Reddit Posts
Apple's business is simply an earnings machine. ROC comparison: Apple (23.7%) vs. Alphabet (12.3%) vs. Amazon (5.7%)
Is TSLA Value Play or a Growth play ?
$FAZE dump is over. It's time to long! CTB 300%, Technical indicators bottomed out, volume is almost zero. Retail can ride the short redistribution wave.
Using Junk Bonds as Indicator of Overall Market Risk (to Equities, Cry-pto, etc.)
Mega DD here! $APRN, Redbox, Faze, and AMC. How CTB, SI, dilution, and catastrophic news has affected stocks bullishly, not bearishly. Also, TA about the 2020-2022 mega trend.
$APRN TA for 9/30/22. EXCELLENT week! Positively set up for next week and beyond. Come check out next week's forecast from your TA weatherman.
$APRN TA for 9/29/22. There it is! The consolidation phase has begun. Will it end soon?
A Step-By-Step Guide to Building Momentum Trading Strategies . This is what I'm doing
$APRN TA for 9/28/22. Welcome to the Thunderdome, people! The $6 battleground is here. How will we fare?
$APRN TA for the 9/27/22! The symmetrical triangle played out perfectly! Weekly chart has me jaccccckkkkked! Come get learn-ed!
TA back for $APRN. Good news! Tendies are back on the menu!!
APRN TA for EOD 9/21/22. Not fun, boundaries broken. Daddy Powell hosing the market. Hope?
APRN TA guy here again. I have more indicators that are showing extreme bullishness.
$APRN indicators pointing to an imminent squeeze. Prepare yourself!
Saw this in a video from 8 years ago, does it still hold true today?
BBBY Technical Indicator Analysis. Bullish AF.
How to make money of a political crisis over Pelosi's visit to Taiwan. Non-Chinese rare earth metal producers Lynas Corporation and MP Materials smell like a way to me.
Opening up Pandora’s box of ETF distributions
Why do people say covered calls are “safer” than normal dividend ETFs for retirement?
Questions re ROC in the event of an ETF dividend cut?
BITW / GDLC - why don’t the fund managers sell some of the underlying crypto and return it at ROC/dividends?
How inflation will destroy the Wendy's dumpster pleasure and relief trade, the backbone of America.
$CLIS --ROC Nation (JAY -Z) and the Stan Lee Estate --Spider Man NFTS!!!
Next play $ATER is a no brainer but let see also $CEI (low free float)
"Low" Risk semi-High reward Options trade - Risk Reversal
Mentions
0DTE, always 9:30ish. always selling iron condor at 1 stdev and 1.5 stdev from both side (lower profit but very small margin, ROC is much higher than outright strangle or wider strikes), either 40% of premium pnl met, or close at 12:30... last two hrs or iron fly is bit too risky for me. But lately the commish and fees is eating into the profit big time, as IV collapse, today spx 0DTE atm at one time trade at 6%IV, I got out around 12 with 50% pnl on the premium. but my broker got almost a quarter of the pnl. thinking to trade higher IV stock 0DTE or go to longer duration to reduce this "working for broker" tax.
Looks like a value trap. You need to look at a lot more than P/S. For one, as already mentioned, they have negative free cash flow. Actually in the last 10 years they've had positive FCF exactly once. ROC has been negative the entire last decade. Net income of $56m off of $1.6b revenue. The only number that looks good is their P/S.
Yeah, but you are asking for suggestions out a very vague screen. What I'm suggesting is you should add more filters to find companies. Try looking for companies with maybe a PB under 3 or 4. What about something with higher margins. How about ROC higher than like 15%. You are basically just saying, what does any like in healthcare largecaps and listing every single company.
You need to screen with more paramaters. Try looking at ROC, PE, PS, and PB.
If these were the actual prices then, sure, that works out. But as of writing this. The 436C last sold for 9.98 and the 436P was 4.76. SPY closed at 439.66. So you would only be netting 1.1 in credit. And that's only a .002 ROC.
Zimbabwe is reaping the benefits of Chinese triggered investments. The republic of Zimbabwe will soon be renamed to ROC.
I use a combo of [https://finviz.com/](https://finviz.com/) and [https://stockanalysis.com/](https://stockanalysis.com/) for screening and research. The way I invest is start out with a thesis or an idea of what I want to get involved with. Like this video is a great idea around grid modernization: [https://www.youtube.com/watch?v=s3ScJ\_FwaZk&t=347s](https://www.youtube.com/watch?v=s3ScJ_FwaZk&t=347s) Has nothing to do with investing, but talks about the need and how we will update the grid if you want to go more renewable energy. This is one of the things that sparked my interest around the idea of going after electrification and grid modernization. It's kind like the buffet/munger idea of learning. I think some of the best investers are people that are just inquiztive and like to learn. As far as screening goes, I always look for companies with a foward PE under 30, since I'm ok with a higer pe is there growth in the company. I target PS under 2. The price-to-sales (P/S) ratio shows how much investors are willing to pay per dollar of sales for a stock. I don't mind paying up again for a quality/solid business. I also like a PEG under 2. In theory, a PEG ratio value of 1 represents a perfect correlation between the company's market value and its projected earnings growth. PEG ratios higher than 1.0 are generally considered unfavorable, suggesting a stock is overvalued. Conversely, ratios lower than 1.0 are considered better, indicating a stock is undervalued. So again, I don't mind over paying a bit for a quality company. I like smaller market caps, like under 50B, since I think mid caps can get more growth or companies are still more in the growth phase at that point. I like high gross margin, like 15%, since it just means the company is able to make more based off what they sale. Lower margin business really don't interest me. That's like supermarkets and costcos for example. I also screen for volume over 10K, since lower volume stocks can move in weird prices and ask/bid can be off. I look for revenue growth over 10%. Again, just want to target companies that are growing. Also a lot of these are kind looking to beat the SPY, so the SPY average sales growth rate is 5% and average PE is around 15. One of the big ones is looking for companies with a higher return on capital. Like I target over 15%. ROC is a measure of a company's profitability that takes into account the amount of money invested in the company. The ROC measures how well a company is using its capital to generate profits. Generally a company with higher ROC means it's just ran well. From there, I start finding companies that meet my screening needs. Then I start researching. One of the first things I look at is performance. I will not buy companies underperforming the SPY on the 5Y mark. Since there is always a trade off being in an index, you are taking on risk. So I want to make sure the long term performance is there. I also look at all time performance, to see if the company was ever in a bubble or follows some types of trends. Then I look at the revenue, since 2020 was a weird year, I want make sure revenue growth is still happening post pandemic. Next phase is doing the part of reading earning reports. I also go to seeking alpha and see how some peers are, which gives more companies to look into as well.
Find companies that have high ROC, make sure they have a long runway, hold for a really long time.
