Tag: Stock Market (Page 1 of 2)

The Best Dividend Stocks to Buy for Passive Income

Best Dividend Stocks to buy
Personal Finance: Best dividend stocks to buy | Stocks to buy now

Today I’m going over 8 of the best dividend stocks to buy for passive income in 2022.

These tickers have been yielding cash returns (which I’ve reinvested back) no matter whether the markets are up or down all year long.

Investing in these types of passive income trains is something Warren Buffett has done over the course of his lifetime.

And the sooner you begin investing in dividend stocks, the more you’ll thank yourself later.

Let’s get started!

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Best Dividend Stocks to Buy in 2022

Best Dividend stocks to buy 2022
List of the best dividend stocks to buy | Stocks to buy now

Dividend stock investing can yield big passive income when done right.

Dedication and patience are two key virtues to making the best out of this wealth building strategy.

Here’s a list of the best dividend stocks to buy this year:

#1. VOO (S&P 500)

Dividend Yield: 1.56%

VOO has paid $5.65 per share in the past year during the bull market but is currently paying $1.43 per share in this year’s bear market.

VOO is Vanguard’s S&P 500 ETF which tracks the top 500 performing companies in the United States.

#2. GPC (Genuine Parts Co.)

Dividend Yield: 2.40%

GPC has paid $3.42 per share but is currently paying investors during this bear market $0.90 per share.

Genuine Parts Company is an American service organization engaged in the distribution of automotive replacement parts, industrial replacement parts, office products and electrical/electronic materials.

#3. VNQ (Real Estate REIT)

Dividend Yield: 3.53%

VNQ has paid $2.86 per share but is currently paying investors approximately $0.56 per share in today’s bear market.

VNQ is Vanguard’s real estate ETF which invests in stocks issued by real estate investment trusts (REITs), companies that purchase office buildings, hotels, and other real property.

#4. OMF (One Main Holdings, Inc.)

Dividend Yield: 7.96%

OMF currently pays investors $0.95 per share but has paid them as much as $6.80 per share during the bull market.

OneMain Holdings, Inc. is an American financial services holding company that provides loan products, offers credit cards, and other personal loans.

#5. T (AT&T)

AT&T

Dividend Yield: 9.71%

AT&T is currently paying shareholders $0.28 per share but has paid investors $1.60 in the past.

AT&T Inc. is an American multinational telecommunications holding company offering internet and cellular services.

#6. NRZ (Real Estate REIT)

Dividend Yield: 9.85%

NRZ stock is currently paying investors $0.25 per share but has paid $1 per share before.

New Residential is a publicly traded mortgage real estate investment trust with a diversified portfolio and a strong track record of performance.

#7. EMR (Emerson Electric Co.)

Dividend Yield: 2.45%

EMR pays shareholders $0.51 per share but has paid investors $2.05 per share prior to today’s bear market.

Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri.

The Fortune 500 company manufactures products and provides engineering services for industrial, commercial, and consumer markets.

#8. ESGV (ETF)

Dividend Yield: 1.26%

ESGV currently pays shareholders $0.20 but has paid investors $0.88 per share in the past.

ESGV tracks the performance of large-, mid-, and small-capitalization stocks.

The ETF specifically excludes stocks of certain companies related to the following: adult entertainment, alcohol, tobacco, cannabis, gambling, chemical and biological weapons, cluster munitions, anti-personnel landmines, nuclear weapons, conventional military weapons, civilian firearms, nuclear power, and coal, oil, or gas.

Send this list to someone you know!

Share this list of the best dividend stocks to buy right now with someone you know who is invested in the market.

I personally hold these stocks in my stock portfolio and figured I’d share with my readers which dividend stocks I recommend checking out.

I’d love to hear your thoughts on this list – do you hold any?

Leave a comment down below.

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Related: How to Invest in The Stock Market for Beginners

How to Invest In The Stock Market For Beginners

How to invest in the stock market for beginners
How to invest in the stock market step by step for beginners

There comes a point when you realize that in order to build wealth it will require you to build multiple streams of income. The average millionaire has seven. The stock market is one way you can invest your earned income in order to start earning passive income and multiply your money. Here’s how to invest in the stock market step by step for beginners.

Franknez.com How To Invest In The Stock Market For Beginners

Welcome to Franknez.com – the blog where you can digest content on personal finance, entrepreneurship, market news, and trending investing topics.

Lets get started!

I’ve been investing in the stock market since 2019.

When I learned how to open a brokerage account and buy company stock, I knew I had to show people how to do it too.

Everything I found online was outdated so I wanted to make it easy for people to start.

Benefits of investing in the stock market

One of the greatest benefits of investing in the stock market is that you get to hedge against inflation.

Inflation is at an all-time high right now and simply letting your money lose its value isn’t going to create wealth.

The stock market also provides an average return of 7%-8% annually which means those CDs and high yielding savings accounts are a thing of the past.

Even so, you can always create a portfolio bringing in 20%+ annual returns!

In June of 2021, AMC shareholders saw a whopping 3000% return on their investment at its high.

GameStop shareholders saw about half!

Although these trades are much different anomalies then traditional long-term investing, it paints a picture of the power of the market.

Let’s get you started!

#1. Set a budget when planning to invest

set a budget when investing

Before you begin to invest you will need to set a budget on your first investment(s).

The great thing about the stock market is that you can invest with as little as $50 or so depending on the cost of a share.

A share is a fraction of a company you can own and earn money from as the company grows and profits over a period of time.

Example

If you set a budget of $200 and the share of a company you want to invest in costs $50 then you can purchase (4) four shares of said company.

If a month later the shares you purchased are worth $60 each then your shares would now be worth $240, resulting in a $40 gain.

This is how investing in the stock market works.

Note: I highly recommend having your emergency fund built prior to proceeding with investing in the stock market.

It is important to highlight that the money you invest in the stock market will need to be money you can tolerate losing.

The stock market is volatile meaning the value of your assets is constantly going up and down.

Something to keep in mind is that the value of your investments can go down just as fast if not faster than they went up.

Now, this is not addressed to scare you. The stock on average has an annual return of 6-8% per year.

Why should you invest in stocks?

Investing in stocks is a great way to diversify your portfolio.

You don’t want to keep all your eggs in one basket.

For this reason, the wealthy invest in companies they believe have long-term potential to thrive and to multiply their investment.

#2. Know what to invest in

Now that you’ve set a budget you’ll need to know what you want to invest in.

Once you do, find the stock market symbol of the company on Google search engine.

If you wanted to invest in Coca-Cola for example, you’d search ‘stock market symbol for Coca-Cola’ on Google.

You’ll see that the NYSE (New York Stock Exchange) symbol for Coca-Cola is KO.

This is how you will identify and search for companies to invest in when you’re in the market to buy stocks.

Here are some different type of investments you can invest in within the NYSE.

Stocks

Invest in stocks coca cola stock
How to invest in stocks for beginners

A stock is a share of a company just like Coca-Cola.

