Stop looking for advice Investing |
- Stop looking for advice
- Unpopular opinion: You can do better than professional investors investing in individual stocks
- Airbnb Analysis SEC filing Deep-Dive
- Do you need inspiration to not lock in profits?
- Who is buying Disney stock? Retail investors, or something more?
- Need help understanding options
- BlackBerry IVY Products out already...
- Will (KO) "Coca-Cola Co" be good to hedge inflation.
- Kodak $765M Federal Loan Process Involved No Wrongdoing, DFC Concludes
- Where are the ESG funds that live up to the name? Is big tech ESG or did I miss something?
- Can someone explain Palantir hype to me?
- How I got Scammed during Covid
- How did you get started with index funds? (Share your story!)
- What is there to stop CEOs with majority voting power from issuing themselves new stock to enrich themselves while diluting other stockholders?
- how to make money of the gaming industry
- Different titles for companies?
- What should I use
- Fidelity Equivalent in Japan?
- STEM AI-based energy storage solutions ($STPK)
- Ozon: the "Amazon of Russia"
- Best way for retail investors to participate in IPO
- DCA: How many years?
- Tesla - S&P500 - any down sides?
| Posted: 06 Dec 2020 03:31 PM PST In 1997 there was a study conducted by Duke University[1], that if you followed the recommendation of the best 10% of all market-timing newsletters, you would have earned a 12.6% annualized return from 1991 through 1995. But if you ignored them and just held your positions, you would have earned 16.4%. It's worth adding that the operation costs weren't included in that equation, as well as capital gain taxes. My biggest problem when it comes to investing is trying to find that one gold advice, that would help me make 500% returns. On Reddit there's plenty of TSLA yay and nay sayers, AMZN fanatics and opponents, AAPL fan boys and haters who will try to convince everyone around why their opinion is the most valid and accurate. Fuck 'em. Do your own research. Look at the company earning reports. Look at the political climate and try to deduce how the company may react to it. Commit and don't look back. Sure, it's good to see what's new once in a while, learn what other people think. But basing your financial moves on other people, even if it's Warren Buffet will make you lose money in the long term. [1] "Grading the performance of market-timing newsletters" by John R. Graham and Campbell R. Harvey [link] [comments]  |
| Unpopular opinion: You can do better than professional investors investing in individual stocks Posted: 07 Dec 2020 02:17 AM PST Here's a quote from a recent discussion:
Now, that comment is right - a few minutes of research won't do it. However, I think it's a bit of a strawman - I believe people who invest in individual stocks obsess about them way more than just looking at the summary page on yahoo finance for a moment (and those that don't get failed out of the market). Regardless, there is this general notion that you don't have a chance against institutional investors no matter what you do. I want to express a contrarian opinion here. Institutional investors can't invest like you can:- they can't just allocate 5% of their portfolio to a new target they've researched last week. There is never enough volume on the market for that (go try buying a $500M stake in ZS) - it's even worse on the options market - the volume of options is so low that buying or selling them is a major PITA for institutional investors - they can't just sell reasonable fractions of their portfolios either. Even 1% of a trillion dollars under management can be hard to move - they can't hold a reasonable cash reserve. You want to keep 15% of your assets in cash just because you think the market is a overvalued right now? It's extremely expensive for institutions to do that. In fact 15% cash is completely out of question for them - they have to juggle "highly liquid assets" around instead worrying they may become less liquid than expected... - they report to their investors and may be forced to do inefficient decisions based on that - they can't focus only on the long term Those are all disadvantages an institutional investor has over an individual. They do have a couple of advantages as well: - they can take over whole companies - it's typically for a higher-than-market stock price when taking over a publicly traded company and it doesn't guarantee good returns, but it's definitely something you cannot do. - they can buy privately owned companies - some of the most lucrative deals Buffett did were in private business (this does not affect you as an individual investor though) - they can have a talk with the company's management - with a commanding stake at the company, the C-suit is bound to listen to them. This may not always be a good thing though - stupid short-term thinking has been forced by shareholders onto companies quite often. - they can optimize taxes better - they get access to specialized areas of