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CABOT EVENTS
Cabot Weekly Review (Video)
In this week’s video, Mike Cintolo talks about the market’s wild week, which started with a plunge but found support thereafter as the headlines hit the wires fast and furiously. Short-term, Mike still thinks the odds favor that the market has hit a short-term low it can work off of, potentially beginning a bottom-building process. That has Mike going over many stocks that are holding well that have solid stories--though given the intermediate-term downtrends, he’s still hunkered down and waiting patiently for the market to give a decisive green light.
Stocks Discussed: PEN, MRX, WGS, CRWD, NFLX, AXON, LTH, DASH, PODD, PLTR, GE, VC, IOT, GEV, WING, HOOD
Cabot Street Check (Podcast)
This week on Street Check, Chris and Brad discuss Wednesday’s massive rally, the disconnect between sentiment and the economy, and how earnings season can offer more clarity for investors. Then, they’re joined by Bryan Perry, founder and author of “Cash Machine,” to talk about the market’s response to President Trump’s tariff plan, how to generate income in the current environment, and how he’s managing market risks now. For more information about “Cash Machine” and Bryan’s services, visit cabotwealth.com/street.
Cabot Summit: Investing Masterminds 2025
Join us in Salem, Masachusetts this summer from August 13-15 for our Investing Masterminds Conference and unlock powerful market strategies, top stock picks, and expert analysis. Engage with the Cabot Wealth analysts and connect with other investors to share insights and strategies. Click here to Register.
Cabot Webinar
Quarterly Cabot Analyst Meeting
The recording of the Cabot Prime Members Meeting with the Analysts is now available for you to listen to at your convenience—click here for access. This private call with our analysts is one of your exclusive Cabot Prime Plus member benefits.
RECENT BUY AND SELL ACTIVITY
This table lists stocks bought or sold in the most recent Issues or Updates.
Portfolio Updates This Week
Cabot Growth Investor
Bi-weekly Issue April 3: The market’s brief rally ran into a wall last week, and while the major indexes found some support near their March lows initially, today’s tariff-induced plunge put an end to that. While the headlines and news items are hitting the wires fast and furious, we urge you to stay focused on the evidence--doing so is why we were nearly 60% in cash the day after the market’s February top and why we’ve been north of 80% cash in recent weeks, shielding the portfolio from the worst of the decline. Tonight, we are forced to sell one of our remaining small positions, which will boost our cash hoard to the upper-80% range.
For now, we’re comfortable remaining in our storm cellar, but while the news and action is awful now, there are some rays of light out there (like falling Treasury rates), as well as many stocks that are etching higher lows right now while the market does the opposite (see more in tonight’s issue). Eventually, this down period will give way to a great money-making opportunity, so keep your head up--but stay defensive for now.
Bi-weekly Update April 10: WHAT TO DO NOW: Remain defensive, but keep your eyes open. Yesterday’s rally was noteworthy and may have started (or will soon start) a process of repairing the damage from the recent selling. That said, the market’s trends are still down and few stocks are in great shape, so the odds favor the repair process taking some time. Of course, we’re flexible, so if the buyers go wild, we’ll act, but tonight we’re again standing pat and seeing how this bounce plays out. Our cash position remains near 87%.
Cabot Top Ten Trader
Weekly Issue April 7: It doesn’t take a proprietary timing system to know the trend is down—we’ve been cautious and defensive since late February when the market and leaders first went over the falls, and we remain so today. That said, we’re also students of the market, and there’s no question we’re in the midst of an outright panic, with some truly extreme readings (north of 1,000 new lows on the NYSE on Friday and today; 95% of the S&P 1500 below their 50-day lines, etc.) that have a history of showing up near some sort of market low. That’s not a reason to turn bullish—again, the trends are clearly down—but it’s best to keep your head up and stay alert should some actual “good news” hit the wires. We’ll leave our Market Monitor at a level 3.
This week’s list is chock-full of defensive growth stocks—firms that have steadier growth stories that shouldn’t be affected by the tariff or economic headwinds. Our Top Pick is showing great relative strength and has a huge runway of growth ahead.
