Daily General Discussion and spitballin thread - November 05, 2021 Investing |
- Daily General Discussion and spitballin thread - November 05, 2021
- Daily Advice Thread - All basic help or advice questions must be posted here. November 05, 2021
- Peloton shares fall 21% as company posts wider-than-expected loss and slashes full-year outlook
- IRS announces 401(k) limit increases to $20,500
- Qualcomm ($QCOM) closes up 12.73% today after exceeding expectations for Q4 earnings
- Current & Future State of Automakers
- Investing in ATH environment
- Chinese Real Estate Developer Kaisa Halts Trading in Hong Kong, as Debt Concerns Escalate
- Stocks making the biggest moves after hours: Peloton, Pinterest, Uber and more
- $COIN is up 50% over the last month and blasted past its IPO price. Why's no one talking about it?
- Small CAPs - What is your opinion and where to invest the best?
- Does having a subscription to Bloomberg Businessweek or the WSJ improve investing knowledge?
- Need help understanding what happened with a stock I own
- How to interpret dividend announcements
- Do the underwriters of debt securities actually check to see if the transaction is beneficial on behalf of the party selling the debt security in question?
- Brokerage recommendation for stocks and crypto in one
- Want to invest in an $SPY LEAP option, but am worried about selling
- Would the Fed backstop crypto?
- Need help with retirement investing
Daily General Discussion and spitballin thread - November 05, 2021 Posted: 05 Nov 2021 02:02 AM PDT Have a general question? Want to offer some commentary on markets? Maybe you would just like to throw out a neat fact that doesn't warrant a self post? Feel free to post here! This thread is for:
Keep in mind that this subreddit, and this thread, is not an appropriate venue for questions that should be directed towards your broker's customer support or google. If you would like to ask a question about your personal situation or if you are asking for advice please keep these posts in the daily advice thread as that thread is more well suited for those questions. Any posts that should be comments in this thread will likely be removed. [link] [comments] |
Daily Advice Thread - All basic help or advice questions must be posted here. November 05, 2021 Posted: 05 Nov 2021 02:01 AM PDT If your question is "I have $10,000, what do I do?" or other "advice for my personal situation" questions, you should include relevant information, such as the following:
Please consider consulting our FAQ first - https://www.reddit.com/r/investing/wiki/faq And our side bar also has useful resources. Be aware that these answers are just opinions of Redditors and should be used as a starting point for your research. You should strongly consider seeing a registered financial rep before making any financial decisions! [link] [comments] |
Peloton shares fall 21% as company posts wider-than-expected loss and slashes full-year outlook Posted: 04 Nov 2021 02:49 PM PDT Down 28% in AH as of 6pm. Credit: u/juaggo_ Peloton on Thursday reported weakening sales growth and a wider-than-expected loss in its fiscal first quarter, prompting the company to slash its outlook for the full year amid softened demand for its exercise equipment and ongoing supply chain challenges. Loss per share: $1.25 vs. $1.07 expected Revenue: $805.2 million vs. $810.7 million expected "We anticipated fiscal 2022 would be a very challenging year to forecast, given unusual year-ago comparisons, demand uncertainty amidst re-opening economies, and widely-reported supply chain constraints and commodity cost pressures," Chief Executive Officer John Foley said in a letter to shareholders. Peloton posts wider-than-expected loss, slashes full-year outlook amid softening sales https://www.cnbc.com/2021/11/04/peloton-pton-to-report-fiscal-q1-2022-earnings-.html?__source=iosappshare%7Ccom.apple.UIKit.activity.CopyToPasteboard [link] [comments] |
IRS announces 401(k) limit increases to $20,500 Posted: 04 Nov 2021 06:31 PM PDT The Internal Revenue Service announced today that the amount individuals can contribute to their 401(k) plans in 2022 has increased to $20,500, up from $19,500 for 2021 and 2020. The IRS today also issued technical guidance regarding all of the cost‑of‑living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2022 in Notice 2021-61 PDF, posted today on IRS.gov. [sourcelink https://www.irs.gov/newsroom/irs-announces-401k-limit-increases-to-20500] [link] [comments] |
Qualcomm ($QCOM) closes up 12.73% today after exceeding expectations for Q4 earnings Posted: 04 Nov 2021 04:24 PM PDT
