Stocks - Rate My Portfolio - r/Stocks Quarterly Thread December 2021 |
- Rate My Portfolio - r/Stocks Quarterly Thread December 2021
- r/Stocks Daily Discussion Wednesday - Dec 01, 2021
- Fed Chairman Jerome Powell warns Congress that inflation may keep rising next year
- The best brokerage is not the one with the best APP
- Is now a bad time to invest for the first time?
- Here is a Market Recap for today Tuesday, Nov 30, 2021. Please enjoy!
- AT&T Sees Slower Wireless Growth, Sending Stock to 12-Year Low
- Whats going on with Apple?
- 2021 Mantra: Buy the Dip
- DIS bear case: Disney has upside potential, but I don't trust the current management to execute
- [Bloomberg] China Plans to Ban Loophole Used by Tech Firms for Foreign IPOs
- Is NVDA a good buy right now?
- Do you have a Roth IRA in addition to a regular stock account? You're missing out much more than you think
- Intel as a long-term investment?
- A Omicron Volatile Market...Be Cool and Ride the Wave
- Potential rocket plays for the next 2 years?
- About the FED increasing rates...
- Sell Stock to lower capital gains around tax time?
- Stocks you can’t wait to see dip because you’re itching to buy them
- What I have learnt
- What is going on with AT&T?
- What's going on with SoFi?
- Is Wealthsimple "Trade" app any good?
- Can someone explain
- Wait for supposed crash or invest now
- Sony's Spiderman:No Way Home crashes movie ticket sites
- Have realized gains for the year but haven't realized my loss which would make me negative, what to do to avoid taxes?
| Rate My Portfolio - r/Stocks Quarterly Thread December 2021 Posted: 01 Dec 2021 02:00 AM PST 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. [link] [comments] |
| r/Stocks Daily Discussion Wednesday - Dec 01, 2021 Posted: 01 Dec 2021 02:30 AM PST These daily discussions run from Monday to Friday including during our themed posts. Some helpful links:
If you have a basic question, for example "what is EPS," then google "investopedia EPS" and click the investopedia article on it; do this for everything until you have a more in depth question or just want to share what you learned. Please discuss your portfolios in the Rate My Portfolio sticky.. See our past daily discussions here. Also links for: Technicals Tuesday, Options Trading Thursday, and Fundamentals Friday. [link] [comments] |
| Fed Chairman Jerome Powell warns Congress that inflation may keep rising next year Posted: 30 Nov 2021 08:05 AM PST " Federal Reserve Chairman Jerome Powell warned Congress that while the Federal Reserve continues to expect inflation will move down "significantly" over the next year, it "now appears that factors pushing inflation upward will linger well into next year." The new COVID-19 variant Omicron could have a negative impact on employment and inflation, Powell told Congress Tuesday in his prepared remarks. "The recent rise in COVID-19 cases and the emergence of the Omicron variant pose downside risks to employment and economic activity and increased uncertainty for inflation. Greater concerns about the virus could reduce people's willingness to work in person, which would slow progress in the labor market and intensify supply-chain disruptions," Powell said. He was appearing at a hearing before the Senate Committee on Banking, Housing and Urban Affairs to testify about the economic recovery from the pandemic. The World Health Organization flagged Omicron as a COVID variant of concern on Friday: it appears to spread quickly, and it's not yet known how effective existing vaccines are against it. According to Dr. Anthony Fauci, it'll be about two weeks before more is known about its transmissibility, severity and other characteristics. The Biden administration acted quickly to try and slow the spread of the new variant in the U.S., imposing travel restrictions on eight countries in Southern Africa. Officials are also urging Americans to get vaccinated or booster shots. On Monday, President Biden sought to calm Americans, characterizing the variant as cause for concern, but not panic. While Powell acknowledged that the economy is continuing to strengthen and conditions in the labor market are still improving, he also reminded senators that over the summer, the rapidly spreading Delta variant slowed the economic recovery and intensified supply chain disruptions. At the same time, Americans have been slammed by higher than anticipated prices as the U.S. struggles to reopen. Last month's Consumer Price Index showed inflation had risen at its fastest annual rate in more than 30 years at 6.2%. "Pandemic-related supply and demand imbalances have contributed to notable price increases in some areas. Supply chain problems have made it difficult for producers to meet strong demand, particularly for goods. Increases in energy prices and rents are also pushing inflation upward," Powell said during his remarks. The remarks about inflation echo past statements by Powell that it could persist into the third quarter of 2022. "We understand that high inflation imposes significant burdens, especially on those less able to meet the higher costs of essentials like food, housing, and transportation," Powell said. "We are committed to our price-stability goal. We will use our tools both to support the economy and a strong labor market and to prevent higher inflation from becoming entrenched." Treasury Secretary Janet Yellen also testified before senators on the state of the economic recovery from the pandemic Tuesday. Yellen has said if the U.S. wants to bring inflation down, it needs to make progress with the pandemic and when it succeeds, she anticipates prices will go return to normal some time in the second half of next year. Meanwhile, the U.S. continues to make progress in bringing down unemployment. On Friday, the Labor Department will release the jobs report for November. Last month, the economy added a higher than anticipated 531,000 jobs and revised the two prior reports upwards, after disappointing September and August numbers. The unemployment rate last month fell to 4.6%." [link] [comments] |
