Lockheed Martin Secures a $15.5 Billion Windfall for Additional F-35s. Should Investors Consider the Stock for 2025?

2025-03-30 06:25:58 By Jennifer Martinez

The decision to invest in Lockheed Martin shares largely hinges on the performance of its F-35 sales.

Lockheed Martin's (LMT -0.17%) F-35 Lightning II stealth fighter jet is the gift that keeps on giving. Estimated to be worth $1 trillion in total lifetime value, the F-35 warplane remains easily Lockheed's most important product. And this was demonstrated once again just late last year, when the week before Christmas saw the Pentagon deliver three gifts to Lockheed Martin worth $15.5 billion in total.

Two presents for Lockheed Martin.

The first and by far biggest gift arrived Dec. 20, when the Pentagon's daily digest of contract awards showed Lockheed winning orders for 145 F-35 fighter jets worth $11.8 billion. Reported as a contract from the U.S. Navy, this order actually involves deliveries of F-35s for the U.S. Navy, Marine Corps, and Air Force, as well as for U.S. allies Italy and Japan, like so:

  • For the Air Force: 48 conventional take-off and landing F-35As
  • For the Marine Corps: 16 short take-off and vertical landing (STOVL) F-35Bs, and five carrier-landing F-35Cs
  • For the Navy: 14 F-35C aircraft
  • For "non-U.S. Department of Defense program partners" that helped Lockheed develop the F-35 (in this case, Italy): 15 F-35As and one F-35B
  • For "Foreign Military Sales" customers who are not program partners on the F-35 (namely, Japan): 39 F-35As and seven F-35Bs 

The Department of Defense has indicated that all aircraft specified in this contract are expected to be delivered by June 2027. Consequently, the $11.8 billion associated with this agreement will be disbursed over the upcoming two and a half years. This translates to approximately $4.7 billion annually in extra revenue for Lockheed. However, Lockheed stands to gain even more than just this amount.

On December 23, the Pentagon granted Lockheed two additional contracts, funded through the Navy, totaling $3.4 billion and $335.7 million. These contracts are intended for logistics support, which encompasses ground maintenance, supply chain management, training services, as well as various engineering services and specialized testing and tooling equipment for the F-35 program. Both contracts are set to continue until the end of 2025, contributing an overall increase of $3.7 billion in expenditures.

In total, this amounts to $15.5 billion in new revenue from F-35 contracts for Lockheed, with approximately $8.4 billion expected to be realized in 2025.

F-35 close-up photo.

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Image credit: Getty Images.

What is the significance of this event for Lockheed Martin's stock?

So we're talking some objectively big numbers here. But let's put them in the context of the company we're talking about: Lockheed Martin, the world's largest pure-play defense contractor. How big of a deal are these contracts for a company of Lockheed's size?

Referring to data provided by S&P Global Market Intelligence, the additional $8.4 billion Lockheed will receive from these contracts in 2025 amounts to 30% of the $27.8 billion that Lockheed's Aeronautics division collected in 2023, the last full year for which we have data. It amounts to only 12.4% of the $67.6 billion in revenue that all of Lockheed Martin collected that year, granted. But even that seems like a big bump in revenue for a company that, according to most stock market analysts, is only growing earnings at about 3% annually over the next five years.

It is important to note that a significant portion of this extra revenue is expected to be concentrated in 2025, with the growth in F-35 revenue for 2026 and 2027 projected to be more modest. Nevertheless, this still represents nearly a 7% increase compared to the revenue in 2023, which is double what analysts had anticipated. This indicates that Wall Street's projections for Lockheed's upcoming growth could be overly cautious.

Is Lockheed Martin stock a good investment in 2025?

How fast Lockheed Martin stock ends up growing is a key fact investors need to consider when deciding whether to invest in the stock, which is not objectively cheap.

With a valuation of 17 times its trailing earnings and a slightly higher price based on free cash flow, Lockheed Martin must demonstrate earnings growth in the mid-double-digits for me to contemplate an investment. A long-term growth rate of 3% indicates that the stock is far from being a good deal. Even assuming a 7% growth rate, it likely remains overvalued.

If Lockheed can grow earnings in the 12% range, however, or ideally even a bit better than that, and paying a 2.7% dividend yield to boot, that is when things start to get a bit more interesting, and Lockheed stock starts looking more attractive as an investment.

