There are a lot of reasons I like the trade I entered into yesterday at the close here. I'll start with some reasons I'd like CALM regardless of my trading style.
I think everyone can agree we are in an overvalued market right now. That inherently creates risk with any stock you buy right now. Not saying we are gonna go down, but the more overvalued the market gets, the greater the risk that creates. CALM has several things going for it in that regard.
1--it has a TTM P/E of 4.12. Not 41.2 - FOUR!!! This is good even for a value stock.
2--their current yield is 8.11%. Give your head a second to wrap itself around that one - this stock has a yield that is twice its P/E. To put that in perspective, NVDA has a P/E of 50. If its yield were 2x its P/E, it would be paying a 100% dividend. This is not really an anomaly, either. It has always been a high dividend stock.
3--in the event inflation picks up again, foods are an area where costs can be passed through to customers better than in other areas. Eggs will still be eaten, even if they cost more. We've already proven that once. People will complain, but they still buy them.
Now for the part that really intrigued me here. 18-2 on trade signals in 2025 with an average gain of 3.5% and an average holding period of 9 days (including that 109 day marathon). That includes the two losing trades recently, and works out to a gain of .39% per day held. Note: trade returns on the chart are basis points (.01% per bp)
Those are beyond tech stock level daily returns on a stock that has been flat overall on the year, that sells something Americans bought 108 BILLION of last year (while griping about prices) that has a low P/E and if the trade goes sideways, pays me 2% a quarter to hold onto. That's .03% per day just to hold it, not including any gain on the trade itself. The average historical daily gain of SPY is around .04%, for comparison.
Why is this stock not being talked about? I don't know and I don't care, but I went long at yesterday's close at 103.01 and it's trading just below that as I put the finishing touches on this post.
As always - this is intended as "edutainment" and my perspective on what I am or would be doing, not a recommendation for you to buy or sell. Act accordingly and invest at your own risk. DYOR and only make investments that make good financial sense for you in your current situation.
I think everyone can agree we are in an overvalued market right now. That inherently creates risk with any stock you buy right now. Not saying we are gonna go down, but the more overvalued the market gets, the greater the risk that creates. CALM has several things going for it in that regard.
1--it has a TTM P/E of 4.12. Not 41.2 - FOUR!!! This is good even for a value stock.
2--their current yield is 8.11%. Give your head a second to wrap itself around that one - this stock has a yield that is twice its P/E. To put that in perspective, NVDA has a P/E of 50. If its yield were 2x its P/E, it would be paying a 100% dividend. This is not really an anomaly, either. It has always been a high dividend stock.
3--in the event inflation picks up again, foods are an area where costs can be passed through to customers better than in other areas. Eggs will still be eaten, even if they cost more. We've already proven that once. People will complain, but they still buy them.
Now for the part that really intrigued me here. 18-2 on trade signals in 2025 with an average gain of 3.5% and an average holding period of 9 days (including that 109 day marathon). That includes the two losing trades recently, and works out to a gain of .39% per day held. Note: trade returns on the chart are basis points (.01% per bp)
Those are beyond tech stock level daily returns on a stock that has been flat overall on the year, that sells something Americans bought 108 BILLION of last year (while griping about prices) that has a low P/E and if the trade goes sideways, pays me 2% a quarter to hold onto. That's .03% per day just to hold it, not including any gain on the trade itself. The average historical daily gain of SPY is around .04%, for comparison.
Why is this stock not being talked about? I don't know and I don't care, but I went long at yesterday's close at 103.01 and it's trading just below that as I put the finishing touches on this post.
As always - this is intended as "edutainment" and my perspective on what I am or would be doing, not a recommendation for you to buy or sell. Act accordingly and invest at your own risk. DYOR and only make investments that make good financial sense for you in your current situation.
