This is an update to our latest theoretical model portfolio report, 33 Stocks for June 2017.
A theoretical short sale position in Under Armour, Inc. (NYSE:UA) hit a stop loss and will be assumed closed at the end of trading tomorrow. The stock is up +9.93% MTD for the assumed inverse short sale loss.
For the month to date, the theoretical Core Long Model portfolio is up +2.99% versus the S&P 500 (SPX) up +0.91% and the SPDR S&P 500 ETF (NYSEARCA:SPY) up +0.97%.
Stocks in the theoretical Core Short Model portfolio are up +0.05% for the assumed inversely equivalent short sale loss. The Core Long/Short Model portfolio is up 2.94%.
The theoretical Opportunistic Long Model is still assuming a 100% cash position; the theoretical Opportunistic Short Model is currently identical to the Core Short Model. (The Core and Opportunistic models track the same basket of stocks, but the Opportunistic Model additionally uses a cash allocation strategy.)
MTD highlighted long stock ideas are performing well -- Amkor Technology, Inc. (NASDAQ:AMKR) is up +7.94% MTD and Louisiana-Pacific Corp. (NYSE:LPX) is up +3.41%. The best performing long idea so far is Advanced Energy Industries (NASDAQ:AEIS) +10.66% and the worst is Arcelor Mital (NYSE:MT) -2.20%.
MTD the best performing short sale idea is Snap Inc. (NYSE:SNAP) down -11.13% while the aforementioned UA is the worst.
Below tables showing the latest stock returns and price targets. The May 2017 Barclays Long/Short Index return data has been updated as Barclays has collected more return data. June data won't be available until July.
For the historical return table, we've added results to our Jan 1, 2005-March 30, 2009 backtest. This backtest is what inspired us to collect track these results in real time. Unsurprisingly, "real" results are underperforming relative to the backtest but still performing well relative to the S&P 500 and Barclays Long/Short Index.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
Additional disclosure: There are limitations inherent in our theoretical model results, particularly with the fact that such results do not represent actual trading and they may not reflect the impact material economic and market factors might have had on our decision making if we were actually managing client money. We do our best to provide accurate information in this report, but do not guarantee its accuracy.