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    Wednesday, May 29, 2019

    Stocks - r/Stocks Daily Discussion Wednesday - May 29, 2019

    Stocks - r/Stocks Daily Discussion Wednesday - May 29, 2019


    r/Stocks Daily Discussion Wednesday - May 29, 2019

    Posted: 29 May 2019 01:07 AM PDT

    These daily discussions run from Monday to Friday including during our themed posts.

    Some helpful links:

    If you have a basic question, for example "what is EPS," then google "investopedia EPS" and click the investopedia article on it; do this for everything until you have a more in depth question or just want to share what you learned.

    Please discuss your portfolios in the Rate My Portfolio sticky..

    See our past daily discussions here. Also links for: Technicals Tuesday, Options Trading Thursday, and Fundamentals Friday.

    submitted by /u/AutoModerator
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    DEA Takes Some CBD Off Schedule 1 As Aphria, Cronos Group, & Aurora Expand US And Canadian Operations.

    Posted: 29 May 2019 08:58 AM PDT

    DEA Takes Some CBD Off Schedule 1 As Aphria, Cronos Group, & Aurora Expand US And Canadian Operations.

    http://fortunenewswire.com/dea-takes-some-cbd-off-schedule-1-as-aphria-cronos-group-aurora-expand-us-and-canadian-operations/

    submitted by /u/jarred_tok
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    Tesla is rejiggering its Fremont factory to build the Model Y SUV and a Model S refresh

    Posted: 29 May 2019 06:30 AM PDT

    https://www.cnbc.com/2019/05/29/tesla-fremont-factory-prepping-for-model-y-production-model-s-refresh.html

    Tesla cut prices on its Model S and Model X vehicles last week, and rolled out a free supercharging incentive to entice customers.

    After laying off production staff in January, Tesla's car plant in Fremont, California now makes these cars only in day shifts during the week. There's no weekend or night time production, employees told CNBC.

    Employees say Tesla is paving the way to start Model Y production in Fremont, and working on a new Model S refresh, aiming for start of production in September.

    submitted by /u/coolcomfort123
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    People who invested in companies like Apple, Amazon, Microsoft, etc in their early days, why did you do so?

    Posted: 28 May 2019 07:25 PM PDT

    I'm asking because its easy to say "I should have invested company X years ago" in hindsight but its another thing to invest in something that hasn't yet proven itself a reputable company. What made these companies worth the risk at the time?

    submitted by /u/Periodicowner123
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    China prepares to weaponize rare earth metals and global risk-off intensifies

    Posted: 29 May 2019 04:41 AM PDT

    US Stocks Preview Ahead of the Open

    • Global stocks markets are selling off further today as fear grows over a Chinese response to the US and front-month Dow Jones minis are -0.60%, S&P 500 minis -0.53% and Nasdaq 100 minis -0.74%
    • Chinese state media published an editorial in support of cutting off the export of rare earth metals, using a rare phrase that translates to "don't say I didn't warn you"
    • US Treasuries continue to rally in the face of US-China trade tension with the 10-year dropping 40 basis points touching 2.22% yesterday with some analysts commenting that extended trade tensions could push the 10-year yield close to 2%
    • The US decided to not label China a currency manipulator, despite President Trump pledging to do so when elected
    • WTI crude is falling this morning almost 2%, trading close to $58
    • A huge smile: Happy Consumers! Conference Board data soars, Goldilocks Economy sees Consumers even more ecstatic that expected
    • Iron ore remains on fire: The Ore Score: Triple Digits Iron Ore Futures Prices are the New Normal
    • Cluster Analysis: Silver Is More Correlated With US Dollar Than Other Commodities! A Multi-Asset AI Cluster Analysis
    • The ETFs you need NOW: Top ETF Ideas of the Week: Models Signal Time to Buy Small-Cap Stocks
    • The VIX is higher this morning and is currently at 18.41 after closing at 17.5 yesterday
    • General Electric (GE) May 31 OTM Calls & Puts SPDR S&P 500 ETF Trust (SPY) June 7 OTM Puts and Bank of America (BAC) May 31 OTM Calls are the most actively traded options in today's pre-market
    • US 10-Year Treasury Bonds are higher with yields down -2.63 basis points to 2.2395%
    • The US Treasury 2s-10s Spread has widened 1.12 basis points to 0.15%
    • WTI Crude is currently down 1.98% to USD$58.04/bbl with the Brent-WTI spread down USD$-2.89 to USD$9.61/bbl
    • Gold is currently up 0.29% to USD$1283.03/oz