I sell very far out of the money and then manage the net delta exposure if price moves too close to each strike. So I don’t mind the risk, I used to use over 20% per trade, but now I’m diversifying my risk better. Smaller size. I mean made almost half a percent on my account on this trade. Usually aim for 1% return per trade on iron condors (10% ROC)
[Drilling Tools International, a Leading Oilfield Services Company, Completes Business Combination with ROC Energy Acquisition Corp. and Will Commence Trading on Nasdaq Under Ticker Symbol "DTI"](https://www.prnewswire.com/news-releases/drilling-tools-international-a-leading-oilfield-services-company-completes-business-combination-with-roc-energy-acquisition-corp-and-will-commence-trading-on-nasdaq-under-ticker-symbol-dti-301855846.html) \- ROC -> DTI ROCAR/10 -> DTI on June 21, 2023
I'm assuming by "corporates" you mean long corporate bonds? I know you're going to hate this generic/canned answer, but it's the right one. "It depends". First and foremost, I'm going to assume that you're only using semi-play money since you're looking to "spruce up" your income. If that's not the case, definitely stay as far away as you can from CSP strategies. Second, there's a huge difference between option writing strategies and fixed income investments. The only way you get screwed on corps is in default (unless you're playing with callable/puttable bonds, which have their own dynamics). CSPs are very much a directional bet (unless you're running the Wheel strategy), or a "non-black-swan" type of bet. There's a common saying about selling weeklies: "Picking up pennies in front of a steamroller". Sure, it can work well for a decent period of time. But the one time it doesn't, you can blow up your entire account (see: March 2020). If you're in retirement, your risk tolerance should be pretty low. You should be mostly worried about capital preservation, yield should come second. When you think about it, the profit on capital outlay required with CSPs isn't all that attractive. If anything, you might want to try selling put spreads instead of CSPs? That way you get a flavor for it with a defined-risk trade. For example, if I sold a 1-week 30-delta put on SPY (Jun16 23 426P, $1.72 collected in premium) the cash-secured requirement would be $42.6k. Assuming the trade works out, that's a measly 0.4% return on capital? Sure, if you compound it (52 weeks/yr) that's close to a 21% return (simple compounding, back-of-the-napkin math), but that's assuming you **win 100% of your trades** which is impossible. If I sell a 1-week 30-delta/15-delta put spread on SPY (Jun16 23 426P, $1.72 collected, Jun16 23 421P, $0.72 paid) then you're getting a \~20% return on capital. Compound that? You're blowing the CSP out of the water. Obviously there's some nuance to what I said above, but I'd genuinely urge you to consider selling put spreads instead of CSPs if you're going the weekly route. Defined-risk better fits your profile, and the ROC is insanely better. Just my 2 cents.
Head over to stocktwits ROC page. More details over there.
ROC merger was announced yesterday.
ROC merger was announced yesterday!
[ROC Energy Acquisition Corp Shareholders Approve Business Combination with Drilling Tools International & Extension up to two times, from June 6, 2023 to August 6, 2023; Business Combination expected to Close "in June 2023"](https://www.sec.gov/Archives/edgar/data/1884516/000110465923068970/tm2318012d1_8k.htm) \- ROC ROCAR No information on redemptions
I’m not convinced on a full upswing just yet. Looking at $SPY technicals I see some things for both bear and bull: - Bear Argument: - High daily RSI. - Moderate positive ROC. - Upward Channel since March. - Lowest $VIX for the last 1 Year. These point to a decent downturn incoming for at least a couple of weeks. In fact pre-bear market you could typically bet on a dump when VIX hit ~15, and here we are under that. - Bill Argument: - People love investing money, the market will irrationally go up much longer than down. - Friday resulted in an upward breakout from an already upward channel. Really those are the only things making me think we won’t see a short term downturn, but they’re two very convincing things. If I were looking for a long term play, as OP clearly is, I’d go Calls. But short term I’m leaning more toward $SPY seeing some red for a bit. It’s just been going TOO perfectly, and for several months too.
It's not wrong if you have wash sales on other stocks you're not currently trading. I flipped out reading an article about a guy who owed 800k taxes on a 45k capital gain,buying and selling stocks 15-50 times a day on margin. The only way this could be possible is if he had millions of dollars of losses that were disallowed. While my broker told me to to contact my accountant, he pretty much said the disallowed loss couldn't offset capital gains. When I was down 30% I did thousands of trades and dividend capture strategies with 30k in wash sales and all those ROC(return of capital distributions) reduced my cost basis. If I sell the entire account, I'd have to pay 30k in capital gains even though I got it to breakeven. By Jan, my capital gains completely offset my wash sale losses. Of course there are ways around paying taxes-like using margin instead of selling positions or gradually sell positions in some years to spread the tax out. Worst case scenario I'll go on a payment plan....its a wash..like it never happened. My small margin account went from 53500 to 42k up to 62k in Jan back down 55700 in May....I had enough real losses to completely offset my capital gains except for $358. Right now, my goal is to lower my cost average on positions in which the cost basis is higher from wash sales. I'm not going to fret
Have a CB of $8.10 on $ROC and it seems to be looking good so far! :)
Putting in a stink bid on $ROC to try and catch a bottom here now that NAV floor is gone.
Actually, [Taiwan officially claims](https://www.theatlantic.com/international/archive/2019/07/taiwans-status-geopolitical-absurdity/593371/) the entirety of mainland China as its own. >The ROC constitution, meanwhile, still claims Taiwan, China, Mongolia, and the entire South China Sea as its territory, reflecting Chiang’s desire to restore control over areas the Qing Dynasty ruled or claimed at its height, before European, Japanese, and American colonialism began eating away at it. The **only difference** between China's claim and Taiwan's claim is that China is now significantly more powerful and actually has the ability to retake Taiwan while Taiwan has zero ability to retake mainland China. Because of this shift in power, Taiwan now wants to officially declare independence but China still won't let it. The moment Taiwan declare independence is the moment China will invade. China and Taiwan's history are extremely complicated and far more nuances than the "good vs evil" western media likes to label.
It’s a nice “income” fund along with the sister fund JEPQ. If you do not need income, it is an inefficient holding in a taxable account. With the ELN structure, there is no return of capital (ROC) and distributions are primarily ordinary income.
That's actually a nice ROC. You just need stamina and a steady supply of customers.
When CHINA invades ROC - LEAPS on AMAT
Lol 600 DTE put who does that? For shits I See that someone traded 2,600 SPX Dec 2024 (1.6y) 2,600 P for about 52. On margin that would be approx 20% ROC assuming margin is constant (which it isn’t) and if CSP returns 2% if both are short positions. Funny how it’s 2,600 contracts on a 2,600 strike option.
For CEFs, key metrics include discount to NAV, yield, distribution types and proportions (ROC etc.), sectors, as well as underlying investment approach and fundamentals. For preferred stocks, key metrics include discount to par, yield, time to call date, yield structure (fixed to floating etc.), as well as sector and company fundamentals (insofar as they go to bankruptcy and non-cumulative non-payment risks). For REITs and BDCs, key metrics include distribution coverage and safety, yield, sector, debt load relative to sector, debt maturity, and type-specific fundamentals (e.g. AFFO). For other stocks, company fundamentals, history including CAGR, projected growth, yield, and distribution safety. For all, analyst coverage level and ratings; credit rating and financing availability; recessionary performance, charted against prior downturns; inflationary performance; taxation, including any foreign tax.
Going to move into $ROC rights as soon as some other money clears up from various plays. Their S-4 filing pace is absolutely incredible.
