Stock Market - Is the airline industries rebound a fair reason to stop taking Buffet’s word as gospel? |
- Is the airline industries rebound a fair reason to stop taking Buffet’s word as gospel?
- $BETZ potential to explode
- Be fearful when others are greedy. Are retail investors creating a bubble?
- BETZ Options and Dividend Information
- RAPT Therapeutics - the perfect catch-up trade
- Significant Insider Trading Activity (Last 7 Days)
- What do you guys think about $CLSK
- Italian trader loses his ‘entire life savings’ on one insanely risky position
- Hedge funds brace for second stock market plunge
- Gains To Continue or False Hope������
- Fidelity App
- Anyone has any thoughts about the thermal scanning systems company $MARK
- Best place to get feedback?
- Do you have anyone keeping you accountable?
- Charges on my trade
- POET Technologies (TSX Venture: PTK; OTCQX: POETF)
- Are there relatively safe growth plays these days?
- Significant Activist Hedge Fund Activity (Last 7 Days)
- What is the best way to allocate portfolio between QQQ, S&P 500 index,and individual stocks?
- Secretary of State calls for stock exchanges to step up oversight of Chinese companies listed in the US
- A little advice
- Thought I would ask this sub as well!
- What I’m feeling.
- SMAR: Smartsheet is a surprising value play.
| Is the airline industries rebound a fair reason to stop taking Buffet’s word as gospel? Posted: 04 Jun 2020 01:19 PM PDT Hi all. Yes. I am one of the goons that sold all of their shares in airlines due to the Buffet effect. Still at a short term glance, it seems the airlines are starting to get back their very much needed summer air travel sales. And I can't help but get FOMO with all the returns I would've seen if I would've simply held on to my LUV shares. Full disclosure - I was taught when I first started out with investing to NEVER try out outsmart the gurus. If they sell a lot of their shares at once, it usually means they know something you don't. Considering they have financial advisors and investigators when most small investors only have their eyes to go off of. It may be too early to tell, but is it time to stop analyzing every single move Buffet makes? If I would've just stuck to my guns I likely would have had very healthy returns on my airline investment. I just felt forced to sell at the time since Buffet's portfolio has such a huge effect on the market. Thoughts? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 01:03 PM PDT BETZ is an ETF that holds primarily gambling and casino stocks that released today. Las Vegas has opened up and will see large traffic in the coming months. Flights are starting to return. I think nows a good time to get in. What are your thoughts? Edit: Went up ~6% since posting. Hop in boys. Edit: Now 10% [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Be fearful when others are greedy. Are retail investors creating a bubble? Posted: 03 Jun 2020 09:53 PM PDT Undoubtedly we have unprecedented liquidity in the market and there are few realistic alternatives for money to go right now. That said, I believe are now going past this cash injection into bubble territory. driven by retail investors. If you are long term DCA'ing and holding quality stocks then you can ignore this post. keep up the disciplined approach. However, if you are piling into cheap stock for the sake of them being below their ATH's you might want to show some caution. I think sooner or later you will get badly burnt. Retail investors are now in a euphoric state. The sentiment is the fed has their back, the markets can only go up. Nothing can go wrong. There is no risk. Rip up the rule book A classic example is 60,000 Robin hood account recently buying stock in Hertz after it filed for bankruptcy, just because it is cheap, to me this is a big red flag. Here are Robin hoods top 10 holdings. There is some are quality, but I would argue 3 to 4 could still file for bankruptcy this year. Despite all the negative news, The fear greed indicator is now in greed territory. Everyone is at home with time on their hands and a trading terminal in their pocket. This is fueling the fire and pushing the market up and up. This is not to say that it cannot continue higher from here, that's what bubbles do, they expand, sucking, even more, suckers in. If there is not a major news catalyst this may even drive us back to ATH's. But the further the market loses touch with reality the more violent correction we are instore for and a lot of first-time investors will lose a ton of cash. Happy investing. Be careful out there and don't get complacent. Edit: This was meant to read 3-4 companies not 3/4. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| BETZ Options and Dividend Information Posted: 04 Jun 2020 04:42 PM PDT I like many others jumped in early on BETZ when it launched. I was disappointed to see that there were no options. After reading through their prospectus I had a few questions if they would eventually get an options chain and dividends as it seemed to imply they would. I reached out to Roundhill investments and they promptly got back to me. I wanted to put this here in case others had the same question. I think both of these potentials make it an even more attractive ETF. Email Response..... Hi Zac, Thanks for reaching out! Regarding BETZ options, we have received significant interest and have already reached out to one of the options exchange about a potential listing. Ultimately it will be up to the exchange and market makers, but we will hopefully hear soon. As with NERD, BETZ plans to pay an annual dividend, if applicable. The amount, if any, will be dictated by the dividends received from the underlying positions. Regards, Will [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RAPT Therapeutics - the perfect catch-up trade Posted: 04 Jun 2020 07:41 PM PDT I bought a full position this week at $19.50. A few key reasons I'm bullish: 1) RAPT is down 65% from its highs in January and is it not directly impacted by covid. 2) It has begun to pick up momentum since the beginning of May which is likely to continue with multiple near - and medium - term catalysts. 3) Analyst absolutely love this stock. Currently, 6 buy ratings and 0 sells. The consensus target is $37.83 meaning there is 100% of potential upside. https://www.marketbeat.com/stocks/NASDAQ/RAPT/price-target/ H.C. Wainwright initiated coverage this week with a buy and a $40 target stating that "the company has hit upon a novel way to address immune system dysregulation in both allergic disorders and cancer, Selvaraju tells investors in a research note." RAPT has flown under the radar in recent months. With many other stocks reaching overvalued levels I believe RAPT will outperform going forward irrespective of the performance of the overall market. I'm curious if anyone else has an opinion on this stock? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Significant Insider Trading Activity (Last 7 Days) Posted: 04 Jun 2020 05:18 PM PDT This is a list of the top 20 companies that experienced the largest change in insider shares in the last seven (7) days. The SEC defines an insider as any officer, director or 10% shareholder. It is not illegal for these people to buy or sell their own shares. In fact, since most of them get paid in stock options, it is expected. However, it is illegal for them to trade on inside information that has not been made public. So for example if there are drug trial results that are bad and not public, insiders cannot dump shares. That said, many people have observed that insiders - in general - seem to have a good track record at timing their purchases. All trades that are marked as part of a 10b5 plan are excluded from this report. Largest Insider Buying (Last 7 Days)Largest Insider Selling (Last 7 Days)
Count column is number of transactions. Source: Fintel.io/insiders [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| What do you guys think about $CLSK Posted: 04 Jun 2020 02:05 PM PDT They said they had a formal agreement with Tesla a while ago and I though it was going to blow up but it didn't. They announced some new news today and the stock went up 6% today. I just wanted to know what you guys thought about this. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Italian trader loses his ‘entire life savings’ on one insanely risky position Posted: 04 Jun 2020 06:34 PM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Hedge funds brace for second stock market plunge Posted: 04 Jun 2020 06:09 AM PDT It's not over yet🌈🐻 Managers say asset prices have become too detached from bleak fundamentals Hedge funds are getting ready for another slump in stock markets after growing uneasy that surging prices do not reflect the economic problems ahead. Some managers fear that equity investors, used to buying the dips during the decade-long bull market that ended in March's sharp sell-off, have become too complacent about how quickly economies can recover from the coronavirus crisis and how effective stimulus packages from central banks and governments can be. The S&P 500 index completed its best 50-day run in history on Wednesday, according to LPL Financial, closing within 8 per cent of its record high of mid-February. "The markets are priced to perfection," said Danny Yong, founding partner at hedge fund Dymon Asia Capital in Singapore. "The stability in equity markets does not reflect the job losses and the insolvencies ahead of us globally." Mr Yong has been buying put options — which protect against market falls by allowing their owner to sell at a pre-determined price — on stock indices and also on currencies sensitive to risk appetite such as the Australian dollar and the Korean won. "I believe we will see new lows in global equity markets later this year," he added. "As March . . . has shown us, prices cannot diverge from fundamentals for too long." Other hedge fund managers have expressed concerns about the sharp rebound in stocks from the March lows. Stanley Druckenmiller, a protégé of George Soros who stepped back from managing outside money a decade ago, recently said he expected a wave of bankruptcies and that a V-shaped economic recovery was a "fantasy". Paul