    Stocks Trending in the News

    Global Consumer Stocks Trending in the News

    • Casino (ENXTPA:CO) of France has decided to cancel its dividend in the wake of S&P cutting their credit rating by 2 notches to B. Casino entered into "safeguard" during which it has 6 months to come up with a restructuring plan. S&P said it has significant concerns about the governance at Casino and cited that a main reason for the cut to its rating. Casino is rated "Neutral" in our European SMID-Cap Global Top Stock Ideas.
    • Costco (COST) was downgraded to hold from buy at Gordon Haskett. Costco's price target was cut to $255 at the same time. Costco's recent price rise makes its present risk/reward scenario less compelling. The average price target in the market today is $255. Costco is rated "Attractive" in our US Large-Cap Global Top Stock Ideas and "Neutral" in our US Consumer Discretionary Global Top Stock Ideas.
    • Walgreens Boots Alliance (WBA) is considering closing up to 200 stores in the UK, Skynews in reporting. The plan being consider by Walgreens would see it close some stores when the lease us up and in other cases closes Boots stores in town with more than one. Walgreens had no comment. Walgreens Boots Alliance is rated "Neutral" in our US Large-Cap Global Top Stock Ideas and "Neutral" in our US Consumer Discretionary Global Top Stock Ideas.

    Global Information Technology Stocks Trending in the News

    • FireEye (FEYE) announced it is acquiring Verodin, a leader in cyber security validation procedures. FireEye is paying $250 million in cash and stock. The acquisition is expected to be accretive immediately. FireEye is rated "Top Short" in our US Large-Cap Global Top Stock Ideas and "Neutral" in our US Information Technology Global Top Stock Ideas
    • Netflix (NFLX) said it will pull its production out of the state of Georgia if its recently passed abortion law goes into effect. The legislation will become law in 2020 if it survives and in the meantime, Netflix will continue filming there. Netflix said it will work with the ACLU and other groups to fight the law in court. Netflix is rated "Attractive" in our US Large-Cap Global Top Stock Ideas and "Unattractive" in our US Information Technology Global Top Stock Ideas

    Global Industrials Stocks Trending in the News

    • Boeing's (BA) 737 Max problems were known to Ethiopian Airlines pilots well before the crash, Bloomberg reports. Documents from the crash investigation show one pilot had commented "it will be a crash for sure" unless there is additional training for pilots to deal with multiple system warnings that can come with the new MCAS system that was implicated in the recent crashes. Boeing is rated "Top Short" in our US Large-Cap Global Top Stock Ideas and "Unattractive" in our US Industrials Global Top Stock Ideas

    Global Power & Commodies Stocks Trending in the News

    • Devon Energy (DVN) sold its Canadian assets to Canadian Natural Resources (TSX:CNQ) for C$3.8 billion. The Devon assets being acquired are located in the main region where Canadian National, making it a perfect acquisition for Canadian National. The assets in the deal are producing 113,000 barrels per day. Canadian National said it expect to wring C$135 million in synergies once the deal in completed by the end of 2019. Devon Energy is rated "Neutral" in our US Large-Cap Global Top Stock Ideas. Canadian Natural Resources is rated "Neutral" in our Canadian All-Cap Global Top Stock Ideas.

    International Stock Markets Recaps

    • The Euro Stoxx 600 is currently down -1.23%, the FTSE 100 is down -1.3%, the DAX is down -1.11%, and the CAC 40 is down -1.59%
    • Telecommunications (-0.51%), Utilities (-0.54%), and Real Estate (-0.59%) stocks are the top performers in the Euro Stoxx 600 today
    • Basic Resources (-2.36%), Technology (-1.9%), and Oil & Gas (-1.78%) stocks are the worst performers in the Euro Stoxx 600 today
    • Investor sentiment for European stocks is negative with the advance/decline ratio for the Euro Stoxx 600 currently at 0.07x
    • 47 stocks in the Euro Stoxx 600 are at 4-week highs while 93 stocks are at 4-week lows
    • 21 stocks in the Euro Stoxx 600 are overbought while 42 stocks are oversold according to the 16-day RSI Measure
    • The Nikkei 225 finished down --1.21%, the Hang Seng ended down -0.57%, the Hang Seng China Enterprise declined -0.25%, and the CSI 300 was -0.23%
    • Investor sentiment for Japanese stocks finished negative with the advance/decline ratio for the Nikkei 225 closing at 0.21x
    • 21 stocks in the Nikkei 225 hit 4-week highs while 14 stocks reached 4-week lows
    • 5 stocks in the Nikkei 225 closed overbought while 38 stocks closed oversold according to the 16-day RSI Measure
    • Investor sentiment for Hong Kong stocks finished negative with the advance/decline ratio for the Hang Seng closing at 0.35x
    • 1 stock in the Hang Seng hit 4-week highs while 13 stocks reached 4-week lows
    • 0 stocks in the Hang Seng closed overbought while 10 stocks closed oversold according to the 16-day RSI Measure
    submitted by /u/QuantalyticsResearch
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    Post a list of what you'll buy and hold if the market turns bearish

    Posted: 29 May 2019 07:24 AM PDT

    Let's say you have $100K sitting on the sidelines in a hypothetical scenario right when the market is tanking very very hard. What do you buy with it to hold for the next 5-10 years?

