You guys had questions, and I have answers.
In today’s BS.H segment, I go over all the stocks you guys asked me about, running from Netflix and Apple (both strong holds), to COIN, Gold, and clean energy stocks.
Financials are the ultimate cyclical stocks.
And banks are the ultimate financial stocks.
The fact is, I love banks. And I’ve been touting them since last summer – indeed, I was ahead of the crowd on predicting their rebound.
I still chuckle over the good-natured grief I received last year from Fox Business News host Charles Payne when I appeared on his “Making Money” show and recommended financials.)
Today, Charles repeatedly congratulates me for having made that “call” before anyone.
The fact is that – by being ahead of the crowd in making banks stocks a “Strong Buy” – we reaped the big returns that stem from being first.
But if you missed that prediction – or maybe weren’t able to act on it – don’t be concerned: I still see the right bank stocks as big moneymakers for investors.
In fact, my newest call is an updated call on financials, on banks. And you – my Total Wealth followers – are hearing it first.
In yesterday’s TW – as part of our deep-dive look at the cyclical-stock beneficiaries of the strongest U.S. rebound in decades – I promised to bring you a stock play … and this one is a “stone-cold bargain”
Today, I’m keeping that promise.
It’s a stock that’s set to bring you a gain, in my opinion, and based on my analysis, of 50% on your money – and quite possibly more.
As the American economy muscles its way out of the pandemic morass, this is one of the ultimate stocks to buy and profit from as you go along for the bullish ride.
MarketWatch sees the insider selling at sensitive-to-the-economy companies like Carnival Corp. (NYSE:CCL), The Walt Disney Co. (NYSE:DIS), Goldman Sachs Group (NYSE:GS), Morgan Stanley (NYSE:MS) and Yum Brands Inc. (NYSE:YUM) – and views it as a possible warning that “the end has arrived” for cyclical stocks.
Investor’s Business Daily peruses S&P 500 market data and concludes that American Airlines Group (NasdaqGS:AAL) and other cyclicals are “grossly overvalued.”
And Barron‘s hammers the stake all the way into the cyclical story – cautioning investors that tied-to-the-economy stalwart U.S. Steel (NYSE:X) is “one of the most-overvalued stocks in America.”
Nervous Nellies all of them. Sycophantic mouthpieces for a hidebound Wall Street.
Tune them out, I say. They’re wrong.
Indeed, I like all those stocks.
All of them.
In fact, if you don’t own them already, buy them – and I’ll tell you why.
One of my favorite things about trading is taking a reasonable amount of risk on a speculative-type trade and having it pay off… big time.
The key to unlocking big gains is lining up an upcoming catalyst with an options trade that has the right reward-to-risk profile. Some pros call these kinds of trades asymmetric risk trades, but I like to call them “multiplier trades” because they’re trades where the upside is 2x, 3x, 4x, or more than the downside.