investing not available to individuals - like IPO underwriting which is typically quite lucrative or high frequency trading which is extremely technical but generates steady gains etc. What do the highly skilled professionals do most of the time?This might be surprising to you but most analysts in large institutions don't analyze individual stocks. Large institutions have to look at capital markets as a whole and then spend most of the time a) analyzing risks - the risks in their current holdings (because risks change over time), the current risks in the different areas of capital markets and potential future risks that may be coming up both in their holdings and on the market b) formulating strategy - they're steering a huge ship and there's icebergs around (the risks) - they have to define their moves and start steering way ahead of an imminent danger. So once they've identified the risk distribution they have to decide on feasible ways of action. c) executing strategy - here are the non-trivial tasks of managing your liquid assets, buying significant stakes in large companies (ever wonder how you could buy 5% of MSFT if they only trade under 1% of float daily?), negotiating take-overs etc. I am not saying that they big institutions don't analyze and invest in smaller companies but when they do, it needs to fit their risk strategy and they can only shoot with their huge capital cannons at them. Like Buffett had to decide whether to invest half a billion in Snowflake or whether to invest nothing (half a bil. is still just 0.1% of Buffett's company). And while doing that he/his team had to consider the risk distribution of his holdings and how an investment like SNOW will change in that. What can you do better than the pro's?- You can watch the companies in your portfolio/watchlist way more closely and manage your portfolio more carefully. Know the company's plan, watch how it executes that plan, you can reallocate money from worse executing to better executing companies easily. - have a cash buffer - it comes handy in weird market swings - You can learn to make money trading options. This requires additional dedication but you can get a steady income stream from options if you don't use them for gambling. - specialize on a specific market - you may still hedge your bets, but you can gain a significant advantage if you understand a specific market well - focus on the long term - you don't need to abandon companies after a quarter or two of subpar results as long as their market plan still holds water in fact, you can buy more shares for a discount (some of my most lucrative buys were after well publicized but bogus short thesis on some compenies) What can you do like the pro's?While you won't ever be able to underwrite an IPO or offshore your taxes like the big guys do, you can: - find somebody to discuss your investments/potential investments with. It has to be a specific person (or a couple of them) that you can trust and where you know how they tick. Bringing additional points of view or even going through explaining your thesis to somebody can make wonders for your gains. It doesn't work with anonymous, ever changing internet coments that well though - people tend to pull stuff out of their asses. - be mindful of the risks in your portfolio and learn to hedge - understand larger capital markets and how they may influence your portfolio (i.e. my portfolio would be overvalued by traditional measures and I should sell it - but I understand that it's because large investors lost opportunities in other capital markets and are forced to jack up stock prices) [link] [comments]  |
| Airbnb Analysis SEC filing Deep-Dive Posted: 06 Dec 2020 08:02 PM PST ABNB Airbnb (ABNB) is a hospitality company focused on disrupting the hotel and travel industry with apartment and house rentals with(out) a host. ABNB has grown since its inception in 2007, "We have experienced rapid growth since our founding. In 2019, we generated Gross Booking Value ("GBV") of $38.0 billion, representing growth of 29% from $29.4 billion in 2018, and revenue of $4.8 billion, representing growth of 32% from $3.7 billion in 2018.". Now despite taking losses with COVID-19 affecting the two industries they are focused in, they show great prospect with "Experiences", financial statements from prior fiscal years, and an expansive market when quarantine restrictions loosen. - ABNB has great growth internationally, allowing them to prosper in other countries when the U.S. may not be doing well economically or otherwise. "As of September 30, 2020, we had over 4 million hosts around the world, with 86% of hosts located outside of the United States." Having 14% of hosts inside the U.S. allows for a possible increase in the U.S. Market, but also shows ABNB's resilience with having the majority of hosts international and available when certain countries may experience political issues or economic crises. ABNB may seem questionable from an American view, but their structure of maintaining