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Cabot Prime Plus Week Ending June 24, 2022

Stock Recommendation Tracker

The Stock Recommendation Tracker is a table that features all of the current recommendations in all of our portfolios. It’s a quick way for you to see what stocks are currently in our portfolios and will highlight new additions or any changes to our recommendations over the previous week. We include this table at the bottom of the Weekly Summary, and provide a link here at the top to the Stock Recommendations Tracker.

Cabot Weekly Review (Video)

In this week’s stock market video, Mike Cintolo reiterates his defensive stance, but he also dives into more than a few near-term encouraging signs--the leaders of the downtrend (growth) have started to show a little relative strength, and it’s becoming easier to find stocks hitting higher lows in recent weeks and months. That’s not a reason to do a ton of buying (the trends remain down for most indexes and stocks), but after being in his most defensive stance since 2008/2009, Mike’s considering putting a bit of money to work if this recent move holds.


The Easiest Way to Make 10% a Month in this Down Market

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3 Metals Outperforming Gold and the Market

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Advisory Services

Cabot Growth Investor

Bi-weekly Issue June 16: After a modest bounce in May and early June, another thunderstorm has hit the market, driving the indexes and most stocks to fresh lows.

Bi-weekly Update June 9: The major indexes are down modestly today after the European Central Bank laid out a plan to tighten policy. As of 215 pm, the Dow was down 157 points and the Nasdaq was off 129 points.

Cabot Top Ten Trader

Movers & Shakers June 24: After two weeks of mini-crash action, the indexes have snapped back well this week—the big-cap indexes are up in the 3% to 4% range coming into today (and this morning should open decently higher), with growth-oriented funds doing even better and even the broader indexes up a couple of percent.

Weekly Issue June 21: It’s about at this point in a bear phase where, after many months, a few false rallies and mountains of bad news, that investors start to throw up their hands, swear off the market and focus on other things—and, to some extent, that’s fine, as the trends definitely remain down despite today’s solid bounce, so more time is needed before the market confirms a fresh uptrend.

Cabot Undervalued Stocks Advisor

Weekly Update June 15: No earnings or major news from our companies this week. Rapid and large securities price changes may precipitate a financial crisis. More color on the overly-complex Aviva plc (AVVID) buyback transaction, and our favorite Father’s Day cartoon.

Monthly Issue June 1: We’re at the end of the beginning of the post-pandemic era. We moved shares of a healthcare stock from HOLD to SELL as it reached our price target. And, we moved shares of a consumer stock from BUY to HOLD as we want to re-think our outlook and valuation.

Cabot Stock of the Week

Weekly Issue June 21: The market is enjoying a big bounce today, but that’s not unexpected given last week’s washout; the main trend is still down. And that means continued caution is the prescription, which is filled this week with an old-school vehicle parts company that pays a solid dividend and has a nearly bulletproof business. As for the current portfolio, which is 25% in cash, there’s one Sell and a couple of downgrades to Hold.

Cabot Explorer

Bi-weekly Issue June 23: Nio (NIO) was up 22% this week though markets face headwinds of inflation and increasingly loose talk of recession by many including Fed Chairman Jerome Powell. With regret, we let go of Sea (SE) but add another favorite selling at a sharp discount to its high—and in the middle of the unstoppable trend of cybersecurity.

Bi-weekly Update June 16: Legendary investor J.P. Morgan was often asked what the stock market would do. “It will fluctuate,” replied the taciturn Morgan. The psychology of the markets can be puzzling.

Cabot Small-Cap Confidential

Weekly Update June 23: It continues to be a sloppy market but we’re working through it and there will be big opportunities in small-cap stocks on the other side of this. It’s been encouraging to see that the 10-year yield has come down over the last week (now at 3.16%, versus 3.48% last Tuesday).

Monthly Issue June 1: The market continues to be messy, but we’re going to take a partial swing at a profitable software company playing in a big, growth market – cloud services.

Cabot Dividend Investor

Weekly Update June 22: The market has deteriorated over the past couple weeks. The S&P 500 fell into a bear market on June 13th. The combination of continuing high inflation and a more aggressive than previously expected Fed has led to widespread expectations of recession over the next year.

Monthly Issue June 8: It’s a raging bear market in technology. But technology has been by far the best performing sector for well over a decade for good reasons.

Cabot Early Opportunities

Monthly Issue June 15: In the June issue of Cabot Early Opportunities we add a conservative stock from our Watch List that’s acted well over the last month and also take a partial position in an emerging player in the energy space. We also refresh the Watch List with a pure-play beverage stock, a biotech stock with a big date in November and another emerging energy name.

