Financial Movers

Back in September Apple was able to make a new all time high at $137. Since then the stock has been trading in a symmetrical triangle by making lower highs and higher lows. While trading in the triangle the company announced a stint of good news. They announced that they're making their own in house M1 processors for Macs, shifting to their own modems which will cut Qualcomm out of their business, releasing AirPod Max headphones, and increasing iPhone production by 30%. All of the good news has built up and now the stock has broke out of its symmetrical triangle and has resumed the uptrend that it started in April. With so much momentum behind the company investors are wondering if now is a good time to buy, or if the move has already happened an it's too late. To buy or not to buy?

Last month Best Buy reported earnings on November 24. The company reported an earnings beat on EPS by $0.34 and a revenue beat. Before the report the stock was trading at a near all time high of $124 and then dropped -20% after reporting earnings down to $99.60. Last week, after dipping -210%, Goldman Sachs (GS) downgraded the bank from neutral to sell. But many investors are asking why? Goldman said that Best Buy won't be able to keep the growth up as they enter 2020, but the company has bee increasing revenues for years leading up to this one. So why is Goldman questioning next year's success? Now that Best Buy stock is down after reporting good earnings is it a buy on dip opportunity?

Costco reported earnings last week on December 10 and killed analyst expectations! Revenues increased 16.6% Y/Y by billions of dollars and they also beat earnings per share expectations by $0.25. Since the beginning of the year Costco stock has had a phenomenal run. It's up 27% and that's especially astounding after considering the market's drop in March. For those already invested into Costco they're sitting pretty! But what about investors that want to start a position? Is now the time, or are there dips in the future that'll be better?

Adobe is an American computer software company that has grown tremendously since being founded in 1982. This morning the company reported their Q4 2020 earnings and beat expectations, posted strong full-year guidance, and announced a $15B buyback program. After reporting earnings it became clear that the company is the an industry leader in regards to digital media, digital sales, and creative software. Because of their strength they reported record cash flow operations and increased their cash supply tremendously. Adobe is looking great. Their balance sheet looks strong and the company is not disappointing in regards to growth. But is the company's stock worth the $480 that it's priced at right now? Especially after an impressive year of gaining more than 44%?

Founded in 2011, Chewy (CHWY) is an American online retailer of pet food and other pet products located in Florida. In June of last year the company's stock IPO'd at $36 and is now trading at $77, which is an increase of 113% in less than two years. The company has yet to turn a profit, but they're close to turning one after increasing revenues by more than double over the past two years. When compared to other pet food suppliers Chewy almost always has the better deal for pet food and they'll ship it straight to the customers door step! They've been able to grow and retain customers over the years and have done such a good job that PetSmart acquired the company for more than $3 billion in 2017. Is now a good time to buy this pet-food based company or should investors wait?

This past October Microsoft (MSFT) posted a blow out quarter and shares lost! The dip could be considered an early Christmas gift and the stock is still a bargain at $214. Analysts predict that Microsoft will have a near-term price target of $220 on the low end and $260 on the high end, so $214 is a discount. Microsoft is a behemoth of a tech company with a market cap surpassing $1.6 trillion and growing. This holiday season should be a good one as technology and Christmas go hand in hand and the cloud continues to grow.

This morning Kroger (KR) reported their quarterly earnings and the stock gapped down -4%. The company beat EPS estimates, but missed on revenues. Although the company missed analyst revenue expectations they still reported +6.3% Y/Y growth. Was the stock sell-off warranted or should shares be picked up on the dip?

Zoom reported their quarterly earnings and posted revenue growth of 367%. Although impressive, the stock still sold off and was down more than -12% at one point during today's trading session. The company has managed to increase cash, user base, and net income, but do investors expect the growth to continue? It's no secret that lockdowns during 2020 execelld the growth of the company, but many investors have doubts about if the growth will continue in 2021. The company's stock is up 600% year to date and now may be a good time to cash out.

A sad fact is that only 1 in 6 people will retire as millionaires. There's a misconception that it's difficult to become a millionaire. Many people calculate the hours they'll need to work, or salaries they'll have to receive before obtaining $1 million. What many people don't realize is that it's easy to obtain $1 million by retirement only from investing. Actually, it's just as easy to obtain $3 million as it is $1 million! The key is to get started early, choose the right investment, and to be consistent with investing. If an investor begins at a young age then the effect of compound interest will propel their thousand dollar investments into million dollar investments.

Last week Lowe's reported their quarterly earnings and missed EPS by 1cent. The company went on to report that digital sales increased by 106% and total store sales revenue was up 30%. After the report investors decided to sell off shares and the stock gapped down -6% the following day. Is now a good time to buy Lowe's stock since it is trading 15% away from all time highs?