March Ratings
Value, Growth, Growth At A Reasonable Price
Seeking Alpha Analyst Since 2015
I was taught the value of investing and the power of compounding money at a young age by my dad and aunt. My dad helped me start a CD when I was about 10 to get better returns off my Christmas and birthday money. I started investing in the stock market when I was in grad school for Computer Science in 2008/2009. Stocks had dropped so far, it seemed like too good of a buying opportunity to me to pass up. I hardly knew anything about individual stocks, but luckily my timing was good and I saw multi-bagger returns on almost all my stock picks over the next few years. I've been interested in the stock market ever since and have done research on Seeking Alpha the last 5 years, as well as taking a couple online business/finance courses.
A farting horse will never tire; a farting man is a man to hire.
Summary
- Growth names have pulled back considerably, with some falling over 30% since near the start of February.
- Some pullback was justified with valuations too stretched. Value names now too seem to be near full value, with some going excessively high.
- A lot will rest on what interest rates do, but I think they'll take a breather at some point.
- The other thing I see that could possibly send stocks lower is if vaccines don't stop one or more of the variants of COVID-19 and the world shuts down again.
Because growth names have returned to more reasonable levels and because more traditional, value names have had quite the run over the last 5 months, I see there being more balance back in the markets. I think there are a similar number of value names and growth names that I would call buys at this point. Still, markets seem to want to keep going higher, but remain timid as they plummet at any bad news or rise in interest rates. Cash is still king until inflation really kicks in.
The biggest risk is that the world is still in big trouble if one of the COVID-19 variants can't be handled with current vaccinations and spreads even faster than before. This could topple the fragile scenario that we are all hoping for of a return to normal. Until more signs of any such variant posing that level of risk, I am moving most of my ratings to Buy or Hold.
Buy: BMY, BTI, EBAY, EYPT, KLR, PINS, PRTS, RDHL, TGT, TTD, TWLO
Sell: AAL, CAR, CAT, MAR
Hold: DOCU, IVR, PTON
Analyst's Disclosure: I am/we are long BTI, EBAY, EYPT, KLR, PINS, PRTS, RDHL, TTD, TWLO.
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