Talking Stocks 2.0

[McGooberstein]

Long time lurker here- my 6 largest positions are in AAPL, AMD, AMZN, MSFT, NVDA, and GOOG in that order. I'm in my early 30's with a long time horizon so ~60% of my holdings are in the tech sector. Been investing since my early 20's and am willing to go deep on tech as it's always produced great returns. Fortunately being a bit of a pc gamer allowed me to have some foresight on NVDA and AMD a few years ago- knowledge of their hardware and product offerings, as well as being a consumer of both brands myself has been VERY good to me. The rest of my holdings are in a few more established blue chips companies like Costco, Walmart, JPM, as well as a few ETFs to get exposure to Internaional markets, small caps, and bond markets.

Writing on here because I'm not really familiar with cloud based IT and cybersecurity- but I would like to add a few companies in my portfolio in this space as I believe it will become even more important in my lifetime. I've looked at a few companies including qualys, fastly, cloudflare, and cisco. A few of them have insane valuations and it's hard to find reliable PEG ratios or forward P/Es for them as the numbers are constantly in flux. I've thought about spreading my chips across all of them but I know there are some seasoned traders on here who probably have more knowledge and perspective than I do when it comes to this market space and who will emerge as the leaders in this space.

Any thoughts on cloud based IT and cybersecurity would be awesome. Thanks for the help!

[JParm]

https://www.fool.com/investing/2020/...adoc-deal.aspx

Good article recapping the discontent many are feeling with the LVGO / TDOC merger, myself included.

Oh well, will stick this out longterm and actually adding on the LVGO dip. TDOC only becomes stronger...

[jtli202]

Been a shareholder in LVGO for awhile now. Deal isn't great for LVGO shareholders, but if I was a TDOC shareholder I would be buying on the dip.

Merger expected to close sometime in the fall but the companies are essentially price merged now. LVGO shares should not be trading more or less than 59.2% price of TDOC + $11.33.

Using current TDOC prices, merged company has a market cap of ~$28.4Bn and proforma revenue of $923MM (not accounting for revenue synergies). Works how to be a P/S ratio of 31x. Not bad for a company growing at ~100% revenue.

[-dustin]

any thoughts on the Rackspace IPO that doesn't seem to be going so well?

[beshannon]

Originally Posted by -dustin

any thoughts on the Rackspace IPO that doesn't seem to be going so well?

https://seekingalpha.com/article/436...zes-ipo-effort

[JParm]

Sold out of LVGO. Overall profits over the last few months at 65% for me, which I cannot complain about.

The more I thought about the merger and today's price action, the more I thought about locking in profit.

At the end of the day, I can always come back in - but I did not invest in LVGO to be subsquently in TDOC. More DD to come from me on this and whether this is where I want to be invested but again, had to take the profit here. Can't cry about the money made over such a short amount of time.

[HTXlex]

I really appreciate your Jpeezy for all your insight. I made out like a bandit on FSLY(sold yesterday) and currently looking into SE now.

[logo]

Originally Posted by McGooberstein

Long time lurker here- my 6 largest positions are in AAPL, AMD, AMZN, MSFT, NVDA, and GOOG in that order. I'm in my early 30's with a long time horizon so ~60% of my holdings are in the tech sector. Been investing since my early 20's and am willing to go deep on tech as it's always produced great returns. Fortunately being a bit of a pc gamer allowed me to have some foresight on NVDA and AMD a few years ago- knowledge of their hardware and product offerings, as well as being a consumer of both brands myself has been VERY good to me. The rest of my holdings are in a few more established blue chips companies like Costco, Walmart, JPM, as well as a few ETFs to get exposure to Internaional markets, small caps, and bond markets.

Writing on here because I'm not really familiar with cloud based IT and cybersecurity- but I would like to add a few companies in my portfolio in this space as I believe it will become even more important in my lifetime. I've looked at a few companies including qualys, fastly, cloudflare, and cisco. A few of them have insane valuations and it's hard to find reliable PEG ratios or forward P/Es for them as the numbers are constantly in flux. I've thought about spreading my chips across all of them but I know there are some seasoned traders on here who probably have more knowledge and perspective than I do when it comes to this market space and who will emerge as the leaders in this space.

Any thoughts on cloud based IT and cybersecurity would be awesome. Thanks for the help!

NET is my long term pick. See my posts a page or two back on why I believe that’s a good choice (but there are many good choices out there).

Relating to this, FSLY seems to be selling off after earnings despite an impressive showing. Not much surprise, as I stated before, I felt they were over priced. Maybe now is a better time to add once the dust settles out.

[JParm]

Added to my position in FSLY on the dip.