Bad idea because of opportunity cost. If you have cash to play with, you could just buy T-Bills and make 4.5% risk free. Or you could borrow at a 7% APR and pray that you make an 11% return (there is some beer math here….) to just keep up with the risk free interest rate. 11% would be bearing hedge funds. If you don’t have any liquid capital and *that’s* why you’re doing this then it’s a doubly bad solution. Any CSP strategy that is generating adequate ROC to break even with the 7% APR is going to be too risky, and you could be holding shares that aren’t generating income while paying for the privilege. Which is dumb. The answer to these questions in full depth involves some reasonably straightforward math beyond the scope of Reddit.
I have had positions go against me because the underlying lost 20+%. I’ve had companies with predictable cashflow like Square (SQ) tank because of short reports and the margin requirement to maintain the position skyrockets (destroying my ROC %). They aren’t losers, I’m not over-leveraged and roll out and down as much as I can to reduce risk. If you invest in unstable assets like FRC (has huge premiums but is extremely volatile) you’ll have a bad time. Apart from that stay true to your game plan and don’t panic-close positions, keep some spare cash (I do 80:20 which is stretching it but having 70-75% of your portfolio invested gives you the chance to sleep at night and a decent return)
Yeah, how you screen is really what you like, but for me, I like to look for some of those things I mentioned. Like I want to invest in a company that isn't too terrible valued and has solid margins and ROC. I like to screen when there is sales offs, since my screener usually only pulls back like under 50 companies most of the time. What about TENB stands out to you?
I start with a thesis. Then I'll run a stock screener for companies that fit that thesis. Once I found companies I like, then I start reading call transcripts and learning more about the company industry. Like I found ATKR becuase I have a thesis that I want to invest money into companies that will do well with the shift to electrification, IRA, infrastructure money and reshoring. I screened for companies that fit in there and then I look for things like high ROC, PEG's under 2, PS's under 2, Foward PE's under 30, high gross margins, EPS growth and revenue growth.
I agree with the overall statement, but the impact to stocks will matter on the company. For the general markets/indexes, I think they are primed to stay more or less range bound until we get rate hike pause and a around of earnings after that. As far as good or bad for stocks, I think we are in a time where strong companies can still deliver and there are parts of the market that will have tail winds. I bring up a lot that i'm investing in companies that will do well because of the ira, infrastructure bill, reshoring and general trend of electrification. One benefit is that with a lot of negativity, there are deals to be found in solid companies. Look for companies with strong balance sheets and giving good ROC, you should be fine in the long run.
It’s acceleration dude lol ROC
These cycles generally last around 10 years, as there is typically a timeline for exploration, development, and production. In short, ChatGPT is “an AI-powered chatbot developed by OpenAI, based on the GPT (Generative Pretrained Transformer) language model. ” Many big tech players (Google, Microsoft, Alibaba, Baidu) has participated in the field, along with small firms (C3. ai, Zhihu). That is good ROC, not bad, which is also tax advantaged. Welcome to r/dividends!If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Remember, this is a subreddit for genuine, high-quality discussion. This sub is great. Welcome to r/dividends!If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Remember, this is a subreddit for genuine, high-quality discussion. But like any investment, it comes with risks and uncertainties, therefore it is important to consider a company's growth potential, industry disruption, innovation, regulatory and ethical concerns, and valuation. This is not financial advice, please do your own research before investing. Does this submission fit our subreddit?Please advise, thanks. . I am a beginner Investor. . Welcome to r/dividends!If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Remember, this is a subreddit for genuine, high-quality discussion. If so, which ones?Welcome to r/dividends!If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Remember, this is a subreddit for genuine, high-quality discussion. Thoughts and suggestions?Welcome to r/dividends!If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Remember, this is a subreddit for genuine, high-quality discussion.
I typically put a directional bias on my strangles. The most recent I went with a bullish bias that saw me through the recent run up on the indices. I rolled up the put and got out at 42% profit. I close most short strategies and long verticals at 50% as well. If I haven't got any plays lined up I might leave them slightly longer but 50% does seem to be the best in terms of ROC. I have found the POP and ROC on short strangles on /MES to be superior than other short strategies I've tried. The breakeven is so wide that there is plenty of time to manage and I am fully prepared to hedge in worst case scenarios. I do trade strangles as one trade and how I manage it does depend on what I think will happen. If I feel my original market outlook has radically changed then I may close out early, if not then I will roll the untested leg looking still looking for 50% profit. I like that there are a lot of ways to defend a strangle, from the typical rolling out to even going inverted or fully hedging one direction. This is why I'm playing /MES, once I've endured a significant move in the market and come out unscathed I will scale it up to /ES. Don't get me wrong, if you over leverage and lack the buying power to hedge or defend appropriately it can all end in tears but so can any strategy really. Verticals are safer in that regard but harder to manage if tested.
I wouldn't touch it with a 10 foot pole . I looked at their portfolio and couldn't figure out how they deliver these dividends, so Look at the distributions profile : [https://www.cefconnect.com/fund/ETG](https://www.cefconnect.com/fund/ETG) about 80% of the dividend is ROC ( return of capital ). They pay you back your money and charge management fee for this... It is a gold mine. For them.
I used to work for them, in engineering, and they are pretty terrible employeer. As an investment, it's not the worst, but I don't own a position. Personally, I just like the AWS business, not much else. Just for me personally, I don't like the idea that Amazon has to constantely re-invest their capital in order to stay competitive. It feels like they are caught in a forever growth cycle, the more they grow, they more they need to reinvest money. I think, kind of like UBER, the idea is that automation will take hold one day, in the warehouses for example, and then you will see some nice ROC, but until then, most of the money goes back into the business.
but you're paid for it. here your ROC is low.
Rather than picking up pennies on one underlying, use spreads when you have a bullish or bearish thesis on an underlying and instead get closer and get more credit. Also, even for just “trying it out” you really should widen your spreads a bit to be more efficient. If you want to dedicate $20,000 then going $2 wide is only 1% risk per trade but will give you several cents more in initial credit. For example, if you’re bullish on the S&P over the next several weeks then you could do a 370/368 PCS which (based on Friday close prices) would get you $0.21 credit. That’s the 15 delta which is closer but, again, you should be using these with an assumption of direction. So now you’re getting 10% ROC, still keeping your risk small, and you have enough initial credit that you can close early once you get some profit on the trade. You almost always want to manage a spread fairly quickly if you can to remove tail risk, and because as theta decays the premium, the risk/reward profile changes.
This is like betting on someone who bought at the top of the housing market in 2008. Sure, they may not go bankrupt but they’re going to have all their money tied up for years while everyone else gets to earn much higher ROC. Terrible investment imo. Would stay away
The IV is so intense I was able to open PCS at **374** expiring in 2 days for 30% ROC, wild.
First, most of the indicators I use are longer term indicators. With the exception of the MACD-V, for me time is measured in days and not anything smaller. Too much noise and regime change on shorter timescales. I'm always looking for new data. So much time spent on data: Finding data* Estimating potential value* Cleaning/Normalizing data Generating features Extracting the best features Determine actual value Storing the data for later use *Manual processes For indicators (off the top of my head): MACD-V: ATR weighted MACD is more accurate than RSI, PPO, or MACD. That's not my opinion. It's a published study with math to back it. Using the atan of the vix weighted curve of the T10Y3M. It's more accurate than the yield-curve alone for determining the likelihood of a recession as well as where we are in the business cycle. I used genetic symbolic regression to find a formula that uses the measure of the covariance of returns for the price of treasury bonds to determine the markets direction (That's the one I'm talking about earlier in the thread.) But I'm not giving that one out because it comes with the inherent problems that come when using genetic symbolic regression: I don't understand how the formula works. I just know what it does. My cluster needs more power and/or to be more efficient before and I can dig into the equation to understand things before I put it out there. Another thing I'm tempted to do is use ML to read through all the academic/finance papers regarding the market and convert them into python, determine the best means to test them, and then test them. Highest ROC's are saved. But I need to build a rig with two 4090s before I can do that and I don't want to take that money out to do it when I'm already making enough. Also, check my Reddit profile, I mention a few there too.
