to turn into a huge QCaaS business at scale.In its current state, Azure Quantum is a secure, stable and open ecosystem which serves as a one-stop-shop for quantum computing software, hardware and applications.The bull thesis here is that Microsoft will lean into its already huge Azure customer base in order to cross-sell Azure Quantum. Doing so will give Azure Quantum a big and long runway for widespread early adoption, which is the first step in turning Azure Quantum into a huge QCaaS business.It also helps that Microsoft's core Azure business is absolutely on fire right now.Putting it all together, quantum computing is simply one facet of the much broader Microsoft enterprise cloud growth narrative. That growth narrative will remain robust for the next several years. And it will continue to support further gains in MSFT stock. Quantum Computing (QUBT)Source: Shutterstock The most interesting, smallest and potentially most explosive quantum computing stock on this list is Quantum Computing.The Quantum Computing bull thesis is fairly simple.Quantum computing is going to change everything over the next several years. But the hardware is expensive. It likely won't be ready to deliver measurable benefits at reasonable costs to average customers for several years. So, Quantum Computing is building a portfolio of affordable quantum computing software and apps that deliver quantum compute power, but can be run on traditional legacy supercomputers.In so doing, Quantum Computing is hoping to fill the gap and turn into a widespread, low-cost provider of easily accessible quantum computing software for companies that cannot afford full-scale quantum compute hardware.Quantum Computing is just starting to commercialize this software in 2020, through three products currently in beta mode. Those three products will likely start signing up financial, healthcare and government customers to long-term contracts in the back half of the year. Those early signups could be the beginning of tens of thousands of companies signing up for Quantum's services over the next five to 10 years.Connecting the dots, you really could see this company go from zero dollars in revenue today, to several hundred million dollars in revenue in the foreseeable future.If that happens, QUBT stock — which has a market capitalization of just $12 million today — could soar. Quantum Computing Stocks: Alibaba (BABA)Source: Kevin Chen Photography / Shutterstock.com Much like the other big tech players on this space, Alibaba is in the business of creating a robust QCaaS arm to complement its already huge infrastructure-as-a-service business.Long story short, Alibaba is the leading public cloud provider in China. Indeed, Alibaba Cloud owns about 10% of the global IaaS market. Alibaba intends to leverage this leadership position to cross-sell quantum compute services to its huge existing client base, and eventually turn into the largest QCaaS player in China, too.Will it work?Probably.The Great Tech Wall of China will prevent many of the other companies on this list from reaching scale, or even sustainably doing operations in, China. Alibaba does have some in-country quantum computing competition. But this isn't a winner-take-all market. And given Alibaba's enormous resource advantages, it is highly likely that the company eventually turns into either the No. 1 or No. 2 player in China's quantum computing market.That's just another reason to buy and hold BABA stock for the long haul. Baidu (BIDU)Source: StreetVJ / Shutterstock.com The other big Chinese tech company diving head-first into quantum computing is Baidu.Baidu launched its own quantum computing research center in 2018. According to the company website, the goal of this research center is to integrate quantum computing into Baidu's core businesses.If so, that means Baidu's goal with quantum computing diverges from the norm. Others in this space want to build out quantum compute power to sell it, as a service, to third parties. Baidu wants to build out quantum compute power to, at least initially, improve its own operations.Doing so will pay off in a big way for Baidu.Baidu's core search and advertising businesses could markedly improve with quantum computing. Advancements in compute power could dramatically improve search algorithms and ad-targeting techniques.BIDU stock does have healthy upside thanks to its early research into quantum computing. Quantum Computing Stocks: Intel (INTC)Source: Sundry Photography / Shutterstock.com Last, but not least, on this list of quantum computing stocks to buy is Intel.While Intel may be falling behind competitors — namely Advanced Micro Devices (NASDAQ:AMD) — on the traditional CPU front, the semiconductor giant is on the cutting edge of creating potential quantum CPU candidates.Intel's newly announced Horse Ridge cryogenic control chip is widely considered the market's best quantum CPU candidate out there today. The chip includes four radio frequency channels that can control 128 qubits. That is more than double Tangle Lake, Intel's predecessor quantum CPU.In other words, Intel is the leader when it comes to quantum compute chips.The big idea, of course, is that when quantum computers are built at scale, they will likely be built on Intel's quantum CPUs.To that end, potentially explosive growth in the quantum computing hardware market over the next five to 10 years represents a huge, albeit speculative, growth catalyst for both Intel and INTC stock.Luke Lango is a Markets Analyst for InvestorPlace. He has been professionally analyzing stocks for several years, previously working at various hedge funds and currently running his own investment fund in San Diego. A Caltech graduate, Luke has consistently been rated one of the world's top stock pickers by various other analysts and platforms, and has developed a reputation for leveraging his technology background to identify growth stocks that deliver outstanding returns. Luke is also the founder of Fantastic, a social discovery company backed by an LA-based internet venture firm. As of this writing, he was long MSFT. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America's 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post 7 Quantum Computing Stocks to Buy for the Next 10 Years appeared first on InvestorPlace.