I'm surprised how much QCOM gets slept on compared to other chip companies - I think the loss of Apple as a customer has been overstated due to the growth of Android in other markets and their diversification into other segments. China has also been weak, but again, apparently the market has priced that in. CEO Cristiano Amon also mentioned that even though they avoided a worse supply constraint, it did affect them and demand remains stronger than supply. Several analysts have revised their price target to $180-190. [link] [comments] |
Current & Future State of Automakers Posted: 04 Nov 2021 09:33 AM PDT Expanding the scope beyond just Tesla, what are both the short and long term prospects for global auto manufacturers, now and looking ahead for the next 10 years? We've seen stagnant or declining growth for traditional automakers over the past few years, and the effects of the pandemic seem like they'll last years into the future. What does the future hold? New business models that include more ride-sharing and subscription models compared to traditional ownership? I don't see EV's becoming prominent within the next ten years without significant regulatory influence. Thoughts? [link] [comments] |
Posted: 04 Nov 2021 09:24 PM PDT I've been putting in a fixed percentage of my salary in SP500 etf. Right now, it's an ATH. I got worried and was wondering if I should continue this strategy, or just wait for market to correct itself. Found these articles on investing in ATH enviornment: Should You Buy An All-Time High? Is Buying Stocks at an All-Time High a Good Idea? Essentially, it's showing based on past data that investing in ATH is not worriesome. Some notable callouts: A. When SP500 is near an all-time high, returns over the next year are similar to those when the SP500 is more than 5% away from an all-time high, which suggest fear of market crash could be more psychological. B. Average annualize return over the next three years when investing near an all-time high is 8.2% versus 7.4% when investing 5% away from an all-time high. C. A strategy that just buy and hold stocks during ATH and switch to bond when it's not ATH, provide better performance and lower volatility than one that just buys stocks regularly. D. Similar observations made for international stocks. IMO, the most important take away is to ensure that we have a (a) diversified portfolio, meaning not just investing in a single asset class, or worse a single company, and (b) not investing the entire nest egg at one single time but rather invest across time i.e. dollar cost averaging. With multiple news articles/blogs/tweets about a possible market correction, bear market etc., It's easy to over worry about investing in the current environment. Hope this helps others who like me am wondering if we should continue investing. [link] [comments] |
Chinese Real Estate Developer Kaisa Halts Trading in Hong Kong, as Debt Concerns Escalate Posted: 04 Nov 2021 10:39 PM PDT Chinese real estate developer Kaisa halts trading in Hong Kong, as debt concerns escalate "Among Chinese developers, the company ranks second only to Evergrande in terms of issuance of U.S. dollar-denominated offshore high-yield bonds, according to Natixis." After Evergrand and others Chinas Real Estate takes another hit. And they're still suffering from blackouts and brownouts (Power Shortages). Expect China to make some more noise internationally for two reasons: 1) To take the worlds attention off their economic weakness at home by projecting military strength over Taiwan and the South China Sea, and through showcasing technological achievements in new military weapons. Perhaps some additional disagreement in international talks that stall world wide initiatives. 2) To stoke nationalism among their population to distract Chinese Citizens from economic failures at home. The more China saber rattles to rally the people the worse conditions are on the mainland. After years of watching the Chinese economy boom and bust every 3-5 years or so it's like a broken record. TL;DR: Think hard about the Chinese Economy before investing in Chinese stocks, or companies heavily dependent on China (Which is nearly impossible). Remember the more noise they make internationally the worse things actually are in China. Chinese initiated uncertainty is therefore an indicator of a worsening Chinese economy. Note: Remember that Chinese Citizens are heavily invested in real estate and real estate sales are a primary source of revenue for Chinese towns and cities [link] [comments] |