As Lockheed Martin secures more lucrative F-35 contracts, the likelihood of that occurring increases.

Very Supportive
Business

2 Warren Buffett Stocks to Scoop Up and 1 to Steer Clear Of

2025-03-30 06:25:58

Warren Buffett's success as an investor means that the portfolio of stocks within Berkshire Hathaway get a lot of attention. Although you always have to make your own buy-and-sell calls, there are a couple of interesting stocks inside Buffett's investment vehicle worth thinking about today. The list includes Chevron (CVX 1.89%), Coca-Cola (KO -1.04%), and American Express (AXP -3.15%). Here which ones are probably worth buying, and the one that you may want to avoid. Chevron is falling behind -- and that's perfectly fine. Chevron is one of the world's largest integrated energy companies. That means that its business spans the entire spectrum of the sector, from the upstream (oil and natural gas production) through the midstream (pipelines) and all the way to the downstream (chemicals and refining). This provides some balance to the company's financial results, since each segment of the industry performs in a slightly different way. Ultimately, for an energy firm like Chevron, the fluctuations in its performance are less severe than they would be if it operated solely in the upstream sector. This stability positions it as a reliable option for long-term investors interested in the energy industry. Helping things along is one of the strongest balance sheets in the sector, with a very low debt-to-equity ratio of 0.17x. Currently, the primary draw is the dividend, which boasts a yield of 4.3%. This impressive yield is supported by a dividend that has seen annual increases for more than thirty years. However, it's worth noting that the average yield in the energy sector sits at approximately 3.3%, indicating that Chevron is currently lagging in stock performance. Part of the situation stems from an acquisition that hasn't met expectations. Additionally, Chevron's disappointing performance is linked to the current low energy prices. Nevertheless, for those with a long-term investment perspective, this established player in the industry may be a solid buy right now. Earning a yield that surpasses the industry average while anticipating a rebound isn't a bad position to be in. Coca-Cola has seen a decline in its appeal, making it an enticing opportunity for potential buyers. Coca-Cola stands out as one of the most well-known brands globally, and its stock is typically considered quite pricey. However, a recent decline in price has made the shares more appealing, provided you're comfortable investing a reasonable amount for a top-tier company. To provide some numbers, this Dividend King's dividend yield is about 3.2%. That's roughly middle of the road over the past decade, hinting at a reasonable price. Backing up that view are more traditional valuation metrics like price-to-sales and price-to-earnings, both of which are a little below their five-year averages. While it wouldn't be fair to suggest Coca-Cola is a screaming buy, it does look reasonably priced. The real story, however, is what you are getting for that price. Coca-Cola's business sports robust margins, a healthy balance sheet, and a beverage brand portfolio that is second to none (thanks largely to its namesake soda). While investors might have some concerns about inflationary pressures, new weight loss drugs, and even increasing scrutiny of snack foods, given the long and successful history here, it seems highly likely that Coca-Cola remains an industry leader. And that suggests that the dividend will keep getting paid and continue to rise over time -- exactly what a conservative income investor wants to see. American Express is a fantastic company, although it tends to be on the pricier side. American Express operates as a payment processor that caters to affluent consumers. This is a strong market segment, as affluent individuals generally manage to navigate economic challenges with greater ease. In fact, the transaction fees that the company earns from processing payments are typically stable and consistent over time. All in, American Express is an attractive business. But as Benjamin Graham, the man who helped to train Warren Buffett, said, a great company can be a bad investment if you pay too much for it. After roughly doubling in price in about a year's time, American Express is starting to look expensive. The company's price-to-sales, price-to-earnings, price-to-cash flow, and price-to-book value ratios are all well above their five-year averages. If you are a more active investor who cares about valuation, you might want to take some profits here. It would be understandable if long-term investors wanted to stick around, given the underlying business, but new investors should probably stay on the sidelines until there's a better entry point. A touch of Buffett motivation Even Warren Buffett, known as the Oracle of Omaha, isn't infallible. Therefore, it's wise to approach Berkshire Hathaway's portfolio with some skepticism. Additionally, it's important to keep in mind that Buffett typically adopts a buy-and-hold strategy, meaning that the assets currently in his portfolio may not necessarily align with what he would choose to invest in today. If you're seeking investment suggestions, examining Buffett's current stock portfolio raises intriguing points regarding Chevron, Coca-Cola, and American Express. The first two appear to be solid buying opportunities, whereas the latter seems a tad overpriced at this moment.