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  • Does Franco-Nevada (TSE:FNV) Have The Makings Of A Multi-Bagger?

    Does Franco-Nevada (TSE:FNV) Have The Makings Of A Multi-Bagger?What trends should we look for it we want to identify stocks that can multiply in value over the long term? Firstly…

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  • Would Warren Buffett buy a2 Milk Company shares?

    warren buffett

    warren buffettwarren buffett

    One of the most successful investors in history is Berkshire Hathaway’s Warren Buffett.

    At the last count the legendary investor had amassed a fortune of US$77.4 billion according to Forbes.

    In order to get there, the “Oracle of Omaha” has invested wisely and with a long-term view.

    While amassing a similar fortune may be difficult, I believe regular investors can still create significant wealth by following his investing principles.

    Four key principles that Buffett follows are listed below. I’ve used these principles to see if A2 Milk Company Ltd (ASX: A2M) would be a share that he would invest in. Here’s what I found:

    Buffett invests in companies that he can understand.

    The a2 Milk Company is a premium branded fresh milk and infant nutrition company that is uniquely focused on products containing the a2 beta-casein protein type. Dairy products with just the a2 protein are believed to be easier to consume for those who experience challenges drinking conventional cows’ milk, which includes both a1 and a2 proteins. I think it is a very simple business to understand with clear drivers of demand. As a result, I think it gets a tick for this principle.

    Buffett looks for companies with a durable competitive advantage.

    Although the popularity of a2 Milk Company’s products has led to other dairy companies launching their own a2-only products, this hasn’t diminished demand from consumers. In fact, many believe that this has only strengthened its brand in the eyes of Chinese consumers. This is because the launch of a2 only products by big multinationals reinforces the a2 Milk Company’s premium brand in this key market. In light of this, I think its competitive advantage is here to stay.

    Management must be talented and have integrity.

    There has been a bit of upheaval at the company over the last 12 months, with former CEO Jayne Hrdlicka believed to have been forced out in December. Ms Hrdlicka “agreed to step down” from her role with immediate effect and was replaced with former CEO, Geoffrey Babidge. He replaced Hrdlicka on an interim basis while the board searches globally for a permanent replacement. While we don’t know who the next leader of a2 Milk Company will be, I’m confident it has the power to attract a high calibre executive to take it to the next level.

    Don’t overpay for shares.

    At present a2 Milk Company’s shares are changing hands at 34x estimated FY 2021. While this is not conventionally cheap, I feel its outlook justifies this premium. I believe a2 Milk Company has the potential to grow its earnings at an above-average rate for a number of years to come. This is thanks to the growing popularity of its infant formula in China, its modest market share in the lucrative market, and its expanding fresh milk footprint. Another positive is its hefty cash balance. I suspect this could be deployed for earnings accretive acquisitions in the near future.

    Conclusion.

    While Buffett may prefer to buy a2 Milk Company at a cheaper price, overall I think it is a share that he would approve of. I would class it as a strong buy for investors that are interested in making a long term investment.

