Next 10x Stock Winner


#1775

None of the six is worth opening long calls?
I’m thinking of UBNT. Result on May 10.


#1776

UBNT is filling a gap. It filled the first one. I don’t like gap fills.

The rest all have near-term resistance at prior high. I prefer to wait for prior high to be taken out. It’s too easy to fail before then. You could play it conservative. Buy calls at the recent low and sell calls at the high. It’d definitely be cheaper.

I also like the SPY to be above the 50-day. Once it hits that I’ll look at stocks hitting their 13-week high for ideas and to see what’s leading the market higher.


#1777

In some cases, breaking new heights don’t lead to ensuing long rally, can be quite short which I thought would be the case in current environment. I know previously it did.


#1778

Anyone own WIX?


#1779

Always stay with the leader (i.e.SHOP) !

Its platform has been the go-to choice for general-purpose website construction, while rival Shopify is better set up for dedicated online retail platforms.

https://finance.yahoo.com/news/why-wix-com-stock-rose-194100543.html


#1780

Arista fell 9.5% to 242.80 on the stock market today, after Cleveland Research downgraded the computer network gear maker to neutral from buy.

Who the heck is Cleveland Research? Never heard of them.


#1781

#1782

" We are looking for high unit volume growth. Usually there is a large, growing, fragmented market. We also look for pricing power, or at least not significant pricing pressure. That’s where innovation comes in."

Revenue growth and pricing power can be seen through high gross margin. That’s how I start my screen too.

“At the initial point of investing, we look for companies with durable business models but operating revenue of less than $500 million. The sweet spot is probably $100 million to $200 million. We look for companies to double revenue within three to five years.”

That’s quite small. Many companies that small aren’t public.

“I generally favor companies that have founders as CEOs with substantial stakes in the companies.”

That was one of my next filters, since it’s hard to get visionary leadership at a small company unless it’s the founder.

“Our companies have very strong balance sheets and high cash-flow-generating abilities.”

She doesn’t confused profits with cash flow. That’s key.

“Owning a relatively small number of companies enables us to become experts on those companies. That leads to high conviction, bigger position sizes and potentially more alpha generation.”

That’s rare for a fund. They usually diversify a ton.

“Veeva Systems VEEV, -0.26% was the fund’s top holding as of Jan. 31.”

Interesting.

This article lays our a bull case for NetApp. It’s exactly what NTNX software does.


#1783

Sell NTNX, too many competitors.


#1784

Very interesting list and methodology. I think Canada Goose and WageWorks are both interesting.


#1785

No one had a monopoly. That’s like saying you should have sold Apple when Google launched Android OS. Best in class will still make tons of money.


#1786

Just being children :blush:


#1787

But the fund’s 5 year average return is only 15%? It’s not bad per se but not exactly on a 10x trajectory? I wish they gave us the compound rate instead of the average.


#1788

Not only that, the fund has 5.25 load (looks like front load like paying upfront points) and 1.2% ER. IMO, it is not worth.

Looks like advertisement through market watch.

Best is to get no load, low cost vanguard funds.


#1789

WageWorks’ return is terrible. They have too many competitors out there eating their cake.


#1790

What do they do? Never heard of them.


#1791

Front load funds still exists? Wow.


#1792

Commuter benefits. I can name at least two others just like them (Navia, Discovery, etc.). I don’t think the company is doing too great. They are based in San Mateo if I recall correctly.


#1793

And I don’t even know what commuter benefits are. :cry:


#1794

I wish I don’t know them. Only worker bees know them…sad :cry: