Minerva Market View for Oct 24, 2023
As expected, the market showed turbulence today. Expect more of the same for the rest of the week. Read on to see our long / short picks...
Portfolio Performance
We’ve turned mildly bearish (net 5% short) in our portfolio in anticipation of turbulence this week. This helped us turn in a decent outperformance vs. the S&P today: +0.10% vs -0.17% for the S&P. We remain largely in cash (t-bills and MMFs).
Our short algos were able to pick up another good short candidate before the short report came out: BIPC 0.00%↑, on which we’re now up +6% so far. This is in addition to several other massively successful shorts this year. And this is only likely to increase as the number of weaker companies grows.
Current Positioning
Below is the screenshot of our portfolio with new additions highlighted in yellow. We also closed our long position in CLS 0.00%↑ at a +16% gain.
Positions in ticker form:
Longs: SFM 0.00%↑ MCK 0.00%↑ GLDM 0.00%↑
Shorts: LUV 0.00%↑ SJM 0.00%↑ BIPC 0.00%↑ CGNX 0.00%↑ HLMN 0.00%↑ EXR 0.00%↑ GNRC 0.00%↑ CC 0.00%↑ BURL 0.00%↑ ALB 0.00%↑ AA 0.00%↑ DAR 0.00%↑ ZUO 0.00%↑ U 0.00%↑ FIVN 0.00%↑ SQ 0.00%↑ WBD 0.00%↑ CUBE 0.00%↑ IFF 0.00%↑ ETSY 0.00%↑ DOCS 0.00%↑ EIS 0.00%↑ XHB 0.00%↑ VECO 0.00%↑ OKTA 0.00%↑ ITB 0.00%↑
Market View
We stick to our market view described yesterday and expect a choppy market for the rest of the week. Our long/short portfolio is perfectly positioned for such a market. We will change our positioning if we get a massive up day on volume signaling that the bulls are taking back control.
Watchlist
We have a pretty big watchlist for tomorrow, with a few longs and a lot of short candidates. Make sure to follow us on X (Twitter) @MinervaCap for updates on positions during the trading day.
Longs: AVAV 0.00%↑ CRWD 0.00%↑ ACMR 0.00%↑ CLS 0.00%↑
Shorts: TOST 0.00%↑ AWK 0.00%↑ CLX 0.00%↑ WTRG 0.00%↑ EDR 0.00%↑ BALL 0.00%↑ LPX 0.00%↑ SCI 0.00%↑ ZI 0.00%↑ KEYS 0.00%↑ CZR 0.00%↑ EVRG 0.00%↑ MS 0.00%↑ ES 0.00%↑ IRT 0.00%↑ LXP 0.00%↑ O 0.00%↑ D 0.00%↑ DOC 0.00%↑ K 0.00%↑ PYPL 0.00%↑ IPG 0.00%↑ BEN 0.00%↑ HR 0.00%↑ PEAK 0.00%↑ SEE 0.00%↑ CNHI 0.00%↑ CUZ 0.00%↑ CFG 0.00%↑ DAL 0.00%↑ OI 0.00%↑ HTZ 0.00%↑ MT 0.00%↑ OGN 0.00%↑ SUI 0.00%↑
As always, we will wait for price confirmation before executing any trades.
Safe trading!