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    Stocks - Rate My Portfolio - r/Stocks Quarterly Thread June 2021

    June 01, 2021

    Stocks - Rate My Portfolio - r/Stocks Quarterly Thread June 2021

    Rate My Portfolio - r/Stocks Quarterly Thread June 2021

    Posted: 01 Jun 2021 02:00 AM PDT

    Please use this thread to discuss your portfolio, learn of other stock tickers, and help out users by giving constructive criticism.

    Why quarterly? Public companies report earnings quarterly; many investors take this as an opportunity to rebalance their portfolios. We highly recommend you do some reading: A list of relevant posts & book recommendations.

    You can find stocks on your own by using a scanner like your broker's or Finviz. To help further, here's a list of relevant websites.

    If you don't have a broker yet, see our list of brokers or search old posts. If you haven't started investing or trading yet, then setup your paper trading.

    Be aware of Business Cycle Investing which Fidelity issues updates to the state of global business cycles every 1 to 3 months (note: Fidelity changes their links often, so search for it since their take on it is enlightening). Investopedia's take on the Business Cycle and their video.

    If you need help with a falling stock price, check out Investopedia's The Art of Selling A Losing Position and their list of biases.

    Here's a list of all the previous portfolio stickies.

    submitted by /u/AutoModerator
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    r/Stocks Daily Discussion & Technicals Tuesday - Jun 01, 2021

    Posted: 01 Jun 2021 02:30 AM PDT

    This is the daily discussion, so anything stocks related is fine, but the theme for today is on technical analysis (TA), but if TA is not your thing then just ignore the theme and/or post your arguments against TA here and not in the current post.

    Some helpful day to day links, including news:

    Technical analysis (TA) uses historical price movements, real time data, indicators based on math and/or statistics, and charts; all of which help measure the trajectory of a security. TA can also be used to interpret the actions of other market participants and predict their actions.

    The main benefit to TA is that everything shows up in the price (commonly known as "priced in"): All news, investor sentiment, and changes to fundamentals are reflected in a security's price.

    TA can be useful on any timeframe, both short and long term.

    Intro to technical analysis by Stockcharts chartschool and their article on candlesticks

    If you have questions, please see the following word cloud and click through for the wiki:

    Indicator - Trade Signals - Lagging Indicator - Leading Indicator - Oversold - Overbought - Divergence - Whipsaw - Resistance - Support - Breakout/Breakdown - Alerts - Trend line - Market Participants - Moving average - RSI - VWAP - MACD - ATR - Bollinger Bands - Ichimoku clouds - Methods - Trend Following - Fading - Channels - Patterns - Pivots

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

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    AMD and Tesla team up!

    Posted: 01 Jun 2021 12:10 AM PDT

    AMD processors and graphics chips will be used in the infotainment systems of newly updated Tesla Model S and Model X electric cars, which are expected to go on sale in a few weeks. With AMD's more powerful chips, Tesla owners will be able to play cutting-edge video games in their cars—when they're not driving, of course–and see maps and other items in more detail.

    "The work (Tesla) is doing is truly pushing the leading edge of what you can put into a car," Lisa Su told Fortune in an exclusive interview before announcing the Tesla deal on Monday at the Computex computer show in Taiwan. She described the effort to make in-car dash systems as powerful as high-end PCs "part of the broader trend that computing is everywhere."

    AMD confirms it's powering the gaming rig inside Tesla's Model S and Model X - The Verge

    submitted by /u/gorays21
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    SCR | The Next Great, Canadian, Tech-Enabled Opportunity ����

    Posted: 01 Jun 2021 06:39 AM PDT

    Hear me out on this one as we are on the brink of theScore's BIGGEST catalyst.

    Position: 2K shares at an avg of $CAD 12.18.

    The stock is traded on the NASDAQ & TSX under ticker: SCR

    Some context on the company and it's industries (Sports Media/Sports Betting):

    TheScore mobile is the number 1 most used sports app in Canada with 10 times more users than ESPN. It's one of the most used sports mobile apps in all of North America citing almost 4 BILLION user sessions over the last year. They have industry leading rates of user engagement at an average of 130 minutes per visitor with each user opening the app an average of 125 times a month.

    This engagement is due to the many features in the app including: real-time sports news, live scores, in-game highlights, a social ecosystem where fans can chat and discuss live games, add friends, send private messages, etc. They have original media content, in-game odds, sports betting content and even personalized promos for bettors based on their in-app media interests. They've reported close to 4 million unique users per month.