| The best brokerage is not the one with the best APP Posted: 30 Nov 2021 06:50 PM PST Up to January this year, I used to have a Fidelity account to mostly trade stocks and about two years ago started trading Options. After filling out some forms , Fidelity gave me Level 1 privileges which as you know you cannot do much other than selling covered calls, buy-writes. After a few months and some back and forth, they moved me to Level 2 in Oct 2020. I was sick of Fidelity so moved everything in January 2021 to TD Ameritrade. Man, they gave me level 4, options trading, and a HUGE Margin to start with. I tripled my account by trading options and using margin by the end of January to see that not only I lose the entire gain but also lose 25% of my initial investment by early March 2021. Finally, a few months ago sold all the growth stocks and put everything into SPY and QQQ and am now back to being like down 10% of my initial investment, and glad to say that finally moved back to Fidelity. I am not going to blame TDA but my own greed. However, now I understand that a good brokerage is the one trying to protect your investment and give you the privilege that you deserve based on your experience, not the one with the best App out there and is willing to give you whatever you hope for. [link] [comments] |
| Is now a bad time to invest for the first time? Posted: 30 Nov 2021 01:01 PM PST I had a post a few days ago asking what I should invest my first $2,000 in, now I'm debating wether now is the wrong time and if I should just wait due to how wild the market is and with the new omicron variant..? [link] [comments] |
| Here is a Market Recap for today Tuesday, Nov 30, 2021. Please enjoy! Posted: 30 Nov 2021 01:47 PM PST PsychoMarket Recap - Tuesday, November 30, 2021 Unfortunately, after a brief bounce in the market yesterday, volatility resumed as market participants continue to contemplate the potential impact of the new coronavirus 'Omicron' variant and new comments by newly re-elected Federal Reserve Chair Jerome Powell. Since the new variant was discovered last week, the S&P 500 (SPY) erased all its November gains and the Dow Jones (DIA) closed its worst month since April 2020, down more than 4%. Some Notable Numbers Today
J. Pow's latest remarks before the Senate Banking Committee spooked the markets, after he said he would back off from using the word "transitory" to describe rising inflation. This is very notable because the Central bank has been using the T-word since the beginning of the year, when it warned that steep differences in year-over-year comparisons and supply-chain bottlenecks would lead to elevated inflation. Powell said, ""We tend to use [the word transitory] to mean that it won't leave a permanent mark in the form of higher inflation. I think it's probably a good time to retire that word and try to explain more clearly what we mean." Originally, Central Bank officials hoped inflation would begin moderating in the second-half of 2021, something that has not happened. Instead, prices rose 6.2% in October, the fastest annual rise in the Consumer Price Index since 1990. The Personal Consumption Expenditures, which serve as the Fed's preferred measure of inflation came in 5% higher. Powell said the "risk of higher inflation has increased," but reiterated that his baseline expectation is for inflation to fall closer to the central bank's 2% target over the course of 2022. Adding salt to the wound, vaccine makers released new, less optimistic commentary regarding how effective existing vaccines are against the new Omicron variant. Moderna CEO Stephane Bancel said their current vaccine would likely see a "material drop" in effectiveness against the Omicron variant. He said, "There is no world, I think, where [the effectiveness] is the same level we had with [the] Delta [variant]. I think it's going to be a material drop. I just don't know how much because we need to wait for the data. But all the scientists I've talked to . . . are like, 'This is not going to be good'." https://www.ft.com/content/27def1b9-b9c8-47a5-8e06-72e432e0838f Both Pfizer and Moderna have said they were collecting data on the Omicron variant and that more definitive information would be available in the coming weeks. Researchers have not yet determined whether the new variant is more easily transmitted, or responsible for more severe illness, than previous versions of the virus. Vivek Paul, BlackRock Investment Institution Chief Investment Strategist said, "Information is coming rapidly, it's evolving in real-time. You can understand why investors [last week] were taking a little bit of a pause, particularly given the liquidity situation we had going into the U.S. holiday season. We think on balance, it would make sense to be invested in the markets at this moment in time. It's all about understanding whether or not this is a delay, or a derailment, of the restart that we've seen. And it seems most likely at this moment — notwithstanding more information to come— that it looks like a delay." I agree, it's important to acknowledge risks present in the markets but it is not time to panic yet, we simply do not have enough information yet. Highlights