security and building trust with guests and hosts is a centerpoint to ABNB's success. "Our host protections include property damage protection and liability coverage. In addition, our trust and safety initiatives include risk scoring, watchlist and background checks, fraud and scam prevention, secure messaging, secure payments, and minimum age requirements." ABNB must be able to maintain this trust, which can easily shift with the media and lawsuits they are battling at the moment as mentioned further in their IPO under Risk Factors. The risk that actions taken by the hosts, guests, or a third-party involving crime or vice can undermine the reputation of ABNB should be a reminder that ABNB can be fragile and is built around trust, not results. ABNB addresses their possible market, saying, "We have a substantial market opportunity in the growing travel market and experience economy. We estimate our serviceable addressable market ("SAM") today to be $1.5 trillion, including $1.2 trillion for short-term stays and $239 billion for experiences. We estimate our total addressable market ("TAM") to be $3.4 trillion, including $1.8 trillion for short-term stays, $210 billion for long-term stays, and $1.4 trillion for experiences." This is a large market for long-term growth that they can capitalize on once a vaccine for COVID-19 is approved and distributed, catalyzing travel and hospitality. Acknowledgement of competition is very thorough, noting not only ABNB's competitors in the travel industry, but the hospitality industry as well. Various competing agencies along with their properties can significantly impact the success of Airbnb, depending on who attracts more guests in the long term."Online travel agencies ("OTAs"), such as Booking Holdings (including the brands Booking.com, KAYAK, Priceline.com, and Agoda.com); Expedia Group (including the brands Expedia, Vrbo, HomeAway, Hotels.com, Orbitz, and Travelocity); Trip.com Group (including the brands Ctrip.com, Trip.com, Qunar, Tongcheng-eLong, and SkyScanner); Meituan Dianping; Fliggy (a subsidiary of Alibaba) Despegar; MakeMyTrip; and other regional OTAs;" The Chinese market is also noted as major competition. Despite the majority of revenue and earnings from EMEA (Europe, Middle East, and Africa), the Chinese market is one that could have positive benefits for ABNB's reach on the global scale. More competition includes the hospitality sector with "Hotel chains, such as Marriott, Hilton, Accor, Wyndham, InterContinental, OYO, and Huazhu, as well as boutique hotel chains and independent hotels; Chinese short-term rental competitors, such as Tujia, Meituan B&B, and Xiaozhu; and Online platforms offering experiences, such as Viator, GetYourGuide, Klook, Traveloka, and KKDay." ABNB is battling two different fronts and it can be important to consider their role and presence in both. Hurting the hospitality sector and negatively impact their travel sector as well. Another significant risk factor noted was natural disasters. Homes that are affected by natural disasters can decrease the supply of hosts available in various countries. This decrease in supply can leave ABNB struggling to retain guests and can negatively affect revenue. In conjunction with ABNB's international reach, they noted that their revenues could be negatively affected by foreign exchange rates. "For the year ended December 31, 2019 and the nine months ended September 30, 2020, approximately 60% and 50% of our revenue, respectively, was denominated in currencies other than U.S. dollars. Our results of operations could also be negatively impacted by a strengthening of the U.S. dollar as a large portion of our costs are U.S. dollar-denominated." The strengthening of the U.S. Dollar can harm their profits and could create financial difficulties in the future. Supply and Demand are both important when considering a company's product. Looking at consumer demand, we see an increase even during the pandemic with "Approximately 76% of active listings had been booked in the twelve months ended September 30, 2020 and 90% had been booked in the 24-month period ended September 30, 2020." ABNB has a growing niche for hosting and we can expect this demand to grow after the pandemic as well as more people begin to travel abroad again and may not consider a public hotel. Experiences were briefly mentioned, ABNB hosting experiences including cooking lessons, virtual activities, and virtual animal visits. There is minimal data and research on Experiences' growth and valuation, but could be seen as a giant gap to purchase another company or grow. Financial Summary: Key Takeaways: We have seen aggressive growth in product development over the past three years and then averaging around $690 million. Sales and marketing have also increased with over $1 billion, increasing their range of guests and hosts. Although we did see a dropoff in this expense, part of the decrease can be accounted for by the effects of COVID-19. Looking at Total Cost and