Stock market.... What are you doing?

[foszoe]

Debt is definitely increasing, but what I have read mostly says stock buybacks are going down not up and the debt is not earmarked to stock buybacks.

US stocks are trading at 143% market cap to GDP with a forward P/E north of 24....and increasing. I guess 4+ Trillion in 8 weeks from the fed made everything great again.

Corporate debt keep setting almost daily new records as more companies are borrowing as both a buffer and to do stock buybacks.

This madness will end badly.

 

[jd4320t]

Is there anyway Hertz will survive this?

 

[foszoe]

Anything is possible but with shareholders the last in line and the debtload that company has. I don't think so. Their free cash flow yield is negative. Not even Icahn will get anything for his 39% stake.

Is there anyway Hertz will survive this?

 

[JettaKnight]

Is there anyway Hertz will survive this?

On their own or getting swallowed up in a merger?

 

[nonobaddog]

Is there anyway Hertz will survive this?

No, somebody should buy them cheap and turn it into a donut chain.

 

[AtTheMurph]

Is there anyway Hertz will survive this?

They filed for bankruptcy, so the answer is no. It may reemerge but it won't be this Hertz.

 

[CHCRandy]

Yeah, Icahn just announced he sold HTZ for big loss. I dont like BK plays....been burned on them every time I try. LK is another one that has been crazy this week.....not sure what to think of it.

 

[foszoe]

After the last debacle, I wouldn't trust their earnings with a 10 ft pole. From reading some of your posts, it seems you are more into daytrading. Maybe can make money with that in LK but I am not a day trader. No offense, can make good money but not my cup of tea. I am mostly a buy and hold but with plenty of profit taking orders and stop loss orders . For each stock I have, there are usually anywhere from 5-8 orders on the position.

Yeah, Icahn just announced he sold HTZ for big loss. I dont like BK plays....been burned on them every time I try. LK is another one that has been crazy this week.....not sure what to think of it.

 

[smokingman]

Debt is definitely increasing, but what I have read mostly says stock buybacks are going down not up and the debt is not earmarked to stock buybacks.

https://fortune.com/2020/05/06/does-apples-stock-buyback-strategy-make-sense-in-this-market/

 

[CHCRandy]

After the last debacle, I wouldn't trust their earnings with a 10 ft pole. From reading some of your posts, it seems you are more into daytrading. Maybe can make money with that in LK but I am not a day trader. No offense, can make good money but not my cup of tea. I am mostly a buy and hold but with plenty of profit taking orders and stop loss orders . For each stock I have, there are usually anywhere from 5-8 orders on the position.

Amen on LK. I know a guy who has around 800,000 shares of it. He got in way under $1 and is still buying....he claims it will squeeze shorts to $5-10, I think he is crazy myself. I love trading, but that is not my cup of tea either, other than a scalp. I had SPY 302 calls I bought this morning at .20, sold them at .50 thinking I was being smart locking in 150% in a day at about 3:40 today....they expired at 4 at $1.90 each. Almost 1000% up. I have no nerve and lose a lot of profit selling early. PHAS was the same way at close. I seen news on it at 4:01 pm @ $5.25, sold 2-3 minutes later at $6.25 and it ran to $8+!

I will never figure it out.....

 

[JettaKnight]

Amen on LK. I know a guy who has around 800,000 shares of it. He got in way under $1 and is still buying....he claims it will squeeze shorts to $5-10, I think he is crazy myself. I love trading, but that is not my cup of tea either, other than a scalp. I had SPY 302 calls I bought this morning at .20, sold them at .50 thinking I was being smart locking in 150% in a day at about 3:40 today....they expired at 4 at $1.90 each. Almost 1000% up. I have no nerve and lose a lot of profit selling early. PHAS was the same way at close. I seen news on it at 4:01 pm @ $5.25, sold 2-3 minutes later at $6.25 and it ran to $8+!

I will never figure it out.....

Are we talking about a Chinese coffee company?

Reminds me of my younger days when I had time and ambition to trade like that.




I lost money doing that, so I moved to index funds and a buy and hold strategy.

 

[hoosierdoc]

I am happy with my VOO, it's up 11% since I put it in back in March 9. It was my one moment of clarity when I invested in a decent bet . Plus I got a $43.59 dividend on 3/9. Should get another one in two weeks.

I sold my two NCLH calls, made about 30% on them. I just bought a CCL put for June 19. Hoping to get out of it in a few days.

edit: whoops. I only bought one put, meant to buy about 8. I'm up $35 instead of $250.

 

[hoosierdoc]

Amen on LK. I know a guy who has around 800,000 shares of it. He got in way under $1 and is still buying....he claims it will squeeze shorts to $5-10, I think he is crazy myself. I love trading, but that is not my cup of tea either, other than a scalp. I had SPY 302 calls I bought this morning at .20, sold them at .50 thinking I was being smart locking in 150% in a day at about 3:40 today....they expired at 4 at $1.90 each. Almost 1000% up. I have no nerve and lose a lot of profit selling early. PHAS was the same way at close. I seen news on it at 4:01 pm @ $5.25, sold 2-3 minutes later at $6.25 and it ran to $8+!

I will never figure it out.....

how far out do you buy your calls if trying to flip? Same day usually? if you still own them at end of trading on strike day what is the procedure there?

 

[CHCRandy]

how far out do you buy your calls if trying to flip? Same day usually? if you still own them at end of trading on strike day what is the procedure there?

When I am trading options I always buy SPY calls or puts, out of the money, and on expiration day. I have never held them until close of day unless they are 100% losers....I always sell before the day ends. Just remember, SPY puts you can sell until about 4:10 pm or so........so if market is running you just let them ride until close and then when SPY bumps up at close sell them.

I only trade SPY options on days they expire and that is the only ones I buy on daily expiration......every other option I buy I like to have a little more time on it.

 

[CHCRandy]

Are we talking about a Chinese coffee company?

Reminds me of my younger days when I had time and ambition to trade like that.




I lost money doing that, so I moved to index funds and a buy and hold strategy.

Yes, LK the fraudster coffee company......think them guys are barking up wrong tree. I would never trust a company who lied to me once.

 

[hoosierdoc]

well I made $75 on my CCL. should have been 8X but I'm an idiot and only bought one

today I bought calls for NCLH and CCL for June 12. will put my sell order in when I get home

 

[foszoe]

Reinvested ALSN and APAM dividends. Bought some ESNT, HBI, and INVA

well I made $75 on my CCL. should have been 8X but I'm an idiot and only bought one

today I bought calls for NCLH and CCL for June 12. will put my sell order in when I get home

 

[hoosierdoc]

up $350 (20%) on those cruise line calls since I bought at 11:30.

put a limit sell order at about 40% gain. would be awesome.

still down big on the 2021 and 2022 calls I bought in March

randy, do you only trade SPY on strike day because that's biggest opportunity for gain if it moves the right way?

I could see buying straddles and closing out one early if it looks like it's moving the other way. do you ever have problems with no open interest or low volume when trying to exit out at end of trading day?

 

[hoosierdoc]

just closed out those NCLH calls, made 36%. looks like they may push higher today but happy with the the gain and wanted to lock in.

hoping the CCL hits too.

edit: CCL hit my limit price, 58% gain

I think i'm liking these near term options for playing short term volatility. the out of the money ones have larger percentage gains which is interesting

 

[foszoe]

Bought QD and PLUG. Auto orders on a buy/hold strategy based on resistance levels. 2 of my more speculative holdings.