"The way to get started is to quit talking and begin doing." - Walt Disney [link] [comments] |
| AT&T Sees Slower Wireless Growth, Sending Stock to 12-Year Low Posted: 30 Nov 2021 02:53 PM PST (Bloomberg) -- AT&T Inc. shares fell to a 12-year low Tuesday after Jeff McElfresh, the company's chief executive officer of communications, told investors at a conference that he expects customer growth to slow. The surge in new customers this year, fueled in part by free phone offers and slightly higher consumer spending, will probably cool off next year, McElfresh said at the event hosted by Wells Fargo & Co. "There's no doubt that the stimulus programs have put some extra cash into household budgets," McElfresh said. "And so we're not expecting that level of activity to continue into 2022 and beyond." The executive, who leads the company's wireless phone unit, added that AT&T would take "more than our fair share" of growth in the business over the next two to three years. AT&T shares were trading down 5.3% to $22.63 at 1:01 p.m. in New York. The comments also sent mobile peers Verizon Communications Inc. and T-Mobile US Inc. down about 2% and 4%, respectively. https://www.bnnbloomberg.ca/at-t-sees-slower-wireless-growth-sending-stock-to-12-year-low-1.1689189 [link] [comments] |
| Posted: 30 Nov 2021 01:02 PM PST Did I miss news or something on Apple? Most tech stocks are down over a 1% or more yet Apple currently closed up more then 3%. Did the company announce something or do any Apple investors have any insights on why Apple did super well today? Apple definitely helped off set losses in my portfolio today. [link] [comments] |
| Posted: 30 Nov 2021 04:12 PM PST A lot of people have been talking about buying the dip in the morning and making decent returns from it. I decided to backtest how good "Buy the Dip" could be intra-day Here is my setup: Enter (3min bars)
Exit (1min bars)
Initial capital $10,000
Results: Cumulative GAIN 48.89% | Max Draw Down -4.18% PS: Cannot post images here, need to figure out how I share them... ---------------- Have you been buying the dip this year? [link] [comments] |
| DIS bear case: Disney has upside potential, but I don't trust the current management to execute Posted: 30 Nov 2021 08:00 PM PST I know I will probably get downvoted heavily for this, but I want to provide a contrarian view here and would love to discuss further in the comments with anyone who agrees or disagrees (I'm very open to changing my mind). I believe that the best industries to invest in for the long run are media and tech due to the low cost of replicating their product for any number of consumers once a given piece of media or code is produced. For that reason, I have closely watched Disney for some time. Disney stock is down 18.45% YTD. I have been buying some of the dip on this stock recently, but as I have been doing more of my own DD on DIS, I've become increasingly hesitant to expand my position. I'm going to keep a small position because I believe so strongly in the Disney ecosystem of universes and stories that largely define our culture: Star Wars, Marvel, Pixar, Disney classics like Beauty and the Beast, etc., but overall I remain relatively bearish on this company. I believe that the management of Disney is weak, and has a track record of questionable acquisitions and weak implementation. Bob Chapek, the CEO, is a robot at best. He sounds dead inside. He has no flair or personality. he should be running a Lowe's or Target, not a media empire where cultural relevance and nimble action are key to creating viral hits. In interviews and earnings calls, he is generally vague and even sounds somewhat uninformed. He rarely has any data at hand and instead vaguely talks about potential opportunities. If he isn't data-driven and isn't inspiring, it's hard to see him as a strong leader. Listen to the latest earnings call; he failed to adequately answer pretty much any of the analysts' questions. Every question he is asked, Bob replies with some meaningless statements like wanting the consumer to decide or vaguely referring to the metaverse, or wanting to expand into sports betting. This is a problem. The direction that the management is taking the company seems unfocused. Disney should double down on Disney+ direct-to-consumer streaming and dollar-for-dollar blow Netflix's content production investments out of the water. Right now, Netflix is projected to spend $13.6B on new content in 2021, and Disney is projected to spend $33B, but much of Disney's content spend is going towards cable/sports/Hulu rather than doubling down and competing with Netflix via Disney+. Disney needs to focus on becoming the future children's stories, family adventures, myths, the metaverse, etc. of the emerging global culture and getting every household on a monthly subscription. They haven't had any new