Buying a share from one specific company is a stock.

Stocks are good to purchase if you strongly believe in the continued success of your choice of company.

Invest in companies that have room to grow and are constantly innovating.

Stocks I personally favor are Tesla, Apple, and Amazon.

These tech companies are always innovating therefore I have strong conviction towards their continued growth and success.

Index Funds

Invest in index funds
How to invest in the stock market

An index fund is a fund that tracks and follows the index (growth) of a group of companies.

When you own a share of an index fund, you own a percentage of a pool of companies oppose to just one company.

What makes an index fund great is that if a company within an index fund isn’t performing very well there are other companies that may balance the overall performance of the fund resulting in a fair return.

A popular choice is the S&P500.

This index fund tracks the performance of the top 500 companies in the United States.

This type of investment tends to be a less risky and yield great profits over the long run.

It’s an investors favorite and I personally hold shares in the S&P500.

Bookmark: Retire a millionaire with the S&P500: is it possible?

REITS

Invest in REITS
How to buy REITS

A REIT (Real Estate Investment Trust Fund) is very similar to an index fund.

The only exception is that it invests exclusively in real estate companies oppose to other businesses.

If you want to invest in real estate without the hassle of learning the game, using cash up front, or getting into debt, REITs are a great way to diversify your portfolio into the real estate sector.

A great REIT I’m invested in is VNQ with Vanguard.

Which investment is right for you?

Each of these investments has their own benefits.

My suggestion is to research them individually as all of our needs are very unique.

As your skills develop as a retail investor, you’ll find yourself having a diversified portfolio consisting of all three.

Invest in the stock market and learn to identify which investment is best for you.

Price is what you pay. Value is what you get.

Warren buffett

#3. Choose a Brokerage Firm to Begin Investing in The Stock Market

This is the fun part.

Choose a reputable online brokerage firm.

A brokerage firm is a platform where you will be doing all of your investing through the NYSE.

Here you’ll be able to purchase stocks and sell them.

Each brokerage firm has their own customer advantages but are very similar to use.

Here is a list of brokerage firms you can open an account with and sign up for free.

Check out each brokerage firm’s website and see which feels more comfortable for you to navigate.

Do some research on each of them to see which has the strongest potential for your needs. I personally use Vanguard.

Vanguard investment - brokerage for investing
How to invest in the stock market for beginners

Note: When you purchase investments, there are small commission fees your investments will pay out to the firm.

They are very small in most cases and don’t hinder your earnings like you’d think. Vanguard has the lowest fees.

Each brokerage firm will have different commission fees and the percentage will vary in each firm.

For example: Coke (KO) will have a slightly different commission fee in every firm despite having the same share cost.

#4. Open your account

For this step-by-step on how to invest in the stock market I’m going to use Vanguard.

Vanguard is one of the most reliable brokerage accounts you can use.

how to invest with Vanguard
Franknez.com
How to invest in stocks for beginners

Head over to Vanguard and select ‘Open an account’.

how to open an account with vanguard
How to invest in stocks with Vanguard

Select ‘Start your new account’ to get started.

Vanguard Account

Choose the method you will be funding your new account. You can choose between:

  • Electronic bank transfer or another Vanguard account
  • Rollover from an employer plan (e.g., 401(k) plan)
  • Transfer investments from another financial firm

Most new retail investors will be choosing the first option, using an electronic bank transfer to fund your account.

Open a vanguard account

Before you open your account to begin investing in the stock market you’ll need your bank account and routing number as well as other personal information.

Once you’re in it’s time to transfer funds into your account.

#5. Transfer Funds Into Your Brokerage Account

Congratulations! Now that you’ve chosen a brokerage account to invest with, you’ll have the tools at your disposal to begin investing.

Navigate throughout your brokerage website. Get comfortable with where things are.

Things might seem very new at first, intimidating even.

Don’t worry, now that you’ve begun something new, you’ll begin to take the first steps toward self-education.

First, you’ll want to learn how to transfer funds into your brokerage account.

I will be demonstrating step by step how to do this using Vanguard.

Toggle the settings to connect your bank account with your brokerage account so you can start to invest in the stock market.

This direct line will allow you to transfer funds into your account so you may begin to purchase shares.

Once you have this set up you may transfer the money from your budget to invest in.

Vanguard investment

#6. Make Your Very First Investment in The Stock Market

Now that you’ve transferred your funds over to your brokerage account, navigate through the site to make your very first purchase.

Search the symbol of the stock, index, or REIT you will be investing in.

Note: Before purchasing, make sure you thoroughly navigate the website to get comfortable using it.

This will make the purchase experience a lot easier.

Once you pull up the investment, go through the details provided on the page.

You should be able to see its history, it’s projected return, its risk level, and so much more information about the investment.

Invest Vanguard

Purchase the investment!

Purchase the investment with the option set to ‘Market’.

This option will allow you to purchase the investment instantly at the price it’s worth.

We suggest doing a test purchase since this is your first time investing in the stock market.

This will help you get a feel for it. Purchase one share so you understand the process.

It will serve as good practice and experience.

Congrats on buying your first share!

Follow up on your investment the following day and see whether your investment had gains or losses.

You’ll see for the very first time how your investment grew in value or decreased in value.

You now have a taste of what it’s like to invest in the stock market.

Bookmark: My top picks of stocks to invest in right now

Final thoughts

franknez.com

I have personally invested in stocks since 2019 and have learned a lot about the stock market.

In fact, I’m still learning today.

I published an article on the best tips and advice for beginners investing in stocks to further help you on your journey.

Stock investing is all about strategy.

When you make money in the stock market you may let it sit and accumulate over time, or you may cash in your profits and allocate those gains towards other opportunities.

This is why I believe investing in stocks is extremely important to someone who wants to build wealth.

The stock market allows you to multiply your hard-earned money so you may further invest it in other assets.

Read: Best Tips & Advice For Beginners Investing In Stocks

If you received value from this post please be sure to share it with someone who’s working towards becoming financially independent and who is also building their financial future.

My mission is to help people all around the world attain financial stability in order to live their best lives possible.

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My Top Picks of Stocks to Invest in Right Now

Stocks to invest in today
Stocks to invest in right now
Stocks to invest in this week
Best stocks to invest in long term

I’ve found a fortune! And I want to share it with you. These stocks have allowed me to profit and snowball my investments within as little as a year. I understand stock picking can be quite difficult. Sometimes you just need someone to provide you with a list of stocks that has worked for them. Here are my top picks of stocks to invest in right now.

If you’re new to the investing world and haven’t started, bookmark this post on how to invest in the stock market (step by step) for beginners.

franknez.com

Welcome to Franknez.com – the blog where you can digest content on personal finance, entrepreneurship, and trending investing topics.

Lets get started!

These stocks have allowed me to diversify my portfolio very well.

You’ll get my favorite index fund, favorite ETF, and favorite REIT.

Adding these stocks to your arsenal will proof to balance your investing portfolio out a little more.

