Stocks
Investor Buys Pharma Giant, Likes Two AI-Adjacent Stocks for 2025
2024-12-08
Longtime value investor Bill Nygren advises investors to take advantage of the discounted shares of the pharmaceutical giant Merck. Nygren, the portfolio manager at Oakmark Funds, believes Merck is attractive on its own and has excellent portfolio characteristics. He explains that their portfolio has a pro-cyclical tilt, and Merck helps offset some of the risks. In an interview with CNBC, Nygren shares his insights.

Underperformance and Valuation Improvement

Merck's shares have underperformed the market this year, declining more than 5%. Some of the issues can be attributed to the slowing sales of its human papillomavirus vaccine, Gardasil, in China. Nygren started looking at the stock earlier this year and met with management and CEO Rob Davis. He waited until the stock fell over the summer, with Merck sliding about 8% in the third quarter, and the valuation improved. This led to the firm's decision to buy shares.

Existing Drug Portfolio and Future Prospects

Nygren highlights Merck's existing drug portfolio as a reason to buy the stock. The extension of its Keytruda franchise, a cancer treatment, is expected to have a positive impact on shares. This shows the potential for growth and value within Merck's existing offerings.

Value in Artificial Intelligence Implementers

In addition to Merck, Nygren is also finding value in some artificial intelligence implementers. Capital One is leveraging AI in its underwriting process, while Charter Communications is using AI in call centers to reduce costs and enhance the customer experience. These examples demonstrate how traditional companies can benefit from AI and become significant beneficiaries. Charter shares are up nearly 4% this year, and Capital One has rallied 43%. Nygren believes this trend will continue, and more traditional companies will emerge as AI-driven success stories.
Recruiter Says Future Work Hinges on Soft Skills, Not Tech
2024-12-06
Terry Petzold, with 25 years of recruiting experience and currently a managing partner at Fox Search Group, has a unique perspective on how to stand out in the job market. He emphasizes that in-demand technical skills are not always stable. Take the case of artificial intelligence; just two-and-a-half years ago, there was a focus on hiring coders, but with the emergence of ChatGPT, the landscape changed rapidly. Petzold believes that while having up-to-date digital skills is important across industries and career levels, companies are now more interested in hiring people with a different set of skills.

The Importance of Soft Skills in the Workplace

Emotional intelligence, or EQ, is a crucial soft skill that allows individuals to manage their own feelings and those of others. This skill enables better relationship-building and leadership in the workplace. Job candidates with great technical skills can truly succeed when they also demonstrate high EQ. Specialization in an area like data, security, infrastructure, or enterprise solutions is valuable, but those with strong EQ and soft skills, along with business skills, are the future IT leaders.

Handling and Delivering Constructive Feedback

Being able to handle and deliver constructive feedback is an essential soft skill. It helps in providing valuable input to colleagues and improving team performance. When individuals have this skill, they can communicate their thoughts and concerns in a way that is respectful and helpful. For example, instead of simply pointing out mistakes, they can offer suggestions on how to improve. This leads to a more positive work environment and helps in resolving issues effectively.

Managing Conflict

In a workplace, conflicts are inevitable. However, those with high EQ know how to manage conflicts in a constructive manner. They can listen to both sides of the story, understand the underlying issues, and find solutions that satisfy all parties. By doing so, they prevent conflicts from escalating and maintain a harmonious work environment. For instance, a leader with high EQ might mediate a dispute between two team members by facilitating open communication and helping them find common ground.

Having Critical Conversations with Urgency

Being able to have critical conversations with urgency is another important soft skill. It requires the ability to address important issues promptly and effectively. When faced with a critical situation, individuals with high EQ can approach the conversation with empathy and clarity. They can clearly state the problem and its impact, while also listening to the other person's perspective. This helps in making timely decisions and taking appropriate actions.