    TheScore achieved this success despite being a small company against industry titans. They're no stranger to being an underdog which now follows them in the mobile sports betting industry. PASPA was repealed in 2018 allowing individual states to offer legalized, regulated sports betting. The North American opportunity for this industry is estimated to represent a $US 22 billion opportunity by 2025.

    theScore made the decision in 2019 to enter the market as an operator in NJ through a partnership with Darby Development with their Score Bet app. They have since expanded operations to a total of 4 betting states (NJ, CO, IN, IO) and have acquired market access agreements across 14 states via a partnership with Penn National and other market access deals (CZR deal) which represent more than 30% of the U.S. population and a $US 8.2 billion opportunity for them. The CEO and founder, John Levy, has stated that by next year they will be operating in at least double the amount of states and that they'll be active in 35 States within 3 to 5 years.

    TheScore recently rebuilt their media app completely in-house to increase its performance, stability, and scalability, likely related to continued user growth and future betting integrations. They've built their "Fuse" and "Bet Section" as a fully integrated approach to link their gaming and media apps. Users of both apps can now build their bet slip while benefiting from all of theScore's features. When they're ready to finalize their bet, they'll be taken to the Score Bet app to place their bet or cash out. This is a defining feature that their highly engaged userbase will remember and one that will lead to higher rates of retention vs competitors that treat the bet as just a transaction. This approach not only increases retention rates but also greatly reduces their customer acquisition costs in an industry that is renowned for not having brand loyalty.

    The New Jersey handle (Percentage of the total amount of bets taken in the State) rose 195% versus the prior year, validating that their unique combination of media and betting remains a powerful differentiating factor against competitors in their oldest operating State. Total gaming handle also grew 46% overall compared to the previous quarter. They are the only media company to be operating their own book and they've been seeing these early signs of success. Other companies have started to take notice as they've been buying or partnering with media companies via expensive deals (ex: DKNG 1, DKNG 2, PENN, FOX). However, they have not been able to develop the same seamless approach that theScore has attained internally.

    theScore, like all other sports betting companies is currently sitting at a negative EBITDA. They reported a loss of (17.5 M) in the last quarter. This is because we are still in the early days of a high-growth industry. Companies have to get passed all of the free promotions and incentives that are offered, Market entry costs, etc and then they have to retain their users to start seeing profits. They reported a handle of 81,6 million, a 491% YoY increase, with Net gaming revenue being ($2.4M) and a media revenue of $8.0 M, a 17% increase.

    theScore is not the loudest nor the flashiest betting operator. You won't see Score ads like you do with some other companies because they're targeting their existing userbase in a way that is financially responsible. They aren't aiming to do flashy deals. They won't win by trying to outspend the big guys, but they already know this, as it's a situation that they've already been through. Instead they're growing their numbers organically with their customer focus.

    So, what's this huge catalyst that I spoke of?

    The Legalization of Mobile Sports Betting in Canada, where theScore Media app is a household name will likely take place within the next 3 weeks or earlier.

    Last week, bill C-218 passed its 2nd reading in the Senate, this is often where the biggest risk lies.

    Tomorrow, it will be studied by a Standing Committee. After passing that stage it will then move to 3rd reading before becoming law.

    The bill is supported by provincial bodies, by every major sports league, and even sports broadcast companies as their viewership numbers continue to decline. It just so happens that the Deputy Chair of the reviewing committee also served as Commissioner of the Canadian Football League (CFL).

    The opportunity presented by this bill passing is forecasted to be US$4 to US$5+ billion at maturity. TheScore is actively preparing for this opportunity and extremely well-positioned to benefit long-term as Canada's leading mobile sports media brand.

    10% penetration of the Canadian Market = $US 400 Million15% penetration of the Canadian Market = $US 625 Million20% penetration of the Canadian Market = $US 850 Million

    The current market cap is valued at $US 843.647M which indicates that this legalization is not currently priced in, as it wouldn't take into consideration everything else that theScore has built. The stock's technicals have bottomed out and we can finally see that the trend is reversing. All of this, combined with SCR's low float will mean an explosive next few weeks.

    Bonus info about eSports:

    - Gen Z is half as likely as millennials to watch live sports and 2x more likely to never watch

    - 35% of Gen Z identify as eSports fans, a higher percentage than NASCAR, MLB and NHL

    - There's a potential for ~6 million new bettors with an outsized affinity for eSports over the next five years

    - 495 million people watched eSports online or on television in 2020, worldwide and viewers are projected to grow to 646 million by 2023.

    eSports betting will be one of the biggest categories of sports betting over the long term, if not the biggest. theScore eSports has the #1 esports media following with 186.5 million reported video views in their most recent quarter, which represents a 139% YoY growth and an average social media reach of 88 million a month. Guess who's actively seeking and preparing opportunities to enter this space?