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Business

IRS Set to Issue Unexpected Stimulus Payments in 2025: Discover Eligibility Criteria!

2025-03-30 06:25:58

View pictures in App save up to 80% data. The IRS has recently revealed plans to distribute an impressive $2.4 billion in stimulus payments in 2025, providing much-needed relief to approximately one million Americans. These funds are aimed at individuals who may have missed out on a specific tax credit during their filings. If you happen to fall into this category, you could be in for an unexpected financial boost! Who Qualifies for the Stimulus Payments? The main recipients of these payments are individuals who did not apply for the Recovery Rebate Credit (RRC) while submitting their 2021 tax returns. To be eligible, taxpayers must have completed their 2021 return but might have either omitted the RRC section or entered a zero amount. IRS Commissioner Danny Werfel emphasized that this initiative aims to guarantee that eligible individuals obtain the funds they are entitled to, without the necessity of filing an amended return. What is the Maximum Amount of Money You Can Obtain? If you qualify, the highest payment available to you is $1,400. It's important to recognize that the actual amount you receive may differ based on various factors, including your income and the number of dependents in your household. Nevertheless, numerous families may receive an amount close to this maximum based on their individual situations. Eligible taxpayers do not need to take any action. The great news is that you won't have to do anything to get your payment! The IRS will automatically distribute the funds through direct deposit or checks to qualified individuals. Most taxpayers should receive their payments by the end of January 2025. Just ensure that your tax return is current and your banking details are correct. How Can You Determine Your Eligibility? Taxpayers who qualify will get a notification letter from the IRS that confirms their eligibility and specifies the payment amount. This letter aims to address any questions you may have regarding your funds and to provide clarity on what to anticipate in the upcoming months. Should you have any inquiries or concerns, feel free to visit the IRS website for useful information about eligibility and how payments are calculated. Grasping the Recovery Rebate Credit The Recovery Rebate Credit was established for those who might not have received one or more Economic Impact Payments, commonly referred to as stimulus checks, during the difficult period of the pandemic. Essentially, it serves as a refund for individuals who did not get the complete amount they were supposed to receive when the payments were first issued. This automatic payment mechanism is intended to rectify that situation for qualified individuals. Payment Schedule As we approach the conclusion of 2024 and transition into 2025, there is a growing anticipation for the distribution of these funds. IRS representatives are hopeful that by the end of January 2025, the majority of eligible recipients will have received their payments. We advise everyone to monitor their mailboxes or bank accounts closely during this time. Concluding Remarks for Residents of Maryland For the residents of Maryland, this announcement offers a ray of optimism. As the holiday season draws near and financial struggles continue, this extra financial aid can truly have a meaningful impact. Whether it assists in managing bills, preparing for educational expenses, or simply provides some much-needed relief, the IRS's initiative to issue these stimulus payments is a positive move forward.

