Is the stock market going to tank?

[CovertM]

I'm very long GME with an avg of high 12s. But it's still in the yolo account and not transferred to my buy and hold portfolio.

Reasons

- EBIDTA positive
- low debt
- good expense control

It ticks the Ben Graham boxes although it lacks a dividend. Then add to that

- high IV. My average covered call return via monthlies has been 12% over the 6 months I've owned it. I nearly have free shares. I also sell cash secured puts against it so that's a good part of the "wheel"

- Management has an old school bricks and mortar mentality but enough discipline to refuse share buy backs and other shenanigans when pressed to do so by activist hfs

- Chewy founder activism

Overall I can see a double within a year and would be happy with that.

I got burned by shorting QS prematurely at 80 and stopping out at 120 (I'm playing a PIPE unlock due in 15 to 30 days). GME's magnificent run stopped the bleeding and let me recover so I'm more than a little impressed by the strength of the believers

Still worth jumping in at $20s? Almost threw some YOLO money at it last week at $13 and now kicking myself.

[LeeLau]

Nope, one of the few times I’ve sold. Sold it a couple weeks ago, took $75 on my 25 shares and ran. In retrospect... I’m still not convinced on the Hydrogen thing, it seems most all of these companies have been in business for years living off investor money. Fuel Cell has been in business for 50+ years and loses money. Now it seems the hype is that they’ll lose government grant money nowadays. Calls are greatly outnumbering the puts on it but I’m not going long in it quite yet.

I do have 1 share of PLUG and 1 share of BE, as I’ve said before I think Bloom will be making money before the rest of them. PLUG has deals with Amazon and Wal-Mart for forklifts but the deal centered around them getting artificially cheap shares in return, seems like more hocus pocus.

I've worked with companies in the H2 sector for over 15 years. Take this as FWIW,

FCEL is basically the boring boomer company of H2. They provision stationary big industrial fuel cells for power backup. Low margin. Lots of capex. Boring and pedestrian. They were in the doghouse for a long while because frankly they deserved it. Nothing they've done recently changes this. They've just got a sexy ticker symbol

PLUG used to be a dog but now they're going white-label and doing some real innovative things with buildout of H2 stations and infrastructure for larger-scale operations. They were a gongshow but have since learned how to reduce burn and actually underpromise and overdeliver. They're on the uptick and a worthy company

Neutral on BE as I know next to nothing about them other than whats public. They do have a good green energy story to tell

In the industry the one's to watch for are Nels, McPhy and Chart GTLS - I don't know the ticker symbols of all of them. There's also a bunch doing very cool stuff with PEMs and fuel cells and chemical compositions in Noram and China. The only one I've worked with in China is Shanghai Shen-li but thats irrelevant to most as it trades only Shanghai where foreigners can't trade. These are the ones doing cool things.

Still worth jumping in at $20s? Almost threw some YOLO money at it last week at $13 and now kicking myself.

Maybe a small amount? Then sell cash secured puts to get more shares? Take advantage of the IV and get paid premium to go long. The cash flow alone makes it worthwhile for me.

I do think there's room for pullbacks. The r/wsb hype train is ludicrous so take that all with a grain of salt. Their Q4 2020 numbers will be strong and a catalyst but those don't get reported til April/May so there's time.

[CovertM]

I've worked with companies in the H2 sector for over 15 years. Take this as FWIW,

FCEL is basically the boring boomer company of H2. They provision stationary big industrial fuel cells for power backup. Low margin. Lots of capex. Boring and pedestrian. They were in the doghouse for a long while because frankly they deserved it. Nothing they've done recently changes this. They've just got a sexy ticker symbol

PLUG used to be a dog but now they're going white-label and doing some real innovative things with buildout of H2 stations and infrastructure for larger-scale operations. They were a gongshow but have since learned how to reduce burn and actually underpromise and overdeliver. They're on the uptick and a worthy company

Neutral on BE as I know next to nothing about them other than whats public. They do have a good green energy story to tell

In the industry the one's to watch for are Nels, McPhy and Chart GTLS - I don't know the ticker symbols of all of them. There's also a bunch doing very cool stuff with PEMs and fuel cells and chemical compositions in Noram and China. The only one I've worked with in China is Shanghai Shen-li but thats irrelevant to most as it trades only Shanghai where foreigners can't trade. These are the ones doing cool things.


Maybe a small amount? Then sell cash secured puts to get more shares? Take advantage of the IV and get paid premium to go long. The cash flow alone makes it worthwhile for me.

I do think there's room for pullbacks. The r/wsb hype train is ludicrous so take that all with a grain of salt. Their Q4 2020 numbers will be strong and a catalyst but those don't get reported til April/May so there's time.

Grabbed a small position of GME on a dip today and was also persuaded yesterday to grab some STIC, bought some more on a dip today. Gawd I need to stay away from WSB, but is just too fucking silly why not make some easy money on MEMEntum.

[LeeLau]

Grabbed a small position of GME on a dip today and was also persuaded yesterday to grab some STIC, bought some more on a dip today. Gawd I need to stay away from WSB, but is just too fucking silly why not make some easy money on MEMEntum.

I didn't really see the upside on the STIC Spac play that jack-a-lot does. It's a niche e-commerce merger. I'll re-read the S1.

Fwiw my Spac plays are KCAC (merged with QS; I still have warrants. BTWN (may merge with Tokopedia); HCAC (merged with GOEV - I have commons/warrants), TCHB (may merge with Microvast - commons/warrants).

Be aware that both THCB and STICs have warrant terms where if commons trade over 18 for more than 30 days the company can force redemption so you must have cash on hand to exercise.

