Saturday, June 24, 2017

ACHC Brokeout

Acadia Healthcare was pushing against fairly strong resistance and as of late has been touching up on it. At some point in March, April, May, and June, the stock as touched the resistance at roughly $46.50. Healthcare performed beautifully last week and on Thursday we saw ACHC break through the resistance and continue gaining on Friday. Currently the stock sits at $48.03 and in a seemingly good position.

Monday, June 19, 2017

Kroger BOMBED [KR]

Pretty easy to see on Thursday that Kroger kind of sucked. They released their last quarters earnings and while they met analysts predictions, they lowered their expectations for the next year. On that news - along with their wishy washy earnings call language - their stock plummeted. Fell off a cliff, if you will. It opened Thursday morning down roughly -13% from the previous days close and it got worse from there. Kroger's management started the earnings call close to 10:00am. The prepared statements in summary were basically not to expect too much from them in 2017 and they readjusted their eps estimates lower from their last ones. In total, KR's share price went from $30.26 down to $24.56 just on Thursday. A grand total of -18.84%.

"What more could go wrong for them this week? They already lost billions of dollars in market cap and are going to make less money this year than previously thought....maybe this is the bottom. Kroger is a value stock that has been struggling lately and, who knows, maybe it's time for me to be contrarian. Everyone thinks it will be bad so I'll buy into it. They could do better than they think! That would give a great boost to their stock price. It's so cheap right now. I think I'll invest!" 

Thursday, June 15, 2017

If I Bought Everything I've Analyzed...

I figure now is as good a time as ever to go through my track record and see how I have been doing. I started posting last October and the stocks that I have analyzed have done pretty well since then. I will start from the beginning and go from there, looking at all the stocks I have analyzed and presenting the return of each since the post date.

1. Chipotle analysis on October 20, 2016. The stock price at the time was $405.10 and I said it represented a "beautiful buy point." Before market open today (6/15/17) the price is $459.69. The total return over this time has been 13.43%.

2. SolarCity analysis on October 21, 2016. The stock price at the time was $20.15. It was bought by Tesla and since converted into Tesla shares. At the time of the conversion, shares of SolarCity reached $20.34 and were converted to 0.11 shares of Tesla - which was $184.52. The conversion happened on November 21, 2016. Lets say you have $987.35 invested in SolarCity at $20.15. That'd buy 49 full shares. Those 49 shares would be converted into 5.39 shares of Tesla. Since the merger, Tesla has gone from the $184.52 price mentioned earlier to $380.66 before market open today (6/15/17). That would mean your position as appreciated by 105.74%.

Tuesday, June 13, 2017

Cara Therapeutics

Cara Therapeutics [CARA]

Cara is trying to do big things to combat the opioid epidemic that has been a problem in the United States for quite some time. Opiates are considered an analgesic drug - or one that relieves pain. The most common are in the forms of morphines and heroin. Then there are the synthetic and semi-synthetic opiate drugs being Percocet, Vicodin, OxyContin, and fentanyl. From the Wikipedia page Opioid epidemic, there were 52,000 drug overdose related deaths in the United States. Of those overdose related deaths, 33,000 were from opioids. Clearly there is an opioid problem.

Wednesday, June 7, 2017

Nu Skin Enterprises - [NUS]

This is the first time I have heard of Nu Skin and to be honest I am a fan.

"Nu Skin Enterprises is a $2.0 billion plus direct selling company that markets premium quality personal care, nutrition, and technology products through a global network of approximately 1 million Actives and Sales Leaders." -Investor Relations on Nu Skin Website

First things first is their fairly consistent dividend since the beginning of 2001. They missed a few quarters here and there, but it has grown at a steady pace to reward their investors. However, besides the dividend I don't know if I would plan on investing in them long term because I have only been watching it for a couple days. Though they've been in business since 1984 and traded publicly since late 1996, I haven't looked into their business and how they stack up to competitors yet. So why don't we look!

Monday, June 5, 2017

Reinvest Your Dividends

If you find yourself in a position where you have time and financial security then good job. You're doing something right. Also, investing some of that extra money is a well managed company with a consistent dividend payment it could behoove you. Even better would be to find a company that allows you to reinvest the dividend immediately into more shares. My grandpa sent me a book that speaks on it and, though the book outdated, provides some very valid arguments for reinvesting dividends.

My strongest take-aways regarding the positives of the reinvestment the purchase of shares automatically dollar cost averages for you. Also, there is a pretty good case of making more money* than just receiving the cash dividends and doing it yourself or just keeping it.