Investing megathread extravaganza

[DaFace]

A place to talk about investing stuff.

[Rain Man]

I got into LLY based on honestchieffan's recommendation, and I had a pretty large amount of NVO already. The weight loss drugs are sending these stocks to the moon, and I think the rise is still happening. Anyone else holding these?

[Buehler445]

Originally Posted by Rain Man

I got into LLY based on honestchieffan's recommendation, and I had a pretty large amount of NVO already. The weight loss drugs are sending these stocks to the moon, and I think the rise is still happening. Anyone else holding these?

I'd hang onto it. Apparently they've already filled 9M prescriptions. Link

Hilariously, airlines would save 80M if passengers lost 10 lb. Link

There is also some work showing that Ozempic helps with addiction. That would open up a whole new market that would add a lot of value. https://www.theatlantic.com/health/a...moking/674098/

[Rain Man]

Originally Posted by Buehler445

I'd hang onto it. Apparently they've already filled 9M prescriptions. Link

Hilariously, airlines would save 80M if passengers lost 10 lb. Link

There is also some work showing that Ozempic helps with addiction. That would open up a whole new market that would add a lot of value. https://www.theatlantic.com/health/a...moking/674098/

Wow, I hadn't read about the addiction stuff.

I've been reading that they can't make the stuff fast enough for all of the people who want it. That's a good forward indicator for revenues. I have a policy about how much money I'll put into any one stock, so I won't buy any more, but I'm riding both of those companies up and I don't see why it won't continue, barring some bad side effect discovery that seems unlikely at this point.

[Peter Gibbons]

Originally Posted by Rain Man

I got into LLY based on honestchieffan's recommendation, and I had a pretty large amount of NVO already. The weight loss drugs are sending these stocks to the moon, and I think the rise is still happening. Anyone else holding these?

Yes - Holding LLY. Mounjaro has been a profit rocket for them and it is expected to get FDA approval for weight loss (currently only approved for type 2 diabetes) in December. I expect that sales will really explode when that happens. They have also been building a new site to assemble auto injector which will more than triple their total capacity today.

[BigOlChiefsfan]

Ammo prices are jumping as head-sniffin' Joe sends planeloads to Israel. Ammo maker stocks might deserve a long look. Story is 'outdated' but still names some names/

https://investorplace.com/2020/09/3-...S%3A%20POWW%29

[Stewie]

I had a CD mature yesterday and needed to reinvest. It was 9 months at 5.25.

It's been a while since I looked at rates, but they keep going up. I've been laddering but at this point that might not be the best strategy.

Moved that money to a 3 month 5.55 CD.

I just feel that CD rates are going to climb. Heck, long term CDs are north of 5%.

[lewdog]

Blood bath!!!!

[Rain Man]

Originally Posted by Stewie

I had a CD mature yesterday and needed to reinvest. It was 9 months at 5.25.

It's been a while since I looked at rates, but they keep going up. I've been laddering but at this point that might not be the best strategy.

Moved that money to a 3 month 5.55 CD.

I just feel that CD rates are going to climb. Heck, long term CDs are north of 5%.

I've been buying them hand over fist. Fidelity's brokerage is great about finding great rates, often with little local banks. My latest is a 5-year CD at 5.75 percent. I'm liking that a lot.

[EPodolak]

I've been thinking seriously about moving money from a bond ETF that I've held over a decade to a long term CD. The bond yield and CD rates are similar at this point, but it would be great to lock it in with a CD.

[Stewie]

Originally Posted by Rain Man

I've been buying them hand over fist. Fidelity's brokerage is great about finding great rates, often with little local banks. My latest is a 5-year CD at 5.75 percent. I'm liking that a lot.

Fidelity is great. I consolidated my retirement accounts into one Fidelity account. Well, two accounts. One traditional and one Roth.


They make it very easy to shop and compare investment opportunities.



I had a TD Ameritrade retirement account that I closed and moved to Fidelity. TD was horrible when it came to finding investments that met my needs, so I moved. Since then they've been bought by Schwab and from what I've read they are bankrupt, or close to it.

[Buehler445]

Wasn't sure exactly where to put this, but I thought it was an interesting tidbit. Came in an email I got.

But....Yikes

General Motors has engine trouble.