high-quality content since the Mandalorian (and potentially 1 or 2 of the marvel shows). This is why they only added 2 million new subscribers last quarter whereas Netflix added 4.4 million. Instead, Disney is messing around with ESPN+ and Hulu and considering dabbling in gambling. Hulu is trash and should be sold immediately. the content isn't cohesive with Disney's brand, so it can't be bundled directly into Disney+, so they should sell it and use that revenue to create more family-friendly video content, family games, video games, and books to build out their ecosystem. In the past 18 months, Netflix has put out many major hits including Squid Game, The Queen's Gambit, Ozark season 3, etc. Simply put, Netflix is outcompeting Disney right now. Every subscriber that Netflix adds is taking market share from competitors. Disney is struggling with product cannibalization as it tries to switch to a DTC model and is failing to produce top-notch content. The latest Star Wars trilogy was botched from the top down. It was not the actors' or screenwriters' fault. It was management failing to communicate between directors to create a cohesive story (you can read more about this independently). I know much of this occurred before Bob Chapek, but I think this shows that the broader management team across Disney is weak. Miscommunication on this scale is appalling. A truly passionate management would have paid careful attention to make the relaunch of Star Wars a lot less bumpy. ESPN+ should be spun off and sold immediately. It's great, but sports has never been what Disney is about, and another company could probably get more focused on making it a more profitable business model. I know betting is becoming more accepted, and I have nothing against it, but it definitely hurts Disney's brand to be moving towards getting involved with sports betting. This overall just does not align with Disney's vision. Disney is about the mouse, not the casino. Disney is so hesitant to move away from the old economy of cable and theaters, and this prevents them from dropping the freshest content directly on Disney+, which lowers the value of the subscription for consumers. I'm worried that this business is a bit of a dinosaur competing against nimble tech giants like Amazon, Apple, and Netflix all getting involved in streaming. This Halloween, kids were dressed up as characters from Netflix shows a lot more so than from Disney brands. Overall, I am worried that Disney's management choices over the past few years reflect that of AT&T's over the past decade. Poor acquisitions, poor implementation of strategies, and terrible returns for investors. The only thing propping up Disney right now is how timeless their legacy brand is, which gives them a moat that AT&Tnever had. This moat buys Disney time to get its act together, but that time may be running out. If you don't own any Disney, I would say it's a decent company to open a small position in, but for those of you heavily invested already, I think this is something to consider before you double down too heavily on these dips. As far as valuation, Disney's P/E looks high right now at 130, but once the parks and theaters get back to running full cylinders, I estimate their P/E will quickly come down below 50 if current trends hold. I know that P/E is a limited metric, but by whatever metric you look at, after the most recent dip, there is a strong argument that this is a relatively fair price point to buy in at. That said, I'm not convinced this is a particularly strong opportunity, and I like alternatives that are producing media like NFLX and AAPL better. Disclosure: I own shares of both Disney and Netflix. I am weighted more heavily towards Netflix, and I am just a guy on the internet so don't take my advice. [link] [comments] |
| [Bloomberg] China Plans to Ban Loophole Used by Tech Firms for Foreign IPOs Posted: 01 Dec 2021 12:52 AM PST China is planning to ban companies from going public on foreign stock markets through variable interest entities, according to people familiar with the matter, closing a loophole long used by the country's technology industry to raise capital from overseas investors. The ban, intended in part to address concerns over data security, is among changes included in a new draft of China's overseas listing rules that may be finalized as soon as this month, said the people, asking not to be identified discussing private information. Companies using the so-called VIE structure would still be allowed to pursue initial public offerings in Hong Kong, subject to regulatory approval, the people said. Companies currently listed in the U.S. and Hong Kong that use VIEs would need to make adjustments so their ownership structures are more transparent in regulatory reviews, especially in sectors off limits for foreign investment, the people said. It's unclear if that would mean a revamp of shareholders or, more drastically, a delisting of the most sensitive firms -- moves that could revive fears of a decoupling between China and the U.S. in areas like technology. Details of the proposed rules are still being discussed and could change. The overhaul would represent one of Beijing's biggest steps to crack down on overseas listings following the New York IPO of ride-hailing giant Didi Global Inc., which proceeded despite regulatory concerns. Authorities have since moved