    TLDR: PEOPLE LIKE GAMBLING ON SPORTS AND ESPORTS. SCR, the #1 Canadian Sports Media app entered Sports Betting and is seeing encouraging results. They're also the leading eSports media brand and are actively seeking to enter esports betting which will eventually become one of the biggest betting categories.

    Legalization of Canadian Sports betting is expected in the next weeks + US Sports betting expansion means that this company is extremely undervalued for its future potential in a $US 22 Billion industry. 🚀

    submitted by /u/NameInsertedHere
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    Great Great Grandfather's Stock Certificate

    Posted: 01 Jun 2021 08:16 AM PDT

    I'm looking for some help identifying the status and value of a stock certificate I found. Here are pictures of the certificate from Dunkard Oil Company in 1866. It was for 200 shares at $5 each. These are copies, I don't know where the original is or even if this stock exists in some form today. Who knows if it's traded hands already with distant family I don't even know.

    If anyone has any information about this I'd be grateful to hear it!

    ​

    edit: I found some notes from my cousin's husband who tried researching this. How he figured this out idk

    submitted by /u/killerbee418
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    Oatly stock?

    Posted: 01 Jun 2021 10:57 AM PDT

    What's the general consensus with this company? Since their IPO last week their stock price has increased from $17-$25...seems promising, opinions on whether or not oat milk is a safe investment? Oat milk is everywhere I go now, seems to be rapidly gaining traction

    submitted by /u/furheirbduebdd
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    Here is a Market Recap for today Tuesday, June 1, 2021

    Posted: 01 Jun 2021 01:18 PM PDT

    PsychoMarket Recap - Tuesday, June 1, 2021

    Stocks traded mixed today, with the S&P 500 (SPY) and Nasdaq (QQQ) modestly declining while the Dow Jones (DIA) gained roughly 0.1%. After a volatile beginning to the May, it seems over the past several weeks fears of fast rising inflation causing the Federal Reserve to prematurely tighten monetary policy have tempered. As I have said for weeks, I thought the selloff in the first two weeks of May, that saw the SPY lose 4% in a few days, was overdone, and am very encouraged by the price action in the market recently.

    Last week, members of the Federal Open Market Committee once again reassured market participants that they see inflationary pressures as "transitory" and do not think a shift in monetary policy in the near-term is warranted. St. Louis Federal Reserve President James Bullard said he believed increases in inflation would be "mostly temporary" and that the Fed was "not quite there yet" when it came to discussing tapering its asset purchase program. In separate comments, Kansas City Federal Reserve President Esther George said she did not want the Fed to be "overly reliant on historical relationships and dynamics in judging the outlook for inflation."

    Richard Clarida, Vice Chairman of the Federal Reserve, also said "there will come a time in upcoming meetings" when the Fed would consider tapering the asset purchase program but that "it is going to depend on the flow of data". The Fed is currently buying $120 billion a month in government-issued and government-backed securities, and has pledged to continue doing that until the economy is more fully recovered.

    This reaffirms the market that the Fed is not on a set timeline when it comes to rolling back current accommodative policies and will, as they have said time and again, wait for concrete data before any considerations are made. This follows a similar statement from Jerome Powell back in April 14, which proves market participants shouldn't worry about quantitative easing tapering, in my opinion. Powell said, "We will reach the time at which we will taper asset purchases when we have made substantial further progress towards our goals from last December. That would in all likelihood be before, well before, the time we would consider raising interest rates. We have not voted on that order but that is the sense of the guidance."

    Looking ahead, market participants are anxiously waiting for the May Jobs Report, which will be released this Friday. This report will highlight the state of economic recovery, showing whether the labor market has managed to further recover following the extremely disappointing April Job Report. Importantly, the job reports are also used by the Federal Reserve to ascertain if the economy is getting closer to its employment goal, at which point monetary support will begin to taper.