So so so many…… my screener says 63 stocks with sufficient contract liquidity and ROC. Open, Grab, CCL, CHPT, LCID,… Please know that these stocks are trading at low prices for a reason. They are often volatile and risky. If you’re interested in the screener, link in my bio. Feel free to reach out for questions.
"And now let's call the Bullish force F sub n, which by definition is perpendicular to the slope of our average ROC for SP over last 5 days and opposite to the bullish force, F sub g. We can now calculate the angle between the current price, and the average price to determine..." Aaaaaandd it's gone.
Even if China is democratic (it has elements of democracy already. What you really mean is China must follow the same model of the United States to be qualified as democratic, which is a bogus definition), the United States would still interfere with China’s internal affairs. It’s about us hegemony. Btw, if you really understand the history of ROC, you wouldn’t say Taiwan is a democracy.
Actuary. Evaluating prices for products with an unknown cost at time.of sale, which sometimes may not be known for decades (product liability etc) and overlaying financial returns until said payout time(s) to determine a discounted ROC.
Yeah, I've done my DD on all those companies, all are solid buys. Aways do your own DD, but looking at some quick fundamentals on WCC, it's nothing crazy expensive. Foward PE is 9, PEG is 1.12, PS is .4, PB is 1.95, Crazy EPS growth and solid ROC.
I posted about it earlier, but I was doing some screening last night and came across: DXL G. They are the big and tall stores lol. However, it's been an amazing stock. 1Y return is 40%, 5Y return is 141%. I haven't dug too much into them, but looking at the fundamentals, Forward PE is 8, PEG is .3, PS is .72. They offer solid ROC, ROA, and ROC. They have been buying back shares YoY and have solid gross margins. I don't really follow the retail space, but I love finding companies like this. I never see anyone bring them up, but they are crushing it right now. \*reposted becuase I can't post the ticker without it being removed.
I posted about it earlier, but I was doing some screening last night and came across DXLG. They are the big and tall stores lol. However, it's been an amazing stock. 1Y return is 40%, 5Y return is 141%. I haven't dug too much into them, but looking at the fundamentals, Forward PE is 8, PEG is .3, PS is .72. They offer solid ROC, ROA, and ROC. They have been buying back shares YoY and have solid gross margins. I don't really follow the retail space, but I love finding companies like this. I never see anyone bring them up, but they are crushing it right now.
I mean look at their ROC for like the last decade as well.
My situation is kind of unique. I'm 31 too but I live in small town Spain. Life is cheap here. I'm working freelance, doesn't pay much but leaves me just enough to have a decent life. Also, I love it and I don't have to work that many hours (25-30 a week). I just started going freelance and I may actually need dividends to cover me when I have a slow period. So that's part of it. Also, I don't really need huge retirement savings because social security is pretty good here (if it doesn't collapse, lol). So I don't really care that much about growth. That said, just yesterday I thought maybe it was time to start throwing a bit into VTI every now and then just to have little bit of growth going on. Even if the world financial system collapses in 40 years I'm sure I'll get some return out of it. I dunno. I kinda feel like an old-style bond investor or something, but with dividend stocks. You have a nice modest life, you put your money in some bonds, life isn't too expensive, government will take care of you. To be honest, not sure if this is realistic to carry out in the USA or even a more developed European economy, but I'm pretty happy with my plan. Let's see if it pans out. Good that you look at ROC. If you can stay out of the financialization madness some way, more power to you. I'll check out your post.
Fair point. There’s also an argument around the idea of index bubbles. I’m hit or miss on dividends. Not sure about you, but I’m in my 30s and more focused on growing wealth and rather see equity price go up. No taxes lol. Agreed 100% about the ROC of a company. I posted earlier about my strategy, but I only buy companies now that have high ROC.
No idea, but I think part of the reason why people vastly underperform is a few reasons. One, is they are way too active. Like some of the best investors are dead lol. Another is that a vast majority of people don’t actually research or understand what they are buying. Then there’s the additive impact of not looking at fundamentals. It also takes time to research companies as well, which people can be lazy. Like I read a few earnings report before I buy any company. What’s worked well for me is just focusing on companies that should do well based off macro trends and then focus on the fundamentals. If they grow makes sense, then the stock should do well. Like personally I stick with companies with less than a 25x forward pe, gross margins more than 20%, ROC more than 29%, PEG less than 2, PS less than 2. I look at the debt compared to FCF. Also look at the revenue growth. Then I compare the performance of the company against the SPY on the 1Y and 5Y mark. I think having a strategy around how you buy is really underrated and not discussed a lot.
They are the indexes. Look up their holdings. One is S&P and CRF is nasdaq. The dividend just offsets some capital appreciation. I also own many Eaton Vance funds. But they don’t make as much for me as cornerstone, as shown by the math on my personal returns and income, and so I am more overweight CLM. On the daily CLM/CRF trade just like the market. It is the DRIP ROC and rights offerings that skew long term performance. But you circumnavigate this by selling before the ROs. That way you get 30% premiums on average AND the 20% yield. Just learn how to use this info on rights offerings and play it right.
We should derecognize the PRC and transfer the debt obligations they own to the ROC at a major discount. America will profit!
That’s what many bears say, I get it. Many closed end funds have rights offerings and operate like this, with ROC and drips as well. When you learn to use them to your advantage it helps with returns. Also, Cornerstone raised more money than it ever had at its last RO, according to rumors, please verify. There is a reason it is 4-stars on Morningstar. Do you think such a prestigious ratings company like Morningstar would not have qualified enough research teams to do their DD on many of those closed end funds, which you claim are in essence Ponzi schemes? In a vacuum I see your point. But that would be true if these companies didn’t own real assets. CLM and CRF own the holdings within the S&P and Nasdaq. There is real value there.
Not sure what you mean by "position size"? Are you talking about ROC vs ROI vs ROR? The basis for each is different. ROC: You can think of this as the opportunity cost basis. The trade takes up some amount of buying power that could have been used on some other trade or just left as cash to earn the risk free rate. So you can use the reduction in buying power as the basis in this case. ROI: Same as ROC, but you would only use cash balance or other capital you converted to cash as the cost basis, not any loans or debt you may take out against other equity. ROR: Here you have more flexibility. You can use worst-case risk, which usually understates your rate of return. Or you can use some kind of average or nominal risk. Or you can use whatever loss target you manage risk to.
