Tag: Stock Picks

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.

And lastly…

Franknez.com

Thank you for reading Franknez.com. If you found value in this blog article you can subscribe to the newsletter for more like it! You can also support the blog by giving this article a social share.

Twitter | Facebook | Instagram – Exclusive content on Patreon


AMC For Dummies Written by An Ape

AMC For Dummies

Written by Grant Medford

I stumbled across AMC back in late January of 2021. I heard of the large gains that people were making on GameStop, and had heard that AMC was next. Since I’m a human being who needs more money in my life, I took some savings and extra cash and bought a handful of shares.

Little did I know that I would begin a journey down a rabbit hole that, to this day, amazes, frustrates and excites me.

I’m no professional investor. I don’t have “Financial Advisor” on my LinkedIn profile. I’m actually pretty terrible with money. But, I love making money and I love going to the movies.

So, throwing a few dollars toward something I love in hopes that it makes more, seems like a sure thing. But, I’ve discovered in these past few months of buying and HODLing, that sometimes sure things take patience and knowledge.

So, what have I learned in the past few months? Maybe you’re a first-timer like me. Perhaps a buddy convinced you to buy a few stocks because he dangled an #AMC500K carrot in front of you. But, you’re still confused. I get it. It’s confusing. 

Let me highlight the bright points of the past few months and catch you up to speed.

It starts with SHORT SELLING.

Short selling is the practice of borrowing a stock from someone and selling it at market value. You then drive the price down through media attacks on the company, or FUD – Fear, Uncertainty and Doubt. Once the price is sufficiently driven down (or the company is bankrupt), you buy the share from the market at the reduced price and return the share you borrowed.

Your profit is the difference between what you sold it at and the price you paid to return the borrowed share. In the case of a bankrupt company, the shares are voided, you don’t have to return anything, and you keep the straight profit.

AMC was the target of these institutions. These institutional investors are called Hedge Funds.

It continues with MARKET MANIPULATION.

What tactics do institutions use to drive the price down? There are many. They can spread bad news about the company through the media outlets. They trade borrowed shares back and forth between other institutions to delay paying back the shares in a timely fashion (borrowing shares does cost them – they do pay interest on those loans, however.) 

They can create synthetic shares – fake shares that are introduced into the market on the promise that real ones will be found at a later date eventually.

These fake shares can then flood the market to increase supply and drive the price down. Supply and demand are the name of the game. The more shares there are to buy, the less the price is. The fewer shares there are, the higher the price goes. This is how the market works. 

Another method of manipulation that has been recently discovered is trading through dark pools. This ominous-sounding system was actually created, innocently enough, so that large firms could buy and sell massive amounts of shares without dramatically affecting the market and thus, dramatically affecting the price of the stock. 

Hedge Funds have been using these dark pool trading systems nefariously to drive the price down. They buy the stocks in the dark pool (unaffecting the market) and then sell the shares in the regular market, driving the price down through increasing supply of the stock.

Enter the APES.

Apes are the term used to describe the retail investors who are trying to stop hedge funds from shorting AMC stocks and destroying the company.

For a description of the various terms used by the Ape community, check out Christie Smythe’s article, The r/WallStreetBets Glossary. These retail investors are attempting to “squeeze” the price of AMC stock and save the company from bankruptcy.

What is a “Squeeze”?

Remember earlier we spoke of how the hedge funds are borrowing shares, selling them, then purchasing them at a lower price through manipulation? Well, the strategy of the APE Nation is to buy all available shares of the company and hold on to them.

When the hedge funds do have to finally return the shares they borrowed, the only shares available would be the ones owned by retail investors. If the Apes are unwilling to sell their shares back into the market, it dries of the supply of shares and forces the price of the stock higher and higher – thus “squeezing” the price of the share.

Because no stock has ever been shorted as much as AMC in the history of the market, no one really knows how many shares are actually in the market or how high the price will go. The longer the retail investors hold onto their stocks, the more the price increases, causing what is known as MOASS – the Mother Of All Short Squeezes.

MOASS TBD

AMC MOASS

No one knows when the squeeze will happen. The Ape community has an incredible network of people who are doing great DD (Due Diligence) or research in order to watch dark pool statistics, chart movements, shorting statistics and media influence.

They are also watching the Securities and Exchange Commission (or SEC), the government watchdog for criminal and unfair market practices. The SEC is regularly investigating the markets for abuses and are producing filings that provide regulation to these unfair and criminal market activities. The more we learn from each other and share information, the faster the process speeds up.

What’s next with AMC?

No one can tell you what to do with your money. But, the fact that you’ve read this far tells me you want to learn. I, too, was in your shoes back in January of 2021. If I was going to invest my hard-earned money in a system I knew very little about, I knew I had to do some research.

Hopefully, this article has kicked-started that process for you. The more you research, ask questions, and listen to others who are on the same journey as you, the better off you’ll be to make smart decisions about your ownership in AMC stocks.

There are millions of people just like you. You’ve joined a movement that pays some great dividends and could leave lasting change in the American stock market. Be a learner, be an investor. Be a change-agent.

Written by Grant Medford

Grant Medford franknez.com

You can follow Grant on Twitter @Grant50909896

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


Twitter | Facebook | InstagramPatreon


Is It Worth Buying 10 Shares Of AMC Stock Right Now?