swiftly to halt the flood of firms seeking to go public in the U.S., shuttering a path that's generated billions of dollars for technology firms and their Wall Street backers. It's all part of a yearlong campaign to curb the breakneck growth of China's internet sector and what Beijing has termed a "reckless" expansion of private capital. Banning VIEs from foreign listings would close a gap that's been used for two decades by technology giants from Alibaba Group Holding Ltd. to Tencent Holdings Ltd. to sidestep restrictions on foreign investment and list offshore. It potentially thwarts the ambitions of firms like ByteDance Ltd. contemplating going public outside the mainland. The China Securities Regulatory Commission didn't immediately respond to a request for comment. While a universal ban on the VIE structure isn't being contemplated, a halt on foreign listings and additional review for Hong Kong IPOs would mean the model will no longer be a viable way for many startups to tap capital markets. Some investment banks have already been advised by regulators to stop work on new deals involving VIEs, a person familiar with the matter said. The demise of the VIE route would further threaten a lucrative line of business for Wall Street banks, which have helped almost 300 Chinese firms raise about $82 billion through first-time share sales in the U.S. over the past decade. VIEs have been a perennial worry for global investors given their shaky legal status. Pioneered by Sina Corp. and its investment bankers during a 2000 IPO, the VIE framework has never been formally endorsed by Beijing. It has nevertheless enabled Chinese companies to bypass rules on foreign investment in sensitive sectors including the internet industry. The structure allows a Chinese firm to transfer profits to an offshore entity -- registered in places like the Cayman Islands or British Virgin Islands -- with shares that foreign investors can then own. While virtually every major Chinese internet company has used the structure, it has become increasingly worrisome for Beijing after technology firms infiltrated every corner of Chinese life and amassed reams of consumer data. Companies holding the data of more than 1 million users must undergo approval when seeking listings in other nations, the Cyberspace Administration of China said in July. A cybersecurity review may also be required for firms planning IPOs in Hong Kong if it's decided that the listing will potentially have an impact on national security. The change hasn't stopped data-rich companies like music streaming venture Cloud Village Inc. and artificial intelligence giant SenseTime Group Inc. from planning debuts in the city. Till recently, authorities had little legal recourse to prevent sensitive overseas listings, as with the Didi IPO. Officials have asked the ride-hailing giant to devise a plan to delist from the U.S., people familiar said last week, an unprecedented request. Since a crackdown on Didi began in early July, only one mainland-based Chinese company has priced a U.S. IPO, while 29 have listed shares in Hong Kong, according to data compiled by Bloomberg. NetEase Inc.'s Cloud Village will debut in the city on Thursday, while the closely-watched offering of SenseTime is expected to start trading in the week of Dec. 13. A senior official at the securities regulator said last week that China fully supports companies that choose Hong Kong as a primary listing venue. China doesn't think delisting from the U.S. is a good thing for the companies, for global investors or for the China-U.S. relationship, added Shen Bing, director-general of the CSRC's department of international affairs. China's heightened regulatory scrutiny has been echoed in the U.S. The Securities and Exchange Commission has halted pending IPOs by Chinese companies until full disclosures of political and regulators risks are made, warning investors may not be aware they are actually buying shares of shell companies instead of direct stakes in businesses. [link] [comments] |
| Posted: 01 Dec 2021 12:20 AM PST Hey there guys, I just started analyzing stocks more and I thought I´ll try to do that and post it here. That´s my first analysis for NVDA. If you have any feedback for me that would be great and highly appreciated. If you have questions feel free to ask, I´ll try to answer everything. Today we will look through the basics of NVIDIA´s business and then see if we can come up with a fair value for NVDA´s stock using discounted free cashflow. This is not financial advice and I do not own shares in NVIDIA. Nevertheless I will try to stay as unbiased and objective as I can. Always do your own due diligence. First let´s review their different revenue streams. Their biggest stream, around 45% of their sales comes from Gaming. The Data Center makes up around 41%. Another 8% comes from Professional Visualization. Then there is 3% from OEM, and another 2% from Automotive. For the valuation: We take analyst estimates, we discount that by our required return of 9,2%. Then we use the perpetual growth rate of 2,5% and that gave us a fair value for NVDA´s stock of $327 per share. But because we have to account for NVDA´s equity as well, our fair value of equity would be $311 per share. Now feel free to include a margin of safety to that. With NVDA´s price being at $326 per share right now, it´s kind of fairly