{SNAP.NYS} is under Algo Engine buy conditions. The correction in high PE technology and the negative impact to earnings from the change in Apple’s advertising privacy regulations have seen Snap correct from $80 down to $38. Even after the 50% correction, Snap remains on 80x PE.
Despite the still high PE ratio, Snap offers tremendous growth and we’re accumulating the stock within our defined range.
Medtronic plc. Ordinary is under Algo Engine buy conditions. We sell value at $100 and expect to see buying interest remain strong above this price level.
Walt Disney Company (The) Common was sold this week after generating an Algo Engine sell signal at $155.73. The position produced a 49.96% return, since being added back in Feb 2018.
Southern Company (The) Common has been removed from the US S&P100 model portfolio after a 1209 day holding period and a realised gain of 64.4%.
Comcast Corporation – Class A Common is under Algo Engine buy conditions. We suggest watching for a cross above the 10 day moving average within the $41 to $49 price range. We’ll update you on the blog when the condition occurs.
General Dynamics Corporation Common is under Algo Engine buy conditions and we see buying support increasing above the $190 higher low formation.
NAS: MDLZ is under Algo Engine buy conditions and we see buying support increasing above the $58 higher low formation.
Duke Energy Corporation (Holding Company) Common is under Algo Engine buy conditions.
PayPal Holdings, Inc. – Common is a current holding in our US model portfolio. The stock is up 10% since being added last year and the current sell-off provides another entry opportunity.
20/11 update: Paypal remains below the 10-day average and we encourage traders interested in US stocks to track the price action, as a powerful price reversal is likely.
26/11 update:
PayPal is an opportunity to accumulate within the $150 – $180 price range. The selloff reflects a correction in the PE ratio from 80x to 40x and the investment is a bet on continued growth and a responsive reaction from the company to increased competitive threats.
This explains the selloff: 4% EPS growth and the FY21 quarterly trend of lower EPS is a concern. However, we’re positioning on the basis the market is getting overly negative on the stock.
Wait for the price to cross back up through the 10-day average.
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