Meeting II Synopsis
Stock Picks: BOT (hot IPO), GDP (valuation, strong oil sector), SNDK (expected positive earnings release)
Our portfolio as of Saturday, October 22, 2005
| Symbol | Last Trade | Chg | Volume | Shrs | Value | Value Change | Paid | Gain | Related Information | |||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| SNDK | Oct 21 | 56.45 | +10.07 | 31,134,168 | 100 | $5,645.00 | $1,007.00 | +21.71% | 47 | $945.00 | +20.11% | Chart, Messages, Profile, more... | ||
| BOT | Oct 21 | 112.00 | +21.11 | 2,995,000 | 100 | $11,200.00 | $2,111.00 | +23.23% | 80 | $3,200.00 | +40.00% | Chart, more... | ||
| EBAY | Oct 21 | 39.29 | +0.14 | 20,583,968 | 100 | $3,929.00 | $14.00 | +0.36% | 41 | -$171.00 | -4.17% | Chart, Messages, Profile, more... | ||
| GDP | Oct 21 | 20.57 | +0.80 | 226,600 | 100 | $2,057.00 | $80.00 | +4.05% | 20 | $57.00 | +2.85% | Chart, Messages, Profile, more... | ||
|
$22,831.00 | $3,212.00 | +16.37% | $4,031.00 | +21.44% | |||||||||
| Get a snapshot of today's market action in Market Overview | ||||||||||||||
What Makes Stocks Go Up?
* Positive earnings releases: http://biz.yahoo.com/z/extreme.html and positive earnings guidance for the next quarter. If a company beats expectations for the current quarter, but guides below for the next quarter, it usually falls. Guidance is usually more important than the actual earnings release.
*Analyst Upgrades: http://finance.yahoo.com/mru If Cramer promotes the stock on Mad $$$, it usually spikes a few points.
*Release of new product/ New Contract : http://finance.yahoo.com/mp?u
*Upward Momentum: This is what I like to refer to as "The Buzz Effect". If a stock surges, investors are apt to jump on the bandwagon and buy more; this concept of momentum is the foundation for the ratings on www.barcharts.com and technical analysis. Google is a stock that has mega-upward momentum.
* If the Dow or Nasdaq is down on a particular day, the odds are that your stock is going to be down. Institutions and day traders have a tendency to follow the market as a whole. If Ford Motor Company releases a negative earnings statement, it causes economists to think that the economy is bad as a whole, and aapl may go down as a result, despite the fact that cars and computers are not the same sector.
Today only 39% of all Nasdaq stocks went up, partly due to profit taking from the last two day's humongous rally.
* Fundamental Analysis: This is very boring and not for day-traders. I am a day-trader so I believe that fundamental analysis is nonsense and for other people to do besides me. Essentially, fundamental analysis is the entire field of accounting. It consists of creating these ridiculous ratios to analyze a company, trying to gain some sort of insight. This form of analysis would be useful if the internet did not exist and we were only allowed to check up on our stock once every ten years. However, the internet does exist, and if my stock is in financial trouble, about a thousand other publications will report it before I have time to run my own acid test debt calculatons. This isn't the 1980's where companies can hide big mishaps in their financial statements.
Meeting I Synopsis
Hi Everyone!
First off, thank you for everyone who came to the meeting tonight. It was
great to see you all there and we hope you enjoyed the meeting.
For those of you who were unable to come tonight here is a brief recap of the
night:
All of the exec board, myself, Hugh Keefe, Mike DiPalma and Sean Whalen
introduced ourselves and introduced the idea of the Equitable
Markets Club.
The main idea of the club is that each member will have $100,000 of fictitious
money to invest in whatever stocks they want. We suggest
using Yahoo!Finance to set up an account to do so. On a monthly basis, we
will determine who has the strongest and most profitable portfolio and
the winner will receive a prize from the exec board. We suggest using
morningstar.com and lipper.com, which are (free) resources which provide
tips on investing, etc. We are also going to have a Master Portfolio which
will be comprised of stocks that are suggested by members of the
club. So on October 18th, feel free to come to the meeting with a stock
you feel confident about: you can present it to the club and we will add
it to the Master Portfolio, which will be evaluated on a monthly basis as well.
Other topics we hope to discuss next meeting are fundraisers, guest speakers,
field trips and marketing our club around campus!
The next meeting will be held two weeks from tonight, that's October 18th at
Moore Hall I. We will plan on a 7:00 meeting but if this changes we
will definitely inform you ahead of time!
Feel free to bring friends and roomies.. we had a solid turn out for the first
meeting but would love to see some new faces as well! (I'll be baking cookies
also)
If you have any questions do not heistate to contact us, and we good luck with
investing!
Thanks,
-The Exec Board.
hkeefe06, mdipal06, swhale06,
mcool06