Taiwan and China are entirely different from Ukraine and Russia situation. After WW2, the Republic of China (ROC) government, led by the Chinese Nationalist Party (KMT), took control of Taiwan. At the time, the ROC government claimed to be the legitimate government of all of China, including Taiwan. Fast forward to 2023, it’s logical that they are comfortable after being on their own for decades, and obviously they no longer make that claim about being the legitimate government of China. But that doesn’t change the fact that they have always been, in all actuality, part of China. Taiwan called itself the Republic of China for a reason. Whereas for the Ukraine situation, let’s be honest, it’s a pure invasion of Ukraine’s territory. If China is trying to play the nice guy and gain some international brownie points, it’s one thing to ignore them, and another thing to cast Taiwan and Ukraine in the same light.
I do weekly trades (strangles), but I don’t use the conventional “% of gain” approach. I trade for a decent annualized Return on Capital (ROC).....isn’t that why we do this? I annualize the ROC (365/DTE) to be able to compare trades. When I enter the trade, I know in advance what the anticipated APR is and I enter the specifics in a simple spreadsheet that computes the APR. Then each morning I simply update the prices and the spreadsheet computes today's APR using the reduced DTE. If the new APR is higher than the original, that tells me that if I close at these prices, I can get a better return than I originally anticipated, so I take the profits off the table which frees up the capital and I move to another trade. I could leave it on, but from that point forward, the ROC will decline back to the original ROC which is good, but less than what I can get now. Yesterday I put on a strangle trade that showed a 50% ROC for 5 days (met my target). This morning the prices have dropped (as has the DTE) where the trade now shows an annualized 80% return…..whoa, that’s great…however, if I close now, the amount of premium I receive will only be a third of the original…..should I take the lower premium…you betcha, because my objective is return on capital, not simply the amount of premium…..good ROC adds up. Just sharing my way.
noicey noice. 100% ROC, what's the ROE like (ie., what % of the total account pie is the slice allocated to the pozish)
I fully agree with you. However, i am not so sure about china trying to leverage that infrastructure as geopolitical bargaining chip themselves; i believe the countries who received infrastructure or participated directly in the belt and road initiatives will themselves align their preference towards a country that "used" them by building things they need instead of conquering/invading/genociding them like the west did. It is a much softer way of creating influence, and one that probably all developing countries prefer. China is playing the long term gain and sacrificing short term gains, and it seems to be working very well with developing countries. Regarding ROC and their island Taiwan, they are de jure at war still with PRC, so the situation is very complex and too difficult to summarize in a comment. Wikipedia says they are officially at war now: [https://en.wikipedia.org/wiki/Chinese\_Civil\_War](https://en.wikipedia.org/wiki/Chinese_Civil_War) I just hope people can live with each other, no dictatorships exist and humanity can progress together.
Semiconductor stocks like TSM would be the least of your concerns like others have stated. The global economy would be brought to its knees and tech stocks would lead losses if a full scale invasion were to happen. Taiwan make 92% and South Korea make 8% of the worlds most advanced chips respectively. The ripple effects would be disastrous as China (and other South Asian countries) use the strait of Malacca as their preferred path to ship exports and receive imports, which in turn puts major downward pressure on the Chinese as well as its neighbours like Japan, Indonesia, Malaysia and more as China is regarded as the manufacturing hub of the world (even though companies are looking for alternatives) and are critical to the world’s supply chain. In turn, the effects will ripple throughout the world economy. China invading Taiwan solely for semiconductors doesn’t really make any sense imo, the way I see it, I think it’s an additional reason for them to do it. The main reason is to do with the CCP and the KMT, who recognise Taiwan alongside Mongolia, Tibet, . Taiwan has been governed independently of China since 1949, but Beijing views the island as part of its territory. Beijing has vowed to eventually “unify” Taiwan with the mainland, using force if necessary. Tensions are rising. Taiwanese President Tsai Ing-wen, whose party platform favors independence, has rebuked Beijing’s efforts to undermine democracy. Beijing has ramped up political and military pressure on Taipei. Taiwan’s KMT-drafted constitution continues to recognize China, Mongolia, Taiwan, Tibet, and the South China Sea as part of the ROC. The KMT does not support Taiwan’s independence and has consistently called for closer ties with Beijing. But in the face of recent election losses, KMT leaders have discussed whether to change the party’s stance on the 1992 Consensus.
>The RoC and literally everyone else has agreed with the one government two systems model... one government being China. Uhhhhh no. "One Country, Two Systems" is an agreement with Hong Kong and Macau... It has never applied to Taiwan. Taiwan is clear that they do not follow under "One Country, Two Systems". The ROC also doesn't use the term "China". It does not appear in the Constitution, nor in any laws or a legal sense. The term "China" almost exclusively refers to the PRC here in Taiwan. ---- >So yes, interpreting the law, politics, and history correctly is working. What's not working is the usa insisting, despite all formal agreement, that Taiwan is somehow a fully separate entity when it's not. As someone typing to you from Taiwan, I assure you we are in fact a sovereign independent country already. It does not matter what the US or China say or think... The on the ground reality is we are independent. ---- >The RoC not claiming independence is just proving my point that they are China, as is the mainland. Saying, "well they can't claim independence" is not an argument that they are independent. The opposite actually. Uhhhhhh the ROC government is clear that we are a sovereign independent country already. Directly from Taiwan's Ministry of Foreign Affairs government website, https://taiwan.gov.tw: >The Republic of China (Taiwan) is situated in the West Pacific between Japan and the Philippines. Its jurisdiction extends to the archipelagoes of Penghu, Kinmen and Matsu, as well as numerous other islets. The total area of Taiwan proper and its outlying islands is around 36,197 square kilometers. > >**The ROC is a sovereign and independent state that maintains its own national defense and conducts its own foreign affairs.** The ultimate goal of the country’s foreign policy is to ensure a favorable environment for the nation’s preservation and long-term development." Explained by the President of Taiwan in clear English during a [BBC interview two years ago when asked if she would declare independence](https://www.bbc.com/news/world-asia-51104246): >We don't have a need to declare ourselves an independent state, **we are an independent country already and we call ourselves the Republic of China, Taiwan**. Clarified by the [ROC Ministry of Foreign Affairs](https://www.taipeitimes.com/News/taiwan/archives/2021/09/08/2003764010) spokesperson Joanne Ou: >The ministry would continue to stress to members of the international community that **the Republic of China is a sovereign nation, not a part of the PRC**, and that Taiwan’s future can only be decided by its 23.5 million people.