Alert June 13: The market is taking it on the chin today (again) as interest rates soar (+6% to 3.35% and a new 2022 high) and inflation/recession fears tick up. I had ZoomInfo (ZI) on high alert last week given its proximity to support near 33.8. Today that support level has cracked. Given the move we’ll step aside from ZI now. SELL

Alert June 10: Today’s inflation data (CPI) wasn’t expected to be great but was even a little worse than anticipated as consumer prices rose 8.6%. That’s up from 8.5% in March and 8.3% in April. One can slice and dice the data a lot of ways but if you want to flag the main issues, they are probably energy and food prices.

Cabot Profit Booster

Weekly Issue June 22: Tuesday there were some rays of sunlight amidst the storm, but until proven otherwise, we are in a bear market and should proceed with caution. This brings me to this week’s trade, which is a defensive trade on a recent outperformer, that we recently traded successfully

Alert June 17: Despite many ups and downs, and a trade that went south fast (ZIM), the CPB portfolio held up fairly well during the most recent market rout. Not all trades are winners, but big picture, given the carnage, I’m fairly happy with June expirations trades. Let’s dive in

Cabot Micro-Cap Insider

Weekly Update June 22: It was a quiet week last week, but there was one update that I wanted to highlight: Liberated Syndication (LSYN). I had a chance to speak to the CEO of Libsyn. He expects Libsyn to re-file its financials this summer for an August or September small capital raise. This is a positive as the stock will being trading at that time.

Monthly Issue June 8: Today, I’m recommending a company that has grown revenue at a 30% CAGR and EBITDA an 80% CAGR over the past 10 years. Despite this impressive growth, the company trades at just 5.3x EBITDA.

Alert May 27: I originally recommended buying BBX Capital (BBXIA) in October 2020 at a price of 3.17, shortly after its spin-off from Bluegreen Vacation Holdings (BVH).

Cabot Income Advisor

Monthly Issue June 22: There is overwhelming historical evidence that buying good stocks in bear markets is a highly successful long-term strategy. After all, it’s better to buy stocks cheap. And the market always trends higher over time. The truth is that buying stocks in a bear market is the most successful investment strategy ever devised.

Weekly Update June 15: After the sharp selloff yesterday, the S&P 500 officially fell into bear market territory, down 20% or more from the high on a closing basis.

Cabot Turnaround Letter

Weekly Update June 24: This week’s Friday Update includes comments on our companies. There were no ratings changes or earnings reports. Look for the July edition of the Cabot Turnaround Letter next week, where we update our semi-annual Equity Market Outlook and our High Yield Bond outlook and offer up our July feature recommendation.

Monthly Issue May 25: While the stock market has surged since its pandemic low, shares of many companies have sold off sharply and now trade below their March 23, 2020 level.

Cabot Money Club

Monthly Magazine June 24: Remember when COVID fees like disinfection charges, personal protection equipment fees, and other miscellaneous charges were added on to restaurant tabs? One of the steepest charges was the “temporary COVID-19 Recovery Charge” of up to 10% of total bills in New York City, approved by the New York City Council. During the pandemic, these fees were life-saving tactics for many businesses—restaurants in particular—that saw their sales drastically erode.

Stock of the Month June 9: Are you tired of turning on your television first thing in the morning and getting heartburn over the market’s gyrations? Yeah, me, too. So, I’m swearing it off. I’m only going to peek at it a couple of times a day, since it doesn’t seem to be finishing the day as it starts, and I just don’t need the angst.

Cabot ETF Strategist

Weekly Update June 21: Last week marked the worst weekly return for the S&P 500 since March 2020, a move sparked by the most significant Federal Reserve interest-rate hike in a decade. The index is down 23.39% from its record close of 4,796.56 on Jan. 3, 2022.

Monthly Issue June 14: The S&P 500 is now in bear territory, which should not be particularly surprising to anyone. The economy is slowing, inflation is high, war is still raging in Ukraine and China’s economy is not in good shape.

Ask the Experts

Cabot Growth Investor

Question: Mike, after Monday’s market drubbing which saw the new lows increase once again, but I wanted to get an idea what you are looking for in terms of “nuggets”? I also calculated that there were about 5/6 days of Net New Highs vs Lows (NYSE) last week, guessing most were energy related equites .. but wondered if that tells you anything.

Mike: Good question. Well, I would say we did see a positive divergence on Monday, with fewer new lows vs. early May. That said, we need to see things dry up, not just hit slightly lower but still huge readings. Also saw some positive divergences with bullish percent readings (a point and figure thing) – same interpretation.Honestly, at this point, that’s probably the main thing I’m watching – but overall, we just need to see a couple of up days. Let’s start with that and then can dive into the breadth and what-not.

Quarterly Cabot Analyst Meeting

The recording of the Cabot Prime Members Meeting with the Analysts from January 12, 2022 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 Pro member benefits.