You can only hate and love so much. The love for the cyclicals is so extreme that they have received valuations normally reserved for the Nvidia's (NVDA) of the world. By the Nvidia's? Who knows. Nothing going on until the Arm deal is scrapped or completed.
The craziest thing though, is Costco (COST) , which got a key upgrade this morning from Wells Fargo. I was shocked to see that Costco's stock had given up all of its "essential" gains and how nuts that it.
I get that some chains may not have picked anyone up while they were open and the small places remained shuttered. But Costco is a club, for heaven's sakes, and that means Costco picked up more than a million new members in this stretch. Not only that but Costco is now going to start opening new stores which is another source of fees, a chief reason why we own it for Action Alerts PLUS.
Now the other side is bizarre, too. We love Disney (DIS) , own it for the trust, but it is vital that Disney+ keep growing, the parks come back hard, and, most important, Disney used this time to rationalize, something it needed to do because it had too many people working for it.
I also get the industrials. Yesterday Berkshire Hathaway (BRK.A) (BRK.B) released its monthly rail figures and they were plus 9% which is extraordinary for this moment in time especially with the port long jam out west. But there's plenty of auto business and the energy business is strong, too. Hard to imagine you can be big enough.
I am still thrown by how poorly United Parcel (UPS) acts. The sellers there are relentless. What do they know?
I am betting nothing.
The missing piece of the puzzle is the mid-size banks. How do you value them? Or do you accept that they should never be as down as they were.
Oh and, of course, there's the to-the-moon stocks. With Cathie Wood (ARKK) getting her mojo back and Tesla (TSLA) being oversold, it's easy to see how fan fave Palantir (PLTR) can come back hard. AMC (AMC) ? A little more difficult but if it is the only movie theatre in town there's the possibility. Express (EXPR) ? I mean the mall's coming back but I prefer to play that with Simon Properties (SPG) .
What else with the diamond fists, my term for the determined holders of GameStop (GME) ? It is difficult to believe that anyone who owns it will want to sell it now that Ryan Cohen is getting his grand scheme ready. Will it be paintings of you playing video games if you order equipment from the company, you know Corsair (CRSR) and Logitech (LOGI) and the boxes? How about if they write you nice notes thanking you for joining the club? How about if club members get free delivery of Nvidia cards to mine Ethereum? You tell me that these aren't the musings of the man who co-founded Chewy (CHWY) ? The diamond-hander-to-the-mooners would prefer that Ryan keep the plans a secret. The longer the better.
Me, as a satisfied Chewy holder, I just want to get my gaming picture so I can frame it. Maybe put me in a Grand Theft Auto video or have me winning Call of Duty? I mean come on, you tell me that Ryan hasn't posited that? I think he's coming out hard, with real ideas that are going to monetize those who are shareholders like Roblox (RBLX) , which has a lot of users as shareholders.
The most important thing if you are a GameStopper is that you have to ponder how Unity (U) is worth $29 billion and Activision (ATVI) is worth $79 billion. Can't the Robinhooders take from the rich companies and give to GameStop? Why not? Dave Portnoy has an impassioned plea to buy Penn National (PENN) so you can get a yacht. Why not two yachts with GameStop: his and hers.
Hey, just an idea.
I have been thinking about ways that GameStop could be the next Tesla and I keep coming back to the mining and cannabis store: everything you need to mine and grow (like GrowGeneration (GRWG) ) crypto and pot. It might also be the place where you can buy fully loaded T-Mobile (TMUS) phones, once with Activision Blizzard, Take-Two (TTWO) and EA (EA) as well as Barstool, DraftKings (DKNG) and PayPal (PYPL) or Robinhood: your gaming, gambling, investing and bitcoin saving home.
Damn, Ryan, put me in.
Give me the ball!