a man wearing glasses and looking at the camera: Shannon Stapleton/Reuters

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Shannon Stapleton/Reuters

  • BlackRock CEO Larry Fink told CNBC on Tuesday stocks have more upside ahead and most investors should put more money to work in the market.
  • “I believe we still have more to go on the upside even in front of probably rising infection rates with COVID-19,” Fink said. 
  • With interest rates lower for longer and the likelihood of a second fiscal stimulus, Fink expects the market to move higher.

BlackRock CEO Larry Fink told CNBC on Tuesday that stocks have more upside ahead and investors should put more money to work in the market. 


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“We have a strong conviction that the average investor still is under-invested and they’re going to have to be putting more and more money to work over the coming months and maybe even years,” Fink said. “I believe we still have more to go on the upside even in front of probably rising infection rates with COVID-19.” 

The CEO of the world’s largest asset manager said that he’s not concerned about markets, citing the Federal Reserve’s plan to keep interest rates lower for longer, and saying he expects the US will see another fiscal stimulus “whether it occurs this month or in January.” He added that even as coronavirus infection rates rise, hospitalizations are falling. 

Read more: Good deals in pandemic-hit companies are proving hard to find. Here’s how big investors that raised billions to pounce on corporate distress are changing up their playbooks.

Another factor likely supporting the stock market’s climb upward is the record amount of retail participation, Fink said. He added that the coronavirus pandemic likely caused this surge in individual investing activity.

Fink told CNBC: “You report a lot about Robinhood and the day traders but across the board the average investor is putting more

Investment Thesis

Headquartered in Kalispell, Montana, Glacier Bancorp, Inc. (GBCI) is a $14 billion regional bank holding company and parent to Glacier Bank. GBCI provides commercial banking services to communities throughout Montana, Idaho, Utah, Washington, Wyoming, Arizona, and Colorado.

About 5 years ago, GBCI’s management team decided to clean out most problem assets (which took about two years to complete) and instituted a more disciplined credit culture which limited concentrations in oversupplied or higher credit risk areas.

Today, the loan book is very granular and GBCI’s markets may actually benefit from people fleeing cities for more space and a cheaper cost of living as remote work becomes more normal. GBCI has a robust loan loss reserve and very high capital levels, allowing them flexibility to weather any challenges that may arise.

With respect to GBCI relative to community bank peers, GBCI’s earnings should prove more stable due to greater net interest margin (NIM) defense, more consistent loan growth, and lower credit losses. Over its storied history, GBCI has been a preferred acquirer with limited competition from other banks across its Mountain West footprint.

On a longer-term investment horizon, I am fairly neutral on the name. GBCI has historically had a well managed expense base, but revenue headwinds are looming and likely to put downward pressure on profitability. While the current valuation is not overly expensive, I would not be surprised to see the shares stay steady near current levels before working higher in lockstep with peer banks.

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Revenue Outlook

While GBCI has historically held pricing power advantages through the Rocky Mountain States, due to limited competition, overall loan growth has usually lagged national peers. Following historical trends, after backing out the $1.4 billion PPP loans, the entire lending portfolio of $11.5 billion decreased $61.6 million from the

SAN FRANCISCO — Federal prosecutors have asked for a “year of imprisonment” for a 78-year-old attorney and former California legislator convicted of laundering $685,000 meant for the construction of coffee shops at BART stations, court records show.

Terry Goggin, a San Bernardino-based legislator during the 1970s and 80s, is awaiting sentencing after pleading guilty to money laundering in a deal with federal prosecutors. His attorneys, citing Goggin’s age, heart problems, and the COVID-19 pandemic, have asked for a federal judge to sentence Goggin to home confinement and probation in lieu of jail.

But, citing the need to deter other white-collar criminals, prosecutors are holding the line on a jail or prison sentence for the former politician. The U.S. Attorney’s recommendation, 12 months and one day, is three months less than the term of incarceration recommended by U.S. Probation.

“While this risk is real, the government believes that it can be mitigated by a shorter custodial term, particularly because the Bureau of Prisons has greatly increased its knowledge and experience regarding how to prevent the transmission of COVID-19 since the pandemic began in the United States six months ago,” assistant U.S. Attorney Katherine Lloyd-Lovett wrote in a sentencing memo.

There have been nearly 127,000 documented COVID-19 cases in the federal prison system, and 124 people have died in federal custody. Of those, 24 have occurred since late July when the Bureau of Prisons experienced its 100th virus-related fatality.

In a sentencing memo, Goggin’s attorney wrote that being a convicted felon and other consequences, like “loss of his law license, and public shame and embarrassment,” were deterrent enough.

“All of the privileges Mr. Goggin enjoyed in his life as an educated urban white man have vanished by his own hands. He had hoped his legacy would be that of a successful politician,

A couple of days ago, I wrote an article on Vital Farms, and while writing it, I noticed that Cal-Maine Foods’ (CALM) net sales had been steadily declining over the past five years. I know that CALM sells cage-free eggs like Vital Farms (NASDAQ:VITL), so I needed to understand why their revenue decreased.

Cal-Maine Foods is a soft commodities company, and its results depend on highly volatile commodities prices. Its sales depend on shell egg prices, and its variable COGS are correlated with grain prices, specifically corn and soybean. An investor should understand these risks before investing.

The Future Of The Shell Egg Industry

Using information from the United Egg Producers facts & stats website and the U.S. Census Bureau, I forecasted what the Shell Egg industry should look like in 2026. I encourage you to read my article on Vital Foods to better understand how I forecasted the shell egg industry’s future growth.

Figure 1 – Future Of The U.S. Laying Hen Population

Source: United Egg Producers and analyst’s estimates (blue cells)

According to my calculations, I believe the laying hen population should grow at a CAGR of 1.9% during the period. While I was reading Cal-Maine’s 2020 annual report, the company believes that the general demand for eggs will increase on average by 2% a year. In my opinion, their comment makes me more confident in my forecast.

According to my estimates, I believe cage-free eggs will grow at a CAGR of 17.5% from 2019 to 2026. Also, conventional egg production should decrease at a CAGR of 8.5% during the same period.

While reading the company’s 2020 annual report, I learned that specialty egg sales are adversely affected by the decrease in conventional egg prices. It makes sense that at some point, a consumer will pick a

After weeks of uproar from local residents, plans to change the development on Mitchell Island have been temporarily put on hold by the Howard Hughes Corp.

A request from the Howard Hughes Corp. to replat the 16-acre island that was scheduled to be discussed Thursday by the Houston Planning Commission has now