 |
Same as It Ever Was  |
Happy hump day, Great Ones!
By the time you read this, the financial media masses and Reddit investing forums will be abuzz over the latest “he said she said” from the Federal Reserve. The Twitter-verse will turn into a hive of rampant speculation over growth, inflation concerns, economic collapse and — no, wait, Twitter’s normally like that.
If you missed it, Federal Reserve Chairman Jerome Powell is testifying before the House Financial Services Committee this week for an update on the U.S. economic recovery.
So far, all Powell has said is … nothing new. Sorry if you had your hopes up. As far as the pandemic recovery is concerned, we still have a way to go (which we already knew), and the Fed plans to keep up its crusade for propping up growth (already knew that too).
Whether or not Powell drops any new news on us remains to be seen. And today, the market was looking for some excuse — any reason at all — to rally back from yesterday’s low.
Sounds like a perfect time for more stimulus hope!
Same as it ever was … this is like clockwork, isn’t it? Today, House Dems announced that they plan to pass the $1.9 trillion relief bill on Friday, which would include another round of direct checks for Main Street.
Of course, Wall Street took off like a shot. Stimulus? Say no more. It’s rally time!
Personally, without drudging out our ol’ friend, the never-ending stimulus cycle chart … I’ll believe this stimulus is real when it hits my bank account.
Until then, it’s earnings time! We’ve got quite the ground to cover with today’s reports — hey, I told you it was a jam-packed earnings week! So, we’re diving right into the greatness.
Great Ones, Check This Out!
Last month, my colleagues Ted Bauman and Clint Lee launched a brand-new project: Flashpoint Fortunes. Their aim was to help people make more money in a single trade than 95% of investors will make in five years … then do it over and over again.
It’s a system so profitable, its average trade in 2020 could have closed out for a 447% profit … a system so fast, it could have averaged just 36 days in each trade!
If you want to see what all the fuss is about and give Flashpoint Fortunes a try for yourself, click here now to learn more! 
On the Down Lowe’s
Lowe’s (NYSE: LOW) kicked off the earnings parade with a double beat! Sales reached $20.31 billion and beat the estimate for $19.42 billion. Per-share earnings hit $1.33, right above predictions for $1.21.
The stay-at-home DIY market is still playing right into Lowe’s pockets, with sales rising 16% in all departments. Even better, online sales grew an insane 121% on the quarter!
Yesterday’s report from Home Depot (NYSE: HD) raised the earnings bar high with 83% online sales growth, and Lowe’s still trounced on through.
I’ve said it once (maybe thrice), and I’ll say it again: What will continue dividing the DIY duo is how they target the consumer experience, whether that’s better online shopping tools or a diverse array of order-and-pickup options. How these retailers funnel sales for at-home shoppers is more important than ever.
Lowe’s is at the top of its home improvement game right now, but Home Depot continues to up the ante on the customer engagement front.
Case in point: Home Depot now livestreams over 40 workshops a month. I guess that’s cool … if you don’t even like watching your own paint dry. That said, I’ve added two “totally important” chores to my honey-do list, so maybe they’re on to something…
Anyway, what does Lowe’s get for its double-beat quarter? Nothing. Nada. Bo Diddley squat. LOW sank about 4% today.
Square Biz
Lowe’s got the cold shoulder for a double beat, and that should’ve been my first sign of today’s fickle earnings reactions. Square (NYSE: SQ) reported mixed results in the Street’s eyes, but to me, Square’s report was the best of today’s bunch.
Per-share earnings topped estimates, coming in at $0.32 versus the $0.24 forecast. Revenue, however, barely beat expectations: $3.16 billion versus the $3.10 billion estimate.
But SQ dropped like a rock as soon as management hinted toward slowing growth in the first quarter. Square says January profits were up 15% year over year, but such “modest improvements” aren’t enough jazz for fintech these days.
Though, like Tesla (Nasdaq: TSLA), Square also scooped up some bitcoin last quarter — about $170 million worth, adding to the previous quarter’s $50 million bitcoin buy.
Sure, it might seem like chump change (relatively) to Tesla’s billion-dollar-plus bet, but keep in mind: SQ’s already firmly embedded into the bitcoin boom via its Cash App, which lets you buy and sell bitcoin.
Square already made $4.6 billion last quarter just from processing bitcoin transactions via Cash App, which is up ninefold year over year — growth that should’ve sent SQ straight to the moon, but alas, the stock fell about 8%. 
MicroStrategy’s Massive Moves
Square, Tesla, my next-door neighbor … everyone’s making their big bitcoin bets right now. Never one to be outdone, MicroStrategy (Nasdaq: MSTR) just dropped another $1 billion on bitcoin. The OG software-firm-turned-bitcoin-trader’s second buy came in at an average price of $52,765.
