Nothing for today! The Stock Market Monster has decided to take a break for the HOLIDAYS. Do to the up and coming holiday's I will not return to my normal Thursday schedule until after the first of the year. Not much trading will go on over the next couple of weeks. Trading volume will be light. I will be back in action on January 6th 2011. Not sure if I can stay away that long! If I have something urgent to say I will let everyone know.
Enjoy the remainder of 2010 and have a Happy New Year!
Clay-
Thursday, December 16, 2010
Thursday, December 9, 2010
When Should I Sell My Stock?
I know many investors would like to know when they should sell their stock. Today I will explain my thought process of selling a stock and what to look for when making that important decision of taking a profit.
I cringe when I hear someone talk about how much money they are up in an individual stock and 6 months later they end up selling for a loss. This is a very common occurrence when investing in the stock market. I know! I’ve been there. When I first started investing I was terrible. I lost money because I didn’t have a clue on when to sell my stock. You must have patience when investing and be able to keep your composure when times get tough. Selling stock is a very crucial component to growing your portfolio, but selling at the wrong moment could cost you dearly!
Here is a brief list of what goes through my mind when I want to sell some stock
1. Your stock has more than doubled. As Jim Cramer would say. “Sell your initial investment and let the rest run.” You’re playing with the houses money! Hey I learned from the best (Thanks Jim) If you haven’t sold a single share when you have a gain of a 100% or more you’re being plain greedy! I promise that what goes up must come down! So please sell some stock.
2. Sell a percentage of your holdings if a stock runs up to far too fast. Many stocks run up from the trough (bottom) to peak (top) over a period of weeks in excess of 20%. I don’t know what it is about 20%, but I have seen a stock go on a great run and then suddenly run out of steam at the 20% mark. (Key moves 10%, 15%, and 20%.) I guess fund managers use round numbers. I always take some stock off the table at 20%. I never sell all my stock at once, but it’s imperative to lock in a profit after a 20% run.
3. Continuing on with the 20% move, I would like to add that I pay close attention to a stocks chart on this one. I don’t care what price I paid for the stock I will sell a portion of my holdings after a big run. I wait for the stock to pull back and then I enter back into the stock at a lower price. Buying and selling keeps me on my toes and forces me to pay attention to my stock like a shark.
4. Always sell into strength. It feels so good to sell when a stock is up. Don’t try to time the top of a move. By the time you try to figure that out the stock will be down a couple bucks ($$$). You’re trying to make money here! Stay focused on the task at hand. Sell when others are buying and buy when others are scared! This is how you make money. If everyone knows about the stock and its being hyped on the TV and Internet, I hate to burst your bubble, but the big money has already been made! Move on and find a better money making opportunity.
5. Always sell if the reason you invested in the stock changes for the worse. Business changes rapidly and when the outlook changes for a company in a negative fashion, run for cover! Shoot first and ask questions later. Sell immediately and sit on the sidelines to process the new information. You do not want to be caught in an out of favor stock. It will sink like a rock!
6. Sell when your portfolio value becomes over weighted in one stock. You don’t want to have too much money in one individual stock. It’s okay to have a couple of front runners, but keep it within reason. Example: if a single stock consists of more than 50% of your portfolio a change must be made.
7. If a better opportunity presents itself, feel free to sell a stock to put yourself in position to make a profit. It’s called opportunity cost! You have to take full advantage of any opportunity that leads to an increased chance to make money off your investments. I’ve done this many times. I would sell an under performing stock and reinvest the money in a higher quality company. This really does work! Don’t be the person to wait for your stock to break even and then sell. It won’t happen! Cut your losses and move on.
Obviously, much more information runs through my head, but this list will get you started in successfully making money in stocks! I buy stocks when they are cheap and I keep tabs on them as they progress and appreciate in price. The thing is people are less willing to buy stocks when they are perceived as to high (Expensive) It’s the same concept as shopping for a car. Everyone wants a deal! I may want to buy a new BMW for $40,000, but that’s a little steep! If I talked the car salesman down to $35,000 I would be getting a deal. I would be more willing to buy the car at $35,000 because it’s a bargain and not $40,000 or the fair value of the car. You can compare stocks to buying clothes, appliances, electronics, services, and groceries. You will pay up for a bargain! At least I would. Always look for value when investing. It all comes down to the future of a company. Value is where the money is made!
Sell a little in WFT and CAT. I’m going strictly off the charts on my recommendations. WFT and CAT are in overbought territory. Apple (AAPL) has been quiet for awhile. I like the chart on this one. It’s spooling up like a turbo!
Have a great night!
Clay-
I cringe when I hear someone talk about how much money they are up in an individual stock and 6 months later they end up selling for a loss. This is a very common occurrence when investing in the stock market. I know! I’ve been there. When I first started investing I was terrible. I lost money because I didn’t have a clue on when to sell my stock. You must have patience when investing and be able to keep your composure when times get tough. Selling stock is a very crucial component to growing your portfolio, but selling at the wrong moment could cost you dearly!
Here is a brief list of what goes through my mind when I want to sell some stock
1. Your stock has more than doubled. As Jim Cramer would say. “Sell your initial investment and let the rest run.” You’re playing with the houses money! Hey I learned from the best (Thanks Jim) If you haven’t sold a single share when you have a gain of a 100% or more you’re being plain greedy! I promise that what goes up must come down! So please sell some stock.
2. Sell a percentage of your holdings if a stock runs up to far too fast. Many stocks run up from the trough (bottom) to peak (top) over a period of weeks in excess of 20%. I don’t know what it is about 20%, but I have seen a stock go on a great run and then suddenly run out of steam at the 20% mark. (Key moves 10%, 15%, and 20%.) I guess fund managers use round numbers. I always take some stock off the table at 20%. I never sell all my stock at once, but it’s imperative to lock in a profit after a 20% run.
3. Continuing on with the 20% move, I would like to add that I pay close attention to a stocks chart on this one. I don’t care what price I paid for the stock I will sell a portion of my holdings after a big run. I wait for the stock to pull back and then I enter back into the stock at a lower price. Buying and selling keeps me on my toes and forces me to pay attention to my stock like a shark.
4. Always sell into strength. It feels so good to sell when a stock is up. Don’t try to time the top of a move. By the time you try to figure that out the stock will be down a couple bucks ($$$). You’re trying to make money here! Stay focused on the task at hand. Sell when others are buying and buy when others are scared! This is how you make money. If everyone knows about the stock and its being hyped on the TV and Internet, I hate to burst your bubble, but the big money has already been made! Move on and find a better money making opportunity.
5. Always sell if the reason you invested in the stock changes for the worse. Business changes rapidly and when the outlook changes for a company in a negative fashion, run for cover! Shoot first and ask questions later. Sell immediately and sit on the sidelines to process the new information. You do not want to be caught in an out of favor stock. It will sink like a rock!
6. Sell when your portfolio value becomes over weighted in one stock. You don’t want to have too much money in one individual stock. It’s okay to have a couple of front runners, but keep it within reason. Example: if a single stock consists of more than 50% of your portfolio a change must be made.
7. If a better opportunity presents itself, feel free to sell a stock to put yourself in position to make a profit. It’s called opportunity cost! You have to take full advantage of any opportunity that leads to an increased chance to make money off your investments. I’ve done this many times. I would sell an under performing stock and reinvest the money in a higher quality company. This really does work! Don’t be the person to wait for your stock to break even and then sell. It won’t happen! Cut your losses and move on.
Obviously, much more information runs through my head, but this list will get you started in successfully making money in stocks! I buy stocks when they are cheap and I keep tabs on them as they progress and appreciate in price. The thing is people are less willing to buy stocks when they are perceived as to high (Expensive) It’s the same concept as shopping for a car. Everyone wants a deal! I may want to buy a new BMW for $40,000, but that’s a little steep! If I talked the car salesman down to $35,000 I would be getting a deal. I would be more willing to buy the car at $35,000 because it’s a bargain and not $40,000 or the fair value of the car. You can compare stocks to buying clothes, appliances, electronics, services, and groceries. You will pay up for a bargain! At least I would. Always look for value when investing. It all comes down to the future of a company. Value is where the money is made!
Sell a little in WFT and CAT. I’m going strictly off the charts on my recommendations. WFT and CAT are in overbought territory. Apple (AAPL) has been quiet for awhile. I like the chart on this one. It’s spooling up like a turbo!
Have a great night!
Clay-
Thursday, December 2, 2010
We have ourselves a Bull Market Rally!
What an excellent week for stocks! Man I love making money in such a short period of time. This is the time to get excited about being invested in stocks! All the time and effort you put into finding that perfect stock and boom a big week! I can’t get enough of this game. It’s a game leaning in your favor. It’s the total opposite of the casino.
It drives me nuts when people say investing in the stock market is like gambling at the casino. Give me a break! If that was true can someone please explain the success of Warren Buffett? The success of how he is worth over $40 Billion from investing in stocks. After that great story is told walk the street and find a gambler. I guarantee you that person’s net worth doesn’t amount to a hill of beans! Rich people don’t gamble. Remember that!
I can’t even tell you how much money I have lost at the Casino when I was in college. I kid you not; I would probably have a nice little trading fund in excess of $25,000. No that’s not how much money I actually lost, but that money would have generated some serious gains over the past 10 years. I consider going to a Casino high priced entertainment and that’s about it. Of course its fun, but it won’t lead you to riches. Investing involves educating yourself in business and how to spot trends of companies that are winning with money. You find a company that continues to grow in value and you invest your money to grow with that company. That’s it! Plain and simple.
Who says you can’t make money in the stock market? Only those that have never made a dime, are misinformed and not educated about how the stock market truly works. I don’t know about you, but 1 day of trading and I can make more money than a person can all year + some in a high interest savings account.
Example: Of course I’m going to mention one of my favorite picks!
Westport Innovations (WPRT) up 4.10% today closed at $19.30 a share
4% in one day! A savings account barely pulls 1% per year at the current interest rates. It would take you 4+ years to make what WPRT did in a day.
I will risk my money everyday of the week for that reward! The reward outweighs the risk.
2nd great example: I just sold a portion of my holdings in Weatherford International (WFT) only because it has ran up from $17.00 to over $21.00 a share in about a month.
I was in at $17.99 a share and I sold a portion of my holdings into strength at $21.29 a share. That’s an 18.3% return! Back to my first example vs. a savings account it would take over 18 years to make the money I did in a single month!
All I’m trying to say is that anyone can make money investing in stocks if they take some time to do the proper research. You have to make investing fun in order to make money. When a person is having fun they will likely pay closer attention to their investments. If you don’t pay attention you have the potential to lose a lot of money.
That being said I’m all fired up this week. Stocks are working! Jobs are coming back and retail sales were up. The after Thanksgiving sale was a hit! That is a positive sign towards recovery. People are starting to spend money.
Apple (AAPL) is working closed at $318.15 a share less than a dollar of its 52 week high
Caterpillar (CAT) working like a charm trading at its 52 week high of $88.62
Weatherford (WFT) trading at its 52 week high of $21.19 a share
Westport Innovations (WPRT) getting ready to break out! Up 4.10 % at $19.30 a share
Intel (INTC) Up over 6% this month and continuing on an upward trend higher
Money is being made!
_______________________
Now lets change gears and discuss my findings on SodaStream (SODA)
I said I was going to come back to SodaStream (SODA) after Tuesday and I’m glad I told everyone to wait to buy this stock because it was crushed on Tuesday as it plummeted down 20.6% It lost $8.60 a share. Not to worry. Remember this stock went public and closed at $24.12 on the first trading day a month ago. It was at $41.60 on Monday 11/29/10. That’s a 72.4% move. That was a perfect time for investors to sell.
Soda actually had decent numbers and I continue to believe this stock will go higher. Revenues increased 51.7% in the 3rd qtr. That’s huge! The sell off had to do with profit taking and uncertainty. With the increased exposure into the U.S. market Soda has plenty of potential for growth. I don’t want to get into all the details of the conference call, but being a new company takes time for investors to adjust to management. I can say the CFO didn’t answer to many specific questions. He gave a lot of generic answers and very little information for SODA’s future earnings. I would keep SodaStream on the radar. I’m a buyer in the upper 20’s if it gets there. Beware of the volatility! This stock is crazy!
Check out the earnings call for yourself.
http://sodastream.investorroom.com/
(Recent post on Soda)
http://stockmarketmonster.blogspot.com/2010/11/sodastream-international-soda.html
Have a great night! Man stocks are hot!
Clay-
It drives me nuts when people say investing in the stock market is like gambling at the casino. Give me a break! If that was true can someone please explain the success of Warren Buffett? The success of how he is worth over $40 Billion from investing in stocks. After that great story is told walk the street and find a gambler. I guarantee you that person’s net worth doesn’t amount to a hill of beans! Rich people don’t gamble. Remember that!
I can’t even tell you how much money I have lost at the Casino when I was in college. I kid you not; I would probably have a nice little trading fund in excess of $25,000. No that’s not how much money I actually lost, but that money would have generated some serious gains over the past 10 years. I consider going to a Casino high priced entertainment and that’s about it. Of course its fun, but it won’t lead you to riches. Investing involves educating yourself in business and how to spot trends of companies that are winning with money. You find a company that continues to grow in value and you invest your money to grow with that company. That’s it! Plain and simple.
Who says you can’t make money in the stock market? Only those that have never made a dime, are misinformed and not educated about how the stock market truly works. I don’t know about you, but 1 day of trading and I can make more money than a person can all year + some in a high interest savings account.
Example: Of course I’m going to mention one of my favorite picks!
Westport Innovations (WPRT) up 4.10% today closed at $19.30 a share
4% in one day! A savings account barely pulls 1% per year at the current interest rates. It would take you 4+ years to make what WPRT did in a day.
I will risk my money everyday of the week for that reward! The reward outweighs the risk.
2nd great example: I just sold a portion of my holdings in Weatherford International (WFT) only because it has ran up from $17.00 to over $21.00 a share in about a month.
I was in at $17.99 a share and I sold a portion of my holdings into strength at $21.29 a share. That’s an 18.3% return! Back to my first example vs. a savings account it would take over 18 years to make the money I did in a single month!
All I’m trying to say is that anyone can make money investing in stocks if they take some time to do the proper research. You have to make investing fun in order to make money. When a person is having fun they will likely pay closer attention to their investments. If you don’t pay attention you have the potential to lose a lot of money.
That being said I’m all fired up this week. Stocks are working! Jobs are coming back and retail sales were up. The after Thanksgiving sale was a hit! That is a positive sign towards recovery. People are starting to spend money.
Apple (AAPL) is working closed at $318.15 a share less than a dollar of its 52 week high
Caterpillar (CAT) working like a charm trading at its 52 week high of $88.62
Weatherford (WFT) trading at its 52 week high of $21.19 a share
Westport Innovations (WPRT) getting ready to break out! Up 4.10 % at $19.30 a share
Intel (INTC) Up over 6% this month and continuing on an upward trend higher
Money is being made!
_______________________
Now lets change gears and discuss my findings on SodaStream (SODA)
I said I was going to come back to SodaStream (SODA) after Tuesday and I’m glad I told everyone to wait to buy this stock because it was crushed on Tuesday as it plummeted down 20.6% It lost $8.60 a share. Not to worry. Remember this stock went public and closed at $24.12 on the first trading day a month ago. It was at $41.60 on Monday 11/29/10. That’s a 72.4% move. That was a perfect time for investors to sell.
Soda actually had decent numbers and I continue to believe this stock will go higher. Revenues increased 51.7% in the 3rd qtr. That’s huge! The sell off had to do with profit taking and uncertainty. With the increased exposure into the U.S. market Soda has plenty of potential for growth. I don’t want to get into all the details of the conference call, but being a new company takes time for investors to adjust to management. I can say the CFO didn’t answer to many specific questions. He gave a lot of generic answers and very little information for SODA’s future earnings. I would keep SodaStream on the radar. I’m a buyer in the upper 20’s if it gets there. Beware of the volatility! This stock is crazy!
Check out the earnings call for yourself.
http://sodastream.investorroom.com/
(Recent post on Soda)
http://stockmarketmonster.blogspot.com/2010/11/sodastream-international-soda.html
Have a great night! Man stocks are hot!
Clay-
Thursday, November 25, 2010
SodaStream International (SODA)
Happy Thanksgiving!
I wasn’t going to talk about this company for another couple weeks, but the buzz for this stock is outrageous! The name of the company is SodaStream International (SODA).
