Latest Summary
CABOT EVENTS
Cabot Weekly Review (Video)
In this week’s video, Mike Cintolo talks about the continued rush higher in the big-cap indexes and leading growth stocks this week, with many strong names plowing ahead and another batch of fresh earnings winners, which is impressive. To be fair, he is spotting a bit of weakness in the broad market and some key sectors (financials and chip stocks), so he’s keeping his feet on the ground, but he remains bullish and reviews a ton of names that look tempting here or on dips.
Stocks Discussed: SNOW, CRDO, LULU, FRPT, ARGX, EXEL, HRI, DE, XPO, DASH, RDDT, BX, GEV
Cabot Street Check (Podcast)
This week on Street Check, Chris and Brad discuss whether the bull market is overcooked in the short term, Bitcoin breaking $100,000, lagging healthcare stocks, and bond yields creeping lower after a spike higher immediately following the first Fed rate cuts. Then, Producer Madison weighs in to discuss holiday shopping trends and highlights an unexpected retail stock.
https://www.cabotwealth.com/street
Cabot Webinar
Profit Like the Pros: Exclusive Options Trading Workshop
Join options trading expert Jacob Mintz, Chief Analyst of Cabot Options Trader and Cabot Options Trader Pro for a special live training event where he will:
- Discuss his unique trading methodology, including details on his proprietary Unusual Options Activity Scanner that spots what the big hedge funds are buying BEFORE Wall Street catches wind of it
- Reveal the specialized money-making tips he picked up from his years spent on the Chicago Board Options Exchange trading floor
- Share his powerful trading strategies that enable you to profit much faster than you can from buying stocks alone
- Provide clear, step-by step training: Walking you through how he makes different trades, and sharing essential knowledge to greatly improve your odds of success
PLUS, he’ll reveal 2 top trades that can help you beat the market RIGHT NOW! This will be highly beneficial for first-time and more experienced traders.
Quarterly Cabot Analyst Meeting
The recording of the Cabot Prime Members Meeting with the Analysts is now available for you to listen to at your convenience—click here for access. This private call with our analysts is one of your exclusive Cabot Prime Plus member benefits.
RECENT BUY AND SELL ACTIVITY
This table lists stocks bought or sold in the most recent Issues or Updates.
Portfolio Updates This Week
Cabot Growth Investor
Bi-weekly Issue November 27: Today brought some selling in growth stocks, mostly egged on by weakness in some “old” leading groups, but the evidence (both market-wide and among leading stocks) is still bullish, so we are, too, though we continue to keep our feet on the ground and manage our portfolio given things are a bit euphoric. Today, we’re filling out one of our positions, leaving us with 13% cash.
Elsewhere in today’s issue, we go over some intriguing new ideas (including one peer of a name we own that looks terrific), and answer some of the barrage of questions we’ve been getting, with some talk about the weakness seen in the formerly strong chip group.
Bi-weekly Update December 5: WHAT TO DO NOW: Remain bullish but continue to manage your portfolio and pick your spots carefully on the buy side. Our market timing indicators are in good shape, and leading growth stocks continue to impress, though near-term sentiment is getting euphoric. Tonight, we’re going to sell one-third of our stake in Shift4 (FOUR), which has fallen sharply on out-of-the-blue news, which will leave us with 16% in cash.
Cabot Top Ten Trader
Weekly Issue November 25: As for the market, the top-down action since the election has been volatile and somewhat disjointed due to crosscurrents, but the trends have remained up, and leading titles (especially on the growth side of the equation) have posted stunning gains. To be clear, the action remains very hot and heavy, with near-term sentiment elevated and many stocks extended to the upside, all of which is a reason to pick your spots on the buy side and to consider partial profits on some names that have gone wild. We’ll keep our Market Monitor at a level 8.
This week’s list has something for everyone, with names from a variety of sectors and themes showing strength. Our Top Pick is finally changing character with a powerful breakout last week.
Movers & Shakers December 6: It’s been a mixed week for the market, with the big-cap indexes doing well and many leading growth titles again showing strength, but the broad market and many sectors were sluggish (not awful, just down some) and we have started to see a few leaders here and there that have begun to wobble.
Cabot Value Investor
Monthly Issue December 5: The market party is on, but someone forgot to tell healthcare stocks.
They’re the only one of the 11 S&P 500 sectors that is actually down in the month since the presidential election. That has everything to do with these five letters: RFK Jr. But are concerns about Trump’s controversial pick to lead the Health and Human Services Department overblown? It appears Wall Street is starting to think so, as the sector has been in steady recovery after an initial sell-off. Still, as a whole, healthcare stocks have been the weakest performers of any major sector this year. And that spells opportunity for value investors.
In today’s issue, we add a big-name, undervalued healthcare stock to our Buy Low Opportunities portfolio. It’s a company whose name you likely know – and that’s showing signs of more consistent profit growth.
Details inside.