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Business

1 Stock from Cathie Wood and Warren Buffett That Might Experience Exponential Growth in 2025

2025-03-30 06:25:58

Cathie Wood and Warren Buffett have contrasting investment strategies, yet both investors share a stake in a lesser-known emerging player within the fintech industry. Two investors that could not be more opposite are Cathie Wood and Warren Buffett. Wood is the CEO and chief investment officer of Ark Invest, a firm that focuses on investments in emerging themes such as artificial intelligence (AI) or genomics. By contrast, Buffett has spent most of his tenure at Berkshire Hathaway owning blue chip stocks as opposed to higher-risk, volatile opportunities in growth sectors. Yet despite their different philosophies, Wood and Buffett do have some overlap between their respective portfolios. One company that Ark and Berkshire both own is called Nu Holdings (NU -1.71%). Nu is a fintech player that specifically focuses on Latin and South America. Let's explore the reasons why Nu appears especially appealing at this moment from a valuation standpoint and discuss why 2025 might be a pivotal year for this lesser-known commerce opportunity. Nu's operational performance is exceptionally robust. Nu is a digital financial services platform offering a comprehensive range of products, including checking and savings accounts, investment options, loans, and beyond. Throughout its history, Nu has primarily concentrated on markets like Brazil, Colombia, and Mexico. However, back in December, the company announced that it was participating in an investment round for digital banking platform Tyme Group -- which boasts 15 million customers across South Africa and the Philippines. At the end of the third quarter (ended Sept. 30), Nu had 110 million members on its platform, which signaled 23% growth year over year. Moreover, the company's average revenue per user (ARPU) rose incrementally to $11 per member. By making its customers more profitable over time, Nu has been able to widen its margins and expand profitability. During the third quarter, Nu's gross margin increased by 300 basis points and net income rose by 83% year over year to $553 million. View pictures in App save up to 80% data. Photo credit: Getty Images. The company's growth makes its valuation particularly attractive. Per the chart below, Nu trades right in the middle among this peer set of other international fintech operations based on the price-to-sales (P/S) ratio. View pictures in App save up to 80% data. NU PS Ratio information sourced from YCharts. Although this may suggest that Nu is priced appealingly compared to its peers, what really catches my attention is the consistent downward trend in the company's P/S ratio. Over the past few months, Nu's P/S has been on a persistent decline. I believe a significant factor contributing to this is the broader economic climate in Latin America, especially in Brazil. While I acknowledge the validity of these concerns, I don't view these factors as justification for divesting from the stock. Nu makes me think of SoFi. One stock that has had a rough go for the last couple of years is SoFi. SoFi is a very similar business to Nu in that it offers many of the same basic financial services, all through the convenience of a mobile app. Although SoFi has a number of different products, the company's largest source of revenue by a mile stems from lending. Given the U.S. experienced abnormally high levels of inflation over the last few years, the Federal Reserve resorted to some aggressive shifts in monetary policy -- raising borrowing costs 11 times between 2022 and 2023. These moves significantly impacted SoFi's lending operation, and for a prolonged period of time investors fled the stock. However, the economic picture steadily started to improve, and in the final months of last year the Fed started to aggressively taper interest rates. Unsurprisingly, SoFi began witnessing a swift bounce-back in its lending business, and enthusiasm around the stock started to rise. Since the first rate cut back in mid-September, shares of SoFi have risen by more than 80%. View pictures in App save up to 80% data. SOFI information provided by YCharts Worries regarding inflation and its impact on SoFi's operations reflect a similar apprehension surrounding Nu, especially considering the latter's susceptibility to Brazil's tough economic climate. However, it's important for investors to take a broader perspective and acknowledge that economic conditions tend to evolve and improve over time. I believe the worries regarding Nu's short-term growth are justified. However, the long-term outlook remains exceptionally strong, highlighted by the increasing number of users, opportunities for cross-selling, growing profits, and overall economic growth. I believe Nu is on a path akin to SoFi's and view the stock as a great opportunity for long-term investors.

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Business

China's exports saw a rise of 10.7% in December, surpassing expectations amid the impending increase in US tariffs.

2025-03-30 06:25:58

In December, China's exports experienced a stronger-than-anticipated increase, as manufacturers hurried to fulfill orders ahead of the elevated tariffs that U.S. President-elect Donald Trump has warned he will implement upon assuming office. Promote Community Journalism View pictures in App save up to 80% data. On January 2, 2025, vehicles and trucks destined for export are lined up at a port in Yantai, located in the eastern Shandong province of China, awaiting transportation. View pictures in App save up to 80% data. On January 2, 2025, a truck carrying a shipment of vehicles approaches the export lanes at a port located in Yantai, situated in the eastern part of Shandong province, China. HONG KONG (AP) — China’s exports in December grew at a faster pace than expected, as factories rushed to fill orders to beat higher tariffs that U.S. President-elect Donald Trump has threatened to impose once he takes office. According to official customs data released on Monday, exports increased by 10.7% compared to the same period last year. Economists had predicted a growth of approximately 7%. Meanwhile, imports saw a year-on-year rise of 1%, contrary to analysts' expectations of a decline of around 1.5%. As exports surpassed imports, China's trade surplus expanded to $104.84 billion.

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Business

The debate between billionaires and millionaires intensifies as online users criticize the exorbitant superyachts: 'That's an absurd amount of wealth.'

