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Cabot Prime Pro Week Ending August 19, 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, Tyler Laundon talks about the new bull market vs. bear market rally debate and how the S&P 500 really needs a break above its 200-day line to give the bulls the upper hand. He flags the major economic dates on the calendar that could move the market. Then Tyler digs into some stocks in the payments, processors and fintech space that offer a bit of growth and defense. Stocks discussed include: MA, V, FISV, GPN, DLO, FLYW, TOST, PAYA


Growth & Income-Producing Stocks for an Inflationary Environment

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Cabot Prime Insider Live Analyst Briefing with Q&A: 3rd Quarter 2022

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Advisory Services

Cabot Growth Investor

Bi-weekly Update August 18: Continue to go slow but keep your optimist’s hat on, while looking for fresh leadership. In the Model Portfolio, we’re repositioning a few things—we’re cutting bait on Bumble (BMBL) and Halozyme (HALO), but we’re adding a half-sized position in Celsius (CELH) and doing the same in ProShares Ultra S&P 500 Fund (SSO). Our cash position will still be a bit below 60%.

Bi-weekly Issue August 11: The market’s evidence continues to slowly, steadily improve–it’s not 1999 out there, but there also aren’t any obvious yellow or red flags, either. Given the trickiness of individual stocks, we’re still thinking going slow makes sense, but we’re aiming to extend our line as stocks present opportunities, while punting on names that are breaking down. In the Model Portfolio tonight, we have some changes, but on balance we’re pushing more toward the bullish position.

Alert August 3: Today, we’re going to add a half-sized stake in Enphase Energy (ENPH), leaving us with around 70% in cash. We could have another new addition or two (or, ideally, average up in one of our current names if it reacts well to earnings), but today we’ll nibble on ENPH and go from there.

Cabot Top Ten Trader

Movers & Shakers August 19: After a few weeks in a row on the plus side, the sellers finally stepped up this week, with today’s drop cementing the first weekly loss since mid-July. As we write this, the major indexes are down in the 1% range on the week (a bit more or less depending where you look), though growth funds and indexes are down a bit more.

Weekly Issue August 15: This week’s list is another solid batch of stocks with excellent charts, including many that have really stormed ahead on big volume. Our Top Pick looked like it was done for a couple of months ago, but has stormed back to new highs thanks in part to a great post-earnings reaction.

Cabot Options Trader and Cabot Options Trader Pro

Note that the current week’s Weekly Update, earnings updates, position updates and stocks on watch are posted on the website in the Market Update section, which is deleted each week.

Cabot Options Trader Alert Basic and Pro August 12: Buy the Alphabet (GOOGL) February 120 Calls (exp. 2/17/2023) for $12.50 or less.

Cabot Options Trader Pro Alert August 11: Roll Position: Sell your SPY September 455/375 Put Spread, and Buy the SPY March 420 Puts (exp. 3/2023).

Cabot Options Trader Pro Weekly Update August 15: Long positions: AR, XBI, GOOG, M, ONON, OXY, SBUX, QQQ, XLF

Cabot Options Trader Basic Weekly Update August 15: Tomorrow, before the market open, ON Holding (ONON) will report earnings. Headed into the event, our August 22.5 Covered Call is in good shape, as the stock is trading $2 above our short strike price.

Cabot Options Trader Alert Basic and Pro August 8: Adjust Existing Position: Against Macy’s (M) Stock, Sell the August 20 Calls (exp. 8/19) for $0.40 or more.

Cabot Options Trader Alert Basic and Pro August 8: Sell a Third of Existing Position: Sell a Third of your XBI January 84 Calls for $16.60 or more.

Cabot Undervalued Stocks Advisor

Weekly Update August 17: New BUY recommendation is State Street Corporation (STT), a high quality custodian bank trading at a low valuation. Also, comments on earnings from Arcos Dorados (ARCO) and Aviva plc (AVVIY). And, R.I.P SPACs?

Monthly Issue August 3: The earnings deluge is here. We comment on earnings from our recommended companies including Merck (MRK) and Molson Coors (TAP).

Cabot Stock of the Week

Weekly Issue August 15: This week, we add a dirt-cheap mid-cap stock from new Stock of the Week contributor Clif Droke, Chief Analyst of our Cabot SX Gold & Metals Advisor. It’s from an industry that never goes out of fashion and is gaining steam from the shifting automotive landscape.

Cabot Explorer

Bi-weekly Update August 11: Our nuclear energy play, Centrus (LEU), continues to roll, up 18% this past week, while Cloudflare (NET) surged 37% on strong revenue growth and recent recommendation MP Materials (MP) was up 12% in its first week. The Explorer’s play on semiconductors – Infineon Technologies (IFNNY) – is also doing well because it is focused on the auto industry.

Bi-weekly Issue August 4: Explorer stocks had a great week as Centrus (LEU) is up another 10%, Cloudflare (NET) adds 20%, Infineon (IFNNY) reports revenue jumping 33% and Ford (F) reports eye-popping sales results for July. Data and analysts are divided so stay cautiously optimistic and consider today’s new recommendation at the heart of U.S.-China rivalry.

Cabot Small-Cap Confidential

Weekly Update August 18: The S&P 500 has come up 18% off the June low. It’s now 11% below all-time highs and on Tuesday the index kissed – but didn’t break above – it’s 200-day moving average line.