I’ve been invested in the stock market since 2019 and have noted that these picks have been a strong foundation in my portfolio.

Often times when other stocks were down, these were up.

Let’s dive right into it.

#1. EMR – Emerson Electric Co.

Emerson Electric Co. Stock

Emerson Electric Co. is an American multinational corporation that manufactures electric motors using their own patent.

The company became the first to sell electric fans in the U.S and expanded its product line to electric sewing machines, electric dental drills, and power tools.

EMR basically produces electric motors for every type of business and necessity you can think of.

Dividend Yield: 2.1%

This is a great stock to invest in because electric motors are always going to be needed.

As our society continues to innovate, electric motors will continue to play a very important role.

EMR Emerson Electric Co stock chart

EMR Annual Return

Emerson Electric Co. has an average annual return of 9%.

They are also involved in all sort of industries including automotive, life sciences & medical, water & waste, industrial energy, marine, and food & beverage just to name a few. Innovation?

They’re currently involved in several stem projects too.

#2. GPC – Genuine Parts Co.

GPC Stock Genuine Parts Company Napa Stock

Genuine Parts Company is an American service organization that distributes automotive replacement parts, industrial replacement parts, office products and electrical goods.

Parts are sold under the NAPA brand in North America.

Dividend Yield: 3%

GPC is great because cars aren’t going anywhere anytime soon. As cars evolve, this auto parts company will continue to manufacture and distribute parts.

GPC Genuine Parts Co. Nappa Auto Parts Stock Graph

GPC Annual Return

Genuine Parts Co. stock has seen an annual return ranging from 7% to 15%.

GPC has more than 10,000 locations in 14 countries and employs approximately 50,000 people.

75% of GPC’s sales come from North America, 15% from Europe, and 10% from Australia.

#3. VNQ – Vanguard Real Estate (REIT)

VNQ Real Estate REIT stock

VNQ invests in stocks issued by real estate investment trusts (REIT’s), companies that purchase office buildings, hotels, and other real property.

Dividend Yield: 3.65%

The real estate market has been HOT recently.

It’s a sellers’ market at the moment

. With property selling almost instantaneously this REIT has been performing extremely well recently.

VNQ Vanguard Real Estate REIT stock

VNQ Annual Return

VNQ’s annual yield has varied with some years reaching up to 30%.

Its history also shows annual yields between 5%-8%.

This investment seeks to provide a high level of income.

#4. VOO – S&P500

VOO S&P500 Index Fund Warren Buffett

This Vanguard ETF invests in stocks within the S&P500, representing 500 of the largest U.S companies.

Companies in the S&P500 include Apple, Tesla, Johnson & Johnson, Walt Disney, Netflix, and Coca-Cola to name a few.

You can see all the companies in this index fund in the link at the end of this article.

Dividend Yield: 1.39%

The S&P is one of the best index funds in the market.

Warren Buffett himself is a huge fan.

Fun fact: his trustee is expected to receive all of Warren’s assets with 90% of his stock picks moved in the S&P500!

When you own the S&P500 you own a piece of the fortune 500 companies.

Since they are all working and innovating towards being better every year, you can only expect this index funds’ value to go up.

VOO - S&P500 Index Fund

S&P 500 Annual Return

The S&P500’s annual yield has been approximately 10% – 11% since its inception back in 1926.

This is an index fund I’m continuously adding to my position in.

The diversity in companies it holds makes it an attractive stock for both novice and experienced investors.

Bookmark: Fiverr stock could be the next Amazon stock

#5. ESGV (ETF)

ESGV is a Vanguard ETF that invests in the top 10 companies in the U.S.

These companies include Apple, Microsoft, Amazon, Alphabet (Google), Facebook, Tesla, JP Morgan Chase & Co, Visa, Inc., United Health Group, and NVIDIA Corp.

Dividend Yield: 1.06%

Unlike the S&P500, owning this ETF means you own a piece of the top 10 companies in the U.S.

This growth ETF puts the top earners in your portfolio.

This attractive stock only knows up.

The companies in this pool are companies that are constantly innovating. It’s always day one with them.

ESGV Vanguard ETF Stock

ESGV Annual Return

This ETF is relatively new. It was created in 2018 and has gained 24%-31% in annual returns.

This type of investment is meant to provide you with the highest returns possible.

Building your position in this ETF can prove to be a great offense. Very few times you’ll find this ETF on red.

Bookmark these investing tips for beginners.

Bonus Stock

AMC Stock

Have you seen what’s been going on with AMC Entertainment recently?

This stock is set up for a short squeeze.

If you can manage to buy this stock before it takes off then you’ll be able to make a quick trade.

A subcommunity from Reddit who skyrocketed GameStop’s share price also began moving AMC Entertainment.

Well, AMC now has a bigger community due to how much more affordable its stock is than that of GameStop’s.

You can read more about this stock’s short squeeze DD (due diligence) here.

Are you already investing in one of these stocks? Let’s start a conversation.

Leave me a comment below.

Related: Retire a millionaire with the S&P 500: Is it possible?

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Stock Rover Review


Is Your Portfolio Down? 3 Tips to Navigate the Weather

is your stock portfolio down? 3 Tips to navigate the bad weather
Is your stock portfolio down? 3 Tips to navigate the bad weather

Nothing is more dissatisfying than seeing your portfolio down.

You work so hard to earn the money to invest it, finally begin to see some growth, and then the market dumps.

Now your stock portfolio is down.

Most of you aren’t ‘hedging’ against your losses like most financial institutions are either.

So, what can you do to navigate this bad weather?

Here are 3 tips that will get you through it.

franknez.com

Welcome to Franknez.com – if your stock portfolio is down right now some of you might be wondering whether you should cut your losses or not. Here’s what I’m personally doing.

Let’s dive right into it!

Join the newsletter to receive weekly market news and stock updates.

#1. Increase your position(s)

increase your position when your stock portfolio is down
Increase your position when your stock portfolio is down

One way I personally take advantage of the market when my stock portfolio is down is by increasing my positions.

If you’re a long-term stockholder like I am then you understand the current market situation is only temporary and the market always tends to bounce right back up.

This means that any stock that’s red in my portfolio is at a discount.

Some of you who are part of my private community have received alerts and notifications of when I’ve bought a dip (both stock and crypto).

It’s these types of strategies that have allowed me to weather the bad storm when my portfolios are down.

Why buy on red days?

why buy when the market is down?
Why buy when the market is down?

Buying on red days even if your portfolio is down means you will profit as soon as the market begins to trend upwards again.

If a stock you purchased is down -5% then it goes down to -10%, you can take advantage of buying the asset cheaper at -10% if you anticipate its value will go back up.

In this scenario, if the value goes up again and the original stock you purchased has broken even, then the other share(s) you bought low are up +5%.

If your conviction towards a stock or company is strong, buying heavy during the lows could significantly increase your portfolio’s value as the stock begins to climb again.

While many novice investors might panic at the sight of their assets declining in value, it’s best to stay calm and rely on your conviction and have a strategy in mind.