2025-03-30 06:25:58

View pictures in App save up to 80% data. Image Source: Reddit One of the major concerns surrounding extreme wealth includes substantial disparities in wealth distribution, disproportionate political power, and environmentally harmful practices.  Owning a yacht is often seen as a quintessential symbol of affluence. However, as highlighted by a Reddit user, the variety of yachts available significantly varies depending on the owner's financial status. Millionaire vs Billionaire When comparing millionaires and billionaires, the primary distinction lies in their net worth. A millionaire is an individual whose wealth amounts to at least one million units of currency, while a billionaire possesses wealth exceeding one billion units. This difference in financial status often leads to varying lifestyles, investment strategies, and levels of influence in the business world. Millionaires may enjoy a comfortable life, often having the means to invest in real estate, stocks, or personal ventures, but they typically have more limited resources compared to billionaires. Billionaires, on the other hand, wield significant power, often owning large corporations or holding substantial stakes in multiple industries, allowing them to shape markets and economies. Additionally, the mindset between the two can differ. Many billionaires are known for their entrepreneurial spirit and willingness to take risks, often driving innovation and contributing to major advancements in technology and society. Millionaires, while also capable of entrepreneurship, may lean towards more conservative financial strategies and investments. In summary, while both millionaires and billionaires enjoy wealth, the scale, influence, and lifestyle associated with each group can vary greatly. by u/TamerDubai in megalophobia "Millionaire vs. Billionaire," the OP wrote in the caption, as the video panned over from examples of yachts going from big to even bigger.  Superyacht sales have increased in recent years, exacerbating the growing pollution problem in our oceans and air. Luxury sea vessels have become prime examples of excess and waste in a world where many people struggle to meet their basic needs.  Wealth inequality is a multifaceted issue, and it's crucial to examine how factors like pollution, waste, and access to opportunities differ based on an individual's financial status. Sadly, the affluent, including millionaires and billionaires, have a substantial and uneven effect on the environment, largely due to their excessive consumption habits and elevated carbon emissions.  The wealthiest 10% of Americans create an estimated 40% of our air's heat-trapping pollution.  Billionaires release about a million times more pollution than ordinary people, yet most don't use their money and influence to offset their carbon contributions or advance the global climate agenda.  If you love the sea and travel, better, more sustainable ways to use your money include buying an electric vehicle and choosing eco-friendly vacation destinations. If you have your heart set on a yacht, there are solar-powered alternatives that run on clean energy to minimize their environmental impact.  Reddit users expressed their astonishment at the stark contrasts between yachts owned by millionaires and those owned by billionaires, taking to the comments to share their thoughts.  🗣️ In your opinion, do billionaires make smart choices with their spending? 🗳️ Select your option to view the outcomes and share your thoughts "Too much money," one Reddit user wrote. "Way too much money." "Not even a yacht anymore; it's basically just a cruise ship," a Redditor commented.  Someone else added, "While the planet burns." View pictures in App save up to 80% data. Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet. Awesome Selections

