Here’s Another Two Stocks to Watch

I am going to bowl over you now, as the market barrels lower — my shit will propel higher.

I already booked a one day +37% win in AMBO. Now I’m buying two new stocks. Going ahead and watch them trade on your computers. Do not buy them — because you’re scared and spineless.

The first is BOX. This is revered by all SAASFAGS and the stock is heading sideways into $28, soon to bust loose like the Kool-aid guy into $30. All SAAS stocks in their $20s trade into the $30s. It practically written in stone.

The other is far more riskier and could lead to complete disaster in your wife’s IRA. It’s a Chinese Burrito — ticker is NEW. It’s a piece of shit — but barreling higher.

I bought them high and intend to sell them even higher.

I blew out of AMBO this morning, in spite of my high expectations for the continued surge in said price. By doing so, I booked a 37% one day returns.

Current streak is now 29 of 30.

Fortunately for me, I moved to a heavy cash position on Friday and now have 75% of my account in King Dollars eagerly and feverishly awaiting to be redeployed. Futures are off by more than 200, based off Trump’s tariffs that we already knew about, which were nothing-sauce then, and still are nothing-sauce now.

The Nasdaq forked higher by more than 1% last week, an annualized return of more than 52%. It should come as no surprise by anyone of you here that stocks are taking a breather today. However, I’m prepared to buy dips, and you should too, because nothing can stop the onward march of gilded prosperity, no matter how hard they try.

I have a few ideas boiling on the surface, which of course will be discussed and plotted upon inside the comfy confines of Exodus.

Good luck.

Last year I published two books about my days swashbuckling through the dot com era, going from rags to riches and right back to rags. They are books of the most distinguished varietal and I only tell you this because many of you have no idea I’d written them. As you know, I am a very humble man and shy at the specter of self-promotion. But these two books were written with grit, lots of mud and charred pieces of bacon, and hard whiskey. They are books befit for men, and also women who fancy themselves as men.

“The Fly” does not discriminate.

Do yourselves a favor now and buy the printed versions of these fine pieces of historical literature, before I raise the prices to $1,000 per copy and make them scarce. They’re also donned with RARE ART, which might become splendidly valuable in the future.

BUY LITERATURE HERE.

Off to smoke a cigar, and act like a man.

Well I suppose that’s somewhat insensitive to the women who’ve recently become men and now enjoy their beards and the many ardours of being a Father. Gone are the days of doing dishes and making Tommy a peanut buttered and jellied sandwich with a tall glass of milk after school. Now, since you’re a Dad, you have to clean the garage, sit on the couch and watch football, and drink beers and smoke cigars with your friends.

This shit here is hard work, so get used to it.

We have a lot of fun on these internets and I’m sure the vast majority of your wives hate Le Fly with extreme passion, for forcing you into a lifetime of wanton gambling and rap music degeneracy. However that may be true, always know that I mean well and only want you to become half alcoholic degenerates. The other half should be upstanding gentlemen of the first order, catering the whims of your loved ones, only smoking cigars and pipes in the long hours of the evening whence the children are fast asleep.

Enjoy the day gents and new gents alike. Eat hearty and plenty of bacon and hot black coffee, for tomorrow there’s work to do here — trading to and fro in the most ridiculous stocks known to mankind.

On a side note, my fucking coyote only wants to go out to eat worms off the pavement now. She has zero interest in the grass and couldn’t care less about defecating anymore — just worms — 24/7. She’s become a fucking retarded dog, seemingly overnight.

Tips hat,

Fly

Lots of chicanery took place in the IPO markets the past decade. Reason being: the private markets are way overvalued. The valuations enjoyed in the private markets aren’t the same as the public. As such, when hot IPOs come public, they’re often destined to fail, almost designed to.

Let’s take Shake Shack as an example. This is the preeminent fast food growth story in the country, especially now since CMG is in rebuild mode.

When SHAK came public, there was a lot of excitement around the shares. But the average layman had no idea how to value it — because, more or less, valuation is rarely if ever talked about on the dominant financial news channels.

Look at how they gunned the stock higher upon coming public.

