Cabot Prime Pro Week Ending September 20, 2019
Stock Recommendation Tracker
The Stock Recommendation Tracker is a table that features all of the current recommendations in all of our portfolios. It’s a quick way for you to see what stocks are currently in our portfolios and will highlight new additions or any changes to our recommendations over the previous week. We include this table at the bottom of the Weekly Summary, and provide a link here at the top to the Stock Recommendations Tracker.
Cabot Weekly Review (Video)
In this week’s stock market video, Mike Cintolo, discusses the refreshingly quiet market action this week, which he takes as a positive given some of the worrisome headlines and developments over the past few days. Overall, for the market, most of the evidence is positive, though individual stocks are trickier, so he’s going slow and being choosy on the buy side. As usual, Mike reviews some of his favorites, including a handful of potential new leaders should the broad market’s strength continue.
CABOT EVENTS:
FREE WEBINAR: Wednesday, October 23
How to Make Money in the Age of U.S.-China Rivalry + 3 Global Stocks to Buy Now
By Carl Delfeld, Chief Analyst of Cabot Global Stocks Explorer | Space is limited so sign up now for FREE.
Also, Carl will be speaking at the MoneyShow in Philadelphia on September 26-28. Attendees get in free. Click here for more information.
Advisory Services
Cabot Growth Investor
Bi-weekly Update September 19: The environment remains mixed, with the market looking fine but growth stocks a bit sluggish. Thus, Mike prefers to play things a bit cautiously here, but with a substantial amount of cash on the sideline, tonight he’s going to add another half position in a potential leader—Teladoc (TDOC)—which will leave us with around 34% on the sideline.
Bi-weekly Issue September 12: Mike is taking things on a stock-by-stock basis. Since last week, he’s sold the rest of our Okta (OKTA) and taken partial profits in both Coupa (COUP) and Chipotle (CMG). But tonight he’s adding a half position in DocuSign (DOCU), which looks like a new leader. Our cash position will now be around 39%.
Other Stocks of Interest September 13: Follow ups to stocks featured April 25, 2019 (issue 1418) to September 12, 2019 (issue 1428). Since many of the stocks written about in Other Stocks of Interest don’t make their way into the Model Portfolio, you won’t see them followed on a regular basis in the issues. However, we are monitoring these stocks, and this listing gives you a quick view of our latest thoughts.Feel free to email me directly (mike@cabotwealth.com) with any questions/comments you have.
Cabot Top Ten Trader
Movers & Shakers September 20: Mike is still tilted to the bull camp because most of the evidence out there is positive, and the fact that it’s a bull market shouldn’t be forgotten. But few stocks are running away on the upside and there remain plenty of crosscurrents, so he’s favoring holding some cash and being choosy on the buy side. Today’s buy ideas are: Keysight (KEYS), Target (TGT) and Neurocrine Bioseciences (NBIX). There are two stocks that tripped our stops this week: Roku (ROKU) and Wheaton Precious Metals (WPM).
Weekly Issue September 16: The intermediate- and longer-term trends of the major indexes are up, the broad market is very strong (very few stocks hitting new lows every day) and, while leadership has definitely shifted, Mike is seeing a good number of stocks and sectors that are under strong accumulation. He still favors starting with smaller-than-normal positions and holding some cash, but he also wouldn’t be in your storm cellar as the buyers are (mostly) in control. This week’s list features stocks where the buying has been concentrated of late—and these aren’t beaten-down names, as many are at or near new-high ground. Mike’s Top Pick is Floor & Décor (FND), a mid-sized building-related retailer that has tightened up nicely.
Cabot Options Trader and Cabot Options Trader Pro
Note that the current week’s Weekly Update, earnings updates, position updates and stocks on watch are posted on the website in the Market Update section, which is deleted each week.
Cabot Options Trader Alert September 20: Adjust Existing Buy-write: Buy back your Lattice Semiconductor (LSCC) September 20 Call, and Sell the October 20 Call (exp. 10/18).
Cabot Options Trader Alert September 19: Adjust Existing Buy-Write: Buy back your Snap (SNAP) September 17 Call, and Sell the October 17 Calls (exp. 10/18).
