We have made some changes in our Ticker Target High Growth portfolio today, March 6th. We sold our position in Elastic. The sales price for the position was $ 66.19. That netted $45,330. Elastic’s operational performance has simply been disappointing. The technology is great, but the company has had a difficult time in converting a…
Why consider Elastic shares now? It has been more than a year now since high growth IT shares reached their recent peak. Since that time, valuations have crashed, and growth expectations have moderated…but long term growth estimates really haven’t changed and the cadence of free cash flow improvement has accelerated noticeably. So, there is plenty of…
How should growth investors position their portfolios to deal with the impending recession Whether the NBER or the president chooses to acknowledge the reality, a recession is either here or shortly impending. It is not, perhaps, a typical recession, but then there is really no such thing as a typical, i.e. inventory based recession any…
While most quarterly earnings reports of high-growth software companies have been followed by notable share price declines, there has been at least some faintly positive reactions to the strongest quarterly reports that are judged to be without blemish. The 3 names I am going to review in this post have been able to either buck…
This past week is one that I might wish to see blanked out on the calendar. The panic mentality that has ruled the market for high-growth IT names had its ups and downs over the course of the week. But investors continued to shun high-growth names. The casualty report from the stock market front has…
I am sure that subscribers will recognize that the last few days have seen a rather substantial pull-back in high growth tech names. Some losses have been greater than others. None of the valuation contraction has been based on some particular changes in the outlook for growth names, or their overall operational performance. We will…
After several days of risk-on bias, the market has reversed to some degree, today, Thursday, August 26, 2021. As I write this, the Nasdaq Index has declined by about 0.64%. That is about the same as the change in the S&P. The Cloud and Software indices are performing a bit better and were both down…
High Growth tech names have depreciated sharply since the start of the sector rotation in mid-February. Most names have lost more than 20% as investors have fled the space-supposedly fearful of rising interest rates brought on by expectations of higher inflation. The flip side of this, is that companies in the space have seen a…
Several subscribers have asked me to comment about the share price implosion in the IT space this past week and what names can be bought to take advantage of this panic. I do think that this is a panic that presents some opportunities for subscribers with spare cash. The concept of this panicis is that…
The last few trading sessions have seen a rather significant reversal of investor preferences. Risk-off is ruling investment sentiment and has pulled down many high-growth IT names by as much as 20% in a few days. Losses, as is typical in a panic, have been fairly indiscriminate although the names with the highest EV/S valuation…