>The RoC and literally everyone else has agreed with the one government two systems model... one government being China. Uhhhhh no. "One Country, Two Systems" is an agreement with Hong Kong and Macau... It has never applied to Taiwan. Taiwan is clear that they do not follow under "One Country, Two Systems". The ROC also doesn't use the term "China". It does not appear in the Constitution, nor in any laws or a legal sense. The term "China" almost exclusively refers to the PRC here in Taiwan. ---- >So yes, interpreting the law, politics, and history correctly is working. What's not working is the usa insisting, despite all formal agreement, that Taiwan is somehow a fully separate entity when it's not. As someone typing to you from Taiwan, I assure you we are in fact a sovereign independent country already. It does not matter what the US or China say or think... The on the ground reality is we are independent. ---- >The RoC not claiming independence is just proving my point that they are China, as is the mainland. Saying, "well they can't claim independence" is not an argument that they are independent. The opposite actually. Uhhhhhh the ROC government is clear that we are a sovereign independent country already. Directly from Taiwan's Ministry of Foreign Affairs government website, https://taiwan.gov.tw: >The Republic of China (Taiwan) is situated in the West Pacific between Japan and the Philippines. Its jurisdiction extends to the archipelagoes of Penghu, Kinmen and Matsu, as well as numerous other islets. The total area of Taiwan proper and its outlying islands is around 36,197 square kilometers. > >**The ROC is a sovereign and independent state that maintains its own national defense and conducts its own foreign affairs.** The ultimate goal of the country’s foreign policy is to ensure a favorable environment for the nation’s preservation and long-term development." Explained by the President of Taiwan in clear English during a [BBC interview two years ago when asked if she would declare independence](https://www.bbc.com/news/world-asia-51104246): >We don't have a need to declare ourselves an independent state, **we are an independent country already and we call ourselves the Republic of China, Taiwan**. Clarified by the [ROC Ministry of Foreign Affairs](https://www.taipeitimes.com/News/taiwan/archives/2021/09/08/2003764010) spokesperson Joanne Ou: >The ministry would continue to stress to members of the international community that **the Republic of China is a sovereign nation, not a part of the PRC**, and that Taiwan’s future can only be decided by its 23.5 million people.
ROC hasn't claimed effective control or jurisdiction over the Mainland Area in decades.
“The RoC and literally everyone else has agreed with the one government two systems model… one government being China.” See, here you’re just making things up. There is no government called China. There’s the PRC and the ROC, two separate governments. Policies made by either government have zero sway on citizens of the other. And who is this “everyone else” you mention? So you claim that Taiwan isn’t a fully separate entity from China. Can you name 3 ways in which this is true? Bet you’ll be surprised to learn that Chinese nationals cannot vote in Taiwanese elections. That Chinese generals have no authority over Taiwanese soldiers. That Chinese nationals need a visa to enter Taiwan. That most of Taiwan’s institutions and infrastructure are Japanese in origin, not Chinese. Or that New Taiwan Dollars are not legal tender in China, and Chinese Yuan are not legal tender in Taiwan. Or that if you went to Taiwan and started talking about 中國人, most people wouldn’t think you were talking about them. Or that many older Taiwanese speak Japanese and Taiwanese, but not a lick of Chinese. Taiwan cannot “claim independence” in international diplomacy. It’s just a farce that China flexes its military to keep going to brainwash its populace, and, apparently, they got to you too. If China imploded tomorrow, Taiwan would still be Taiwan. It wouldn’t be China. It wouldn’t try to take over the remains of China. In fact, that’s the day the Republic of Taiwan name is reborn. Big countries have always exerted their power on smaller countries. In this case, China uses its military and economic power to threaten Taiwan into giving it some international lip-service. We’ve seen this happen countless of times. USA-Iraq, everyone and Afghanistan, Russia and former SSR’s, USA and south america, the Nazis in Europe, Japan on East Asia, and the list goes on in perpetuity. Would you have accepted that the USA was a nation before the war of 1812? Or would you have said it was British, and that the French were meddling in a domestic affair? Would you also agree that Ukraine is part of Russia? Or that west China is part of the Japanese empire? Or can you concede that given time, geopolitics change and nations are arise? So you have a choice to make here. You can continue to side with the aggressors, or you could just not. Up to you.
lol IDK where your getting your info from i've tried to back mine up in fact both PRC and ROC constitutions claim Mainland China. So IDK wtf you are talking about.
>others being bitches. Yeah, countries like the USA find it more valuable to be in relations with the PRC then the ROC. Unlike Ukraine, where the western world find relations with Ukraine more valuable than Russia. And we all know why that is.
Remember ROC has us my the balls with rare earth minerals that are necessary for advanced defense and telecommunication chips. They could squeeze us as hard as they want but it would also hurt them.
Yield are directly related to interest rates. When interest rates rise,equities and bonds get operated as we've seen in 2022... as your stocks amd bonds grow in value, your yield comes down..thus why its important to maxi.ize yield on cost. Often many funds and stocks will generate dividends that include ROC. As long as ROC is not destructive, I have no problem with it. ROC=return of capital. I maintain a 15-20% yield but trade mainly etns-exchange traded notes, reits, and bdcs/cefs. The cefs and often reits have distributions with ROc(return of capital). In order for me to maintain that yield I buy low,, collect some dividends, sell higher. I am still down from 2022..I went from down 30% Oct 20 to down 10% Jan 20 to down 14% this week in Feb,excluding dividend withdrawals, or I'd actually be down closer to 8-10%, a similar return to a more conservative portfolio for 2022. Every time yield goes below 15,I rebalance. It requires lots of work in bear markets-I have 400 pages of trading history after recuperating all those losses just to give 4% back. I also think reinvesting most of those dividends helped propel my portfolio growth since its maximum drawdown..part of the drawdown is from someone else's investment decisions.. I didn't sell my father's investments until they were down 21%..past of my portfolio was inherited. Exactly 6 mo the ago from yesterday,I was worth just 6% more..when I refer to maximum drawdown I am referring to the peak balance of my father's investments before they tanked, ot the actual received balance. If you don't enjoy the research and have the dedication, remember dividends/distributions lower your cost basis.. A portfolio that yields 15% every year has to go 15% less to breakeven/profit so reinvesting dividends isn't always a good idea. For a while I would make sure to strictly trade principal,leaving dividends untouched. Again I had to spend a good portion on bills since I'm not working. High yielding assets typically go up when the market is green and we all know that when you don't want to sell an asset that's probably the best time to get out.
$ROC Drilling Tools Plans To List On Nasdaq Through Business Combination With ROC Energy Acquisition
Technically, Taiwan considers itself the real China. They call themselves the ROC. Republic of CHINA (中華民國 ). In Taiwan, people speak Cantonese (CHINESE) and write in traditional CHINESE characters. So still made in Chyna.
Equalization transfers are based per capita. So are you also hating on all the provinces receiving more than Québec? I didn't think so. You're just hating Québec because of its 2nd highest population? That's dumb. Or maybe you're just racist. Last time I checked, when you add federal transfers to equalization transfers, Ontario got the same amount than Québec. Hating on them as well? ROC = Rest of Canada.
I see you have no idea how federal transfers work like most asshole from ROC.
Yeah, honestly the way I invest is I start with a macro idea of what I think will work or what will happen. Then I start to screen for companies in that industry and find the leaders or the ones with pontential growth. I like certain times of things, like high ROC, gross margins, etc. I start reading earnings calls. Then I have some dumb rules that I follow, like the company needs to have performed the SPY over the 5Y mark. Don't get me wrong, I make bad calls too. Like I was talking about OLPX and I know that one user, AP127938123 whatever the numbers are lol, probably was convinced to buy them from me or at least influenced. You can't pick all winners all the time, but I'm extremely happy with were my money is invested now.
I think it's important to remind people that Taiwan is actually the "Republic of China". We also forget that since the rise of the CCP all nations of relevance agree that the ROC is a territory of the PROC. The CCP has allowed local governance on the island of ROC, but they have stated that will end soon. It seems very unrealistic that Taiwan will remain independent.