In its third-quarter earnings report Tuesday, the legacy carmaker announced a smidge of good news encased in a truck ton of bad news. While both net income and revenue beat analyst expectations, profits were still down 7% from a year ago, and the ongoing United Auto Workers’ strike is eating away at cash flow. Oh, and its electric vehicle targets may have been wildly optimistic. And did we mention the woes of its self-driving car unit?

Detroit Flop City
The good news is that GM generated about $3.1 billion in profit in the quarter. The bad news is that this concludes the good news portion of our story. The UAW strike, which began September 15 and only comprised two weeks of its 3Q, has cost the company about $800 million in pretax earnings so far, it says, or roughly $200 million a week in lost vehicle production. Even worse: the union celebrated the earnings call by beginning a strike Tuesday at an SUV plant in Arlington, Texas, one of the company’s biggest profit centers.

Unfortunately for GM, its present woes may be speed bumps compared to the giant potholes in its future. Like much of the industry, GM has for years been touting EVs as the future of its business. But GM is now realizing that the future may be more far-flung than expected. In its earnings call Tuesday, the company was forced to make an embarrassing public U-turn on its previously announced near-term EV targets:

• In 2021, GM said it would phase out nearly all internal combustion engine vehicles by 2035, and later said it would produce 400,000 EVs over a roughly two-year stretch ending next summer. On Tuesday, the company abandoned that goal.

• That comes after news last week that it was delaying the opening of a Detroit-based EV truck factory by a year. CFO Paul Jacobson said Tuesday the walk-back of the 400,000-EV goal reflects slowing EV sales growth, as high-interest rates turn car buyers away from the pricey green alternatives.

GM also saw a 42% decrease in income from China, where it usually does solid business, due to a surge in China-based EV rivals.

Bye, Robot: As if GM needed any more negative headlines on Tuesday, the state of California’s DMV said it’s revoking the operating permits of Cruise, the self-driving taxi business in which GM has a majority stake, following a series of high-profile incidents. Now even robot drivers will be hating on the DMV.

[ChiliConCarnage]

Also,

Honda's CEO, Toshihiro Mibe, unveiled the decision, stating that after a year-long analysis of the project, it became apparent that producing affordable EVs with GM would pose significant business challenges. The two companies had agreed in April 2020 to develop a new architecture based on GM's Ultium EV battery, primarily for small crossover sport utility vehicles (SUVs). The first fruits of this partnership were slated for North American roads by 2027.

The alliance aimed to accelerate the reduction of battery costs, hoping to rival market leaders Tesla and BYD in both price and performance. The intention was to leverage GM's expertise in battery technology and Honda's manufacturing prowess to carve out a competitive space in the burgeoning EV market. However, changing business dynamics, including escalating costs related to the United Auto Workers strikes, prompted a reassessment of these plans.

[Rain Man]

This past quarter is kind of depressing. I thought we were going to make up the 2022 losses and then get back on a reasonable track, but I guess I'll learn to like the taste of cat food in retirement.

[scho63]

This is one of those markets that people who have never witnessed a Bear market keep thinking the market will turn around and keep investing as stocks just keep dropping.

I haven't made any new investments for several months. I see some nice entry points as some things are really getting cheap.

[ChiliConCarnage]

Originally Posted by Rain Man

I got into LLY based on honestchieffan's recommendation, and I had a pretty large amount of NVO already. The weight loss drugs are sending these stocks to the moon, and I think the rise is still happening. Anyone else holding these?

I'm interested in the opposite. Is anyone picking through the parts of the market getting killed due to any news on this?

A few weeks back some kidney study came out that showed good efficacy and it took down the whole medical devices ETF 5+% in a day. They'd already been slowly dying all year. I imagine there is plenty of stuff in that area that won't be impacted at all, the stuff that is impacted who knows how much.

Same with a lot of the consumer staples. They've been out of favor this year, safety and dividend yielders did well last year and this year has been growth/tech. Walmart had some internal study that showed smaller basket size with a different mix for people on the weight loss drugs. Walmart, costco, pepsi, and most non-health foods dropped a bunch that day. Some of the staples have gotten cheaper than they've been in a while relatively and I've noticed they're holding up better than the market. MKC and MDLZ are examples. Hershey was too as it's been killed this year w/ high cocoa and sugar prices but it had earnings today and dumped.