#2. Invest your money in other assets

Buy crypto with Coinbase
Buy crypto with Coinbase

Other assets you can invest your money in when your portfolio is down could be a business, a crypto wallet, or even in yourself.

One way I’ve invested my money during this bear market aside from stocks and cryptocurrencies has been in my business and in my health.

The reason we invest is to get a return.

So why not invest in a startup or even in yourself?

Because ultimately you are the vehicle that’s going to take you to where you want to be.

Think about how else you can make a return on the money you’re about to invest.

Nothing is ever certain, not even in the stock market.

Take a risk and invest in yourself.

Assets you can invest in other than stocks

  • Cryptocurrencies
  • NFTs
  • Startup/Side Hustle/ Business
  • Health

You’ll find that once you invest in other income generating opportunities, those same opportunities will eventually allow you to invest more into the markets and within one another.

This form of diversification is going to armor you up for when your stock portfolio is down.

Keep track of your net worth as well as the sources growing it to build your portfolio’s confidence.

#3. You can always play it passively

Long-term investing
Long-term investing

When your stock portfolio is down, you can always choose to play it passively and do nothing.

You understand building your net worth is going to take time despite what the market is going through.

Perhaps you don’t find cryptocurrencies or startups attractive, and that’s okay.

This third tip is to be patient and let your portfolio go through the growing pains.

Believe me when I say I’ve been there too.

The important thing here is to stay calm and not let your feelings control your financial decisions.

I know too well this is one of the hardest things about having money planted in the stock market.

But in the end, this all about taking in that learning experience so you can do better the next time an opportunity comes your way.

When should you cut your losses?

when should you cut your losses?

You should cut your losses only when you’ve identified an investment is a dead play or you are not seeing results after 1-2 years, especially if you’re going long on a stock or company.

Day traders cut their losses quick because they’re in the stock market for short-term gains.

Long-term investors should keep a close eye on what they’re investing in to identify whether there is future growth of a stock.

One way I’ve identified a potentially great long-term stock is by looking at the stock’s history chart.

If there’s been consistent growth for over a period of a few years, then you can assume the trajectory will follow in the coming years.

I created a list of these type of long-term stocks here.

I cut my losses on SPRT shortly after the merge with Greenridge because at that point I didn’t trust the company nor its partners.

Another stock I sold was AT&T because after a little over a year all it did was consolidate and its performance was not on parr with my expectations.

These are just my personal experiences selling stocks in the market.

AT&T has a great dividend, and I might create a portfolio specifically based on dividend stocks in the near future to further amp up my portfolio strategy.

Is your portfolio down?

Let’s start a discussion in the comment section below.

Is your portfolio down?

And if so, how are you navigating through today’s bear market?

The community and I would love to hear from you.

You can follow me on: Twitter | Facebook | YouTube | LinkedIn


Why SPY Stock is The Perfect Retirement Vehicle

SPY Stock
$SPY Stock S&P 500 ETF Warren Buffett – SPY Stock

SPY stock was the very first stock I purchased when I first began investing back in 2019.

In fact, I bought shares of the index fund under VOO from Vanguard.

I bought in at around $320 per share, SPY stock price today is worth approximately $439.

It’s crazy to believe the S&P 500 was worth $44 back in the 90s.

It’s had a quite the climb and I’m excited to see my portfolio grow with this index fund.

franknez.com spy stock

Welcome to Franknez.com – today I want to discuss with you one of my favorite stocks and why I think it’s the perfect retirement vehicle.

Lets get started!

1. SPY Stock Growth

spy stock growth

SPY stock is the perfect long term growth investment vehicle.

The S&P 500 has an incredible 917% return since inception, and a 21.2% return year-to-date.

SPY stock is they type of stock that will always move in an upwards trend because the S&P 500 index tracks the top 500 companies in the U.S.

The sentiment behind business in the U.S. to always do better than the previous year.

Companies aren’t in business to consolidate for several years.

They’re in business to provide more value the following year than they did the previous year.

It’s this type of mentality that’s going to allow SPY stock to surge throughout the coming years and decades.

[Click here for a full list of companies in the S&P 500]

Did You Know Warren Buffett Loves The S&P 500?

Warren Buffett S&P 500
SPY S&P – Spy Stock

You might know Warren Buffett for being one of the most successful stock pickers of our time.

If you follow him you’re quite aware of how much he encourages new retail investors to invest in a growth driven index fund like the S&P 500, or SPY stock (VOO).

In fact, Warren Buffett wants to move 90% of his wealth into the S&P 500 after he’s gone.

The Oracle of Omaha even said he’s instructed the trustee in charge of his estate to invest 90% of his money into the S&P 500 for his wife after he dies, Buffett told CNBC’s Becky Quick in an exclusive interview on “Squawk Box”.

WOW! That says a lot about SPY stock coming from Warren Buffett himself.

If you think about it, it took Warren so many years of trial and error to figure out his best bet was to simply invest in a long-term growth index fund.

This leads me to believe that anything else in the market could very well be played short term to add to this long term retirement vehicle.

For instance, I’m heavily invested in the momentum stock, AMC.

I’ve made a tremendous amount of gains (on paper) but don’t plan on cashing out until it squeezes.

You can bet I’m parking a ton of cash in SPY stock.

#2. SPY Stock Pays Dividends

Spy stock dividend

The S&P 500 has a dividend yield of 1.25% and an annual dividend of $5.573.

A company provides dividends, or a ‘payout’ to its shareholders for holding the stock.

It’s a little lower now than it has been before (3-5% dividend yield) but this fluctuates.

Dividends are not the same as ROI or annual returns.

Investors love dividends because it allows us to either cash in this payout, or reinvest it back into the stock.

When you reinvest your dividends back into SPY stock, you begin accumulating fractions of the share which eventually leads to the stock buying another share on its own.

Put enough cash in SPY stock and this snowball can grow quite large over the years.

I’ve been personally investing in momentum stocks this entire year so I haven’t updated my SPY stock position just yet.

However, it’s one of my top stock picks for my long term portfolio.

Let me know if you own SPY stock in the comment section of the blog below. I’d love to know.

#3. Annual Return of 13.55% In Recent Years

SPY Stock Annual Return

SPY stock has had an amazing return of 13.55% over the past 3 years. Since inception, the S&P 500 has yielded an annual return of approximately 10%.

If you make $5 million dollars from momentum trading, pay your taxes, and put at least $1 million in SPY stock then you could be earning a whopping $100k yearly return.

If you put $2 million and leave yourself with the remaining in your pocket, well then now you’re earning $200k per year and have a cool $1.3 million in your pocket.

This is just an example of how new retail investors can use SPY stock as a long term retirement vehicle that will continue to multiply your profits.

Using this same example, I would personally leave $3 million in SPY stock and leave the $300k in my pocket.

Some of this money could go into other stocks or crypto, or even other momentum trades.

The S&P 500 Always Grows

Index Fund Growth

Through the ups and downs, throughout economic downturns and abundance, SPY stock has always grown.