    Thought I'd start a thread to get some ideas going

    submitted by /u/penitentmanpasses
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    Is united states steel corp (X) going under?

    Posted: 29 May 2019 01:42 PM PDT

    The price of X has been on a steep decline for almost a year now. It's gotten to a point, where the valuation is imo ridiculously low. They have a P/E ratio of 2.05 and a P/B ratio of 0.52 (!), which means they are valued at half of the value of assets they own. An evaluation like this is usually justified by a large risk of bankruptcy. X has a lot of debt, but their financial look great https://finance.yahoo.com/quote/X/financials?p=X .

    A reason for the current price decline is obviously the fear of trade war, but is it being exaggerated. What do you guys think, is X currently a good buy from an value investors perspective?

    submitted by /u/ChickenDestruction
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    What are some business titans that fell into nothing and what were the warning signs leading up to their downfalls?

    Posted: 29 May 2019 02:46 PM PDT

    Am curious about which companies back then were comparable to what FAANG is now but are no longer around/relevant, leading to a significant drop in share price.

    What led to their downfalls? Were there any warning signs or patterns that we as individual investors could learn from/watch out for?

    submitted by /u/_myusername__
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    Enlighten me about Alibaba

    Posted: 29 May 2019 07:45 AM PDT

    Can someone enlighten me about what it would mean for Alibaba's US stock if they decide to enlist in the Chinese Stock Exchange?

    submitted by /u/elgauchito5
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    Fear Mongering News

    Posted: 29 May 2019 10:37 AM PDT

    It seems to me the media is trying to scare people out of equities. Does anyone else agree?

    I'm going to stick in for the long run myself. I'm down 25% in stocks myself.

    Last year around christmas I jumped out of the market and lost 3k (saw a large dip one morning that corrected itself the same day). Took me about a month to get it back with a few strategic trades.

    I just got into the market for the first time in october of last year. Anyone else feel they seem to be trying to stir the pot to get people to run?

    submitted by /u/Lucid-Deaths
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    CHK looking pretty good today (it's been a while)

    Posted: 29 May 2019 10:50 AM PDT

    Saw it on the top 10 nyse active list... what do u guys think of this action? up 9% and pushing.

    submitted by /u/mark_cny
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    Marijuana Stocks During this Market

    Posted: 29 May 2019 08:13 AM PDT

    Given the way the market is right now with all the volatility I'm just looking for some feedback on this idea. All feedback is appreciated!

    So my idea here is that given the fact that these stocks such as CRON ACB APHA and CGC are not affected by the trade war or really anything besides maybe the occasional politician saying they don't want weed legal in the US does anyone else think its a good time to buy, given the fact that the overall market is down and people seem to be pulling their money out of overall volatile stocks like this?

    Yes I know at the moment these can be pretty volatile stocks, but the whole market is volatile right now. My considerations here are that these companies are mainly in the growth phase IE why a lot of them have posted negative earnings. In the long run though this puts them in prime positions to dominate any new market, the main one being the US. And in my opinion with the overall market down I think most of these are priced pretty well to buy right now. I'm not saying dump my whole portfolio into these, but maybe five percent total allocated to buying shares in each one just to possibly offset some red days.

    Anyways, just a thought I had running through my head today that I wanted some feedback on. Thanks in advance.

    submitted by /u/Zachistrading
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    Can I invest in the cosmetic surgery industry? I see it growing and growing over time

    Posted: 29 May 2019 10:54 AM PDT

    Noobie investor. I find it all very interesting and a little exciting. Been racking my brain trying to think of something I'd actually feel confident in putting money into that'll show good returns.

    Cosmetic surgery sprang to mind. For a few reasons. In this age of social media we live in I feel people are hyper self-conscious and cosmetic surgery is becoming more normalised. A while back getting your face done would be something you'd only hear of aging Hollywood actresses getting done, now it's totally normal for any local Instagram influencer to get lip fillers regularly. It's also becoming more popular among men, incels etc.