Movers & Shakers April 11: The extreme environment has continued this week, with last Wednesday’s tariff reveal leading to a massive selloff that took the market down into Monday morning, though there has been support since, thanks in large part to Wednesday’s tariff delay that caused the market to pop higher.
Cabot Value Investor
Monthly Issue April 3: U.S. stocks remain paralyzed by tariff fears, but not energy stocks. They’re the best-performing S&P 500 sector by far this year, more than doubling the return of any other sector. And yet, they remain the most undervalued sector by virtually every measure. So this month, we add a large-cap energy stock to the Cabot Value Investor portfolio that has a yearslong history of not only outperforming the market, but blowing it out of the water. But after a slow start to the year, it’s trading at a rare discount. We think it has immediate upside – and a high dividend yield should hold us over until it gets there.
Details inside.
Weekly Update April 10: There have been plenty of market meltdowns over the years. Few have matched what’s happened since last Wednesday evening – so-called “Liberation Day” – when President Trump announced plans to place high tariffs on … the rest of the world. In the week since, stocks have nose-dived by 13%, with both the Nasdaq and Russell 2000 swinging to a bear market last Thursday and Friday and the S&P 500 on the cusp of following suit as I write this.
Cabot Stock of the Week
Weekly Issue April 7: There’s no sugarcoating it: This is a historic market collapse, and it’s no fun for anyone. Volatility, fear and uncertainty are as palpable as they’ve been on Wall Street since perhaps the Covid crash in 2020. Unlike Covid, however, tariffs can be reversed, or at least mitigated, by a policy change, comment or tweet from the person who enacted them. That adds to the uncertainty. But it also means that it is very much a day-to-day, and even hour-to-hour, situation.
Given how fluid things are, it’s a good time to add as safe a stock as possible to the Stock of the Week portfolio. So this week I called upon Cabot Turnaround Letter Chief Analyst Clif Droke to offer up one of his most reliable potential turnaround stories. It’s a company that sells a lot of products that everyone needs all the time – regardless of tariffs or the state of the economy.
Details inside.
Cabot Explorer
Bi-weekly Issue April 10: This has been a week for the history books with record-breaking volatility and uncertainty.
My advice? Stay on the conservative side, leaning to blue-chip dominating stocks not tied to U.S.-China trade. Buy more gold. Since early 2022, gold has strongly outperformed inflation-protected Treasurys, so gold is now the world’s preferred safe-haven asset by many investors.
The President Trump reversal yesterday as Treasury bond market yields jumped and the U.S. dollar fell sent markets soaring. The U.S. raised China tariffs and China responded in kind. Unfortunately, both sides remain on a collision course.
Bi-weekly Update April 3: In a tough week for markets, Explorer stocks held their own. Banco Santander (SAN) shares are up 50% so far in 2025, significantly outperforming bank and European indexes. Luckin Coffee (LKNCY) was up 10% this week and Sea Limited (SE) shares have risen 25% rise so far this year. All our dominating stocks held firm this week.
It was interesting to be in Tokyo and meeting for lunch today with a former Japan Ministry of Finance official as new tariffs of 24% on Japan were announced.
Cabot Small-Cap Confidential
Monthly Issue April 3: Today’s addition is a profitable small-cap MedTech company specializing in products to treat peripheral nerve injuries.
Management has a number of growth-oriented irons in the fire. And I think the company could be an attractive acquisition target.
While the sock has been relatively stable in this increasingly volatile market, we’ll still start with a half-sized position, just in case.
Weekly Update March 27: The S&P 600 Small Cap Index is flat over the last week.
The upside move from the extreme oversold conditions that began two
weeks ago has faded as the market grapples with tariff uncertainty.
Cabot Dividend Investor
Monthly Issue April 9: The S&P crashed more than 5% on consecutive days last week for the first time since the onset of the pandemic. The index came within a whisker of a bear market, down 20% from the high on a closing basis.
It’s easy to get spooked out of the market these days. Few people believe the market has hit bottom when it does. Unheeded warnings play over in your mind as Judgement Day seems to have arrived. Stocks were overvalued. The trade war will cause a global recession. Excesses of the last several decades are being called. It’s time to get out of the market and save yourself.
