The Unemployment-Stock Market Correlation in One Chart
The unemployment-stock market correlation is a picture-perfect inverse. What does that mean with an improving but still-high jobless rate?
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Cabot Micro-Cap Insider 1021
Time for a Rocket
This week, I was tempted to recommend another cyclical energy name as I tend to believe we are in the early innings of an energy crisis.
Soaring commodity prices and low equity valuations should result in some explosive returns. But we have...
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Cabot Growth Investor 1482
Encouraging Bounce, but Need to See More
We’re now about a month into this market correction, which to this point has been relatively garden-variety—from the high in early September to its low earlier this week, the S&P 500 slipped 5.9%, while growth-oriented indexes did bit...
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Cabot Small Cap Confidential 269
The Big Idea
If given a choice between taking a drug via pill or needle, how often would you choose the needle?
If you said never, congrats. You’re human.
Nobody in their right mind says, “I’ll just take the shot doc.” Unfortunately, there are still tons medications...
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Cabot Growth Investor 1481
Market Iffy, but Growth Stocks Buoyant
Back when I started at Cabot in 1999, it was the middle of the internet bubble, which itself occurred at the tail end of what was a massive five-year run in the market. Every dip was bought, and need...
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Cabot Growth Investor 1480
The Roller Coaster Ride Continues
Back in my younger days I was a big fan of roller coasters—not that it was a regular thing, but whether on vacation to Disney or Universal Studios or just a day trip to a local theme park, I’d hit...
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Cabot Micro-Cap Insider 921
Back to School
My daughter started kindergarten last week while my son will be starting his second year of pre-school next week.
School starts with half days, but by next week, we will be on to full days and back in the swing of things.
While is...
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Cabot Small Cap Confidential 268
The Big Idea
Whenever a lawsuit is filed the first thing that happens is lawyers on both sides go through a discovery process.
This means searching for relevant information, facts, and evidence. It requires sifting through tons of materials – emails, documents, financial statements, mail, etc...
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Cabot Growth Investor 1479
Can Growth Break Free
from the Chop (Part II)
Near the end of July, growth stocks had just suffered a big dip earlier that month, with many falling down toward key support areas. But instead of keeling over, many rebounded nicely, including a few leaders moved...
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Cabot Growth Investor 1478
More Good than Bad
In our last issue, we asked the question on this page whether growth stocks could break free from what had been weeks (months?) of choppy conditions—could we see a persistent buying spree among big investors that drives a slew of higher?...
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Cabot Micro-Cap Insider 821
“Trades” vs. “Core Positions”
My favorite stock to recommend is a growth-at-a-value-price name like Performant Financial (PFMT), my recommendation last week.
These companies are great because they can grow revenue and earnings significantly, and also benefit from a valuation multiple re-rating.
This is what can generate or...
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Cabot Small Cap Confidential 267
The Big Idea
Covid-19 has changed the way we live and work, what we do for activities, and how we interact with friends and family. Some changes will be transient, while others will hang around for a while.
Two notable trends that should have staying are...
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Cabot Growth Investor 1477
Can Growth Break Free From the Chop?
In our opinion, there are three main things about the market that make it difficult for most investors to succeed. The first is its contrary nature—oftentimes, many of the same qualities that help you succeed in the world...
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When Concentrated Investing Beats Diversification
Diversifying your portfolio is important. But you can over-diversify. At a certain point, concentrated investing makes more sense.
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Cabot Growth Investor 1476
Can’t Shake the Sellers
Because most of us are long-only players (focusing our time looking at what to buy, not short), we usually think of things from the perspective of buyers. There’s nothing wrong with that, per se—a lot of my commentary and analysis focused...
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Cabot Micro-Cap Insider 721
Growth at a Value Price
If you’ve been a subscriber for a while, you’ve heard me say it before.
I love micro-caps because you can buy growth stocks at value prices.
In large-cap land, you can buy growth stocks for growth (expensive) prices and value stocks value...
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Cabot Growth Investor 1475
Still Tricky, Still Challenging—but Also Still Improving
Through the first half of the year, 2021 has been about as tricky as we can remember, at least for growth stock investors. Rotation and news-driven moves have been the norm, with many leading (or formerly leading) titles...
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Cabot Small Cap Confidential 266
The Big Idea
It used to be that sales and marketing teams relied on conferences, cold calls, mass mailings and in-person networking events to engage with business clients.
Then the internet arrived, and a lot of this activity moved online. That was great … for while.
But...
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Cabot Growth Investor 1474
Still (Mostly) a Meat Grinder
In the last issue we wrote about the baby steps the market had taken since mid-May—it wasn’t anything decisive, but after suffering a ton of damage, growth stocks were slowly improving, with some big-volume rallies, more stocks setting up multi-month...
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Cabot Micro-Cap Insider 621
“Nothing is Cheap Anymore”
Every Friday, a bunch of families in my neighborhood gather at a local park to have pizza, drink some beer, and let our kids run around.
It’s a great way to unwind after the week, and the kids usually sleep well Friday...
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