    Highlights

    • Late last week, President Joe Biden unveiled a $6 trillion budget proposal for fiscal 2022, which would include a number of proposals around improving the country's infrastructure, educational resources and health care system and which would be funded in part by higher taxes.
    • Construction spending rose only 0.2% in April over March, a sharp deceleration compared to March over February. Spending rose only 0.2% compared to 1% in March.
    • "Meme stocks" continue their strong performance from last week, with AMC gapping up more than 20% again today. Crazy stuff!
    • Coinbase (COIN) announced customers would be able to fund their account using Apple and Google wallets
    • The price of Tesla vehicles is increasing due to supply chain pressures across the auto industry, particularly for raw materials, Elon Musk said on Monday via Twitter.
    • **Please note that current stock price was written premarket and does not reflect intraday changes*\*
    • Dollar General (DG) target raised by Deutsche Bank from $226 to $231 at Buy. Stock currently around $203
    • Goldman Sachs (GS) target raised by Piper Sandler from $385 to $420 at Overweight. Stock currently around $372
    • Hess (HESS) target raised by Wells Fargo from $86 to $98 at Overweight. Stock currently around $84
    • UnitedHealth Group (UNH) target raised by Bank of America from $450 to $522 at Buy. Stock currently around $412
    • UPS target raised by Citigroup from $220 to $235 at Neutral. Stock currently around $215
    • The Gap (GPS) target raised by Deutsche Bank from $36 to $38 at Hold. Stock currently around $33.4

    "Someone's sitting in the shade today because someone planted a tree a long time ago." - Warren Buffet

    submitted by /u/psychotrader00
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    Do I have to pay taxes/show income if I hold?

    Posted: 01 Jun 2021 01:24 PM PDT

    Hi! I'm currently a college student with a good amount in savings. I was thinking about investing in Index Funds and just holding them for a while. If I were to do this, would I have to show them in my parents tax returns, or could I simply just buy and sit? Also, would they show up as a type of income under my name?

    submitted by /u/Strawberry_Gene
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    SoFi/IPOE merger went through

    Posted: 01 Jun 2021 07:43 AM PDT

    I am a little confused. I have very little experience investing and that merger was the first one that I have seen. I have IPOE shares, as of today the combined stock should start trading under the ticker SOFI. But I only see SOFIW, which is for warrants that I cannot buy from my country right now.

    I'm guessing I maybe misunderstood something, but shouldn't my ticker for IPOE shares change to SOFI and SOFI ticker appear?

    submitted by /u/V0ll_20
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    Nvidia Announces New RTX 3080 Ti Launching June 3

    Posted: 01 Jun 2021 12:17 AM PDT

    Nvidia has unveiled the latest graphics cards in its RTX 30-series — the RTX 3080 Ti and the RTX 3070 Ti.

    The RTX 3080 Ti will launch on June 3rd for $1,199. The RTX 3080 Ti includes 12GB of GDDR6X memory — a 2GB increase from the RTX 3080 and half of what the RTX 3090 offers, yet Nvidia says the 3080 Ti will serve as a new flagship to the RTX 30-series.

    Alongside the RTX 3080 Ti, Nvidia also unveiled the RTX 3070 Ti. According to Nvidia, the RTX 3070 Ti features 1.5x more performance than the previous RTX 3070 Super and includes 8GB of GDDR6X memory. The RTX 3070 Ti will launch on June 10 for $599.

    Nvidia introduces GeForce RTX 3080 Ti and 3070 Ti gaming GPUs - CNET

    submitted by /u/gorays21
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    10% income investment vs others

    Posted: 01 Jun 2021 06:32 AM PDT

    My mom makes 10% income from her dividend investments, and she lives off this money. Apparently, a big portion of this is also tax free. This seems like a great return so my question is why don't most investors do this type of investing vs growth or value?

    EDIT. So its getting more interesting. From family member I found out that my mom started to manage an inheritance for a friend of hers whose husband died and left her with chunk of change. Apparently, the friend is getting similar returns and is very happy.

    submitted by /u/14MTH30n3
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    Morning Update for Tuesday, 06/01/21

    Posted: 01 Jun 2021 05:57 AM PDT

    Good morning everyone.

    This list is geared towards day trading. With the momentum watchlist especially, I am typically in and out very quickly, only occasionally longer than a couple minutes, usually faster scalps. Always have a plan when you enter a trade (for profit taking and for taking a loss), and use proper risk management for your account.

    Main Watchlist:

    Gapping UP: BABA, NIO, AMD, BA, UAL, CLDR, AMC

    Gapping DOWN: ZIM, CVAC, LEDS

    Momentum Watchlist

    • VTNR (+25%): Up on momentum from past couple days of trading, as well as another price target upgrade. Seeing good volume and price action in premarket. Could see more upwards movement today with the momentum, but I'll be cautious, as this could get over-extended.
    • OEG (+45%): Up after announcing its recently acquired subsidiary reached an agreement for a 700-mile construction project in Mississippi. Seeing strong volume and price action at the moment, I'll be watching to see if the momentum continues.
    • LCTX (+10%): Up after reporting additional cases of retinal tissue restoration in patients treated with their drug. Seeing okay volume and price action in premarket. Daily chart looks bullish so I'll be keeping an eye on this one.
    • AKBA (+8%): Up after FDA set action date for their anemia drug. Seeing decent price action and volume in premarket.
    • APOP (+13%): Couldn't find a relevant catalyst. Daily chart looks bullish, so I'll be keeping an eye on this one.