valued. That´s why I think buying heavily might not be a good idea. Although you can always dollar-cost-average. That´s where you invest every month the same amount. Where I see NVDA´s stock price in 5 years. We can calculate where the price might be in 5 years with the Earnings Per Share (EPS TTM), the Estimated Growth Rate and the Future P/E Value. With this method I get a stock price of $868 per share which is definitely higher than what it is now. What I´ll do. I believe NVIDIA is here to stay. I think they will stay for a long time and innovate even more. That´s why, although the price is not exactly where I would want it to be (I want to include a margin of safety), I will maybe start to dollar-cost-average. That way I won´t mind the volatile market and hold for the longterm. Thank you for reading and I hope I´ll see you again. [link] [comments] |
| Posted: 30 Nov 2021 01:57 PM PST I'm thinking that a good number of you have a Roth IRA, and you're taking advantage of what a Roth IRA provides an investor/trader. Basically, it works like this. Do you think you'll be alive when you're 60 years old? (Yes?/No?). If you think you'll be alive, do you think you'd like to be able to withdraw money and profits $$$ from a Roth IRA that's completely dodged Uncle Sam's greedy tax collecting arms? (Yes?/No?) If both answers are yes, you should have a Roth IRA. PERIOD. I don't care if you're 21 years old, 35 years old, or 58 years old. You should probably have a Roth IRA. Now, the big question of course is.... "What are the big downsides to having a Roth IRA?" The biggest downside, is that you're unable to withdraw any profits without incurring a tax penalty, until you're 59 1/2 years old. Key word here is profits. It's a myth that you can't withdraw anything from a Roth IRA. Once you've owned the Roth IRA a certain number of years, you're allowed to withdraw your contributions. You just can't also withdraw the winnings. They have to stay in the account until you're 59 1/2. What if I have an emergency and need the money? You can get your money out, but you'll just have to pay taxes on it, and there might be some other penalties associated with it. How much money do I need to have a Roth IRA? I'm pretty sure you can open one up with a very small amount of money. However, there is something that you'll need to be aware of. You can only contribute a certain amount of money per year. So you couldn't open a Roth IRA right now with 50k. If you have a 50k in your bank, that you'd like to put in a Roth IRA, you're out of luck. Instead, you have to start making yearly contributions. That's why it's important to start this process earlier rather than later. I believe you're limited to a maximum of 6k contribution per year, unless you're 50 years or older. At the age of 50, you're able to contribute 7k per year. I think the biggest struggle for people with Roth IRA's is that people think that they're putting their money away into a prison, and that money is going to be locked up until they're old and brittle and can't enjoy it any damn way. I was talking to my 18 year old son about a Roth IRA, and he just doesn't want to hear anything about it. For him, it's 41 years into the future before you can withdraw anything.... but THIS ISN'T TRUE. You can't withdraw profits. But at a certain point, you can withdraw contributions if you really got desperate. The way that I like to explain a Roth IRA to somebody, is to consider a bucket of water. Imagine that the Roth IRA is water at the very bottom of the bucket. You're mostly using the water at the top of the bucket, to occasionally scoop out a cup of water. The water at the bottom of the bucket just remains there, and it's still a part of the whole equation, but it's not being used. It's probably just going to stay at the very bottom of the bucket. That's your Roth IRA. So, if you're 35 years old right now, and somehow you got an inheritance of 100k, and you don't have a Roth IRA yet, you'd be foolish not to take 6k from that 100k and open up a Roth IRA. Take another 6k, and put it into the same Roth IRA in early January. So, you can contribute 12k of that 100k into a Roth IRA in the next 40 days. 6k for 2021 and 6k for 2022. Now, you as a 35 year old, might be thinking.... "But I don't want to mess with that 100k. I don't want to remove 12k of it for some dumb Roth IRA that I'm not going to use for 30 something years". But remember the water at the bottom of the bucket. Your 100k is still intact. It's still being 100 percent invested. It's just the 12k that went into your Roth IRA is at the very bottom of the bucket. Are you planning on spending ever last penny of your stock investing portfolio? No? You're always going to have some money in your stock market portfolio? Ok, then just consider this 12k that went into your Roth the very bottom of the bucket. Because in 24 1/2 years, you're going to thank your lucky stars that you did this. Also, come January 2023, you want to throw another 6k in that puppy. You can daytrade and swing trade and do any crazy things you want to do with it inside the Roth IRA, because it never creates any taxable events! Also, if you get super desperate, cause you lost your job, and you need money bad... You can at least withdraw your contributions with zero penalties (after a certain time period). So you can't really lose. Just do it. Even if you can only contribute 1k per year... DO IT. NOTE: Your Annual Income needs to be under 140k per year to contribute to a Roth IRA for that year. [link] [comments] |