    These 3 stocks could be the next big movers in 2020

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

    More reading

    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of A2 Milk. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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  • Why ResMed shares could be a fantastic buy and hold option

    The ResMed. Inc (ASX: RMD) share price was the worst performer on the ASX 200 last week.

    The medical device company’s shares fell 11.4% over the period in response to the release of its full year results.

    Is this a buying opportunity?

    I think the pullback in the ResMed share price has created a buying opportunity for investors. Especially for those that are planning to make a long term investment, as I believe it has a very bright future ahead of it.

    This is because ResMed has a focus on the lucrative sleep treatment and ventilator markets. It designs, develops, and manufactures masks to treat sleep disorders such as sleep apnoea. It also has a growing software business which provides solutions that support sufferers of sleep disorders.

    On its investor call last week, management noted that there are 936 million people with sleep apnoea globally. There are also over 380 million people who suffer from chronic obstructive pulmonary disease (COPD) and over 340 million people living with asthma.

    This gives it a massive addressable market to grow into over the next decade. So much so, management is aiming to improve a total of 250 million lives by 2025. This compares to the 16 million lives it improved in FY 2020 by providing them with a device or complete mask system to help them breathe.

    Growing software business and R&D.

    Another key attraction to the company for me is its software business. Management believes this business is a competitive advantage and it is hard to disagree.

    At the end of FY 2020, ResMed’s digital health ecosystem had grown to over 12 million cloud connectable medical devices, with around 14 million patients enrolled in the AirView software solution. There are numerous benefits to this growing ecosystem, including recurring revenues and high levels of quality data. It is using this data to perform sophisticated analytics and drive actionable insights.

    Pleasingly, management isn’t resting on its laurels and continues to invest heavily in research and development in an effort to cement its leadership position in the industry. It spent US$202 million on these activities in FY 2020 and intends to grow its investment in the double digits in FY 2021.

    It notes that it has a full pipeline of innovative solutions that will generate both medium and long-term growth opportunities. It also has an industry-leading intellectual property portfolio of over 6,000 patents and designs.

    Foolish Takeaway.

    Given its strong position in the industry, its massive market opportunity, and its investments in research and development, I believe ResMed remains one of the best buy and hold options on the Australian share market.

    These 3 stocks could be the next big movers in 2020

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

    More reading

    Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended ResMed Inc. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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  • 10 Stocks to Buy for Your 10-Year-Old

