Exits, 2/17/2024
How we did on the trades we exited this week.
Dids/Pexels
This Week’s Trade Exits
As soon as I exit a trade, I note that in the comments of the post where I first mentioned the trade; at the end of the week, I try to track them all in one post. These are the trades I exited this week:
Stocks or Exchange Traded Products
Super Micro Computer (SMCI -21.21%↓). Bought at $507.40 on 8/25/2023; stopped out at $1,826.88 on 2/16/2024. Profit: 232%.
Options Trades
Call spread on Coursera (COUR 0.00%↑). Entered at a net debit of $0.75 on 1/31/2024; expired worthless on 2/16/2024. Loss: 100%.
Put spread on DraftKings (DKNG 0.00%↑). Entered at a net debit of $0.47 on 2/15/2024; expired worthless on 2/16/2024. Loss: 100%.
Put spread on The Trade Desk (TTD -0.83%↓). Entered at a net debit of $0.48 on 2/15/2024; expired worthless on 2/16/2024. Loss: 100%.
Call spread on QuantumScape (QS 0.00%↑). Entered at a net debit of $0.35 on 2/14/2024; expired worthless on 2/16/2024. Loss: 100%.
Call spread on Shopify (SHOP 0.00%↑). Entered at a net debit of $0.40 on 2/12/2024; expired worthless on 2/16/2024. Loss: 100%.
Put spread on Tempur Sealy (TPX 0.00%↑). Entered at a net debit of $0.82 on 2/7/2024; expired worthless on 2/16/2024. Loss: 100%.
Put spread on Wyndham Hotels (WH -0.31%↓). Entered at a net debit of $2 on 2/14/2024; exited at a net credit of $0.43 on 2/16/2024. Loss: 79%.
Calls on Inozyme Pharma (INZY -1.22%↓). Bought at $0.90 on 9/19/2023; sold at $0.65 on 2/16/2024. Loss: 28%.
Put spread on GoDaddy (GDDY 0.00%↑). Entered at a net debit of $0.43 on 2/13/2024; exited at a net credit of $0.55 on 2/14/2024. Profit: 28%.
Call spread on Topgolf Calloway Brands (MODG 13.33%↑). Entered at a net debit of $1.20 on 2/13/2024; exited at a net credit of $1.65 on 2/14/2024. Profit: 38%.
Call spread on Principal Financial Group (PFG 0.00%↑). Entered at a net debit of $1.15 on 2/12/2024; exited at a net credit of $2.34 on 2/13/2024. Profit: 103%.
Comments
Stocks or Exchange Traded Products
Our core strategy of buying the Portfolio Armor web app’s top names and holding them until we get stopped out, and then replacing them with current top names continues to perform well, as evidenced by our 232% return on Super Micro Computer (SMCI -21.21%↓).
Options Trades
February 16th was a big options expiration date, so some of our losses were from trades placed a while back, but even limiting it to this week’s entries, it wasn’t a good week for us. Not just because of our losses, but because we missed out on what would have been a couple of big winners. Coinbase (COIN 0.00%↑) had a bullish composite score of 2.4 heading into earnings. I was going to post a bullish bet for it, but the stock ran up about 10% ahead of earnings, so I didn’t. It finished the week up ~27%.
Coinbase (COIN) (2.4)
Social data: +25
PA Options sentiment: Extremely Bullish
Setup rating: 3
Valuation rating: 2
F-Score: 5
Recent insider transaction(s): A large open market purchase last May, but overall net open market sales peaking in December.
Zacks ESP: 108.33%
Zacks Ranking: 3
RSI: 54
Short Interest: 9.29%
Another one we missed was Tripadvisor (TRIP 0.00%↑). It had a composite score of 3.5, but I passed on it because neither social data nor options sentiment were bullish on it. That may be the last time I do that. TRIP finished the week up ~23%.
Tripadvisor (TRIP) (3.5)
Social data: -22
PA Options sentiment: Neutral
Setup rating: 1
Valuation rating: 5
F-Score: 5
Recent insider transaction(s): No open market transactions in the last 12 months.
Zacks ESP: 0%
Zacks Ranking: 3
RSI: 75
Short Interest: 6.04%
As always, the 5-day returns for all of the stocks we researched this week will go into our spreadsheet, along with each of our ten metrics for them, and we’ll adjust the weightings we give each metric by the results. So, for example, all else equal, the 27% return for COIN this week will cause us to give a stronger weighting to “Extremely Bullish” options sentiment next week.