This column is my opinion and expresses my views. Those views can change at a moments notice when the market changes. I am not right all the time and I do not expect to be. I disclose all my positions clearly listed on the page, and I do not trade my account on the stocks spoken of in this column unless fully disclosed. If that does not work for you stop reading and close the page. Do not bother me or harass me.
Otherwise, enjoy the column!
© 2019 Mott Capital Management, LLC. Use, publication or reproduction in any media prohibited without the permission of the copyright holder.
Join our 1,434 Daily Subscribers And Get This FREE Commentary In Your E-Mail!
7 Stocks To Watch For The Week of July 8
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN SHARES OF NFLX AND TSLA
The big question for the stock market will be if it can continue to rise this week, after a solid showing the last two days last week. I happen to think that it can continue to rise, but the big challenge will remain at 2,800.
Netflix
As noted yesterday the banks will kick things off on Friday, and then we get Netflix on Monday the 16th. The trend Netflix subscription on Google trends continues to rise, and I think that bodes well for not only total subscribers in the second quarter, but I think it may be a positive for the guidance in the third quarter. Obviously, we shound’t get ahead of ourselves, but it shall be interesting to see if this way of tracking still carries weight.
(GOOGLE TRENDS)
So if the stock can get over $410 early this week, I’m guessing that the stock will likely be trading at all-time highs into there earnings report next week.
The stock retest support at $382, and that managed to get over resistance at $392, and the chart is still looking very bullish to me.
Tesla
A lot was made last week about Tesla’s and its production number. I found two things interesting, the first I noticed today, and that was the Bloomberg Model 3 tracker, which is showing production at nearly 5,200 units per week and continues to trend higher. Also, what I also found interesting this past week, is that analysts revenue estimates for the second quarter are only down 2 percent over the past 30 days. I find it interesting because I read in many different places about the significant delivery shortfall in the second-quarter. Well, if that was the case why aren’t estimates for revenue way down? Good question. There wasn’t a significant shortfall, was there.
TSLA Revenue Estimates for Current Quarter data by YCharts
Please remember that when it comes to the trading in this stock, most of it is driven by the short-seller just shorting and covering their shares, pushing the stock up and down. There isn’t much in the way of institutional selling, at least not based on 13F filings.
Round the Horn
Boeing
Boeing shares continue to look week, and I think the stock is likely heading towards $320 still. Volume has been sliding of late .
Square
Square is attempting to re-emerge and break to new highs, I think it will.
Cisco
Cisco looks pretty bad here; I could see a fall to about $39.
PayPal
PayPal looks like it is making another attempt to break out.
Intel
Intel continues to improve, looks to be heading higher, maybe back to $55.
Good Luck This Week!
-Mike
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future.
#netflix #tesla #Boeing #square #paypal #intel #cisco