When is the best time to buy the S&P 500?

In my opinion, when the stock is on discount.

During the COVID pandemic the stock market tanked but the wealthy made a lot of money.

How?

Because they took advantage of the fire sale and loaded up on ‘cheap’ stock, or ‘discounted’ stock.

As stock price began to rise again, the wealthy began to see profit.

This is how the rich get richer during economic downturns.

One thing is certain, SPY stock is safer than picking individual stocks to grow your stock portfolio.

And individual stock may become volatile or may plunge and maybe even go bankrupt.

And if a company goes bankrupt, you lose all your money in that company.

SPY stock on the other hand always levels out.

If a few companies aren’t performing too well, it can always be balanced or countered by companies that are doing extremely great.

This is what makes the index fund such an attractive asset to both novice and experienced investors alike.

Have you shown someone how to invest in stocks?

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If you know a family member or a friend who wants to learn how to invest in stocks but hasn’t yet, send them this step by step guide for beginners I created.

It saves you the time from teaching them by walking them step by step on how to open their brokerage account with Vanguard.

I inform them on the differences between a REIT, Index Fund, and Stock.

If you liked this article be sure to bookmark it or jot down the information for your future stock picks.

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Read: My top picks of stocks to invest in right now


These 2 Institutions Just Bought More AMC Stock

Institutions buying AMC
Institutions are buying AMC stock again

Often times when institutions buy a specific stock, it’s a strong indicator of their belief in the stock.

Whether that be short term or long term, it’s definitely bullish sentiment.

I’ve been saying for quite some time now that AMC has reached a new floor, and I think institutions know this too.

Let’s get right into it.

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Welcome to Franknez.com – the blog that brings you market news and trending stock and crypto plays.

Let’s get started!

Raise your hand if you’re getting tired of seeing AMC trade in the mid to high $30 level range?

I’m not, and I’m going to tell you why.

This consolidation period has allowed new retail investors to establish a position in AMC, and long-term holders like myself to add to our positions.

It has also given institutional investors a cooling period to study this new level of resistance.

We’re seeing a pattern here.

Institutional investors were bulking up on the stock before the big runup back in June.

Here are 2 institutions that just bought more AMC stock.

#1. State of New Jersey Pension Fund

The State of New Jersey Pension Fund has filed a 13F-HR form disclosing ownership of 296,465 AMC shares from it’s previous 229,643 back in July.

That’s a 66,822 share difference, or 29.10%.

State of New Jersey Pension Fund AMC

The file date is of last week, October 27th.

This institution provides active employees, retirees, and employers with pensions and health benefits.

I feel like an institution who provides this much value to their state and buys this momentum stock, is quite significant.

Whether they’re looking at AMC for a short squeeze or as a long-term investment, they’re sending signals money is to be made here.

As if we don’t know that, right?

#2. First Trust Portfolios LP

A more recent financial institution that just loaded up on AMC stock is First Trust Portfolios LP.

First Trust Portfolios AMC
Via. S3 Partners Security Ownership

First Trust Portfolios LP has been offering investment products and advisory services since 1991.

“When it comes to investing, it is critical to know what you own.” – First Trust Portfolios LP.

I’m going to have to agree with that 💯.

This financial institution just added 617,952 shares of AMC stock to their portfolio.

The filed date was November 1st of this month.

They now own a total of 762,328 shares of AMC Entertainment stock.

That means they owned 144,376 shares before going heavy!

And just from experience, you don’t go heavy unless you have a strong conviction in an asset.

So, What Does All This Mean?

These aren’t the only institutions buying AMC stock, they’re merely the most recent and biggest buyers at the moment.

We’re starting to see other financial institutions increase their positions at a smaller scale as well.

  1. Royal London Asset Management | 6,779 increase filed on November 2nd.
  2. Asset Management One Co. Ltd, | 8,292 increase filed on November 2nd.
  3. Nordea Investment Management | 1,638 increase filed on November 1st.

These numbers look small compared to NJ Pension Fund and First Trust Portfolios.

But the list of recent financial institutions buying AMC stock goes on and on.

Very few institutions have cashed out.

And if you look at it’s previous history, you’ll find that although quite a number of financial institutions took profits back in May, June, and July, institutions have begun to buy AMC stock at it’s current share price level.

It all comes down to pattern behavior.

Will AMC Have Another Massive Upswing?

In my opinion, the pattern behaviors are all too familiar to think otherwise.

When AMC set a new floor after its runup to $20, it consolidated and financial institutions bulked up on the stock before its next major run to $70 per share.

Well, AMC has set a new floor again and we’re starting to see institutional investors are buying and holding the stock again.

What’s it going to take for retail to see another massive upswing?

Patience.

Will the third runup be bigger than the second?

I certainly think so.

I’d love to hear your thoughts below.

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4 Meme Stocks Causing A Disruption In The Market

Meme Stocks Reddit
Meme Stocks List

Meme stocks have been causing a disruption all of 2021. You might have heard of the infamous GameStop and AMC rallies that originated from the Reddit group, r/wallstreetbets.

Here’s a list of meme stocks causing a disruption in the stock market.

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Welcome to Franknez.com – the blog where you can digest content on personal finance, entrepreneurship, and trending investing topics.

Lets get started!

If you’re new to the blog, be sure to browse the incredible library of financial knowledge when you’re done reading this post!

And if you’re not investing in stocks yet, bookmark this article where I walk my readers step by step on how to start.

What’s A Meme Stock?

A meme stock is a heavily shorted stock discovered by retail investors, usually on forums such as Reddit or other sub communities.

Retail investors will then hype these so called ‘meme stocks’ and immensely increase the buying pressure of a particular stock to drive the share price up.

How Long Does It Take For A Meme Stock To Go Up?

We’ve seen that these stocks may take a month to several months to see some serious upswings in the market. Retail investors pump the price by buying the dips and holding the stock until their mission is a success.

While not all meme stocks are pump and dumps, the concept is to pump a stock and hold it to further elevate the floor.

The end goal is to squeeze shorts from their positions to drive the stock price ‘to the moon’. Here’s the most current list of meme stocks seen in the community.

#1. GameStop, GME Stock

GameStop Meme Stock

Number one on my list is GameStop. GameStop notoriously put many short sellers and hedge funds under stress, starting this incredible retail movement.

GME stock began squeezing just below $500 per share before Robinhood halted buying pressure from retail investors, ultimately limiting its growth potential back in January.

This meme stock is currently up more than 1000% year-to-date. Retail investors continue to hold the stock in order to squeeze the remaining shorts from their positions.

Read: Will GameStop see a massive short squeeze again?

#2. AMC Entertainment, AMC Stock

AMC Meme Stock

And by far the most popular meme stock at the moment, AMC Entertainment stock. Retail investors who missed getting in early on GME stock saw AMC stock was heavily shorted and decided to bulk up on this meme stock.