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Business

Product Recall Announced for Items Sold at ALDI Locations in Louisiana

2025-03-30 06:25:58

View pictures in App save up to 80% data. Bruce Mikells The German-based food store ALDI has announced that all 15 of their Louisiana locations will be removing certain items from their shelves as a result of a recall issued by the Food Safety Inspection Service. The ALDI Brand has made major inroads into the state in recent years adding locations such as Lafayette, New Iberia, Baton Rouge, Metairie, Bossier City, and Covington. View pictures in App save up to 80% data. Google 地图 According to the ALDI website, the company's core values are consistency, simplicity, and responsibility. The food recall is part of the brand's willingness to be responsible to consumers and ensure that every product sold through the ALDI brand has been thoroughly vetted for safety. One other way the ALDI brand serves its customers is by offering quality "store brand" products that boast equal or better quality than the national brands offered at other supermarkets. It's estimated that more than 90% of products sold in ALDI stores are exclusive to  ALDI.  View pictures in App save up to 80% data. Scott Olson, via Getty Images This recall from the Food Safety Inspection Service, a division of the United States Department of Agriculture affects one of those brands. The brand in question comes from Bestway Sandwiches Inc. of Valencia California. The product in question is the one pictured below. View pictures in App save up to 80% data. Image Courtesy of FSIS.USDA.gov Here is an overview of the product packaging in which the item is sold. We have provided images of both the front and back labels, allowing you to compare any products you may have stored in your freezer with the ones that have been recalled. The product in question is the 20-oz. carton package containing “CASA MAMITA CHICKEN & CHEESE TAQUITOS,” with Best By Dates 07/03/25 and 09/25/25 on the bottom panel.  The product will also have the establishment number EST. P-40327 on the carton. All of the affected products were shipped exclusively to ALDI stores across the country. View pictures in App save up to 80% data. Mick Haupt on Unsplash.com The recall is being issued because certain frozen chicken and cheese taquito items may have foreign substances, particularly metal, present in them. In response to this concern, the company has decided to pull approximately 24,870 pounds of the product from circulation as a precautionary measure. To date, there have been no significant reports of injuries or health issues linked to the consumption of these products. The potential problem was noted when a consumer notified the Food Safety Inspection Service that a piece of metal was found in the product as it was being consumed. Another consumer reported to FSIS that they experienced a "dental injury" as a result of using the product. View pictures in App save up to 80% data. Amr Taha on Unsplash.com If you have a question or concern about this product or the recall that has been announced you are encouraged to contact Bestway Foods Co. QA Department at (818) 361-1800 EXT.110. If you have this product in your home you're encouraged to discard it or return it to your nearest ALDI store for replacement or refund. CHECK IT OUT: 20 American dishes that surprise people from other countries Stacker compiled a list of 20 unusual and uniquely American foods that might raise eyebrows outside the U.S. Gallery Acknowledgment: Charlotte Barnett

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Business

$697 Direct Deposit Payments: Essential Information on Eligibility and Distribution

2025-03-30 06:25:58

View pictures in App save up to 80% data. Recently, there has been considerable discussion surrounding the $697 direct deposit checks that are reportedly accessible to all U.S. residents. Although this assertion has garnered significant interest, it's crucial to distinguish between reality and misinformation. Here’s the essential information regarding these supposed payments and the current situation. What Lies Beneath the Speculation? Claims circulating online suggest that $697 direct deposit checks are being issued to all U.S. citizens as part of a new financial relief program. Unfortunately, this information is not true. Following a thorough investigation, no proof has been found to substantiate the existence of such a program. The Social Security Administration (SSA) and other governmental bodies have not made any announcements regarding universal payments of $697. What Should You Know About SSA Payments? Although $697 isn't a universal payment, there are valid programs within the SSA that offer financial support to qualified individuals: Supplemental Security Income (SSI): Helps low-income individuals who are aged, blind, or disabled. Social Security Disability Insurance (SSDI): Supports individuals with disabilities who have worked and paid into the Social Security system. Qualification for these programs is based on particular criteria such as income level, disability status, and employment history. The payment amounts differ and are determined on a case-by-case basis. Ways to Keep Yourself Updated To prevent the spread of misinformation and guarantee that you receive precise information regarding government payments: Check Official Sources: Always refer to the Social Security Administration’s official website for verified information. Be Wary of Rumors: Avoid relying on social media or unverified websites for news about financial relief programs. Contact the SSA: If you’re unsure about your eligibility for benefits, contact the SSA directly through their official channels.

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Business

US sanctions on Russian oil are expected to significantly impact China and India.

2025-03-30 06:25:58

Sign up for Semafor Business:The stories (& the scoops) from Wall Street.Read it now. View pictures in App save up to 80% data. Lehtikuva/Antti Aimo-Koivisto通过路透社 Analysts have stated that the latest US sanctions targeting Moscow's oil industry will significantly restrict Russian fossil fuel exports to both India and China. Beijing and New Delhi became the largest buyers of Russian crude after the European Union pulled back following the invasion of Ukraine. The new sanctions — Washington’s toughest yet — will likely force New Delhi and Beijing to look to the Middle East, Africa, and the Americas for alternatives, Reuters reported: One Singapore-based trader said Russian crude shipments to China are “going to drop off a cliff.” The impending scramble will almost certainly push up both oil and shipping prices, Russian economy outlet The Bell wrote, as the outgoing Biden administration has “nothing to lose” politically from the fallout.

