Featured

Deere Had Earnings and Caterpillar Took No Notice

Deere had earnings which as usual were open to interpretation. Here is how it traded on the week. It's difficult to know who to believe. Was Caterpillar affected by any of this news? Not really. It was up $25.33 on the week. One of it's divisions is starting to attract more attention. Options in both of these companies are thinly traded. I have talked about this before. Deere was down on the week and Caterpillar was up on the week. One of the problems with trying to play options on both of these stocks is that they can move up or down like $5.00 on any given day on no news. Buying on the dips if you look at the Caterpillar chart seems to be a way to profit on it's options. On Deere it was to buy Puts before it's quarterly earnings report came out. So where does that put us now? Looking at Deere Calls is one suggestion thinking it's oversold. Deere was down $22.75 on the week. Yet wait, look at the volume of trading in these two longer term Deere Call options. M...

Roku Jumped in Anticipation Of A Good Earnings Report

Only to fall again. Look at this five and thirty day chart.
...................................................
Yet thats only part of the story. Look at it's year to date chart.
How bad was their earnings report?
Do you think their pain and suffering is all now behind them? The stock is down 38% on the year. All I know is that they still seem to be making a pile of money. On a different note and in a different industry a stock named "First Solar" was stuck in neutral a few months back because interest rates where to seemingly high and companies in that industry were cutting back on the size and number of projects they were working on. Since that time and for whatever reason the stock in on fire.
Both Boeing and Caterpillar also crashed last week on earning report releases. There seemed to be a hint of danger present in both companies releases. It's almost as if there was a domino effect. Next question? Why is Netflix gettng beat up? Look at it's chart.
Is it partly because other companies like Disney are beefing up their efforts to become a bigger player in this space. Yet then again, the more things change the more they remain the same. A few years back all eyes were focussed on Netflix tweeking their business model on advertising policies and on the issue of their subscribers sharing their passcodes. Those issues are now largely history. We must not forget that Roku has 80 million subcribers. There is still plenty of money for all to be earned. The lesson to be learned is that following sideways moving stocks doesn't always pay off. ** See how I struggled with Roku in a blog I posted on April 15th. It's all to easy to get fixated on sideways moving stocks. * Roku closed down $.55 cents on the week and as mentioned previously in my April 15th blog, Cathie Wood the founder of "Ark Investor" now has some skin in the game.

Comments

Popular posts from this blog

A Fireside Chat - One Year Options and Thirty Day Options. Which is Better?

Waiting For A Drop On The Opening On Bad News - Eli Lilly

Another Blog On "Vinfast"