액티브 트레이드
Added lot 2 to the trade for 99.47 at the close today. Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
노트
They missed on the top and bottom lines AND cut their dividend by a dollar from last quarter. Great day. And yet, I bought more at the close.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 3 -- 92.96
노트
Sold lot 3 at the close for 94.43 - a +1.58% gain in 7 trading days.Lots still held:
Lot 1 -- 103.01
Lot 2 -- 99.47
노트
Added lot 4 at the close today for 90.26.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 4 -- 90.26
노트
Sold lot 4 at the close for 91.15 - a +1.01% gain in 1 trading day.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
노트
Added a lot of CALM at the close for 87.12. This trade is not working out according to plan, to say the least, but the 1.37 dividend today makes me like it a little more. The stock often rallies after it goes ex-div, so here's to hoping tomorrow is a big green candle.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 3 -- 87.12
노트
Just added to CALM at 83.85.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 3 -- 87.12
Lot 4 -- 83.85
노트
Sold lot 4 at the close today. +1.6% in 6 trading days.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 3 -- 87.12
노트
just sold lot 3 for 89.48. I should have sold it last week, but I missed it and it went down on Friday so I had to wait and hope. worked out better, if only due to luck. +2.71% in 31 trading days.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
노트
Bought back the lot I sold at 89.48 yesterday for 86.15 at the close today. You may not be able to step in the same river twice (Heraclitus) but you can make the same money twice. Trying to do that here.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 4 -- 86.15
노트
sorry for the delay here. I was busy being annoyed by the lackluster response to MU's ungodly good earnings report and guidance. I sold yesterday's added lot at the close today for 87.69 - a +1.79% gain in 1 trading day. keep that up, eggos.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
노트
annnd I added that lot back again at the close for 86.07Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 5 -- 86.07
노트
Added lot 6 at the close today for 78.47. The yield at today's price and last quarter's dividend level is up to 7% now. Though buyers beware, CALM's dividend is a fixed % of its quarterly earnings, so if the earnings drop, the dividend will too.Lots held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 5 -- 86.07
Lot 6 -- 78.47
노트
sold lot 6 today at the close. 78.47-->79.43 = +1.22% in 12 trading days.Lots still held:
Lot 1 -- 103.01
Lot 2 -- 99.47
Lot 5 -- 86.07
노트
Sold lot 5 at the close today for 86.67 - a +0.7% gain in 31 trading days. meh.Lots held:
Lot 1 - 103.01
Lot 2 - 99.47
노트
Added 1 lot at the close today.Lot 1 - 103.01
Lot 2 - 99.47
Lot 6 - 77.03
노트
Sold lot 2 at the close for 77.73, a +0.91% gain in 1 trading day.Lots remaining:
Lot 1 - 103.01
Lot 2 - 99.47
노트
In the note above, I meant I sold the lot I bought yesterday, not lot 2. And it was lot 10, not 6. not sure where I got 6 from.노트
I added 1 lot at the close. Looking back and doing the count right this time, its lot 11 and I got it at 75.56Lots held:
Lot 1 - 103.01
Lot 2 - 99.47
Lot 11 - 75.56
Just as an update, while the original 2 lots are currently down 27% and 25% respectively, things are not as bad as they seem (though they are plenty bad enough, imo). Lots 3-10 have all been sold profitably and in total, generated a gain of 11.5%, offsetting about half of the 2nd lots losses so far. Certainly not an ideal situation, particularly for as long as I've had to hold those original 2 lots, but not as bad as it could be and each new closed trade chips away at that deficit until the original 2 lots are closed. And I'm confident that at some point, supply and demand get back into balance and CALM can make money again and get me out profitably. Until then, I collect my dividends and wait as patiently as I can - which if you are familiar with my trading style, is not that patiently. But this is the game I choose to play and it does not always play nice. Knowing how the story will almost invariably end helps a lot.
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I'm annoyed with my typos above (mostly missing apostrophes that TV "corrected", but I can't edit the note, so we will all have to live with them. I just hate looking illiterate. OK I'm done now.노트
Sold lot 11 at the close for 76.31 -- +0.99% in 2 trading days.Lots remaining:
Lot 1: 103.01
Lot 2: 99.47
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Added lot 12 at the close at 76.88Lots held:
Lot 1 - 103.01
Lot 2 - 99.47
Lot 12 - 76.88
노트
Sold lot 12 for 77.21 at the close. +0.95% in 1 trading day.Lots held:
Lot 1 - 103.01
Lot 2 - 99.47
노트
typo above and I don't feel like having to retype the whole thing, since notes can't be edited: the closing price was 77.61, not 77.21 - the % gain is still correct, though.노트
Added lot 13 at the close today for 79.03Lots held
Lot 1 - 103.01
Lot 1 - 99.47
Lot 1 - 79.03
노트
I'm not re-typing that - the above note should read lot 1, lot 2, and lot 13 instead of lot 1 3 times.노트
Sold lot 13 (most recent buy) at 79.57 at the close today for a +0.68% gain in 4 trading days. Slowly, but surely, chipping away at those lot 1 and 2 losses.Lots still held:
Lot 1 - 103.01
Lot 2 - 99.47
노트
Sorry this is posting late but I got caught up back testing something. Added lot 14 today at the close for 83.41.Lots held:
Lot 1- 103.01
Lot 2- 99.47
Lot 3- 83.41
노트
Forgot to add this just now when I added the lot. I will close this at the open if it opens green tomorrow. I will also not hesitate to pull the trigger on it intraday if it makes a substantial move higher after a lower open. And, as always, I will close on the FPC if those do not occur. I'm not married to this new lot. I'm sitting on plenty of eggs already. 노트
Just sold lot 3 (which is really lot 14 but I accidentally mislabeled it in my entry post) for 84.97 -- +1.87% in 2 trading days. Net return so far on the 2 remaining open lots is about -32% and the gains on the 12 closed lots are around +16% combined, so still down a net of -16%, but I'm OK with that right now. CALM isn't going to zero and it's going to keep giving me opportunities. Lots still held:
Lot 1 - 103.01
Lot 2 - 99.47
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.