Monthly Issue Aug 4: The market is getting stronger and higher-growth names are leading the charge. This month we dig into an overlooked company with a global payments platform that’s helping solve digital payment challenges in complex industries.

Cabot Dividend Investor

Weekly Update August 17: Is This Rally for Real? Is this a bear market rally or a new bull market?

Monthly Issue August 10: We are likely in a recession. Meanwhile, inflation continues to rage on. That means stocks will have to navigate an environment of both recession and inflation, at least for the rest of the year.

Cabot Early Opportunities

Monthly Issue August 17: With inflation data showing progress in the right direction (i.e., down), U.S. GDP growth not looking awful (Atlanta Fed model now saying Q3 GDP growth of 1.8%) and expectations for the Fed’s target interest rate topping out at 3.5% to 3.75% (end of this year/beginning of 2023), the market appears to be a firm believer in the “bad to better” trend.

Alert August 16: With the market having put on a great show over the last month and a new Issue of Cabot Early Opportunities on deck for tomorrow, let’s take this opportunity to trim our portfolio a little.

Cabot Profit Booster

Weekly Issue August 16: The narrative coming out of last week was that inflation has peaked, which could in turn slow down the Federal Reserve’s aggressive rate hike trajectory. A potentially less hawkish Fed helped spark a market rally as the S&P 500 gained 3.29%, the Dow rose 3%, and the Nasdaq added yet another 3.1%.

Cabot Micro-Cap Insider

Alert August 17: Sell Dorchester Minerals (DMLP)

Weekly Update August 17: As I touched on last week, the market has been on tear! It’s unclear whether this is a “bear market rally” or the start of a new bull market.

Monthly Issue August 10: Is the Bear Market Over? The first half of the year was painful, with the S&P 500 falling ~20%. July was a lot more fun, as the S&P 500 rallied 9%.

Cabot Income Advisor

Weekly Update August 17: It’s starting to feel like a bull market. But let’s not bank on it just yet. Inflation is moderating, and many see an end to the Fed tightening cycle by early next year. The Fed part is probably true.

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.

Cabot Turnaround Letter

Weekly Update August 19: This note includes our review of earnings from Brookfield Reinsurance (BAMR), and comments on Western Union’s (WU) CFO departure and on opioid litigation at Walgreens Boots Alliance (WBA). There were no ratings changes or price target changes this week.

Monthly Issue August 3: This note includes our review of earnings from Adient (ADNT), Conduent (CNDT), Gannett (GCI), Goodyear Tire & Rubber (GT), Ironwood Pharmaceuticals (IRWD), Kaman Corporation (KAMN), Molson Coors (TAP), Organon & Co. (OGN), Vodafone (VOD), Western Digital (WDC) and Western Union (WU).

This past Wednesday we published the August edition of the Cabot Turnaround Letter. We highlight six interesting companies with CEO changes and also highlight six Dogs of the Dow while steering clear of three other high-yielding Dow stocks. Our feature recommendation is Volkswagen AG (VWAGY).

Cabot Money Club

Monthly Magazine August: It’s the only thing you’ll buy and hope to never use, but insurance is an important part of your financial picture. These tips can help you save money on insurance costs and make money on insurance investments.

Stock of the Month July 14: Interest rates are still rising, as the Federal Reserve boosted short-term rates by 75 basis points last month, to try to stem the growth of inflation. There are some signs that it may be working. The 30-year mortgage rate actually saw a couple of decreases early last week, but nudged a bit higher on Friday, to a 5.94% average national rate. And gas prices have declined nationwide to $4.66 per gallon, from $4.68 this time last week. I know that’s not much, but, hey, we’ll take what we can get!

Cabot ETF Strategist

Weekly Update July 26: A sudden surge in the U.S. dollar over the past year has bought good and relatively bad news for some firms. With the dollar strengthening, American companies with significant imports have benefitted from cheaper foreign exchange trade. Meanwhile, companies with a more global business are suffering because the strong dollar is affecting their performance.

Monthly Issue July 12: Since last month’s issue, we’ve seen continued volatility in the U.S. equity markets. Trading volume was among the slowest this year; according to Dow Jones Market Data Group, the typical daily volume in the New York Stock Exchange is close to 5 billion. However, this year, it has been around 4 billion.

Ask the Experts

Cabot Top Ten Trader

Question: Mike, from just a simple chart standpoint I was struck by the chart of the SPY. From the top there was a sharp break, then a triple bottom, then a rally to a “higher high” followed by a sharp break, then a triple bottom, then a rally to a higher high. My concern is that these apparent bottoms and higher high breakouts, which you can see in lots of individual stocks, are hooks that set traders up for disappointment. I read that this kind of bear rally happened multiple times in the 2000-2002 bear market.

Mike: Well, I would have to go back and study the triple-bottom-and-rally situation, but I hear you – we’re not out of the woods. After these new buys we’re 60% in cash, and if BMBL and HALO don’t shape, we could be back to 70% pretty quickly (editor’s note: Mike did sell both in Thursday’s Cabot Growth Investor update). I think we’re close to a key level for the market – if we push higher from here, great, if not, we could be in some sort of retest/back-and-fill phase. We’re still going slow.

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.