    Market Outlook:

    The market is showing strength this morning, and stocks are looking to open higher after the long weekend. SPY is trading just over 422, and we should finally see that push to new ATH. DIA is a bit further off from ATH levels, trading just above 348. Tech stocks are up in premarket, but lagging a bit behind the overall market. Gold and silver are green at the moment, and crude oil is up quite a bit this morning. Bitcoin is currently trading around 36,400, and most cryptos look pretty bearish at the moment. Crypto-related stocks are somewhat mixed in premarket trading. Marijuana stocks are showing some strength in premarket trading and are worth following with some potential upcoming catalysts. HITID (new ticker HITI) is being uplisted to Nasdaq today, so it will be one to watch in the near future. Meme stocks are also showing signs of continued strength, and will be worth following this week.

    Remember to use proper risk management, by making sure you size appropriately for your account and have a plan for every trade you enter (both for taking profits and cutting losses). Happy trading everyone :)

    submitted by /u/vanturetrading
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    The process of Direxion's 3x ETFs?

    Posted: 01 Jun 2021 12:43 PM PDT

    I have been keen on diversifying my portfolio for short-term trading. I saw this relative wsb post and did some research. It appears people do NOT tend to buy those specific ETFs.

    Now I understand how these are bad long term investments after reading this article from us-news. But I am thinking of a short-term investment at least day trade or few weeks to at most 2 years.

    Watched this segment on bloomberg on pros and cons of said ETFs. The representative also said that these ETFs are not good for long term investment. One of the ETFs, $GUSH which currently trades at ~$92 almost hit $100,000. It has low volume however has more than $750 million in assets.

    To anyone who has traded ETFs I wanted to ask:

    1. How long do you usually hold them
    2. Are there any decays applied to THESE ETFs. As some futures ETFs from proShare gets decayed.
    3. Does Robinhood and fidelity charge fee for trading ETFs such as $LBAD or $LABU
    4. Say if the ETF you hold goes to ~$100,000 per share, if you were to sell, who would possibly want to buy a share of ETF for $100,000?

    Thank you!

    submitted by /u/__-rs
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    Thoughts on SCYX? FDA approval pending, target price significantly higher than current price?

    Posted: 01 Jun 2021 10:33 AM PDT

    Any thoughts on this stock SCYX? They're a biotech company that make medicines for yeast infections and are pending FDA approval....news was supposed to come out today but nothing yet.

    Has been pretty steady over last 3 months but spiked with some buzz about FDA approval in mid-April, and has been a slow and steady rise since....trading between 7 - 9 most of the time until it spiked to 13 pre-market this morning, then dipped down to the 9s, now hovering between 9 and 10 dollars.

    Not sure what to think, limited experience so I mostly read the news and analysis tabs on webull and comments here on reddit. Thanks in advance!

    submitted by /u/flirtandflutter
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    Facebook: A Bullish Analysis [Mix of Technical and Fundamental]

    Posted: 01 Jun 2021 09:04 AM PDT

    Price

    Facebook currently trades at around $330. Its latest support is at around $296 to $300 and its latest resistance is actually around $330 so essentially the price that it's trading for right now. This is a crucial moment. If it manages to break $330, then we can see an upward movement going up to $360 which is the high ceiling of this channel that it has started forming. If you haven't invested yet, it could be a good time to wait for a couple of days or a week to see how its price will evolve. I have a feeling that it will start consolidating or it could slowly drop down to $315 or, worst case scenario, $300. It is currently trading above its 50D MA and its Relative Strength Index is near the top, but the volume is relatively low which makes me think that we probably won't see a lot of movement in the next week or two. However, as I said, I think that there is a good chance that we can see Facebook hitting $360 in a few months and maybe even $400 by the end of the year. Why? Well, Facebook has been delivering great results after great results. The fundamental performance of the company has been amazing so far. Absolutely amazing! In fact, out of ALL of its 20 earnings reports since 2016, it has only missed 1 and that was by 1 cent and it has only missed revenue twice! The company outperforms analyst expectations and by a big margin, especially in the last 4 quarters. Last quarter, it beat analyst earnings expectations by 41%! This is massive! Especially for a company of Facebook's size! Essentially, what we are seeing is the pandemic boost in advertising that Facebook received was not as transitory as analysts expected. Also, there has been nothing but upward revisions for Facebook's Full Year 2021 earnings, which is a very good sign. 39 upward revisions in total! There have also been 23 upward earnings revisions for next quarter's earnings, which is almost always a good sign. Also, out of the 51 analyst covering Facebook in May, 45 have had a Buy or a Strong Buy rating!