This seems to be the same message spread by the pro china media. very interesting that you went on tangents and never addressed the ACTUAL question. I agree that a lot of chip related items comes from china or Taiwan. BUT if the Republic of China reunifies with the People's Republic of China then much of the world can sanction china and put tariffs on products. Making High quality Silicone wafers is not hard, it just uses electricity which is cheap in china because of all the new coal power plants. Also they do not have environmental concerns like in the USA. EUV is the only unique thing TSMC and others taiwan companies have, and Intel is buying newer and more productive machines. It is also possible that experts at TSMC could relocate to the USA and or help Intel specifically. Regardless of what actually happens, any disruption in production would increase the value of the products Intel made or would make. Margins would increase, total revenue would increase short term and stay flat long term. SO if there is any sort of merger between ROC and PROC then YES intel earnings, revenue and stock price would become more valuable. We also should assume that the government would add more subsidies and expedite domestic production of chips. Lastly China's only real threat to the US military are AI drones that can easily destroy the us in a conventional warfare. For the use to compete they would either have to launch the nukes or make drones of its own. Making drones means having chips. TSMC being a ROC company is a real threat and should not be used to produce chips important to the military.
these kinds of trades have very low expected value over time and it's hard to consistently make money. Or else it would be done with tons of money. Institutions use proprietary data to run models about whether they can do this on a daily basis and it's just too random to succeed regularly. If the monthly or quarterly gain on these trades might be 5 cents for every dollar set aside on margin, don't you think 100's billions of dollars would be used daily to do this? I am aware that there is a limit on how many options people can do. It' just not a big enough market. For instance you couldn't sell 1T puts (notional value) on TSLA all at once. Well..maybe you could but liquidity would be so crappy for the last 900M or so that you wouldn't get a good price, if at all. Selling 0 DTE credit spreads can be done, it's very hard work, and unlikely you'll make consistent good money and get something like 100% ROC year in and year out. Problem is you'll run good for a few months and make dope money, and then think you can do this for the rest of your life. But it just doesn't work that way. ​ There was a guy once on here who used to sell naked 5 delta 0 dte puts on SPX and not even as part of a spread. His logic was he'll get blown out every now and then (maybe once every 20-30 trading days), but the losses won't be big because SPX is cash settled and if it moves down past the 5 delta strike...it won't be by much. So even though naked puts are "infinite" risk (or close to it)...you'll never lose infinite money or even the entire cash margin you set aside because SPX will never fall to 0 in one day. For instance if SPX is at 4000 and he sells a 5 delta 0 DTE put which would put it like at 3920...SPX might fall below 3920 that day but it won't fall far like 3850 or 3800. And it certainly won't go to 0. So his losses are not as high as theory or convention would dictate. So over 100 trading days...for like 90 of them he would make full profit (on order of $80 - $100 per $38,000 he set aside in margin), and for 8 days he would lose, and on 2 days he would lose big. Companies employ whole teams to map this kind of stuff out. If I were a company or hedge fund or a company like BlackRock (or even smaller) that had 30B - 50B AUM, and I thought there was a way to make 10-20% a year doing 0 DTE options...hell yea I would employ a whole division and pay them 5-10M / year for me to make 10% on 10B (which would be 100M profit).
And that was holiday sales, where they even beat with ROC sales. That’s as good as it’s going to get for a long while.
ROC66- I couldn't agree more! The Best Way to get answers is to go directly to the SOURCE! [**https://www.niocorp.com/**](https://www.niocorp.com/) & follow up with your own D.D.! Chico
Countries that don't like Russian athletes competing as ROC are free to boycott, it just hurts their own standing. Even after the doping we allowed the Russians to compete as ROC, and that had a lot more actual relevance on the games, this is just a PR stunt by an angry nation trying to stick it to anyone and anything Russian.
Your Weekly /r/stocks Recap **Friday, January 20 - Thursday, January 26** ###Top 10 Posts | score | comments | title & link | |--|--|--| | 2,031 | [581 comments](/r/stocks/comments/10gtnwd/google_cutting_12000_jobs_in_6_slash_to_global/) | `[Company News]` Google Cutting 12,000 Jobs in 6% Slash to Global Workforce| | 1,292 | [255 comments](/r/stocks/comments/10jcd04/spotify_to_trim_6_of_workforce_content_head_to/) | `[Company News]` Spotify to trim 6% of workforce, content head to depart| | 1,276 | [197 comments](/r/stocks/comments/10kr6zr/adani_stocks_drop_after_hindenburg_research/) | `[Company News]` Adani Stocks Drop after Hindenburg Research claims Largest Corporate Fraud in History| | 1,200 | [487 comments](/r/stocks/comments/10iq0ld/sundar_pichai_googles_ceo_has_to_go_and_someone/) | `[Opinion]` Sundar Pichai (Google's CEO) has to go and someone more competent should take over.| | 1,171 | [405 comments](/r/stocks/comments/10kequb/google_ceo_defends_job_cuts_in_animated_town_hall/) | Google CEO defends job cuts in animated town hall as employees demand clarity on process| | 1,130 | [189 comments](/r/stocks/comments/10hueqy/apples_business_is_simply_an_earnings_machine_roc/) | Apple's business is simply an earnings machine. ROC comparison: Apple (23.7%) vs. Alphabet (12.3%) vs. Amazon (5.7%)| | 1,050 | [273 comments](/r/stocks/comments/10k7ci7/nyse_says_trading_issue_that_led_to_dozens_of/) | NYSE says trading issue that led to dozens of stocks being halted has been resolved| | 1,038 | [225 comments](/r/stocks/comments/10lfxv6/chevron_announces_75_billion_stock_buyback/) | Chevron announces $75 billion stock buyback, dividend boost| | 938 | [518 comments](/r/stocks/comments/10jczi8/retail_investors_are_buying_more_tesla_stock_tsla/) | `[Industry News]` Retail investors are buying more Tesla stock ($TSLA) than Apple, Meta, Microsoft, Alphabet, Netflix, Nvidia, & AMD *combined* (Source: WSJ)| | 866 | [271 comments](/r/stocks/comments/10h7zb0/stock_market_is_a_bipolar_zoo_based_on_emotions/) | Stock market is a bipolar zoo based on emotions| ###5 Most Commented | score | comments | title & link | |--|--|--| | 488 | [558 comments](/r/stocks/comments/10l9spv/tesla_earnings_are_out_here_are_the_numbers/) | `[Company News]` Tesla earnings are out — here are the numbers| | 521 | [514 comments](/r/stocks/comments/10jqr6y/do_you_think_fall_2022_was_the_bottom_or_are_we/) | `[Low Effort]` Do you think fall 2022 was the bottom or are we in for more red?| | 80 | [368 comments](/r/stocks/comments/10hqi9h/robinhood_vs_fidelity/) | `[Advice Request]` Robinhood vs fidelity| | 628 | [343 comments](/r/stocks/comments/10i2ey2/google_is_panicking_google_calls_in_help_from/) | Google is panicking! Google Calls In Help From Larry Page and Sergey Brin for A.I. Fight| | 660 | [332 comments](/r/stocks/comments/10l5har/havent_paid_taxes_on_stocks_ever_how_do_i_fix_this/) | Haven’t paid taxes on stocks, ever. How do i fix this?| ###Top Daily Discussion Comments | score | comment | |--|--| | 22 | /u/FoodCooker62 said [Even if a soft landing is achieved (which is still up for debate) that doesnt mean there's any sense in accepting a 1.5% forward EPS yield on nvidia. Or buy McDonalds at 35 p/e, or Costco at a...](/r/stocks/comments/10lou47/rstocks_daily_discussion_options_trading_thursday/j5ymwfx/?context=5) | | 22 | /u/Okelie_Dokelie said [>Real gross domestic product (GDP) increased at an annual rate of 2.9 percent in the fourth quarter of 2022 (table 1), according to the "advance" estimate released by the Bureau of Eco...](/r/stocks/comments/10lou47/rstocks_daily_discussion_options_trading_thursday/j5yk7jc/?context=5) | | 18 | /u/SoullessGinger666 said [Ladies and Gentlemen, I am pleased to announce that for the first time my net worth has hit $100,000. Thank you, $PMET.](/r/stocks/comments/10lou47/rstocks_daily_discussion_options_trading_thursday/j5z0ezg/?context=5) | | 14 | /u/Shalaiyn said [Will JPow go down into history as the best Fed chair ever if he pulls this off?](/r/stocks/comments/10lou47/rstocks_daily_discussion_options_trading_thursday/j5yk8l2/?context=5) | | 13 | /u/Runningflame570 said [Every quarter people ask if Intel is a good investment, every quarter I say they're a value trap, and every quarter people act surprised that their results are bad. This is what happens when a compan...](/r/stocks/comments/10lou47/rstocks_daily_discussion_options_trading_thursday/j60lmjv/?context=5) | If you would like this roundup sent to your reddit inbox every week send me a message with the subject ['stocks'](https://www.reddit.com/message/compose?to=subredditsummarybot&subject=stocks&message=x). 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Yup. If you go to their site there's a link to a tax info page that lists the tax documents for them and in the pdf it says how much ROC they do in the given period. That's at least some of why your basis is getting reduced.
