Amazon is flirting with all-time highs & Apple might break out
The tech giants might have a strong July
The List of stocks for June 23 – 29, 2021
See historical performance
The summer sale on Apple & Amazon stock is almost over
I don’t really have too much to say about the market this week. So far, the predictions about Friday pullback on ‘quad witching’ came true but then the pain went away with a strong start to this week, which was counter to most fo the predictions that I had seen.
Somewhat quietly though, two heavyweights in big growth tech have been posting gains week-over-week and they might be ready to break out. If so, this might be your last chance to get them on a discount.
Both names had previous periods of rapid growth only to then flatline for months on end. If you’re heavily invested in passive S&P funds then you probably don’t need to do much since they are a huge chunk of the index. But if you had planned on increasing your position in either company soon, now might be the time to do it.
Amazon is investing externally too
Another way to play the growth of Amazon (AMZN) is to look towards some of their investments such as fuels in Clean Energy Fuels (CLNE) or in ‘high-autonomy’ software for trucks in Plus (HCIC).
These companies are high-risk investments in truck autonomy and clean fuels but with Amazon having an ownership stake, they might scale up rapidly due to the partnership. And should Amazon push further into the ‘logistics-as-a-service business’ like they did with cloud, then these two companies might be the big winners.
Marketwatch: Clean Energy Fuels stock soars after supply, equity investment agreements with Amazon
Benzinga: Amazon Paying $150M For 20% Stake In Plus And Buying 1,000 Trucks
Shopify is also running hot recently
Similar to Amazon, Shopify (SHOP) has also been gaining ground rapidly over the past few weeks.
While it’s possible they are simply rallying alongside the other growth tech names, there were a couple articles this week that caught my eye.
Fool: Shopify Is Expanding Its Augmented Reality Ecosystem
Peloton digging out of their lows, hopefully
A few pieces of positive news have come out recently on Peloton (PTON). One announcement, a move into corporate wellness, drove up the stock price yesterday by 8.38% to $117. Apart from this news, the stock has been mostly flat for the past month.
CNBC: Peloton launches corporate wellness program and Peloton CEO interview
According to Bloomberg, they may also be on the verge of launching some new products such as heart-rate monitoring armbands. They had acquired a company called Atlas wearables previously so this makes sense.
It seems like many investors still don’t like the valuation of Peloton but it might just a matter of perspective. If you see them only as a “home fitness bike maker”, then it’s overvalued. However, if you see them as a fitness-focused tech company, then it’s a much bigger market that they could conquer. Then this is just the beginning.
CNBC: Peloton reportedly venturing into wearables market with digital heart rate armband
Notable upgrades
SoFi (SOFI) was upgraded to a $30 price target and is also continuing to launch their own new & inventive ETF products such as Social 50, tracking the most popular stocks on Robinhood.
TheStreet: SoFi Climbs on Rosenblatt’s Buy Initiation and $30 Price Target
Nvidia (NVDA) got a big upgrade to a price target of $854. I watched the stock price rise from ~$611 to $750 in a blink so I definitely wouldn’t bet against them.
Fool: Here’s Why NVIDIA Stock Popped Today
Butterfly Network (BFLY) started getting analyst coverage with a price target of $20. They make handheld ultrasound devices that connect to a phone and sell a monthly subscription to the service.
Fool: Why Butterfly Network Stock Flew Higher Today
Notable wins
AMD (AMD) was chosen by Google for their cloud data center chips. This would appear to benefit AMD and hurt Intel (INTC).
Reuters: Google’s cloud taps AMD for new service as chip wars heat up
Nio (NIO) won the German Red Dot Product Design award for their new ET7 Sedan. This does not surprise me. Having personally sat in Nio’s current lineup of cars, they are extremely nice.
Benzinga: Nio’s ET7 Sedan Snags Red Dot Product Design Award
Spare Change
Here I list some long-shot names & ideas that you should only put small money into. Sometimes winners, sometimes losers, always exciting.
Psychedelics are on the rise & one is a Thiel-backed IPO
It may still be a few years out, but in certain circles, there is a renewed and growing interest in the use of psychedelics for certain therapies such as depression or post-traumatic stress disorder.
While there are a few public companies, one recent IPO stands out since it was backed by Peter Thiel, a prominent tech investor, cofounder of Paypal (PYPL) & Palantir (PLTR).
The company is a German biotech firm called Atai Life Sciences (ATAI). The Reddit Wall Street Bets crowd was interested in this industry before and was also interested in Palantir so it’s possible that they might jump into this name at some point.
CNBC: Peter Thiel-backed psychedelic start-up’s shares pop in Wall Street debut
Catch you next week.
-B
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