2024 Investing Gameplan: My Portfolio + Market Outlook
Here’s a portfolio update and my views on the market today. I’ll touch on my highest conviction stocks, some smaller positions and my watch list.
We discussed this chart in February in the community Discord and it seems to be playing out now with a March sell off in many stocks. If history is any guide, we could continue to see a short term pull back with the market ripping higher the rest of the year. Looking at the world a volatile year would not surprise me.
Here are my key holdings:
Tesla
While I am still bullish on TSLA 0.00%↑ in the long term, I am definitely less so in the short term. I think 2024 is shaping up to be another extremely challenging year for the auto market, especially EVs. Rivian just reported and it didn’t sound good, thus the massive RIVN 0.00%↑ sell off that followed. Tesla reported in January with similar negative sentiment for the short term and the stock is down 30% since its recent high in last December. Tesla is down 55% since its all time high in November 2021. I think Tesla is an incredible company with massive potential long term. If it wasn’t already the biggest position in my portfolio I would definitely look to start dollar cost averaging in here and buy substantially more if it continued to drop.
Tesla is definitely a bit frustrating though, down in the last 3 years while many other companies are up tremendously. It’s challenging to deal with that, I’m staying invested for the long term but I won’t pretend it’s easy. It is constant war.
I don’t think 2024 will be a good year for the auto market, high interest rates and macroeconomic issues will continue to be massive headwinds and it is worse for EVs. This is a cyclical industry and it doesn’t seem we are getting rate cuts as quickly as was hoped as inflation is sticking around and you see energy prices creeping back up which will not help.
Amazon
AMZN 0.00%↑ is my 2nd largest position and quite the opposite sentiment in the short term as Tesla. All signs are pointing to Amazon being much higher over the next 1-2 years. They are crushing it and I really don’t think this is a company you can go wrong with. I’d say it’s a more conservative investment than Tesla. Tesla may have more upside but it definitely has more risk, but Amazon has plenty of upside left too. No one can compete with them, the company has won capitalism. They will continue to grow revenue and increase the bottom line and even marginal increases will have a massive down stream effect which you are starting to see. Increasing efficiency even slightly creates billons of dollars of free cash flow.
Cash
It’s been nice earning 5% interest on my cash that is for sure. It’s probably not doing much to offset cost of living increases from inflation like my car insurance getting 25% more expensive for no reason, food, energy etc. But hey, it seems like fun!
I also keep a large cash position for my options trading strategy which I use to earn monthly income and share every trade in our Discord community.
Here are my other notable positions and some stocks to watch.
Symbotic
SYM 0.00%↑ has been interesting. I’ve written many articles on this warehouse automation play. In my most recent one, I outlined my concern that the company keeps issuing more shares and diluting shareholders. Sure enough I called it out in my last article and video, not a week later they issued 10 million more shares and the stock dropped 20%. Another company with long term potential, but speculative and short term I’m not expecting much.
Rivian
Despite point #1 I do have a small position in Rivian. I think it’s a great company that will do well if they can stave off bankruptcy over the next 1-2 years. Amazon owns 18% of the company and Rivian sells electric commercial vans to Amazon and is now starting to sell to other companies as well, recently they announced a deal with AT&T.
Celsius
Celsius intrigued me since I started to notice many people drinking their energy drinks in the gym. Since I bought CELH 0.00%↑ a few weeks ago before earnings, the stock is up 25% and you can read my last article on why I’m invested. The opportunities are everywhere around us hiding in plain sight, you need only open your eyes and maybe spend less time on the phone to see them.
On to my watchlist. I have a couple more conservative dividend players with upside. You’ve got the XLE 0.00%↑ energy ETF which has proven to be a good hedge these past few years and pays a nice dividend around 3.5%. As a stock like Tesla goes down, it seems to always move in the opposite direction. Despite what they tell us, oil is not going anywhere anytime soon, it is essential to our society.
I’m also interested in Verizon. VZ 0.00%↑ With a nearly 7% dividend yield, this seems like a stock to tuck away and collect the high dividend while the stock pushes higher, another 20-30% gets it back to the highs and it seems to have bottomed.
There is also Sweetgreen. SG 0.00%↑ has been dubbed “like Chipotle 10 years ago”. I’m yet to eat there but will look into it further. It’s had a strong start to the year but is far off it’s all time high.
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Thanks for reading, until next time.