SodaStream could be one of the hottest IPO’s for 2010. SODA initially went public back on Wednesday November 3rd and money has been pouring into this stock over the past few days. I first came across this company when Jim Cramer mentioned that SODA went public. Obviously, he has made me a lot of money with his stock picks and recommendations. I consider him one of the greatest investors of all time and the reason I enjoy investing in stocks. This stock is different! Jim mentioned SODA and Hansen Natural in the same sentence. That’s when I really became interested with SODA. Hansen Natural (HANS) is the maker of Monster Energy drinks and is one of greatest growth stocks of all time! I have never seen a stock move up as fast as Hansen Natural did in my 8 years of investing. Cramer said this company could be the next Hansen Natural. Of course this is pure speculation on Jim Cramer’s part, but if this product takes hold in the United States this stock will be very successful.
So what does SodaStream have to offer? SodaStream manufactures home beverage carbonation systems (AKA) soda makers. That’s right soda makers! Seems like a pretty easy concept. SODA offers more than just the soda maker, but everything that is needed to create your very own personalized drink. The products offered include the soda maker, flavors, bottles, and carbonators. I believe this product will catch on. Here are my reasons from the research that I have done.
1. It’s cheaper to make your own soda long term
2. It will help reduce the amount of aluminum and plastic consumption in the world (Go Green)
3. It’s healthier. From the companies home web page it states a drink has 1/3 less calories compared to the national brands.
4. It’s a simple process. Quick and Easy!
5. Soda stays carbonated for up to 2 weeks
6. Personalization of your own flavor and amount of carbonation will meet the needs of all consumers. (People are picky and making the drink to fit your personal preference is a plus)
7. Energy drinks. You can make your own. This one is my favorite since I drink a ton of Monster. I could take the difference in cost and invest the rest.
The main reason for potential success is SODA products allow for the creation of residual income. That means money will continue to come in over the lifetime of the soda maker. Companies that offer products that must be replenished are always great investments. Initially SODA will make a large amount of money off the soda makers and kits. Then repeat sales will continue with the flavors, carbonators, and accessories. It's a glorified money making machine!
The stock currently closed yesterday at $41.21. On November 3rd the first day of trading the stock closed at $24.12. That’s a 70.8% return. It was trading in the 30’s a couple days ago and I believe it will pull back next week after they report their 3rd qtr earnings on Tuesday. I would hold off on buying this stock until after Tuesday. Tuesday will give an idea of how well this product is taking hold and the future earnings for this stock. Once earnings are established I can reevaluate the stock price to determine if it’s still a buy. If this stock has half the growth of Hansen Natural it will perform well over the next few years!
I originally heard about this company from Cramer, but I ran across this product while on the job. I took a field trip to a facility that my company works with on a daily basis and the gentlemen that oversees operations had a bottle full of soda. He mentioned he bought a soda maker and he loves it! He said it’s cheaper than store bought pop and his favorite flavor is root beer. I thought this was a great idea. I told my wife about it and said I may want a soda maker. A few weeks later SODA went public. You never know when an investment idea may arise. This was one of them! On another positive note, yesterday I received the mail and I came across the Bed Bath & Beyond add for the week. I couldn’t believe it when I saw a soda maker. I went crazy when I saw that! I think this stock will be a huge money maker. Check it out for yourself! For more information visit
http://www.sodastreamusa.com/default.aspx
If you are willing to take some risk this could be the stock for you. This is the perfect opportunity for growth. I think I’m going to ask for a soda maker for Christmas!
That’s it for SODA! In closing I want to touch on the market in general.
Stocks have been performing very well and I like it! The economy is turning and the majority of companies are making money. 2011 should be a good year for stocks. Keep buying your favorite stocks on pullbacks and sell a portion of your winners on up days like yesterday.
Have a great day! Enjoy the turkey.
Clay-
Monster Status (Stocks I like)
Apple (AAPL)
Caterpillar (CAT)
Weatherford International (WFT)
Westport Innovations (WPRT) up 5.16% yesterday
I wasn’t going to talk about this company for another couple weeks, but the buzz for this stock is outrageous! The name of the company is SodaStream International (SODA).
SodaStream could be one of the hottest IPO’s for 2010. SODA initially went public back on Wednesday November 3rd and money has been pouring into this stock over the past few days. I first came across this company when Jim Cramer mentioned that SODA went public. Obviously, he has made me a lot of money with his stock picks and recommendations. I consider him one of the greatest investors of all time and the reason I enjoy investing in stocks. This stock is different! Jim mentioned SODA and Hansen Natural in the same sentence. That’s when I really became interested with SODA. Hansen Natural (HANS) is the maker of Monster Energy drinks and is one of greatest growth stocks of all time! I have never seen a stock move up as fast as Hansen Natural did in my 8 years of investing. Cramer said this company could be the next Hansen Natural. Of course this is pure speculation on Jim Cramer’s part, but if this product takes hold in the United States this stock will be very successful.
So what does SodaStream have to offer? SodaStream manufactures home beverage carbonation systems (AKA) soda makers. That’s right soda makers! Seems like a pretty easy concept. SODA offers more than just the soda maker, but everything that is needed to create your very own personalized drink. The products offered include the soda maker, flavors, bottles, and carbonators. I believe this product will catch on. Here are my reasons from the research that I have done.
1. It’s cheaper to make your own soda long term
2. It will help reduce the amount of aluminum and plastic consumption in the world (Go Green)
3. It’s healthier. From the companies home web page it states a drink has 1/3 less calories compared to the national brands.
4. It’s a simple process. Quick and Easy!
5. Soda stays carbonated for up to 2 weeks
6. Personalization of your own flavor and amount of carbonation will meet the needs of all consumers. (People are picky and making the drink to fit your personal preference is a plus)
7. Energy drinks. You can make your own. This one is my favorite since I drink a ton of Monster. I could take the difference in cost and invest the rest.
The main reason for potential success is SODA products allow for the creation of residual income. That means money will continue to come in over the lifetime of the soda maker. Companies that offer products that must be replenished are always great investments. Initially SODA will make a large amount of money off the soda makers and kits. Then repeat sales will continue with the flavors, carbonators, and accessories. It's a glorified money making machine!
The stock currently closed yesterday at $41.21. On November 3rd the first day of trading the stock closed at $24.12. That’s a 70.8% return. It was trading in the 30’s a couple days ago and I believe it will pull back next week after they report their 3rd qtr earnings on Tuesday. I would hold off on buying this stock until after Tuesday. Tuesday will give an idea of how well this product is taking hold and the future earnings for this stock. Once earnings are established I can reevaluate the stock price to determine if it’s still a buy. If this stock has half the growth of Hansen Natural it will perform well over the next few years!
I originally heard about this company from Cramer, but I ran across this product while on the job. I took a field trip to a facility that my company works with on a daily basis and the gentlemen that oversees operations had a bottle full of soda. He mentioned he bought a soda maker and he loves it! He said it’s cheaper than store bought pop and his favorite flavor is root beer. I thought this was a great idea. I told my wife about it and said I may want a soda maker. A few weeks later SODA went public. You never know when an investment idea may arise. This was one of them! On another positive note, yesterday I received the mail and I came across the Bed Bath & Beyond add for the week. I couldn’t believe it when I saw a soda maker. I went crazy when I saw that! I think this stock will be a huge money maker. Check it out for yourself! For more information visit
http://www.sodastreamusa.com/default.aspx
If you are willing to take some risk this could be the stock for you. This is the perfect opportunity for growth. I think I’m going to ask for a soda maker for Christmas!
That’s it for SODA! In closing I want to touch on the market in general.
Stocks have been performing very well and I like it! The economy is turning and the majority of companies are making money. 2011 should be a good year for stocks. Keep buying your favorite stocks on pullbacks and sell a portion of your winners on up days like yesterday.
Have a great day! Enjoy the turkey.
Clay-
Monster Status (Stocks I like)
Apple (AAPL)
Caterpillar (CAT)
Weatherford International (WFT)
Westport Innovations (WPRT) up 5.16% yesterday
Thursday, November 18, 2010
Was the GM IPO a success? (Initial Public Offering)
Today GM went public and it started off with a bang! The stock opened up at $35.00 a share. That's a 6.0% move to the upside right out of the gate. The demand for this stock out-stripped the supply as GM was up higher than the initial IPO price of $33.00. At one point during the day the stock reached a price of $35.99 a nice solid 9.0% gain for those who had the opportunity to cash in at the top of the trading day. So was the IPO a success?
It closed up on the day. I suppose with the increased price range from last week that the stock was priced just right. GM came out to do one thing and that was to raise money. The government stake has been reduced and GM is back in business. So yes the GM IPO was a success! I'm used to seeing IPO's where the stock has double digit gains on the first day. The difference in GM and other IPO's is many investors know what GM is capable of. GM can make money now that they have cleaned up their act and emerged from bankruptcy. They are leaner and in a perfect position to take advantage of the upswing in the economy. With the continued improvement in the job market and the American consumer beginning to spend more money on discretionary items, selling cars is the perfect business to be a part of.
Everyone likes a new car! With the skepticism of GM emerging from bankruptcy behind them, I believe many investors will want a piece of the pie. So what if the stock didn't pop up huge today! The price range shifted towards the upper end and the demand was still there. As long as the demand continues to be strong the stock will go higher. I'm a buyer at $32.00 a share as an initial entry for this stock. The volume will dry up over the next couple of days and the stock should drift close to this price. If you can't wait, be my guest and by the stock, but remember to buy a small portion initially and increase your position on weakness over a couple of weeks. GM was and still has the potential to be the great company it once was before it collapsed. Everyone deserves a second chance and GM has plenty to prove this time around. Now that GM is off to a fresh start they can now focus on taking back the market share they gave up from all of the turmoil.
The only negative I have is GM still has to eventually decrease the government's stake in the company. Being in business with the government is never a good thing. I guess you can compare it to debt. Once the government is out of the picture GM can make any decision they like without the input of taxpayers. GM will prevail! Once again I'm a buyer at $32.00 a share. I may be conservative on my entry of this IPO, but if I buy right I will be able to sell right for a profit. In the end it's all about investing for future earnings and I see plenty of good quarters ahead for GM.
Happy trading!
Clay-
It closed up on the day. I suppose with the increased price range from last week that the stock was priced just right. GM came out to do one thing and that was to raise money. The government stake has been reduced and GM is back in business. So yes the GM IPO was a success! I'm used to seeing IPO's where the stock has double digit gains on the first day. The difference in GM and other IPO's is many investors know what GM is capable of. GM can make money now that they have cleaned up their act and emerged from bankruptcy. They are leaner and in a perfect position to take advantage of the upswing in the economy. With the continued improvement in the job market and the American consumer beginning to spend more money on discretionary items, selling cars is the perfect business to be a part of.
Everyone likes a new car! With the skepticism of GM emerging from bankruptcy behind them, I believe many investors will want a piece of the pie. So what if the stock didn't pop up huge today! The price range shifted towards the upper end and the demand was still there. As long as the demand continues to be strong the stock will go higher. I'm a buyer at $32.00 a share as an initial entry for this stock. The volume will dry up over the next couple of days and the stock should drift close to this price. If you can't wait, be my guest and by the stock, but remember to buy a small portion initially and increase your position on weakness over a couple of weeks. GM was and still has the potential to be the great company it once was before it collapsed. Everyone deserves a second chance and GM has plenty to prove this time around. Now that GM is off to a fresh start they can now focus on taking back the market share they gave up from all of the turmoil.
The only negative I have is GM still has to eventually decrease the government's stake in the company. Being in business with the government is never a good thing. I guess you can compare it to debt. Once the government is out of the picture GM can make any decision they like without the input of taxpayers. GM will prevail! Once again I'm a buyer at $32.00 a share. I may be conservative on my entry of this IPO, but if I buy right I will be able to sell right for a profit. In the end it's all about investing for future earnings and I see plenty of good quarters ahead for GM.
Happy trading!
Clay-
Friday, November 5, 2010
A Great Deal Of Optimism On The Week!
Yesterday was a beautiful day for the stock market. The DJIA was up over 200+ Points. You couldn’t ask for a better day. I’m going to be all over the place today so pay attention!
Now that the election is behind us a lot of investors are coming back into the market. The worries about indecision have been put to rest. Now that the House is majority Republican the checks and balances of the House and Senate is in place. Will this change anything? I don’t know, but for some people they believe this will prevent or minimize the amount of anti business bills to pass. Politics isn’t my specialty! I’m only concerned about the stock market. What the government does is out my control.
The first positive I greatly appreciated began with President Obama stating that he was receptive to talks about extending the Bush tax cuts. Reducing the amount of tax across all incomes is ideal to grow the economy. Less tax allows people to spend more money on goods and invest money back into small businesses to create jobs and allow opportunities for growth. I’m not rich and I get taken to the cleaners on paying tax. I don’t care who you are and how much money you make, when you have to pay higher taxes you’re going to get upset. Bring on the tax cuts! Tax cuts welcome! Another mention by Obama was natural gas. Natural gas backed by the government is great for Westport Innovations (WPRT) and the oil service companies. Companies like Weatherford International (WFT), Schlumberger (SLB), Halliburton (HAL), and Baker Hughes (BHI). Another good one would be Chesapeake Energy (CHK).
With higher commodity prices the energy sector should be perfect for some great returns. Over the past few days Weatherford (WFT) has moved up big. Yesterday it was up over 6.0%. I continue to back this company as the stock is cheap compared to its earnings growth. Westport (WPRT) reported earnings and from the earnings transcript business is good. It was beat up yesterday and is down as I’m writing do to the announcement that they will be issuing more stock, which in turn dilutes the current shareholders value. Usually this is a negative, but I believe this is a great opportunity to buy the stock lower. Remember Congress will reintroduce the energy bill in November for passage. Getting this bill to pass will boost Westport’s earnings drastically. This stock will move up so fast even Usane Bolt would be left in the dust! Lastly, higher commodity prices will sweeten the earnings for Caterpillar (CAT) as higher prices will boost demand for their machinery. I thought CAT would hit the low $70’s in price. I don’t think that is going to happen anytime soon!
The buying action over the past week continues to surprise me! Stocks should continue higher for the remainder of the year. I’m still looking for the big pull back, but I remain optimistic. Oh yeah how about that October employment number! October was a great month as we added 151,000 jobs. First gain in 4 months. Not bad!
Have a great day!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday
Occasional Stock Market Commentary during the week.
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Now that the election is behind us a lot of investors are coming back into the market. The worries about indecision have been put to rest. Now that the House is majority Republican the checks and balances of the House and Senate is in place. Will this change anything? I don’t know, but for some people they believe this will prevent or minimize the amount of anti business bills to pass. Politics isn’t my specialty! I’m only concerned about the stock market. What the government does is out my control.
The first positive I greatly appreciated began with President Obama stating that he was receptive to talks about extending the Bush tax cuts. Reducing the amount of tax across all incomes is ideal to grow the economy. Less tax allows people to spend more money on goods and invest money back into small businesses to create jobs and allow opportunities for growth. I’m not rich and I get taken to the cleaners on paying tax. I don’t care who you are and how much money you make, when you have to pay higher taxes you’re going to get upset. Bring on the tax cuts! Tax cuts welcome! Another mention by Obama was natural gas. Natural gas backed by the government is great for Westport Innovations (WPRT) and the oil service companies. Companies like Weatherford International (WFT), Schlumberger (SLB), Halliburton (HAL), and Baker Hughes (BHI). Another good one would be Chesapeake Energy (CHK).
With higher commodity prices the energy sector should be perfect for some great returns. Over the past few days Weatherford (WFT) has moved up big. Yesterday it was up over 6.0%. I continue to back this company as the stock is cheap compared to its earnings growth. Westport (WPRT) reported earnings and from the earnings transcript business is good. It was beat up yesterday and is down as I’m writing do to the announcement that they will be issuing more stock, which in turn dilutes the current shareholders value. Usually this is a negative, but I believe this is a great opportunity to buy the stock lower. Remember Congress will reintroduce the energy bill in November for passage. Getting this bill to pass will boost Westport’s earnings drastically. This stock will move up so fast even Usane Bolt would be left in the dust! Lastly, higher commodity prices will sweeten the earnings for Caterpillar (CAT) as higher prices will boost demand for their machinery. I thought CAT would hit the low $70’s in price. I don’t think that is going to happen anytime soon!
The buying action over the past week continues to surprise me! Stocks should continue higher for the remainder of the year. I’m still looking for the big pull back, but I remain optimistic. Oh yeah how about that October employment number! October was a great month as we added 151,000 jobs. First gain in 4 months. Not bad!
Have a great day!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday
Occasional Stock Market Commentary during the week.
