#value-stocks

#value-stocks

Ford delivered $187.3 billion in revenue for 2025, a record and fifth consecutive year of growth. It posted an $8.2 billion net loss, driven by a $10.7 billion impairment on Model e assets and a $3.2 billion charge from the BlueOval SK joint venture. Strip those out and you get $6.8 billion in adjusted EBIT on a 3.6% margin. Ford Pro, the commercial segment, is the real story: $6.8 billion in EBIT on a 10.3% margin.

Popularized by Michael O'Higgins in his book, Beating the Dow , the Dogs of the Dow strategy selects the 10 highest dividend-yielding stocks from the 30 components of the DJIA at the end of each year. Investors buy equal amounts of these stocks, hold them for one year, then sell and repeat the process with the new list. This approach focuses on value stocks, as high yields typically result from price declines, providing potential for recovery alongside steady income.

While I continue to be a big fan of the mega-cap tech innovators, I also think some lesser-covered AI firms - at least relative to the likes of Nvidia (NASDAQ:NVDA) and the rest of the titans worth more than $1 trillion - are worth watching and even betting on, even if their narratives require more patience from investors. It's not just about the hyperscalers!

Value stocks are companies trading below their fundamental value, often overlooked due to market volatility or economic downturns, with the potential for future performance improvement.

Jim Cramer identifies Target as a value stock based on its current low valuation compared to historical standards and the S&P 500, despite ongoing challenges.

General Mills trades at a TTM P/E of 12.2, yielding 4.81%, making it an attractive option for income-focused investors amidst market volatility.