Portfolio Critiquing

Hey :wave: everyone!

I wanted to share my current portfolio of companies really for educational purposes. To hear what others, more experienced investors think and where I could improve, how to better minimise exposure to risk etc.

I’ve only been trading stocks for 2 months so any feedback would be most welcomed.

My portfolio

  1. Datadog
  2. Fastly
  3. Livongo
  4. InMode
  5. Warner Music Group
  6. Flying Eagle Acquisirion Corp. (SPAC)
  7. Churchill Capital Corp III (SPAC)

I am hoping to add the following to the portfolio: MFAC (SPAC) and Tesla. In terms of companies who are rumoured to IPO this year, I would like a holding in: Unity, Snowflake, Palantir Technologies and AirBnb.

Any feedback on the above holdings and future holdings stated above would be most appreciated!

Cheers :beers:

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You should create a pie for some other markets that you currently are not in.

I’ve done 4x pies on top of my original holdings. They are long term so I won’t trade them. If price is going down so be it. I’ll put a small amount (£15/20) into each of them on a Monday and Thursday of each week for at least a year. If price is down it should lower the average cost per share.

3 of the 4 are currently up between 3 and 4% respectively within a few days.

yeah, and i’d def recommend diversifying your geographical spread. not sure where you’re based but your portfolio will tend to dance around as your base currencies and stock currencies fluctuate. historically, i’ve noticed that i lose about 7% on avg. to currency movements when i close trades. and i’m not even a pro trader.

So I’m based in the UK. Very aware of the fact that all my stock picks are US based. I haven’t really put enough effort into looking at UK companies. I find UK stocks to be slow growing and not so exciting. I’m
Biased to the US but you’re right, I should diversify.

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I honestly never heard and read about any of these companies besides Warner Music.
With that in context, it doesn’t look good picks.

Cheers :wave:

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Powerhouse energy for a UK stock has a very good outlook. Also, Indivior :slight_smile: it’s doing great at moment

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Ahh yeah, I did look at powerhouse energy a few weeks ago funnily enough!

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I also got in on FuelCell Energy. US stock but also a very good future ahead of it

https://www.fuelcellenergy.com/

that was me a few weeks ago but then i started putting the words “global” in my search terms and a bit of faffing around to make google spit out non-US based search results. UK stocks don’t show growth because of the sheer volume of transactions of US stocks.

Can you explain the picks a bit more, ie: reason for choosing?

The only ones I have heard of are Datadog and WMG, but neither were on my radar much.
Have you possibly considered purchasing ETFs? This might allow you to enter US market without having to cherrypick individual stocks. It depends on how you wish to trade, personally i’m all ETF with a few individual positions in oil companies.

Similar to @laguiar, out of your picks I only recognise Warner.
So, as suggested by @adm, I would like to hear about what they do and why you selected them? :slight_smile:

I would call this a YOLO speculation portfolio. Datadog and Fastly for instance are hot stocks at the moment but very speculative (I hope you understand that) . If I had my net worth in this portfolio I don’t know if I could sleep at night but a small part sure. Is your attitude to risk very high?

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As many people said that they haven’t heard most of them, I want to say I know and hold InMode :smiley:

But other than InMode and WMG I don’t have any information about these. It heavily depends on what is your investing strategy, amount of risk you want to take, sectors/geographies you want to invest etc.

As suggested, ETFs might be very useful to decrease the risk when you haven’t diversified much or if you are not very sure about your current holdings. It can also help you to work your money and don’t miss out while you possibly make your research about new stocks and expand your portfolio gradually. Later, you may decide to decrease weight of ETFs in your portfolio, e.g. if you have enough exposure to a specific sector/region where one of your ETFs also targets.

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Datadog are very big in the cloud computing world right now and doing all the right things. They’re moving from strength to strength.

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What? Very big?..

Lol, that is one serious overstatement…

Do people even check the background of any company before investing?
When I do google “datadog” , there is no actual company profile on whole first page, just stock related.

That is first red flag.

Then I did some DD on Fastgraphs.com and seekingalpha.com.

It is the epitome of bubble startup from dot.com.

Have not had a single profitable year so far. Even with projected growth 500% this year it is barely profitable. To keep up with current valuation it should grow 500%-1000% next 5 years …

Price/book = 30+,
P/E = -23k0

Market cap is 24B, for company that has net income of -740k…

Can someone tell me why they put any money unless day trader? Aka if long term investor why you even touched this?

Below is graph of price in relation to Earning, earnings are small green blimp at bottom…
So yea price is inline with fundamentals.

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I have no interest in investing in Datadog, but have seen it multiple times promoted in the “techy” places I sometimes hang out in, and I think this company might actually buck the trend and do good things - given the risks you outlayed above.

Interesting to see where it goes, it’s a growth company for sure and I can vouch for it having an aggressive marketing strategy.

Given the times, I think P/E shouldn’t even be considered a metric looking forward. Not just for this company but for the whole lot.

https://uk.finance.yahoo.com/news/fastly-fsly-upgraded-strong-buy-160004384.html Note on Fastly

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Two comments:
Livongo is very volatile
Tesla can goes up a lot if they announce good expectations, but it can go down massively just by a tweet from Musk.

Have you considered ETFs?

Started diversifying via ETFs today :slightly_smiling_face::+1:

Note regarding Datadog https://uk.finance.yahoo.com/news/datadog-announces-integration-amazon-elastic-200500048.html