The Buyers Are Back
As we’ve spoken about for the past month, you should invest in the transactions in real estate in 2024, not the house.
What I mean by that is don’t buy the homebuilders in 2024, they’ve got excess inventory coming online which could put them in a spot. Instead, buy the companies that make money off the industry transactions because we’re heading toward a record number of sales when interest rates drop.
Redfin (RDFN) is a great example. They get paid for referrals, listings, partner programs (like mortgage services), and they still dabble in purchasing properties at deep discounts.
Bottom Line: The stock is breaking out of the sub-$10 price universe, which should give it a 20% run to $12.
Analysts are Running, So Should You
The holiday shopping season is over, which means the easy money has been made for Etsy (ETSY).
The analysts from Goldman Sachs gave the stock a downgrade this morning, taking it from a buy to neutral, as they prepare for a seasonal trend that often sees volatility and losses for the stock.
Etsy is also facing mounting pressure from sellers, as the fees charged to showcase and sell products on the site has continues to push sellers out.
The stock is setting to break below its 50-day moving average. Previous breaks of this trendline have been followed by 5-8% declines as “the crowd” increases their selling of the shares.
Bottom Line: I’m targeting a technical move to $70, a 7% drop.
An AI Healthcare Stock? Yup!
Healthcare stocks have had a rough go for the last year, but shares of Intuitive Surgical (ISGR) have been leading the group higher.
ISRG shares are rallying this morning after the company provided updated guidance for their quarter’s performance. This suggests that we’ll see good numbers from the company on its earnings date of January 23.
Bottom Line: Shares of ISRG are preparing for a bullish breakout, as the stock moves above $340 with a target of $380 over the next four to six weeks.
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About the Author
Chris Johnson (“CJ”), a seasoned equity and options analyst with nearly 30 years of experience, is celebrated for his quantitative expertise in quantifying investors’ sentiment to navigate Wall Street with a deeply rooted technical and contrarian trading style.
