What I Am Buying Today.

[fenders53]

(10-08-2021, 10:14 AM)vbin Wrote: Most of the pharma, healthcare is undervalued. Cah, bmy, ci. These companies generate great cash flows. At these levels, it would be great if they come up with buybacks.

May be better saved for an actual market dip.  Buybacks draw the ire of politicians for sure.  Charge too much for drugs and pay the shareholders.  In any event you are correct about the cashflows.  Worst case they pay off some debt and things will look better some month soon.  I am a lot more patient because I don't worry about the dividend.    

Added 50 shares of BMY, still buying back puts I sold.  That game continues to work except for these falling knives like BMY.  

[vbin]

Has there been a bad news about bmy? I am thinking to sell a put.

[fenders53]

(10-08-2021, 11:11 AM)vbin Wrote: Has there been a bad news about bmy? I am thinking to sell a put.

A couple of trials fails including one this week.  Some price target reductions from brokers.  Stock was flat before that.  Just nothing to wake it up lately.

[stockguru]

(10-08-2021, 11:11 AM)vbin Wrote: Has there been a bad news about bmy? I am thinking to sell a put.

Lawsuits and lack of coming through on drugs . I will wait for mid 40's to buy.  It's a falling knife now 

[kblake]

(10-08-2021, 11:35 AM)stockguru Wrote:

(10-08-2021, 11:11 AM)vbin Wrote: Has there been a bad news about bmy? I am thinking to sell a put.

Lawsuits and lack of coming through on drugs . I will wait for mid 40's to buy.  It's a falling knife now 

CNBC just said sell and Jim Cramer club has sold all shares today. Earnings miss coming and guidance will be dismal as trials fail.

I agree this thing could see 40"s before it bottoms. 

[kblake]

I added some VNOM, NUE, JNJ, UNH and REGN

[fenders53]

JNJ has 10,000 open lawsuits any given day.  That is the one thing we will never DD out of the investment equation.  I wouldn't be amazed if BMY hits the 40s.  JNJ at 150 and sub 100 ABBV either.  You just have to have some trust if you want to own this sector.  You may win or lose swing trading.  Some weak companies are outperforming them for over a year now.  Cramer will be pumping them in 90 days when the wind direction changes for a week.

No matter who anyone wants to believe you gotta nibble stocks SLOWLY in freefall or you will be lucky to be back to even in a year. Happens way too often to not respect it. Too many people that bought before you looking to get out near even. Big hill to climb.

[fenders53]

VBIN

BMY Strike 55s look decent about 3 weeks out. If it all goes to hell that's an easy roll to 52.50s further out. IMO the real risk is gone at that point with an entry basis not much over 50 after premiums. You are patient and that will work out. Witing until next week might be an even better idea. I was about 18 and 2 on BMY option sells the past year but I have a few deep in the money now so I can only nibble a few shares now and then if this continues.

Ken

It appears your call on T is about to come true. Sub 26.50 is coming soon if there isn't big news.

[ken-do-nim]

(10-08-2021, 01:12 PM)fenders53 Wrote: Ken

It appears your call on T is about to come true.  Sub 26.50 is coming soon if there isn't big news.

Yeah, funnily enough I actually took my pooled dividends thus far in October and bought 6 shares about an hour ago.  I don't need the dividends as much to supplement my budget at this time of the year because social security tax has ended.  Although, my car is still in the shop and the damage is going to end up around $4k .  That said, the loaner car is awesome!

[fenders53]

(10-08-2021, 01:24 PM)ken-do-nim Wrote:

(10-08-2021, 01:12 PM)fenders53 Wrote: Ken

It appears your call on T is about to come true.  Sub 26.50 is coming soon if there isn't big news.

Yeah, funnily enough I actually took my pooled dividends thus far in October and bought 6 shares about an hour ago.  I don't need the dividends as much to supplement my budget at this time of the year because social security tax has ended.  Although, my car is still in the shop and the damage is going to end up around $4k .  That said, the loaner car is awesome!

It's getting close to a 25yr low.  I think they are supposed to pay the high dividend 2-3 more times before the new beginning.  You can't get hurt too bad with six shares.  

Sold a QQQ and a Russell 2000 put at the close expiring next week, just to put some excess cash to work and make some income.

[vbin]

(10-08-2021, 01:12 PM)fenders53 Wrote: VBIN

BMY Strike 55s look decent about 3 weeks out. If it all goes to hell that's an easy roll to 52.50s further out. IMO the real risk is gone at that point with an entry basis not much over 50 after premiums. You are patient and that will work out. Witing until next week might be an even better idea. I was about 18 and 2 on BMY option sells the past year but I have a few deep in the money now so I can only nibble a few shares now and then if this continues.

Ken

It appears your call on T is about to come true. Sub 26.50 is coming soon if there isn't big news.

BMY looks solid but I agree with other folks, it can slide further. I am gonna see if it breaks $56. I already have a decent position in it. May be I will sell puts in CAH. That's trading cheap too.

[fenders53]

We all like to pick the exact bottom but it's rarely a bad idea to wait for some sign of stability.  Especially if you already have a position and not willing to buy it 10 more times.  The PE is already sub 8 even if an earnings miss happens.  I like our chances vs most of the market.

That said I usually buy then add on a couple dips and let it ride. I think it qualifies as "watering the weeds" if we refuse to admit we missed the timing at the very least.

Look at XOM-FDX-BABA and countless others the forum holds. All good companies and absolutely no urgent need to add to positions once the charts were broken.