This 3-min Stock Card Weekly Update 📡 is a recap of what our users requested and what the Stock Card team published lately.
Here's what's included in this issue:
Have you seen the new StockCard.io?
Is Apple really the new IBM?
New Stock Cards published last week
Have you seen the new StockCard.io?
We just released a new update to StockCard.io, and made several enhancements. I'm, personally, very excited about Stock Collections.
What are the Stock Collections?
Most of us take our stock research to Google and type something like "Semiconductor stocks that are undervalued"! Yes? Maybe those are not your exact search words, but I bet you have tried to find a list of stocks that are all operating in a subsegment of an industry.
But, most stock screeners do not have detailed information beyond the standard industry and sector categories. That's why you end up googling things like that. Stock Card Stock Collections is a unique filtering function that groups companies based on those industry subsegments that we all want to know, but can't find.
Is Apple really the new IBM?
What do Apple and IBM have in common? Well, in the past few years, the media is beating a new drum roll. It's not so much about IBM. Instead, it is about how Apple - once an arch enemy of IBM - is now morphing into a modern-day IBM. Considering the recent disappointing iPhone sales and the lack of any significant innovation by Apple in the past years, is it fair to assume that Apple is the new IBM and is destined for the same fate?
Get all those questions answered by listening to the latest episode of Renegade Investors podcast. You are going to hear what Tim Cook had to say, understand how Apple's CFO talks about the company, explore Warren Buffett's point of view on both companies and dig deep into the state of affairs at IBM of 2013 vs. Apple of 2019.
New Stock Cards published last week
Last week we published five new Stock Cards and refreshed several others. When you log into your Stock Card account in the coming days, expect to see several "new" and "update" flags on Stock Card search page. And now, click on any of the logos below to visit the Stock Card of the company that grabs your attention.
That's it for this edition! Have a great week, folks! Don't forget to share this blog post with your friends if you find it helpful!
Stock Card's winner and loser of the week
This week the stock market created too many losers. Not many loser companies from the operational point of view, but just loser stocks from the share price point of view. The losing streak is so prominent that it is hard to find a winner. But, don't you worry, we've got you a winner:
Burlington Stores, Inc. (Ticker: BURL)
Burlington! Yeh, You may know it as Burlington Coat Factory. Let me tell you something! Put the coffee you have in your hands on the table. Ready? Burlington stock has done better than Amazon and Netflix in the past 5 years. Total 5-year return on a daily basis for Burlington Stores is up by 492%. In the same period, Amazon is up by 331.9%, and Netflix is up by 423.7%. Think about it! While most investors have been chasing the tech and weed stocks, the folks at Burlington have been doing something well. While the revenue hasn't grown that significantly, the company has improved its earnings per share (partly, thanks to the tax cuts). And, when you are a small company that is not talked about a lot, the algorithms pick you up based on your earnings improvements. And, that's the story of this successful winner. Thanks to Chris Hill from the Market Foolery podcast who brought this winner to our attention.
Request Burlington Stores' Stock Card
Loser: Johnson & Johnson (Ticker: JNJ)
Who hasn't seen the report by Reuters that mentions Johnson & Johnson knew for decades that its baby powder included asbestos! Oh no! Not in baby powders! This is a significant blow to the company's brand. The stock dropped by about 10%, and the company lost $40 Billion of its value. The company has categorically denied it, and we are now waiting to see what the truth is. If it is proven right, the brand value the company is going to lose may not be easy to recover anytime soon. Just ask Volkswagen or BP!
Visit Johnson & Johnson's Stock Card now
Should you invest in Beyond Meat after its IPO?
Beyond Meat filled its S1 Documentation in November of 2018, which means the company is getting ready to go public soon. Typically, when it's a new IPO, we hold off from it. There is no rush to invest in an IPO for several reasons including the fact that most IPOs get hyped up at the beginning to give the company a chance to raise as much money as possible. But, Beyond Meat maybe an exception to such a rule. In this episode of Renegade Investors podcast, we explore whether or not you should invest in Beyond Meat when it goes public. We will hear from the founder and CEO of the company. We also dig deep into the S1 document and other resources to assess whether the company is worthy of a spot in our long-term portfolios.
Season One of the How To Invest Video series
Season One of our How To Invest YouTube channel is over. If you haven't watched it yet, it's time to binge watch. We will be back with Season 2 in early 2019. You can send us your topics and episode requests by clicking on this link.
Binge-watch the Season One
Stock Card request of the week
That's it for this edition! Happy Weekend, folks! Don't forget to share this blog post with your friends if you find it helpful, and connect with us to share your thoughts and ideas!
As I write this post, The Game Awards 2018 ceremony is wrapping up. The Game Awards is the Oscars of the gaming industry. Many adults roll their eyes when we talk about gaming as entertainment. But, think about it! This year, Red Dead Redemption 2 video game has achieved the biggest opening weekend in entertainment history; not the video game history, but the entertainment history. It is now apparent that video games and video games companies are going to shape our lives for years to come. This week's most interesting stock market stories are inspired by The Games Award 2018:
Winner: Tencent Holdings (Ticker: TCEHY)
The Chinese video game maker has had quite a few bad quarters. Despite owning 40% of the Epic Games, the maker of the global phenomena - Fortnite, the stock has been in a free-falling mode for a long time. Earlier this year, the Chinese government put a freeze on the publishing of video games that the government deemed to be inappropriate. This has cost the company significantly in revenues and maybe even more importantly investors' sentiment and trust. This week though, in a surprise announcement, a new ethics panel has started reviewing game titles, and the news is welcomed by the gaming executives. It has not yet created a significant win in the stock market, but the story is undoubtedly a win for Tencent.