    10 Stocks to Buy for Your 10-Year-OldEditor's note: "10 Stocks to Buy for Your 10-Year-Old" was previously published in April 2020. It has since been updated to include the most relevant information available.With the markets still shakey from the novel coronavirus, it's very difficult to predict the day-to-day movements. On the other hand, figuring out which stocks to buy for your ten-year-old is a much easier task. That comes from the confidence that over time, many well-positioned companies will benefit from shifting social dynamics.Overall, the biggest change that we'll see is the continued rise and proliferation of digitalization. Of course, we see this impact through e-commerce, which has steadily taken share of total retail sales in the U.S. Just as importantly, digitalization has transformed the way we work via innovations such as cloud computing.InvestorPlace – Stock Market News, Stock Advice & Trading TipsWithin the technology realm, I forecast several stocks to buy running higher on the gig economy. The concept of the tethered, nine-to-five schedule is gradually losing relevance. Increasingly, work-life balance ranks highly among young professionals. Plus, with the aforementioned innovation of cloud computing, telecommuting is now easier and more sensible than ever. * 7 Travel Stocks to Buy Banking On Pent-Up Demand On a related note, advancements in tech should allow more people to participate in the digitalized economy. Thanks to incredible progress in mobile payment processors, small companies are able to compete with larger rivals. Therefore, stocks to buy which feature underlining businesses that harness the power of the information age will likely jump higher.Despite drastic changes, some things will always stay the same. As the coronavirus proves, people will still get sick. And no matter what, people require downtime to refocus and re-energize. Here are the 10 stocks to buy for your ten-year-old. * Amazon (NASDAQ:AMZN) * Uber Technologies (NYSE:UBER) * Fiverr International (NYSE:FVRR) * Square (NYSE:SQ) * PayPal (NASDAQ:PYPL) * H&R Block (NYSE:HRB) * Splunk (NASDAQ:SPLK) * American Outdoor Brands (NASDAQ:AOBC) * Teva Pharmaceutical (NYSE:TEVA) * Disney (NYSE:DIS)In this article, I've tried to create an eclectic list of companies that should be relevant over the next decade or so. Stocks to Buy for Your 10-Year-Old: Amazon (AMZN)Source: Jonathan Weiss / Shutterstock.com After screaming to all-time highs, the coronavirus outbreak took the wind out of e-commerce giant Amazon's sails — for a while. It has already sharply rebounded off its coronavirus lows. And I'm confident in AMZN stock longer term.No health crisis can overcome the power of human ingenuity, which is what Amazon is.In the fourth quarter of 2019, e-commerce represented 11.4% of total retail sales in the U.S. I'm not entirely sure what this allocation will be in 2030. Suffice to say, though, that it will be substantially higher. Like Alphabet's (NASDAQ:GOOG, NASDAQ:GOOGL) Google, Amazon has become part of the social lexicon. That bodes very well for Amazon stock.Another reason to keep this behemoth on your list of stocks to buy is that Amazon is disrupting everything it can. From the cloud to healthcare to groceries, Amazon's footprint is everywhere. Sure, that ruffles some folks' feathers. But if you can't beat 'em — and no, you can't beat Amazon — you might as well buy their stock. Uber Technologies (UBER)Source: NYCStock / Shutterstock.com For one reason or another, Uber manages to find itself in the news frequently. Of course, some of it is not for particularly great reasons.For one, many have blasted the company for harboring an aggressive and toxic work culture. And its relationship with its drivers is not always mutually agreeable. Nevertheless, UBER stock is a name to keep in mind over the long haul.Primarily, the company has managed to upend the taxi industry. Frankly, it's about time someone did. Taxis are expensive and service is variable, from professional to downright fraudulent. And that variability can be truly unpredictable abroad.The beauty of UBER stock is that the underlying business consolidates riders and drivers under a mutually beneficial relationship: if either party acts up, that could spell a loss of convenience or income. * 7 Sin Stocks Whose Profits Are Too Irresistible to Pass Up Further, the Pew Research Center indicates that a sizable number of Americans are trying ride-sharing platforms. Given that Uber has the largest footprint in the space, I believe Uber stock is an easy pick among stocks to buy. Fiverr International (FVRR)Source: Temitiman / Shutterstock.com I'd like to give a shout out to my fellow InvestorPlace colleague Laura Hoy for turning me on to Fiverr.One of the direct plays toward the gig economy, FVRR stock is a somewhat speculative idea. However, if you're building a portfolio of stocks to buy for the long haul, my reservations for the underlying company fade quickly.Prior to the surge of independent gig workers, many professionals sought the assistance of traditional employment agencies such as Robert Half International (NYSE:RHI). Here, the concept focused on large, networked organizations marketing talent to their client corporations. If a match was found, the talent would typically find themselves working as a full-time employee.But that model is becoming less relevant today. Instead, we have Fiverr, which connects gig workers to businesses that require work completed via short-term contracts.Over time, I see Fiverr working out its kinks — such as exposure to too many low-quality jobs. In the meantime, I think a long-term speculative bet on FVRR stock is warranted given where our society is headed. Square (SQ)Source: Jonathan Weiss / Shutterstock.com If you've followed my work for some time, you'll know that I'm generally very bullish on Square. Therefore, when I witnessed the sizable hit to SQ stock due to coronavirus fears, I was not alarmed.I'll go a step further. Because Square appears technically vulnerable, shares are liable to fall more. Even so, put Square on your list of stocks to buy for your 10-year old.Most people are familiar with Square due to its now-ubiquitous payment processors. Right here, the company demonstrated its true intent: to disrupt the payments space and level the playing field for small businesses.With their innovations, entrepreneurs received a viable alternative to inking a less-than-favorable contract with a traditional payment-services provider. * 7 Growth Stocks to Ride for the Rest of 2020 But the driving force behind SQ stock is its development of a small-business ecosystem. It's not a stretch to say that most entrepreneurs hate the day-to-day administrative BS: they'd rather focus on the fundamentals that make their business distinctive. Thanks to Square's intuitive ecosystem, small-business owners can do exactly that. PayPal (PYPL)Source: JHVEPhoto / Shutterstock.com I've spoken