    The Business

    However, let's leave analyst opinions aside for the moment. They are good to gauge Wall Street's appetite for the company, but let's look at the business, at the fundamentals. Is Facebook really a good company? Facebook's main source of revenue are the advertising revenues that come from ads on its products, the Facebook app and website, Instagram, Whatsapp and Messenger. By gathering user data, Facebook is able to offer targeted ads which are obviously more expensive, but are also more attractive to advertisers. Even though regulators have reduced the amount of data that Facebook can gather and therefore reduced its ability to target specific audiences through its ads, the company has still managed to grow its advertising business by a LOT! Another reason why the company has done so well is because it operates the 7th most website in the world, Facebook, which is also the 2nd most visited social media website behind YouTube. Instagram is extremely popular as well, ranking in the 23rd place! As of the latest quarter, the Daily active users of Facebook's family of products are 2.72 BILLION with the number of monthly active users being 3.45 BILLION or more than 10 times the population of the US! This is literally half of the world's population! Facebook is still seeing growth in user numbers with its total user base up 15% year-on-year which is actually faster than last year's increase of 11%. So, we can see that their user base is growing, but is that translating into higher revenues? The answer: yes! In 2020, Facebook reported a 20% year-on-year advertising revenue increase, but in their last quarter alone, the advertising revenue increase was 46% compared to last year! Advertising makes about 98% of Facebook's revenue so we can see that the company is getting a serious boost in overall profits. Their net income also grew by 58% in 2020 year-on-year and an astonishing 94% in the first quarter of 2021 as compared to last year! Essentially, we can see that Facebook is reporting some serious growth for a megacap company and it is largely due to the increase in their advertising business. However, Facebook are also involved in Virtual and Augmented Reality through their Reality Labs. While this side of Facebook is still tiny, it is reporting a serious growth in revenues as well. In the first quarter of 2021, its revenue grew by almost 150% as compared to last year and now makes up 2.7% of Facebook's revenue! VR and AR are still relatively young industries, but they are growing fast as we can see. Market researchers claim that the industry will grow at an annual rate of 42% from $37B in 2019 to an astonishing $1.27T in 2030! Facebook is one of the leaders in this space along with Apple, Microsoft and Samsung so this represents a massive opportunity for the tech giant and yet another solid bullish argument for Facebook. Unlike its competitors, Facebook's business is relatively concentrated so I think this gives the company a competitive advantage when it comes to growing its VR and AR business. The company has also grown its headcount by 30% in 2020 so we can see that it is doubling down on expansion and growth. Despite that, analysts are only expecting a revenue and earnings growth of about 15% annually for the next 3 years. To some extent, that is justified as Facebook did get a big bump in earnings due to COVID. However, I think that their estimates lean towards the conservative side and I think that Facebook can actually achieve a growth of between 20% and 25%, especially when we consider the VR and AR business. This may sound optimistic, but given Facebook's record of beating analyst estimates, I am okay with sounding optimistic. The only hurdle that Facebook may run into is regulation, which is always on the table for big tech companies like it. However, it has has a record of successfully dealing with regulation and continuing to deliver good results despite of it so I'll take my chances.

    The Balance Sheet

    Now, you may be thinking, great, Facebook is positioned well for the future, but how are the fundamentals looking right now? We can see they are growing, but can they support that growth? Personally, I think so. Facebook has a tremendous balance sheet and a massive stockpile of cash and cash equivalents. They currently have just over $64B as of 31th March 2021 which represents a $2-2.5B increase from the end of December 2020 and an increase of almost $10B since December 2019. The huge cash positions means that Facebook has enough capital to expand without being worried about financing, it means that it can buy new companies to help its expansion or to prevent competition, but most importantly, it means that the company is doing well. We can also see that in the company's share repurchase program. Facebook has repurchased $6.3B of shares in 2020 and $4.2B of shares in 2019 and, in January 2021, it authorized an additional $25B of stock repurchases so the total right now is about $34B. This doesn't mean that they will repurchase all $34B, but that they can. Still, the fact that they have authorized that programme is a positive sign. In addition to their massive stockpile of cash, Facebook only has liabilities of $30B or less than half the size of its cash stockpile. What does that mean? It means that Facebook is healthy and it's taking its vitamins. The company is solid and is more than able to tackle any short- or medium-term challenges to its business. It has no long-term debt, meaning that if they do decide to borrow money, they will be able to do so at much better rates than some of its rivals.