Solid numbers and I'm looking forward to what CEO Bixby has to say on the conference call. Long-term bullish here!

[AshCashEmAll]

Originally Posted by jpeezy14@hotmail.com

Added to my position in FSLY on the dip.

Solid numbers and I'm looking forward to what CEO Bixby has to say on the conference call. Long-term bullish here!

I’m long term too but can’t see what the rationale is here... went from 117 to 97 after great earnings.


Sent from my iPhone using Tapatalk

[logo]

Originally Posted by AshCashEmAll

I’m long term too but can’t see what the rationale is here... went from 117 to 97 after great earnings.


Sent from my iPhone using Tapatalk

The rationale is simply they were overpriced relative to what their earnings were. Note this does not imply anything about their long term - they needed a correction and here it is. Fantastic earnings and they’re set for long term.

[JParm]

Originally Posted by AshCashEmAll

I’m long term too but can’t see what the rationale is here... went from 117 to 97 after great earnings.


Sent from my iPhone using Tapatalk

It's a volatile growth stock - if you can stomach the big falls down, then enjoy the wild ride up as well.

It has run very fast over the last couple of months, and was just up 15% the other day.

Looking forward to the conference call here at 5 ET.

[supernova]

Got alot uglier for FSLY after hours, I think near to med term will be super volatile, kinda glad I got out last Fri. Might get back in after price corrects down alot..

Happy with DIS today though.

[JParm]

Originally Posted by supernova

Got alot uglier for FSLY after hours, I think near to med term will be super volatile, kinda glad I got out last Fri. Might get back in after price corrects down alot..

Happy with DIS today though.

Volatility will always follow these high growth stocks.

Let's look big picture - the stock is back to its price from Friday and nothing fundamentally has changed. The company has not only provided guidance but increased it yet again, all while providing another earnings beat.

Definitely a monster run up with a large pullback down, but that's been the story the entire time. Could still see downward movement, though I still say buy the dip.

[supernova]

Originally Posted by jpeezy14@hotmail.com

Volatility will always follow these high growth stocks.

Let's look big picture - the stock is back to its price from Friday and nothing fundamentally has changed. The company has not only provided guidance but increased it yet again, all while providing another earnings beat.

Definitely a monster run up with a large pullback down, but that's been the story the entire time. Could still see downward movement, though I still say buy the dip.

Was the 12% reliance on TikTok not known before as that seems to be main driver. I may buy the dip but don't think the low is here yet, I see this as a sub 80 to buy. Really wonder who was buying at 115 yesterday..

Or I think I'm getting too old to play around with this type of volatility, heart can't take!

[JParm]

Originally Posted by supernova

Was the 12% reliance on TikTok not known before as that seems to be main driver. I may buy the dip but don't think the low is here yet, I see this as a sub 80 to buy. Really wonder who was buying at 115 yesterday..

Good question - I think the good thing here is that they could fill that gap with other customers very quickly (as mentioned by the CEO on the conference call), which I don't think is lip service.

I don't disagree that this could move down further a bit, but the story and fundamentals remain intact. They were not shy about claiming the strength of the balance sheet multiple times, along with the growth numbers.

[beshannon]

Busy morning, waiting for jobless claims

Looking at some names, BMY, HON

https://www.thestreet.com/investing/...-lifts-outlook

[JParm]

Continuing to watch certain cyclicals for LEAPS purposes (C, WYNN, PSX to name a few).

Will be adding on any weakness in big tech, as well as further dips in FSLY.

After yesterday's debacle with LVGO / TDOC, I have decided to initiate a position in TDOC. I think the bloodbath from the merger was overdone and I'm happy to have taken profits from LVGO; sights are now set on the future with Teledoc.

[beshannon]

Anyone looking for dividend ideas, I have been pouring over this list all morning

https://www.kiplinger.com/investing/...-of-retirement

As we near leaving our jobs for new adventures I have been shifting much of our portfolios to generate income to live.

While high flyer stocks can be exciting, I am getting too old for the ups and downs and prefer to see income and dividends hitting my statements each month.

Just my .02

[beshannon]

Reviewing FSLY

https://seekingalpha.com/news/360190...iktok-reliance

https://www.marketwatch.com/articles...article_inline

12-14% of revenue from TikTok is huge, the price run up was huge . . .

Not saying there is not opportunity here but with short interest of 12% and a down open of $19 per share, I will just watch for the time being.

[JParm]

Originally Posted by beshannon

Reviewing FSLY

https://seekingalpha.com/news/360190...iktok-reliance

https://www.marketwatch.com/articles...article_inline

12-14% of revenue from TikTok is huge, the price run up was huge . . .

Not saying there is not opportunity here but with short interest of 12% and a down open of $19 per share, I will just watch for the time being.