glowingly about digital payments processor PayPal. Primarily, I've been impressed with the blistering growth rate of its active users.It's making a fool out of the law of large numbers. However, no one should be surprised: PayPal is incredibly convenient and is aligned perfectly with the burgeoning gig economy, bolstering the case for PYPL stock.Over the next decade, I view PayPal as a no-brainer opportunity among tech-related stocks to buy. Yes, the market panic has severely hurt shares and more pain could follow. But no viral outbreak can unseat the progress that the underlying company has made. Unless, of course, you believe that we'll move back to analog payments!Another important factor to consider regarding PYPL stock is PayPal's push to help bank the unbanked.Due to social dynamics, not everyone can participate in the digital economy because of lack of access to the financial system. PayPal is actively bridging this gap, which gives it an ethical angle for those interested in positive social impacts. H&R Block (HRB)Source: Ken Wolter / Shutterstock.com Even before the coronavirus outbreak wrecked the early positive start in the markets, tax preparer H&R Block never was a favorite among investors.Easily, it's one of the choppiest names you'll encounter among New York Stock Exchange-traded equities. However, with changes to our taxes along with a shift in working culture, HRB stock may surprise down the line.For starters, President Donald Trump administration's tax code change wasn't popular with many employees who felt cheated on their refunds. As a result, it's conceivable that in the future, a liberal or progressive administration will try to make things right. If I know anything about the government, whoever's in charge will probably screw it up. * 8 5G Stocks to Get Rich Off Our Information Addiction But the more important catalyst for HRB stock is the gig economy. With many Americans making the shift from W-2 employees to 1099 workers, they will incur significant tax reporting changes. For 1099 rookies, it may be an overwhelming transition. However, H&R Block is here to help, so speculators shouldn't ignore it when it comes to considering stocks to buy. Splunk (SPLK)Source: Michael Vi / Shutterstock.com As we dive deeper into the information age, the commodity that is most important isn't necessarily physical but digital. I'm referring to data.Every day, we transmit data through the internet. Further, companies pay big money for it as it holds the key to our consumption behaviors. But making sense of all this data is a difficult task. And that's where Splunk comes in.While most tech firms talk about big data, Splunk consolidates vast and seemingly disparate information into actionable advice. Called the Data-to-Everything Platform, this powerful system allows Splunk's clients to make well-informed decisions. Further, the platform facilitates real-time data acquisition, giving clients tactical capabilities. Essentially, SPLK stock runs on harnessing the potential of the digital age.Earlier, though, I felt that SPLK stock was running a little too hot. Clearly, I was wrong when shares spiked in November of last year. However, due to the broader panic, Splunk has lost some of its momentum. This is giving investors a chance to buy on the dip. American Outdoor Brands (AOBC)Source: Shutterstock According to Pew, America is becoming more diverse and a majority of us believe that this is a positive development.Furthermore, Pew reports that only a very small, single-digit minority view diversity as a negative. However, I think this latter statistic is misleading because very few admit to their prejudices.Further, we inherently know that differences — though culturally enriching — also tend to breed tension and distrust. If you don't believe this, open your eyes to the attacks against Asian Americans due to ignorant coronavirus panic. Moreover, sociological studies have demonstrated that human differences are among the catalysts for armed conflicts. That being the case, it's time to take a long look at American Outdoor Brands. * 10 SPAC IPO Stocks to Buy as They Grow in Popularity I think the time has come for us to have a real discussion about firearms in America. The sad reality is that we have a sickness in this country. And yes, the deranged have access to weapons. But gun control will disproportionately affect law-abiding citizens who wish only to protect themselves and their families.The cat's out of the bag. America will probably be a much more divided and violent country in the future, which is why AOBC stock will cynically thrive over the long haul. Teva Pharmaceutical (TEVA)Source: JHVEPhoto / Shutterstock.com Out of the stocks to buy on this list, Teva Pharmaceutical has endured the most difficult journey over the last five years. For starters, the healthcare system is essentially broken. Families are paying exorbitant costs while often receiving less-than-ideal care. For TEVA stock specifically, the underlying company has found itself embroiled in multiple controversies, including price gouging.However, TEVA stock is off to a brilliant start in 2020, gaining over 34%. In fact, while the major indices printed red ink, Teva has steadily moved forward. Logically, some of the bullishness is based on the idea that the company is relatively insulated from the coronavirus outbreak. No matter what, demand for pharmaceuticals will always be strong.And this segues into another point. Admittedly, TEVA stock is optically one of the less favorable stocks to buy right now. Over time, however, most folks will realize that the organization is a necessary evil. Our broken healthcare system will not fix itself anytime soon. But in the interim, we need access to affordable generics. Like it or not, that's Teva's forte. Disney (DIS)Source: Ivan Marc / Shutterstock.com Disney stock slipped on the broader implications of the coronavirus epidemic. But also, longtime Disney CEO Bob Iger stepped down from the top role. For someone who has frequently pushed back retirement, Iger's move was a surprise. and it may have come too soon — as coronavirus continues to afflict the company, Iger has actually put his retirement on hold once more.But the way I see it, Disney owns the trifecta in entertainment. First, through incredibly viable acquisitions like the Star Wars franchise, they dominate the summer blockbuster narrative. Second, through their resorts and theme parks, Disney levers an enviable physical footprint. Third, the company has made huge strides in streaming with Disney+.Therefore, unless you think entertainment will go out of style, you can confidently bet on DIS stock.A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 of the Best Stocks to Buy for ESG Investors * 3 Top Stocks You Should Watch to Invest Like Berkshire Hathaway * 3 India ETFs to Buy Now While No One Is Looking The post 10 Stocks to Buy for Your 10-Year-Old appeared first on InvestorPlace.

