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Analysts see an attractive entry point in these two “strong buy” stocks

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It is difficult to put a positive spin on the current state of the stock market. While the activity of 2022 witnessed moments of respite, the trend was decidedly pessimistic, as reflected in the performance of the main indicators. All are down by at least double digits; The tech-heavy Nasdaq’s 30% drop was the sharpest, while the S&P 500 is now down 17% year-to-date.

However, while it’s hard to watch any owned stock fall to the bottom, the upside is that investors get shares of good companies on the cheap. Of course, the hard part is identifying the good companies—the ones that will thrive again once the market-wide sell-off subsides. This is where the guiding hand of Wall Street professionals comes in handy.

Use TipRanks database, we identified two names whose share price has fallen more than 40% this year; However, analysts believe both offer good value for now and are set to push higher over the coming months — and with a higher rate, we’re talking triple-digit gains. Let’s take a closer look.

Hippo Holdings (HIPO)

The first stock we’ll look at, Hippo Holdings, is a lot of things: a tech company, a smart home company, and an insurance company — but mostly, it’s all of that, rolled together. Hippo combines artificial intelligence and data technology to simplify and improve the home insurance market. The company’s system allows both clients and agents to create an optimized policy that addresses the homeowner’s needs directly. Policies are created based on statistical data from the neighborhood, as well as on the contents of the house. At Hippo’s end, the company gets revenue from insurance policies and sales agency commissions.

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The housing market boomed in the second half of last year and the first half of 2022, and Hippo posted decent revenue over that period, but the company’s shares are down 81% so far this year. That loss deepened even as the company reported a 44% year-over-year increase in the top line, from $21.3 million in the year-ago quarter to $30.7 million in its last Q3 ’22 report.

One of the reasons for the low share price and investor conservatism may lie in Hippo’s regular net losses. This loss deepened in Q3 ’22, to $129.2 million by GAAP standards; This compares to a loss of $30.9 million in the third quarter of ’21. The most severe losses were affected, in part, by recent Hurricane Ian in Florida.

The company’s full-year 2022 guidance projects an upper line of $119 million to $121 million, and an adjusted net loss in the range of $197 million to $203 million — but the long-term guidance expects improvements in 2023 and a shift to profitability in late 2024.

JMP Analyst Insurance Technology Stock Coverage Matthew Carletti Taking an equal position regarding recent headwinds, he writes: “We believe that Hippo’s modern and proactive approach to coverage, combined with multi-channel distribution and strong customer retention, will result in strong growth for many years. It’s no secret that Hippo’s loss ratio has been around for a while. Not long ago left a lot to be desired, but after significant pricing and rewriting actions, it has seen a significant improvement over the past several quarters and we believe it should provide investors with improved visibility and confidence in the company’s path to profitability.”

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“We think Hippo’s stock value is attractive, currently below enterprise value (EV). While we acknowledge Hippo’s difficulties since going public in mid-2021…we think the stock’s underperformance is overblown,” said the analyst. above.

In Carletti’s view, HIPO deserves an Outperforming (ie Buy) rating, and its price target of $70, indicates a massive 443% upside potential over the next 12 months. (To watch Carletti’s record, click here)

Overall, Hippo has garnered 5 ratings from Wall Street analysts recently, and these include 4 to Buy vs. only 1 to Stay (Neutral), for a Strong Buy consensus rating. Shares are selling for $12.89 with an average price target of $54.70, indicating a solid 324% one-year upside. (See HIPO stock forecasts on TipRanks)

Schrödinger, Inc. (SDGR)

The second battered stock that we’ll look at is a software and pharmaceutical company. Schrodinger uses a physics-based platform to accelerate innovation, using a combination of physics, chemistry, and predictive modeling. The results are a discovery platform that unlocks new molecules more quickly and inexpensively than traditional methods. The company has marketed its platform to outside clients, and is also using it to leverage an internal research pipeline for drug candidate discovery.

This research program includes a variety of drug candidates currently in the discovery and preclinical stages — but also one, SGR-1505, that is in a Phase I clinical trial. The trial opened for registration this month and is designed as a dose-escalation study of the safety, pharmacokinetics and pharmacodynamics of the drug candidate. SGR-1505 is a potential treatment for relapsed or refractory B-cell malignancies.

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So far this year, Schrödinger’s has underperformed markets as a whole, down 48%. That doesn’t mean the company lacks potential, according to analyst Craig Hallum Matt Hewitt.