[beer30]

So speaking of student loans, I paid mine off last week. What should I pour that extra 140 a month into investment wise? My IRA is kicking ass but would like to be a little more diverse investment wise. I am a American living in Germany, how about a fund on the DAX?

[californiagrown]

I'm up big overall this year, but have a few stinkers I like longterm (looking at you GILD). Should I dump them today at a big loss to help my tax bill and then buy them right back up on January 2nd? Is that stupid?

[CovertM]

I'm up big overall this year, but have a few stinkers I like longterm (looking at you GILD). Should I dump them today at a big loss to help my tax bill and then buy them right back up on January 2nd? Is that stupid?

Assuming they are in a taxable account due to the tax loss harvesting comment. Therefore, you are describing classic "wash sale rule" and will not be able to claim tax loss. Have to wait 30 days.

https://www.investopedia.com/terms/w/washsalerule.asp

[californiagrown]

Assuming they are in a taxable account due to the tax loss harvesting comment. Therefore, you are describing classic "wash sale rule" and will not be able to claim tax loss. Have to wait 30 days.

https://www.investopedia.com/terms/w/washsalerule.asp

Thats exactly what i want to do haha. damn.

[skaredshtles]

So speaking of student loans, I paid mine off last week. What should I pour that extra 140 a month into investment wise?

Hookers and blow.

[beer30]

Hookers and blow.

That doesn’t get much of those two!

[ncskier]

I'm up big overall this year, but have a few stinkers I like longterm (looking at you GILD). Should I dump them today at a big loss to help my tax bill and then buy them right back up on January 2nd? Is that stupid?

Yes sell today at loss. Deduct 3000 against 2020 ordinary income or bigger save for later. Than first of February rebuy. You can rebuy after 30 days.


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[skaredshtles]

That doesn’t get much of those two!

Depends on your standards.

[gravitylover]

^460% in just over a week and it looks like it might run a bit more. I'm good with that I have a get out point coming up so I'll probably pull what I have in it for the next one and let the balance ride for a while and see if it actually does go up some more. I need a few other penny stock ideas with similar potential. I mean real penny stocks not stuff over $1.

[Falcon3]

That doesn’t get much of those two!

Yeah but with recurring deposits and compound interest...

[LeeLau]

Covered some DASH. It dropped faster than expected.

Looking to re short NKLA from the amounts I took in from the Christmas dump

Took profits on the RIOT and GME call spreads.

Trying to get more into cash for the New Years wave of Stimulus checks dumb money

[Toadman]

is that what people are doing with their stimulus checks? Buying stocks? I guess it might beat buying scratch off lotto tickets.

[LeeLau]

is that what people are doing with their stimulus checks? Buying stocks? I guess it might beat buying scratch off lotto tickets.

Look at it this way. The US is so fucked for younger people who don't have a lot they might as well treat any windfall as a Yolo lottery ticket to use on sports book or Robinhood. They figure they have no future that they may as well bet it all one roll.

[XXX-er]

buy a new tattoo and a Vidya game

[heckacali]

Fuck GILD with a coronavirus laden dildo.

[BobMc]

Went down the energy hole even further today, have plenty of oil so I went with renewable and natural gas. Picked up 50 shares of NEE, 100 of BEP, and 100 of DCP.

If they give us the 2k apiece I know where mine is going...

I predict some decent earnings reports coming up for oil companies. Brent crude has been over $45 for a while now and is now at $51.09. West Texas Intermediate is up to $48.18. MRO has said they generate positive cash flow when WTI is at $35+.

[LeeLau]

RIOT went up too fast so my covered calls I sold when it was 13 (sold the 15.5) are now in the money. Don't want to get assigned so rolled the calls selling 19C expiring tomorrow. RIOT is a good example of a volatile stock (because its correlated to BTC) that I have to be more careful selling CCs on it.

[BobMc]

Stimulus cash hit our account today. Turned my $600 into four shares of AAPL and three shares of EPD. Gotta be better than playing the ponies?

[ncskier]

Stimulus cash hit our account today. Turned my $600 into four shares of AAPL and three shares of EPD. Gotta be better than playing the ponies?

I think it’s great you continue to invest and learn. Good job and keep it up.


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[LeeLau]

Same as ncskier Bob. It's really cool to see you're developing your own ideas and taking action on them

[BobMc]

Thanks guys. This all started as kind of an experiment, I saw the market tank, saw Carnival plummet and decided to invest. Mainly to get the On Board Credit of $100 for holding 100 shares on my (hopefully) upcoming cruise in August.

Once I put money in I kind of became addicted. My first strategy was to buy battered down stuff, I’ve got a lot of stocks I own from that original strategy, most of them I’ve done rather well on, still waiting for a few to blossom.

Lately it’s taking a bit more work and reading to choose stuff. Battered stuff is still around but most of it I’ve decided not to get into. I’ve been working the dividend v share growth stuff looking more long style. Did some math tonight and realized at the amount of XOM I own I’ll be making 25 extra shares a year on dividends alone! May 27th I bought my first 4 shares of XOM at $45.80, I still remember marveling how I could own a part of this big of a company. I now own 301.89 shares at $40.25 per.

It’s become my most enjoyable addiction. I put every dollar I can find into it. I got Christmas money to buy a new coat, instead of buying the new jacket I researched how to replace the zipper pull in my old dirty ass coat and will be putting that money in the market soon. Lol

Been spending my quarantine time watching options videos. I own shares in 21 companies, 8 of them with 100+ shares. I have a couple of them that I wouldn’t mind moving out of, looking to make money while doing that. Thanks to Lee for showing us how to start to make extra money on stuff we already own.

I know I’m probably not doing it right tax wise, but I figure I’ll figure that out eventually as well.