| Intel as a long-term investment? Posted: 30 Nov 2021 03:12 PM PST I'm pretty new to stock trading, so don't hesitate to point out anything I omitted that you think would be worth mentioning regarding Intel. So Intel seems to be one of those tech underdogs who no one thinks will perform well in the future because they haven't been innovative at all in the past few years compared to companies like AMD and such. To me, this looks like a long-term buy opportunity:
My plan would be to hold the stock for a few years and cash in those nice dividends while waiting for the stock to become a growth one. I think Intel has already reached its floor price, and it would be very unlikely that the stock price goes any lower considering that it has strong fundamentals. What do you think? [link] [comments] |
| A Omicron Volatile Market...Be Cool and Ride the Wave Posted: 30 Nov 2021 03:06 AM PST I think I'm staying put and riding this wave. Gonna be bumpy, but stay focused, stay strong and hold the line gentlemen. Some impulse decisions are good. But be careful out here and don't be too impulsive. [link] [comments] |
| Potential rocket plays for the next 2 years? Posted: 30 Nov 2021 05:30 PM PST What are some current fairly priced plays with potential to rocket like SQ, NET, CRWD, SE, MRNA in the next 2ish years? I use those 5 specifically as examples because they were all highly touted here 1-1.5 years ago and did absolute wonders for my portfolio. So what currently offers the same potential for similar type moves in the $15-70ish range? [link] [comments] |
| About the FED increasing rates... Posted: 30 Nov 2021 01:15 PM PST So this seems to be the topic for today and I'm rather uneducated about it I decided to do some basic research. One of the things I found was this: https://www.macrotrends.net/2015/fed-funds-rate-historical-chart I was looking for a co-relation between the stock market and rates, but basically even when rates were not 0 and increasing (2016-2019) the market rallied anyways... well, not exactly, trade wars with China in 2018 caused quite a dip but that recovered in like 6 months and then kept on rallying. My question is: why is everyone going crazy about how if they increase rates now everything is gonna crash? Historically speaking rates have never been increased in a ridiculous manner, as in they increase in either a slow and steady manner or in a "ladder" graph manner (see 2004 and 2015 onwards). The dotcom bubble happened while rates were over 5%, same with the 2008 one. Based on the last 20~ years we can expect rates to take at least 2 years to go back up to a "decent" point (2~3%). What this means is that unless a first-time-ever event happens the FED is probably gonna increase their rates next year starting in either spring or summer and at the end of 2022 they're probably still gonna be sub 1%... which means we're talking about a 2~4 year progress until rates stop climbing and stabilize. This makes me wonder: why is everyone talking as if the FED starting to increase rates is the apocalypse for the market? What am I missing? Is everyone just absolutely ignorant or am I the one who's missing some other factors? I understand there's the whole debt to pay your debts, rollovers, whatever you want to call these things, as in highest interest rates = more expensive to finance growth, but I don't see how very slight increases are that much of a problem, it's still very cheap money and even though it might slow growth I don't see how it will stop it and make everything crash. Sure, the market will slow down a bit, growth stocks might stop skyrocketing 40~100% every year, but I don't see how they would stop growing. [link] [comments] |
| Sell Stock to lower capital gains around tax time? Posted: 01 Dec 2021 12:48 AM PST This year was awesome. I currently have $40K in realized gains. One of my stocks is down about $9K. I've been holding it for a while because I really thought it would go back up but now I am thinking of liquidating all my shares. I don't believe this stock will perform better over time as the past 5 months have really torn my portfolio. Might be a dumb question but should I sell these shares to lower my overall realized gains to avoid paying $40K in taxes ($31K instead). I started trading 6 months ago so I have not yet been exposed to paying taxes and all that for stock trading gains. [link] [comments] |
| Stocks you can’t wait to see dip because you’re itching to buy them Posted: 30 Nov 2021 11:23 PM PST Title says it all. With some FUD in the market right now due to a combination of Omicron, inflation concerns, overvaluation, tapering, etc., are there any stocks you're just waiting to fall so you can swoop in and buy them at a cheaper (and possibly fairer) price? I know I have a few… 1) ADBE: My lone non-purchase regret from when I started in April. I didn't know at the time just how big of a moat the company had, and when I found out, it was already in the 600s. Had a chance to buy during the September-October sell-off, but set my price level too low (wanted in under 500, but it never dipped under 550). If this thing dips back into the 500s, I'm entering and DCAing down. 2) HD/LOW: Didn't buy when I started because I saw the big climb on their charts, but these two chains basically have home improvement by the balls. Plus, they pay some handsome dividends. Ideally, I'd love for HD to come back to 300, but that won't likely happen barring something catastrophic, so maybe the 350s is where I start building a position. 