Final Stock Track Presentation

StockTrak Midterm Presentation

Lindsey Row

My Activity

Trade made: 30/200

Diversified by sector and share amounts

8+ industries

Shares range from 100-1,000

Different parts of the market outperform the others.

Top performer: ASML Holdings (ASML) +22,386.78

Worst performer: Amazon (AMZN) -19,460.00

Buy what you know honorable mention: Target

For the first half of the course my goal was to be conversative with my investments. I wanted to diversify my portfolio through share amounts and industries. Diversification by industry was to potentially avoid any significant loss that was from an industry or sector-wide dip.

I have currently made 30 out of 200 trades in about eight different industries. My shares range from 100 (most common) to 1,000.

I also bought what I knew. In MBA 606 my assigned company was Target, so I purchased 1,000 shares of Target because I had done so much research on the company, knew it was doing well and was also mentally invested. This investment really paid off as Target has been a leader in my portfolio since beginning the course.

I haven’t done much activity besides my initial share purchases. I’m very much of the idea of “long hauling” - many of my stocks have underperformed and I have lost money but am hopeful things will improve. Two examples of this include my shares in ASML Holdings and Amazon.

ASML - who manufactures semiconductors took a significant dip in the beginning of October. I could have cut my losses but I decided to see if things would bounce back and they have. I purchased 250 shares of ASML at $492 and as of writing, the last price was $581.55, with my highest profit at $22,386.78.

However, my investment in retail giant Amazon has not been as successful. I’ve lost over $19,000 from my 1,000 shares in Amazon - my biggest loss. I do plan on holding onto my Amazon shares for the holiday retail season as I am hopeful it will bounce back around Black Friday and into the holiday season. After a hopeful decent profit from the holiday season I do plan on trading Amazon out of my portfolio.

Current Retail Positions

Amazon (AMZN)

Target (TGT)

Bath & Body Work (BBWI)

Costco (COST)

Walgreens (WBA)

Overall my retail positions are satisfactory. Current profits from Target, Bath & Body Works, Costco and Walgreen outweigh the loss from Amazon.

Again, I am hopeful that I will see an increase in profits from Amazon as we head into colder weather (less shopping in person) and the holiday season.

Healthcare Facilities & Services Positions

Abbott Laboratories (ABT)

Merck & Co (MRK)

LabCorp (LH)

Quest Diagnostics (DGX)

Johnson & Johnson (JNJ)

Boston Scientific Corp. (BSX)

DaVita (DVA)

Intuitive Surgical Inc. (ISRG)

Stryker Corp. (SYK)

Moderna (MRNA)

Healthcare facilities and services was my assigned industry, which was beneficial because it is a very profitable industry.

My own company, LabCorp has been interesting to learn more about and follow and has overall done well with a few dips since the course started.

Although most of these are in the green at the time of writing, it has been interesting to see the ups and downs of almost all of these firms. It seems that the healthcare industry can be very volatile, so I am glad that I am pretty diversified throughout the industry to help balance things out.

Luckily, there has not seemed to be an industry-wide low thus far in the course.

Media & Tech Positions

Salesforce (CRM)

Intel Corp. (INTL)

Netflix (NFLX)

Google (GOOGL)

My media and tech stocks have also been pretty volatile, particularly Salesforce has been up and down.

Investor favorite Google has also even underperformed.

Netflix was a large loss for a while but seems to be improving at the time of writing.

Misc.

Caterpillar (CAT)

Goldman Sachs (GS)

Boeing (BA)

ASML Holding NV - New York Shares (ASML)

Schlumberger Ltd. (SLB)

Raytheon Technologies Corporation (RTX)

These miscellaneous stocks are mostly construction/manufacturing/contractors/financial institutions.

My biggest win in this group has been ASML Holdings.

Market Conditions

Earnings calls/reports

Most of my companies reported positive results

Press and public relations

Walgreens transition plan

Netflix password-sharing restrictions

Caterpillar government defense contract

Geopolitical factors

Potential invasion of Taiwan (largest semiconductor manufacturer) by China

Many of my companies have reported both favorable and unfavorable earnings call in the first half of the course. These have of course affected each company’s stocks.

Press and public relations have also affected a few of my stocks, including:

Walgreens pharmacy locations are closing around the country amidst the announcement of plans to transition to a healthcare services company through a deal with VillageMD and Summit Health-CityMD. Deutsche Bank also upgraded the stock to buy from hold. (Linanne, 2022).

Netflix stock went down after the news the company would be cracking down on password-sharing (Patel, 2022).

Caterpillar got a big bump after it announced a $1.3 billion defense contract for construction equipment (Brest, 2022).

The biggest geopolitical influence has been on my biggest performer: ASML Holdings

The need for semiconductors, particularly in the US, is high. While Taiwan is the biggest global manufacturer of semiconductors, there has been a potential threat of China invading Taiwan. This caused trade partners and investors to be hesitant in inves investing in Taiwanese goods, which caused the stock price to drop. However, the threat of invasion has seemingly lifted due China’s poor economy and the inability to pull off such a military feat. The less risk of war has caused people to feel more confident in investing in Taiwanese goods.

What Would I Change?

Not purchased any Amazon shares/waited until now to purchase

Waited longer to purchase ASML stock, shares went down before they went up

Made more required StockTrak task trades during Module 1-4.

Overall I am happy with my portfolio but would change a few things:

I would have either not purchased Amazon at all or waited until now to purchase my Amazon stock. While again, it’s likely to go up during the holiday season, so I could have made more of a profit by getting in now versus holding on through this long dip.

I would have also waited until now to purchase ASML stock, as it was another long dip I had to sit through.

Lastly, I should have read more carefully through the required StockTrak task trades before I made all of my portfolio decisions, as now for the second part of the course I have to make some trades that I wouldn’t necessarily want to do but need to.

References

Brest, M. (2022, November 4). Caterpillar Inc. awarded nearly $1.3 billion defense contract for construction equipment. Washington Examiner. Retrieved November 14, 2022, from https://www.washingtonexaminer.com/policy/defense-national-security/caterpillar-inc-awarded-1-3-billion-defense-contract

Linnane, C. (2022, November 11). Walgreens stock up 4.6% after Deutsche Bank upgrade to buy with analysts praising villagemd deal. MarketWatch. Retrieved November 14, 2022, from https://www.marketwatch.com/story/walgreens-stock-up-46-after-deutsche-bank-upgrade-to-buy-with-analysts-praising-villagemd-deal-2022-11-11

Patel, N. (2022, June 4). Why cracking down on password sharing won't benefit netflix that much -- but this might. The Motley Fool. Retrieved November 14, 2022, from https://www.fool.com/investing/2022/06/04/not-password-sharing-ads-benefit-netflix/