Is it worth buying 10 shares of AMC stock right now?

AMC Entertainment stock (AMC) has taken over the financial world. AMC stock is up nearly 3000% and it hasn’t even squeezed yet. The stock is currently trading at $51.96 per share.

Perhaps you’ve been debating whether you should get in and purchase something. Don’t feel bad if fear of missing out is kicking in. Here’s what you need to know.

franknez.com

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

Lets get started!

Despite the desperate attempts from the manipulative media to divert the public from buying AMC stock, new retail investors continue to educate themselves.

Disclaimer on the home page, I am not a financial advisor. Why would anyone want to be a financial advisor any when most don’t even follow their own advise. With that being said, I have a passion for guiding people. If there’s an opportunity on the horizon then I will share it with you.

It is up to you whether you want to take it or not. AMC Entertainment stock is that opportunity at the moment.

Will AMC stock keep going up?

I just recently published an article on the technical setup that shows us the support levels that will take AMC to $100 per share. This post goes over the levels of resistance the stock will need to break in order to continue surging.

Zoom out to the monthly chart and you’ll notice that AMC stock has had a very bullish run based on what seems to be merely volume. Retail investors are buying the stock to squeeze short sellers out of their positions.

This event is what is known as a short squeeze. A short squeeze could skyrocket this stock beyond comprehension. How high can AMC stock go? Retail investors will have to hold their positions long enough to find out.

What you need to know before buying AMC stock

I published a list for new retail investors on 6 things they need to know about holding AMC stock. In short, they are:

  1. To detach your emotions from this stock trade
  2. Shun negative people
  3. Hedge funds are playing dirty
  4. Don’t invest more than you can afford to lose
  5. Share positive content and due diligence to help new retail investors
  6. Be patient

I’ve been buying and holding AMC stock since early February. I’ve seen the price go up from $5 to where it’s currently trading. And although at some point I was under $9K (on paper), I’m now up close to 6-figures.

BUT, I’m not cashing in. That’s because my conviction in the stock is #AMCSTRONG.

The AMC community is holding for many reasons. Everyone has a story. And the beautiful thing about this movement is that the data tells us there’s no ceiling as to how high this stock can go.

How much is 10 shares of AMC stock worth?

AMC’s stock price as of July 5th is worth $51.96. This means you 10 shares will cost you $519.60. This is the average cost of a car payment today.

Where will your investment be when AMC is trading at $100 per share? Your 10 shares will be worth $1,000.

So, is it worth buying 10 shares of AMC stock?

Considering you can double your money short term, this might be a good trade for the novice retail investor. However, you must know that if hold the stock, you might just be able to make a life changing trade.

The AMC community is not planning to cash in at $100 per share. No, the community is riding this out for the short squeeze where the potential is well above 4-figures and beyond.

I’m personally building capital to multiply in AMC before it goes to $100 per share. However, I will not be pulling any investment out until short sellers have been squeezed from their positions.

If you’re an AMC shareholder, not only do you own the biggest movie theater company in the world, but you hold a very valuable ticket to financial freedom.

Read: How to invest in the stock market (step by step) for beginners

What are the risks of investing in AMC Entertainment?

The number one risk is always never taking the risk. This of course is merely my opinion. And that of many highly successful individuals but you can make this assessment for yourself.

If you’ve been watching the stock for quite some time but haven’t gotten in, your risk increases as the stock price increases. Your chances of making significantly more money on this trade decreases by a bit.

If you plan on getting in on AMC for this 9/10 squeeze potential rating by Fintel then you don’t have much to worry about regarding entry price. Just try to buy on a red (discount) day or during a dip.

AMC short squeeze score fintel

The only scenario where you lose money is if you get in on AMC stock at $60 for example, it drops down to $55 and you take your money out because this small drop scared you.

This is not the way it’s played. The market does this, it goes up and goes down. AMC is currently bullish despite the high consolidation at the moment. It’s nature at the moment is to trend upwards.

If you’re a seasoned ape reading this article, you’ll have to identify whether buying 10 shares at this price is going to make a difference to your portfolio. It may not be a lot of shares from a glance but it a few thousand can add up.

Join my Discord community

AMC with Frank Nez now has over 2,100 members of both new and seasoned AMC shareholders. Our new members are learning something new every day!

I created this safe community for your voice to be heard and for new information to be shared. I constantly get complimented on this Discord group. My response is always the same. It’s you who makes this community great.

Here’s a personal invitation to the community. See you there!

You can support the blog on Patreon where you will also be able to access exclusive Frank Nez content.

Twitter | Facebook | Instagram


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

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.

welcome to franknez.com - the blog where you can digest content on personal finance, side hustle ideas, entrepreneurship, and trending investing topics.

Welcome to Franknez.com – the blog where you can digest content on personal finance, side hustle ideas, 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. Lets 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

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 stocks short squeeze DD (due diligence) here.

Are you already investing in one of these stocks? Lets begin a conversation. Leave me a comment below.

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

Exclusive content on Patreon (250 Members Challenge!)🎉. Also, join Frank’s Forum for momentum stock discussions as well as crypto topics!

Twitter | Facebook | Instagram


© 2021 Franknez.com

Theme by Anders NorenUp ↑

%d bloggers like this: