Fools were out and about this past week in an investing world jam-packed with actions and ideas. Here are three articles you might find useful as you decide how to invest your money.
The Unexpected Consequences of the 2012 Drought
Drought conditions aren't going to wallop farmers and grocery shoppers to the extent you might think, Fool analyst Brian Stoffel wrote. "If you're looking for who loses from rising corn prices, there are two places to look: livestock producers and corn processors," he wrote.
Concerns that margins for high-fructose corn syrup would be pinched caused Morgan Stanley to downgrade Archer Daniels Midland
Read the article for more insight on what the drought might mean for investors.
1 Huge Warning Sign You Need to Notice Now
Fool analyst Alex Planes took a step back to look at the trend in companies that are failing to report the numbers Wall Street had expected. Thus far, 2012's second quarter looks almost exactly like 2008's, Alex reported, with about 30% of companies missing earnings expectations and roughly 58% beating. That's an unusually high amount of misses.
Alex noted that over at Netflix
Alex wraps up by saying that "[t]his spate of earnings whiffs may be the tip of the iceberg, as it was in 2008, or it could simply herald short-term weakness that'll soon be behind us." He continues: "Don't jump into any new investment without carefully considering both the stock-specific headwinds and the global trends that could act on it in long-range ways." He recommends taking an interest in dividend stalwarts.
Read the article for more of Alex's insight.
Why This Energy Stock Could Triple in 3 Years
If the energy sector piques your interest, you might want to check out SandRidge Energy
"SandRidge was one of the first movers into the Mississippian and one of the first companies to grasp the true scope of the play," Arjun wrote. "As a result, it was able to scoop up a massive acreage position at a very appealing price." Arjun thinks SandRidge will be able to close the gap between capital expenditures and cash flow and "hopefully achieve its plan of tripling EBITDA and doubling oil production by the end of 2014."
Fool online editor Kris Eddy owns no shares of any stocks mentioned in this article. The Motley Fool owns shares of Heckmann, Netflix, and Chipotle. Motley Fool newsletter services have recommended buying shares of Chipotle and Netflix. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days. The Motley Fool has a disclosure policy.