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Thursday, November 4, 2010
Thursday Post On Hold! Cars!!!!
I have a ton to say, but it will have to wait until tomorrow. I had a little issue with my wife's car that I had to attend to. The stock market was stellar today! The past few days has really changed the perception on stocks and the future of the stock market. Stay tuned... I appreciate your patience.
Thank You,
Clay-
Thank You,
Clay-
Thursday, October 28, 2010
Apple and Caterpillar Results
I did my research over the past few days and this is what I came up with. First let’s start with the tech giant Apple (AAPL).
Apple (AAPL) reported record revenue and had the highest earnings in company history. They reported revenue of $20.34 Billion and net quarterly earnings of $4.31 billion. That comes out to $4.64 per diluted share. This time last year Apple made $12.21 Billion with earnings of $2.53 Billion or $2.77 a share. They earned 67.5% more a share from a year ago. $4.64 vs. $2.77. That’s works out to be $1.87 more a share. That is a phenomenal number! Apple sold 3.89 million macs, 14.1 million iPhones (Up 91% from last year), 9.05 million iPods, and 4.19 million iPads. All products were up in unit growth – the iPod which was down 11% from a year ago. International growth continues to drive sales.
The numbers are very promising for Apple in the near future. As of today Verizon is now offering the iPad in stores. I’m interested to see next quarter numbers with the addition of Verizon. The iPhone is the largest revenue driver for Apple and with the new release of the white iPhone (Different Color) in the coming months, there should be a nice spike in iPhone sales. Also, the introduction of Apple TV should add another line of revenue to the company.
The Holiday is always a great time for tech gadgets and Apple should benefit nicely from the Christmas season. Apple continues to improve the strength of their business and I don’t see this company letting up anytime soon. This is still a strong buy for me. I can’t even explain what Apple has in store next as the conference call was full of exciting up and coming business. You have to listen for yourself to understand the positive outlook for Apple’s future. Check it out!
Conference Call
http://www.apple.com/quicktime/qtv/earningsq410/
Next let’s move onto the Peoria Powerhouse! Better known as Caterpillar (CAT)
Caterpillar (CAT) had a great number as I mentioned last week. Compared to last year Caterpillar is on a roll! They earned $1.22 vs. $0.64 this is a $0.58 a share increase from 2009 3rd quarter earnings. That’s an increase of 90.6% in earnings per share. Now here is my take on the earnings. CAT is doing extremely well! The increase in sales volume, favorable pricing, and an improvement in manufacturing costs helped Caterpillar rise to the top for the 3Q 2010 earnings. Other positives include an increase in 2010 sales and revenue from a range of $39 to $42 Billion to a revised number of $41 to $42 Billion. This is slightly higher, but definitely an improvement. The 2011 outlook continues the upward trend at a projection close to $50 Billion. The potential for an $8 Billion increase in sales and revenue should attract new investors. Caterpillar continues to increase their exposure internationally, which should drive sales for 2011.
From browsing over the numbers all sales and revenue were up in all geographical regions compared to the 3rd quarter last year (2009). Much of the growth has come from the machinery side of the business. Machinery sales and revenues were up 89% in North America, 121% in Latin American, 60% in EAME, and 81% in Asia/Pacific. Over 60% of sales and revenue was generated internationally. Engine sales were up 21% from 2009, but I see the bulk of the money being made in machinery. The outlook for 2011 is promising due to the favorable growth rates of the developing countries. The standout for growth has Asia/Pacific in the lead projected to grow at 7.5%.
With increased pricing in commodities into 2011 the demand for Caterpillar’s products should strengthen. The last thing I would like to say is even in hard times Caterpillar was still able to add 6,200 Full time jobs and 9,000 agency/part-time workers in 2010. The Peoria Powerhouse makes money and creates jobs! It’s flat out beautiful to see a company make tremendous strides from a year ago. My take (CAT is a strong BUY!) The story of the Peoria Powerhouse continues on! Yeah Buddy!
P.S. Westport Innovations (WPRT) just received a big purchase order for 180 Peterbilt liquefied natural gas (LNG) trucks including Westport HD Systems. The purchasing company is Robert Transport out of Boucherville, Quebec. Looks like this natural gas thing may be catching on. Hmm! My take (WPRT goes higher!)
Have a great night. I will be back in action on Thursday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday.
Occasional Stock Market Commentary during the week.
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Apple (AAPL) reported record revenue and had the highest earnings in company history. They reported revenue of $20.34 Billion and net quarterly earnings of $4.31 billion. That comes out to $4.64 per diluted share. This time last year Apple made $12.21 Billion with earnings of $2.53 Billion or $2.77 a share. They earned 67.5% more a share from a year ago. $4.64 vs. $2.77. That’s works out to be $1.87 more a share. That is a phenomenal number! Apple sold 3.89 million macs, 14.1 million iPhones (Up 91% from last year), 9.05 million iPods, and 4.19 million iPads. All products were up in unit growth – the iPod which was down 11% from a year ago. International growth continues to drive sales.
The numbers are very promising for Apple in the near future. As of today Verizon is now offering the iPad in stores. I’m interested to see next quarter numbers with the addition of Verizon. The iPhone is the largest revenue driver for Apple and with the new release of the white iPhone (Different Color) in the coming months, there should be a nice spike in iPhone sales. Also, the introduction of Apple TV should add another line of revenue to the company.
The Holiday is always a great time for tech gadgets and Apple should benefit nicely from the Christmas season. Apple continues to improve the strength of their business and I don’t see this company letting up anytime soon. This is still a strong buy for me. I can’t even explain what Apple has in store next as the conference call was full of exciting up and coming business. You have to listen for yourself to understand the positive outlook for Apple’s future. Check it out!
Conference Call
http://www.apple.com/quicktime/qtv/earningsq410/
Next let’s move onto the Peoria Powerhouse! Better known as Caterpillar (CAT)
Caterpillar (CAT) had a great number as I mentioned last week. Compared to last year Caterpillar is on a roll! They earned $1.22 vs. $0.64 this is a $0.58 a share increase from 2009 3rd quarter earnings. That’s an increase of 90.6% in earnings per share. Now here is my take on the earnings. CAT is doing extremely well! The increase in sales volume, favorable pricing, and an improvement in manufacturing costs helped Caterpillar rise to the top for the 3Q 2010 earnings. Other positives include an increase in 2010 sales and revenue from a range of $39 to $42 Billion to a revised number of $41 to $42 Billion. This is slightly higher, but definitely an improvement. The 2011 outlook continues the upward trend at a projection close to $50 Billion. The potential for an $8 Billion increase in sales and revenue should attract new investors. Caterpillar continues to increase their exposure internationally, which should drive sales for 2011.
From browsing over the numbers all sales and revenue were up in all geographical regions compared to the 3rd quarter last year (2009). Much of the growth has come from the machinery side of the business. Machinery sales and revenues were up 89% in North America, 121% in Latin American, 60% in EAME, and 81% in Asia/Pacific. Over 60% of sales and revenue was generated internationally. Engine sales were up 21% from 2009, but I see the bulk of the money being made in machinery. The outlook for 2011 is promising due to the favorable growth rates of the developing countries. The standout for growth has Asia/Pacific in the lead projected to grow at 7.5%.
With increased pricing in commodities into 2011 the demand for Caterpillar’s products should strengthen. The last thing I would like to say is even in hard times Caterpillar was still able to add 6,200 Full time jobs and 9,000 agency/part-time workers in 2010. The Peoria Powerhouse makes money and creates jobs! It’s flat out beautiful to see a company make tremendous strides from a year ago. My take (CAT is a strong BUY!) The story of the Peoria Powerhouse continues on! Yeah Buddy!
P.S. Westport Innovations (WPRT) just received a big purchase order for 180 Peterbilt liquefied natural gas (LNG) trucks including Westport HD Systems. The purchasing company is Robert Transport out of Boucherville, Quebec. Looks like this natural gas thing may be catching on. Hmm! My take (WPRT goes higher!)
Have a great night. I will be back in action on Thursday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday.
Occasional Stock Market Commentary during the week.
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Sunday, October 24, 2010
Homework! It's The Only Way.
I said on Thursday I was going to research in depth on the 3rd qtr results of CAT and AAPL, however I was unable to accomplish this task. Conference calls are about 1 hour in length and my smart phone wasn’t agreeing with me. Listening to conference calls while in transit to work is the best way to go. So I will work to listen to all 3 calls over the next few days. I rely heavily on homework and will not give any advice until my research is complete.
That being said doing your own research is very important to finding great investments. Investing is hard work, but it pays off when the proper steps are taken to finding that undiscovered company. When investing in stocks the potential for huge profits is during the infancy of a company. Investing before a company is discovered by all of the big institutions is a great way to supercharge your investment portfolio. I like to have a mix of small, medium, and large companies. Large companies offer income and stability. Medium size companies offer growth with minimal income and small companies offer rapid growth (Like Westport Innovations).
Small companies have the potential to make an investor a millionaire with a small investment over time. Now that’s exciting! That is the reason behind diversification. You don’t want to have all of your money tied up in large companies. This may be a more conservative approach by investing in the well known large cap companies, but the potential for significant returns is minimal. Plus in my opinion it’s truly boring! I like change and new companies entering the market is a great recipe to fight boredom.
If investing becomes boring, you’re not as likely to pay attention to your investments. Not paying attention will lose you money. Losing money is not a part of my vocabulary. Yes I lose money just like everyone else, but I minimize my losses with proper research and cut my losses early to move onto better money making opportunities.
The message for today is homework. Everyone had to do homework throughout their school years and in order to get ahead one must continue to do homework for the rest of their lives. Homework prepares one for opportunity. The opportunity to take the money to the bank! LOL!
Also, Schlumberger (SLB) I mentioned on Thursday reported on Friday. They had a solid quarter and the stock closed up 5.38%. Looks like oil service demand is steadily rising. The future for this Industry is heating up for potential profits in the near term.
Lastly, I would like to mention that for the next couple of months I’m going to blog only on Thursdays. This will allow for more time to research and will provide quality posts that can make everyone money.
Happy Sunday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
That being said doing your own research is very important to finding great investments. Investing is hard work, but it pays off when the proper steps are taken to finding that undiscovered company. When investing in stocks the potential for huge profits is during the infancy of a company. Investing before a company is discovered by all of the big institutions is a great way to supercharge your investment portfolio. I like to have a mix of small, medium, and large companies. Large companies offer income and stability. Medium size companies offer growth with minimal income and small companies offer rapid growth (Like Westport Innovations).
Small companies have the potential to make an investor a millionaire with a small investment over time. Now that’s exciting! That is the reason behind diversification. You don’t want to have all of your money tied up in large companies. This may be a more conservative approach by investing in the well known large cap companies, but the potential for significant returns is minimal. Plus in my opinion it’s truly boring! I like change and new companies entering the market is a great recipe to fight boredom.
If investing becomes boring, you’re not as likely to pay attention to your investments. Not paying attention will lose you money. Losing money is not a part of my vocabulary. Yes I lose money just like everyone else, but I minimize my losses with proper research and cut my losses early to move onto better money making opportunities.
The message for today is homework. Everyone had to do homework throughout their school years and in order to get ahead one must continue to do homework for the rest of their lives. Homework prepares one for opportunity. The opportunity to take the money to the bank! LOL!
Also, Schlumberger (SLB) I mentioned on Thursday reported on Friday. They had a solid quarter and the stock closed up 5.38%. Looks like oil service demand is steadily rising. The future for this Industry is heating up for potential profits in the near term.
Lastly, I would like to mention that for the next couple of months I’m going to blog only on Thursdays. This will allow for more time to research and will provide quality posts that can make everyone money.
Happy Sunday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, October 21, 2010
Caterpillar-The Peoria Powerhouse!
Caterpillar (CAT) was and still is the reigning champion of the farm and construction industry! Today they have proven to the world that they can deliver even in a slow economy. Caterpillar came out blazing with a phenomenal quarter beating analysts’ estimates by $0.13 or roughly 12% higher than expectations. The number was $1.22 vs. $1.09 a share. 12% seems good, but what about comparing to this time last year? Caterpillar earned $1.22 vs. $0.64. That’s a 90.6% increase in earnings. A number like that is truly amazing!
Caterpillar beat estimates, had great revenue, and raised their guidance for the remainder of 2010. What more can you ask for? All of these positives point to a higher stock price for Caterpillar. Today was a day filled with profit taking. This stock is up over 38% since the beginning of the year. That’s a huge gain and it would be reckless not to take a little something off the table. A stock like this doesn't come around very often. Although, I haven’t had an opportunity to listen to the conference call, I believe CAT is on track to make even more money in 2011. Stay away for a bit as CAT should come down in price over the next couple of days or weeks. You would be safe to buy a little stock in low 70’s. If it gets into the 60’s you shouldn’t have a problem turning a profit for 2011. I’m going to listen to the call this weekend and I will have updates if I feel it’s of any interest.
Now that CAT has taken the thunder for the day I still have a couple of my favorites to mention. Apple (AAPL) came through big time. Earnings were spectacular and everything seems to be firing on all cylinders. Of course there is going to be people saying growth will slow and iPad sales weren't as robust as expected. Give me a break! Apple destroyed earnings! You’re not going to take the wind out of this sail. Apple will charge higher. I thought the stock was going to pull back big and it hasn’t yet. Maybe it won’t and this stock will continue higher. Personally I believe it should pull back into the $280’s and then move higher. That’s my opinion and I’m sticking to it!
Lastly, I want to briefly talk about Weatherford International (WFT).
Weatherford International has been traveling down a tough road. They did beat analysts’ estimates and I continue to have great confidence in this stock. WFT has positioned themselves nicely to take advantage of any changes that may occur in Mexico. Mexico was a huge bust for them in the 3rd quarter. Mexico turned sour after a political change prevented WFT from drilling this qtr. It’s all uphill from here in Mexico. I believe improvements in this country will allow earnings to exceed expectations in the coming quarters as this was the main driver for decreased revenue. Stuff happens! Even to the best companies. It’s a real positive to see a company deliver even when the cards are stacked against them. WFT is a buy in my book.
That’s it for today. I have some homework to do over the next few days to see what really is going on with CAT and AAPL.
Don’t forget Schlumberger (SLB) the oil service giant reports tomorrow. They are the market leader and many investors look to SLB for a reliable outlook for the future of oil.
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Caterpillar beat estimates, had great revenue, and raised their guidance for the remainder of 2010. What more can you ask for? All of these positives point to a higher stock price for Caterpillar. Today was a day filled with profit taking. This stock is up over 38% since the beginning of the year. That’s a huge gain and it would be reckless not to take a little something off the table. A stock like this doesn't come around very often. Although, I haven’t had an opportunity to listen to the conference call, I believe CAT is on track to make even more money in 2011. Stay away for a bit as CAT should come down in price over the next couple of days or weeks. You would be safe to buy a little stock in low 70’s. If it gets into the 60’s you shouldn’t have a problem turning a profit for 2011. I’m going to listen to the call this weekend and I will have updates if I feel it’s of any interest.
Now that CAT has taken the thunder for the day I still have a couple of my favorites to mention. Apple (AAPL) came through big time. Earnings were spectacular and everything seems to be firing on all cylinders. Of course there is going to be people saying growth will slow and iPad sales weren't as robust as expected. Give me a break! Apple destroyed earnings! You’re not going to take the wind out of this sail. Apple will charge higher. I thought the stock was going to pull back big and it hasn’t yet. Maybe it won’t and this stock will continue higher. Personally I believe it should pull back into the $280’s and then move higher. That’s my opinion and I’m sticking to it!
Lastly, I want to briefly talk about Weatherford International (WFT).
Weatherford International has been traveling down a tough road. They did beat analysts’ estimates and I continue to have great confidence in this stock. WFT has positioned themselves nicely to take advantage of any changes that may occur in Mexico. Mexico was a huge bust for them in the 3rd quarter. Mexico turned sour after a political change prevented WFT from drilling this qtr. It’s all uphill from here in Mexico. I believe improvements in this country will allow earnings to exceed expectations in the coming quarters as this was the main driver for decreased revenue. Stuff happens! Even to the best companies. It’s a real positive to see a company deliver even when the cards are stacked against them. WFT is a buy in my book.
That’s it for today. I have some homework to do over the next few days to see what really is going on with CAT and AAPL.
Don’t forget Schlumberger (SLB) the oil service giant reports tomorrow. They are the market leader and many investors look to SLB for a reliable outlook for the future of oil.