“We believe Schrödinger checks all the right boxes for high-growth investors. In recent years, the company has established itself as a software-driven player in the pharma/biotech space, with a core product (FEP+) still in the early stages of adoption. Along with its pricing model Attractive, significant opportunities outside of pharma/biotech, and electives in the form of an internal pipeline/collaboration, we see many reasons for high-growth investors to own the stock,” Hewitt said.

In keeping with this optimistic assessment, Hewitt rates the stock SDGR as a Buy, and its $60 price target indicates scope for an impressive 232% profit in the one-year horizon. (To view Hewitt’s track record, click here)

All in all, with 6 recent analyst reviews, including 5 to Buy and 1 to Hold, SDGR stock has a Strong Street Buy consensus rating. The average price target of $60.83 implies an upside of 237% from the current trading price of $18.05. (See the SDGR stock forecast on TipRanks)

To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best stocks to buya tool that unites all of TipRanks’ equity insights.

Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

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A top aide to Ukrainian President Zelensky accuses BP of profiting from the war with a stake in the Russian oil company.

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Basic [hotlink ignore=true]energy[/hotlink] The company that pledged to sell its stake in Russia has yet to do so, and a senior Ukrainian official has accused it of siphoning off millions from the war.

British Petroleum is one of the largest oil and gas companies in the world announce Last February, it said it would sell its 19.75% stake in Russian energy company Rosneft in the aftermath of Vladimir Putin’s invasion of Ukraine.

But after nine months, [hotlink]BP[/hotlink] It has not yet emptied its stake, and one of the closest advisers to Ukrainian President Volodymyr Zelensky is demanding that the company cut ties immediately.

Zelensky’s chief economic adviser, Oleg Ustinko, wrote a letter – it’s been seen before BBC And the The guardian— to Bernard Looney, CEO of BP, urging the company to keep its pledge from the early days of the war, while accusing BP of complicity with Russia in violating international law and its abuses in Ukraine by holding on to its stake in Rosneft.

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“After nine months of Russian aggression, war crimes, and bombing of civilian infrastructure, all financed and supplied by Russian oil, gas, and coal, BP remains a Rosneft shareholder,” Ustenko wrote.

A BP spokesman said luck The difficulties in selling BP’s stake in Rosneft stem from complications related to Western sanctions against Russian companies.

Ustinko also accused BP of continuing to receive payments from Rosneft in the form of dividends, citing its latest Analytics From the NGO Global Witness. The analysis claimed that by failing to sell its stake in Rosneft, BP “continues to receive dividends to shareholders, known as dividends” from the Russian company.

Based on a Pay compensation to Rosneft shareholders Last month, Global Witness estimated that BP took in around £580 million (about $713 million) in the first nine months of 2022.

A BP spokesperson said that the company has not received any dividends from Rosneft shares since February, and does not expect to receive any dividends in the future, adding that the decision to sell Rosneft shares resulted in $24 billion in damage.

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They added that any payments made by a Russian company to “unfriendly countries” abroad would be strictly monitored by the Russian government.

But Ustinko claimed in his letter that BP’s inability to sell its stake still made it complicit with Rosneft. Huge profits This year, which supported the Russian war effort in Ukraine.

“BP will receive this money in a restricted Russian bank account, which is a clear indication of the historical error your company has made – but nevertheless, BP will receive the dividend,” Ostenko wrote.

No accounting mechanisms or data from BP will change this fact. This is blood money pure and simple.”

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Ustinko accused BP of “waiting out the storm, and going back to business as usual when the war is over”.

A BP spokesperson denied the accusation, saying the company had “absolutely no intention of going back to ‘business as usual’”.

Throughout the war, Russia resorted to using energy as a weapon against the West, especially Europe, which was dependent on Russia for energy Most of its supplies are oil and natural gas. Despite the sanctions, Russia managed to continue selling energy abroad this year. You win big From the very high oil and gas prices during the first few months of the war.

Russia’s fossil fuel exports earned Russian energy companies 158 billion euros ($166 billion) during the first six months of the war, according to study by the Clean Air and Energy Research Center. The study found that energy revenues have contributed about 43 billion euros ($45 billion) to the Russian federal budget since the start of the war, helping to fund the war in Ukraine.

This story originally appeared on Fortune.com

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The former US head of FTX is reportedly seeking $6 million in funding to launch Cointelegraph

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Just a month after the controversial fallout Sam Bankman FriedFTX’s FTX stock exchange and 130 affiliates, and a former high-profile CEO is reportedly looking for investors to launch a crypto company.

Former FTX US President Brett Harrison is looking for $6 million in funding to launch a startup that will build cryptocurrency trading software for major investors, depending to the information. Harrison’s funding round will be for $60 million.