Eye on the Markets: Coronavirus Stocks/Investments thread

#42
Advisory Charter Proposal A — New DraftKings will have 2,100,000,000 shares of authorized capital stock, which will consist of  (i) 900,000,000 shares of Class A common stock of New DraftKings, par value $0.0001 per share (“New DraftKings Class A common stock”), (ii) 900,000,000 shares of Class B common stock of New DraftKings, par value $0.0001 per share (“New DraftKings Class B common stock”) and (iii) 300,000,000 shares of preferred stock, as opposed to DEAC having 401,000,000 shares of capital stock authorized, consisting of
 

Valuist

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#45
Coronavirus investing guide (pharma and biotech only)

testing: Abbott Labs, LabCorp and Thermo Fisher
vaccines:: Johnson & Johnson, Moderna and Glaxo Smith Kline
treatment drugs: Gilead and Regeneron
masks: 3M
misc: SMED and Stericycle (both toxic hospital waste removal)
 
#48
Coronavirus investing guide (pharma and biotech only)

testing: Abbott Labs, LabCorp and Thermo Fisher
vaccines:: Johnson & Johnson, Moderna and Glaxo Smith Kline
treatment drugs: Gilead and Regeneron
masks: 3M
misc: SMED and Stericycle (both toxic hospital waste removal)
Add Inovio Pharma (INO) to the vaccines category.
 
#53
Last week's good news was an overreaction based on anecdotal news, so it would be fitting that it was manipulated downward today.
If there was any truth to what happened in the one hospital under the compassionate use program then it should have been ramped up to 50 hospitals within days. The fact that it didn't either indicates it wasn't nearly as good as what was told or the FDA is just a bunch of dispassionate morons.

My stepfather, a pharmacist, told me if this drug does what they think it can do in a one-time reduction of viral loads its a total game changer for the right patients. It won't be proper for those who are just getting sick or as a preventative, but just a dose or two to someone that is pretty sick and is older makes all kind of sense. If you give it too soon, the body will not have adjusted enough so that once the reduction in viral load takes place they will probably get sick again and not have a strong enough response to stop it. But the FDA will demand tests on all kinds of conditions, usually not skewed to the worst cases either, and so a lot of tests may come back saying its not very effective.
 

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#54
If there was any truth to what happened in the one hospital under the compassionate use program then it should have been ramped up to 50 hospitals within days. The fact that it didn't either indicates it wasn't nearly as good as what was told or the FDA is just a bunch of dispassionate morons.

My stepfather, a pharmacist, told me if this drug does what they think it can do in a one-time reduction of viral loads its a total game changer for the right patients. It won't be proper for those who are just getting sick or as a preventative, but just a dose or two to someone that is pretty sick and is older makes all kind of sense. If you give it too soon, the body will not have adjusted enough so that once the reduction in viral load takes place they will probably get sick again and not have a strong enough response to stop it. But the FDA will demand tests on all kinds of conditions, usually not skewed to the worst cases either, and so a lot of tests may come back saying its not very effective.
Let's hope it works. The other two candidates are a pair of rheumatoid arthritis retreads, hoping to get new life. But sometimes it works. In the 90s, a then unknown drug for high blood pressure had so so success, but it was causing erections in its male patients. Yes, Viagra was designed to be a blood pressure med.
 
#57
It had huge positive volume after hours today. I even saw it flash on the bottom-of-screen CNBC ticker a couple times.

Thanks again for the tip!
Lets make some money on this one! I reall
y think once sports gets back it could take off

Once again thank you for starting this thread-great idea and let’s try to all help each other out here
 
#59
Yes, you're in effect buying DK, and I don't think it's too late at all.

You have to be prepared for it to be a long-term hold though and there could be some hiccups, especially if sports don't come back for awhile. It's not going to go up 100% in a week.
 
#60
Yes, you're in effect buying DK, and I don't think it's too late at all.

You have to be prepared for it to be a long-term hold though and there could be some hiccups, especially if sports don't come back for awhile. It's not going to go up 100% in a week.
+ 1

The biggest reason for my interest in DKNG was speculating their TV commercial advertising flood a few years ago was all about obtaining the biggest potential customer data base for the at the time upcoming SCOTUS ruling. Many online sports gamblers don't like to jump through hoops to create new accounts so I'm banking on that data base of customers to remain with DKNG out of convenience and comfort.