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, October 17, 2010
Cosi up over 12% on Friday
Just thought I would throw a little FYI... Cosi the small speculative penny stock jumped up over 12% on Friday due to a major improvement in comparable restaurant sales up 5.2% compared to the 2009 3rd qtr results. Cosi also stated that company owned restaurant sales were up for the 2010 3rd qtr because of a 3.7% increase in traffic and a 2.9% increase in average check according to marketwire. (all research done through yahoo finance)
Cosi (COSI) is very speculative, but the reward of owning this company could pay off in the coming years. The last time I spoke of this company was back on Sunday July 11th. The stock closed at $0.83 Friday July 9th. From the day I recommended the stock it has moved from $0.83 to $1.03. That's roughly a 24% return over a 3 month period. Just a few days earlier than my recommendation on Wednesday July 9th the stock closed at $0.68. If you had bought the stock 2 days earlier you would have a 51.4% gain. That's huge!
Sometimes speculation pays off and in this case it's working for Cosi investors. I know some of my readers own Cosi and I want to congratulate them for a huge gain on Friday. Cosi was and still is a great speculative investment. Cosi's continuous improvement will not go unnoticed by the micro cap investors. Cosi reports their earnings on Nov 11th and I'm eager to hear what they have to say.
I see big things happening for Cosi in the future! This speculative company could eventually turn into a solid investment.
Remember next week is a big week for stocks as earnings season continues. I mentioned my favorites on Thursday and I left out Caterpillar (CAT). I must have been low on caffeine at the time! CAT reports on Thursday 10/21/10. I expect nothing less than a solid qtr. The Peoria Powerhouse is firing on all cylinders!
Have a great week!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Cosi (COSI) is very speculative, but the reward of owning this company could pay off in the coming years. The last time I spoke of this company was back on Sunday July 11th. The stock closed at $0.83 Friday July 9th. From the day I recommended the stock it has moved from $0.83 to $1.03. That's roughly a 24% return over a 3 month period. Just a few days earlier than my recommendation on Wednesday July 9th the stock closed at $0.68. If you had bought the stock 2 days earlier you would have a 51.4% gain. That's huge!
Sometimes speculation pays off and in this case it's working for Cosi investors. I know some of my readers own Cosi and I want to congratulate them for a huge gain on Friday. Cosi was and still is a great speculative investment. Cosi's continuous improvement will not go unnoticed by the micro cap investors. Cosi reports their earnings on Nov 11th and I'm eager to hear what they have to say.
I see big things happening for Cosi in the future! This speculative company could eventually turn into a solid investment.
Remember next week is a big week for stocks as earnings season continues. I mentioned my favorites on Thursday and I left out Caterpillar (CAT). I must have been low on caffeine at the time! CAT reports on Thursday 10/21/10. I expect nothing less than a solid qtr. The Peoria Powerhouse is firing on all cylinders!
Have a great week!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, October 14, 2010
Earnings Season Off To A Great Start. Google Is Back On The Saddle!
I’m back! My Internet was fixed today. Something about the frequency wasn’t in the proper range to pick up the signal. I’m glad to be back in action!
Google jeez! Nice job on a blowout quarter!
Well folks earnings season is back better than ever. Some of the larger companies have already reported their earnings. JP Morgan (JPM) and Intel (INTC) were just a couple of recent out performers that reported better than expected earnings earlier this week. Intel basically saved itself from being cut from the stock prediction game. This stock has performed poorly, but after their recent earnings I believe this stock will be just fine. JP Morgan had some bright points, however from the recent worries about the mortgage mishap with the foreclosure papers the banks have been receiving an extreme amount of pressure. This debacle could cost the banks billions of dollars. With that being said even if the banks report good earnings over the next couple of weeks I would steer clear for awhile until the smoke clears.
Next let's move onto Google. This is my first time mentioning this company and it won't be the last. What a spectacular showing by Google (GOOG) reporting a great number after the bell today. Google destroyed analysts estimates for this quarter. Analysts were expecting $6.69 a share. Google had an upward surprise of $7.64 a share excluding items. This company is making some money! To top it off they added more than 1,500 employees in the 3rd qtr. Adding jobs and making more money now that's a recipe for success. Maybe the government should take a few lessons from the likes of Google. I plan on doing some more research on Google so stay tuned. This company is definitely worth a look. Please don’t buy this stock tomorrow as it has already run up 9% in after hours. You will lose money!
Next on deck we have my following favorites reporting next Tuesday
Apple (AAPL) Tuesday 10/19/10 Apple shouldn’t have a problem topping estimates and should get a nice pop tomorrow from Google’s recent earnings. Don’t be surprised if this stock sells off after they report earnings. Apple has had a great run. There will be profit taking!
Weatherford International (WFT) Tuesday 10/19/10 Similar to Apple, Weatherford has run up quite nicely up 26% from 3 months ago. Earnings should be just fine and some profit taking will take place. Wait until the selling is done and buy some 5-10% lower.
In closing I would like to give a few words of advice. We as individuals work very hard for our money. I say take some pressure off and let great companies like Apple and Caterpillar do the heavy lifting. Large companies generate tons of money and they give us a perfect opportunity to benefit from their success by investing in their stock. It’s as simple as that!
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Google jeez! Nice job on a blowout quarter!
Well folks earnings season is back better than ever. Some of the larger companies have already reported their earnings. JP Morgan (JPM) and Intel (INTC) were just a couple of recent out performers that reported better than expected earnings earlier this week. Intel basically saved itself from being cut from the stock prediction game. This stock has performed poorly, but after their recent earnings I believe this stock will be just fine. JP Morgan had some bright points, however from the recent worries about the mortgage mishap with the foreclosure papers the banks have been receiving an extreme amount of pressure. This debacle could cost the banks billions of dollars. With that being said even if the banks report good earnings over the next couple of weeks I would steer clear for awhile until the smoke clears.
Next let's move onto Google. This is my first time mentioning this company and it won't be the last. What a spectacular showing by Google (GOOG) reporting a great number after the bell today. Google destroyed analysts estimates for this quarter. Analysts were expecting $6.69 a share. Google had an upward surprise of $7.64 a share excluding items. This company is making some money! To top it off they added more than 1,500 employees in the 3rd qtr. Adding jobs and making more money now that's a recipe for success. Maybe the government should take a few lessons from the likes of Google. I plan on doing some more research on Google so stay tuned. This company is definitely worth a look. Please don’t buy this stock tomorrow as it has already run up 9% in after hours. You will lose money!
Next on deck we have my following favorites reporting next Tuesday
Apple (AAPL) Tuesday 10/19/10 Apple shouldn’t have a problem topping estimates and should get a nice pop tomorrow from Google’s recent earnings. Don’t be surprised if this stock sells off after they report earnings. Apple has had a great run. There will be profit taking!
Weatherford International (WFT) Tuesday 10/19/10 Similar to Apple, Weatherford has run up quite nicely up 26% from 3 months ago. Earnings should be just fine and some profit taking will take place. Wait until the selling is done and buy some 5-10% lower.
In closing I would like to give a few words of advice. We as individuals work very hard for our money. I say take some pressure off and let great companies like Apple and Caterpillar do the heavy lifting. Large companies generate tons of money and they give us a perfect opportunity to benefit from their success by investing in their stock. It’s as simple as that!
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, October 10, 2010
Thursday, October 7, 2010
Making Money Trend
Since Monday all the market indices are in the green. Today was a bit of a slowdown awaiting the infamous monthly non farm payrolls. I’m feeling pretty good about tomorrow’s jobs report.
Yes stocks tend to sell off the day before a big economic report, but it’s exactly how the big money managers play the game. They lighten up a bit on their winners awaiting the news. If the news is positive (which I think it will be), they will gradually work their way back into their favorite stocks.
From the recent upward trend in stocks I believe the outlook in jobs has turned to the upside. Weekly jobless claims have been gradually dropping in recent weeks and this has given the stock market a boost to the upside. Even if the non farm payrolls is positive tomorrow invest with caution. Remember this saying “Buy on rumor” “Sell on the news” Investing is counterintuitive. When everyone one is selling the smart investors are buying stocks at great prices to position themselves for a hefty profit. When everyone is buying the bulk of the money has already been made and the smart money is gradually selling into the strength on the positive news. Never chase a stock when it’s up big! Never! Be patient and buy on a down day.
This stock market has surprised me over the past few months and I believe stocks will continue to move higher throughout earnings season. The volume always increases and more investors pay attention to their stocks. They pay attention to ensure the companies they invested their hard earned money continue to outperform. For this earnings season pay attention to the winners and sit back and take advantage of the short term moves upward. Earnings time is a great way to find new companies to invest in. Wait until all the earnings noise subsides and invest a couple weeks after the company you would like to invest in reports it’s earnings. I’ve seen the same trend over and over. A company reports great earnings and the stock surges higher for a couple of days and then comes right back down a week or two later. Humans are very emotional and people get too excited when they should be doing just the opposite.
Well that’s it for me. Stocks have been great! I’m definitely a bull in this market. I have no complaints. The positive trend will continue with a good payroll number tomorrow. Sleep easy!
P.S- Kinder Morgan (KMP) broke its 52 week high. Another one of my favorite stocks that has MONSTER STATUS written all over it! It pays a nice juicy 6.30% Dividend. It’s a glorified toll road for oil.
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Yes stocks tend to sell off the day before a big economic report, but it’s exactly how the big money managers play the game. They lighten up a bit on their winners awaiting the news. If the news is positive (which I think it will be), they will gradually work their way back into their favorite stocks.
From the recent upward trend in stocks I believe the outlook in jobs has turned to the upside. Weekly jobless claims have been gradually dropping in recent weeks and this has given the stock market a boost to the upside. Even if the non farm payrolls is positive tomorrow invest with caution. Remember this saying “Buy on rumor” “Sell on the news” Investing is counterintuitive. When everyone one is selling the smart investors are buying stocks at great prices to position themselves for a hefty profit. When everyone is buying the bulk of the money has already been made and the smart money is gradually selling into the strength on the positive news. Never chase a stock when it’s up big! Never! Be patient and buy on a down day.
This stock market has surprised me over the past few months and I believe stocks will continue to move higher throughout earnings season. The volume always increases and more investors pay attention to their stocks. They pay attention to ensure the companies they invested their hard earned money continue to outperform. For this earnings season pay attention to the winners and sit back and take advantage of the short term moves upward. Earnings time is a great way to find new companies to invest in. Wait until all the earnings noise subsides and invest a couple weeks after the company you would like to invest in reports it’s earnings. I’ve seen the same trend over and over. A company reports great earnings and the stock surges higher for a couple of days and then comes right back down a week or two later. Humans are very emotional and people get too excited when they should be doing just the opposite.
Well that’s it for me. Stocks have been great! I’m definitely a bull in this market. I have no complaints. The positive trend will continue with a good payroll number tomorrow. Sleep easy!
P.S- Kinder Morgan (KMP) broke its 52 week high. Another one of my favorite stocks that has MONSTER STATUS written all over it! It pays a nice juicy 6.30% Dividend. It’s a glorified toll road for oil.
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, October 3, 2010
A Positive Spin On Your 401k
Investing in your 401K is essential. I mentioned this before that everyone should be taking advantage of their 401K program at work. And I mean everyone! If you have a 401K program you may already know that it has many great advantages to offer.
1. Tax deferred. You don't have to pay taxes on your contributions until you retire.
2. 401K reduces your taxable income. This could potentially put you in a lower tax bracket.
3. Employer match. The majority of employers will match .50 on every $1.00 of contribution up to 6% of your annual salary. (Plans may vary)
4. 401K money comes right out of your check. You never see the money and its a great way to force yourself to invest for your future.
These 4 examples definitely support the advantages of investing in your 401K program. I would like to add another advantage that is straight up mind blowing! (The only catch is your employer must match your contributions)
Investing in your 401K is essentially a hidden raise from your employer. Everyone wants a raise. Right? Here is a perfect opportunity for a raise and you don't even have to be a standout employee at your work. I will explain. Get ready!
Example:
Your current salary is $48,000 and your employer matches .50 for every $1.00 up to 6% of your annual salary.
- 6% of your salary is $2,880. That means your employer will contribute up to $1,440 a year.
-Add that $1,440 to your $48,000 and you just received a 3% raise. That's the easiest 3% you will ever earn.
-You may argue that you are decreasing your annual income by $2,880 since that is what you must contribute to take advantage of the match from your employer. You are correct! The raise is being deposited into your retirement account. Your technically not losing any money. You are moving your money to an account that cannot be used until retirement. You are getting a raise that has delayed gratification written all over it! Now check out these numbers! The numbers below provide the evidence behind a once in a lifetime raise. A phenomenal deal by your employer that you can't refuse!
-Next we will take the $1,440 that your employer matched from your $2,880 contribution and invest it in the stock market for 30 yrs. (You could have multiple employers over the 30 yrs)
-I like to use a 12% return as this is roughly what the S&P 500 has returned historically.
-Take the $1,440 contributed for 30 yrs at a 12% rate of return and you get $389,221.35. (Total contribution of $43,200 from your employer.)
-Now take the $389,221.35 and divide by 30. You get roughly $12,974
Your employer just gave you a $12,974 raise over 30 years. Add that to your $48,000 annual salary and your new salary is $60,974. I call this the delayed gratification raise! I'll take that raise all day long!
So in the end your 3% delayed raise from your employer turned out to actually be a 27% raise!
12,974/48,000 = .27 or 27% My suggestion to all is to go into work Monday morning and give yourself a 27% delayed gratification raise. You deserve it!
I'm not done just yet! While your employer was contributing $1,440 you were also putting in $2,880 a year.
That means over 30 yrs you were actually contributing $4,320 a year. Invest that number at 12% for 30 yrs. and you just became a Millionaire! It's that simple.
-Over 30 yrs you would have accumulated roughly $1,167,664.06
It's true everyone can become a Millionaire! The secret formula is a 401K + Time = Millionaire!
Happy Sunday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
1. Tax deferred. You don't have to pay taxes on your contributions until you retire.
2. 401K reduces your taxable income. This could potentially put you in a lower tax bracket.
3. Employer match. The majority of employers will match .50 on every $1.00 of contribution up to 6% of your annual salary. (Plans may vary)
4. 401K money comes right out of your check. You never see the money and its a great way to force yourself to invest for your future.
These 4 examples definitely support the advantages of investing in your 401K program. I would like to add another advantage that is straight up mind blowing! (The only catch is your employer must match your contributions)
Investing in your 401K is essentially a hidden raise from your employer. Everyone wants a raise. Right? Here is a perfect opportunity for a raise and you don't even have to be a standout employee at your work. I will explain. Get ready!
Example:
Your current salary is $48,000 and your employer matches .50 for every $1.00 up to 6% of your annual salary.
- 6% of your salary is $2,880. That means your employer will contribute up to $1,440 a year.
-Add that $1,440 to your $48,000 and you just received a 3% raise. That's the easiest 3% you will ever earn.
-You may argue that you are decreasing your annual income by $2,880 since that is what you must contribute to take advantage of the match from your employer. You are correct! The raise is being deposited into your retirement account. Your technically not losing any money. You are moving your money to an account that cannot be used until retirement. You are getting a raise that has delayed gratification written all over it! Now check out these numbers! The numbers below provide the evidence behind a once in a lifetime raise. A phenomenal deal by your employer that you can't refuse!
-Next we will take the $1,440 that your employer matched from your $2,880 contribution and invest it in the stock market for 30 yrs. (You could have multiple employers over the 30 yrs)
-I like to use a 12% return as this is roughly what the S&P 500 has returned historically.
-Take the $1,440 contributed for 30 yrs at a 12% rate of return and you get $389,221.35. (Total contribution of $43,200 from your employer.)
-Now take the $389,221.35 and divide by 30. You get roughly $12,974
Your employer just gave you a $12,974 raise over 30 years. Add that to your $48,000 annual salary and your new salary is $60,974. I call this the delayed gratification raise! I'll take that raise all day long!
So in the end your 3% delayed raise from your employer turned out to actually be a 27% raise!
12,974/48,000 = .27 or 27% My suggestion to all is to go into work Monday morning and give yourself a 27% delayed gratification raise. You deserve it!
I'm not done just yet! While your employer was contributing $1,440 you were also putting in $2,880 a year.
That means over 30 yrs you were actually contributing $4,320 a year. Invest that number at 12% for 30 yrs. and you just became a Millionaire! It's that simple.
-Over 30 yrs you would have accumulated roughly $1,167,664.06
It's true everyone can become a Millionaire! The secret formula is a 401K + Time = Millionaire!
Happy Sunday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, September 30, 2010
Nothing For Today. Feeling Under The Weather!