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Business

This Will Be the Largest Social Security Payment for Retirees in 2025

2025-03-30 06:25:58

Main Highlights from 24/7 Wall St.: View pictures in App save up to 80% data. The maximum Social Security check in 2025 is $5,108. There’s a maximum check because there is a cap on how much income is used to calculate benefits. You must earn the maximum taxable earnings and delay claiming benefits until 70 to be eligible for the largest check. Also: Take this quiz to see if you’re on track to retire (Sponsored) Social Security serves as a crucial financial resource for those in retirement. Generally, individuals are eligible for retirement benefits if they have accumulated sufficient work history. These benefits are safeguarded against inflation and are guaranteed to continue for the duration of the recipient's life. As a result, they provide a dependable and consistent income stream for older adults. However, while Social Security is a crucial source of retirement funds, it does not necessarily provide that much income. And there's also a cap on the amount you can get from Social Security, no matter how much money you earn. So, how much is the biggest Social Security check any retiree can receive in 2025? Let's find out. Here’s the highest Social Security payment being issued this year. In the year 2025, the highest possible Social Security payment amounts to $5,108. This amount is considerably higher than what most seniors receive. Currently, the average monthly benefit for all retired individuals stands at $1,976. Therefore, the maximum payment of $5,108 is more than twice the amount that the average retiree earns. However, for individuals receiving $5,108, these substantial payments are unlikely to fully meet their financial requirements. This is primarily because this payment is reserved for the nation's top earners, and it offers benefits that fall significantly short of their lifetime earnings. What is the reason behind having a maximum benefit, and why does it fall short? View pictures in App save up to 80% data. SOCIAL SECURITY written on a notebook placed against a backdrop of a chart. For the majority of individuals, Social Security benefits aim to cover roughly 40% of their typical earnings. However, given that certain individuals make millions annually, it becomes evident that the maximum benefit falls significantly short of providing 40% of those high incomes. That's one reason it can seem confusing that there even is a maximum benefit. After all, checks are based on what you pay into the system, so why is there a cap on the amount?  It's all because high earners don't get credit for all the money they earn and they don't pay Social Security tax on every dollar of income. The Social Security Administration sets something called a wage base limit every year. This is the maximum amount of money workers pay Social Security taxes on. Any dollars earned above the wage base limit aren't counted in calculating Social Security benefits. In 2025, the wage base limit is $176,100, up from $168,600 the prior year.  This limit is adjusted to account for wage growth, so it's always the inflation-adjusted amount of this amount. Due to the cap on taxable income, there is also a limit on the amount of Social Security benefits one can receive. To qualify for the maximum benefit, you must: Earn at least the wage base limit for the entire 35 years included in the benefits formula. Delay claiming Social Security until 70. Taking the initial step ensures that you secure the maximum average wage permitted within the Social Security framework, which results in the optimal standard benefit. By opting for the second step, you can further enhance that standard benefit, as your payments will grow for every month you defer your claim until you reach the age of 70. The majority of individuals do not achieve this highest level of benefit. However, those who do have typically earned an inflation-adjusted amount of at least $176,100 annually for a minimum of 35 years, and many may have earned significantly more. For these individuals, receiving a Social Security benefit of $61,296 per year would represent a substantial reduction in income. So, even those who get the highest checks available still can't live on Social Security alone and likely need plenty of savings to supplement their benefits and maintain the lifestyle they've become used to during their working life.

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Business

How to Successfully Propagate Monstera in Water — Enhance Your Collection of This Stylish Plant with Expert-Recommended Techniques