The stock sharply rose up to $20 per share in late January before ultimately coming back down to $5 per share. After several months of ‘apes’ buying and holding the stock, AMC Entertainment stock rose to $72 per share and found a new bottom around $32 per share.

The meme stock has been trading in the low $50 range and is currently set up for a short squeeze.

Read: How high can AMC stock price skyrocket up to?

#3. GREE Stock (Formerly, SPRT)

Before its merger with the blockchain compamy Greenidge, SPRT stock had reached a high of $35 per share before ultimately plummeting back to $11. It has now merged with Greenidge and its ticker symbol is now GREE.

This meme stock perhaps lost its status as it still had potential to squeeze higher prior to the merge. However, this stock still caused quite a disruption for short sellers shorting the stock.

This stock has now become a long-term stock depending on your conviction towards blockchain technology.

Read: What does an SPRT merge with Greenridge mean for retail?

#4. Vinco Venture, BBIG Stock

Vinco Ventures Meme Stock

BBIG stock is a meme stock that surged from $1.25 to close to $11 per share. The stock’s retail momentum has it up more than 500% this year-to-date.

In order for you to have made massive moves with these stocks you would have had to opened a position in them earlier this year.

While investors who bought these stocks early this Summer still profited, investors who bought after could be breaking even or under significant gains.

These Meme Stocks Still Have Room To Squeeze

What’s mind boggling is that these meme stocks are still heavily shorted by hedge funds and short sellers.

I update the short interest data daily here for these stocks plus other retail favorites.

GME has been in the high $100s but has now reached $200 again. AMC finally broke its floor of $30 per share and is trading in the low $50s again. The other meme stocks show an increase of short interest data which means they still have room for growth.

Want To Stay Updated On These Momentum Plays?

If you’re thinking about investing in one of these momentum stocks, be sure to do your due diligence first before putting some serious cash first.

Once you have the data at hand, make an honest assessment for yourself and decide whether it is the right financial decision for you to make.

The AMC community has proven to be one of the most open, accepting, and positive communities so I definitely recommend checking it out even if it’s to see what the discussions are about.

Luckily, I update the community with trending stocks and keep an eye out on the data so you’re up-to-date on the next stocks to buy before they blow up. My readers who found out about AMC early this year are now up tens to hundreds of thousands of dollars!

And lastly…

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Carvana Stock Is Yielding On Average 750% Per Year!

Carvana Stock
Carvana Stock – CVNA

Carvana is currently the fastest growing used car dealer in the United States. And for good reason too, but more on that later. Carvana Stock, ticker symbol CVNA is up almost 50% this year-to-date.

The stock has had an incredible runup since its inception back in 2017 when it was only worth $11. The stock is up more than 3000% in only 4 years. That averages to an astonishing 750% yearly return! Will Carvana stock keep going up? Or is it overvalued now?

Franknez.com carvana stock

Welcome to Franknez.com – today I want to go over stats, charts, and predictions on Carvana stock. Why? The company might just have some more room for growth.

Lets get started!

I came across Carvana stock when I was actually looking up the previous BMW M4 model online. I was curious to see how they were doing in the market and that’s when I stumbled across Carvana.com.

It wasn’t until after my experience on the website that I decided to look at the Carvana stock price. I looked at the 1 month, 6 month, and YTD chart and wasn’t surprised.

There’s a lot I want to go over so grab a drink or a snack and hang out with me for a minute.

Why Is Carvana Stock Going Up?

Carvana has had a great earnings report both Q1 and Q2 of this year, 2021. The company beat Q4 of 2020 by 31.72% in earnings per share, and Q2 beat Q1 this year of 2021 by a whopping 165.21% in earnings per share.

Carvana earnings call
Carvana stock earnings call chart

The company is doing a great job at earning revenue and keeping a positive cash flow. Carvana earned $3.34 billion dollars in revenue this Q2 which is a 198.39% increase from Q1 when it earned $2.24 billion in revenue.

Carvana’s current net income this second quarter was a whopping $22 million compared to being negative last quarter. Carvana is seeing some positive cash flow now and for this reason is why Carvana stock is rising.

Carvana Quarterly Financials Q2
Carvana Stock Financials

Because Carvana is both a traditional business and eCommerce platform, we can expect more of the tech side to be automated in the near future.

Starting up the tech side costs money, which is why we are seeing the company finally begin to reach higher earnings. The eCommerce side of the business is now performing as it should, attracting more and more buyers to the user experience.

How Does Carvana Work?

See, at Carvana you don’t have to leave your home to purchase a vehicle. Carvana has done an amazing job at configurating every vehicle at their dealer for an online shopping experience.

What makes Carvana so unique is that no other dealer is doing this. Carvana buys vehicles and stores them at their locations. They then create an online model of the exact vehicle with 360′ degree enhancement that you can toggle right from your phone or laptop.

Carvana car model

The images are high quality and you get to look at the exact vehicle you’re looking to buy. They even display bullet points wherever the car has minor damage (if it has any) and provides you with an image of the discrepancy (as shown below).

Carvana Imperfection Model

What’s amazing though is the user experience. You also have the availability to view the interior of the vehicle and access the key feature information from within.

When you decide you’re going to buy a car with Carvana, they deliver your vehicle directly to your home. It’s this convenience in the marketplace that sells and why it makes Carvana an attractive choice to buy a vehicle from.

Carvana Joins The Fortune 500 List

In other stock news, Carvana joined the Fortune 500 List back in June of this year and is claimed to be one of the fastest rises to date.

The company is certainly making a ruckus in the industry. And this is very good for investors.

According to Fred Decker, a company should plan for at least a decade in business before going for the Fortune 500 status. Carvana has accomplished this in only 4 years of being a public company.

Carvana Fortune 500 Graph

Will Carvana Stock Keep Going Up?

Carvana stock certainly has room for growth. The company is still relatively new and as innovation and practicality grows, so will the company earnings and share price with it.

If we look at Carvana’s stock chart trend then we can see that it’s had a steady growth for the past 4 years in a row.

Carvana Stock Price History
Carvana Stock Price History

Even as companies shut down during the start of the pandemic in 2020, the company kept growing. It’s these type of companies that have innovation and an online platform that will be the future of America.

Just like Fiverr stock, the online sector is where scalability is massive. I believe Fiverr could be the Amazon for freelancers. This online marketplace is dominating its space by offering freelancers all around the world a place to sell their services from home.

Carvana’s eCommerce platform can allow people around the globe to purchase vehicles directly from them rather than going into a local dealership or specific dealership.

The potential is certainly massive in my opinion.

How High Will The Stock Go?

Carvana stock could be a great long term stock to hold. The company is still new with lots of room for growth. They are definitely changing the way we buy cars today. Like any eCommerce or tech company, Carvana stock has the potential to reach the high hundred mark to even 4-figures per share.

The company will have to continue to innovate and dominate in order to accomplish this. My Carvana stock prediction is that the price action will skyrocket throughout this decade.