I'm not feeling very well today. Unfortunately I will not be blogging. I have tomorrow off from work. If I feel better in the morning I will have a post for everyone. If not I will be back in action on Sunday.
Have a great night!
Clay-
Have a great night!
Clay-
Sunday, September 26, 2010
Solid Week For The Stock Market
I will be brief today as I'm celebrating my Dad's Birthday! Happy Birthday Dad!
What more can I say? The stock market had a very solid week. Friday sealed the deal with another great trading day allowing the NASDAQ and the S&P 500 to finish up over 2% on the day, with the DJIA just shy of 1.9%. The optimism is here! Investors have become more willing to invest their hard earned dollars and this week was another sign of hope for the future of higher stock prices.
Also, I would like to mention that 2 of my Monster Status stocks continue to be working. Those 2 stocks would be Apple and Caterpillar. Just Friday they both hit their 52 week high.
Apple (AAPL) 52 week high $292.32
Cat (CAT) 52 week high $79.93
These 2 stocks are a must own in every one's portfolio. Other honorable mention is Weatherford International (WFT). This stock has moved off its 52 week low of $12.34 and its moved up to its highest closing price in 4 months of $17.26 on Friday. I still continue to believe in this stock. This stock is moving in an upward trend and should continue higher as we get closer to earnings season. If you haven't noticed I continue to focus on the same stocks. I do this because I believe they have the greatest potential for gains and if the investment outlook changes paths I will change my mind. Until then I will back all of recommendations. Soon we will be coming up on our 6 month mark for the stock prediction game. I'm telling you in advance that some of my picks I will be replacing with other stocks that have a greater potential of making money. I won't mention any names, but a couple of stocks have turned out to be dogs. I don't have time to be wasting money for myself and others. So be ready for a new and improved stock list coming in late October/Early November.
Well that's all I have for today! The stock market is looking good. Look for stocks to sell off next week and maybe a few buying opportunities will arise from a much needed sell off.
Clay-
Monster Status (definition of stocks I currently like)
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
What more can I say? The stock market had a very solid week. Friday sealed the deal with another great trading day allowing the NASDAQ and the S&P 500 to finish up over 2% on the day, with the DJIA just shy of 1.9%. The optimism is here! Investors have become more willing to invest their hard earned dollars and this week was another sign of hope for the future of higher stock prices.
Also, I would like to mention that 2 of my Monster Status stocks continue to be working. Those 2 stocks would be Apple and Caterpillar. Just Friday they both hit their 52 week high.
Apple (AAPL) 52 week high $292.32
Cat (CAT) 52 week high $79.93
These 2 stocks are a must own in every one's portfolio. Other honorable mention is Weatherford International (WFT). This stock has moved off its 52 week low of $12.34 and its moved up to its highest closing price in 4 months of $17.26 on Friday. I still continue to believe in this stock. This stock is moving in an upward trend and should continue higher as we get closer to earnings season. If you haven't noticed I continue to focus on the same stocks. I do this because I believe they have the greatest potential for gains and if the investment outlook changes paths I will change my mind. Until then I will back all of recommendations. Soon we will be coming up on our 6 month mark for the stock prediction game. I'm telling you in advance that some of my picks I will be replacing with other stocks that have a greater potential of making money. I won't mention any names, but a couple of stocks have turned out to be dogs. I don't have time to be wasting money for myself and others. So be ready for a new and improved stock list coming in late October/Early November.
Well that's all I have for today! The stock market is looking good. Look for stocks to sell off next week and maybe a few buying opportunities will arise from a much needed sell off.
Clay-
Monster Status (definition of stocks I currently like)
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, September 23, 2010
Westport! Westport! Westport Innovations!
First off I would like to say the stock market is doing extremely well. We have had some positive data over the past week and today’s sell off is no big deal. The market has been running higher for the past couple weeks. Everything in life is required to have a cooling off period and today was one of them. Plus all the negative Nancy’s had a reason to complain because jobless claims were higher than expected. Big deal! One week! 3 out of 4 weeks of better jobless claims is a win in my book.
Now look at the title of this blog! Westport! I’m going to push this stock relentlessly until everyone that follows my blog has some portion of money in this bad boy. I haven’t come up with a nickname for this great Canadian company just yet, but I’m working on it.
Now I’m going to break it down one more time with Westport (WPRT). Just recently on Wednesday the buzz has come back into passing the energy bill that was sidelined right before the government went on vacation. If you watch TV or surf the Internet majority leader Harry Reid has brought the revised energy bill back on the table with confidence. The key word is Confidence! One of the major short term catalysts for Westport was and still is the passage of this new energy bill. This bill could potentially send WPRT stock to surge through the roof! This is no joke! Imagine a company as small as Westport with a current market cap of 748.19 Million getting money handed to them by the government. A couple $100 Million hand me out by the government and this stock could double if not triple in a short period of time. If this bill passes the government will basically give money back to those who purchase vehicles that run on natural gas instead of diesel. My day job is in transportation and the reduction of fuel cost is $$$ for any company that moves freight for a living. It’s a no brainer!
Back on September 12th I mentioned how WPRT was so quiet. I said that’s the best time to buy. Since then WPRT has spooled up like a TURBO and has blown past the majority of stocks going from a September 10th close of $16.62 a share to today’s close of $18.94. That’s roughly a 14% GAIN in 9 trading days. 9! Many look to pull of this kind of gain in a year. Westport did it in 9 days! Now don’t get too carried away, but there is plenty of buying interest in this stock ahead of the possibility of this energy bill to pass after the November elections. My suggestion is to wait for the stock to cool off. The volume has been big and my only guess is fund managers and large institutions are getting in ahead of the news. I say we still have plenty of time to get in before the big run up.
It’s not out of the question that WPRT could blow past its 52 week high by November! That means all of us could profit roughly another 13% with this stock by November. Hey I could be wrong, but I believe that November could really heat up this already great Canadian company we call Westport Innovations. Plus November is my birthday month! I’m feeling lucky.
Take a chance and put some money on the line with Westport Innovations. It’s a great play on alternative energy. Below are all my recent posts talking about WPRT. This truly is a great company that has moved up to Monster Status. Check it out!
http://stockmarketmonster.blogspot.com/2010/09/westport-innovations-wprt-why-so-quiet.html
http://stockmarketmonster.blogspot.com/2010/08/westport-innovations-w-p-r-t.html
http://stockmarketmonster.blogspot.com/2010/06/can-you-say-westport-innovations.html
Clay-
Monster Status (definition of stocks I currently like)
Monster Status- Apple (AAPL)
Monster Status- Caterpillar (CAT)
Monster Status- Weatherford International (WFT)
Monster Status- Westport Innovations (WPRT)
Monster Status- Kinder Morgan Energy Partners LP (KMP)
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Now look at the title of this blog! Westport! I’m going to push this stock relentlessly until everyone that follows my blog has some portion of money in this bad boy. I haven’t come up with a nickname for this great Canadian company just yet, but I’m working on it.
Now I’m going to break it down one more time with Westport (WPRT). Just recently on Wednesday the buzz has come back into passing the energy bill that was sidelined right before the government went on vacation. If you watch TV or surf the Internet majority leader Harry Reid has brought the revised energy bill back on the table with confidence. The key word is Confidence! One of the major short term catalysts for Westport was and still is the passage of this new energy bill. This bill could potentially send WPRT stock to surge through the roof! This is no joke! Imagine a company as small as Westport with a current market cap of 748.19 Million getting money handed to them by the government. A couple $100 Million hand me out by the government and this stock could double if not triple in a short period of time. If this bill passes the government will basically give money back to those who purchase vehicles that run on natural gas instead of diesel. My day job is in transportation and the reduction of fuel cost is $$$ for any company that moves freight for a living. It’s a no brainer!
Back on September 12th I mentioned how WPRT was so quiet. I said that’s the best time to buy. Since then WPRT has spooled up like a TURBO and has blown past the majority of stocks going from a September 10th close of $16.62 a share to today’s close of $18.94. That’s roughly a 14% GAIN in 9 trading days. 9! Many look to pull of this kind of gain in a year. Westport did it in 9 days! Now don’t get too carried away, but there is plenty of buying interest in this stock ahead of the possibility of this energy bill to pass after the November elections. My suggestion is to wait for the stock to cool off. The volume has been big and my only guess is fund managers and large institutions are getting in ahead of the news. I say we still have plenty of time to get in before the big run up.
It’s not out of the question that WPRT could blow past its 52 week high by November! That means all of us could profit roughly another 13% with this stock by November. Hey I could be wrong, but I believe that November could really heat up this already great Canadian company we call Westport Innovations. Plus November is my birthday month! I’m feeling lucky.
Take a chance and put some money on the line with Westport Innovations. It’s a great play on alternative energy. Below are all my recent posts talking about WPRT. This truly is a great company that has moved up to Monster Status. Check it out!
http://stockmarketmonster.blogspot.com/2010/09/westport-innovations-wprt-why-so-quiet.html
http://stockmarketmonster.blogspot.com/2010/08/westport-innovations-w-p-r-t.html
http://stockmarketmonster.blogspot.com/2010/06/can-you-say-westport-innovations.html
Clay-
Monster Status (definition of stocks I currently like)
Monster Status- Apple (AAPL)
Monster Status- Caterpillar (CAT)
Monster Status- Weatherford International (WFT)
Monster Status- Westport Innovations (WPRT)
Monster Status- Kinder Morgan Energy Partners LP (KMP)
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, September 19, 2010
Serious Sunday! Personal Finance Is No Joke!
I'm calling this post Serious Sunday. This is something that I must address because it's very important to me to share my opinion about money and the reason I believer investing in stocks is the best vehicle for financial success. But in order to invest you have to have money to begin with.
Think about all the problems that money creates. Think about how money affects your every day life. What do we use to buy things? Money! How do we put gas in our car? Money! Almost everything we do in life is tied to money, but yet most people don't pay attention to their finances. Many could care less. I'm here to say that is how you get into trouble. Here are some hard truths. Money is the number 1 cause of divorce! (Thanks Dave Ramsey). Not everyone has a high paying job. That's Life! The sad truth is its not what you know its who you know! You may never have a high paying job or even care to since more money usually entails a higher likelihood of responsibility. Money isn't evil! It all depends on what you do with your money. Without excess money you can't help yourself or others. "Broke Ain't Cool" (Juvenile famous rapper)
The key to having money is planning for your future. I'm tired of hearing the excuses of the general public not having any money. The United States has a wealth of opportunities to make a living and yet were still broke. Could this be because we are living above are means. I think so! I just watched a movie last night called "The Jone$es" It's a perfect example of what people do. Keeping up with the Joneses! That saying has been around for years. The Jone$es was very entertaining and a highly recommend this movie. Basically it refers to people who buy things to impress their neighbors and portray themselves as being rich. Keeping up with the Joneses is a recipe for disaster! This is the reason why credit is a billionaire dollar industry!
Retail stores make more money off credit card interest than they do with some of the products they sell! You may think your getting a deal when the cashier asks if you would like to open a store credit card and save 15% today. That day maybe! In the long run those stores will make their money back and then some from all the interest made on those cards. If they didn't make money they would be out of business. It's all about marketing! Ever thought about why the grocery store puts milk and bread on the opposite side of the store? It gives them a higher probability that you will buy something along the way since most people buy milk and bread on a weekly basis. Marketers get paid big money to find out what people like. That's how sales are created.
The resolution to all of this is think about your future. Being a slave to the credit card companies is robbing you of your resources. Instead of paying them you could be paying yourself and investing for your future. A new pair of jeans can wait! Starbucks? Not this time! I should pack my lunch instead of spending $7.00 today! That's $35.00 a week. $140.00 a month. $1,680.00 a year. Invest that money for 30 years averaging 12% that will put you at $454,091.58. Now that's a high quality mistake! McDonald's is good, but not that good! You see its all about the choices we make in life. If you want to have money make a choice to spend less than you make and invest for your future. Imagine that eating out everyday for 30 years could cost you a ton a money in retirement or on a serious note your life! When you get older medical bills will rise. If you have no money to cover your medication or surgeries you could potentially end up broke at the age of 65 living on social security. People social security isn't much! Don't rely on social security because I'm definitely not! Social Security isn't properly funded and will run out before I even reach retirement age.
The only person that can change your finances is YOU! It's the choices in life that can make us or break us! It's up to you to determine your financial future. No one else. I take my finances very seriously! I'm taking the steps to do what's best for my family. I suggest everyone do the same! I'm making the choice to not go out to eat as much. Not to buy that new big screen TV. I wish I could have the new iPad or latest and greatest car. Deep down inside I know that I can go without these things for a while. It's a want. Not a need! If I want to buy something I will save up for it. That's what are grandma's use to do. I'm making the choice to not pay the credit card companies and the banks. I want the money! Not them. Cash is king! If I don't have the money I don't spend it. It's as easy as that! The less money you give to the banks the more money you will have to invest for the future. The best vehicle hands down is investing in stocks. Make a plan and stick to it!
This post was intended for those that needed a little push to get the ball rolling. Personal fiance is no joke! If you have little money left over there is no way to invest. You have to have money to invest. The best way to do this is quick giving your money to the credit card companies and the banks. Save instead of being a slave!
Have a great Sunday!
Clay-
Think about all the problems that money creates. Think about how money affects your every day life. What do we use to buy things? Money! How do we put gas in our car? Money! Almost everything we do in life is tied to money, but yet most people don't pay attention to their finances. Many could care less. I'm here to say that is how you get into trouble. Here are some hard truths. Money is the number 1 cause of divorce! (Thanks Dave Ramsey). Not everyone has a high paying job. That's Life! The sad truth is its not what you know its who you know! You may never have a high paying job or even care to since more money usually entails a higher likelihood of responsibility. Money isn't evil! It all depends on what you do with your money. Without excess money you can't help yourself or others. "Broke Ain't Cool" (Juvenile famous rapper)
The key to having money is planning for your future. I'm tired of hearing the excuses of the general public not having any money. The United States has a wealth of opportunities to make a living and yet were still broke. Could this be because we are living above are means. I think so! I just watched a movie last night called "The Jone$es" It's a perfect example of what people do. Keeping up with the Joneses! That saying has been around for years. The Jone$es was very entertaining and a highly recommend this movie. Basically it refers to people who buy things to impress their neighbors and portray themselves as being rich. Keeping up with the Joneses is a recipe for disaster! This is the reason why credit is a billionaire dollar industry!
Retail stores make more money off credit card interest than they do with some of the products they sell! You may think your getting a deal when the cashier asks if you would like to open a store credit card and save 15% today. That day maybe! In the long run those stores will make their money back and then some from all the interest made on those cards. If they didn't make money they would be out of business. It's all about marketing! Ever thought about why the grocery store puts milk and bread on the opposite side of the store? It gives them a higher probability that you will buy something along the way since most people buy milk and bread on a weekly basis. Marketers get paid big money to find out what people like. That's how sales are created.
The resolution to all of this is think about your future. Being a slave to the credit card companies is robbing you of your resources. Instead of paying them you could be paying yourself and investing for your future. A new pair of jeans can wait! Starbucks? Not this time! I should pack my lunch instead of spending $7.00 today! That's $35.00 a week. $140.00 a month. $1,680.00 a year. Invest that money for 30 years averaging 12% that will put you at $454,091.58. Now that's a high quality mistake! McDonald's is good, but not that good! You see its all about the choices we make in life. If you want to have money make a choice to spend less than you make and invest for your future. Imagine that eating out everyday for 30 years could cost you a ton a money in retirement or on a serious note your life! When you get older medical bills will rise. If you have no money to cover your medication or surgeries you could potentially end up broke at the age of 65 living on social security. People social security isn't much! Don't rely on social security because I'm definitely not! Social Security isn't properly funded and will run out before I even reach retirement age.
The only person that can change your finances is YOU! It's the choices in life that can make us or break us! It's up to you to determine your financial future. No one else. I take my finances very seriously! I'm taking the steps to do what's best for my family. I suggest everyone do the same! I'm making the choice to not go out to eat as much. Not to buy that new big screen TV. I wish I could have the new iPad or latest and greatest car. Deep down inside I know that I can go without these things for a while. It's a want. Not a need! If I want to buy something I will save up for it. That's what are grandma's use to do. I'm making the choice to not pay the credit card companies and the banks. I want the money! Not them. Cash is king! If I don't have the money I don't spend it. It's as easy as that! The less money you give to the banks the more money you will have to invest for the future. The best vehicle hands down is investing in stocks. Make a plan and stick to it!