    Another point, more and more people are coming out as transgender as the world grows more tolerant of LGBT ways of life. Cosmetic surgery is often highly sought after by these individuals. I only see this demand rising as time goes on.

    So, is this even possible as something to invest in? These surgeries are usually done by small practices, so they obviously aren't publicly traded stocks, as far as I can tell anyway. But is there some indirect way I can invest in this industry? For instance, upon doing a google search I found this Chinese company that connects users with doctors for cosmetic surgery.

    Any other ideas? Your thoughts and/or criticism on this whole idea would be much appreciated.

    submitted by /u/mickel2
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    Any thoughts on OPRA?

    Posted: 29 May 2019 07:32 AM PDT

    Opera has an interesting product setup: Opera Browser, Opera News, Opera Ads (for monetizing Opera News) and OKash (Microlending Business).

    Opera plans to increase market in Africa/India/Indonesia. In first quartal OKash sales made 12,7% of Operas sales, and it is only available in Kenya so far. Since Microlending works really good in Africa, Opera plans to make OKash available internationally. 4 further countries will be added by the end of the year.

    Btw, Opera News has big reach in Kenya. The Opera Browser and OKash are both in the Top 10 most popular Apps in Kenia.

    What are your thoughts?

    submitted by /u/HappyBengal
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    Learned to make millions, can’t take advantage.

    Posted: 29 May 2019 02:57 PM PDT

    First of all I want to thank anyone who takes the time to read this.

    I'm 23 years old. No job, no education. When I was 18 I learned about the stock market. I started trading stocks on my phone full time with a fake $100,000 dollars. Getting up at market open and trying to make a profit.

    After about four months I turned that fake $100,000 into roughly $64,000. Obviously I didn't know what I was doing. I decided to keep studying knowing there are people out there who make a living day and swing trading stocks.

    After another six months of trading and extensive research, I not only regained the $36,000 I had lost, but also around $20,000 more. Not investing but day and swing trading. Soon after, the app and all it's data were deleted. When I got a new phone, I started again with another fake $100,000.

    Since then I've turned that fake $100,000 account into roughly $250,000. Safe to say that after vigorous trial and error, I now know exactly what I'm doing, and how to profit consistently and aggressively trading stocks.

    Right now I have a trading account open with a measly $2,700 in real money.

    My obvious dilemma is that I've never had close to $100,000 in cash to set aside for trading. Not even $10,000. There are many regulations when it comes to trading stocks, for instance, the pdt rule, (pattern day trader rule) which was put into effect in 2001, says that no trader can take more than three day trades within five business days unless they maintain a balance of $25,000.

    Until I fund my account with $25,000, I won't be able to trade full time.

    If I could take out a loan for $30,000 tomorrow I'd never have to work for anyone but myself for the rest of my life.

    As far as I know there is nobody who would trust me to pay back that kind of money considering I don't have a job or a degree. (Why would they?) The market is open weekdays from 9:30 am to 4:00 pm eastern.

    I'm a great salesperson but it's hard to find a good paying sales job that's not a 9-5.

    I'm also not the greatest at saving and I've spent $24,000 on rent the last four years. (Cheapest it gets) I've spent those years working multiple jobs I couldn't stand. Spending more time clocked in doing what I hate and asleep, than anything else.

    Recently I got approved for unemployment benefits just so I have some time to find a job that won't make me want to blow my brains out every minute I'm there. No luck so far.

    I know if I want to go to school, the government will approve me for $30,000+ without looking twice, but why the hell would I go into debt and spend that money on school when I know I can turn $30,000 into over $100,000 in less than a year trading stocks?

    Proof of my trades: https://imgur.com/a/RKQRP1f

    If you look closely, you can see I would have made $45,000 in April alone without any losses.

    I know I'll get $25,000 eventually but I've been losing my mind the last four years barley making any progress. When I try to tell talk about it with anyone, most people look at me like I'm crazy. They'll tell me it sounds unrealistic. (And it does) I really don't know what else to do but it's looking like I'll have to keep doing what I hate until I save $30,000. (three years minimum)

    Thanks for reading. Any advice is appreciated.

    submitted by /u/whitneyweeks
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    Beyond Meat predictions?

    Posted: 29 May 2019 02:00 PM PDT

    Beyond Meat (BYND) is currently trading at $98.43 and has been up 113% since its IPO on May 2. It's also been up 32% this past week. Is it time for a dump or do you guys think its stock will continue surging?

    submitted by /u/alex259f
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    YETI keep dropping or recover?

