Investing trend for Stock markets

babyme

babyme 发表于 2016-12-11 01:25
PE. Price to earning ratio

For Amazon sky high number is 175.
Avg stock is between 15 and 22.

For Car manufacturers they are in SINGLE digits, except of course Tesla.

babyme

After my BIG loss in Oil tankers (down to zero), other high tech (LED lights and 3D printing), I am more tempted to go with ETF (exchange traded fund) which covers a sector or just blanket stocks,   such as QQQ, SPY, SPDR.  But have not done so yet,  waiting for a correction (down 20%) to get in and buy and hold.  (ie, not trading after purchase).

QQQ nasdaq 100 stocks
SPY  S&P (standard and poor) 500 stocks
SPDR  Dow Jones 30 stocks.

So it has a range of stocks in the ETF,  few might go up and few might go down,  lower risk.

So market goes up, your portfolio goes up.  market goes down, your portfolio goes down.  Actually LOWER risk as you are NOT picking indivdual stocks.

dragondick

babyme 发表于 2016-12-11 01:25
PE. Price to earning ratio

Ah, you forgot the "ratio" after PE which confused me.

FYI, not every 747 brother is a finance/investment wizard like you.  

dragondick

babyme 发表于 2016-12-11 03:28
For Amazon sky high number is 175.
Avg stock is between 15 and 22.

Tesla, based on my knowledge of cars, should be in big trouble, once the big boys wake up to Tesla is making inroads to their market share.

babyme

dragondick 发表于 2016-12-11 04:46
Tesla, based on my knowledge of cars, should be in big trouble, once the big boys wake up to Tesla ...

GM got BOLT and VOLT  B EV V hybrid (should not get names so close, confusing).  BOLT is coming out from Michigan with range of 200 Miles (super high number) with 7500 federal subsidy.
Tesla got preorder of new model for 2017 or 18 with 40k price range.  So GM got a potential to go higher if BOLT works out.  PE is single digits though Sales in triple digit Billions (152 to be exact)

But Tesla main selling feature is the BATTERY pack being built in Nevada with Panasonic.

That battery will not only power cars, but HOUSES with the Solar City Solar TILE (built in and NOT ADDON solar panel).  There are only limited number of Lithium mines in the world.

babyme

Interest rate increase pro  and con

1. USD will be higher vs CAD
2. Stock Market may go down due to tightening via interest rate increase.

Oil market may increase CAD vs USD exchange   Higher CAD

babyme

babyme 发表于 2016-12-12 07:37
Interest rate increase pro  and con

1. USD will be higher vs CAD

Just as expected.  Rate went up 25 basis points.

USD went up 1% vs CAD.
Wall Street went down as a result (so depends on what you are holding or how much,  Win and Lose).

Oil price also went down, so further hurting CAD.