Market Resiliency, Space Faves, U vs RBLX, And More

Here’s the transcript from this week’s Trading With Cody Live Q&A chat.

Q. What is your view on S&P in coming weeks?

A. It’s been so resilient all year that it’s hard to say anything but that it’ll probably continue to be resilient, but I do have a S&P 500 short hedge on in the hedge fund right now as I often do. I’d rather short the SMH or the IWM than the SPY right now though.

Q. Cody, feet-to-fire, will there be a Santa Claus rally this year?

A. Probably not, but see my previous answer about the S&P 500.

Q. After the last earnings report it felt like you backpedaled on BKSY a bit. Is BKSY still your number two space stock after RKLB?

A. RKLB is the best publicly-traded space stock, the rest are not as good. I don’t really have a favorite “number two” but BKSY and RDW are decent Space Revolution plays too.

Q. You had been cautious on TSM for a while, but it seems to have regained its footing. Would you buy more here? Likewise, NVDA seems to just never stop. Hold forever?

A. Yeah, we’ve owned TSM since May 2019 when it was at $38 and we’ve owned NVDA since 2016 when it was at, yes, $8 per share. I consider both to be forever-holds.

Q. I still have AMD, even after your trade alert to sell. I kind of want to sell to free up some cash. What are your thoughts?

A. It’s a great company but it also feels like it’s in the midst of another blow-off top.

Q. Roblox has doubled in about 10 days. Is this a stock you would ever consider? Likewise, I see Unity is down about 30 points from the highs. Is it worth a second look? Thanks.

A. I have looked at RBLX many times but just couldn’t get comfortable with its valuation. I like U even better but it’s far from cheap too.

Q. Cody, can you have your biotech analyst share his thoughts on PRVB? Todays developments should make his bullish case even stronger.

A. I talked to him about it pre-market. He said it’s good news, but pretty much what we expected and that PRVB will still have to go through a process of approval over the the next couple months as expected.

Q. Cody, any comment on INFI’s continued weakness? Are you adding?

A. INFI is still quite a bit above where we bought it when I sent out the Trade Alert a few months ago and I’m mostly sitting tight with the shares I have left.

Q. Any interest in revisiting CRSP? It is sitting close to 80, down 63% from its $220 fifty-two week high and getting close to where you initially bought it a couple years back. With a P/S under 7 with nice revenue growth projected this quarter, per yahoo.

A. Nah, I’d rather own BEAM than CRSP, I think.

Q. Has Cody said anything about the ABNB continuing decline? Are we buying more or selling this one?

A. On November 5, when the stock was 10-15% higher than it currently is, I sent out a Trade Alert mentioning that I was trimming it and several other names into the Blow-Off Top action. I’m not adding any more to the personal account yet, but I did nibble a little bit back in the hedge fund today when the stock was down close to 7% or so.

Q. Cody, what do you think about Uber? Since we bought it, it’s been stuck more or less in the mid $40’s.

A. UBER’s not performed well for us, but neither has it tanked like a lot of App Revolution stocks have over the past two to eight months. I like their business model and penetration and critical mass and management and I’m holding steady and/or looking to buy more below $40 again.

Q. How would you rate SNAP here at the sub 49 level?

A. I’m warming back up to SNAP in the $40s here. We trimmed higher and it’s come down a lot along with so many of the broader high flying stocks that I’ve been warning about all year.

Q. How long do we hold onto JD? Is this turning into a long term pick, or would you sell it if it reached, say $100?

A. Most all of my stock picks are meant to be very long term picks. I bought JD at $25 when I turned from short to long on it and have owned it ever since.

Q. I have asked before and I will ask again, does NNDM technology have any possible future value? The market cap is 1.2 billion right now and they have 1.4 billion in cash with a slow burn rate.

A. I recall warning people in this chat to stay away from NNDM for the last couple years as it has crashed. But now that it has totally crashed….I just checked and your numbers look roughly correct, meaning that the company is trading for less than the money they have raised. I bought Apple when it had about $1.2 billion in market cap and $1.4 billion in cash as I recall back in March 2003. I don’t think NNDM is the next Apple, but I am definitely digging in to look at this one now.

Q. GLD is down a bunch here today. Do you still like Gold as a hedge? Is there a point you would buy more, or a time when you would consider ditching it? Thanks!

A. I’m bored with gold, as I’ve been saying. Not buying or selling it right now but it’s not a meaningful position either right now.

Q. Thoughts on GDX, FCX and other heavy metals?

A. I don’t like to invest in gold mining companies, I’d rather own the GLD or gold itself. I’d rather find Revolutionary companies than invest in most heavy metals. Love the Sammy Hagar song though.

Q. With the EV adoption by everyone, do you think there could be any investment candidates for miners of Lithium, nickel and other materials besides the rare earth materials?

A. The non-rare-earth minerals of which you speak are too much of pure commodities for me.

Q. Good morning. Looking at UPST and a big pullback, a lot of big in this one. Your thoughts?

A. It’s like a lot of good companies whose stocks got way ahead of themselves valuation-wise and has finally started coming down to something more reasonable, but is still quite far from “cheap”.

Q. Cody, I was able to create Sktls and MetaMask accounts. How do I link them up so I’m on the list for the New Years drop? Thanks.

A. Stay tuned, we are close to revealing the final process for how you all can get signed up for the airdrop.

Q. It seems there has been a lot of changes to your portfolios in the last couple months. Could you do an updated holdings and “where I’d buy more” list?

A. Yes, soon.

Must be a holiday week. Let’s call it a wrap. Thank you all!