There’s an online business boom that’s going to take place very soon as more and more companies begin to evolve. Whether it’s a hybrid online business model like Carvana, or a full online business like Fiverr, there is no limit to scalability online.

Consider bookmarking: An online business can make you a ton of money

Who Are Carvana’s Competitors?

Carvana’s competitors include both CarGurus and CarMax. Both of these companies sell vehicles but don’t utilize an innovative eCommerce platform such as Carvana does for it’s users.

Unlike Carvana or CarMax, CarGuru doesn’t have its own dealerships. CarGuru sells cars from other dealerships and gets a cut from prospects who contact the dealers straight from CarGuru’s website.

CarMax is a more direct competitor to Carvana, though it doesn’t use the tech Carvana does. Instead, it has a more traditional car dealer business model.

Carvana is in the lead and I believe the company will continue to further innovate down the road.

“The more awareness that’s being built, I think the more understanding and eventually adoption and acceptance of buying a car online,” he says. “Certainly when you look back 10 years ago, to where it’s gotten now, it’s been crazy the growth that’s happening there.” Words from Ryan Keeton, via InsideHook.

More People Want Online Services

According to a survey conducted by Root & Associates, 53% of U.S consumers would be either extremely or very likely to purchase a vehicle entirely online. 59% said they prefer to conduct business on a website provided that they’re able to test drive the vehicle before purchasing it.

86 percent of those surveyed by Root & Associates said that they’d choose to do business with dealerships that offered online sales rather than those that didn’t, via. The Washington Post.

Buying a car online survey
Buying a car online vs buying in person

Roots & Associates says that only 35% of dealers are interested in selling vehicles via their website. That’s incredible. It’s for this sole reason that Carvana has more market share online and are leaders in this sector.

Most car dealers aren’t even willing to take this route. They fail to understand that online business models are the future. It’s incredible to think just how far Carvana can scale their services.

Could they possibly one day sell more Toyotas nationwide than Toyota dealerships? We’re just going to have to find out now aren’t we.

Does Carvana Pay Dividends?

Carvana does not currently pay dividends to its shareholders. This is rather common for a brand new company with only a few years being public.

Offering dividends is something companies can incentivize to their investors as the company continues to grow and yield promising returns.

Right now, Carvana is in the growth process. Dividends could be an incentive for perhaps another year down the road as the car company continues to scale.

So, Is Carvana Stock A Buy?

Carvana stock is certainly a buy if you have a strong conviction towards the online business sectors and marketplaces. Online business models are scaling businesses quickly and shooting up their stock price as well.

The stock market has currently been volatile so I would personally wait for the markets to dip. If you’re able to catch Carvana stock while the market is on fire, I would buy the stock on discount.

People are a little weary of another stock market crash this year for 2021 but as Dave Ramsey says, we must stay calm and stay invested.

Stock market crashes are indeed the best times to bulk up on your favorite stocks at a discount.

How To Buy Carvana Stock

If you’re not invested in the stock market yet, first you’ll need to open a brokerage account using Vanguard or Fidelity for example, which are free to use by the way. Once you create your account you’ll be able to fund it and buy stock.

The ticker symbol for Carvana is “CVNA”.

If you’d like a step by step walkthrough on how to buy your very first stock, click this link to redirect you to my article that explains it for beginners.

Investing in stocks has allowed me to grow my net worth and multiply my hard earned saved money many times over. It’s incredible how applied knowledge can change your life forever.

If you’re planning to buy Carvana stock or are simply looking for stocks to diversify your portfolio, be sure to bookmark this page so you don’t forget this information.

I don’t like to write articles on stock unless I believe they have massive potential growth. Whether it’s a momentum stock or a long term play, you’ll hear about it here.

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Should You Pull Out Your Initial Investment In AMC?

AMC investment
AMC Investment

A tough question most won’t answer. I care about my readers though, and I’m always going to be 100 with you. A lot of you are up a lot of money in AMC stock. New retail investors will have their big break very soon.

However, if retail investors are to experience a short squeeze they’ll have to hold. When does it make sense to pull out your initial investment in AMC? And, is it worth it?

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Welcome to Franknez.com – today I want to discuss with the community something that might have crossed your mind before.

Lets get started!

AMC stock is up more than 1500% year-to-date. Retail investors who got in on the stock as of early this year are up significant gains. AMC Entertainment was up 3000% back in June. Most of us had never seen that much money in our lives.

New retail investors got in during these highs before short sellers doubled down their positions and shorted the stock back down. Yes some people sold but only a very small fraction of them.

AMC Finds A New Bottom

AMC stock has found a new solid bottom in the $33 range. This means the stock is set up for higher highs than its previous climb where $5 was the bottom.

Remember how we held AMC stock at $5 for quite some time before making its way up to $14? I strongly believe this is what we’re looking at right now with this new bottom.

AMC stock climbed to $20 before coming back down to $5. It climbed past $70 and has found a higher level of resistance around $30. The crazy thing is short sellers have yet to cover their positions!

They had the opportunity at $5, they have it $30, and they’ll have it well above the hundred(s) dollar range. So, if you’re a new retail investor who is negative on paper, I personally wouldn’t worry. The stock and the community aren’t going anywhere.

Not even after we squeeze shorts out of their positions.

Short Interest Keeps Increasing

AMC’s current short interest is around 19%, utilization is at 92.56%, and the shares on loan are at a whopping 111.67 million (via. Ortex)!

There are currently 550,000 shares available to borrow via. Fintel and we’re seeing the short borrow fee is going up again meaning short sellers are losing more money than they were last month.

AMC Entertainment continues to be the #1 play in the stock market. AMC’s beta is close to negative 4 meaning when the stock market crashes, AMC along with GME will do the complete opposite. They’ll shoot up.

Negative beta is rare and we know this play is rare. We’re not f#%!* leaving!

Should I Take My Initial Investment Out In AMC?

There are a few factors that play into this strategy. Here are some questions you need to ask yourself first.

  1. Do I need the money? (Emergency, family, etc.)
  2. Can I leverage this money? (Reinvest for more stock, other plays, etc.)
  3. Have I made enough to where it will not affect my position?

You Should Not Be Suffering

Does your family need the money this very moment? If so, then take care of your family’s needs first. If you don’t end up using the entirety of that initial investment then you can always average down by buying the stock at the current asking price.

Leveraging Your Money

This is going to be harder now since AMC has found a new bottom. This would make sense if you sold stock high to buying more low. If you did this then you now have more shares then when you first began this journey.

Here’s why this doesn’t bother me.

  1. You’re learning the market, you strategized and are now in a better position than you were.
  2. You BOUGHT MORE.

Money is a tool and you leveraged it to multiply your shares. You wouldn’t have done this if you don’t plan on continuing to diamond hand this trade until shorts are squeezed out of their positions.

To the very few who were able to strategize this, kudos to you.

Does It Even Make Sense At This Point?

Those of you who are up significant amount of money, does it even make sense to pull out your initial investment?

In my personal opinion, I don’t think so. This new floor is allowing us to add to our position, not to take away from it. It made sense to do this up at $70 per share but it doesn’t anymore.