$96 in April and by the time the ball dropped on New Years, the stock was at $30. For retail, this was a catastrophic decline, one that ruined an entire year’s returns for those who were overweight.

But all you had to do was look at the price/sales valuation against its peers to know, without question, the stock was in a dangerous price level to own. Wall Street is obsessed with peer comparisons. They always have been and always will be.

In 2016, SHAK was trading 8x sales. The hottest restaurant stock at the time was CMG — trading at 5x sales.

People gave up on SHAK, only because of the share price underperformance. But what they failed to acknowledge was that SHAK’s business was doing great. The only reason why the stock was flat to down was because it was ‘growing into’ its valuation. It was getting to a place where it could be owned, based off future expectations. This all materialized in the beginning of 2018 and now the stock is +50% for the year.

Now if you look at a price to sales chart, you see that WING is the outlier. SHAK is near the top, but no longer an outlier. The stock is up and the revenue growth has supported that increase in value. Providing the company can keep growing, I see no reason why it can’t continue higher. In theory, if SHAK grows revenues by 30% next year — the stock should increase by another ~30% — eventually heading back towards all time highs and more.

Don’t believe me? Look at the trajectory of DPZ over the years. Stocks increase in value due to either multiple expansion, which is a whole different topic, or market cap growth in line with revenue growth or earnings growth. In the case with mature companies who are past the hyper-growth phase, like DPZ, PE’s and FPE’s are how you’d measure the stock. Look at DPZ, +380% over the past 5 years, 300% greater than the SPY — yet the PE is virtually the same. The increase in price is supported by the increase in earnings. These earnings were created by technology and efficiencies established by management.

And the money shot.

For those waiting for the Exodus email detailing my process in finding momentum stocks, I will be sending it out tomorrow, as I enjoy my Father’s Day breakfast and coffee.

Get out there and enjoy the weather.

Many have tried, zero have succeeded.

Long from $4.70

Happy Father’s Day lads. Have a pint on me and smoke a good cigar, and eat a big fat steak — because stereotypes are cool and it’s your job to live up to them.

I shouldn’t have to remind you of this — but quit freeloading and join the league of gentlemen at Exodus. Trades are off the fucking hook. We’re literally halting stocks for trading due to buy imbalances.

A new era has dawned upon iBC.

Off to pop a bottle of Champagne and spray the contents at, much to the annoyance, of Mrs. Fly’s general direction.

This is space alien magician type returns.

I cleaned out most of my trading positions — moved to a 75% cash position in my active account. Bear in mind, this isn’t the bulk of my funds. That is in my quant account — because I’m not this degenerate and I know all good things eventually end and die.

However, seeing that I’ve been unusually prescient and my gains obscenely large, I opted to take the Ws and avoid the possibility of any Ls on my ledgers.

Here is the running tally now — 28 wins out of 29 booked trades. You cannot stop me, ever.

PS +20%
SOGO +16%
MDB +12%
PVTL +13.5%
QD -3%
SSTI +7%
HUBS +10%
IQ +32%
BITA +4%
SMAR +26% (doubled up)
ZUO +21%
BILI +12% (doubled up)
HUYA +19%
OSTK +2.7%
BILI +20.5%
CBLK +16%
EVBG +7.2%
APPN +9%
ZEN +6%
CLPS +104% (1 hr hold)
BL +2%
PS +4%
SMAR +4.8%
APPF +0.15%
FIZZ +16%
SHAK +12%
YEXT +12%

This is getting absurd.

Booked the trade at $11.45, long from $5.60 — just prior to the close of trade yesterday. Exodus members rejoice.

With the proceeds, instead of shying away from risk, I thrusted myself into an even dumber stock. A new Chinese education play, ticker is $AMBO.

Think LAMBO but without the L.

I’m in at ~$4.70s.

We don’t take L’s.

I’m now 21 for my last 22 booked trades.

There is nothing here to worry about — because markets haven’t cared about fundamentals since 2011. It’s a Friday and we had a great week of speculation. Expect drawdowns after feverish rallies.

But, we’re not done making money.

Go check your quotron for a bid/ask on CLPS — +60% pre-market.

Indeud.