Motley Fool Money Podcast Summary

Episode: Big Retail, Stablecoins and Dividends, Oh My!
Release Date: June 16, 2025
Hosts: Dylan Lewis, Ricky Mulvey, Mary Long
Featured Guest: Matt Arger Singer, Senior Analyst
Duration: Approximately 17 minutes

1. Market Headlines and Current Events

Timestamp: 00:06 – 03:04

The episode kicks off with an overview of the current market landscape. Jason Moser highlights several key headlines shaping investor sentiment:

• Middle East Conflict: Ongoing tensions between Israel and Iran have significantly impacted global markets. According to officials from the Middle East and Europe, Iran is signaling a desire to end hostilities and resume talks regarding its nuclear program. This positive development has led to a dip in oil prices today after an 11% spike in WTI crude over the past week.

• Federal Reserve Watch: Investors are anticipating the Federal Reserve's interest rate decision scheduled for Wednesday at 2 PM, followed by Chairman Powell’s press conference at 2:30 PM.

Matt Arger Singer comments on the market's resilience despite recent turmoil:

“Does it surprise you as much as it does me how resilient the market has been this year... It makes you wonder what would need to happen to actually shake this market.”
[01:23]

2. Amazon and Walmart's Potential Stablecoin Initiatives

Timestamp: 03:04 – 07:35

The discussion transitions to the intriguing possibility of retail giants Amazon and Walmart exploring the issuance of their own stablecoins. Jason Moser raises concerns about the potential impact on traditional payment companies like Visa and MasterCard:

“Could have an impact on payments companies like Visa and MasterCard essentially by taking volume away from their massive networks.”
[03:04]

Key Points:

• Consumer Impact: Matt reassures listeners that consumers won't be forced to use stablecoins but would have an additional option, particularly appealing for those engaged in cross-border transactions or residing in countries with volatile currencies.

• Business Benefits: For Amazon and Walmart, introducing stablecoins could attract millions of crypto-centric users and save billions in processing fees currently paid to payment processors.

• Regulatory Environment: The success of stablecoins hinges on a clearer regulatory framework to ensure consumer protections. Moser emphasizes the growing global usage of stablecoins and notes that major players like Visa and MasterCard are already integrating stablecoin-compatible services.

Matt provides an optimistic outlook on Visa and MasterCard's ability to adapt:

“Each operates in more than 200 countries... I don't think anyone should be surprised that Amazon and Walmart are getting into this.”
[04:36]

He further elaborates that Visa and MasterCard are well-positioned to either withstand or capitalize on the rise of stablecoins by potentially integrating crypto functionalities themselves.

3. Amazon and Roku's Expanded Advertising Partnership

Timestamp: 08:05 – 12:25

The podcast delves into the strategic partnership between Amazon and Roku in the advertising sector. This collaboration aims to enhance advertisers' reach by tapping into Amazon's Demand Side Platform (DSP) and Roku's extensive network of connected TV households.

Key Points:

• Scale and Targeting: Matt highlights the synergy between Amazon's vast advertising touchpoints and Roku's dominance in the TV streaming market, which collectively offer advertisers greater scale and more precise targeting capabilities.

• Market Impact: Jason notes the rapid growth of Amazon's advertising business, now operating at an $80 billion annual run rate. He raises the question of how this partnership might affect competitors like Trade Desk, concluding that the rising tide in the AVOD (Advertising Video On Demand) space is likely beneficial for all players involved.

• Industry Growth: The AVOD sector is projected to grow from $54 billion this year to $71.3 billion by 2029, driven by increasing consumer demand for value and the integration of advertising models by major platforms like Netflix.

Matt provides a critical perspective on Roku's long-term prospects despite the promising partnership:

“Unless you bought Roku within its first few months of going public in 2017, you've not only drastically underperformed the S&P 500, but you've lost money.”
[11:37]

Jason concurs, expressing caution due to Roku's frequent strategic pivots and uncertainty about its core focus, ultimately deciding to refrain from investing in the company.

4. Dividend Stock Recommendations

Timestamp: 12:25 – 17:25

Shifting gears, the conversation focuses on dividend investing, with Matt Arger Singer sharing his favorite dividend stocks and key metrics investors should consider.

Key Metrics for Dividend Stocks:

• Dividend Growth Rate: Assessing how consistently a company has increased its dividend over time, ideally surpassing inflation rates to indicate healthy earnings and profitability.

• Payout Ratio: Evaluating the proportion of earnings paid out as dividends. Matt recommends a payout ratio below 70%, preferably below 60%, to ensure sustainability, especially in cyclical industries.

“Look maybe look at like a five year trend and that give you enough information probably.”
[14:21]

Featured Dividend Stocks:

1. Owens Corning (OC):

   • Industry: Roofing and insulation.
   • Dividend Yield: 2%, with double-digit growth rates.
   • Strategic Moves: Management is targeting $1 billion in combined dividends and buybacks over the next two years.
   • Investment Thesis: Stable growth tied to refurbishment and replacement markets, less cyclical compared to other sectors.

2. Whirlpool (WHR):

   • Industry: Kitchen and bathroom appliances.
   • Dividend Yield: Approximately 8%.
   • Valuation: Trades for less than 10 times forward earnings.
   • Catalysts: Imposition of a 50% steel tariff on appliance imports, benefiting domestic manufacturers.
   • Risk Factors: More cyclical, dependent on US home transactions and consumer spending on new appliances.

Matt shares his personal investment approach:

“If I had to pick one for the short run, I might go with Whirlpool. If I had to... for the next five plus years, I would probably go to Owens Corning.”
[16:35]

Jason adds his own stance on the recommendations:

“I am an Amazon shareholder. I am a Trade Desk shareholder. I don't own Roku, never have and I don't think I ever will.”
[12:25]

Conclusion

The episode concludes with a reminder for listeners to conduct their own research before making investment decisions, emphasizing that the discussion should not be the sole basis for buying or selling stocks.

“Don't buy or sell stocks based solely on what you hear.”
[17:25]

Final Thoughts:

• Stablecoin Adoption: The potential issuance of stablecoins by Amazon and Walmart represents a significant evolution in the payment ecosystem, offering both opportunities and challenges for traditional financial networks.

• Advertising Partnerships: Collaborative efforts in the AVOD space indicate a robust growth trajectory, benefiting major platforms and advertisers alike, though individual company performances may vary.

• Dividend Investing: Focusing on sustainable dividend growth and prudent payout ratios can help investors identify reliable income-generating stocks, with Owens Corning and Whirlpool standing out as noteworthy options in their respective sectors.

For more insights and detailed discussions, consider tuning into future episodes of Motley Fool Money.