    The Ratios

    Then, if we look at some the fundamental ratios, we can see that Facebook is. A. Beast! Their Return-on-Assets is 20.3% compared to the industry's average of 10.3% and their Return-on-Equity was 25.3% last year! Lets compare it to its rivals. I think that the companies closest to Facebook in terms of business are Twitter, Google, and Snapchat although Snap is in very early stages of growth. In terms of ROA and ROE, both Snapchat and Twitter are negative so there's not much point in comparing them, but Google has a 15.3% ROA. Their ROE is also lower at 22.3% as opposed to Facebook's 25.3%. Now, Facebook's forward Price-to-earnings ration is only 21.6 whereas Google has 25.5, Twitter's is 52.4 and Snapchat has a Forward PE of 92, so again, Facebook turns out to be the best price for its projected earnings. In terms of current PE, Facebook has 28.2, Google has 32.2 and Snapchat and Twitter don't have one because they are unprofitable. The current S&P average PE is 37.2 so we can see that both Facebook and Google are under the market average although Facebook is again cheaper. What these ratios tell us is that Facebook is not only operating a very efficient business, but it's also at a very good price relative to its peers. Even looking at it historically, Facebook has rarely dropped below a PE of 27-28 so the current price is, again, excellent and cheap. This is my own opinion, feel free to do your own research, but according to my personal EPS growth we can expect a roughly 12% annual return on Facebook over the next 10 years if we buy it at $330. That is assuming a 15% earnings growth next year which will taper off and assuming that we can sell it at a PE ratio of around 30-32. If the earnings grow at around 20% next year, then we can look at a roughly 15% annual return which is higher than the average return of the S&P 500, meaning that Facebook is likely to beat the market, at least in my opinion.

    ​

    What do you guys think? I'm sure that I've missed something in my analysis, but I think that I've covered the main bits. It can obviously be more detailed so I'll be happy if you can point out any gaps :)

    submitted by /u/y_angelov
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    r/Stocks Discuss Overlooked Stocks Tuesday - Jun 01, 2021

    Posted: 01 Jun 2021 09:00 AM PDT

    It's lunchtime, Wall St time; time to discuss overlooked stocks that no one is talking about: Overlooked & possibly undervalued stocks.

    All the rules of r/Stocks still apply, so please see the sidebar or click here.

    But here's the twist you can't bring up meme stocks that have been hotly discussed in the past several weeks. Those stocks that everyone has been talking about, you can't bring up here or they'll be autoremoved. Why? It's to keep this thread pure & focused.

    The current list of meme stocks can be found here. So don't mention these stocks in this post or your comment will be removed.

    Need ideas on which stocks to discuss, try a screener like this one.

    Important links:

    After discussing your stock here, feel free to create a post on r/Stocks with all the information you might have just learned.

    Thanks & enjoy!

    submitted by /u/AutoModerator
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    r/Stocks Daily Thread on Meme Stocks Tuesday - Jun 01, 2021

    Posted: 01 Jun 2021 04:00 AM PDT

    The meme stock scheduled posts will run Mon to Fri and won't be a sticky; you're probably seeing this because automod sent you here or you woke up early Wall St time; good morning!

    Welcome traders who just can't help them selves discuss the same exact stock that's been discussed 100s of times a day. I get it, you want to talk about what's popular, what's hot, and that 1.. single.. stock you like.. well here you go! Some helpful links just for you:

    An important message from our mod u/TCGYT regarding meme stocks.

    Lastly if you need professional help:

    • Problem Gambling: Call/Text: 1-800-522-4700 or chat online now.
    • Crisis Hotline (24/7): 1-800-273-TALK (8255) (Veterans, press 1) or Text "HOME" to 741-741
    submitted by /u/AutoModerator
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    Cloudera buyout not making sense $CLDR

    Posted: 01 Jun 2021 07:54 AM PDT

    They have around 293 million shares outstanding so the deal would be around $4.6 billion dollars at the $16 a share that is being reported yet they announced $5.3 billion for the deal which would be be $18 dollars a share. So why did they announce they are being bought out at 16 dollars a share but the deal is $5.3 billion in their press release? Anyone have any idea what is going on here? A $2 dollar difference is kind of a big deal so it definitely has me curious on what is occurring.

    submitted by /u/Jpat863
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    Does anybody have Yahoo Finance "Plus?" I enjoy their free research data, but is it worth it to pay for their advanced tools?