Stocks making the biggest moves after hours: Peloton, Pinterest, Uber and more Posted: 04 Nov 2021 03:22 PM PDT Peloton — Shares of Peloton sunk 25% in extended trading after the exercise equipment and media company posted a wider-than-expected quarterly loss and cut its full-year outlook. Peloton reported a loss of $1.25 per share on revenue of $805.2 million, versus the Refinitiv consensus of $1.07 per share on revenue of $810.7 million. Pinterest — Pinterest shares gained 6.3% after hours following a quarterly earnings and revenue beat. The social media company posted adjusted earnings of 28 cents per share on revenue of $633 million. Analysts expected earnings of 23 cents per share on revenue of $631 million, according to Refinitiv. Uber — The ride-hailing and food delivery stock dipped 2.8% after 1.8 reported a wider-than-expected quarterly loss. Uber posted a loss of $1.28 per share versus 3.3 million expected. The company attributed the loss to the pullback in value of its investment holdings, particularly Chinese ride-hailing app Didi. Square — Shares of Square fell 2.5% after the digital payments company missed revenue expectations. Square posted quarterly revenue of $3.84 billion, versus the Refinitiv $4.54 billion consensus estimate. Airbnb — Airbnb shares rose 1.5% after the company reported stronger-than-expected third-quarter revenue. The company posted revenue of $2.24 billion versus the Refinitiv consensus of $2.05 billion. [link] [comments] |
$COIN is up 50% over the last month and blasted past its IPO price. Why's no one talking about it? Posted: 04 Nov 2021 05:45 PM PDT After Coinbase dropped to $220, it's managed to claw its way out of the ashes like a phoenix back up to $344, however it seems that no one is really giving this stock any attention still and all eyes are on the likes of Nvidia, Tesla, Amazon, and Apple. So I'll kick off some discussion - where do you guys see this stock going and why? I'm personally bullish and held through the dark times. Still down 10% overall though as I bought at the very peak price on IPO like a moron (and because my broker wouldn't let me buy any sooner because the app was conveniently down). [link] [comments] |
Small CAPs - What is your opinion and where to invest the best? Posted: 04 Nov 2021 08:16 AM PDT Hi Guys, i just read this article that seems really interesting to me Basically stands how relatively cheap are small caps in historic terms , related to S&P500 I would rather go for an ETF play , which one would you recommend? And also, if you had to make a single pick, which one would you recommend? Thanks guys [link] [comments] |
Does having a subscription to Bloomberg Businessweek or the WSJ improve investing knowledge? Posted: 04 Nov 2021 09:22 PM PDT Been thinking about biting the bullet and paying for Bloomberg Businessweek or the Wall Street Journal to keep up with business news. I'm hoping to learn more about current business trends, what kind of businesses are out there, and emerging markets outside of the US. That said, I'm a little skeptical that getting a Bloomberg or WSJ subscription would really make a big difference in the range of companies that I would invest in, and the knowledge of new industries that might back up those investments. Has anyone gotten a subscription and found it helpful for investing? [link] [comments] |
Need help understanding what happened with a stock I own Posted: 04 Nov 2021 05:48 PM PDT Bought 10,000 shares of SURG a long time ago, at a price around 0.10 per share. Invested cause they operate near my home and I thought it was neat at the time, never sold. I saw this article today: https://finance.yahoo.com/news/surgepays-announces-closing-upsized-19-182800603.html So I checked my account and I now see 200 shares of SURG with a mark of $3.52 I just want to understand what happened. Can anyone help me with that? Edit: TIL, reverse splits. Second Edit: Thank you! [link] [comments] |
How to interpret dividend announcements Posted: 04 Nov 2021 12:40 PM PDT Take this announcement:
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Posted: 04 Nov 2021 02:52 PM PDT I'm a bit confused because I believe the whole purpose of an underwriter regardless of the scenario in the transaction is to make sure there is not too much risk in an investment; this quote on exactly this matter that prompted me to ask this question from Investopedia makes it sound like this does not happen in the case of debt securities, as if the underwriter was just another buyer of a debt security: "Underwriters purchase debt securities—such as government bonds, corporate bonds, municipal bonds, or preferred stock—from the issuing body (usually a company or government agency) to resell them for a profit. This profit is known as the "underwriting spread."" It says nothing about them actually evaluating risk on behalf of another entity. [link] [comments] |