This post was intended for those that needed a little push to get the ball rolling. Personal fiance is no joke! If you have little money left over there is no way to invest. You have to have money to invest. The best way to do this is quick giving your money to the credit card companies and the banks. Save instead of being a slave!
Have a great Sunday!
Clay-
Wednesday, September 15, 2010
Lookin Good Stock Market!
Everything has been lining up perfectly. The stock market is firing on all cylinders. Next stop weekly jobless claims which should be released tomorrow as well as the (PPI) Producer Price Index. I believe the numbers will continue to be good with jobless claims falling 2 straight weeks. It will be a huge positive if we can get 3 in a row.
The stock market has been reacting very positive lately as investors are becoming more optimistic. That's what I like to see! Anyways that's the big market moving news for tomorrow. In the meantime continue to look for new investments. One area that has caught my attention is Energy. I personally would look to invest in an oil service company at the moment. The Energy sector has been crushed beyond belief and with crude oil inventories dropping for the past couple of weeks and the heating season is right around the corner everyone will need to put gas in their cars and heat their home. Personally I believe more gas is consumed in the winter because many people start their car in the morning and let sit idle to warm up. Just a thought!
My favorite oil service company is still Weatherford International (WFT), but I also like Schlumberger (SLB) the largest of the bunch. Other great names that I see have been moving up rather nicely is the Peoria Powerhouse! AKA Caterpillar (CAT). Just today it closed at $72.13 just $0.70 off its 52 week high of $72.83. CAT is no joke! They are here to stay. There will be many more great quarters for the Peoria Powerhouse. Also, on my favorite list is the all powerful Apple (AAPL). Just the other day Jim Cramer raised his price target to $325 a share. That means this stock could run another $50 a share. Don't be put off by the high stock price of $270.22. Just buy the thing! This a great quality company. With the iPad spreading like wild fire in China this stock will move much higher. This companies growth story is truly amazing! If I had to buy only one stock right now this would be my absolute pick.
Well that's it for me! Enjoy the rest of your week. I will be back on Sunday. I posted early because I will be attending a great Jason Mraz concert tomorrow. If you missed Sunday's blog from the 11th please fill out the questions at the end. Your responses are greatly appreciated!
Happy Trading!
Clay-
The stock market has been reacting very positive lately as investors are becoming more optimistic. That's what I like to see! Anyways that's the big market moving news for tomorrow. In the meantime continue to look for new investments. One area that has caught my attention is Energy. I personally would look to invest in an oil service company at the moment. The Energy sector has been crushed beyond belief and with crude oil inventories dropping for the past couple of weeks and the heating season is right around the corner everyone will need to put gas in their cars and heat their home. Personally I believe more gas is consumed in the winter because many people start their car in the morning and let sit idle to warm up. Just a thought!
My favorite oil service company is still Weatherford International (WFT), but I also like Schlumberger (SLB) the largest of the bunch. Other great names that I see have been moving up rather nicely is the Peoria Powerhouse! AKA Caterpillar (CAT). Just today it closed at $72.13 just $0.70 off its 52 week high of $72.83. CAT is no joke! They are here to stay. There will be many more great quarters for the Peoria Powerhouse. Also, on my favorite list is the all powerful Apple (AAPL). Just the other day Jim Cramer raised his price target to $325 a share. That means this stock could run another $50 a share. Don't be put off by the high stock price of $270.22. Just buy the thing! This a great quality company. With the iPad spreading like wild fire in China this stock will move much higher. This companies growth story is truly amazing! If I had to buy only one stock right now this would be my absolute pick.
Well that's it for me! Enjoy the rest of your week. I will be back on Sunday. I posted early because I will be attending a great Jason Mraz concert tomorrow. If you missed Sunday's blog from the 11th please fill out the questions at the end. Your responses are greatly appreciated!
Happy Trading!
Clay-
Sunday, September 12, 2010
Westport Innovations (WPRT) Why So Quiet?
I would first like to start out and say I was very pleased with stock market for the week. It has been the first positive week in quite some time. Reassurance is always good with a volatile market. Now let’s move onto the goodies!
Today I would like to bring (WPRT) Westport Innovations back on the map. It has been about a month since I mentioned this small cap stock. WPRT currently has a $656.54 million market cap. That’s very small in comparison to some companies. That means there is plenty of room to grow!
If you’re new to my blog please follow the link below to get up to speed on WPRT.
http://stockmarketmonster.blogspot.com/2010/08/westport-innovations-w-p-r-t.html
So over the past month this stock hasn’t done a thing! And I mean nothing! I want to reassure you that small cap stocks like WPRT come in and out of favor as much as the weather changes in Michigan. Small cap stocks are volatile in nature, but the reward to be able to weather the storm is well worth it.
Right now WPRT doesn’t have any catalysts to move the stock higher. I’m not saying that it won’t on Monday. I’m saying that the perfect buying opportunity is when a stock has been quiet for a period of time. Small cap stocks volume is driven by news. When there is no news the volume drops, hence the price of the underlying company goes down.
The last time I spoke of Westport the stock price was at $18.18. Its current closing price as of Friday was $16.62. So to all of you who were late to this article you haven’t missed a thing. You’re actually in a better position to profit from WPRT. The current price does not reflect the true value of WPRT. Just a couple months back this stock hit a 52 week high of $21.34. The only thing that has changed is the energy bill has been put on hold since the government couldn’t make up their minds before they went on vacation. On a positive note Westport had a great earnings report. Good enough to excite me!
The outlook is still positive as I have said before. Even without the passage of the current energy bill under review Westport still makes money. Just keep that in mind. If you haven’t already bought WPRT now is a perfect time to buy a few shares. Small caps are great companies in the making and take time to develop. Be patient and allow for small cap companies like WPRT to grow. With the elections coming up in November the energy bill will be back on the table soon enough! Until then position yourself for the next big move and wait for the news to roll out! That is how money is made!
Also, I’m curious to know what others are investing in at this time. I would appreciate your response to the questions listed below. This blog is informational, but it was also created for a chance to interact with others about investment ideas and build a community of stock junkies!
1. What are your current holdings?
2. Do you currently have any stocks on your watch list?
3. Have you noticed any positive trends in any particular sector?
4. What’s your favorite stock?
5. If you had enough money what one stock would you like to invest in?
Your response is greatly appreciated!
Have a great Sunday! Go Lions!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Today I would like to bring (WPRT) Westport Innovations back on the map. It has been about a month since I mentioned this small cap stock. WPRT currently has a $656.54 million market cap. That’s very small in comparison to some companies. That means there is plenty of room to grow!
If you’re new to my blog please follow the link below to get up to speed on WPRT.
http://stockmarketmonster.blogspot.com/2010/08/westport-innovations-w-p-r-t.html
So over the past month this stock hasn’t done a thing! And I mean nothing! I want to reassure you that small cap stocks like WPRT come in and out of favor as much as the weather changes in Michigan. Small cap stocks are volatile in nature, but the reward to be able to weather the storm is well worth it.
Right now WPRT doesn’t have any catalysts to move the stock higher. I’m not saying that it won’t on Monday. I’m saying that the perfect buying opportunity is when a stock has been quiet for a period of time. Small cap stocks volume is driven by news. When there is no news the volume drops, hence the price of the underlying company goes down.
The last time I spoke of Westport the stock price was at $18.18. Its current closing price as of Friday was $16.62. So to all of you who were late to this article you haven’t missed a thing. You’re actually in a better position to profit from WPRT. The current price does not reflect the true value of WPRT. Just a couple months back this stock hit a 52 week high of $21.34. The only thing that has changed is the energy bill has been put on hold since the government couldn’t make up their minds before they went on vacation. On a positive note Westport had a great earnings report. Good enough to excite me!
The outlook is still positive as I have said before. Even without the passage of the current energy bill under review Westport still makes money. Just keep that in mind. If you haven’t already bought WPRT now is a perfect time to buy a few shares. Small caps are great companies in the making and take time to develop. Be patient and allow for small cap companies like WPRT to grow. With the elections coming up in November the energy bill will be back on the table soon enough! Until then position yourself for the next big move and wait for the news to roll out! That is how money is made!
Also, I’m curious to know what others are investing in at this time. I would appreciate your response to the questions listed below. This blog is informational, but it was also created for a chance to interact with others about investment ideas and build a community of stock junkies!
1. What are your current holdings?
2. Do you currently have any stocks on your watch list?
3. Have you noticed any positive trends in any particular sector?
4. What’s your favorite stock?
5. If you had enough money what one stock would you like to invest in?
Your response is greatly appreciated!
Have a great Sunday! Go Lions!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, September 9, 2010
3 Positives For The Stock Market
First off I would like to say that this week has been great for the stock market! I'm impressed! The market has responded rather nicely from last weeks run up. Although were below the closing prices of last Friday or near break even the pause in massive buying is a good thing. A market that gradually works it's way higher is much more sustainable than one that moves up rather quickly and gets too far ahead of future results. On that note I want to discuss the positives I have seen over the past couple of weeks.
1. Obama has addressed the fact that jobs need to be created in order for the economy to thrive. He has made it clear that this is now his main priority. One of his quotes was “Today, our most urgent task is to restore our economy and put the millions of Americans who have lost their jobs back to work,” Jobs equal growth! Growth is fueled by spending. Jobs and growth go hand in hand. You can’t have one without the other. Obama focused on the importance of jobs in his speech last week, the stock market has taken his speech as a sign of good things to come. That's why there was such a big rally last week. With Obama pushing towards creating jobs and spending money to rebuild are infrastructure the only way to get this done is to put people to work. This to me is exciting and very promising for job growth! Good call Obama!
2. Jobless claims have gone down. Yes down! 2 weeks in a row. Just today the claims came in better than expected with 451,000 claims compared to 470,000 expected by analysts according to Thomas Reuters. Yes these numbers are still high, but were showing positive signs of relief in the job market. If we continue to show improvement consistently in this report every week you will see some big changes. Man o man this market will truck higher! You won’t know what hit you once these numbers near the so called economic growth # of 400,000. By the time jobless claims get to 400,000 this market will be up 10-15% higher from its current price.
3. This positive came to me today. The trade deficit. This truly does matter. DEBT slows down a country just like it slows down an individual. All the money we have borrowed from other countries we must pay back with interest! July deficit fell 14% to $42.8 billion. That’s 14% less interest we have to pay on borrowed money. Less debt means more money for the United States to spend elsewhere to strengthen our economy. Yes this is just one surprise, but every bit helps.
All 3 of these are positives. Obama, Jobs, and the Trade Deficit.
I truly believe that optimism is coming back to the United States. With the confidence in the economy building the money from wary investors should flow back into the market over the next few months. If jobless claims continue to drop for the remainder of September and into October get ready for some action because the buying will continue to build and the only way for stocks will be up. Now that’s being optimistic! Many may not agree with me. Others will say it’s too early to tell, but if you don’t take action you will miss the boat. Take some risk! It’s the only way you will ever get ahead in investing and in life.
In closing I would like to remind everyone that today kicks off the start of the NFL season. This is a very important day. It’s like a holiday for me. All of you that are involved in Fantasy Football know what I’m talking about. Yeah Buddy! I’m predicting Adrian Peterson has over 100 yards and 2 TD’s. Let’s see if I’m right.
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
1. Obama has addressed the fact that jobs need to be created in order for the economy to thrive. He has made it clear that this is now his main priority. One of his quotes was “Today, our most urgent task is to restore our economy and put the millions of Americans who have lost their jobs back to work,” Jobs equal growth! Growth is fueled by spending. Jobs and growth go hand in hand. You can’t have one without the other. Obama focused on the importance of jobs in his speech last week, the stock market has taken his speech as a sign of good things to come. That's why there was such a big rally last week. With Obama pushing towards creating jobs and spending money to rebuild are infrastructure the only way to get this done is to put people to work. This to me is exciting and very promising for job growth! Good call Obama!
2. Jobless claims have gone down. Yes down! 2 weeks in a row. Just today the claims came in better than expected with 451,000 claims compared to 470,000 expected by analysts according to Thomas Reuters. Yes these numbers are still high, but were showing positive signs of relief in the job market. If we continue to show improvement consistently in this report every week you will see some big changes. Man o man this market will truck higher! You won’t know what hit you once these numbers near the so called economic growth # of 400,000. By the time jobless claims get to 400,000 this market will be up 10-15% higher from its current price.
3. This positive came to me today. The trade deficit. This truly does matter. DEBT slows down a country just like it slows down an individual. All the money we have borrowed from other countries we must pay back with interest! July deficit fell 14% to $42.8 billion. That’s 14% less interest we have to pay on borrowed money. Less debt means more money for the United States to spend elsewhere to strengthen our economy. Yes this is just one surprise, but every bit helps.
All 3 of these are positives. Obama, Jobs, and the Trade Deficit.
I truly believe that optimism is coming back to the United States. With the confidence in the economy building the money from wary investors should flow back into the market over the next few months. If jobless claims continue to drop for the remainder of September and into October get ready for some action because the buying will continue to build and the only way for stocks will be up. Now that’s being optimistic! Many may not agree with me. Others will say it’s too early to tell, but if you don’t take action you will miss the boat. Take some risk! It’s the only way you will ever get ahead in investing and in life.
In closing I would like to remind everyone that today kicks off the start of the NFL season. This is a very important day. It’s like a holiday for me. All of you that are involved in Fantasy Football know what I’m talking about. Yeah Buddy! I’m predicting Adrian Peterson has over 100 yards and 2 TD’s. Let’s see if I’m right.
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, September 5, 2010
Market Ends Week On Optimistic Terms
First let me just say that the psychology of the stock market has definitely changed from being a negative Nancy to a positive outlook on the future. This week was a game changer. All the numbers that were reported pointed toward a better economic outlook. From my post on Thursday I mentioned that jobs, housing, and manufacturing were all positive. This is what it takes to drive a market higher. The stock market is driven by future results and getting investors to buy into a positive future for the United States economy is crucial. This week that happened. Even if it was a glimmer of hope that is all we needed to drive the market higher.
The data that was truly important was the release of the month end August employment report. Although we still continue to lose jobs the number came in less than expected as nonfarm payrolls fell 54,000 compared to consensus of 120,000 according to briefing.com. Another positive was September employment report projections was revised from the loss of 131,000 jobs to 54,000. That is a huge revision! The other big number that is more of a true gauge of the jobs market is the private nonfarm payrolls. Private nonfarm payrolls came in better than expected at 67,000 compared to the consensus of 44,000.
All these numbers point to a positive turn for the future of the U.S. economy. This is just the beginning of the upturn as we have a long way to go before the economy is truly out of the woods for a double dip recession. Double dip reminds me of ice cream. Maybe everyone would turn positive if they thought about ice cream when the word double dip was mentioned about the economy. LOL!
Anyways, here is a recap of the positive buying in the stock market for this week. These are phenomenal numbers for 1 week! This should make you feel more optimistic about investing in the stock market. With the current rate of return in the average savings account (less than 2% in most cases) this type of return would take over 2 years to generate that kind of money. You do the math! 1 week in the stock market over 4% or 2+ years in a savings account to generate the same results. It’s a no brainer! Stocks crush savings accounts! The risk is worth the reward!
Recap
DJIA
Monday close 10,009.73
Friday close 10,447.93
438.20 point move to the upside
4.37% return on the week
S&P 500
Monday close 1,048.92
Friday close 1,104.51
55.59 point move to the upside
5.29% return on the week
NASDAQ
Monday close 2,119.97
Friday close 2,233.75
113.78 point move for the good guys!
5.36% return on the week
In the end investing in stocks long term will always produce better returns than stashing your cash in a savings account.
Since stocks had such a great week I’m looking for a bit of a pullback as this is what normally occurs after a rally in stocks. Pullbacks are part of the game.
Also, after taking a poll on the creation of a personal finance blog I have decided that the interest is there. Be on the lookout for the future as a personal finance blog will be in the making.
Have a great day!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
The data that was truly important was the release of the month end August employment report. Although we still continue to lose jobs the number came in less than expected as nonfarm payrolls fell 54,000 compared to consensus of 120,000 according to briefing.com. Another positive was September employment report projections was revised from the loss of 131,000 jobs to 54,000. That is a huge revision! The other big number that is more of a true gauge of the jobs market is the private nonfarm payrolls. Private nonfarm payrolls came in better than expected at 67,000 compared to the consensus of 44,000.
All these numbers point to a positive turn for the future of the U.S. economy. This is just the beginning of the upturn as we have a long way to go before the economy is truly out of the woods for a double dip recession. Double dip reminds me of ice cream. Maybe everyone would turn positive if they thought about ice cream when the word double dip was mentioned about the economy. LOL!