Like I noted when Tesla first dipped its toe into bitcoin, you can’t own that much bitcoin and not see some correlation between the stock’s price and crypto prices.
Many investors have already flocked to MSTR for bitcoin exposure — some of you Great Ones out there included. But the hype from all these companies buying bitcoin just strengthens the bullishness for, well … bitcoin itself.
Crypto’s mass acceptance is firmly underway, but don’t forget that the crypto market ain’t all about the Benjamins — er, bitcoins, that is.
That’s exactly why Ian King reopened access to his Next Wave Crypto Fortunes presentation!
Go here now, and Ian will give you the chance to see his three favorite cryptocurrencies — that could make you 12 times your money over the next 12 months. Click here to learn more!
Right in 2
Remember earlier this month, when I warned you not to be surprised if a surprise pullback befalls Workhorse (Nasdaq: WKHS)? Yeah, about that…
The electric vehicle (EV) maker was gunning for a major contract with the United States Postal Service to modernize its delivery fleet. USPS is going electric (less controversially than Dylan, might I add), but not with Workhorse, it turns out.
The Postal Service awarded the 10-year, multibillion-dollar contract to rival Oshkosh (NYSE: OSK), and Workhorse stock was literally cut in half after the news. WKHS dropped more than 50% before yesterday’s close and plummeted another 9% today before making back some of those losses.
Oshkosh is really the no-brainer for the Postal Service’s job since the company makes everything from firetrucks to wreckers to cranes for the military and government. And while Workhorse does have other projects on its plate — the company still has its partnerships with UPS and FedEx — bulls had banked on that contract jumpstarting Workhorse’s EV game, but no dice. Gather ‘Round the Great Stuff  | Thanks for tuning in for today’s Great Stuff! We’re keeping this Stuff condensed today, like Campbell’s soup for your … portfolio?
Anyway, there’s no new poll this time around, but that doesn’t mean you’re off the hook just yet: We’re just one day away from my favorite day of the week — shh, don’t tell Friday — Reader Feedback day!
If you haven’t taken a sec to drop us a line, now’s the time. Tomorrow, we’re diving headfirst into our virtual mailbag to see what you and your fellow Great Ones have been up to this week. There’s still time to make sure your voice is heard this week, but only if you write to us right here, right meow.
GreatStuffToday@BanyanHill.com is the one-stop shop for rants, raves and all your latest trades. Go on, brag a little bit — you deserve it!
I’ll get the conversation ball rolling: Why not tell us why you think about this whole 3D printing hustle? According to last week’s poll, over 84% of your fellow Great Ones are making bank with 3D printing plays (or at least said they were), but what about you? Send me a message and let me know!
Finally, remember what Mr. Great Stuff always says: Like Stuff? Share Stuff! So be sure to share ‘Stuff with your friends, family and everyone right down your email list. Send it all!
And don’t forget that you can always check out Great Stuff on the web (click here) or follow us on social media: Facebook, Instagram and Twitter.
Until next time, stay Great!
Joseph Hargett
Editor, Great Stuff    Don't forget to follow us on social media! | | | | Privacy Policy
Great Stuff, P.O. Box 8378, Delray Beach, FL 33482.
To ensure that you receive future issues of Great Stuff, please add info@mb.banyanhill.com to your address book or whitelist within your spam settings. For customer service questions or issues, please contact us for assistance.
The mailbox associated with this email address is not monitored, so please do not reply. Your feedback is very important to us so if you would like to contact us with a question or comment, please click here: http://banyanhill.com/contact-us
Legal Notice: This work is based on what we've learned as financial journalists. It may contain errors and you should not base investment decisions solely on what you read here. It's your money and your responsibility. Nothing herein should be considered personalized investment advice. Although our employees may answer general customer service questions, they are not licensed to address your particular investment situation. Our track record is based on hypothetical results and may not reflect the same results as actual trades. Likewise, past performance is no guarantee of future returns. Certain investments carry large potential rewards but also large potential risk. Don't trade in these markets with money you can't afford to lose. Banyan Hill Publishing expressly forbids its writers from having a financial interest in their own securities or commodities recommendations to readers. Such recommendations may be traded, however, by other editors, Banyan Hill Publishing, its affiliated entities, employees, and agents, but only after waiting 24 hours after an internet broadcast or 72 hours after a publication only circulated through the mail.
(c) 2021 Banyan Hill Publishing. All Rights Reserved. Protected by copyright laws of the United States and treaties. This Newsletter may only be used pursuant to the subscription agreement. Any reproduction, copying, or redistribution, (electronic or otherwise) in whole or in part, is strictly prohibited without the express written permission of Banyan Hill Publishing. P.O. Box 8378, Delray Beach, FL 33482. (TEL: 866-584-4096)
Remove your email from this list: Click here to Unsubscribe | | | |
No comments:
Post a Comment