Brokerage recommendation for stocks and crypto in one Posted: 04 Nov 2021 05:15 PM PDT Are there any brokerages out there that will let me hold stocks as well as trade the major cryptos? I would like to be able to easily swap between both asset classes without having to transfer cash between different accounts. For example, I could keep most of my money in bitcoin and then when a good trading opportunity comes, I could quickly sell off some bitcoin and trade the stock then return to bitcoin once the trade is done. Thanks in advance. [link] [comments] |
Want to invest in an $SPY LEAP option, but am worried about selling Posted: 04 Nov 2021 02:09 PM PDT Long term investor, have most of my net worth in two Vanguard funds, taxable and one ROTH. I invest in VOO, VTI, and VXUS. Age 23. I have always been the slow and steady investor type, just DCA-ing into Vanguard funds and waiting for compounding to kick in as I get into my 30s, 40, and beyond. Most my my net worth (I have no fixed expenses, live at home) is in these funds and are slowly but surely growing. I recently discovered LEAP options and. after doing research, would love to invest a good 4K-6K into a deep ITM SPY call expiring in 2 years. My concern is getting rid of the contact when it matures. I know LEAP bid-ask spreads are very wide and I'm concerned I won't be able to sell it at the price it is "valued" at. How can I be sure I will find a buyer for the option (at the price I want) I will be selling as it gets closer to expiry? [link] [comments] |
Would the Fed backstop crypto? Posted: 04 Nov 2021 12:25 PM PDT I posted this on r/askeconomists but no one took a stab at it so I'll post it here. It's just a thought experiment. I've been reading about the covid 19 credit crisis and the Feds intervention, and what struck me about the SMCCF was mainly the direct targeting of ETFs by the Fed to provide price support to credit issuance even though it doesn't realllly do that. (The PMCCF which does, was barely used). The implication here was that credit markets were being supported, which they were indirectly by providing liquidity in the credit markets, but really this action would have supported ETF price recovery much more than bond price recovery, and secondary credit markets more than primary. Now, JPow also alluded that other asset classes could theoretically be supported in future crises if required (not out of ordinary - BoJ has already been purchasing equity ETFs for some time now) and with central banks opening up there balance sheet like never before and much more ballsy with policies so they can get in front of a crisis - from a purely theoretical perspective, if the asset class was to become large enough do you think that the Fed would purchase cryptocurrencies in a future crisis to provide price support? Their main aim is to stabilise volatility and well there's no more volatile asset class than this. This is more of a thought experiment and also about opinions on the reach of fed intervention. Edit: Yikes I think people have misunderstood the point of this post. It makes no opinions on crypto or the fed (they miiight be a monster from Jekyll island idk) but empirically we've seen the Fed will come In hot to help and this DOES stabilise markets. Whether that's a good of bad way of doing things, that's not the point here. What's being asked is do you think they would stabilise the crypto market in the same way to avoid contagion or all out market meltdowns. No one is getting rich off a crypto backstop, the price isn't mooning, it's merely keeping BTC at 40k and ETH at 2.5k for example [link] [comments] |
Need help with retirement investing Posted: 03 Nov 2021 05:12 PM PDT We started late in investing because life happened and early on we were burdened by student loan, credit card debt along with a ridiculously high mortgage and need advice. We're both 56 years old and plan to retire at 67. We plan to max out both ROTHs, HSA, will have $5800 in SS income and contributing up to the company match on 401k. We'd like to invest in the following: FZROZ@60%, FZILX@20% and FSRNX@20% in one account. Then VYM, SCHD, SDY and HDV for high yield dividend ETFs in another. We're concerned that we won't have enough growth if we go with the recommended FXIFX and/or FIHFX but we can't afford to lose it all either. Any recommendations would be great. We're super late to the retirement game but still want to live well. [link] [comments] |
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