Trade Call: Sell Cash Secured Puts on Uber (UB)
"So, for me, since I want to buy more of this stock, what I'm going to do is utilize an option strategy. I'm going to sell a cash secured put which is going to allow me to potentially purchase this stock at a price I'm comfortable buying it at. And while I wait, I get paid an income immediately. So, taking a look here at the option chain for Uber, we are looking at the expiration date about 30 days out with November 21st. The two strikes that I'm honing in on to sell puts on would be the $90 strike and the $85 strike. The $90 strike would earn me around $290 in income for one contract. The $85 strike would earn me almost $150 in income. So, I'm close to earning $450 in income if I did one contract at both of these strike prices. I would be committing to purchase 100 shares of Uber at $90 and 100 shares of Uber at $85 if they were to fall below these strike prices before expiration."
The speaker outlines a clear trade call on Uber (UB) by selling cash secured puts with strikes at $90 and $85, expiring about 30 days out. The strategy is designed to generate immediate income while positioning to purchase more Uber shares if the price declines, showing strong bullish conviction on the stock.
Primorus Trade Call: Capitalizing on Energy Construction Bottlenecks
"So, uh, Primorus, P R I M O R I S. Primorris. And you know, we don't have to make a bet on Nvidia. Like, everyone's saying, what would you do with Nvidia? I'm like, I don't know what I do with Nvidia, right? I mean, just there's so many people looking at. I'm not, I'm not saying it's good or bad. I'm just saying where do we have a better riskreward? We know where Nvidia is spending. We know where all the hyperscalers are spending on AI. And the bottleneck for AI is not chips. It's not not having enough chips. It's not having enough software engineers. I mean, yes, they're going to need to find them, but the real bottleneck is electricity. And you can't generate more electricity without construction. And so, Primorus is a construction engineering company that focuses specifically on energy and utility companies, meaning on building out electricity generation. And right now, that is the big bottleneck. And so as long as companies need that more electricity, this company which specializes in construction engineering, this is going to do very, very well. On top of that, yes, the stock has already doubled or more, and when we look at it, it also has uniform earnings numbers that are increasing and growing strong, I would say accelerating."
This trade call highlights Primorus as the stock to watch due to its focus on construction engineering for energy and utility companies. The speaker emphasizes that in a market where electricity generation is the bottleneck for AI and overall growth, Primorus has not only already doubled but also shows strong, accelerating uniform earnings momentum, making it an attractive risk/reward opportunity.
Trade Call on Drug Company Serrea
"I bought a drug company stock recently called Serrea. Serrto is trading at one or two times sales, and in the history of pharmaceuticals it\'s very rare to get these kinds of assets at such multiples. There was still a risk, but it was disproportionately likely that I would profit. In contrast, with Beyond Meat you\'re just playing musical chairs. Unless you can clearly justify why in the long term the stock is worth significantly more, it\'s a gamble."
The speaker presents an explicit trade call for a drug company, Serrea, noting its attractive valuation at one to two times sales. He contrasts this opportunity with riskier plays like Beyond Meat, arguing that Serrea provides a more favorable risk-reward profile.
Trade Call: Trade Desk Offers Attractive Valuation
"And last but not least the trade desk trading at a current market price of $53 per share. The fair value I calculated for the trade desk is $67 per share. I'm estimating its free cash flow grows from 790 million in 2025 to 3.6 billion in 2034. I recently bought the Tradeesk stock and added it to my portfolio. The trade desk is trading at a cheap valuation because of increasing competition from the likes of Amazon and Netflix, yet it operates in the digital advertising industry that's estimated to reach $1 trillion in spending soon."
The speaker highlights The Trade Desk as an attractive buy at a current price of $53 versus a fair value of $67, underpinning the call with forecasts for significant free cash flow growth and long-term industry tailwinds, despite competitive pressures.
Trade Call: Hold Fairfax India for Long-Term Growth
"So I personally use some of the parts valuation and I think you should apply 20% discount to that NAV. That's my view. I think people shouldn't be too scared of some of the partial valuations. It's just the fact that if you're buying a company that isn't growing, that isn't paying out dividends, yeah, you can get stuck there for a long time. But in this case, you have like this immense growth tailwinds in terms of the Indian economy and also passenger growth. So I'm very happy to sit on it and if it trades a 20% discount forever, completely fine. I think it's going to grow. The value is going to grow 10% per year if you apply multiple, you know."
Michael Fritzell expresses confidence in Fairfax India despite its current 20% discount to NAV. He highlights the companys strong growth tailwinds, driven by a booming Indian economy and rising passenger numbers, and states his intent to hold the stock long-term, expecting a 10% annual growth in value.
Trade Call on PWL via the 4-Hour Algorithm
"Well, Gary, you brought this one up yesterday. How did I know?"
The speaker emphasizes that PWL was a strong performer based on his 4-hour algorithm. He explicitly recalls that if you had used his algorithm, you would have bought PWL at 244 on August 11th following a golden cross, suggesting a high-conviction entry.
Trade Call on Oracle (ORCL) Below $300
"And Oracle, I had said this, hey, get Oracle under $300. I've said get Oracle under $300. It was a good one. Want to know why? This one pumped. I mean, let's look at the chart on this one. Because the chart on this one, this one pumped all the way up to $321. Okay, I'm sorry. 322 just last week. And it's going to pump. It's going to cover this gap down, but as you enter this gap and you get down here under $300, I still think that this is a good stock to buy."
The speaker recommends buying Oracle if it dips below $300, citing its recent strong upward movement and potential to cover the gap. The call is supported by technical chart observations and recent price action.
Trade Call on DPST (Triple Leveraged Regional Banks ETF)
"I wrote on Friday that I was looking to buy DPST. What is DPST? It is a triple leveraged ETF on the regional banks. I want to buy the dip. So I set an alert and Trend Spider. Hey, tell me when this is a buy in the 4hour algorithm. Now, does it beat buy and hold? You bet. Over the last two years, it makes 160. This is a triple leveraged ETF. You should not be holding. It should not beat buy and hold. This is a decaying asset. And yet DPST has beaten buy and hold. It wins 43% of the time."
The speaker details a trade call for DPST, a triple leveraged ETF on regional banks. He emphasizes buying the dip using technical alerts from a 4-hour algorithm and highlights its historical performance against buy-and-hold strategies, despite its intrinsic decay.
Trade Call: Sell Cash Secured Puts on HUD8
"So, lets get this out of the way. Im bullish on the business, but Im not chasing the stock here. In the last 6 months, the stock has rocketed up 306%. Im looking to build a position the right way, either on a pullback or through consolidation where the risk gets reset. This is not a core position. This is a high-risk, high-reward name that could explode higher or get chopped in half. So, Im treating it that way with tight sizing and a clear plan. Right now, Im going to sell cash secured puts where the math is stacked in my favor. Im getting paid to wait and if the stock pulls back into my levels, Ill get assigned into a price I actually want to own."
The speaker outlines a trade call on HUD8 by selling cash secured puts. He explains that despite the stock's 306% surge in the last six months, he prefers to build a position on a pullback or during consolidation. The strategy highlights tight position sizing and a clear plan to enter at a more attractive price, positioning it as a high-risk, high-reward opportunity.
Sell Call on Underperforming Trading Desk Stock
"The worst performer, the Trading Desk, is showing a short-term 200-day moving average down and a 50-day crossing down. It was a sell in the quant, and I should have sold this a long time ago."
The analyst presents a clear sell signal for a stock referred to as "Trading Desk" due to its deteriorating technical indicators, including declining long-term and short-term moving averages. The recommendation is to exit or avoid this stock.