Please ensure Javascript is enabled for purposes of website accessibility
Cabot Prime Plus Logo
Cabot Prime Plus

Weekly Summary March 13, 2020

Cabot Prime Week Ending March 13, 2020

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 shares all his thoughts on the market’s historic crash, including some scenarios that are possible going forward and answering some of the most common questions he’s getting right now. Plus, while he remains defensive, he’s always keeping a running tally of resilient stocks, many of which he reviews in detail.

CABOT EVENTS:

7 Undervalued Growth Stocks with Rising Dividends for This Market

FREE WEBINAR: Wednesday, March 18

By Crista Huff, Chief Analyst of Cabot Undervalued Stocks Advisor | Sign up now for FREE.
SAVE THE DATE

2020 Cabot Wealth Summit - August 19-21, 2020

Click Here for More Information.

Advisory Services

Cabot Growth Investor

Bi-weekly Issue March 12: Respecting the crash and remaining defensive is the right thing to do. In the Model Portfolio, Mike sold Dynatrace (DT), one-third of Dexcom (DXCM) and 20% of our remaining position in Teladoc (TDOC) earlier this week, and tonight we’re forced to sell half of our remaining position in ProShares Ultra S&P Fund (SSO). That will leave us with a cash position of around 67%.

Special Bulletin March 11: The market continues to be unable to get out of its own way, and this is despite some historic oversold readings. A sharp bounce is certainly possible, but Mike is continuing to hold plenty of cash and take action when necessary. Today, he’s going to sell one-third of his position in Dexcom (DXCM) and another 20% of what he has remaining in Teladoc (TDOC), which will give us around 62% in cash.

Special Bulletin March 9: The Model Portfolio is holding its own in this storm thus far, but Mike continues to pare back as needed given the selling wave. This morning, he’s cutting our loss on our half position of Dynatrace (DT), which will give us a bit over 55% on the sideline.

Bi-weekly Update March 5: Remain cautious. The market has been gyrating wildly this week, holding above its lows from last Friday. That said, our Cabot Tides are negative and the sellers are in control of most stocks, so Mike is holding plenty of cash and waiting patiently for the next sustained uptrend. In the Model Portfolio, he has one very unusual change tonight—he’s going to “sell/drop coverage” of Sea Ltd. (SE), not because of performance (the stock looks great), but because of a publishing error in last week’s issue. All in all, the Portfolio will now have around 53% in cash.

Other Stocks of Interest February 28: Follow ups to stocks featured October 10, 2019 (issue 1430) to February 27, 2020 (issue 1440). 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.

Cabot Top Ten Trader

Movers & Shakers March 13: Clearly, the intermediate-term remains down, even with this morning’s bounce. For the trend to turn up, the market would effectively have to hit a fresh five-week high—that’s almost surely going to take some time. Market bottoms are usually a process, not an event. Thus, Mike advises staying cautious—capital preservation is key. As Mike did last week, he’s not going to advise specific buys, but are seven that have caught his eye due to some relative strength and/or resilient patterns. He has six outright sells.

Weekly Issue March 9: The nature of this decline has been breaking some rules, so there are no sure things, so Mike’s focus remains on the intermediate-term, where the trends of just about everything are pointed down. Thus, while he’s keeping his eyes open, he’s focusing mostly on capital preservation and hunting for the potential big winners for the next uptrend. This week’s list is a great place to start, whether you’re building a watch list or looking to nibble. Mike’s Top Pick is Vipshop (VIPS), which is one of many Chinese stocks that is acting very well.

Cabot Undervalued Stocks Advisor

Special Bulletin March 13: Today’s news: Adobe Systems (ADBE) reports first quarter results; gives second quarter guidance, and moves from Hold to Buy, and Broadcom (AVGO) and moves from Hold to Buy

S.pecial Bulletin March 12: We are now living through an unprecedented time in the U.S., and in the world at large, when institutions, schools, universities and more are being shut down from public attendance so as to curtail the spread of a virus named COVID-19. The stock market is reacting with shock, gapping downward again today. Crista helps us with the question: What happens next?