    Posted: 31 May 2021 05:03 PM PDT

    I use Yahoo Finance to do a lot of research on my stocks, and their free information has pretty good data for me to use. However, is anybody subscribed to their "Plus" service? Is it worth paying their fee to get access to the more advanced tools, like company outlook, fair value, research reports, etc.?

    submitted by /u/unfonfortable
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    Class action lawsuits, help please.

    Posted: 01 Jun 2021 06:49 AM PDT

    I have a position in Danimer Scientific. DNMR. A Wall Street Journal article came out calling the company out for making errors and fraudulent reports. Needless to say the stock price went down a lot.... Everyday there are new class action lawsuits being filed. Should I join one or do nothing. PS I am hyper aware of the risks of investing. Thanks for any and all information.

    submitted by /u/checkstuffout2020
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    FaceBook bearish sentiment

    Posted: 01 Jun 2021 02:00 PM PDT

    Facebook short play. (Put options)

    It's safe to say a large percentage of the revenue Facebook makes is from iPhone users… because iPhones are the most popular cellphones in North America. (N/A highest consumer market)

    IOS 14 update asks users if they want to allow apps to track their data. Most people will click ask app not to track, and you'll notice in the days to come that most of your adds are less and less targeted. (Facebook did a study that shows 2% of users allow the app to track data, that's 98% loss of continuous data collection, see link at bottom of page)

    I think in Q2 when Google and/or Snapchat report earnings beating analyst expectations, people will price in Facebook doing so as well as they always follow trend. When FB reports Q2 earnings, it will show up on the month of June. This will create lots of bearish sentiment against Facebook, additionally with inflation being in that talks this summer, the tech industry can see a hit.

    Facebook should still be able to generate revenue from targeted ads, as they have data stored already. Although, as new trends and products enter the market, Facebook will lose its advantage as it's stored data will be out of date.

    To add more… Facebook has been trying to attack apple using every angle they can think of, even saying the new IOS update will "hurt" small businesses… that to me, shows me how desperate Mark Zuk is and how much this update will hurt Facebook.

    https://www.imore.com/facebook-pays-study-says-apples-ios-14-privacy-changes-are-bad

    https://discoverbigfish.com/blog/2019-popular-mobile-phones-united-states.html

    submitted by /u/PennyStockWorth
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    What are some cheap, but promising stocks for someone who is just getting into investing?

    Posted: 01 Jun 2021 01:58 PM PDT

    I have some disposable income from a job and I am a college student, so I don't have thousands of dollars to invest in high priced stocks. I am curious about what stocks that are currently valued at less than $15 per share and that have promising growth that I can invest in. Thanks!

    submitted by /u/uncommonlyaverage
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    Capital Gains + Dividend Income Account

    Posted: 31 May 2021 08:28 PM PDT

    Hi Everyone,

    I have been trying to find the right balance of dividends and capital gains in a portfolio. I came up with 5 tickers ranging from high yield with poor performance to low yield with strong performance. Would love to hear what you all think. My current account yields 2.5% so this will increase it 2x which I'm happy about.

    VTI 25% - Dividend 1.25%, 5yr Change 102%

    QYLD 25% - Dividend 11.89%, 5yr Change 1.4%

    DIVO 20% - Dividend 5.36%, 5yr Change 43.43%

    BSTZ 15% - Dividend 5.41%, Change since inception 81.4%

    SCHD 15% - Dividend 2.69%, 5yr Change 88.7%

    This gives an overall dividend yield of 5.57%. Together the 5 tickers have had an average return of 60% for share price in the last 5 years. The exception is BSTZ which hasn't been around for 5 years yet.

    submitted by /u/mike_oc23
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    BX (Blackstone) Room for upside?

    Posted: 01 Jun 2021 04:23 AM PDT

    Analysing BX from a technical standpoint, it doesn't seem that there is much room for upside as it keeps pushing its ATH of 92.67. I think Blackstone is a differentiator amongst its more conventional banks i.e GS, CS, UBS in the fact that it is much more aggressive in raising capital and deploying for M&A deals. With the stock constantly pushing its own ATH, what is the consensus on BX? Upwards trend or sideways/downwards.

    submitted by /u/itsbnf
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