Cabot Options Trader Market Update September 18: This afternoon the Federal Reserve will announce its decision on interest rate policy, followed by Chairman Powell’s press conference to reporters. It is expected that the Fed will cut interest rates by 25 bps, though of note, the odds of such a move have been dropping throughout the last two weeks. In fact, the odds of a rate cut are now approximately 70%.
Cabot Options Trader Position Update September 17: This Friday two of our buy-writes will expire, Snap (SNAP) and Lattice Semiconductor (LSCC). And while the market’s reaction to the Federal Reserve announcement tomorrow will likely go a long way to determining how we will manage these positions, Jacob wants to update his thoughts on these positions so that you can act if you so choose.
Cabot Options Trader Pro Weekly Update September 16: Jacob has 9 Long positions: DIS, KO JD, LSCC, MDT, RF, SNAP, TGT and XME and two positions not making an impact on his decision making: LVS and CRM and one short position: SPY
Cabot Options Trader Weekly Update September 16: The Chicago Board of Options Exchange Volatility Index (VIX) closed the week at 13.81, or lower by 7.5%. And because the VIX, and options prices in general, have fallen so dramatically Jacob decided on Friday the price of put options was too cheap to pass up, and added a new hedge.
Cabot Undervalued Stocks Advisor
Weekly Update September 17: Crista writes that many of our valuable portfolio stocks are rising rapidly this month. Make sure you own at least one healthcare stock and one airline stock, since those industries are seeing some excellent price action right now. But stay diversified! Today’s portfolio changes are: Blackstone Group (BX) moves from Buy to Hold, Carlyle Group LP (CG) moves from Strong Buy to Hold and Dow Inc. (DOW) moves from Hold to Buy.
Special Bulletin September 16: Oil prices and shares of oil-related stocks surged this morning after a terrorist attack on Saudi Arabian oil fields shut down about half of Saudi Arabia’s daily oil output, accounting for approximately 5% of global daily output. Crista expects near-term volatility and trading opportunities. Also,Total SA (TOT) moves from Buy to Strong Buy.
Monthly Issue September 3: Wall Street is back to work this week. You’ll notice that management at many of your portfolio companies are giving presentations at analyst meetings this week. Crista encourages you to visit their websites in the coming days and listen to the webcasts of the meetings. You’ll gain lots of specific and sometimes interesting knowledge on business trends, tariffs, plans for their use of excess cash, etc. Featured stocks this month are: DaVita Inc. (DVA), which joins the Growth Portfolio, Commercial Metals Company (CMC) and Designer Brands Inc. (DBI). There are three portfolio changes today: Abercrombie & Fitch (ANF) moves from Buy to Hold, DaVita Inc. (DVA) joins the Growth Portfolio as a Strong Buy and Marathon Petroleum (MPC) moves from Hold to Buy.
Cabot Stock of the Week
Weekly Issue September 17: The bull market is alive and well, with all major indexes near all-time highs and all Cabot’s market timing indicators giving positive signals, telling Tim the market will likely be higher months from now. Thus, being heavily invested in a portfolio of stocks that meet your needs is the continuing prescription. Today’s recommendation, Grocery Outlet (GO) is a young stock you may not have heard of if you don’t live in the six states where it operates, but as its stores proliferate across the U.S., that will change. The stock was originally recommended in Cabot Growth Investor. Tim has no portfolio changes today.
Cabot Global Stocks Explorer
Bi-weekly Issue September 19: The Emerging Market Signal is now clearly positive, as the strength in the broad market since late August has turned the intermediate-term trend back up. Today, Carl’s new recommendation, Marvell Technology Group (MRVL), is at the heart of “The Internet of Things.” It’s rated Buy a Half. There are two portfolio changes today: ICICI Bank (IBN) moves from Buy a Half to Hold a Half and MakeMyTrip (MMYT) moves from Buy a Half to Hold a Half.
Bi-weekly Update September 12: It was a pretty quiet week with most of our stocks up in the 3% -5% range. Carl writes that global and emerging stocks continued to move ahead as President Trump offered a “goodwill gesture” to China, suggesting potential progress in October talks. There are no changes to the portfolio.
