Subscribe to receive this FREE daily commentary directly in your email
April 4, 2015
Michael Kramer and the clients of Mott Capital own Tesla
US Markets
- S&P 500 -1
- US 10-Year 2.50%
- Oil $62.47
- Dollar Index 97.15
- VIX 971.5
International Markets
- China Shanghai +0.91%
- Hong Kong HSI -0.17%
- Japan Nikkei +0.06%
- South Korea KOSPIÂ +0.15%
- German Dax +0.04%
- UK FTSE -0.56%
Global Growth Proxies
- Copper $2.93
- Silver $15.05
- Platinum $891
- Semiconductor Index SOX 1464.19
Key News:
The S&P 500 is expected to open flat, but there is no doubting that trend is higher. If there is one risk to the market as of now, it is an unfilled gap around 2,830. As we know, markets do not go up in a straight line. Should the S&P 500 drop below support around 2,865, then the odds of a pullback to 2,830 increase. Outside of that the trend is clear, and a path to 3,000 is now in place, and perhaps even higher — more on that in a day or so.
Russell 2000 (IWM)
The path for the Russell 2000 is to 1,592. Meanwhile, there is always the risk for a pullback to 1,521.
Tesla (TSLA)
The big news overnight was the big miss for Tesla in terms of delivery and production. The company delivered a total of 63,000 cars in the quarter, with 10,600 in transit. The company produced just 62,950 Model 3’s in the quarter, well below the Model 3 Tracker we have followed on Bloomberg. I’m not sure what happened here, the Bloomberg model, had previously been so correct, this was a big surprise.
Overall, the logistic of delivering to China and Europe was a definite issue with a high number of cars in transit. Additionally, which I found surprising, was that the company produced only 14,150 Model S and X, which is about half of what they would typically produce, which is where I see the big problem and the reason for the big miss in deliveries. Now whether that was because the company discontinued its lower range batter options, or people are waiting for an interior refresh later this year, or because the company moved more resources to the Model 3, I don’t know. But if the company had delivered what had been a pretty consistent 25,000 Model S and X in the quarter we’d be talking about 75,000 cars delivered in the quarter and the talk of a miss would be null. Maybe I should visit the store in Manhasset and see what they say.
Again, I can’t tell what happened to that production. Anyway, the chart shows that stock clearly failed at the moment of truth, and support lies somewhere around $261.
Facebook (FB)
Facebook was upgraded this morning at Guggenheim to buy from neutral with a $200 price target. It probably is enough to give the stock a boost and keep it above support at $173. The longer it stays above that support region, the more likely we can confirm a breakout, I think one needs to think about the stock rising to $186.
Micron (MU)
Morgan Stanley downgraded Micron to underweight from equal weight and a $32 price target. There was a great story on Digitimes about DRAM prices continuing to fall in the second half of 2019. So much for that demand recovery, the company has guided too. Anyway, the stock is pointing to a lower open. $40.25 is support for now.
Unlock Deeper Insights with Exclusive Member-Only Video Content on The Market Chronicles YouTube Channel – Just $34.99/Month
12:09
Join this channel to get access to perks:
https://www.youtube.com/channel/UCIIr1ooRsSukPL7rKNr0VHQ/join
Please check out my content on Substack and Seeking Alpha:
https://www.themarketchronicle.com/
https://seekingalpha.com/affiliate_link/Youtube81624
#sp500 #stocks #stockmarket #cpi #fed #qqq #spy #rates
Charts used with the permission of Bloomberg Finance L.P. This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
5
YouTube Video VVVNT0lJcjFvb1JzU3VrUEw3cktOcjBWSFEuVzBSWkVBbWZhVEU
34:08
Join this channel to get access to perks:
https://www.youtube.com/channel/UCIIr1ooRsSukPL7rKNr0VHQ/join
Please check out my content on Substack and Seeking Alpha:
https://www.themarketchronicle.com/
https://seekingalpha.com/affiliate_link/Youtube81624
#sp500 #stocks #stockmarket #cpi #fed #qqq #spy #rates
Charts used with the permission of Bloomberg Finance L.P. This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
2
YouTube Video VVVNT0lJcjFvb1JzU3VrUEw3cktOcjBWSFEuM2VJX3VpNFVnUmM
14:44
Join this channel to get access to perks:
https://www.youtube.com/channel/UCIIr1ooRsSukPL7rKNr0VHQ/join
Please check out my content on Substack and Seeking Alpha:
https://www.themarketchronicle.com/
https://seekingalpha.com/affiliate_link/Youtube81624
#sp500 #stocks #stockmarket #cpi #fed #qqq #spy #rates
Charts used with the permission of Bloomberg Finance L.P. This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
1
YouTube Video VVVNT0lJcjFvb1JzU3VrUEw3cktOcjBWSFEuNkNMN0xjWklMUzA
Roku (ROKU)
Roku was downgraded at Guggenheim this morning to neutral from buy with a price target of $72. The stock has this lower highs, higher lows things going on, and I think for now the path is lower towards $64.
That is it for now.
Mike
Photo From Flickr
Mott Capital Management, LLCÂ 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 results.
Subscribe to receive this FREE daily commentary directly in your email
Charts used with the permission of Bloomberg Finance L.P. This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
Comments are closed.