Constellation Stocks

𝗔𝗜 𝗨𝗻𝗹𝗲𝗮𝘀𝗵𝗲𝗱: 𝗪𝗮𝘁𝗰𝗵𝗹𝗶𝘀𝘁

I recently had a client task me with researching potential long-term winners in the stock market that are benefiting from the AI boom, specifically excluding the big names that are already widely covered in the media.

Beyond the well-known chipmakers, we've delved deeper to uncover software companies that stand to gain from launching new products or significantly optimizing their costs.

I've uploaded the watchlist, complete with detailed narratives, on Substack. Feel free to take a look! If you're interested in staying updated, simply subscribe to our page, and further research will be delivered directly to your email.

AI Unleashed: Watchlist Exploring which companies stand to win big from AI

📈How I Pick Winning Stocks: No Fluff, Just Growth
Hey there! Ever wonder how some folks manage to pick those stocks that just boom? Well, I've got a little system I follow
➡️Read more:

How I Pick Winning Stocks: No Fluff, Just Growth Hey there! Ever wonder how some folks manage to pick those stocks that just boom? Well, I've got a little system I follow that's all about finding companies that are set to shoot up, way past what most people expect. Let me break it down real simple:

Turnaround Story - Wayfair (W)

The Russell 2000 Index is Poised to Surpass Its 2-Year Price Range. Discover the Companies Set to Benefit. Here is one of them. Not an investment advice. Do your own research before any action.

➡️Subscribe to my page on Substack and get market analytics and stock ideas right on your email!

Turnaround Story - WAYFAIR (W) The Russell 2000 Index is Poised to Surpass Its 2-Year Price Range. Discover the Companies Set to Benefit. Here is one of them. Not an investment advice. Do your own research before any action.

📢 Exciting news! I've launched my Substack page to share my stock picks with you. The first one is already up, check it out. Happy stock picking!

Special thanks to my co-authors whose great analytical skills make the research the way I can proud of.

➡️Subscribe to my page on Substack and get market analytics and stock ideas right on your email!

Constellation Stocks | Iskan | Substack Selecting the right stock is both a science and an art. Here is a place to generate new ideas and sharpen a selection process. Click to read Constellation Stocks, by Iskan, a Substack publication. Launched 5 days ago.

Earnings Season Interim Results in Short: Mag 7 rocks

Magnificient 7 pulled out the aggregate earnings growth picture for the S&P 500 index to +4.3%. Excluding them, Q4 earnings for the rest of the index would be down -4.2%.

Enormous market power in action...

At the same time, their momentum is declining.
Is this a chance for lagging mid and small caps?

Mag 7: Apple, Amazon, Meta, Google, Microsoft, Nvidia, Tesla

Q42024 Earnings Season Insights: Youtube Ad Revenue ATH

There were a lot of "big" earnings reports yesterday, most of which seemed pretty in line with what everyone was expecting. beat again and had another solid report but the shares have surged so much in recent weeks, they may cool here.

also had a solid report. What was most interesting to me was that YouTube ad revenue hit a new high of $9.2 billion. That's an all-time high for ANY quarter.

The prior high was set 2 years ago, in Q4 2021, at $8.633 billion. That was when the economy was red hot and the Fed hadn't yet started raising rates.

Advertising is always the first to be cut. But it's still striking that YouTube ad revenue is reaching record highs at a time when everyone is waiting for the recession.

Is it the last gasp before the economy slows further, or an indication of the soft landing? We will see soon...

5 Major Banks Reported Last Friday

Earnings Season is a great opportunity to research new industries and companies. This post is to help you with this. Leverage this chance!

The banking industry is one of the most complicated in terms of fundamental research. At the same time, it is the blood of any economy and this is a must to have the banks on your trading/investment radar.

We collected insights about the industry and the major banks , , , , and from their Friday earnings reports. Enjoy!

Special thanks for the rapid and explicit contribution to Michele Filippig. Great job!

1️⃣ JPMorgan: https://lnkd.in/d3-YwAAH
2️⃣ BofA: https://lnkd.in/d6ruQC5W
3️⃣ Wells Fargo: https://lnkd.in/d_e939qY
4️⃣ Citi: https://lnkd.in/ddiiZ-Ay
5️⃣ BNY Mellon: https://lnkd.in/dh3zH4wV

LinkedIn This link will take you to a page that’s not on LinkedIn

A few things before the Q4 Earnings Season starts

Today, we anticipate the earnings release from major US banks, a crucial sector expected to show a positive earnings growth of +4.3% from last year and a +4.5% increase in revenues.

For the S&P 500 index, Q4 earnings are projected to be down -0.4% from the year-earlier level, despite a +2.2% rise in revenues, following a +3.8% earnings growth in 2023 Q3 on +2.0% higher revenues. This earnings season is crucial for the markets, as it will guide the upcoming quarters and further insights into the viability of the 'soft landing' scenario.

The CPI data is expected to come out higher than last month. The annual number to look out for is 3.2% versus the 3.1% prior. The monthly number is 0.2% versus the 0.1% prior. While we might tick slightly higher, that would still be a positive. As long as we don’t see inflation momentum accelerating higher, the bulls will be happy.

So let's say 3.2% and lower on the annual number is bullish, while 3.4% or higher is bearish. 3.3% can probably be shrugged off. For the monthly data, we do not want to see 0.5% or higher as that would show some reacceleration of inflation.

In other words, if the data continues to show that inflation isn’t making a comeback, than stocks should be able to continue their march toward all-time highs. And it would be nice if the PPI on Friday also showed some cooling.

🌟 Insightful Learning Experience with the Institute of Trading and Portfolio Management 🌟

Embarking on the Mentoring Program at the Institute of Trading and Portfolio Management last year was a game-changer. Learning under the tutelage of industry stalwarts like Anton Kreil and Edward Shek, both former traders at Goldman Sachs and JP Morgan, has profoundly reshaped my approach to trading.

For a glimpse into the depth of knowledge shared, I recommend Anton Kreil's insightful seminar from London last September. It's a must-watch for serious insights into the market and stock picking: https://youtu.be/2poH1G7KlJA?si=6e5eYISYo90K4Ujt

This experience has not only honed my skills but also provided a deeper, more nuanced understanding of the trading world. Truly grateful for this journey!

How to Achieve God Like Trader Status! ITPM Online Educational Program Discounts CLICK HERE;-https://issuu.com/instituteoftrading/docs/itpm-holiday-season-discountprogram-2023Thailand Mentoring Pr...

➡️Key takeaways from the BofA Global Fund Manager Survey (Dec 19, 2023)

- Weaker Global Growth Expectation: 50% of Fund Manager Survey (FMS) investors anticipate weaker global growth.

- Soft/No Landing Predicted: Over 70% predict a mild economic slowdown ("soft landing") or no significant downturn ("no landing").

- High EPS Optimism: Earnings Per Share optimism is at its peak since February 2022.

- Hard Landing as Major Risk: A "hard landing" or severe economic downturn is seen as the top risk for 2024, but only 20% view it as the most likely scenario.

- Crowded Trades:
- Long on "Magnificent Seven" stocks (49%).
- Short on Chinese stocks (22%), with China's real estate seen as the top credit risk.

- Japanese Yen Valuation: A record 73% of investors believe the Japanese yen is undervalued.

- Contrarian Trades for Hard Landing: Long on cash and short on "Magnificent Seven" stocks.

- Trades for No Economic Downturn: Long on commodities, Chinese stocks, Real Estate Investment Trusts (REITs), and short on bonds.