Cabot Small-Cap Confidential
Weekly Update September 20: Tyler has no portfolio changes today. He took partial profits in several stocks a few weeks ago and stepped aside from some that were beginning to break down. It’s a little early to tell if he made all the right calls and/or if the action in early September foreshadowed a more durable rotation from growth-oriented names to value. So doing nothing makes the most sense in his mind right now.
Monthly Issue September 6: Today’s recommendation, Cardlytics (CDLX),is an $810 million market cap company that has developed a purchase intelligence platform that is in the early innings of being adopted by major financial institutions (FIs) in North America (88% of revenue) and the U.K. (12% of revenue). There are no portfolio changes today, but Tyler is watching Domo Inc (DOMO) closely.
Cabot Dividend Investor
Weekly Update September 18: Tom writes that the rate cut is already baked into stock prices.At the same time, an actual rate cut will do little to rally stocks and speculation will immediately focus on the next possible rate cut. Right now, that is expected in December. There are no portfolio changes today.
Monthly Issue August 28: Tom says this is one of those times in the market where investors are fearful instead of greedy. It is a market where safe stocks shine. The market has fallen every week for four straight weeks and is down 5% over the past month. And, right now, there doesn’t appear to be a catalyst out of the current woes, unless there is a trade deal. In this issue Tom highlights Alexandria Real Estate Equities (ARE), one of the very best defensive dividend stocks on the market. It has rock solid earnings in any environment and the stock should perform well in just about any market.
Cabot Marijuana Investor
Update September 19: In the broad market, all is well, as all trend-following indicators are positive, and the number of stocks hitting new lows has been minuscule in recent days. In the cannabis sector, however, stocks remain weak, in part because of the scary headlines about vaping and in part because the cooling-off process from the big March high continues. Of course, fundamental growth continues, too, so eventually the sector as a whole will resume its uptrend. Until then, Tim is still calling this a buying opportunity, but you’ve got to be selective.
Monthly Issue August 29: Going into today, the portfolio is 20% in cash, 80% invested, and most heavily invested in Aphria (APHA) and Curaleaf (CURLF), the current largest revenue producers in Canada and the U.S. Tim hopes to use our cash to do some new buying soon, both in current holdings and new additions, but he needs to see a little more sector strength first. In the meantime, he’s paring back more on some of our weakest stocks, selling half of Aurora (ACB), half of Innovative Industrial Properties (IIPR), all of KushCo (KSHB) and taking our position in Canopy Growth (CGC) down to 1%. After these actions, the portfolio will be about 31% in cash.
Cabot Early Opportunities
Monthly Issue September 18: In this inaugural Issue of Cabot Early Opportunities, Tyler features several growth-oriented, early-stage companies that could offer good entry points right now. He also sprinkles in a few opportunities to gain exposure to growth trends beyond U.S. borders. This month’s Top Pick is Digital Turbine (APPS). It’s a small-cap stock, that used to be a penny stock, but which is emerging as a more sustainable growth story due to a content distribution platform for mobile devices running the Android OS.
Wall Street’s Best Investments
Daily Alert September 20: The Greenbrier Companies, Inc. (GBX) The Prudent Speculator
Daily Alert September 19: Chart Industries, Inc.’s (GTLS) AlphaProfit Sector Investors’ Newsletter
Monthly Issue September 18: The economy remains strong and all eyes are on the Fed, as the governors wrap up their 2-day meeting this week. Most Fed watchers believe we’ll see another interest rate cut. And that should help to boost Nancy’s Spotlight Stock, Meritage Homes (MTH) a homebuilder specializing in first time homes. Her Feature article further explores this housing niche, as well as the improved fundamentals in the housing market.
Daily Alert September 18: Sell 1/3: Chipotle Mexican Grill, Inc. (CMG) Cabot Growth Investor
Daily Alert September 18: ASML Holding N.V. (ASML) Cabot Top Ten Trader
Daily Alert September 17: USA Technologies, Inc. (USAT) The Cheap Investor
Daily Alert September 16: Invesco Dynamic Food & Beverage ETF (PBJ) Momentum Strategies Report
Wall Streets Best Dividend Stocks
Monthly Issue September 11: Nancy’s issue this month begins with her Spotlight Stock, which is actually two stocks who used to reside in the same company, split up, and are now reuniting. They are CBS Corporation (CBS) and Viacom (VIAB), scaling up to battle some fierce competition. Her Feature article further explores what the new company may look like.