Expenses, the largest sum was in 2019. ABNB's filing for 2020 Nine Months Ended September 30 shows a decrease in these expenses. This can be because of a decrease in demand so a decrease in spending, but also shows that they are able to handle debt and can cut down on these expenses if necessary. Key Takeaways: Total assets are greater than total liabilities. However, we have seen a spike in liabilities in the last column, an increase of about $1 billion. Working capital is hovering between $1 and $2 billion. Cash and other equivalents are stronger from prior years, increasing cash in the final column, showing budget cuts ABNB has made to survive the pandemic. The increase in Bookings year over year shows the growth of the industry and the potential it has to offer, increasing dramatically since 2015 and maintaining this solid growth. The increase in free cash flow also supports this growing company. We do see a sharp decline in cash flow during 2019, but note that expenses also increased that year in the financial statement. Despite the decrease in both domestic and international travel, domestic travel has rebounded significantly, showing the flexibility ABNB offers even during difficult housing times. Most bookings are under 1 month; however, there are consistent bookings of more than 1 month stays, asking the question, is there a more viable option to rent long-term in a different area? [link] [comments]  |
| Do you need inspiration to not lock in profits? Posted: 06 Dec 2020 08:15 PM PST Look at investment threads from 4 or 5 years ago. One of the questions asked was: Best investment you have ever made in your lifetime? and what was it? ? Here was some of the most painful responses: 1)" AMD. Bought A LOT @ $1.90, sold them all @ $7. Made a lot of money to reinvest. Wonder if it was the right move. I'll wait for Zen to come out and see if it gets higher than that. " return received- 368%, potential return 4952% Current price AMD $94.04 2)" Bought 100 shares of AAPL in '08 pre-split at about $90 a share. Just sold 700 shares at $117.1" return received- 900% potential return 3785% apple stock price today 122 (after 7-1 and 4-1 split) 3)"Ethereum and then Augur. Actually the day I converted them both to real money. That was the fuckn best" -posted 2016 assume they sold around 2015-2016 rough return after 2016--Ether-5000% Augur 800% 4) "I decided to spent literally all of my money in TSLA the first day they came public. Sold them at $150. " return recieved-785% potential returns 15,706% Tesla stock price today $600 (after 5-1) There may be things that come up in life; family emergency, purchasing a house, starting a family that may require you to dip into your holdings. But for the most part, whenever you think of selling an investment, think back to why you bought it in the first place; The wonderful future that the company has, the potential growth in that industry. Mabey, you bought tec stocks during March and want to cash in your winnings, or you want to lock in profits after some great triple-digit returns the past few years. I hope these comments from Redditors in 2016 help you reconsider. Don't let CNBC tell what's overvalued and what's not. It's always best to have a long-term outlook for investing. And no, you didn't miss out on the tech boom because it's still here, and it's not going anywhere. In 2020 57% of people in the world have access to the internet. That means billions of new users and customers are being added to companies within the next few years. Anyone with a brokerage account has the ability to make 3, 4, even 5 digit returns in the next few years. All you need is a keen eye for emerging markets, a high-risk tolerance, a stomach for volatility, and most importantly, patience. And Don't forget Warren Buffet's advice - "When it's raining gold, reach for a bucket, not a thimble." [link] [comments]  |
| Who is buying Disney stock? Retail investors, or something more? Posted: 06 Dec 2020 08:42 AM PST Over the past month, Disney's stock has increased over 20% and reaching a new all-time high. Obviously, we've had plenty of vaccine news, but my question is who are the buyers here? Are retail investors piling in supposing on a 2021 recovery, or is someone sneakily eyeing a total buyout? Is there any merit to the buyout theory? [link] [comments]  |
| Need help understanding options Posted: 07 Dec 2020 12:03 AM PST Hey guys, new investor here. I am using saxo broker. I would like to start trading options but have limited knowledge on the matter. Was hoping you guys could shed some light for me. My doubts are as follows:
EDIT: Thanks guys, just want to clarify I will not go into options for now. I just want to learn more about it. Thank you! [link] [comments]  |
| BlackBerry IVY Products out already... Posted: 06 Dec 2020 05:04 PM PST BlackBerry IVY Products out already... The Software-Defined Vehicle Virtualize your Synthetic Sensor with JamaicaVM. [link] [comments]  |