Markets are emotionally driven in the short term. Fear and greed tend to be the dominant forces. But over time, emotions take a back seat to money and profits. When the market tanks, our emotions tell us to run for the hills. But history tells us it’s the best time to invest.
There are some truly stellar stocks in the portfolio that have generated returns comparable to the most successful stocks on the market. The problem is that these stocks are rarely cheap. But the recent market has put these phenomenal investments back within reach.
The recent panic has provided a rare entry point. Even if prices fall further before they rise, these stocks can easily make up for lost time when they move higher again. In this issue, I highlight two of the best stocks in the market to own at valuations not seen in years.
Weekly Update April 2: It started off as an ugly week for the market. But things have gotten better. Stocks flirted with the recent low on Monday but held strong and recovered. That’s a good sign. But is it enough?
Big tariff news is on the doorstep. Uncertainty abounds. It is unclear yet how many countries will be included in the reciprocal tariffs scheduled to take effect today and to what extent there will be exceptions. The market may be happier about things by the end of the week. But if it isn’t, stocks might go lower again.
Cabot Early Opportunities
Monthly Issue March 26: The first quarter of 2025 has been interesting, to say the least. We wrap it up with the March Issue featuring names across the software, security, coffee chain, specialty metals and sports betting markets.
A few familiar faces, and a few new ones, should mean something for everybody. Details inside.
Cabot Profit Booster
Weekly Issue April 8: It was a historic week for the market, and not for any positive reasons as the S&P 500 fell 9.1%, the Dow lost 7.9% and the Nasdaq declined by 10%. Perhaps the weekend gave traders a bit of time to better digest the tariff news and the market will stabilize this week after an up-and-down Monday (futures are up big on Tuesday, but that can change quickly in these tariff times). It’s also possible that the uncertainty is just too much for traders to digest.
Cabot Income Advisor
Monthly Issue March 25: After falling into correction territory earlier this month, the S&P 500 came off the bottom and has been trending higher. Is that the end of the selling? I don’t think the market has decided yet.
Some tariff clarity could arrive soon. Stocks rallied strongly to start the week partially on news that pending tariffs will be more “targeted.” Technology stocks also rallied on the perception of higher-than-expected AI demand. But the market is very headline sensitive. And the headlines are likely to keep on coming.
If I had to bet, I would say the market probably made the bottom for now and is more likely to trend higher. But I don’t have a high degree of confidence right now. A couple of negative headlines could send stocks plunging to new lows.
There are some select stocks that are actually near the 52-week high. I’m more comfortable selling a covered call on a stock with recent strong performance than initiating a new stock position at this point. In this issue, I highlight a covered call for the biopharmaceutical company AbbVie Inc. (ABBV).
Weekly Update April 8: It’s a disaster. There was a range of possibilities with the tariffs. The market’s worst fears came to fruition and the S&P crashed more than 5% on consecutive days for the first time since the onset of the pandemic.
Last week the Trump administration announced reciprocal tariffs on just about every nation that trades with the U.S. The tariffs were widespread and severe in many cases. That wasn’t what the market wanted. The S&P is now within a whisker of an official bear market (down 20% from the high on a closing basis). The technology-laden Nasdaq is already there.
Cabot Turnaround Letter
Monthly Issue March 26: In uncertain times like these, it’s only natural that defensive-minded investors are gravitating to healthcare stocks. After all, this space is characterized by consistent demand for essential products and services that millions rely on, regardless of the state of the economy. (Additionally, many of the companies in this category offer dividends that can be considered quite attractive during market sell-offs.)
While the sector itself has only lately returned to favor, a number of consumer-facing healthcare companies remain out of Wall Street’s good graces and under the public’s radar—including some which provide critical staple products for the everyday needs of consumers.
One of those companies is today’s turnaround recommendation.
Weekly Update April 11: In today’s note, we discuss pertinent developments for some of the stocks in the portfolio, including Agnico Eagle Mines (AEM), Centuri Holdings (CTRI), GE Aerospace (GE), Paramount Global (PARA), SLB Ltd. (SLB), Teladoc Health (TDOC) and UiPath (PATH).