Ask the Experts
Cabot Top Ten Trader
Question: What’s going on with ROKU?
Mike: Thanks for writing. Looks mostly to me like follow-on growth stock selling from a week ago, but there’s also news that Comcast is planning to offer free streaming boxes or some such thing, which is viewed as competition for Roku. Either way, it’s a high-flying stock that’s coming back down to earth. We’d be careful if you own it, not that it’s going to fall 50% but my guess is most of the leaders of this year are cooked for a while.
Cabot Options Trader
Question: Is it more typical for people making that large of an options trade to plan to hold for the duration rather than playing it for a short term profit? Wouldn’t it also be likely that they would be trading for a shorter term gain, but giving themselves more time in case things go sideways?
Jacob: I would say in general, but certainly not all the time, these large options buyers hold the positions for quite some time (often till expiration), and are not looking to scalp one or two dollars here or there. They are going for home runs.
Cabot Small-Cap Confidential
Question: Hi Tyler, Noticing that your Stock of the Week issue has $BAND as a hold. But last Friday’s Small Cap lists it as a Buy. Which is it? Or is the next Small Cap going to change it to Hold. BAND is down today. Morgan Stanley says sell and buy $TWLO. Thanks!
Tyler: This is one of those cases where different analyst have different views! Tim is in charge of Stock of The Week, so he makes the call in that service, whereas I make the call in Small Cap Confidential. We don’t always move in lockstep (as is the case now), in part because I do one stock a month and he does one a week. Also just different portfolio management strategies. Hopefully that explains that a little. Re MS, I saw that too. So, I would say investors could own both and spread our their exposure to the CPaaS space. BAND and TWLO go at the market in really different ways and I think there is space for multiple winners.
Premium Reports
Cabot Prime Quarterly Report
Special ReportJuly, 2019: After a straight-up first quarter, the second quarter was a good one, though proved far trickier. April was solid, though we saw the broad market stall out. May brought a very sharp correction (10% on the Nasdaq!). And then June was a big winner, with the major indexes and many leading stocks ripping back to their highs. Despite the ongoing worries and uncertainties in the world (U.S.-China trade, what the Fed will do, Iran, politics, you name it), you should listen to the message of the market—and that message remains bullish.
Cabot’s 10 Best REIT’s to Buy Now
Special ReportMay 2, 2019: REITs are a way for investors to have a diversified portfolio of real estate-related investments even if you don’t have millions of dollars, much like mutual funds did for stocks. And REITs are traded on the market, just like stocks. In this new, exclusive report, you’ll discover how to profit in REITs, even when interest rates are rising.
Cabot’s Ten Best Canadian Small-Cap Stocks
Special ReportUpdated March 6, 2019: One of the generally accepted wisdoms over the past couple of years has been that the U.S. stock market is where the action is. But relative performance of ex-U.S. markets is showing that’s no longer the case. There are market-beating returns available to those investors willing to step abroad. And one of the easiest steps to take is just over the border with our neighbor to the north, Canada. For the modestly adventurous investor, I think there are quite a few Canadian stocks worth a look right now.
Cabot’s Best Safe Investments for Uncertain Times
Special ReportDecember 21: This report gives you some suggestions of the safest, productive places to put your money when the market gets bumpy.
A Richer Retirement
Special Report This handbook is designed to help you secure a better, longer, richer retirement for yourself by making the most of your savings both before and during retirement.
Guide to Cabot Prime Pro
This Guide to Cabot Prime Pro will help you make the best use of your Prime membership to create a strong personal portfolio.
Stock Recommendations Tracker
The table below lists all of the stocks held in any Cabot portfolio.
Updated or revised recommendations from the past week are in purple text.
Stocks added to a portfolio are highlighted in green text.