| Will (KO) "Coca-Cola Co" be good to hedge inflation. Posted: 06 Dec 2020 09:23 PM PST A large chunk of my investments are in KO and I was wondering if KO will be a good investment since i believe massive inflation will be coming to consumer products since the FED is printing so much money and a possibility of another stimulus. KO is a global company with a ton of brand recognition that pays a 3% dividend. Will investing in KO be good if inflation occurs or will it be better to sell and invest in other assets such as gold or gold mining stocks? [link] [comments]  |
| Kodak $765M Federal Loan Process Involved No Wrongdoing, DFC Concludes Posted: 06 Dec 2020 09:20 PM PST There was no wrongdoing involved in the process of Eastman Kodak Company (NYSE:KODK) receiving a $765 million federal loan for its pharmaceuticals foray, the U.S. International Development Finance Corp. has reportedly concluded. What Happened: The DFC is the federal agency that originally granted the loan. As per the Wall Street Journal, the DFC Inspector General Anthony Zakel reported his findings to Senator Elizabeth Warren (D-Mass.) last week. Zakel told Warren, who has been among the most vocal critic of what she earlier referred to as a "massive fiasco of a deal," that the DFC in its review found no conflict of interest for the employees of the federal agency in the deal and that there is no "evidence of misconduct on the part of DFC officials." The loan was sanctioned at the behest of President Donald Trump in July this year. The U.S. Securities and Exchange Commission has also been reportedly probing the events surrounding around the loan, including allegations of potential insider trading violations. A DFC spokesperson told the Journal, "the record is abundantly clear and the independent IG review confirms that DFC followed its standard process, under its standard timeline, driven by career finance professionals." Why Does It Matter: It isn't immediately clear if DFC will go forward with the loan. One of Warren's aide claimed that Zakel's assessment didn't look into potential ties between the White House and other related parties with a political background. The associate also raised certain questions about the DFC's procedures. Zakel said the DFC limited the probe internally and "did not review conduct by Kodak or non-DFC personnel." Kodak shares have seen immense volatility since the announcement of the loan in July. Grant of stock options to Kodak Chairman and CEO Jim Continenza a day before the loan was announced, along with his purchase of a significant amount of shares in the company ahead of the loan raised eyebrows. An independent committee appointed by Kodak board in September concluded there was no violation of the law on part of the Rochester-based photography company but it flagged concerns related to corporate governance. Continenza said in October that Kodak will move forward with the generic drug ingredients manufacturing venture even if the federal loan is not granted. [link] [comments]  |
| Where are the ESG funds that live up to the name? Is big tech ESG or did I miss something? Posted: 06 Dec 2020 04:48 PM PST If I told you I was starting a new ethical fund and that "invest[s] in stocks and bonds with differing investment styles and objectives. They're a great way to complement your portfolio with funds that reflect your values" -Vanguard And then that it contained (ESGV) 1 Apple Inc. 2 Microsoft Corp. 3 Amazon.com Inc. 4 Alphabet Inc. 5 Facebook Inc. 6 Procter & Gamble Co. 7 Visa Inc. 8 JPMorgan Chase & Co. 9 NVIDIA Corp. 10 UnitedHealth Group Inc. * You'd laugh Oh and for reference here's VFIAX "The fund offers exposure to 500 of the largest U.S. companies" -V 1 Apple Inc. 2 Microsoft Corp. 3 Amazon.com Inc. 4 Alphabet Inc. 5 Facebook Inc. 6 Berkshire Hathaway Inc. 7 Johnson & Johnson 8 Procter & Gamble Co. 9 NVIDIA Corp. 10 Visa Inc. Notice any similarities? Does vanguard have any ESG funds that aren't just a mess of tech stocks and massive corporations who occasionally buy carbon offsets? Why buy ESGV at a .12% expense ratio vs VFIAX (admiral) at 0.04% at this point? [link] [comments]  |
| Can someone explain Palantir hype to me? Posted: 06 Dec 2020 04:51 AM PST Ratings companies have it as hold, not buy. It only has a limited number of clients (120 or so), even if that does include some big ones involved in the US military/intelligence. But the big concern for me is that it's business model by the nature of its products seems absolutely ripe for scandal/regulation (especially if it breaks into the EU). Does anyone else share these concerns? [link] [comments]  |
