Buy this stock if you’ve got $1,000 to invest
Aug 11, 2021Good morning!
Futures look set for another record level attempt following a weaker day yesterday.
Here’s my playbook.
1 – A quick counter-trend trade idea
Nearly 50 S&P 500 companies are to report. Some of the bigger, more well-known names include Marriott Intl, Hyatt, Avis, Lyft, Clorox, and more. Under Armour came out of the gate strong earlier this morning and shares are higher on uplifting guidance. At the other end of the spectrum, tech energy and industrials were all lower yesterday and that makes me wonder if these stocks can save the day or fail it.
I’m thinking a few well-placed S&P 500 put options at the open could be a great speculative play.
2 – My favourite Virus+ stock is already ahead of the next Covid wave
The addressable market is hundreds of millions of people and growing by the day because of how fast Covid-19 is spreading and mutating. Thankfully, my favourite Virus+ company, Pfizer, is ahead of that.
Mikael Dolsten, the company’s chief scientific officer, said that the company is working on a protease inhibitor similar to those already used with great success to treat HIV and hepatitis C. Critically, the new antiviral drug has a good safety profile AND has shown preclinical results suggesting it could be effective against all known Covid-19 variants.
Yield is still an appealing 3.55%, too!
---
Join the Family
I recommended Pfizer (PFE) to One Bar Ahead™ readers on February 5th, 2021, and it’s returned a stunning 25.89% versus just 12.87% from the S&P 500 Index over the same time frame. That’s a 2.01 to 1 advantage - double the broader markets. If you’ve already got this covered, cool beans. On the other hand, if you’d like help finding big picture, safety first stocks just like this one, I’d like to be the guy who gets you there.
I’ll be announcing 2 new stocks to buy this Friday in the August Issue. Get ‘em now
---
3 – Buy this stock if you’ve got $1,000 to invest
I am frequently asked about which “hot” stocks to buy but that’s like asking a pharmacist which street drugs will give you the best buzz. The better (and more profitable) question to ask is which stocks will be there in 10-20 years. If they’ve got the ability to change the world, even better!
Apple is at the very top of my list. The ongoing “medical pivot” I broke to the world nearly a decade ago still isn’t even remotely factored into share price. That’s amazing considering that the medical market in the US market alone could be 3X the global iPhone market.
Most brokerages have done away with commissions and many offer fractional shares. There’s never been a better time to invest.
What are you waiting for?
4 – Avoid these Chinese stocks like the plague
China’s regulators used unprecedentedly strong language describing online gaming “opium.” The Western press has duly picked up on that, of course, but there’s a lot lost in translation.
Calling online gaming “opium” invokes a reference to the Opium Wars more than a century ago. It’s also a reference to the need to fight foreign encroachment. China, you see, believes that many of the economic problems faced from roughly 1840-1919 and beyond resulted directly from foreign encroachment related to the opium trade and addiction. The parallels to today are striking.
Do NOT fall for experts who want you to believe that this is a minor inconvenience.
Tencent is getting hammered again. NetEase is collateral damage. Didi’s buyback rumours are false. Alibaba reports later today. All are ripe for manipulation as a result of the entire situation.
5 – Live in California? The cost of your bacon could double
California is implementing new regulations that could double the cost of pork production which, of course, means the cost of bacon could rise 30%-50% according to Glenn Stolt, CEO of Christensen Farms. Eggs, veal calves and more are potentially also impacted.
I’m all for preventing animal cruelty – don’t get me wrong on that count.
This article caught my attention because it seems to me there is going to be a wallet-shredding reckoning when it comes to consumer naivete about where and how a huge portion of our food is sourced.
Synthetic food stocks?
Bottom Line
Chances are you’ve heard that old adage that, “it takes money to make money.”
It’s not true.
Anybody can start with no money and figure out a way to make it.
What’s more, the greater the effort the faster the payoff, particularly when it comes to investing and trading.
You got this – I promise!
Now get out there, lean in and let’s make it another fabulous day.
Keith