Weekly Update November 21: Tesla (TSLA) is getting lots of headlines these days, and for good reason.
Their CEO and founder, Elon Musk, was tabbed by President-elect Donald Trump to head up something called the Department of Government Efficiency (along with Vivek Ramaswamy); their stock price is up 57% in the last month; and the company is coming off its first truly encouraging quarterly earnings report in a year. Anyone who invested in TSLA a year ago, five years ago, or 13 years ago, when our Mike Cintolo first recommended the stock in his Cabot Top Ten Trader advisory, has made a LOT of money.
But another company has surpassed Tesla as the biggest EV seller in the world. And today, we add it to the Cabot Value Investor portfolio.
Cabot Stock of the Week
Weekly Issue December 2: The market continued to inch its way higher in the two weeks since I last wrote. The Stock of the Week portfolio isn’t inching – it’s soaring. Multiple positions in our portfolio were up double-digit percentages in the last couple weeks, with several others hitting new 52-week or all-time highs. As always, it’s a testament to the elite stock-picking ability of our superb analysts. And today, we add another stock, a familiar name that has regained momentum enough to warrant inclusion in last week’s Cabot Top Ten Trader advisory.
Details inside.
Cabot Explorer
Bi-weekly Issue December 5: This was a good week for Explorer stocks and as we head into the end of the year, Sea Limited (SE) is so far up 190%, IBM (IBM) is up 48% and Dutch Bros (BROS) was up 62% in November alone.
Tariffs are topic one in Washington and the financial media. Markets don’t know how everything will work out. Mexico is America’s largest trading partner followed by Canada and then China. America still imports 4 million barrels of crude a day from Canada and a key partner on the critical minerals front. More than half of America’s imports of fruits and vegetables come from Mexico. Automakers, which have built factories in Mexico to produce vehicles for the American market are at risk and their stocks are falling at the wrong time.
Bi-weekly Update November 27: Centrus Energy (LEU) shares jumped almost 19% this past week and are up 70% in the last six months. Dutch Bros (BROS) shares gained 6.3% this week following weekly gains of 10.6% and 36%.
Tariffs took center stage this week as the incoming Trump administration indicated day-one 25% tariffs on Canada and Mexico and some more for China as well.
Cabot Small-Cap Confidential
Monthly Issue December 5: Today’s opportunity skews toward the more speculative end of the spectrum, which is part of why I find it so darn enticing.
If you’re interested in a gold miner that also has an angle to help the U.S. produce a critical element, antimony, currently in short supply outside of China, Russia and Tajikistan, none of which are cozying up to the U.S. right now, this is the stock for you.
While we began a position in this stock via yesterday’s Special Bulletin, all the details are inside this month’s Issue.
Weekly Update November 7: Small-cap stocks continue to act extremely well, and we have a new all-time high for the S&P 600 SmallCap Index. It hit 1,520 on an intra-day basis on Monday, then closed at 1,545. Both levels surpass the previous all-time high of 1,477 from November 2021.
The index is hanging tight to those levels today too, trading near 1,537.
Cabot Dividend Investor
Monthly Issue November 13: The election of Donald Trump has altered the trajectory of the economy and the market.
Investors perceive his election will deliver stronger economic growth, primarily through deregulation and tax cuts. Although interest rates spiked higher on the expectation of a stronger economy, the market views the revised prognosis as overwhelmingly bullish, so far.
The new administration will employ drastically different policies that will have a significant effect on different sectors and can’t be ignored. The most obvious sector beneficiary of the new administration is energy.
A huge beneficiary will be natural gas exports. The U.S. has recently become the world’s second-largest exporter of natural gas. Exporters ideally sell cheap American gas overseas where it fetches a much higher price. More production and cheaper domestic prices are ideal for exporters. At the same time, the new administration is likely to encourage as much natural gas exporting as possible.
In this issue, I highlight a company that runs the largest liquid natural gas (LNG) export facility in the country. It is a subsidiary of existing portfolio position Cheniere Energy (LNG), which is up 15% since the election. It pays a huge income and still sells at a reasonable price.
Weekly Update December 3: These are good times. The S&P 500 is up 6% since the election and 27% year to date. This adds to a 26% return for the index in 2023.
The market is seemingly making new highs every day as investors expect a higher level of economic growth going forward because of the election. We’ll see if the economic growth materializes. But this optimistic economy expectation comes while the Fed has begun a rate-cutting cycle that will likely last the next two years. Why wouldn’t the market be partying?
Cabot Early Opportunities
Monthly Issue November 22: In the November Issue of Cabot Early Opportunities, we jump into a crazy semiconductor growth story, an electrification name and an international travel story. We also kick the tires on a new company focused on acquiring outdoorsy brands as well as another playing in the healthy and alternative food space.
As always, there should be something for everyone!
Cabot Profit Booster
Weekly Issue November 26: Please note, next week is one of our two scheduled weeks off for the year. Have a great Thanksgiving!