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  • Cash rate on hold until after 2022? Buy these ASX dividend shares

    Interest rates

    Interest ratesInterest rates

    According to the latest weekly economic update by Westpac Banking Corp (ASX: WBC), its team continue to believe the cash rate will remain on hold at the record low of 0.25% beyond 2022.

    While this is great news for borrowers who will be able to benefit from low rates for some time to come, it is quite the opposite for income investors.

    The good news is that there are plenty of dividend shares out there that offer generous dividend yields.

    Two that I think would be great options for income investors are listed below. Here’s why I would buy them:

    Rural Funds Group (ASX: RFF)

    The first ASX dividend share to consider buying is Rural Funds. It is a leading agriculture-focused property company which owns a collection of high quality assets. These assets are leased to some of the biggest names in the industry such as Treasury Wine Estates Ltd (ASX: TWE). I’m a big fan of Rural Funds because of its long leases and the periodic rental increase included in them. This gives the company great visibility with its future earnings and ultimately its distributions. In FY 2021 it intends to grow its distribution by 4% to 11.28 cents per share. Based on the current Rural Funds share price, this equates to a very attractive 5.4% yield.

    Telstra Corporation Ltd (ASX: TLS)

    A second ASX dividend share to consider buying is Telstra. Times have been hard for the telco giant in recent years, but things are finally starting to improve. Due to its T22 strategy and the easing of the NBN headwind, I believe a return to growth is not far away. In the meantime, I’m confident that Telstra’s free cash flows will be sufficient to maintain its 16 cents per share fully franked dividend for the foreseeable future. This equates to a generous 4.75% dividend yield based on the latest Telstra share price. Though, it is worth noting that Telstra is due to release its full year results next week. So it may be prudent to wait for those before investing.

    Where to invest $1,000 right now

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

    *Returns as of June 30th

    More reading

    Motley Fool contributor James Mickleboro owns shares of Westpac Banking. The Motley Fool Australia owns shares of and has recommended RURALFUNDS STAPLED and Telstra Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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  • 3 top ASX growth shares you should never sell

    Young male investor with a pink piggy bank and pile of gold coins

    Young male investor with a pink piggy bank and pile of gold coinsYoung male investor with a pink piggy bank and pile of gold coins

    I think there are some top ASX growth shares that you should never sell.

