All things STOCKS

#14,401
#14,401
Thunder Good-Oil said:
It’s a derivative, not a NG operator. But the investment results mirror the performance of the commodity.
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No they don’t. Over time, the price of natural gas stays the same. Over time, constantly rolling futures goes to zero, and that is graciously demonstrated by simply looking at the history of this fund for a few seconds. It acts like what it is.
 
#14,403
#14,403
BigOrangeMojo said:
The results don't support the jump but they are riding the AI craze right now...
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Agree. Seems they have captured the start of the potential AI overhaul of businesses incorporating this technology and cutting employees. Big jump this morning when the markets open.
 
#14,406
#14,406
Majors said:
Decided when I got into semiconductors to buy cheap and hope or go all in on NVDA. Went NVDA, so far paying off
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Smart move. I've danced in and out of them. Like the CEO. Got out when the pandemic gaming market started to dry up. Wasn't 12% impressed by last night's earnings, but what do I know..

In general, the markets started mighty green this morning. Now, we are sucking fumes. Any market moving big news out there, or just a normal daily cycle?
 
#14,408
#14,408
Firebirdparts said:
No they don’t. Over time, the price of natural gas stays the same. Over time, constantly rolling futures goes to zero, and that is graciously demonstrated by simply looking at the history of this fund for a few seconds. It acts like what it is.
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I said mirrors, not equals. UNG is a ST trading vehicle that moves in tandem with the commodity futures. Taking and storing the physical product is a different business than trading securities.
 
#14,412
#14,412
Majors said:
I’m in on C3.AI too and it’s not sailing, but down
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There's no question the technology landscape is changing. Who will profit from it, and when, is a trickier question.

One can make the case that NVDA is overbought right now. Or at leas that there's more risk than potential.
 
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#14,413
#14,413
Velo Vol said:
There's no question the technology landscape is changing. Who will profit from it, and when, is a trickier question.

One can make the case that NVDA is overbought right now. Or at leas that there's more risk than potential.
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Don’t disagree with that. I’m riding both as long as this is keeps trending and making somewhat positive headlines.
 
#14,417
#14,417
I have been expecting three more .25 bumps from J-Pow all along.

Hopefully this morning's news to just a short term purge.
 
#14,420
#14,420
BigOrangeMojo said:
Completely forgot I had a $320 order out there for ADBE...oops
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Didn’t forget about it, but I sold some 2/24 GOOG 92 puts about 2 weeks ago. So I’ll have Alphabet shares back in my account after about 5+ years of not owning them. Hopefully the $89ish price recovers to the middle 90s and I’ll sell covered calls. If shares stay below 90 I’ll just keep them for the time being. P/E is 20x. I wish that there was a dividend in case I have to wait a while. $4.55/EPS.
 
#14,423
#14,423
Thunder Good-Oil said:
That’s not me. I really like them if they are north of 2% and when the EPS is considerably more than the dividends/share. I like them even more in Roth accounts.
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I know you didn't say that in so many words, but you did point out that they can subtract from stock price growth.
 
#14,425
#14,425
Velo Vol said:
I know you didn't say that in so many words, but you did point out that they can subtract from stock price growth.
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I don’t remember saying that. There are several things that companies can do with cash that they generate. (1) Investing in assets that grow their business (like equipment, factories, inventory, etc), or they can acquire competitors, complementary businesses, ancillary operations, or even new lines of business, (2) pay down debt, (3) buy back shares, or (4) return cash to shareholders through dividends. Buying back shares is the best way to grow value if management doesn’t have a better way to reinvest capital, purchased shares are retired rather than awarded to executives and others as overly inflated compensation, shares are purchased at reasonable prices, and the government doesn’t obstruct the strategy with retaliatory taxation (which the Dems/Biden are pushing). Paying down debt is a good idea if the cost of carrying that debt is high relative to the returns that that capital can generate. Paying shareholders through dividends has some drawbacks, but usually the benefits are greater. The corporation’s profits are taxed and then dividends are taxable to the shareholders. An egregious double taxation. Keeping cash off of the balance sheet can make it more difficult for corporate raiders to steal companies from unwilling shareholders. Dividends can also result in less volatility in share prices and a share price floor as long as the EPS creates a good dividend coverage or payout ratio. And for some shareholders, the dividends provide for an important income stream.

Ideally companies can grow at a high rate AND pay a good dividend. But a lot of the time it’s mostly one or the other for companies that create wealth. Mature companies typically pay a dividend and it is a very important component of the investment’s total return. A company that is in a fantastic, fast growing business, that is highly competitive or has other advantages (such as patents or other IP) is possibly going to provide the greatest returns (stock price appreciation) by putting every dollar available back into growing the business.
 
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