After pulling back in September, the S&P 500 is back to flirting with all-time highs. My favorite strategist, Ryan Detrick, recently shared that the market is typically weak now before starting to run into the “Santa rally.”
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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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Last week, I made the case that we may be amid a commodity bull market and that it makes sense to have a percentage of your portfolio allocated to commodity companies. Many commodities are breaking out to the upside, yet many commodity companies continue to incredibly...
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When is a micro-cap stock worth buying? Here’s how to tell whether it’s worth buying—with examples of micro-cap stocks to buy (or avoid).
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There’s a case to be made that we are in the early innings of a commodity bull market. I’m starting to see lots of articles about a looming energy shortage which will hit this winter.
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This week, everyone is talking about Evergrande. In case you’ve missed it, Evergrande is a Chinese real estate developer. Its core business is building homes, but it branched out into other directions like investing in EVs, a theme park, and other business lines.
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The market seems expensive, but the S&P 500 keeps making new all-time highs.
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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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The market seems expensive, but the S&P 500 keeps making new all-time highs.
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I was recently able to speak to Laurie Sims, President at Libsyn. We had a nice conversation, and I got some good insights into the business. See my notes at the end of this update.
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I’m fairly active on Twitter; it’s probably my favorite site. It’s entertaining and a great way to stay on top of news. And it’s an incredible resource for finding new stock ideas. I can say with confidence that Twitter has made be tens thousands...
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The Conviction to Hold
Everyone wants to own stocks that go up 100%.
What’s even better than that?
Stocks that go up 5x, 10x or even 100x.
What if you could have predicted Amazon’s success and bought it shortly after its IPO in 1997?
You would be sitting a..
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Greystone Logistics (GLGI) filed its 10-K recently, and I was surprised that sales declined in the 4th quarter by 5%.
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I recently downgraded Donnelley Financial (DFIN) to Hold as I had concerns that the company was overearning given buoyant capital market activities which tend to be cyclical.
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It’s a funny market out there! The market is pretty close to an all-time high, but many growth and micro-cap names have pulled back substantially. Many value names and cyclical names have pulled back sharply despite strong fundamentals. I continue to scour the world...
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Last week, we received some news that Medexus (MEDXF) received a complete response letter from the FDA which will delay ultimate approval for Treosulfan.
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“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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According to Detrick, “The S&P 500 is up 17.02% YTD at the end of July. Since WWII, this has happened only 12 other times and the rest of the year was higher 11 times. The only time it didn't work was '87, but was...
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This morning, we received bad news from Medexus. Medexus announced that it has received a complete response letter from the FDA related to Treosulfan, its newly in-licensed drug that was expected to drive substantial revenue growth. What is a complete response letter?
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Investing in micro-caps is fun because you can invest in growth companies at value prices. When investing in pure “value” stocks, your goal is to buy a dollar for 50 cents. The problem is that the dollar of value can shrink over time 80...
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