Thank you! That is what I was thinking, but sometimes I see numbers and either they look WAY too optimistic, or WAY too pessimistic. 12 months from now lines up to what I'm seeing and thinking on one of the stocks I am looking at. Which I know is just walking/talking confirmation bias... But as previously mentioned, I am a simple cave man and whatnot.
I don't pay any attention whatsoever to "analyst" coverage. They are always the laggard, waiting for some catalyst with earnings, waiting for guidance, etc. I could link you a million cases where some big firm gives some PT & up/downgrade and a week later they are completely backwards on the call for whatever news event or pre-earnings guide and makes them look like absolute fools.
When i first started out I would build spreadsheets of analyst coverages and price targets/recommendations. Took me about a year to realize how shitty it was. Espcially when they refuse to move off their obviously wrong projections. Like the analyst who had TSLA priced at something like $20 for years on end.
I will only say that once you leave the bigs, the energy sector can be even more risky than the energy sector normally is. CVX, XOM etc have the size and scale to provide some modicum of safety. There is also some real complexity when you get into the smaller players and their role in the sector. Upstream, midstream, storage, refining. Shit gets very convoluted if it isnt a space you have knowledge of.
Thanks. So the holding weights are nearly identical to Vanguards energy ETF for example. So I -think- the only real difference is the voting power of the creator of the ETF itself. My main question is if my understanding of that portion is correct.
I could be mistaken, but by holding a fund (ETF/Mutual) you automatically proxy your voting rights to the fund manager. The fund itself doesnt matter.
I think the expense ratio is one of the most important things to consider.
Volatility is going to be a big driver for the options price. If it has another big move up, buying during or very soon after the spike is your best bet.
Yes, playing sector rotations isn't a short term trade. It's also not an explosivewinner trade (usually). Rotating into consumer Staples at the right time still won't give tech like returns. There is only so much alpha you will get from WMT, KMB AND PG.
I guess it could? But if you think DAL is going to keep on going up and up and up and up and up, that's not how it works. The key, as I asked though, is what to look for when a pull back inevitably begins. Any stock that has a massive vertical spike typically has a very sharp pullback.You literally had the DAL CEO yesterday saying record Q2 profits. This is 2 days before end of quarter. He's either lying, or your puts are going to get blown up.
Delta CEO forecasting highest Q2 earnings ever. Here's what the pros are saying
Pros on CNBC discuss Delta Air Lines after its CEO predicts the company could see its highest second-quarter earnings ever.www.cnbc.com