DKNG has already partnered with Buffalo Wild Wings for fantasy football online games. If BWW ends up putting in DKNG on site betting counters in their bars that would be a game changer in my opinion.
 

Valuist

EOG Dedicated
#61
Why be bullish on Draft Kings? They are about sports gambling and fantasy play. We really don't know if or what we will get out of sports in 2020. Maybe there will be pent up demand in 2021, but plenty of time to wait to buy before that.
 
#62
Why be bullish on Draft Kings? They are about sports gambling and fantasy play. We really don't know if or what we will get out of sports in 2020. Maybe there will be pent up demand in 2021, but plenty of time to wait to buy before that.
You could be right but with no sports in just the last few weeks it’s gone from 12 to its current price of 20.27
 
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#63
People should look at the oil tankers. We have a huge oversupply of oil. The tankers are all full. I bought DHT this past week. They have the most monster sized (VLCC) tankers, capable of holding about 2 million barrels of oil. Fixed costs are usually between $15-20k per day. But with the huge delivery problems in the oil market, VLCC tankers are getting about $225k per day for storage. Those numbers likely to hold thru Q3. They still see a solid $150k per day for the 4th quarter. DHT returns a dividend of nearly 6%. NAT is around 5%.
 
#64
People should look at the oil tankers. We have a huge oversupply of oil. The tankers are all full. I bought DHT this past week. They have the most monster sized (VLCC) tankers, capable of holding about 2 million barrels of oil. Fixed costs are usually between $15-20k per day. But with the huge delivery problems in the oil market, VLCC tankers are getting about $225k per day for storage. Those numbers likely to hold thru Q3. They still see a solid $150k per day for the 4th quarter. DHT returns a dividend of nearly 6%. NAT is around 5%.
Supposedly 20 saudi tankers are on their way to the US with 2 million bbls each , which we dont need, dont want and have nowhere to put. Trump was thinking about banning saudi oil imports before they got here, sounds like a good idea to me.
 
#65
The sports books are questionable in the long run. I think the cost to acquire customers is way too expensive and the marketing costs in the next few years is going to be insane. Think what they did a few years ago with fantasy on steroids. They are hoping for a situation in the future which looks like Amazon post competition, but good luck on that. To me the best hope for investors is they get bought out by media companies. It may happen, but if it doesn't happen its just a continuous death fight to get new customers who largely will just have other accounts and will only bet if you get them a better price.
 

FairWarning

Bells Beer Connoisseur
#66
The sports books are questionable in the long run. I think the cost to acquire customers is way too expensive and the marketing costs in the next few years is going to be insane. Think what they did a few years ago with fantasy on steroids. They are hoping for a situation in the future which looks like Amazon post competition, but good luck on that. To me the best hope for investors is they get bought out by media companies. It may happen, but if it doesn't happen its just a continuous death fight to get new customers who largely will just have other accounts and will only bet if you get them a better price.
You don't think they will get bigger when more states legalize sportsbooks?
 

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#67
A friend of mine told me Pritzker was making negative remarks about the antibody tests, without any evidence to back it up. As a LabCorp shareholder, I feel the SEC should be alerted to this. What was he doing even commenting on it?
 
#68
You don't think they will get bigger when more states legalize sportsbooks?
Not really. Getting bigger is fine, getting more profitable is another story. These guys are spending crazy money now to acquire customers and losing money. At some point they have to make the turn into profitable operations. If they try it when they are owned by a media company it might work. If they are still independent and there are media companies and smaller competitors out there, they might not succeed.

The real money to be made here is to get casino play attached to it. These guys have done little to translate sports betting into casino betting. It may not be possible really, but its an Achilles heel they have compared to the MGMs, Caesars and others of the world where this just exists as a service to the patron who they are regularly pushing back towards casino wagering whether online or land-based. Looking at it the other way, the casino companies have an incredible edge on them in that they can spend almost nothing to acquire customers.
 
#69
Not really. Getting bigger is fine, getting more profitable is another story. These guys are spending crazy money now to acquire customers and losing money. At some point they have to make the turn into profitable operations. If they try it when they are owned by a media company it might work. If they are still independent and there are media companies and smaller competitors out there, they might not succeed.