| How I got Scammed during Covid Posted: 06 Dec 2020 05:03 PM PST Well as we all know, the world as we know it has changed. But one thing that has remained is people taking advantage of people in need for their own gain.. When the lockdown hit we were not sure of our finances and if we can afford to see 2021. Our loans and debt are manageable but only if we make what we make. However we had a little savings. working for an organization that helps the poor and downtrodden I was not making a killing financially and my wife is not either. We managed to scrape together a little bit before the lockdown and decided to hold on to it in case one of us needed anything medical done. This was around $2000 and os our total savings.. Fast forward a few weeks into lockdown, its all a blur right now so cant really pinpoint a date. We got invited to invest into a platform from a reputable source. This promised 15% return on investment based on a contract and would pay out after the said time. It was called Blockflux We decided to put in half of the cash we have and keep the rest safe. Smart choice looking at it now.. We could see our money grow. every contact added 15% and BTC was doing well so it made sense.. Until!!! The site went down. Wat seemed od was the way the site referred to things in broken english. I remember it saying something to the effect of "complaint at public wall will be ban" Its then i got a chill down my spine! I knew. Blockfux / Birdflux were building a new site.. they were down for a few weeks and then back up. They now split the site between new and old server. I was obviously on the old server as i had a old account. Realized that i can very easily invest again but not withdraw at all. Then the VAT thing. They (Dr Victor)started saying Finland (where the company is based) is now charging 24% vat and must be paid to them before you can withdraw your funds.. and here was the final nail in our coffin.. the old server was to close in 14days. They now trade under the name TradeCore or something like that. Today as i write this, hundreds of people as flocking to facebook to cry for help as their money is taken. And i get it, we fell for a trick, we saw easy money and we should have known. But my point is, we had this weight of uncertainty ahead of us for 2021, we tried our best to make the most of it and being ignorant we listened to the wrong people. People who BYW made money off of it and pulled out in the beginning. Im so sad and broken-hearted, i feel ashamed that i pulled my wife into this. That i made such a stupid judgment call and that I've basically signed/sealed our fate in debt and we will probably be in debt for years, delaying starting a family having kids and so on. Man I screwed up! I really hope and pray that none of you ever run into this. My heart is that you will never be in my position.. I still have to tell my wife, she is asleep next to me now and im honestly terrified. Not of telling her, but of breaking her heart. If i could have one wish come true this holiday season, its to give my family hope back and give you, reading this, the tools to not make my mistake ever again.. Signed Hopeless, heartbroken and defeated.. [link] [comments]  |
| How did you get started with index funds? (Share your story!) Posted: 06 Dec 2020 08:47 PM PST Index investing veterans! Share your stories for the newbies:
Nothing helps newbies more than knowing almost everyone was clueless when they started :) [link] [comments]  |
| Posted: 06 Dec 2020 10:19 PM PST It seems that in companies where the CEO effectively controls the Board with a majority of the voting power, the CEO can just choose to grant themselves new stock, while diluting other stockholders. Given they have majority voting control, other large stockholders wouldn't be able to fire them or prevent this type of dilution. Anyone familiar with corporate governance know why this doesn't happen all the time (or does it?). [link] [comments]  |
| how to make money of the gaming industry Posted: 07 Dec 2020 03:50 AM PST Hi , I will give you some suggestions and tips for the gaming industry you can find me on instagram:offprince_ () and you gonna make moneyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyymoneyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyy [link] [comments]  |
| Different titles for companies? Posted: 07 Dec 2020 03:10 AM PST So im pretty new to investing and im still trying to learn alot before getting involved. My question is, why are there different versions of the same companies when searching for a company? For example Tencent. One says Tencent Industry, another Tencent London, Hong Kong and so on. Their numbers vary substantially. Whats the difference? [link] [comments]  |
| Posted: 07 Dec 2020 02:34 AM PST So I have been using the trading 212 app and the practice money feature to invest in stuff like tesla. And it seems to have done well. I see they have a pie feature to select some and you can set up an autoinvest. And based on the annual return after 20 years it looks good. Obviously I know that's if they continue to go up at a steady rate. I'm just wondering is trading 212 a good app to invest on. I was thinking of maybe putting £110 in a month on 4 stocks for a period of time. If not trading 212 what app could I use? I'm in the 🇬🇧 [link] [comments]  |