Selling stock, or claiming your initial investment now could tarnish this new and beautiful level of resistance. Now is the perfect time to add.

How About As The Stock Goes Up?

As the stock goes up, we’re going to want to let it ride up naturally like it did last time. Selling as the stock goes up is going to affect the momentum, we wouldn’t want to do that.

Instead, we can look at the pattern and see whether the stock reaches a pinnacle before ultimately finding a higher level of resistance again like we saw from $5 to $30.

And again, this is only if you would really need some form of cash at hand for your family during this point, or whether you plan on buying more shares, provided that the stock goes down.

In this narrative, shorts would have not covered their positions either. Once shorts cover their positions it’s a whole other ballgame. This is where you want to hold the stock and not try to sell some to buy more because ultimately you wouldn’t be able to buy more as the stock surges.

Don’t Scalp AMC Stock

If you must take your initial in AMC out do not scalp it. Instead, let your gains do all the work with peace of mind that a short squeeze is inevitable.

Scalping AMC is like shorting AMC. Taking profits during spikes for short term gains aren’t going to play in your favor, especially if you’re in it for a short squeeze.

Read: AMC stock August prediction: Short squeeze update

If You Don’t Need It, Leave It Alone

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This is your safest bet towards trading a short squeeze play. The commonality in the community is we all want to trigger a short squeeze.

We all know this cannot happen if we all sell, right? In the end, diamond hands will bear the sweetest fruit and those who continue adding to their positions are essentially multiplying that fruit.

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AMC Stock Is Not Bearish, It’s Apeish And Here’s Why

AMC Stock is Apeish
AMC Stock Update

AMC Entertainment stock is up almost 1500% year-to-date and it seems to have found a new floor around $30. Retail investors are wondering what in the world is going on with AMC. Wasn’t it supposed to keep going up?

This is actually good news apes. The first time AMC stock rose to $20, it found a new floor at $5 per share. We then saw the stock reach as high as $70 per share with purchasing volume momentum. The bottom multiplied by 14 times!

Think about what this means for AMC now that it’s reached a new floor. This new floor of $30 per share is 6 times that of the previous floor. So what if we multiple the new bottom by 14? That’s $420 per share.

Franknez.com

Welcome to Franknez.com – today I want to talk about what’s going on with AMC stock, why has it been trading downwards, and when will it start moving up again.

Lets get started!

Although short sellers managed to drive AMC Entertainment stock a little below $30 today, price is only psychological and I’m going to explain why.

How Do Shorts Keep Driving Price Down?

Dark pool percentage has been extremely high recently. Although trading behind closed doors is driving AMC’s price down, this can actually be seen as somewhat good news.

Why? Because hedge funds are running out of options and are being backed into a corner. See, it’s all psychological warfare now. It’s about coming up with strategies to get the retail investor to sell his or her position.

Because when you sell, you lose; especially if you cut your losses. This could explain why the short borrow fee has been so low for months now. It’s possible naked shorting occurring in dark pools is causing. Look at this dark pool percentage, via. STONK-O-TRACKER.

Dark Pool Trading

Dark Pool Data AMC
AMC Dark Pool Data – 64% AUGUST

64% of short selling has been through dark pools. This is how hedge funds have been able to drive AMC’s share price synthetically. The price we’re currently seeing with AMC is the byproduct of market manipulation.

Regulations are being put into place but we must take these with a grain of salt. They are either bullish or neutral. It’s important to keep making noise and getting the attention of the media.

AMC’s stock price is psychological. Short sellers are facing massive scrutiny from government parties. Our government does not want to baby sit these hedge funds anymore. We must give law-makers the benefit of the doubt and maintain a positive mindset towards change because it starts with us as a community first.

Downward trends heavily influence volume. Apes understand that buying the dips is how short selling is countered. However, most new retail investors aren’t apes; they’re simply new retail investors.

There’s no doubt in my mind there are some new retail investors who cut their losses. I know apes have not – we did not come this far as a community to give up.

Institutions Buying AMC In August

I understand a few of you want things to happen now, it’s only human. However, apes aren’t worried because:

  1. Shorts have not covered yet
  2. AMC continues to be the #1 shorted play in the stock market
  3. And 3, institutions continue to take advantage of this dip

That’s right. Large institutions are bulking up on AMC stock right now.

AMC Institutional buyers August
AMC Institutional Buyers August

As you can tell, large institutions have increased their positions in AMC stock during these red days. If AMC was a losing play, why are large institutions buying the stock?

It more than likely has to do with the same reason the AMC community keeps buying it. AMC is primed for a short squeeze. We’ve been talking about for months now about a dip before the rip.

This could very well be the last time retail investors can pick up shares for the price point before short positions are covered.

Now I want to show you just how strong the the top 10 AMC Entertainment stockholders’ conviction is towards AMC stock.

Top 10 Owners of AMC Entertainment Holdings Inc

Top 10 Institutional owners of AMC Stock
Top 10 Owners of AMC Entertainment Stock

It seems even whales are beginning to adopt this apeish movement. AMC Entertainment’s top 10 institutional investors keep bulking up on the stock.

Think about that for a moment. They’re not selling, they’re holding and buying just like us. Ladies and gentlemen, AMC Entertainment stock is not bearish, it’s apeish.

Names you’ve heard are probably Vanguard, BlackRock, and Charles Schwab. Charles Schwab is a whale and if you remember, they just recently raised the margin requirements for short sellers shorting both AMC and GameStop stock.

Vanguard is also a trading broker that has never halted or restricted buying of any ‘momentum stock’. The top AMC institutional investors want to make money. If they’re data wasn’t telling them AMC is primed for a short squeeze then why would they be buying the stock after all these months?

Patience is a virtue, community. AMC’s current share price is psychological. If you’re a new retail investor that’s on the brink of selling, well; it would suck if you sold right before this squoze right? Ouch.

No Amount Of Shorting Can Bankrupt AMC Entertainment

This is important to remember, AMC has cash now. No matter how low short sellers make the stock to appear, your moon tickets are still worth what your conviction towards the stock tells you they’re worth.

What if someone actually knew when AMC would squeeze? What if they told you it would squeeze later this month or by the end of this year? Would it make holding easier?

I’m sure that released a small dose of dopamine didn’t it? See, we’re scared of the unknown. We want to know. In our situation, we have to rely on our conviction towards the stock and its data.

If you build a strong conviction towards the stock and the data holding becomes so much easier. I don’t know when AMC will squeeze but I do know the data says there’s a massive probability of it happening. And I am excited for the future. Because ultimately this worry and anxiety you’re experiencing as the stock price is going down won’t matter.

And you my friend would have built a stronger character during your transition to that new chapter.

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Franknez.com

Lets be honest, we all have to hear it. When I’m feeling low I borrow strength from my Discord community or through community leaders producing content and DD on AMC topic. We all feel it from time to time.

So, if this article gave you a little bit of strength, help guide another ape.

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