Visit Tencent's Stock Card now ...
Loser: Activision Blizzard (Ticker: ATVI)
A few companies can be so successful and pull off an epic fail in their stock price at the same time. Activision Blizzard has done just that. The company is a leader and is on track to benefit from the emergence of eSports category and has already invested significantly in developing its eSport line of business. The investment includes the development of an eSport league, athlete drafting and recruitment rules, and the development of the world's first eSport stadium for its popular Overwatch franchise. Activision Blizzard is a monster player in the video game industry. However, the shares of Activision Blizzard, Inc. dropped by approximately -42% since the beginning of October 2018. The video-game company reported 345 million active users in the last quarter, which was a 2% drop compared to the previous quarter. This caused the share price to tumble. Additionally, the company has had some fall outs with its fan base as a result of disagreement around the release of a mobile version of its popular PC game, Diablo. The current holiday season is expected to turn the fortunes for Activision Blizzard. Only time will tell!
Visit Activision Blizzard's Stock Card now ...
Should you invest in Chinese stocks?
Considering the U.S.- China tariffs and trade war and the rapid fall of the Chinese companies' stock prices in the past few months, a drift is shaping up in the stock market community. On one side, people believe China is a trap. It's full of fraudulent practices, the numbers are baked, and the government is unfair and has control over everything. Other investors believe that the decline is temporary and marks a unique opportunity to invest in great businesses at affordable levels. Who is right? And, as stock market investors, what should we do? Should we hold on to our Chinese stocks, should we double-down and invest more, or should we sell them off?
Tax-related stuff you need to know as a beginner long-term investor
Filing for taxes seems to scare many people. Especially, new investors who tell us that they get scared of filing their taxes if they have bought or sold a few stocks. As always, if you break down a complex question into smaller parts, it is not too difficult to answer it. On this episode of How To Invest series, we talk about six tax-related things you need to know to glide through investment taxes.
A new company that is shaping the future of work!
This week our Stock Card premium members were quite excited. When the stock market is going down, long-term investors are all joyous to pick up a few shares of the companies that they have been patiently watching. The Stock Card Request that piqued our interest this week is a new IPO. While new IPOs are too young to be worthy of a spot in our portfolios, they are an indicator of the type of companies that are going to shape our future. We are all so accustomed to having Google in our personal lives to help us with the things we need. What about in our professional lives? What if we want to know the # of new users who signed up last week? We can't google it. Companies store a massive amount of data, but there is no google to retrieve such data organically and in simple spoken-language. That's where this week's Stock Card Request comes it. Elastic NV (Ticker ESTC) is a software developer that is among the leaders in the enterprise search software market. What an interesting and futuristic market it is, which is going to shape how we work in the future!
That's it for this edition! Happy Weekend, folks! Don't forget to share this blog post with your friends if you find it helpful, and connect with us to share your thoughts and ideas
The stock market continues to do what it does best; fluctuates. If you turn on the financial media, they are also doing what they do best, fueling the emotions. A few weeks ago, we talked about three ways you can react to the market's ups and downs; staying blissful, acting like a maniac, or investing intelligently. Nitin Pachisia, managing partner of Unshackled Ventures and our latest guest at Renegade Investors podcast have shared with us that the worst thing you can do is to let your emotions guide you away from your strategy. Some of the best investors in the world will tell you that their worst investments were when they went off strategy.
If the stock market's fall is throwing you off of your strategy, remind yourself that the stock market on average falls at least 10% or more every 11 months, historically. And, listen to the latest episode of Renegade Investors podcast.
We've got something for you if you are new to investing!
Are you still here? Didn't you click to listen to the latest episode of Renegade Investors? It's okay! Since you are here, let me share one more thing with you.
Many of our users who are new to investing have asked us how to get started with long-term investing. That's why we launched season one of Stock Card's YouTube channel. It's going to have eight episodes and we just released episode one. Each episode will cover one key aspect of what it means to be a long-term investor. From things to know to tools to have, we've got it all covered. Here is the first episode:
Stock Card Product Update
Com'on! I told you about the latest edition of Renegade Investors podcast, and you didn't leave. I shared the news that we just launched Stock Card's YouTube channel for our new investors, and you are still here! Alright, one more thing to share, and this time, you'll be definitely gone! deal?
Last week, we released a major update to Stock Cards. As you know, each publicly traded company gets a Stock Card that automatically collects and simplifies all the information you need to invest for the long-term without spending time researching allover. One of the key questions Stock Cards answer is whether the stock of a company is overvalued or undervalued? With the latest release, we simplified the data points under the Fair Share Price section of all Stock Cards. The update removed complex data points and included the most common indicators of whether a stock price is overvalued or undervalued. Examples are Price to Earnings ratio, Price to Sales ratio, Price to free cash flow ratio and their comparison with the weighted average value for the S&P 500. The fair share price section will continue to get updated automatically twice daily (once the market opens and once the market closes in the U.S.). However, the data is now sourced from our data partner, YCharts, and not via Finbox.io. Look up the Stock Card of your favorite companies and check the updated fair share price section.