Singer's Elliott Management, which has $40bn in assets, wrote in its most recent letter to investors that since the impact of the economic downturn is greater than that of the 2008 financial crisis, "our gut tells us that a 50 per cent or deeper decline from the February top might be the ultimate path of global stock markets". The fund made money during the first-quarter crash from hedges in stocks and credit, and said it was trying to find new ways of protecting itself against another market fall after some hedges became more expensive. Despite a slew of bleak economic data — including more than 40m Americans filing for unemployment benefits and an expected record contraction in the eurozone economy in the second quarter — the S&P 500 has surged almost 40 per cent since its trough in March, leaving it down just 3 per cent for the year. The index is now trading at more than 22 times expected earnings for the next 12 months, according to FactSet figures, taking the common valuation measure back to levels not seen since the early 2000s. Mr Yong believes investors could soon discover that the so-called "Fed put" — the concept that the central bank will step in to support markets — may be reaching its limits. "Some people believe the Fed's unconventional measures are limitless but this is not the case," he said. "It's now about the "Trump Put" — how much more stimulus can he push through? I think he [US President Donald Trump] will be constrained by Democrats in the House." Morgan Stanley said in a recent note that its hedge-fund clients hold a net short position of around $40bn in Euro Stoxx 50 futures. Global macro hedge funds have sharply reduced their exposures to stocks this year, according to JPMorgan Cazenove. "It is entirely possible that there will be a fourth quarter reckoning, where a second wave of job losses and a prolonged period of business failures tests equity sentiment," said Seema Shah, chief strategist at Principal Global Investors. Francesco Filia, head of London-based hedge fund Fasanara Capital, is holding 70 per cent of his fund in cash and also using put options and other instruments to hedge his portfolio while he waits for a "severe rupture" in markets. He sees threats in the trend towards "deglobalisation," which could drive inflation higher, and growing political interference in the technology sector, which could hurt shareholder returns. He expects a potential "2008-style . . . daily liquidity crisis" as investors try to pull money from exchange traded funds that may not be able to meet those redemptions. However, many fund managers are reluctant to bet outright against stocks in the face of stimulus efforts from the Federal Reserve and European Central Bank, both of which have argued they have firepower in reserve. The market hitting new lows "is possible," said Tom Clarke, who has a low exposure to stocks at a macro fund at William Blair in London. But he added that government and central bank stimulus packages have "taken on almost mythical proportions. There's no doubt in which direction policymakers want markets to go [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gains To Continue or False Hope������ Posted: 04 Jun 2020 03:36 PM PDT With the market nearing back to where it was prior to the pandemic lockdowns in February, it has to be asked if this market rebound is justified. Unemployment remains very high, many retailers are worried they will not be able to remain in business through the remainder of the year. Hospitality and travel related companies are also still struggling to manage even with business returning. Second quarter earnings and GDP could help fuel this market to new heights or point to more many to come. Either way it might be wise to prepare for more volatility. S&P 500 snaps 4-day winning streak, Nasdaq-100 touches record before retreating https://www.cnbc.com/2020/06/03/stock-market-futures-open-to-close-news.html?__source=iosappshare%7Ccom.apple.UIKit.activity.CopyToPasteboard [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 12:15 PM PDT Does anyone use the fidelity app? I keep trying to enable real time quotes but when I tap the banner nothing happens. Do I need a certain type of account for this? Sorry if this is sort of unrelated, but I'm getting annoyed with this. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Anyone has any thoughts about the thermal scanning systems company $MARK Posted: 04 Jun 2020 12:43 PM PDT $MARK supposedly acquired a deal with MGM resorts, Caesars, and BOYD gaming for their COVID thermal scanning systems and health check. But how much to trust them? Is it worth betting money on? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 07:32 PM PDT Ive got about $80k in various stocks and ETFs - I generally feel good about my long term holds, but I have been hoping to get some feedback/advice on my portfolio. Are there any dedicated places for that sort of thing? My portfolio: -BTC 11% -VTI 22% - avg of $152 -MSFT 11% - avg of $155 -V 11% - avg of $167 -GOOG 6% - avg of $1313 -DIS 7% - avg of $95 -JPM 3% - avg of $100 -SQ 5% - avg of $47 -AMD 6% - avg of $46 -DKNG 3% - avg of $29 -JNJ 3% - avg of $148 -SBUX 3% - avg of $75 -TSLA 0.5% - avg of $590 -XOM 3% - avg of $42 -The rest is in one penny stock/other cryptocurrencies [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Do you have anyone keeping you accountable? Posted: 04 Jun 2020 06:59 PM PDT I've been trading for 3 years using a momentum strategy. It's taken 3 years of giant losses, tons of frustration, lots of experimentation, and countless hours un-learning bad psychological habits to become consistently profitable. Now that I am (and I AM profitable), I've decided to find ways to continue challenging myself. It's my belief that the people you surround yourself with is one of the greatest factors for creating success in any endeavor. As I venture out to master new strategies I want to surround myself with like-minded traders. Here is what I am looking for:
My goal is to trade my way to financial freedom (quitting my job as a waiter, traveling/trading all over the world, affording things that make my life more comfortable). I am not selling anything and I am not offering to teach the strategy mentioned above to anyone. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 06:38 PM PDT CFD charge help? Hi, so I bought a stock recently with Sasol(SSL) i initially deposited £1800 on trading212 and using cfd I bought 1135 at $6.69 it is currently at $8 and I am making a profit of 1.1k (enough of the bragging) unlike trading 212 invest the cfd version charges a daily interest rate know as SWAP when I go to see how much I am charged it says "For your open positions Trading 212 will credit or debit your account on a daily basis with an interest SWAP" And this is the swap rate for the stock I have it gives me this screen https://imgur.com/a/kgNIle8 Could someone tell me how much they are charging me and is it worth me holding the stock for much longer I initially planned to keep it for a month or 2 By my guess they are charging me 0.001911% per day So my fee would be the total value of my trade x 0.001911 [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| POET Technologies (TSX Venture: PTK; OTCQX: POETF) Posted: 04 Jun 2020 05:45 AM PDT I thought I would make more investors aware of this little company that has the potential to make big waves in tech soon. I own a boatload so this post is to share what I believe in but also comes with some self serving as it would be great to have more bids out there. The stock has been bumping up to its annual high and I think a break out could send it much higher. What do they do? They are the designer and developer of the POET Optical Interposer and Photonic Integrated Circuits (PICs) for the data center and tele-communication markets. Where do I receive my DD: https://agoracom.com/ir/POETTechnologies/forums/discussion This forum has been going to 10 years. They have many many patents for tech that will bring 5G and faster data transfer a reality. Their time is soon. Silicon has its limits, their tech doesn't. I wish all best of luck, this bitch is about to blow imho. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Are there relatively safe growth plays these days? Posted: 04 Jun 2020 10:01 AM PDT I can't help but question the validity of the current market with the Fed pumping it up and record unemployment and civil unrest. It's safe to say I have a lack of trust and/or faith. I feel like I missed the big run up from end of March to now. Do I have FOMO? Sure. But I'm also not willing to chase and jump in, just in time for the second drop. I'm sitting on plenty of cash that I would love to see grow instead of just sit there. Are there safe growth plays to be had right now? Or please encourage me to just keep sitting on the cash and wait for the right moment. Not that I'll know it when I see it... What moment are you waiting for? ETA: I also heard somewhere that institutional investors are saying there's going to be another crash but retail investors think it's going to be fine so their the ones driving it up. Wait until institutional investors are all bullish again? Or are they just cya just in case there is a second dump? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Significant Activist Hedge Fund Activity (Last 7 Days) Posted: 04 Jun 2020 05:19 PM PDT These are the latest Schedule 13D forms filed by activist investors in the last 7 days. Activist investors are investors that make an investment with the intention of influencing management in some way. There is evidence that following activist investors into investments can generate excess returns. Schedule 13G forms, in contrast, are filed by significant investors with no intention of influencing management (such as Index funds). There is always a lot of interest in insider trades, but what a lot of people probably don't realize is that hedge fund activity is probably more predictive of future returns than insider activity. The reason is that hedge funds (a) have large research budgets, and (b) have a choice where to put their money. In contract, insiders have no choice where to put their money, but only when