| Posted: 07 Dec 2020 01:28 AM PST Hi, I'm not sure if there are people here living in Japan, but this is a question for those who do and are investing from here. I'm a beginner here and if I'm going to learn how to invest. I want to start learning it in english then move to a Japanese version later down the road. Looking on Fidelity because of their "zero funds" offering. But if you know a better platform (in English) please do let me know. Thanks and advance! PS: Before anyone says "LEARN JAPANESE!", I'm already an N2 Level, it's just that the technical terms are getting in to my nerves and there's not much people to talk about investments here. (At least not inside my circle of friends and relatives) [link] [comments]  |
| STEM AI-based energy storage solutions ($STPK) Posted: 07 Dec 2020 01:25 AM PST STEM goes into reverse merger (SPAC) with Starpeak Energy (symbol STPK). In the merger the company will receive $ 383M in addition to the 142M currently in the coffers. The company has no debt and raises money to develop and expand (very positive in my opinion) Hardware - The company offers TIER 1 solar solutions Software - The company has AI-based software solutions that monitor the batteries and the connection to the power grid STEM operates over 900 systems (of 1GWH~) and expects to increase revenues by 50% CAGR for the next 5 years (the company has orders of about $ 145M in 2020 and expects to grow significantly in the coming years) The company has 24 patents and this seems to be its strength compared to the competition Gross Margins 10-30% in hardware 80% in software Note that beyond its revenue from the sale of the systems and installation (one-time) the revenue on the software is recurring and long-term revenue (like Saas) Bottom line The company is engaged in the evolving field of renewable energy. Revenue expectations for 21 were almost fully guaranteed (about 88%) and the growth potential is huge. I find it very interesting for the long run Investor presentation [link] [comments]  |
| Posted: 06 Dec 2020 04:25 PM PST I've talked about this company in previous posts and now I had a chance to look into the company in more detail. Ozon listed its ADRs (American Depository Receipts) on 11/24/2020. I strongly believe it offers both good short-term and long-term investment opportunity and I'll explain to you why. Some you may be aware that Ozon is considered to be the Amazon of Russia in the investment community. I partially agree with that statement but it's irrelevant to our analysis on the company. Images are not allowed in this post and if you'd like to see the graphs and analyses, please check out r/Midasinvestors! Please feel free to add your thoughts or analyses! I. Business Overview Ozon was founded in 1999 and is also known as the "Amazon of Russia". It operates an e-commerce platform that allows both the Company and the sellers to upload their product offerings and sell to the buyers. It derives its revenues from two main segments: the MarketPlace transactions and Direct sales. The Marketplace is 3P (third-party relationship) business where individual sellers list their products on the website and Ozon takes a share of the transaction. It contributed 15% of total revenue in 3Q2020 but accounted for 45% of total GMV in the nine months ended 9/30/2020, up from 12% of total GMV in the nine months ended 9/20/2019. Direct Sales is a 1P (first-party relationship) business where Ozon lists products and acts as the retailer, and the brand is the wholesale supplier. It accounted for 79% of total revenue in 3Q2020 and 51% of GMV in the nine months ended in 9/30/2020. 📷 II. Thesis I: Strong Value Proposition and Economic Moat Ozon has proven that its value propositions to both the buyers and sellers of the marketplace are sustainable and growing, as evidenced by the following list of factors. • Exponentially increasing number of both active sellers and buyers. Active sellers on the platform grew from 1.3k in 1Q2019 to 18.1k in 3Q2020. Active buyers increased from 1.3mm in 1Q2019 to 11.4mm in 3Q2020. 📷 • Increasing NPS (net promoter score), from 58 to 79 during 1Q2019 to 3Q2020. It is measured by internal surveys sent to the customers after a purchase. This translates to a growing buyer retention rate and order frequency. 📷📷 • Wide range of product offerings: 92% of SKU (stock keeping units) were offered by the sellers through the Marketplace. 📷 • Brand awareness: 32% brand-awareness compared to 18% for nearest competitor, according to INFOLine and BrandScience. • More than 40% of population covered with the next day delivery. • Avg of 5 orders per active buyer in 12 months ended 3Q2020, an increase from 3.8 orders in 9/30/2019. • Mission statement: Our mission is to transform the Russian consumer economy by offering the widest selection of products, best value and maximum online shopping convenience among Russian e-commerce companies, while empowering sellers to achieve greater commercial success. • Largest fulfillment center network and delivery infrastructure in Russia, consisting of approximately 43 sorting hubs, 7,500 parcel lockers, 4,600 pick-up points and 2,700 couriers. III. Thesis II: Total Addressable Market is growing and penetration rate is low. • Total addressable market is large and growing quickly. Russian retail market is 4th largest in Europe, totaling ₽33.6tn in 2019 and expected to grow to ₽46.2tn in 2025. 