In this week I decided to implement a new sell rule to cut losses more quickly. In other news, TSLA joined the portfolio shortly after it was added to the S&P 500. Read on to see the latest changes to the portfolio.
In total, there were 5 sells and 5 buys: GRBK, PWR and CZR were sold because they dropped out of the top 20% of the ranking. Additionally I also sold NCR and PAYC because they are below the 8 and 21 day moving averages and lost more than 8%.
In “Stocks on the Move”, Andreas Clenow advises against using Stop Losses. According to him, in a momentum portfolio the ranking takes care of itself. Weaker positions will get kicked out sooner or later as they fall in the ranking. This does make sense IMHO and I am of course sticking to these principles. However, I decided to add one level of precaution just to avoid small losses turning into big ones.
Anyways, here is the latest ranking and all transactions for this week:
-
Sold:
- GRBK
- CZR
- PWR (no longer in top 20%)
- NCR
- PAYC (max loss exceeded)
-
New Buys:
- TSLA (Tesla Inc (S&P 500))
- CREE (Cree Inc (S&P 400))
- MTZ (Mastec Inc (S&P 400))
- BCO (Brink’s Company (S&P 400))
- BKR (Baker Hughes A Ge CO Cl A (S&P 500))
Half of the portfolio is now in the S&P 400:
Current portfolio (@finviz):
| Symbol | Name | Index | Sector | MC | Dist to 52w High | pct |
|---|---|---|---|---|---|---|
| EVR | Evercore Inc. | S&P 400 | Financial Services | 4.9B | -1.6% | 4.3% |
| GM | General Motors Company | S&P 500 | Consumer Cyclical | 78.39B | -9.3% | 3.7% |
| SLM | SLM Corporation | S&P 400 | Financial Services | 5.19B | -2.0% | 3.5% |
| R | Ryder System, Inc. | S&P 400 | Industrials | 3.68B | -3.1% | 3.5% |
| PNFP | Pinnacle Financial Partners, Inc. | S&P 400 | Financial Services | 5.3B | -2.7% | 3.5% |
| MU | Micron Technology, Inc. | S&P 500 | Technology | 93.98B | -4.1% | 3.5% |
| FCX | Freeport-McMoRan Inc. | S&P 500 | Basic Materials | 45.52B | -6.6% | 3.5% |
| DFS | Discover Financial Services | S&P 500 | Financial Services | 30.46B | -2.2% | 3.4% |
| AAXN | Axon Enterprise, Inc. | S&P 400 | Industrials | 10.02B | -9.4% | 3.3% |
| DAR | Darling Ingredients Inc. | S&P 400 | Consumer Defensive | 10.72B | -6.1% | 3.2% |
| OMF | OneMain Holdings, Inc. | Barrons 400 | Financial Services | 7.32B | -1.9% | 3.0% |
| MAT | Mattel, Inc. | S&P 400 | Consumer Cyclical | 6.52B | -3.4% | 3.0% |
| ATKR | Atkore International Group Inc. | Barrons 400 | Industrials | 2.36B | -1.9% | 3.0% |
| MYRG | MYR Group Inc. | Barrons 400 | Industrials | 1.06B | -3.7% | 3.0% |
| UAA | Under Armour, Inc. | S&P 500 | Consumer Cyclical | 7.63B | -15.9% | 2.9% |
| IVZ | Invesco Ltd. | S&P 500 | Financial Services | 9.26B | -2.1% | 2.9% |
| BKR | Baker Hughes Company | S&P 500 | Energy | 23.64B | -4.9% | 2.8% |
| VC | Visteon Corporation | S&P 400 | Consumer Cyclical | 3.83B | -4.4% | 2.8% |
| BCO | The Brink’s Company | S&P 400 | Industrials | 3.59B | -21.4% | 2.8% |
| AVNT | Avient Corporation | S&P 400 | Basic Materials | 3.91B | -7.7% | 2.8% |
| TPR | Tapestry, Inc. | S&P 500 | Consumer Cyclical | 9.32B | -5.2% | 2.8% |
| AEO | American Eagle Outfitters, Inc. | S&P 400 | Consumer Cyclical | 3.78B | -3.8% | 2.8% |
| MTZ | MasTec, Inc. | S&P 400 | Industrials | 6.1B | -1.9% | 2.7% |
| CROX | Crocs, Inc. | Barrons 400 | Consumer Cyclical | 5.09B | -4.4% | 2.7% |
| ALRM | Alarm.com Holdings, Inc. | Barrons 400 | Technology | 4.8B | -10.2% | 2.7% |
| BYD | Boyd Gaming Corporation | S&P 400 | Consumer Cyclical | 5.29B | -4.2% | 2.6% |
| GTLS | Chart Industries, Inc. | Barrons 400 | Industrials | 4.89B | -4.3% | 2.6% |
| GE | General Electric Company | S&P 500 | Industrials | 100.87B | -14.6% | 2.6% |
| TEX | Terex Corporation | S&P 400 | Industrials | 2.64B | -4.6% | 2.3% |
| ADNT | Adient plc | S&P 400 | Consumer Cyclical | 3.29B | -8.2% | 2.3% |
| OLN | Olin Corporation | S&P 400 | Basic Materials | 4.13B | -7.9% | 2.2% |
| CREE | Cree, Inc. | S&P 400 | Technology | 13.28B | -7.4% | 2.0% |
| TSLA | Tesla, Inc. | S&P 500 | Consumer Cyclical | 793.75B | -6.6% | 1.6% |
| ENPH | Enphase Energy, Inc. | S&P 400 | Technology | 24.88B | -14.3% | 1.6% |
| APPS | Digital Turbine, Inc. | Barrons 400 | Technology | 5.05B | -8.6% | 1.5% |
| cash | Cash | Cash | Cash | – | 0.0% | 0.6% |
Current portfolio allocation:
As always, more trades next week!