Using ROC right now is heavily flawed, because it fails to factor in how changes to interest rates will impact ROC going forward and differences in borrowing levels. This is particularly important with Apple, which used some debt, but not really much relative to the size of its balance sheet, so calculating ROC from that is going to skew your results. This is especially true since Apple was selling debt with less than a 1% coupon at one point. Other companies did almost no debt issuance, hence their ROC is lower. Maybe you can say companies that leverage capital markets to boost ROC are inherently better companies, but I think that's a hard argument to make in the tech industry where cheap money has never been an issue, and public debt markets aren't really necessary. You've also spoken nothing about margins or the trend of margins, which is frankly just bizarre. Also no discussion of revenue growth, and even if tech stocks are becoming value, you still can't ignore revenue growth now, arguably especially now.
When would you use ROIC (= ROC) vs ROCE vs ROA vs ROE? Depends on industry?
MSFT ROC 26,32%, even higher than AAPL
Where the heck did you get an ROC of 12.3% for alphabet. Everywhere I looked plus my own math says it’s in the the low to mid twenties.
Good luck with position. Have you looked into ASO or DKS? Both are just sports retailers, rather than outdoor focused. Both are technically cheaper buys, decreasing share count, offer better ROC, and have performed better than JOUT on the 1Y and 5Y benchmark.
Theoretically, compounded monthly, he could make just under 80% ROC a year.
Non cash tax expenses reduce E&P, but don't reduce cash available for distribution. The include depreciation and amortization as you mentioned, but aren't limited to those. When you buy a stock for 100 and receive a 10 ROC, the assumption here is that since the corporation didn't make money, the money it returned to you was 10 of your own 100.
Thanks for the explanation! How come a company can pay more than E&P? Is it because it reduces the profits by amortization, investments, etc.? > ROC is not taxable because it's basically your own money coming back to you. I can't really follow this logic... Can you elaborate?
You cant. They will release that information publicly soon or your broker will tell you once they get that information from the companies which looks a little something like [this](https://www.annaly.com/~/media/Files/A/Annaly-V3/2021%20Form%208937.pdf). Basically, distributions made by U.S. corporations (outside of REITs which have their own rules) is either out of what is known as "Earnings & Profits" ("E&P") or it is not. If it is out of E&P, then it's dividends. If not, then it's generally return of capital ("ROC"). If a corporation has E&P of 60 at the end of the year, but has distributed 100. Then 60% of every penny of distribution it has made throughout the year will be dividend. The rest will generally be ROC. ROC is not taxable because it's basically your own money coming back to you. But it reduces your basis in the stock and if you receive ROC in excess of your stock basis (think of this as how much you paid for the stock, for now), then you have capital gain on that stock.
If I get around 25-30% in one day or two, I usually close as a quick scalp. If it's something I don't mind assignment, I will wait until assignment or 75-80% ROC. Sometimes I will close positions prior if I want to cycle capital in a different trade that better fits my portfolio
I've been in cash since May 2021 and the front-end since mid-June when rates were about 1.6% on the 3-month and 2% on the 6-month bills. Returned 1.43% in 2022, beating all but one professionally managed bond fund's FY22 ROC, and beating the SPX by 8% and NASDAQ by 20% since May 2021. You're late, but I guess late is better than never.
Valuation is such a hard game with no fixed correct answer. That's how price discovery works, different folks value different metrics. I my book, Google is insanely cheap - and has been for a long time when comparing with other mega cap stocks. In my system it has a score of 3 (lower is better), AAPL is 23, TSLA 67, MSFT 132 and AMZN 7,489. I factor in a lot of metrics, including P/E, forward P/E, PEG, debt, free cashflow, EBITDA, P/B, ROE, ROC and more. The main reason why AMZN is so unattractive in my system is that they have negative free cashflow. But here's the kicker - there are sometimes good reasons for not having free cashflow. AMZN invests a lot of their earning in their business, and ironically, AMZN is the only of the mega caps that I currently have limit buy orders on. It is set at $65. Another reason is that I already own GOOG, AAPL and MSFT. So, it's also comes down to your own personal bias and belief in a company - for that reason I wouldn't consider TSLA until it (may) hits $25.
#VV'S IN MY CHARM THATS A ROC-A-Fella chain
I don't think it's a dotcom bubble issue. PE's for some of the biggest names were like over 100. Like March 2000, Cisco was a PE of 196 and Oracle was at 148. Dotcom was like the internet shift of people would be spending all the time online. People didn't care about evaluations, hince the bubble. That's why Cisco, the largest networking company at the time, was seen as like everyone will use their products, the internet now exists and we are going to be connected. What we are seeing now is another shift, where we are not going to see lower interest rates for some time and investors now have alternatives outside of just buying stocks. Investors are moving away from tech companies since they are caring more about things like ROC, FCF, PS, etc versus just caring about a company growing x sales.
> and it claimed that selling naked strangles can yield an investor 100% annual returns 95% of the time. Is this a complete lie? No such claim was made. You can see from the slide itself that the ROC was 13%, not 100%. What Tom said was, "The takeaway on this is *this is the way you get to that number when you try to make a hundred percent on your money*." In other words, these Tasty Bite small strangle trades are a step in that direction, not the only thing you need to do to make 100%. And the "100%" was hyperbole anyway, because the next thing he said was an analogy of an advisor saying they have a 95% chance to make you "35 or 50 or 100 percent on your money". 100% is just an example. Next time, please include a timestamp for the relevant section so we can go straight there and not have to watch the whole video to find it.