📷📷 • Domestic e-commerce market is also under-penetrated and growing rapidly. Excluding cross-border e-commerce, domestic e-commerce market was ₽1.4tn in 2019, growing at 26% CAGR 2016-2019. It is projected to grow to ₽6.8tn by 2025, or CAGR of 30%. o E-commerce penetration in Russia was 6.0% in the year ended December 31, 2019, compared to 4.3% and 3.7% in the years ended December 31, 2017 and 2016, respectively. 📷 o Internet penetration is high, at 83%. o Smartphone possession rate is also high, at 75%. o The orders made through mobile app accounted for 70% of orders in the nine months ended September 30, 2020, an increase from 51% of orders in the nine months ended September 30, 2019. • Retail market is highly fragmented, allowing for e-commerce players to effectively penetrate the market and preventing large competitors from taking away market share quickly. Top ten businesses representing 25% of total retail sales in the country, compared to 42%, 40% and 35% in UK Germany and US. 📷 IV. Thesis III: Profit margins are widening and sales are accelerating. 📷📷 V. Economy • Healthy recovery and developed economy • Stable annual GDP growth rate 📷 • Rising stock market and strengthening currency 📷📷 • More stabilized inflation rate 📷 • Low unemployment rate • Growing fiscal spending 📷 • Rebound in business confidence index, PMI and Services PMI 📷 VI. Risks • Primary risk from my perspective is the bloated valuation, based on a comps table. 📷 o The reason for the valuation is partly due to the different lines of businesses that the comp set is in, which range from fashion retail businesses to furniture-focused companies. o Another important reason is that Ozon's shares trade on NASDAQ through American Depository Receipts, providing more liquidity to the investors. • Furthermore, rising COIVD cases can pose threats to the Company's business. VII. Conclusion I believe Ozon offers a strong value proposition for its customers through the wide range of product offerings and large infrastructure network, as evidenced by the high customer retention rate, NPS score, active buyers and sellers on the platform, and growing GMV. A solid business model coupled with a growing total addressable market offers the company a chance to increase its penetration rate. Russian economy seems to be in a path to rebound based on a few economic indicators. The valuation multiples are nowhere at an "attractive level" compared to peers but I believe the growth rates will prove to justify them sooner than later. Taking into account the valuation and pandemic risks, the company offers very good risk/reward investment opportunity both in the short and long-term. VIII. Trading Plan I simply bought only shares. I believe using margins to buy shares on the company will be a good way to both use leverage and take advantage of the long-term capital gains tax rate. Using options on the company will be riskier and it seems the brokerage doesn't allow for trading options yet, at least for Interactive Brokers. I plan on adding onto the shares as time passes and the company continues to prove its value proposition. Ozon is one of my favorite picks at the moment. I'll keep a close eye on the company and will provide any updates. Thanks for reading! [link] [comments]  |
| Best way for retail investors to participate in IPO Posted: 06 Dec 2020 07:10 AM PST If I wanted to buy an upcoming IPO at the IPO price how would you suggest I do so? I trade with Schwab and just called to ask if this was possible, it is not due to ongoing litigation with Goldman. I see webull has the ability to buy IPO as does Tradestation. Has anyone used either of these to participate in an IPO? Any other suggestions? [link] [comments]  |
| Posted: 06 Dec 2020 06:33 AM PST I'm looking at some ETFs and lots of people DCA. I've read about people planning to DCA for life. Suppose you have a finite sum of money 20k to DCA into an ETF. What kind of time frame would you be looking at to split the money over? 2 years? 3? 5? 10? [link] [comments]  |
| Tesla - S&P500 - any down sides? Posted: 06 Dec 2020 11:10 AM PST Hey, So as we all know Tesla will be joining the S&P500 on Dec 21st. Would love to know your collective opinions on the following: In your opinion.... >Do you think the this catalyst is already fully priced into the current value? Or perhaps there will be another rally in the days before? >Are there any potential downsides on TSLA joining the S&P500? Or do the upsides (big investors coming in) outweigh any potential negatives? I know no one can predict the future, but would love to get a broader spectrum of opinions on this. Thanking you [link] [comments]  |
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