    There are some businesses that have long-term growth potential and are likely to be integral parts of our society for a very long time.

    When you hold a quality business that offers important products or services then they’re more likely to deliver solid returns over the long-term. 

    Here are three ideas:

    Growth share 1: CSL Limited (ASX: CSL)

    CSL is Australia’s biggest business, but I believe it still has plenty of growth potential for years to come.

    If you don’t know what CSL does, it’s a biotech company that develops biotherapies and influenza vaccines. Its products are used around the world to treat immunodeficiencies, bleeding disorders, hereditary angioedema, alpha 1 antitrypsin deficiency and neurological disorders. It’s one of the biggest plasma collection businesses. These services are going to be important for a very long time – human biology isn’t likely to change much over time. The ASX growth share could continue to develop new treatments to diversify its earnings – it invests heavily in research and development.

    At the moment it’s also involved in trying to find a healthcare treatment for COVID-19.

    After many years of strong growth, CSL is predicting that FY20 profit will be between US$2.11 billion to US$2.17 billion – this would be growth of 10% to 13% compared to FY19. The company could continue to generate decent compound growth of its profit over the long-term, meaning the shareholder returns should also be pretty good for the long-term too.

    It’s trading at 34x FY22’s estimated earnings at the current CSL share price.

    Growth share 2: Altium Limited (ASX: ALU)

    Altium is one of the most promising ASX growth shares in my opinion. It’s an electronic PCB software business that helps engineers design the items, devices and vehicles of the future.

    The software business has quite sticky revenue. It would take a large amount of training to change to another software business. As long as Altium keeps giving its clients a good, regularly-updated product then I think it has a good chance of achieving its goal of becoming the clear global leader in its industry. It’s aiming for 100,000 Altium Designer subscribers by 2025. This will help it achieve US$500 million revenue by 2025. 

    Its client base features many of the world’s most important technology businesses. Altium has effectively embedded itself into our society by providing its services to clients. Some of its most recognisable clients are: Amazon, Apple, Disney, Google, Boeing, Lockheed Martin, Tesla, Space X, NASA, Microsoft, Bosch, Honeywell and Fitbit.

    The ASX growth share has plenty of attributes you’d want from a business. It’s debt free. It has a growing cash balance, it has a growing profit margin and Altium is increasing its market share. Altium has aligned and focused management. It has a global revenue base. It’s regularly growing its dividend.

    Altium is an important business for helping the world’s development of new technology. At the current Altium share price it’s trading at 50x FY22’s estimated earnings and I think it could be a solid growth company over the next decade.

    Growth share 3: A2 Milk Company Ltd (ASX: A2M)

    A2 Milk has been a great ASX growth share over the past five years. I think that could continue as the business is steadily building its market share in China. It’s rapidly increasing its distribution footprint in the US. 

    The infant formula and other dairy products that A2 Milk sells is important. We all need nutrition.

    I think A2 Milk offers an attractive combination of defensive earnings and growth. For me, one of the most exciting aspects about A2 Milk is how many more countries that the company can expand into – it has a very long growth runway for this reason. It will soon be generating earnings in Canada after a licensing agreement with Agrifoods.

    The ASX growth share has no debt and a large cash balance which could be used for shareholder returns or acquisitions.

    At the current A2 Milk share price it’s trading at 29x FY22’s estimated earnings.

    Foolish takeaway

    I think each of these ASX growth shares have great long-term growth potential. I think A2 Milk could produce the strongest returns over the next five years as it’s priced the cheapest and has a lot of regions it can still grow in. I’d buy A2 Milk first for my portfolio. 

    These 3 stocks could be the next big movers in 2020

    When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

    In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

    *Returns as of 6/8/2020

    More reading

    Tristan Harrison owns shares of Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of CSL Ltd. The Motley Fool Australia owns shares of A2 Milk. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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