Welcome to the first issue on the Investor Trip Daily where I cover what's going on in the financial markets along with my personal buys & sells throughout the day.
I'm working on delivering this free daily newsletter (Monday through Friday) via email but for now you can read it by visiting this blog, http://www.investortrip.com
1. My Recent Buys
With so many stocks on sale, I recently added to the following positions today:
- Realty Income (O)
- ADT (ADT)
- Aurora Cannabis (ACB)
- Sunrun (RUN)
- Uber (UBER)
All of these stocks are long term holds for me and I've decided to pad my positions because I think we could be close to a stock market bottom. The Fed rushed in to provide “unlimited QE” to support the U.S. economy during the Coronavirus pandemic.
What this means is the Fed is worried investors will continue to panic and sell off stocks so they are performing damage control to keep everything at bay.
We've officially reached bear market territory so much of the damage is already done.
2. Top 10 Coronavirus Stocks to Buy
I posted a list of my top 10 stocks to buy during the Coronavirus crisis. All of these companies will benefit from the crisis because they are either well positioned for “stay at home” orders. Many people have nothing else to do inside their homes and these companies will see a nice upticker in consumer activity.
Lots of companies are earning zero revenue during this global lockdown so be careful when choosing stocks to buy. Earnings drive stock prices and many stocks will become cheaper in the following weeks. If you aren't sure about a stock, wait for a week and see what happens. Even though the Fed has stepped in, this could be the tip of the iceberg in a long economic recession.
3. Bought Ford (F) & Macy's (M) Put Options
Two stocks I bought put options on for Monday's sessions were Ford and Macys. Bought companies cut their dividend and will see a big drop off in revenue. Ford stock was already plumeeting over the last couple of years and management finally eliminated the dividend.
Macy's is a retailer that will take a big hit in revenue because all of their stores are closed. I expect the stock to head towards $3 by the end of the week.
4. Zoom (ZM) Sees spike in video conferencing during COVID-19 Outbreak
One company benefiting from the global lockdown is Zoom, a video conferencing company. The company has seen a major increase in signups recently and the stock is up 100% since last month. Slack is also another company benefiting from the current crisis.
Tarik Pierce is the founder of InvestorTrip.com and regularly contributes articles to this website.
While living overseas, he uses PureVPN for a low cost VPN service.
He recommends Bluehost for setting up your own personal and/or business blog.
While his background is mostly related to trading stocks, he recently gained interest in real estate crowdfunding with Fundrise.