2025-03-30 06:25:58

A comprehensive guide to infusing vitality into your environment using this straightforward yet powerful method. View pictures in App save up to 80% data. (Image source: Getty Images) You might be considering multiplying your stunning monstera to gift it to someone special, or perhaps you're eager to enhance your cherished plant collection. No matter the reason, propagating a monstera is definitely a rewarding endeavor, particularly if you want to infuse some personality into your living space. So, can this exquisite plant be propagated in water? The answer is affirmative, and there’s an easy method to achieve it. Known as one of the best plants to propagate in water, this architectural bloom can easily flourish and double up, with the right monstera plant care in mind, of course. Curious about how to propagate monstera in water? We reached out to a horticulturist for their best advice. How to Propagate Monstera Using Water View pictures in App save up to 80% data. (Image source: Getty Images) With the many different types of monstera available to add to your collection, why not double up or triple the ones you love most? In conversation with Justin Hancock, a horticulturist from Costa Farms, he tells us that although he does not recommend the water propagation of monstera due to a "lower success rate than other methods," it is still possible to do so, with a few simple steps. Step 1: Choose a cutting — "Select a cutting that has about 3 to 5 leaves," says Justin. "I’ve found that tip cuttings (where you cut off the newest growth) tend to be better for water propagation." Step 2: Place leaves in a Vase — After you’ve removed the cutting from the main plant, Justin says you should remove the bottom leaf or two and place the cutting in a vase of water. "Make sure there are no leaves underwater; that’s why you want to remove the bottom leaf or two," he adds. Step 3: Keep in a humid space — Justin says it's best to "Keep the cutting in a warm, bright, preferably humid spot. It’s optimal to change the water every few days to prevent algae, bacteria, etc. from building up." Step 4: Place roots in soil after a few weeks — Lastly, "After several weeks, your cutting will start to put out roots if it doesn’t rot. Once it’s well rooted, you can pot it up in soil," explains Justin. "It can sometimes be difficult for a plant to transition from being in water to being in potting mix — so keep a close eye on your plant for the first couple of weeks after transplanting to make sure it doesn’t dry out." View pictures in App save up to 80% data. With over 25 years of experience in the field, Justin currently works at Costa Farms. He is passionate about plants and education, holding a degree in horticultural science. His diverse background includes roles in garden centers, botanical gardens, garden design, and garden publishing, notably with Better Homes and Gardens. Justin has cultivated his gardening skills in various states, including Minnesota, Oregon, and Miami. Additionally, he co-hosts the Plant Rx podcast for Costa Farms. Where to Cut Monstera for Propagation? View pictures in App save up to 80% data. (Image source: Getty Images) Justin notes that identifying the best rooting method can be challenging due to the numerous varieties available. However, he explains that "many people discover that tip cuttings, which feature a new, active growth point, often root more effectively and quickly. Nevertheless, most monstera varieties can also root from any node, which are generally found at the intersection of a leaf and the plant stem." Justin elaborates: "Under optimal conditions and with a robust, healthy plant, you could theoretically take a segment of the stem, making cuts between each leaf, and successfully root every node. In horticulture, we refer to these individual-node cuttings as 'leaf-and-eye cuttings', which is a method we use to propagate several of our sought-after varieties, including Monstera Peru." According to the expert, a key principle to keep in mind is, "You should steer clear of using areas without nodes for propagation, since a cutting cannot generate new growth without having a node." Known as one of the best Feng Shui living room plants, the monstera certainly knows how to make a statement without having to do too much. So why not add this beauty to your home and elevate your space? Select a Chic Vase for Your Monstera Clippings View pictures in App save up to 80% data. Artisan-Made Ceramic Table Vase Price: $21.50Color: Black Available in three different colors, this Artisan-Made Ceramic Table Vase from Wayfair will add a burst of style to your home. Its alluring shape has beautifully accented small handles on each side and is perfect for displaying flowers that you want to grow and love. View pictures in App save up to 80% data. Price: $24.64Was: $29.99 Chic and sophisticated, this glass vase offers effortless maintenance and usability. Crafted from 100% premium soda lime glass, it beautifully showcases your favorite blooms, instantly enhancing your floral arrangement with a touch of personality and allure. View pictures in App save up to 80% data. Price: $28Color: Pink The Cut Glass Stem Vase available at Anthropologie is a stunning work of art. With its bold, captivating, and whimsical design, this crystal vase serves as an ideal focal point for any home decor. FAQs Is it possible to cultivate a thriving monstera in water? "You can certainly do it, but I believe it's a more complicated method for cultivating a healthy plant," Justin shares. "The downsides of growing a monstera in water include stability. Since most monstera plants tend to grow quite large, it's essential to have a robust container that can adequately support it—one that won't easily topple and create a significant mess in your living space." Justin points out that maintenance presents its own challenges, stating, "It's essential to regularly empty the water and clean the container to avoid the buildup of algae and bacteria. Additionally, to keep your plant vibrant and thriving, following a fertilizer schedule is crucial, as water lacks the nutrients that potting soil provides." What is the time required for a Monstera cutting to develop roots in water? Justin mentioned that it varies based on circumstances, but typically, "you can anticipate it to take roughly a month." According to the expert, humid environments "can accelerate the process. Conversely, cooler, drier, or less illuminated conditions might hinder the rooting process," explains Justin.

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