If you prefer watching a video, I go more in depth about my picks here: https://youtu.be/89bWtex8irQ
In this month, I'm watching (and most likely buying) 3 companies that I believe will greatly benefit from the record breaking holiday season we just had in December 2017. Consumer spending, especially online, was absolutely dominant during the holiday season, and many companies will benefit from this going into 2018.
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My first pick is Alibaba (BABA). They had their singles day in November and absolutely shattered records from the previous year in 2016. They had billions of USD in sales in 1 day - which is absolutely insane when you think about it. I believe that December was also a strong month for Alibaba as consumers outside of China spend the most money in December, and Alibaba is one of the companies that they go to to spend this money. This is why Alibaba is my first pick.
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My second pick is Apple (AAPL). Apple had some "news" come out in December which affected the stock. The first "news" article was that Apple admitted to slowing down older iPhone models to save battery life and prevent premature shutdown - but if you purchase a new battery you would not be affected. Consumers were outraged by this and there are even lawsuits against Apple on this now - but the stock price didn't really move on this piece of news. The real mover was the "news" article that came out on Apple slashing their forecast on iPhone X sales. The source claims they will cut it by more than 30% of originally expected. The issue here is that this is all speculation, and the sources is unknown - which makes it much less credible. It was also downgraded by a smaller firm and all of this negative news led to some selling. I feel this is similar to the price action we saw before the iPhone X came out, which was clearly manipulation, and you could have profited well if you didn't buy into the rumours. This is a golden 2nd chance to take advantage of the exact same situation. I know I will be adding calls and shares to my position in January in anticipation for the earnings run up at the end of Jan or early Feb.
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My third and final pick is PayPal (PYPL). Another company that will benefit greatly from the strong shopping month we just had. Many online businesses use PayPal as a form of payment, and PayPal benefits from each and every one of these transactions. And with online sales up something like 20-30% year over year, this is a lot of revenue and profit that PayPal will see in their next ER. They also partnered with the investing app Acorn this month, to allow customers of both platforms to transfer money easier, and withdraw and contribute money as well. Overall is a good partnership that will help PayPal reach younger and less finance-savvy investors.
So these were my 3 picks for January 2018. There were others that I wanted to also pick (Nvidia and Applied Materials come to mind) but I felt the 3 that I covered provided the most upside going into 2018. So what stocks are YOU watching/buying in Jan 2018? Share below and Happy Investing!
Submitted December 28, 2017 at 11:10AM by blackdragon1299 http://ift.tt/2E8e2J2
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