The real money to be made here is to get casino play attached to it. These guys have done little to translate sports betting into casino betting. It may not be possible really, but its an Achilles heel they have compared to the MGMs, Caesars and others of the world where this just exists as a service to the patron who they are regularly pushing back towards casino wagering whether online or land-based. Looking at it the other way, the casino companies have an incredible edge on them in that they can spend almost nothing to acquire customers.
DK spent all their money acquiring customers a few years back with their non stop ad blitz

DK has already partnered up with BWW and if they install OTB like windows in their bars it’s going to be huge.
 
#72
Can anyone tell me anything about USO?

I cant figure out how they make money.

Contango is bad, but apparently backwardation hasnt been profitable as well either.

So what is good????

So if the price of oil goes up to like 75 bucks, are they even gonna make money?
 
#73
Did anyone who owned DEAC before it became DraftKings get hit with a "reorganization fee" posted to their brokerage account on Friday when the transition occurred? I did. $38. I use ETrade.

Annoying.
 
#77
DK deal was for Fantasy Sports. MGM deal was for sports betting in every state that legalizes it.

https://www.espn.com/chalk/story/_/id/27540471/buffalo-wild-wings-mgm-partner-sports-betting
Thats not what the article states. It does say they partnered for a mobile app however for virtual wagering, which is similar to the current partnership BWW has with DK. The BWW quote that interested me was they said they wouldn’t have any wagering counters inside their bars. I find that to be disappointing.

Im bullish on DKNG....it was at 12 a month ago and now it’s over 20. If you feel the opposite nothing is stopping you from shorting it.
 
#78
Thats not what the article states. It does say they partnered for a mobile app however for virtual wagering, which is similar to the current partnership BWW has with DK. The BWW quote that interested me was they said they wouldn’t have any wagering counters inside their bars. I find that to be disappointing.

Im bullish on DKNG....it was at 12 a month ago and now it’s over 20. If you feel the opposite nothing is stopping you from shorting it.
Very unlikely there will be windows in non gaming locations. Only places they might show up are in states with no casinos, but there will be a lot of limits on it.
 

Valuist

EOG Dedicated
#79
How low does the VIX need to fall before it is buyable? Still in mid 30s. We know that it can both rise, and fall, in a hurry. Below 20, have to think about buying it. I still believe there's at least one more leg downward.
 
#80
Can anyone tell me anything about USO?

I cant figure out how they make money.

Contango is bad, but apparently backwardation hasnt been profitable as well either.

So what is good????

So if the price of oil goes up to like 75 bucks, are they even gonna make money?

Here are some recent bits from different sources talking about what's going on with USO.

https://old.nasdaq.com/article/us-o...tracts-expiring-late-2020-2021-20200427-00743

https://old.nasdaq.com/article/forget-buying-uso-stock-buy-this-oil-stock-instead-cm1317743 (linked for the discussion of USO, not necessarily the suggestion of COP)

https://www.marketwatch.com/story/b...or-short-sellers-2020-04-23?mod=mw_latestnews (also has links to other articles re: specifics re: USO)

These days I don't do commodities in general, and I am not a seasoned trader in oil as a commodity in particular. When I do trade or invest in the energy space these days it's in energy stocks rather than the commodity (which is just a general observation over time, not a current trading recommendation.)

Moreover, these exotic exchange-traded products (ETPs) can be treacherous to trade long -- and to short them as well -- and can suffer termination events, which is a distinct possibility with USO from what I've scanned over on the fly. I'm not in the nannystate camp that says that ETPs of this nature shouldn't be available to retail investors. But if you're not a seasoned oil trader and further don't have a deep knowledge base in how USO in particular trades under different market conditions, "it's not a bad day when you don't lose money," whether long or short, even though -- if your rookie timing proved to be impeccable (or, well, lucky) -- there possibly was a lot of money to be made quickly. At least absent effective stops/limits, there's also a lot of money to be lost quickly, too; and the inside players in these markets are pushing the daily trading range through price points with a lot of pending stops every day just to kick outsiders out of trades and pocket your change.

It's like that old bit about if you can't pick out the mark at the poker table then, well, you're the mark. For me personally, I wouldn't just jump into either long or short USO trades because I've seen oil in the headlines recently thinking that I can just jump into that space with no extensive time in the cockpit with air under my butt there and profit. Much like in sports betting, making plays based on common knowledge that is already is known to everyone and their brother -- including the linemaker and the sharp actors driving the line moves -- generally is not a good way to get an edge.
 
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