EBITDA, or earnings before interest, taxes, depreciation and amortization, is a straight-forward measure (not a perfect measure, though) of a company’s cash operating profits. But, like seemingly all metrics published by company managements, it is usually adjusted for unusual items that may be non-recurring.
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This Friday is the expiration of our six April Covered Call positions. I would categorize these six positions as a good, but somewhat mixed bag, as only one trade looks like it will expire for its full profit potential (ANF), while four (TRIP, SUM, AMKR, AZEK) in...
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The leading indexes continue to hit record highs, telling us the bull market that began over a year ago, though it is showing some signs of age, remains intact.
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Nearly 95% of companies in the S&P 500 are now trading above their 200-day moving average, according to Dow Jones Market Data, the highest percentage since May 2013. As if we didn’t have enough to worry about, as of late February, investors had a..
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After a volatile March, the market has found its footing. Month to date, the S&P 500 is up 2.8%, and is back to an all-time high. Our open recommendations are up 81% on average from when they were initially profiled. In total (including recommendations),...
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Determining a company’s underlying value is difficult, and clearly more of an art than a science.
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As market volatility subsides, the most volatile stocks today aren't worth the risk. Here are three to avoid; one of them will surprise you.
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While the headlines read “S&P 500 at All-Time Highs,” it’s not all smooth sailing in the market as countless stocks are still suffering from the Nasdaq rout that started a month ago.
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The bull market is still intact, but the signs of fraying that often emerge during long topping actions continue. Still, by focusing on the right stocks, we can do well.
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The big news this week (completely unrelated to our recommendations) is that a family office called Archegos Capital Management has blown up and caused a mini-meltdown in the market.
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Stop-losses, or more fully, stop-loss orders, are trading orders that are placed to execute a sale automatically if a stock falls below a specified trigger price. The idea is that these orders can prevent a small loss from becoming a large loss. It also...
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It has been a volatile few weeks for the market, with the Nasdaq under consistent selling pressure and more than 7% off its February high, while the S&P 500 hit new all-time highs last week.
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The market divergence that has been evolving since early February continues, with the Nasdaq in particular looking weak while the more conservative indexes like the S&P 500 remain near their highs.
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It has been one year since the S&P 500 hit bottom and since the then the blue-chip index has roared back nearly 75%. Just imagine if we would have had a pile of cash and the guts to jump in.
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There’s no doubting the dominance achieved by mega-tech companies like Facebook, Amazon, Netflix, Google and the other members of the “FANGMAN” club (Microsoft, Apple and Nvidia). Over the past decade or two, these have created entirely new industries, grown to unprecedented size and shareholders...
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Over the past couple of weeks, the market has been flat despite a lot of news flow. There are rumors that the Biden administration may try to push through a tax hike on high earners and separately propose a massive infrastructure bill. Meanwhile, round...
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Despite the market having some bumpiness, March was another great month for the Cabot Profit Booster portfolio as we closed four positions for the following profits:
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While leading growth stocks have been hit hard (and some have rebounded), the major indexes remain in uptrends and cyclical stocks and “reopening” stocks have attracted new buyers.
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Being a contrarian investor often means buying stocks that are outside of the current zeitgeist. Many investors would look at a list of new buys in a contrarian’s portfolio and wonder just what, exactly, the contrarian was thinking. “Why don’t you just buy stocks...
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After a little volatility in the past couple of weeks, most of our recommendations are at or close to all-time highs. The S&P 500 is back to all-time highs. The NASDAQ Index, after pulling back ~11.0%, has rebounded sharply and is up ~8.0% a..
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