Gold miner Agnico Eagle Mines (AEM) continues to lead the portfolio after making a new record high on Thursday.
The U.S. natural gas outlook should prove supportive for SLB Ltd. (SLB).
Cabot Cannabis Investor
Monthly Issue March 26: The cannabis sector remains unloved as investors abandon hope that President Donald Trump will come through on his campaign promise to reschedule the drug.
Moving cannabis to Schedule III from Schedule I under the Controlled Substances Act would help cannabis companies by obviating an IRS rule that prohibits them from deducting operating expenses (Rule 280E).
I continue to think Trump will live up to his “promises made, promises kept” mantra. It will take some time, because he’s obviously active on many fronts, and cannabis reform does not rise to the level of top priority. Polls continue to show the majority of voters favor reform, particularly younger voters. So, there’s a favorable political angle for conservatives in cannabis reform. Cannabis sales growth continues to be particularly strong (6.2%) in Missouri, a red state.
Monthly Update April 9: It’s time to buy stocks more aggressively.
That’s the case for stocks in general, but also cannabis stocks. Most cannabis companies aren’t really affected by tariffs. But their stocks have been hit recently by the shift to “risk-off” mode among investors.
Cabot Money Club
Monthly Magazine April: Buffett, Graham, Icahn, Templeton ... these are just a handful of seven legendary investors that have helped define what investing success means for generations. In this month’s issue, we’ll investigate the strategies that made these investors titans of the industry, what they have in common, and how you can adopt those strategies to achieve greater profits in your own portfolio.
Stock of the Month April 10: On the surface, the economic numbers still look pretty good. Although unemployment edged up to 4.2% from 4.1% last month, the number is still low. Jobless claims are down; jobs added, up. Manufacturing looks good, but housing continues to be weak, due to sticky prices and high interest rates.
But the good economic news is on pause, due to tariffs. Already, we’ve seen the 30-year mortgage rate rise to 6.85%, and economists are back to predicting a recession, based on rising business and consumer costs related to the tariffs—which are not yet reflected in the economic stats.
Ask the Experts
Prime Question for Tyler: Hey Tyler. As a contrarian during tough times I like to dig through the rubble of Good Small-Cap Companies that were once well thought of but are currently (getting) hammered. Enovix (ENVX) and FTAI Infrastructure (FIP) come to mind and I was wondering if you had to bet on one of these, which one would it be? Thank you in advance.
Tyler: I love it when somebody refers to my positions as buried in “rubble”! Perfect description - they have been just terrible. I continue to own both, however.My reasoning, and this should address your question, is that ENVX will ultimately get to production stage and when it does it “should” act like a biotech that has just received FDA approval for its first drug. Game changer. That should jolt the stock back to life and then we worry about who is buying what, how much, what the actual customer/product category ramp looks like, how many more production lines/CapEx, etc. It seems like the stock is so beat up that it’s a good value. But of course, it could fail completely.On FIP, I continue to own it because I really like the mix of infrastructure that it owns and I think this exposure is hard to come by with a smaller company. It’s somewhat encouraging that other infra stocks are beaten up as well - it’s not just FIP. I like that it has real assets that it can monetize (like the underground nat. gas storage caverns, once permitted, that nobody really knows about, i.e. the market should be surprised) and, at this price, is paying a 3%+ dividend. I have no feel for how the U.S. Steel (X) negotiations with Nippon will go, but it seems like there’s still potential there (a deal would be good, I believe, as it would open the door to transport a lot more products than just from X, who FIP bought the rail branches from) and, big picture, I like the idea of owning a small slice of the U.S. railroad network if we boost manufacturing in this country. Same goes for FIP’s ports, though it’s tough to see through the current climate and get a bead on whether volumes will ramp or not. In any event, I think for somebody that can really just hold on and wait that FIP is pretty intriguing.
Totally different risk profiles (ENVX’s is higher, in my opinion). And upside in the two stocks is maybe not all that different 2 years out if things go “right”. I think if you have to choose it depends on what sounds more appealing - start-up battery manufacturing coming out of Asia or a domestic infrastructure play.