designer491
I last wrote about the iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) in April 2024, and I was bullish. At that time, this ETF was trading for about $91 per share, and it ended up going to around $100 per share in
TLT: The Upside Could Be Much Bigger Than You Think
Summary
- I see TLT's current price and nearly 5% yield as an attractive buying opportunity with limited long-term risk, despite concerns about U.S. debt.
- Lower interest rates are likely coming soon, either from Fed policy shifts or a recession, which could drive significant gains for TLT.
- Fears about U.S. government creditworthiness are overblown. The U.S. remains a superpower with multiple tools to manage debt and raise revenue.
- Locking in TLT's high yield now offers a favorable risk/reward, as rates will likely drop and concerns about U.S. debt should fade.
Long-time stock market investor focused on strategic buying opportunities with dividend and value stocks. This investment strategy has resulted in a near 5 star rating on Tipranks.com and over 9,000 followers on Seeking Alpha. Follow me on Twitter for my latest trading ideas: @Hawkinvest1
Analyst’s Disclosure:I/we have a beneficial long position in the shares of TLT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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