Weekly Update March 11: Crista gives us her latest thoughts on the Market and tells us the best types of stocks to buy at this market bottom. She has two portfolio changes today: Alexion Pharmaceuticals (ALXN) moves from Strong Buy to Hold and Quanta Services (PWR) moves from Buy to Hold.

Special Bulletin March 9: Today’s news: More Stock Market Turmoil and Apple (AAPL) joins the Buy Low Opportunities Portfolio as a Strong Buy.

Monthly Issue March 4: Crista will continue to write Bulletins more often, so that investors can navigate through this stock market correction and take advantage of trading opportunities. She might frequently mention stocks that don’t appear in these portfolios. There are lots of excellent growth stocks to choose from, and she can’t write about all of them, each week, but she can present them to you for your consideration. In that light, she mentioned NVIDIA (NVDA) a few days ago, and today the stock joins the Special Situation and Movie Star Portfolio.

Cabot Stock of the Week

Special Bulletin March 12: In this rare, mid-week update Tim will try to be brief, because he knows you have a lot to read, including numerous notices of cancellations and closings. So, today he is recommending that you sell: Axonics Modulation Technologies (AXNX), Trulieve Cannabis (TCNNF) and Verizon Communications (VZ).

Weekly Issue March 9: This morning’s market crash will go down in history as a big one—biggest by point drop and one of the biggest by percentage drop. But this is no time to panic. Instead, it’s time to recognize that the market is increasingly offering its wares at bargain prices, and all you need to do is have cash on hand when the climate improves. In the meantime, Cabot analysts continue to find stocks that are attractive for one reason or another and today’s featured stock is one of them—Nvidia (NVDA), a leading chipmaker with great prospects as the world goes increasingly online and digital. Tim has two portfolio changes today: Endava (DAVA) moves to Sell and Vertex Pharmaceuticals (VRTX) moves from Buy to Hold.

Cabot Global Stocks Explorer

Bi-weekly Update March 12: Going forward, Carl writes that will be need to be opportunistic expecting continued volatility and some sort of trading range developing over time. Our full position in the S&P 500 Inverse ETF (SPDN) moved up from 25 to 28 this week. It helps a bit in a down market as sort of a stock absorber. He knows everyone is used to a new recommendation every other week but we will need to be more flexible going forward. Our Cabot Global Stocks Explorer portfolio is now 55% invested in stocks, 35% in cash with 10% in our S&P 500 inverse ETF. Today he updates us on his new recommendation from March 9, British Petroleum (BP). It’s rated Buy a Half.

Special Bulletin March 9: Based on the sharp drop in oil prices that has severely impacted quality oil majors as well as the continued fallout from coronavirus, Carl recommends you take the following actions: Sell Rio Tinto (RIO), Sell Cosan Ltd. (CZZ) and Buy British Petroleum (BP).

Bi-weekly Issue March 5: Today, Carl writes about the growth of financial technology (fintech)—it’s trends and gives us some fintech stocks that are on his watch list. His featured stock is, StoneCo Ltd. (STNE) a Brazilian fintech company that Warren Buffett’s Berkshire Hathaway (BRK-B) invested $340 million in at its IPO in late 2018. Carl’s changes today: Replace ProShares Short FTSE China 50 (YXI) with Direxion S&P 500 Bear (SPDN).

Cabot Dividend Investor

Monthly Issue March 11: In this issue, Tom discusses the ramifications and measures to protect your investments. As well, he identifies rare securities that are timely opportunities while the market is down. These stocks have limited downside if the market continues to fall and huge upside leverage when it recovers. He has three portfolio changes today. Innovative Industrial Properties (IIPR), Qualcomm (QCOM) and Valero Energy (VLO) all move from BUY to HOLD.

Special Bulletin - Audio March 9: Tom posted an audio special bulletin today, giving you his take on today’s market volatility.

Weekly Update March 4: This has been about as ugly a couple of weeks in the market as you will ever see. On a closing basis, the market hit a low on February 28 and was down 12.5% from the February 19 highs. By total points lost, it was the fastest market correction in history. On an intraday basis, the market fell about 16%. Tom writes about Valero Energy (VLO) and Qualcomm (QCOM) and updates us on the rest of the portfolio stocks. He has no rating changes today.