Anyways, here is a recap of the positive buying in the stock market for this week. These are phenomenal numbers for 1 week! This should make you feel more optimistic about investing in the stock market. With the current rate of return in the average savings account (less than 2% in most cases) this type of return would take over 2 years to generate that kind of money. You do the math! 1 week in the stock market over 4% or 2+ years in a savings account to generate the same results. It’s a no brainer! Stocks crush savings accounts! The risk is worth the reward!
Recap
DJIA
Monday close 10,009.73
Friday close 10,447.93
438.20 point move to the upside
4.37% return on the week
S&P 500
Monday close 1,048.92
Friday close 1,104.51
55.59 point move to the upside
5.29% return on the week
NASDAQ
Monday close 2,119.97
Friday close 2,233.75
113.78 point move for the good guys!
5.36% return on the week
In the end investing in stocks long term will always produce better returns than stashing your cash in a savings account.
Since stocks had such a great week I’m looking for a bit of a pullback as this is what normally occurs after a rally in stocks. Pullbacks are part of the game.
Also, after taking a poll on the creation of a personal finance blog I have decided that the interest is there. Be on the lookout for the future as a personal finance blog will be in the making.
Have a great day!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, September 2, 2010
Short And Sweet
I apologize as I had to focus on a few issues that came to my attention concerning my condo association today! I will be back in action this weekend. I did however enjoy 2 nice up days in the stock market!
Hopefully, tomorrow we can hold those gains as the monthly jobs report is released. This number usually makes or breaks the market! With the positive data from jobs, housing, and manufacturing maybe we will get a surprise in the number. It has been a rocky road the past few months. I promise things will change for the better. With the summer coming to an end the trading volume should increase and prices should move higher. Also on the horizon is the November elections! We should see some big changes come election time. Changes that will help the stock market in 2011.
Have a great night!
Clay-
Hopefully, tomorrow we can hold those gains as the monthly jobs report is released. This number usually makes or breaks the market! With the positive data from jobs, housing, and manufacturing maybe we will get a surprise in the number. It has been a rocky road the past few months. I promise things will change for the better. With the summer coming to an end the trading volume should increase and prices should move higher. Also on the horizon is the November elections! We should see some big changes come election time. Changes that will help the stock market in 2011.
Have a great night!
Clay-
Thursday, August 26, 2010
The Psychological Aspect Of Stocks
I’m going to keep it short and sweet for today. I definitely don’t agree with how stocks have been trading. The weakness is sickening and at times it seems like there is no hope. Yes the direction of stocks is uncertain. Money is definitely not being made. It seems that people are very nervous about the economy. Housing sales this week weren’t very reassuring, but a small glimmer of hope came when jobless claims fell more than expected. I was somewhat excited when I saw the market open to the upside this morning. Once again that positive was put to rest as the sellers came in and sold off the gains they had incurred from yesterday.
You see investing at this current moment is heavily tied to the psychological aspect of trading. Panic has set in and no one wants to invest. You can see the data as many flee to the bond market investing billions over the past few months. Gold is near an all time high and statistically is higher when investors are nervous. Investors flee to the safety of gold. To me it’s just another piece of metal. Gold is an overvalued commodity that has run up over the past few years. It’s really funny to me that people put their confidence in a piece of metal. What are you going to do with gold? Keep it in your pocket and show it off to your friends! It's ridiculous when you think about it. We don't barter for gold anymore. Those days are long gone. This isn't the Robin Hood era!
Instead of investing in gold we should be investing in ourselves. Invest money in jobs and creating value from all the intelligent people we have in the work force. The United States has great potential, but the perception of this country is bleak. Think about the fact the United States has overcome all obstacles in its path when is has come to the economy. The only way this stock market will go higher is with confidence. Without confidence Wall Street is useless. The creation of jobs will bring money back into the economy. How can you spend money to fuel the economy when you don’t have any? It’s that simple! The government needs to step up to the plate and brainstorm to create value for our workforce. People are desperate to go back to work. I’ve been unemployed and it’s a terrible feeling. My confidence was way down, but I decided to carry on and stay optimistic. I’m here to tell you that the psychological factor of this market is beating us down. It needs to change!
That being said Fed Chairman Ben Bernanke will be talking tomorrow about the future of the economy. This guy is no dummy. I believe he has what it takes to regain the confidence of the market. Traders will be waiting patiently to hear what he has to say. We need direction and Ben will give that direction with his take on the economy. Beware that the market could still drop over the next couple weeks, but a lot of the pain has already been felt. Many stocks are in oversold status. As Jim Cramer would say “Nobody every made any money panicking” Panic means someone has an opportunity to make money. It may be slow to develop, but overtime buying when everyone is selling is the best time to buy! Stay Positive!
Have a great night! In advance there is a good chance I will not be blogging on Sunday as I will drafting my team for Fantasy Football. Yes football is back for all of you NFL lovers!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
You see investing at this current moment is heavily tied to the psychological aspect of trading. Panic has set in and no one wants to invest. You can see the data as many flee to the bond market investing billions over the past few months. Gold is near an all time high and statistically is higher when investors are nervous. Investors flee to the safety of gold. To me it’s just another piece of metal. Gold is an overvalued commodity that has run up over the past few years. It’s really funny to me that people put their confidence in a piece of metal. What are you going to do with gold? Keep it in your pocket and show it off to your friends! It's ridiculous when you think about it. We don't barter for gold anymore. Those days are long gone. This isn't the Robin Hood era!
Instead of investing in gold we should be investing in ourselves. Invest money in jobs and creating value from all the intelligent people we have in the work force. The United States has great potential, but the perception of this country is bleak. Think about the fact the United States has overcome all obstacles in its path when is has come to the economy. The only way this stock market will go higher is with confidence. Without confidence Wall Street is useless. The creation of jobs will bring money back into the economy. How can you spend money to fuel the economy when you don’t have any? It’s that simple! The government needs to step up to the plate and brainstorm to create value for our workforce. People are desperate to go back to work. I’ve been unemployed and it’s a terrible feeling. My confidence was way down, but I decided to carry on and stay optimistic. I’m here to tell you that the psychological factor of this market is beating us down. It needs to change!
That being said Fed Chairman Ben Bernanke will be talking tomorrow about the future of the economy. This guy is no dummy. I believe he has what it takes to regain the confidence of the market. Traders will be waiting patiently to hear what he has to say. We need direction and Ben will give that direction with his take on the economy. Beware that the market could still drop over the next couple weeks, but a lot of the pain has already been felt. Many stocks are in oversold status. As Jim Cramer would say “Nobody every made any money panicking” Panic means someone has an opportunity to make money. It may be slow to develop, but overtime buying when everyone is selling is the best time to buy! Stay Positive!
Have a great night! In advance there is a good chance I will not be blogging on Sunday as I will drafting my team for Fantasy Football. Yes football is back for all of you NFL lovers!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, August 22, 2010
Quiet Week For The Stock Market
Well it was a pretty quiet week for the market. Not much action as the Dow closed down 89.53 points from last Friday’s close. This works out to be a little under 1.0%. Like I said from previous posts the market hasn’t found a sense of direction. Jobs continue to be weak and there was no real data for investors to have a reason to put money to work this week.
The next economic data point will be released on Tuesday when the existing home sales are released at 10:00 a.m. Obviously we would like this number to improve to allow the inventory in housing to decrease. The expected number is 4.75 million. A significant rise above this number would be great as it gives the market a positive catalyst to invest upon. Decreasing the inventory in housing will allow prices to stabilize as I learned in my economics class back in High School that it’s all about supply and demand. If you reduce the supply the demand will increase and vise versa. Increased demand = stable/higher home prices. This is what we want.
The one economic data point that will truly move this market higher is to release on Thursday at 8:30 a.m. This would be the Initial and Continuing jobless claims. This has been the reoccurring sore spot on the market. A positive surprise to the upside (lower jobless claims) will be a plus for Thursday trading. However, the jobless claims need to continue to decrease in back to back months in order for investors to change their negative approach to the job market.
I hate to say it but with the inconsistent economic data this stock market will continue to be volatile. Positive news will send the market higher. Negative news will do just the opposite. We will continue to go from one extreme to the other week after week. I have never experienced a market that is so confusing. Consistent improvement in the economic data is the only true remedy. Even though this will be a short term negative, investing is meant for the future. Right now the market is actually buying you time to invest at great prices. So please take advantage of the ups and downs of the market! Invest more! At least the stock market isn’t dropping like a rock like it did back in 2008.
With no economic data for tomorrow I think we may get lucky with a positive day as short term investors will position themselves for the upcoming data later in the week. Yes this is very short term thinking, but that is the way investors have come to respond. Short term data = short term responses. My advice is to think beyond week to week. Think long term! Get use to long term thinking as investing is for your future. Your future well being!
Happy Sunday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
The next economic data point will be released on Tuesday when the existing home sales are released at 10:00 a.m. Obviously we would like this number to improve to allow the inventory in housing to decrease. The expected number is 4.75 million. A significant rise above this number would be great as it gives the market a positive catalyst to invest upon. Decreasing the inventory in housing will allow prices to stabilize as I learned in my economics class back in High School that it’s all about supply and demand. If you reduce the supply the demand will increase and vise versa. Increased demand = stable/higher home prices. This is what we want.
The one economic data point that will truly move this market higher is to release on Thursday at 8:30 a.m. This would be the Initial and Continuing jobless claims. This has been the reoccurring sore spot on the market. A positive surprise to the upside (lower jobless claims) will be a plus for Thursday trading. However, the jobless claims need to continue to decrease in back to back months in order for investors to change their negative approach to the job market.
I hate to say it but with the inconsistent economic data this stock market will continue to be volatile. Positive news will send the market higher. Negative news will do just the opposite. We will continue to go from one extreme to the other week after week. I have never experienced a market that is so confusing. Consistent improvement in the economic data is the only true remedy. Even though this will be a short term negative, investing is meant for the future. Right now the market is actually buying you time to invest at great prices. So please take advantage of the ups and downs of the market! Invest more! At least the stock market isn’t dropping like a rock like it did back in 2008.
With no economic data for tomorrow I think we may get lucky with a positive day as short term investors will position themselves for the upcoming data later in the week. Yes this is very short term thinking, but that is the way investors have come to respond. Short term data = short term responses. My advice is to think beyond week to week. Think long term! Get use to long term thinking as investing is for your future. Your future well being!
Happy Sunday!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, August 19, 2010
Wall Street Make Up Your Mind Already!
Wall Street Make Up Your Mind Already! This is what I have been saying to myself for quite sometime. Wall Street needs a sense of direction. The one thing that is nagging this market is jobs! Jobs! Jobs! Jobs! It was only months ago that the stock market was trucking along and then the jobless claims started to rise. The perception is jobs will not improve anytime soon. Today's report was more fuel to add to the fire. Another disappointing number!
Jobs continue to disappointment! The numbers were worst then expected, with a weekly initial jobless claims of 500,000. That’s 25,000 claims more than the 475,000 expected by the analysts. This is truly the only thing that is stopping this market from going higher. Every time claims come out we sell off! It’s obviously a negative to the market and the economy, but jobs have been terrible for quite sometime.
Everyone (I mean traders) are too quick to judge and any piece of bad news is an immediate sell. That to me isn’t logical. Why would you want to waste your time and energy selling a stock that you liked just a few days ago? This is what the stock market does. I’m here to tell you not to worry. The short term gyrations are meant to make people panic and sell their stock. There are many fund managers out there that still have plenty of money to put into the market. Lower prices are great for people that still need to get into the market. Negative news allows people to accumulate. To me that’s a good thing. A market that continues to move higher without stopping to take a break is a recipe for disaster.
As of today I’m not worried. I get excited at the potential of buying stock at lower prices. If you put in the time to do your research and build a great case for owning a company the short term sell-offs will be a blessing and not a curse. Buy more! It’s that simple. Investing is all about the future. If you can picture a better future for stock prices you will come to peace with the market. 6 months from now everyone will be laughing at how ridiculous it was to fret over the short term volatility.
If stocks were perfectly priced and in line with all the data there would be no reason to invest. No one would be able to make money. That’s why these sell-offs create opportunities in some stocks because the underlying value doesn't reflect the current price. It’s just like buying a house for less than market value, or a used car for a bargain. The potential to make a profit is there! I continue to stay optimistic as I see great potential for stocks.
Look at the market this way. Yes jobs are weak, but look at how well the earnings have been for the majority of companies over earnings season. Earnings have been great! If companies are improving their balance sheets and earnings are on the rise, the potential is huge! What will happen to stock prices when the economy turns and revenue increases? Earnings will explode! That’s why you invest now. Then you won’t miss the gobs of money on the way up as stock prices soar! It’s all about the Future! Future! Future!
On a positive note on a down day Intel (INTC) decided to buy software/security maker MCAFFE (MFE) for $7.7 Billion or $48.00 a share. Just yesterday MCAFFE closed at $29.93. Today MFE closed at $47.01. That’s a +57.07% return in one day! If that doesn’t get you excited that I don’t know what will. Companies wouldn’t be acquiring other companies if things weren’t getting better. I truly believe this is a sign of better things to come. So should you!
All research derived from http://finance.yahoo.com/
Have a great night! I’ll be back on Sunday.
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Jobs continue to disappointment! The numbers were worst then expected, with a weekly initial jobless claims of 500,000. That’s 25,000 claims more than the 475,000 expected by the analysts. This is truly the only thing that is stopping this market from going higher. Every time claims come out we sell off! It’s obviously a negative to the market and the economy, but jobs have been terrible for quite sometime.
Everyone (I mean traders) are too quick to judge and any piece of bad news is an immediate sell. That to me isn’t logical. Why would you want to waste your time and energy selling a stock that you liked just a few days ago? This is what the stock market does. I’m here to tell you not to worry. The short term gyrations are meant to make people panic and sell their stock. There are many fund managers out there that still have plenty of money to put into the market. Lower prices are great for people that still need to get into the market. Negative news allows people to accumulate. To me that’s a good thing. A market that continues to move higher without stopping to take a break is a recipe for disaster.
As of today I’m not worried. I get excited at the potential of buying stock at lower prices. If you put in the time to do your research and build a great case for owning a company the short term sell-offs will be a blessing and not a curse. Buy more! It’s that simple. Investing is all about the future. If you can picture a better future for stock prices you will come to peace with the market. 6 months from now everyone will be laughing at how ridiculous it was to fret over the short term volatility.
If stocks were perfectly priced and in line with all the data there would be no reason to invest. No one would be able to make money. That’s why these sell-offs create opportunities in some stocks because the underlying value doesn't reflect the current price. It’s just like buying a house for less than market value, or a used car for a bargain. The potential to make a profit is there! I continue to stay optimistic as I see great potential for stocks.
Look at the market this way. Yes jobs are weak, but look at how well the earnings have been for the majority of companies over earnings season. Earnings have been great! If companies are improving their balance sheets and earnings are on the rise, the potential is huge! What will happen to stock prices when the economy turns and revenue increases? Earnings will explode! That’s why you invest now. Then you won’t miss the gobs of money on the way up as stock prices soar! It’s all about the Future! Future! Future!
On a positive note on a down day Intel (INTC) decided to buy software/security maker MCAFFE (MFE) for $7.7 Billion or $48.00 a share. Just yesterday MCAFFE closed at $29.93. Today MFE closed at $47.01. That’s a +57.07% return in one day! If that doesn’t get you excited that I don’t know what will. Companies wouldn’t be acquiring other companies if things weren’t getting better. I truly believe this is a sign of better things to come. So should you!
All research derived from http://finance.yahoo.com/
Have a great night! I’ll be back on Sunday.
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Tuesday, August 17, 2010
Dow Jones Up +103.84 Today! Not Bad.
Finally we had the stock market move to the upside! That is what happens with indecision. Indecision creates a perfect opportunity for buyers to jump in when stock prices are low. Big point gains happen when you least expect it. Maybe it was because I was bored. LOL! The new technical indicator should be the Clayton Boredom Indicator. In all seriousness I have experienced a feeling of disgust many times and yesterday was one of those times. This happens to be the perfect time to buy. It's time to buy when the news is bad and fear is in the air.
Well that's it for today. Just wanted to shed some positive light on the stock market. It has been a long time coming! Oh yeah I forget nice job to anyone that had Potash (POT) on the possible takeover bid by BHP drove this stock up 27.66% to close up $31.02 a share at $143.17. See! This kind of opportunity is possible when you invest in the stock market. I love it!