to time their transactions. New FilingsThis table lists new 13D filings in the last week. A new filing does not necessarily indicate a new position, as investors frequently accumulate in advance before reaching the filing threshold. Amended FilingsThis table lists amended filings in the last week, and is useful for monitoring changes in existing investments or when a fund closes a position. I have eliminated all filings with less than a 5% change in ownership. Source: Fintel.io/activists [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| What is the best way to allocate portfolio between QQQ, S&P 500 index,and individual stocks? Posted: 04 Jun 2020 04:33 PM PDT What is the best portfolio allocation between QQQ, S&P 500 index, and individual stocks? I was thinking: 50% - S&P 500 index (VFIAX) 25% - QQQ 25% - individual stocks (NVDA, SHOP, FB, DIS, etc....) Do you guys think this is good portfolio allocation strategy? Or how do you guys think I should allocate to be the most profitable? (Btw, i am long-term investor and I am young) Thank you! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 03:42 PM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 03:23 PM PDT I'm new to the stock market though I've dabbled the last few years lightly. With covid affecting the market hard and alot of other factors I've researched different options in medical and in hygienic product producers. My history with stocks is oil related. So I am familiar with a stock that was 1000$ a share roughly for a long time. A little over three months ago it dropped from 1000 to roughly $10 in a short time and I have faith it will continue to produce as an oil company. So my faith in the idea that buying say 1000$ in shares at its current 13$ it may one day be worth 100$ a share again at the least. With volatility and fear of loss I see high returns but I've never had much success in the past. What do the truly successful do? Does anyone make something out of nothing in the stock market in these situations? I basically want a little rubber arm twisting to happen to me here if anyone thinks it's a good idea (I'm leaving the specifics to which handle I'm talking about for now juat to get some honest truths. But I will share that information a little later. Tbh if its a good buy and I can turn 1000$ into $10000 within a year or two, I'd be super stoked if anyone who may have overseen this post did the same if not better. I'm not the guy who wants to keep his portfolio secret [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Thought I would ask this sub as well! Posted: 04 Jun 2020 03:12 PM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 04 Jun 2020 03:03 PM PDT Based on recovery potential. Own half and buying more/the rest at first lull. PLAY, ANAT, BUD, CCL, NCLH, ERI, PK, APHA. Apparently the above is too low effort. So, I'll ask the (obvious) question: "What do you guys think?" Any others that have a huge Corona dip left to recover? I'm also eyeballing MIK, not too much room left after recent bump, and they were super shaky post-Corona, but I had/have a feeling. Broker said pass and here we are +84% later, ugh! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SMAR: Smartsheet is a surprising value play. Posted: 04 Jun 2020 09:05 AM PDT Description: Unique Insight: Despite being a cash burning company (FCF negative), Smartsheet has been unfairly punished after earnings release and is thus a value play. Description: Smartsheet has collapsed over 20% after releasing earnings due to missing billings expectations and withdrawing guidance for the year. However, Smartsheet now represents excellent value given that revenue grew 52% YoY. The concern that Smartsheet missed on billings does not justify the huge loss in price, especially since the CEO and CFO confirmed during the earnings call that this is due to Smartsheet working with customers to change to a quarterly or flexible billing schedule given the uncertainty surrounding the COVID situation. Overall, COVID presents a tough situation for their SMB (small and medium business) segments and industries such as retail with churn at a higher rate than usual. In addition, many companies are holding off on products like Smartsheet until the uncertainty surrounding COVID clears up. Still, even with these headwinds Smartsheet believes that COVID has benefited Smartsheet in raising awareness about the need for such a platform and the benefits of using a collaboration software system, especially in times like this. They affirmed during the earnings call that key metrics such as monthly trials and the pipeline generated by sales teams remains strong, especially with the predicted shift to online work and work from home. Thus, the underlying demand and necessity for Smartsheet's product remains there. That is, if you can stomach a company operating at a loss as "value." Or maybe I'm just out of my mind. Thoughts? Read more about the earnings call here : https://investors.smartsheet.com/events-and-presentations/events-calendar/default.aspx [link] [comments]  |
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