    Posted: 29 May 2019 01:42 PM PDT

    I have been watching yeti for a while and as soon as earning hit it dipped and I bought some. But then it never stopped dipping. Do you think it will recover or just cut losses and sell?

    submitted by /u/magenta3333
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    Can anyone who's good at DD tell me why $DXC has fallen so hard this year?

    Posted: 29 May 2019 01:41 PM PDT

    I see lots of positives like growing revenues, growing earnings, large institutional ownership, high PTs, but it's still down almost 50% since september 2018.

    I believe the stock is heavily undervalued right now. There is also a HUGE abnormal option activity on the 7/19 chain. Lots of 52.5 puts sold to open and 55 calls bought to open. Looks like someone with a lot of money is expecting this to rise but I feel like I caught a falling knife.

    Following the option activity I opened some 7/19 $55 calls and I bought some shares.

    submitted by /u/icantplay
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    Thoughts on the trade war and current and future impacts on the US market as a whole

    Posted: 29 May 2019 01:29 PM PDT

    Would love to hear the general public's thoughts and observations on the given issue at hand. How have your portfolios been affected? How do you feel the current state of the market has changed? What types of outcomes do you see coming out of our engagement with China in the near and long term? What kind of economic tolls might this take on the US and China and who do you see coming out on top?

    submitted by /u/Aschenia
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    How Was Goldman Able To Sell This Position Prior To Lock-Up Expiry?

    Posted: 29 May 2019 01:23 PM PDT

    Hi Guys,

    I'm looking into MOGU, whose lock-up period for insider shareholders is set to expire on 4-Jun-19.Goldman was an inside shareholder prior to their IPO (5-Dec-18), but on 31-Mar-19 they sold their position of 24,842 shares.

    How was this possible?

    P.S. If there is a better sub-reddit I should be asking this on, please do let me know.

    submitted by /u/StocksUnlocked
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    $NVTA

    Posted: 29 May 2019 09:04 AM PDT

    Possibly a good buy right now. Hoping $17 is the bottom

    submitted by /u/alpineballer420
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    Research on cognitive biases - survey

    Posted: 29 May 2019 06:17 AM PDT

    Dear Investors,

    I am a second year student of finance and accounting. I kindly ask you to fill in a short, pleasant insightful questionnaire concerning emotions and cognitive errors, which we deal with in investment processes. The survey is an important part of my project concerning behavioural aspects of the decision-making process.

    I apologise for any mistakes in language – I'm not an English native speaker.

    The survey is fully anonymous and contains 19 simple questions and a metric.

    The questionnaire takes a few minutes to complete.

    https://docs.google.com/forms/d/e/1FAIpQLSddHYlJPvEZKRahVHl1Eaa29Of2lHq6FATo2sQa_Idz7ewMww/viewform?vc=0&c=0&w=1

    Thank you very much for your help. I wish you great investment decisions.

    submitted by /u/jacobstaw
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    Diversify or average down?

    Posted: 29 May 2019 12:00 PM PDT

    I've been lurking for a couple months as I'm beginning to get into investing and this is my first ever post. My portfolio is tech heavy and I've been working on diversifying. I prefer to invest in companies that provide products I use or at least familiar with. For my next purchase I'm thinking $VOO, $SPY, or something in retail that isn't as exposed to the pending tariffs as much as a lot of tech. In general, should I be looking to average down on some of my more beat up stocks like $QCOM ($87 cost basis) or continuing to diversify with ETFs and different industries?

    Side note, I have ordered a couple books based on advice given on other posts. My current goal is to long most positions with intention of learning a lot more to become a more active trader. Any and all advice is welcome, thanks.

    submitted by /u/SkylineGTR33
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    Election and stocks (need advice)

    Posted: 29 May 2019 08:06 AM PDT

    Hey stocks people, this is my first post here

    I am a long term investor that always ignores market sentiment and invests in companies I believe in..

    However I have a gut feeling that the market is going to fall big time before the 2020 election. I suspect the powers that be want trump out of office and are capable of causing market panic and inducing a big sell off..

    I usually only hold 5% cash(risky I know but I'm young so fuck it). Should I trust my gut and increase this position to the 20-30% range? What are your opinions on stocks before the election?

    Thanks

    submitted by /u/BetterAngry_ThanSad
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    High yield dividend stocks - risky?

    Posted: 29 May 2019 11:29 AM PDT

    I'm looking at renewable energy companies and I'm wondering if this high yield environment is too good to be true:

    PEGI 7.68

    AY 7.16

    BEP 6.38

    TERP 5.81

    CWEN 5.14
    NEP 4.22

    Those are yields (%) on tickers I'm looking at. Is this a good set of stocks as it seems like to me or am I missing something?

    submitted by /u/ishkabum
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