Closed stock positions in the past week are highlighted in red text.
| Stock | Cabot Small-Cap Confidential | Cabot Global Stocks Explorer | Cabot Growth Investor | Cabot Marijuana Investor | Cabot Stock of the Week | Cabot Undervalued Stocks Advisor | Cabot Dividend Investor |
|---|---|---|---|---|---|---|---|
| AAPL | Buy | Strong Buy | |||||
| ABBV | Buy | ||||||
| ACB | See Advisory | ||||||
| ADBE | Buy | ||||||
| ALK | Buy | Strong Buy | |||||
| ALXN | Hold | ||||||
| ANF | Hold | ||||||
| APHA | See Advisory | ||||||
| APPF | Hold 3/4 | ||||||
| ARE | Buy | Buy | |||||
| ARNA | Buy | ||||||
| AVLR | Hold 3/4 | ||||||
| AXP | Hold 1/2 | ||||||
| BABA | Buy | ||||||
| BAND | Buy | Hold | |||||
| BHGE | Strong Buy | ||||||
| BIP | Hold | Buy | |||||
| BMY | Strong Buy | ||||||
| BSCJ | Buy 1/2 | ||||||
| BSCL | Buy 1/2 | ||||||
| BX | Buy | Hold | |||||
| C | Buy | Strong Buy | |||||
| CCI | Buy | ||||||
| CDLX | Buy | ||||||
| CF | Strong Buy | ||||||
| CG | Hold | ||||||
| CGC | See Advisory | ||||||
| CHCT | Hold 2/3 | ||||||
| CIT | Hold | ||||||
| CMC | Buy | ||||||
| CMG | Hold | ||||||
| COUP | Hold | Hold | |||||
| CRLBF | See Advisory | ||||||
| CRON | See Advisory | ||||||
| CTVA | Strong Buy | ||||||
| CURLF | See Advisory | ||||||
| CVNA | Buy 1/2 | Buy | |||||
| CWBHF | See Advisory | ||||||
| DBI | Strong Buy | ||||||
| DBSDY | Buy 1/2 | ||||||
| DOCU | Buy 1/2 | ||||||
| DOMO | Hold | ||||||
| DOW | Buy | ||||||
| DVA | Strong Buy | ||||||
| EPD | Buy | Buy | |||||
| EVBG | Hold | ||||||
| EVER | Hold 3/4 | ||||||
| EXAS | Sold | ||||||
| GES | Strong Buy | ||||||
| GO | Buy | ||||||
| GSHD | Buy | ||||||
| HTHT | Hold | ||||||
| IBN | Hold 1/2 | ||||||
| IFNNY | Buy 1/2 | ||||||
| IIPR | See Advisory | ||||||
| IPHI | Hold | ||||||
| LK | Buy 1/2 | Buy | |||||
| LQSIF | See Advisory | ||||||
| LUV | Buy | ||||||
| LX | Buy | ||||||
| MKC | Hold 1/2 | ||||||
| MMNFF | See Advisory | ||||||
| MMYT | Hold 1/2 | Hold | |||||
| MO | Hold | ||||||
| MOS | Hold | ||||||
| MPC | Buy | ||||||
| MRVL | Buy 1/2 | ||||||
| MTCH | Sold | ||||||
| NEE | Hold | Hold | |||||
| OGI | See Advisory | ||||||
| OKTA | Hold | ||||||
| PGX | Buy 1/2 | ||||||
| QTRX | Hold 1/2 | ||||||
| QTWO | Buy | ||||||
| RCL | Buy | ||||||
| RGEN | Buy | ||||||
| RKUNY | Buy 1/2 | ||||||
| RPD | Hold 3/4 | ||||||
| SE | Hold 1/2 | ||||||
| SLB | Buy | ||||||
| SNAP | Buy | Hold | |||||
| SSO | Buy | ||||||
| STAG | Hold | ||||||
| SYF | Buy | ||||||
| TCEHY | Buy 1/2 | ||||||
| TDOC | Buy 1/2 | ||||||
| TOT | Buy | ||||||
| TPB | See Advisory | ||||||
| TSLA | Hold | ||||||
| UEIC | Strong Buy | ||||||
| VCYT | Buy | ||||||
| VFF | See Advisory | ||||||
| VLO | Buy | ||||||
| VOYA | Strong Buy | ||||||
| XEL | Hold 2/3 | ||||||
| YNDX | Buy 1/2 | ||||||
| ZTO | Hold 1/2 |