Moving on …
Despite some early-morning sell-offs nearly every day last week, the bulls stepped up each time and by week’s end the S&P 500 had gained 1.6%, the Dow had rallied 2%, and the Nasdaq had added 1.55%.
Cabot Income Advisor
Monthly Issue November 26: The election is changing things.
The difference is the expectation of stronger economic growth. As a result, new sectors have emerged as market leaders. Cyclical sectors have taken off. Financial, energy, and consumer discretionary sectors are leading the market. And this changing dynamic is likely just in the very early stages.
In this issue, I will focus on an opportunity in the financial sector.
Financial stocks, of which banks make up a big part, generally make profits from the spread between the cost of funds, mostly short-term rates, and what they charge for loans. Higher spreads mean more profits.
The Fed has begun a rate cutting cycle that will likely last for two years. Banks also need a good economy with strong loan demand. The better economic prognosis after the election is bullish. Plus, there is likely to be a much friendlier regulatory environment for banks and financial companies in the new administration.
In this issue, I highlight one of the highest-growth major financial companies that will surely benefit from the improving dynamic going forward. It is the leading all-digital bank in the country. Unlike many other industry-leading stocks, it is still well below the high because of a recent temporary stumble, and a price spike should be ahead.
Weekly Update December 3: The market has been just great! The S&P 500 was up 5.7% in November and now has a 26.47% year-to-date return. This adds to the 26% market return last year.
Stocks were riding high, and the election provided a further boost as investors expect a higher level of economic growth going forward. The cyclical stocks have led the recent charge. The best-performing market sectors since the election are finance, consumer discretionary, and energy.
Cabot Turnaround Letter
Monthly Issue November 27: With the approach of the Christmas shopping season, we’re heading into what’s regarded as prime “restaurant season,” as the holidays typically see more foot traffic than any other time of the year, and with December historically the highest-selling month for U.S. restaurants.
Today, we introduce a stock that’s poised to take advantage of the holiday shopping boom - and the ongoing post-Covid recovery in the trillion-dollar industry.
Weekly Update December 6: In today’s note, we discuss a number of earnings results and new developments for several of our portfolio positions, including American Airlines (AAL), Atlassian (TEAM), Duluth Holdings (DLTH), Intel (INTC), SLB Ltd. (SLB) and Super Hi International Holding (HDL).
Cabot Cannabis Investor
Monthly Issue November 27: Cannabis stocks are now trading like the group is no longer a viable sector.
I do not believe that is the case. True, companies continue to face pressure from price wars and unbridled issuance of permits for new stores in New Jersey and elsewhere.
But ultimately, the fate of cannabis businesses lies in the hands of politicians.
Monthly Update November 6: The cannabis sector is taking a severe body blow because of election outcomes.
The big negative: Florida voters rejected Amendment 3, which would have legalized recreational use. Voters in North Dakota and South Dakota also rejected cannabis legalization.
Cabot Money Club
Monthly Magazine December: Stocks may be trading at all-time highs, but economists and analysts are looking for even more gains going into 2025. So, with meaningful catalysts still on the horizon, here are the strategies you can use and the steps you can take right now to take advantage of the continuing bull market.
Stock of the Month November 14: The markets reacted strongly—and bullishly—to the results of the presidential election and also found favor after the Federal Reserve’s quarter-point rate reduction.
As of today, they’ve pulled back a bit, awaiting the latest inflation report.
However, the economy continues rolling along. Unemployment remains steady, and consumer sentiment is positive. And while the housing market continues to be challenged by low inventory and rising prices, on the local level, I’m seeing improvement in both categories.
Ask the Experts
Prime Question for Chris: Hi, new subscriber (to Stock of the Week) here. Do you guys give a stop price on these recommendations? How can someone know what their risk is per trade without any stop price? Usually I buy “x” shares based on my stop price and always adjust how many shares I buy based on the stop. So I know if a trade goes against me I know potentially what I can lose and can afford to lose. Without a stop price, the trade loss could potentially be huge.
Chris: Thanks for your question – it’s a good one.While some Cabot advisories include stop prices with every recommendation, I don’t do it in Stock of the Week, for the simple reason that it’s one of our more full portfolios (26 stocks in there at the moment), with a new recommendation every week. Thus, I don’t expect that every reader – perhaps even the majority of readers – will buy my new recommendation at the time I recommend it, meaning the price folks get in on a Stock of the Week stock can fluctuate greatly.What I will say is this: I generally try not to let any Stock of the Week position fall more than 20% before electing to Sell (more like 15% in a bear market). Similarly, when a stock that has performed well starts to go south in a hurry, if it dips below its 200-day moving average, I usually get rid of it – it’s a sign that institutional support for that stock has evaporated.Using those two rules of thumb, I never allow losses in our portfolio to get too big. Letting winners ride and cutting losers quickly, before they become BIG losers, has been a good formula. Fortunately, we don’t have any stocks in there at the moment that fit into either of the categories described above.