Working Cross-Functionally by Persuading Peers and Other Leaders

Working cross-functionally is essential in today's interconnected workplaces. Those with high EQ can persuade their peers and other leaders to collaborate and work towards common goals. They understand the needs and perspectives of different teams and can use their communication skills to bring everyone together. For example, a project manager with high EQ might convince different departments to work together by highlighting the benefits of collaboration and addressing any concerns they may have.

Effectively Presenting Ideas to Leaders Above Them

Presenting ideas to leaders above one's level requires more than just technical knowledge. It requires the ability to communicate effectively and persuade others. Individuals with high EQ can present their ideas in a clear and compelling manner, taking into account the audience's needs and concerns. They can use visual aids and storytelling techniques to make their ideas more engaging and memorable. This helps in getting their ideas approved and implemented.Good employers can further develop their workers' soft skills by offering mentorship programs and facilitating networking. This allows employees to see good models of leadership and high EQ in action and learn from them. By focusing on soft skills, companies can build a more resilient and successful workforce.If you're looking to make extra money outside of your day job, sign up for CNBC's online course "How to Earn Passive Income Online" to learn about common passive income streams, tips to get started, and real-life success stories. Plus, sign up for CNBC Make It's newsletter to get tips and tricks for success at work, with money, and in life.
See More
UNCCD COP16 in Riyadh: Inclusive Governance for Rangelands & Pastoralists
2024-12-06
The United Nations Convention to Combat Desertification's sixteenth session of the Conference of the Parties (COP16) is set to unfold in Riyadh, Saudi Arabia, from 2 to 13 December 2024. This significant event holds the key to recognizing shared lands, rights, knowledge, and institutions in a world that is constantly evolving. By delving into the reality and potential of inclusive governance for rangelands and pastoralists, it aims to shed light on the importance of considering mobility as an integral part of pastoralism and its crucial role in the adoption of equitable and adaptive governance systems.

Uniting for Inclusive Governance in the Desertification Battle

Analyzing the Significance of COP16

The 2024 COP16 in Riyadh is more than just a conference; it is a platform for global collaboration. It brings together experts, policymakers, and stakeholders from around the world to address the pressing issue of desertification. The event serves as a reminder of the interconnectedness of our planet and the need for collective action. By focusing on inclusive governance for rangelands and pastoralists, it offers a unique opportunity to explore innovative solutions and strategies that can lead to sustainable development in these vulnerable regions. 2: The significance of COP16 extends beyond the conference itself. It has the potential to inspire change at local, national, and international levels. Through the sharing of knowledge and best practices, it can help build capacity and empower communities to take ownership of their natural resources. This, in turn, can lead to the implementation of more effective policies and practices that promote the conservation and sustainable use of rangelands and pastoral systems.

Highlighting Mobility as a Key Element

Mobility plays a vital role in pastoralism, and COP16 recognizes its significance. Pastoralists have long relied on the ability to move their herds in search of better grazing lands and water sources. This mobility is not only essential for their livelihoods but also for the health and sustainability of rangeland ecosystems. By considering mobility as a substantial element of pastoralism, COP16 aims to ensure that governance systems are designed to accommodate and support this traditional way of life. 2: Incorporating mobility into governance systems requires a comprehensive understanding of the needs and challenges faced by pastoralists. It involves developing policies that promote the free movement of people and livestock while also addressing issues such as land tenure, water rights, and conflict resolution. By doing so, COP16 can help create an enabling environment for pastoralism to thrive and contribute to the overall goal of combating desertification.

The Role of Inclusive Governance

Inclusive governance is at the heart of COP16. It recognizes that the success of any governance system depends on the active participation and ownership of all stakeholders. By involving pastoralists, local communities, and other relevant actors in the decision-making process, COP16 aims to ensure that policies and practices are tailored to their specific needs and contexts. 2: Inclusive governance also promotes the sharing of knowledge and resources among different stakeholders. It encourages the exchange of ideas and experiences, leading to the development of more innovative and sustainable solutions. Through collaborative efforts, COP16 can help build stronger partnerships and networks that can drive positive change in the fight against desertification.
See More