Market 2018-02-26 (Lithium, ULTA, and more)

Stock market continues its rally today, lead by Tech (QQQ +1.3%). Utilities Sector is left behind again. There is no particular news.

All Dow Jones (+399.28) companies finish green except KO lost $0.01/share.

Nasdaq is only 1% shy from all-time high now. It may test that shortly.

Commodities: Crude +0.63% to $63.95. Gold +0.35% to $1,335.00. Treasury yields and US dollar are nearly flat.

Winners

There are a lot of big gainers, which I don't have to point out.

Losers

LIT -3.4%, as ALB -7.3%, SQM -8%. MS is forecasting lithium prices to plunge 45% by 2021. Stanley says new lithium projects and planned expansions by the largest producers in Chile “threaten to add” ~500K metric tons/year to global supply by 2025. This is ridiculous. With more wearable and electric car demand, especially in China, on top of all the inflation going on globally, it is hard to imagine lithium price crushes. I think it is buying opportunity.

ULTA -4%. The stock price is -11% YTD, and down more than 1/3 from all-time high last June. I initiated my position today. Next ER will be on 3/15 post-market.

MOMO -4.3%, YY -2.9% drop after the big jump last Friday. YY will have ER on 3/5, MOMO on 3/13.

 MAT -3.4%: Jefferies downgrades Mattel (NASDAQ:MAT) to an Underperform rating from Hold on concerns over the company's risk profile.

Earnings in AH


  • PANW ER beats, revenue +28.3% Y/Y, upside Q3 guidance. Shares +5.3% in AH.
  • FIT Q4 earnings missed on top and bottom lines and the company issued dim guidance for the current quarter and year head. Shares -11% in AH.
  • American States Water (NYSE:AWR): Q4 EPS of $0.35 misses by $0.02. Revenue of $104.2M (-2.4% Y/Y) misses by $16.83M. Shares -8% in AH.

My Trades Today


  • Day-traded KBR ($14.6 --> $15.2)
  • Sold P @ $4.5
  • Sold BGS @ $32
  • Bought ULTA @ $198.8

Earnings Tomorrow


  • pre-market:   AMT, M, SEAS
  • post-market:  CPTA, ESRX, PCLN, TIVO

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