Agree on more downward pressure possible and would wait here as well.

https://seekingalpha.com/article/436...unning-results

For those looking at AAPL - I don't think you're going to get a black and white answer on entry (do we ever? ).

I know I initially said 390 would be my target pre-split, but at this point I don't see that happening and actually added on Tuesday. From the action we've been seeing, I just don't see it coming down too far.

Short-term might not present the returns of my other growth stocks but long-term, AAPL will be just fine. Content with my entry.

[beshannon]

U.S. weekly jobless claims total 1.186 million, vs 1.423 million expected

https://www.dol.gov/ui/data.pdf

Futures perked up a bit still down 100 on the Dow to open

[beshannon]

Originally Posted by jpeezy14@hotmail.com

For those looking at AAPL - I don't think you're going to get a black and white answer on entry (do we ever? ).

I know I initially said 390 would be my target pre-split, but at this point I don't see that happening and actually added on Tuesday. From the action we've been seeing, I just don't see it coming down too far.

Short-term might not present the returns of my other growth stocks but long-term, AAPL will be just fine. Content with my entry.

I will look to buy post split after the sellers and those who will reduce positions drop shares.

[McGooberstein]

Originally Posted by beshannon

U.S. weekly jobless claims total 1.186 million, vs 1.423 million expected

Futures perked up a bit still down 100 on the Dow to open

I'd stay away from anything energy related. Oil prices are being manipulated by forces outside of regular U.S. consumer demand- its not a game I want to put myself in the middle in. I like the high dividend yield telecoms- AT&T and Verizon are my personal favorites. Unilever (3% yield) is also a pretty solid play at the moment with people spending a lot at grocery stores and staying at home more. They crushed their past earnings and I'm guessing that will continue for at least the next quarter or two.

[bryan13]

Originally Posted by beshannon

Anyone looking for dividend ideas, I have been pouring over this list all morning

https://www.kiplinger.com/investing/...-of-retirement

As we near leaving our jobs for new adventures I have been shifting much of our portfolios to generate income to live.

While high flyer stocks can be exciting, I am getting too old for the ups and downs and prefer to see income and dividends hitting my statements each month.

Just my .02

Great article, thanks! Over the last few weeks I have closed most of my tech positions as many soared to levels I didn't think possible. My cash has flowed into many of these higher paying dividend stocks and some international equities.

[beshannon]

Originally Posted by bryan13

Great article, thanks! Over the last few weeks I have closed most of my tech positions as many soared to levels I didn't think possible. My cash has flowed into many of these higher paying dividend stocks and some international equities.

Glad to help, nothing wrong with tech exposure I still own AAPL, MSFT, QCOM, AMD, SWKS, INTC

I too have been trimming these not only to protect gains but I believe a rotation is coming

[supernova]

Originally Posted by beshannon

Glad to help, nothing wrong with tech exposure I still own AAPL, MSFT, QCOM, AMD, SWKS, INTC

I too have been trimming these not only to protect gains but I believe a rotation is coming

I agree, COVID cases in US seem to stabilize and drop, also haven't really heard any vaccine news for while so think there is going to be some new news media will jump on causing for more hope (even though I think vaccine is still far out).

I reduced my AMD and AAPL at 85 and 445 couple days ago, and cycled into BA and LUV when they were low.

[beshannon]

Originally Posted by McGooberstein

Any thoughts on cloud based IT and cybersecurity would be awesome. Thanks for the help!

FSLY gets discussed here quite a lot, MSFT and AMZN too.

The space can be volatile and you would need to determine your goals and holding periods.

I own MSFT, CRM, AMZN, CSCO and am not currently in FSLY.

[JParm]

Originally Posted by supernova

I agree, COVID cases in US seem to stabilize and drop, also haven't really heard any vaccine news for while so think there is going to be some new news media will jump on causing for more hope (even though I think vaccine is still far out).

One thing to think about short-term is the 6-week lockdown in Melbourne, Australia that was just announced and the uptick in cases as schools report teachers / kids getting COVID and having to close down again.

https://www.foxnews.com/us/georgia-s...ng-coronavirus

I don't think we'll close down here, but any thoughts of a sudden return for the cyclicals would be a bit soon.

My strategy there is for LEAPS expiring in 2022...hoping we're back to "normal" by then and buying LEAPS here at least takes advantage of the lower stock prices without tying up too much capital that can be used elsewhere (e.g. big tech for me).

[beshannon]

Fastly sidelined at Oppenheimer on TikTok risk

https://seekingalpha.com/news/360206...on-tiktok-risk

I have no opinion on the stock however it seems to me to be a case of the bad news gets worse and could present a buying opportunity if the stock really gets thrown out.