Boston Scientific (BSX)

Earnings are due from Boston Scientific  (BSX) on Tuesday morning. The stock is fully priced here after a nice run since last October. For now, we would not recommend in front of earnings. 

bsx

The Week Ahead

1.Geopolitical and Fiscal Events. Monday sees Japanese Prime Minister Shinzo Abe visit the U.S. Wednesday sees the Federal Reserve end its latest two day meeting. Friday sees Federal Reserve San Francisco President John Williams speak on monetary policy in the financial markets.

2.Economic Releases. Releases of note this week include the weekly chain store sales, oil/gas numbers, mortgage applications and consumer confidence, GDP, personal income, Chicago PMI, construction spending, ISM Manufacturing and Michigan Sentiment.

3.Earnings Releases. Notable releases include AAPL GGP PFE MRK MA BIDU XOM V CVX CVS.

Weekly Charts Updated

 

We are going to continue making Thursday our chart section in only Superstock. That said, we are changing the format. If you want to follow the S&P 500, then you will need to sign up for www.superstockinvestor.com at the website. Each week in Superstock we track the S&P 500, NASDAQ Composite, Russell 2000, Emerging Markets (EEM), 20 Year Treasury (TLT), U.S. Dollar (UUP), High Yield Bonds (HYG) and Corporate Bonds (LQD). This alone is worth the price of the service as signals on the NASDAQ Composite returned 15.65% versus the index return of 18.93%.

 Last week we focused on Intel (INTC) that potentially looked good as it was approaching the 0 line. It is lower by $0.13 week over week and is still close to breaking out. We remain hopeful.

 intc

 This week we look at Cree (CREE) that deteriorated over the last several weeks and today crumbled on weaker earnings. If you do not respect a break into the red, then be prepared to pay a steep price.

cree 

 

Microsoft (MSFT)

Microsoft (MSFT) will report earnings tomorrow after the close and estimates are $0.53 versus $0.68. Earnings growth is anemic but the stock price is $3 below the current price target. If you want to buy this name in front of earnings, then we would be a half position or buy the stock and a put. 

msft

Qualcomm (QCOM)

Qualcomm (QCOM) will report earnings tomorrow after the close and estimates are $1.34 versus $1.31. Earnings growth is anemic but the stock price is well below the current price target. If you want to buy this name in front of earnings, then we would be a half position or buy the stock and a put.

 qcom

Portfolio Update

The S&P 500 is higher than a week ago despite Friday’s pullback. The Nasdaq Composite is trying to close above 5000. The portfolio remains 50% invested long, 0% short and 50% in cash, net long 50% with profits taken most recently in Red Hat(RHT). We are now at a value of 1004.47% from 1001.47% through Monday’s close. We finished the year at a value of 951.10 up 29.86% for the year. Our current value is 1004.47% which puts us up 4.93% for the year.

Below are the year by year results on a cumulative and absolute basis: 

ssi ytd

It appears for now that 2100 on the S&P 500 has become resistance and 2050 is support. We are now at 2100.40 which is higher from a week ago. A big test for the week is to see if it can clear 2100 and stay above the level for several days if not a week or two.

Remember these returns are total returns with the average change for all winners and losers is 8.93% per idea. Our batting average of closed winners and losers is 72%. The portfolio is up to a value of 1004.47% and from inception when it began at 0% in April of 2008. The performance on the Uncommon Wisdom Daily Portfolio Tracker is a bit higher due to dividends which they add in. We have never added in dividends so our weekly results are understated since 2008.

The Russell 2000 is still beating the S&P 500 on a daily basis.

Gilead Sciences (GILD)

Gilead Sciences (GILD) will report earnings tomorrow after the close and estimates are $2.28 versus $1.48. Earnings growth is strong but the stock price is above the current price target. For now, we would wait until after earnings and hope for a pullback to buy this name. 

gild

The Week Ahead

1.Geopolitical and Fiscal Events. Monday sees Greece’s Foreign Minister meet with U.S. Secretary of State Kerry. Friday sees Greece face a deadline to create reforms to unfreeze monetary aid.

2.Economic Releases. Releases of note this week include the weekly chain store sales, oil/gas numbers, mortgage applications and existing home sales, new home sales and durable goods.

3.Earnings Releases. Notable releases include STI HAL DD YHOO MCD BA MO DOW BIIB TYC.

Stock Scorecard: Lam Research (LRCX)

Lam Research (LRCX) will report earnings tomorrow after the close and estimates are $1.30 versus $1.26. Earnings growth is rather anemic and the stock price is above the current price target. Given the recent weakness in the semiconductor space, we would be a seller in front of earnings. 

lrcx

Chemed (CHE)

Chemed (CHE) looks like an interesting short idea to me. The price target is almost $18 lower. Earnings growth is weak at 6.3% with a forward P/E of 17. Technically the stock is looking worn. 

che