SeaWorld (SEAS): SeaWorld has been the subject of much attention in the media recently with the documentary Blackfish, which aired in July. At that point the stock price was hovering around $38 a share. After the outcry and the popularity of the movie, the stock dropped 25% in the following months. Unlike the documentary though, money is not emotional. Despite what the early sellers speculated, the actual business of SeaWorld has not been crushed by the public. In fact, their revenues have been record-breaking, and it’s time to take advantage of the emotions to make some profit. This is despite the polar vortex and negative press that should have hurt them. After they reported, the stock bounced up to $33, and I think there is good upside potential as the ‘Blackfish Effect’ wears off. With the two main negatives (weather and press) slowly leaving them, SeaWorld can break back up to the target level of 40.
And now for a review of other popular stocks…
Facebook (FB): Up 58%. When we were looking at Facebook as a buy or sell back in August, one of the main reasons their stock was up was because of ad revenues from mobile. That trend continued as the company continued to improve their revenues from mobile, beating earnings again.
Apple (APPL): up 7%. The tech company rebounded with the release of new, cheaper phones with the market, but eventually lost some gains on weak iPhone sales. As other companies continue to carve out the market, they will need a new product to bounce back up.
Dunkin’ Donuts (DNKN): Up 7%. Steady growth from Dunkin’ as they continue in their attempts to expand into different markets within the United States.
Boston Beer Co. (SAM): Up 22%, but lost those gains due to weak earnings. As more people enter into the craft beer business, it’s going to be harder for Sam keep up with their growth, but they still stand as the largest American craft brewing company.
Ford (F): down 12%. Ford took a hit on lowered sales projections, but this was more of a long-term buy then the others. The economy is still recovering and Ford will recover with it.
Tesla (TSLA): Down 37%. Tesla has been a fun stock to watch for a while. After the rapid growth without any earnings, the stock shot down 37%, giving us some nice profits on the short. It has recovered since, but is fragile without a profitable company behind it.
Twitter (TWTR): Up 41%. Twitter IPO came out and surprised many by coming out much higher than expected and has only risen since. With Facebook having made many of the mistakes that Twitter might, they have done much better in their first few months.
Overall up 22% in the last 6 months!