Cabot Marijuana Investor

Update March 12: As Tim writes, the portfolio is 31% in cash, and we will now increase that by selling Aphria (APHA), Aurora (ACB), Cresco Labs (CRLBF), Green Thumb Industries (GTBIF) and OrganiGram (OGI). After those sales, which will be recorded at tomorrow’s average price, the portfolio will be roughly 50% in cash. Also, Canopy Growth (CGC) moves to Hold.

Monthly Issue February 26: Tim writes that you should focus on the leading companies and strongest stocks, which you’ll find in the portfolio. Avoid stocks trading under a dollar (that’s the majority) and stocks hitting new lows. Cut losses short (always a good strategy for growth-oriented investors). And avoid preconceived notions. Anything is possible going forward, but by watching the action of the individual stocks, you’ll be sure to own the leaders when the sector’s uptrend resumes. Tim is recommending these adjustments today: Aphria (APHA) to Hold (Sell a Third), Cresco Labs (CRLBF) to Hold, Cronos Group (CRON) to Hold, Curaleaf (CURLF) to Hold, Green Thumb Industries (GTBIF) to Hold, Organigram (OGI) to Buy and Trulieve (TCNNF) to Hold. (Sell a Third)

Cabot Early Opportunities

Special Bulletin March 13: Today we’re dropping a number of positions, all of which will remain on Tyler’s watch list for inclusion in the future. Sell: Frontdoor (FTDR), Lawson Products (LAWS), LeMaitre Vascular (LMAT), Lightspeed POS (LSPD.TO), Varonis (VRNS), Digital Turbine (APPS) and Slack (WORK).

Special Bulletin March 9: Tyler will be following up with comments on many of our stocks this week. But for today, he’s going to take one action. It’s time to step aside from ModelN (MODN), a stock that was added in November. SELL.

Monthly Issue February 19: In this month’s Issue of Cabot Early Opportunities Tyler discusses one simple way to measure how much a given stock will move relative to the market. He also features five stocks, from quite small to larger than we normally go. All have something different going for them. He is tilted toward software names this month, though he rounds things out with another solar name and an emerging biotech opportunity. This month’s Top Pick, Varonis (VRNS), is on the backside of a transition to the SaaS business model.

Bonus Report:

3 Cloud Software Stocks to Buy Now

Updated - 1/27/20 - Bonus Report: 3 Canadian Small-Cap Stocks to Buy Now
Bonus Report: Secrets To Early-Stage Stock Profits
Bonus Report:

The 240% Early-Stage Growth Stock

Cabot Profit Booster

Sell Position March 11: Close Existing Position: STMicroelectronics (STM). While Jacob is not ready to panic and blow out all of our positions, he does have to take my cues from the market, and reduce our exposure by closing one position today.

Weekly Issue March 10: Etsy (ETSY) - Amazon and others have a lock on the market for large-scale e-commerce, but Etsy leads a different niche, as it’s the go-to place for buyers (46 million of them at year-end, up 16% from a year ago) and sellers (2.7 million, up 20%) of homemade, handcrafted goods. The top brass expects GMS (gross merchandise value) to rise 27%, revenues to rise nearly 30% and EBITDA to advance in the low 20% range, with margin expansion as time goes on. The Covered Call Trade — Buy Etsy (ETSY) Stock at 59.5, Sell to Open June 60 Calls (exp. 6/19/2020) for $6.50, or a Net Price of 53 or less.

Frequently Asked Questions Report:

Frequently Asked Questions

Bonus Report:

Best-Kept Hedge Fund Secrets to Explode Your Wealth

Bonus Report:

5 Easy Stock-Picking Secrets That Make it Ridiculously Easy to Profit.

Bonus Report:

The Simple Technique that Brings in 5%-15% Each Month.

Wall Street’s Best Investments

Daily Alert March 13: Emergent BioSolutions Inc (EBS) Argus Weekly Staff Report
Daily Alert March 12: iShares Morningstar Large-Cap ETF (JKD) Moneyletter
Daily Alert March 11: Medtronic plc (MDT) Forbes Dividend Investor
Daily Alert March 10: Citizens Financial Group, Inc. (CFG-PE) Income Securities Investor
Daily Alert March 9: People’s United Financial, Inc. (PBCT) Sure Retirement

Monthly Issue February 20: Nancy’s Spotlight Stock, Tyson Foods (TSN), is a major protein producer that is benefiting from restructuring, rising meat demand, and the African swine flu that has devastated the Asian pork markets. Her Feature article further explores the company’s markets and acquisitions.

Ask the Experts

Cabot Dividend Investor

Question: I quote your latest newsletter “It’s comforting to have something in a portfolio that pays interest and is unaffected by market volatility. It tends to steady out portfolio performance and can help keep you invested in times of volatility.” What is it if it isn’t market volatility that has driven this down by 7.5% since it’s 52 week high? What is “comfortable” about that? It certainly has not been comfortable for me, the loss in stock value far exceeds the dividend. Your optimism is unfounded and I am disappointed with my subscription to your newsletter.

Tom: I’m sorry you feel that way. But I’m afraid you are mistaken. The Bullet Shares in the portfolio about which that quote is from is symbol BSCL. The 52-week high is $21.40 and the closing price yesterday was $21.15. That’s only 1.17% from the high, not 7.5%. That’s a mere 1.17% down while the market is down 20%. And that’s only if you purchased shares at the highest price in the last year. The price is right about at the average price for the year. There will always be some price fluctuation, as there is with any publicly traded security. But BSCL has about as little price fluctuation as you can get. And it has held rock steady in a wild market. You’re getting a higher income than you would get in a money market or CD while having to tolerate very little price fluctuation. I hope this helps.

Premium Reports

Quarterly Cabot Analyst Meeting

The recording of the quarterly Cabot Analyst Meeting from January 15, 2020 is now available for you to listen to at your convenience—click here for access. This quarterly private call with our analysts is one of your exclusive Cabot Prime member benefits.

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

This Guide to Cabot Prime 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.

StockCabot Global Stocks ExplorerCabot Growth InvestorCabot Marijuana InvestorCabot Stock of the WeekCabot Undervalued Stock AdvisorCabot Dividend Investor
AAPLStrong Buy
ABBVBuy
ACBSee Advisory
ADBEHold
ALXN Hold
AMZNStrong Buy
ANFHold
APHASee Advisory
AREHoldHold
AVGOHold
AXNXSell
BABABuy
BIP HoldHold 2/3
BKRHold
BPBuy 1/2
BSCL Buy 1/2
CCIHold
CGCSee Advisory
CHCTHold 1/3
CRAKHold
CRLBFSee Advisory
CRONSee Advisory
CURLFSee Advisory
CZZSell
DAVASell
DBIBuy
DOCUBuy
DOWBuy
DTSell
DXCMSell 1/3
EPDBuy
EQHSoldBuy
GESHold
GMHold
GRWGSee Advisory
GSHold
GTBIFSee Advisory
HTHTHold
IIPRSee AdvisoryHold
IPHISold
KERNSee Advisory
LGIHHold
LKBuy 1/2Hold
LXBuy 1/2
MCYHold
MKSIStrong Buy
MOHold
MOSSold
MPCBuy
NEEHoldHold 1/2
NFLXStrong Buy
NVCRBuy 1/2
NVDABuyStrong Buy
OGISee Advisory
PGX Buy 1/2
PLNHFSee Advisory
PNGAYBuy
PWRHold
QCOMHold
RIOSell
RNGHold
SEBuy 1/2SoldHold
SFLHold 1/2
SGENBuy
SPCEBuy 1/2Buy
SPDNBuy
SSOSell 1/2
STAGHold
STNEBuy 1/2
TCNNFSee AdvisorySell
TDOCSell 20%
TOTHold
TPBSee Advisory
TSLAHold
TSNHold
UEICHold
VLOHold
VOYAHold
VRTXHold 2/3Hold
VZSellBuy
YXISold
XELHold 2/3