3) GS: I panic sold this one during the last deep correction when I found out it had exposure to Evergrande, and while it was a profitable sell, it's since leaped back into the 400s. Likely won't get my original entry price of the 340s, but deep enough pullback will get my attention. 4) ABBV: Had this ticker and panic sold it when it crashed hard that one morning back in September. Only made a few dollars when I was up over $100 at one point. It then started another slow run upward. If it comes back to my original price of 107, I'm re-entering. Yours? [link] [comments] |
| Posted: 30 Nov 2021 04:45 PM PST So just a quick message to rely what I have learnt the past year investing. I basically came into a sizable amount of money and because my retirement accounts had been doing so well, I thought I would just throw in all that money and copy the retirement investments. My strategy was to invest for 2-3 years and then buy a house using my gains. I learnt a lot the last year about stocks and strategies. Whether or not that I made any money was irrelevant. Investing basically all my savings gave me stress, sleepless nights, and anxiety. You question every decision you make. I was investing money I didn't want to lose. The smallest movements in the market resulted in thousands in gains or losses and made me question what I was doing. Why? Because I had the wrong strategy. I took out all my money and now I'm just starting with $2k into index funds and I will DCA every month or so. I can live with that and the strategy will be for 10 years + so I don't care what happens on a daily basis. I won't even look at it. I only wished I had started this 15 years ago. My point is: plan out your strategy, investing timeframe, and what you're willing to lose if the market tanks short term. You'll win in the long term. I'm very optimistic for the future of technology with Microsoft, Google, Tesla and Nvidia my top picks. [link] [comments] |
| Posted: 30 Nov 2021 09:19 AM PST I bought back in May at $30 when they announced the dividend cut and Barron's featured it as a very-bullish cover story, recommending to buy the dip. The stock has just been an absolute disaster since then, and today's 5% drop seems to have no rational behind it. I still believe in the future of telecom; and AT&T is essentially part of a domestic oligopoly, but why is the price tanking, and when does it end? [link] [comments] |
| Posted: 30 Nov 2021 02:11 PM PST No, for real. First it gets dumped from 23 to 18 together with all the other black friday victims, then today it tries to recover, and the hugest candle at the end of the day dumps it down. And again on no news. Not even a clickbait "this is why X went down today" spamticles. Last time a bit ago it was the release of more shares for sale or something. [link] [comments] |
| Is Wealthsimple "Trade" app any good? Posted: 30 Nov 2021 09:45 PM PST I've been on Forex/Fidelity for quite some time, looking for a bit of a change. I found this app from WealthSimple which supposedly has a near-5 star rating, but the first few ratings are straight-up saying it's a scam. Is it worth trying? [link] [comments] |
| Posted: 30 Nov 2021 11:02 PM PST I'm not as active as I want to be in investing. So specifically I have 30 shares at an average of 10.05 a share and now that stock is at $33. I want to buy more into the company (I've missed out on some profit), so I know if I buy at this current price it will raise my average price per share. But after I buy and the price goes up and I want to sell let's say I bought 10 then sell 10 what happens, apart from some profit what happens to the value of the 30 other shares I have would they go back to its average price before. (Sorry if the answer is right in my face, I can't seem to wrap my head around this, I don't want to mess up and ruin something) [link] [comments] |
| Wait for supposed crash or invest now Posted: 30 Nov 2021 09:30 AM PST Everybody says that the market is overvalued and will crash soon (when interest rates go up) I am a student and invested a part of my inherited money. I did some dumb decisions in the beginning so my portfolio is now (with the small correction) at -13%. I still have like 1.5× times the cash that I transferred but I still have to wait for it to arrive at my broker due to regulations. That sucks cause I wanna buy the dip. Now I am asking myself should I keep some cash and wait for a large correction or invest rn? I am a student so I don't have disposable income to add each month. Thank you for your help! [link] [comments] |
| Sony's Spiderman:No Way Home crashes movie ticket sites Posted: 29 Nov 2021 05:33 PM PST
'Spider-Man: No Way Home' ticket demand crashed box office sites (cnbc.com) [link] [comments] |
| Posted: 30 Nov 2021 02:05 PM PST So I have about 12k realized gains for the year but got demolished by the market crash and would have realized loss of 6k if I were to sell now, is there a way to change this and not have to pay the taxes on the realized gains? [link] [comments] |
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