Clay-
Well that's it for today. Just wanted to shed some positive light on the stock market. It has been a long time coming! Oh yeah I forget nice job to anyone that had Potash (POT) on the possible takeover bid by BHP drove this stock up 27.66% to close up $31.02 a share at $143.17. See! This kind of opportunity is possible when you invest in the stock market. I love it!
Clay-
Monday, August 16, 2010
I'm Looking For A Move To The Upside! Rally Up!
Can you say boring! When the market has little action something is about to occur. I have seen the stock market time and time again trade with little direction similar to the past couple weeks and when you least expect it the buyers come in and flood the market creating a powerful move to the upside. I'm going to go out on a limb and say with the beating the market took last week were do for a move upward. Plus I need to make some money! When I'm bored things happen!
Have a good night!
Clay-
Have a good night!
Clay-
Sunday, August 15, 2010
What Do You Want To Know About Investing? Anyone Interested in Personal Finance?
Good Afternoon!
Today I would like to find out what you want to know about investing or what topic you would like me to discuss in the near future.
Obviously, I'm new to blogging and I'm trying to build my readership. I don't want to write about something that no one is interested in. So please send me your feedback. Post a comment of your topic of interest or send a direct email to wheatleycsmk@gmail.com
I'm here to answer all your questions and improve your education on stocks and investing. Here is a list of topics that may be of interest
1. Retirement
2. Individual Stocks
3. Mutual Funds
4. Index Funds
5. Small Cap Stocks
6. Mid Cap Stocks
7. Large Cap Stocks
8. Dividends
9. Bond Funds
10. How to do your own research
11. How to purchase a stock
12. When to buy a stock
13. When to sell a stock
14. What books to read to get started in investing
15. Reviews on investment books
16. Personal Finance (Actually goes hand in hand with investing)
17. How to manage risk in investing
18. What is the stock market
19. Investing for College
20. Dividend paying stocks
These are general topics and I can elaborate in much more detail if requested. If you don't see your topic or have a different question please let me know. I've also noticed that a great deal of people have personal finance questions. With the economy the way it is finding money to invest can be difficult. I have been in the same boat and have experienced the ups and downs. If I have enough interest I may launch a personal finance blog as this would help others build a solid financial base in order to invest. With lots of debt it's counterproductive to invest. If this would be something of interest please send your feedback. I'm full of information and I'm ready to answer your questions. This is fun to me! Ask me anything!
One last thing. I appreciate everyone that has shown interest in my blog and I would like to say Thank You! If feels good to know that I'm helping others. Investing and personal finance is a passion of mine and it would be wrong for me not to share my thoughts and ideas. Money is essential to everyday life and being in control of your money is a must.
On that note I don't want to put anyone on the spot, but I know more than 16 people follow this blog. If you haven't joined as a follower please do so as this shows the increased readership. This helps me determine if I'm doing a good job. Without readership this blog means nothing. So click that follow button if you haven't already done so. Once again I really appreciate the support of my followers!
Thank You,
Clay-
Post a comment or send a response to wheatleycsmk@gmail.com
Today I would like to find out what you want to know about investing or what topic you would like me to discuss in the near future.
Obviously, I'm new to blogging and I'm trying to build my readership. I don't want to write about something that no one is interested in. So please send me your feedback. Post a comment of your topic of interest or send a direct email to wheatleycsmk@gmail.com
I'm here to answer all your questions and improve your education on stocks and investing. Here is a list of topics that may be of interest
1. Retirement
2. Individual Stocks
3. Mutual Funds
4. Index Funds
5. Small Cap Stocks
6. Mid Cap Stocks
7. Large Cap Stocks
8. Dividends
9. Bond Funds
10. How to do your own research
11. How to purchase a stock
12. When to buy a stock
13. When to sell a stock
14. What books to read to get started in investing
15. Reviews on investment books
16. Personal Finance (Actually goes hand in hand with investing)
17. How to manage risk in investing
18. What is the stock market
19. Investing for College
20. Dividend paying stocks
These are general topics and I can elaborate in much more detail if requested. If you don't see your topic or have a different question please let me know. I've also noticed that a great deal of people have personal finance questions. With the economy the way it is finding money to invest can be difficult. I have been in the same boat and have experienced the ups and downs. If I have enough interest I may launch a personal finance blog as this would help others build a solid financial base in order to invest. With lots of debt it's counterproductive to invest. If this would be something of interest please send your feedback. I'm full of information and I'm ready to answer your questions. This is fun to me! Ask me anything!
One last thing. I appreciate everyone that has shown interest in my blog and I would like to say Thank You! If feels good to know that I'm helping others. Investing and personal finance is a passion of mine and it would be wrong for me not to share my thoughts and ideas. Money is essential to everyday life and being in control of your money is a must.
On that note I don't want to put anyone on the spot, but I know more than 16 people follow this blog. If you haven't joined as a follower please do so as this shows the increased readership. This helps me determine if I'm doing a good job. Without readership this blog means nothing. So click that follow button if you haven't already done so. Once again I really appreciate the support of my followers!
Thank You,
Clay-
Post a comment or send a response to wheatleycsmk@gmail.com
Thursday, August 12, 2010
We Need A Break Occasionally!
Since the last time I posted the Dow Jones Industrial Average has dropped more than 333 points just over 3.0% to close at 10,319.95. It has dropped for good reason. We need a break! Or you can say the increased trade deficit, China slow down, or the continued weakness in jobs brought down the market. This negative data is nothing new and it’s a great excuse for a sell off. I feel quite confident in a minor pullback. A market pull back of 3-5% is always healthy when stocks run up to far to fast.
Although I can’t predict the market I definitely see weakness, but I did however notice today some positive action in the small/mid cap stocks. That’s stocks that have a market cap of roughly under $5 Billion. These stocks are very attractive to fund managers looking for growth. Small and Mid cap stocks do very well when the economy is improving and during an economic boom. They have the potential to have accelerated revenue growth and an explosion of earnings during good times. I believe there is more upside potential at the moment and growth is scarce in the larger companies especially with the potential of a slowdown. (Perceived slow down. I don't believe in the so called slowdown.)
My recommendation is to go find yourself a small/mid cap company that you can add to your portfolio to supercharge your returns. Also, continue to add to your favorite stocks on these pullbacks. Think of pullbacks as a gift to purchase your favorite stocks at lower prices. It’s a great feeling when the market turns back up and you can say to yourself “I’m glad I bought more” and it gives you a great confidence boost which is necessary to your success in a volatile market. We all need some reassurance from time to time!
Stay Positive!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Although I can’t predict the market I definitely see weakness, but I did however notice today some positive action in the small/mid cap stocks. That’s stocks that have a market cap of roughly under $5 Billion. These stocks are very attractive to fund managers looking for growth. Small and Mid cap stocks do very well when the economy is improving and during an economic boom. They have the potential to have accelerated revenue growth and an explosion of earnings during good times. I believe there is more upside potential at the moment and growth is scarce in the larger companies especially with the potential of a slowdown. (Perceived slow down. I don't believe in the so called slowdown.)
My recommendation is to go find yourself a small/mid cap company that you can add to your portfolio to supercharge your returns. Also, continue to add to your favorite stocks on these pullbacks. Think of pullbacks as a gift to purchase your favorite stocks at lower prices. It’s a great feeling when the market turns back up and you can say to yourself “I’m glad I bought more” and it gives you a great confidence boost which is necessary to your success in a volatile market. We all need some reassurance from time to time!
Stay Positive!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Sunday, August 8, 2010
Friday's Jobs Data???
The stock market action for Friday showed how resilient the market can be even when negative news floods the news wire. I mentioned on Thursday’s blog post that the July nonfarm payrolls would be released on Friday. I stated that if the numbers were negative stocks would most likely head lower. This is a very important number to pay attention to.
Well the numbers weren’t good! Non farm payrolls fell to 131,000. Analyst’s predicted the total number was to be about 65,000 jobs lost. That’s double the amount of jobs lost compared to what was predicted. The other key number taken from this report is the addition of private employment jobs and the number fell short of expectations adding only 71,000 compared to the analyst’s number of 90,000. Private employment is a better gauge of the health of the economy. Also, the unemployment rate stayed unchanged at 9.5%
Although the overall numbers weren’t very good there were a few positives that came out of this report. Those 2 positives were 1. The average hourly earnings were up 0.2% and 2. The totals hours worked in a week were up slightly by 0.1%. Any increase in these 2 numbers is positive as this shows improvement to the internal data towards to recovery of the jobs market.
All numbers and research was derived from
http://www.reuters.com/article/idUSTRE6752JM20100806
In my opinion jobs will continue to be a sore spot in the stock market over the next few months. This is the single most important short term catalyst to take this market higher. Seeing the stock market basically unchanged on Friday shows the indecision of investors. Without some data point I believe the market will gradually go lower. Don’t get me wrong I’m a true optimist, but the indices have run up through the month of July due in part to the spectacular earnings we have seen from many of the large companies. With earnings season coming to a close and the weak jobs report I see the market trading sideways if not to the downside in the short term. Hopefully I’m dead wrong and the market trucks higher, but after all 3 major indices have run up roughly 9.0% since July 1st I don’t see this happening.
Next week the FED will be speaking about the state of the economy and my recommendation is to sit tight and not buy any stock until after the FED meeting. We haven’t had a major sell off in quite sometime so please be prepared and have some money sitting on the sidelines to buy when an opportunity presents itself.
Have a great weekend!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
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Occasional Stock Market Commentary during the week.
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Well the numbers weren’t good! Non farm payrolls fell to 131,000. Analyst’s predicted the total number was to be about 65,000 jobs lost. That’s double the amount of jobs lost compared to what was predicted. The other key number taken from this report is the addition of private employment jobs and the number fell short of expectations adding only 71,000 compared to the analyst’s number of 90,000. Private employment is a better gauge of the health of the economy. Also, the unemployment rate stayed unchanged at 9.5%
Although the overall numbers weren’t very good there were a few positives that came out of this report. Those 2 positives were 1. The average hourly earnings were up 0.2% and 2. The totals hours worked in a week were up slightly by 0.1%. Any increase in these 2 numbers is positive as this shows improvement to the internal data towards to recovery of the jobs market.
All numbers and research was derived from
http://www.reuters.com/article/idUSTRE6752JM20100806
In my opinion jobs will continue to be a sore spot in the stock market over the next few months. This is the single most important short term catalyst to take this market higher. Seeing the stock market basically unchanged on Friday shows the indecision of investors. Without some data point I believe the market will gradually go lower. Don’t get me wrong I’m a true optimist, but the indices have run up through the month of July due in part to the spectacular earnings we have seen from many of the large companies. With earnings season coming to a close and the weak jobs report I see the market trading sideways if not to the downside in the short term. Hopefully I’m dead wrong and the market trucks higher, but after all 3 major indices have run up roughly 9.0% since July 1st I don’t see this happening.
Next week the FED will be speaking about the state of the economy and my recommendation is to sit tight and not buy any stock until after the FED meeting. We haven’t had a major sell off in quite sometime so please be prepared and have some money sitting on the sidelines to buy when an opportunity presents itself.
Have a great weekend!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
Thursday, August 5, 2010
Westport Innovations W P R T
Today I would like to come back to a company I initially talked about investing in back in June. That company is Westport Innovations. If you have haven’t read the article I wrote about Westport follow this link back to June 13th.
http://stockmarketmonster.blogspot.com/2010/06/can-you-say-westport-innovations.html
Okay so yesterday after the market closed Westport Innovations (WPRT) reported earnings for the 1st qtr of fiscal 2011 a net loss of (-$0.21) a share beating analyst expectations by $0.01 on revenues of $25.5 million compared to a year ago of $21.8 million that’s a 17% increase. Not to bad. Although the revenue didn’t meet analyst expectations of $32 Million I listened to the conference call and a few large orders of product missed the cutoff to report on this quarters earnings. That is why they missed on revenues.
The CEO David Demers was very upbeat. The tone of his voice gave me an indication that good things are still yet to come for WPRT. Westport is on track to meet their expectations for earnings on the year. Nothing has changed and they have a lot of business in the pipeline.
Recently if you have been watching this stock it ran up drastically to hit a 52 week high of $21.34 and has been taken down to $18.18 or about 15%. The reason behind this move was the excitement that the Senate was going to pass an energy bill that is beneficial to Westport. After the bad news that the Senate was going to postpone the bill for further discussion after the Senate break (little vacation) the short term catalyst came to a screeching halt.
Although this wasn’t positive news David Demers continues to see a lot of orders and pent up demand for Westport’s engines in North America awaiting the energy bill. This energy bill will help give direction to companies on what to expect for the future of energy. The monetary incentives alone for natural gas conversion is one of the reasons companies are standing on the sidelines. If the law passes it would be a no brainer for companies to take advantage of the incentives along with the bonus of trimming fuel costs substantially by taking the natural gas route. Yes this would be a huge win for Westport, but they also do business in Canada, Australia, Europe, and China. That means this business is growing with or without the energy bill.
This company has a great long term growth story. I have recently over the passed week personally invested my own money in this company. This is a perfect time to buy now that the excitement of the possible passage of the energy bill has been postponed. Any stock bought between $16.00-18.00 is a good buy.
Look at it this way. An insider purchased 500,000 shares at a price between $17.66-18.79 on July 14th a little less than 3 weeks ago. That’s $9.3 million in stock. You can get in at the same price as this insider. Remember insiders buy stock to make money and show confidence in their company. An insider investing a substantial amount of money is definitely positive for any stock.
My recommendation is to see what happens tomorrow with the July nonfarm payrolls report to see if the number is positive or negative. If positive buy a little over the next few days. If the number is negative it will be a gift as stocks will most likely head lower and you will be able to buy Westport (WPRT) on the cheap. Oh yeah remember never buy all at once!
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
http://stockmarketmonster.blogspot.com/2010/06/can-you-say-westport-innovations.html
Okay so yesterday after the market closed Westport Innovations (WPRT) reported earnings for the 1st qtr of fiscal 2011 a net loss of (-$0.21) a share beating analyst expectations by $0.01 on revenues of $25.5 million compared to a year ago of $21.8 million that’s a 17% increase. Not to bad. Although the revenue didn’t meet analyst expectations of $32 Million I listened to the conference call and a few large orders of product missed the cutoff to report on this quarters earnings. That is why they missed on revenues.
The CEO David Demers was very upbeat. The tone of his voice gave me an indication that good things are still yet to come for WPRT. Westport is on track to meet their expectations for earnings on the year. Nothing has changed and they have a lot of business in the pipeline.
Recently if you have been watching this stock it ran up drastically to hit a 52 week high of $21.34 and has been taken down to $18.18 or about 15%. The reason behind this move was the excitement that the Senate was going to pass an energy bill that is beneficial to Westport. After the bad news that the Senate was going to postpone the bill for further discussion after the Senate break (little vacation) the short term catalyst came to a screeching halt.
Although this wasn’t positive news David Demers continues to see a lot of orders and pent up demand for Westport’s engines in North America awaiting the energy bill. This energy bill will help give direction to companies on what to expect for the future of energy. The monetary incentives alone for natural gas conversion is one of the reasons companies are standing on the sidelines. If the law passes it would be a no brainer for companies to take advantage of the incentives along with the bonus of trimming fuel costs substantially by taking the natural gas route. Yes this would be a huge win for Westport, but they also do business in Canada, Australia, Europe, and China. That means this business is growing with or without the energy bill.
This company has a great long term growth story. I have recently over the passed week personally invested my own money in this company. This is a perfect time to buy now that the excitement of the possible passage of the energy bill has been postponed. Any stock bought between $16.00-18.00 is a good buy.
Look at it this way. An insider purchased 500,000 shares at a price between $17.66-18.79 on July 14th a little less than 3 weeks ago. That’s $9.3 million in stock. You can get in at the same price as this insider. Remember insiders buy stock to make money and show confidence in their company. An insider investing a substantial amount of money is definitely positive for any stock.
My recommendation is to see what happens tomorrow with the July nonfarm payrolls report to see if the number is positive or negative. If positive buy a little over the next few days. If the number is negative it will be a gift as stocks will most likely head lower and you will be able to buy Westport (WPRT) on the cheap. Oh yeah remember never buy all at once!
Have a great night!
Clay-
Have a Question? Send Questions to wheatleycsmk@gmail.com
New Content every Thursday and Sunday.
Occasional Stock Market Commentary during the week.
Feedback Welcome!
Interested? Please become a follower (This gives me an accurate number of readership) I would like to see this number grow! Click the follow button on the right hand side of the screen and follow the prompts. It's easy!
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