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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly

As a leader of metal resources production, we reiterate RIO as a TOP PICK.  Management is optimistic that a commitment to aluminum smelter development in Australia is supportive for the company's plans.  We like that cash reserves are growing, while debt is retired.  It trades at 9x earnings, under 2x book and supports a 20% ROE.  The robust dividend is backed by a payout ratio of 70% of cash flow.  We recommend trailing up the stop (from $49) to $58 at this time, looking to achieve $82 -- upside potential of 32%.  Yield 6.2%  

(Analysts’ price target is $81.93)
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This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly

We reiterate PHYS as a TOP PICK.  This trust holds physical gold bullion that is unencumbered, trades in Canadian dollars and avoids operational risk associated to owning a gold producer.  Given uncertainty in world trade and geopolitics, it is a good holding at the moment.  We recommend trailing the stop up (from $25) to $29, looking to achieve $38 -- upside of 18%.  Yield 0%

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This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly

We reiterate PSLV as a TOP PICK.  This trust holds physical silver that is unencumbered, trades in Canadian dollars and avoids operational risk associated to owning a metals producer.  Given uncertainty in world trade and geopolitics, it is a good holding at the moment.  We recommend trailing the stop up (from $11.50) to $13.00, looking to achieve $18.50 -- upside of 18%.  Yield 0%

premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Dec 26/24, Up 13%)Stockchase Research Editor: Michael O'Reilly

Our PAST TOP PICK with DVN is progressing well.  To remain disciplined, we recommend trailing up the stop (from $25) to $31 at this time.  

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This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Dec 17/24, Up 7%)Stockchase Research Editor: Michael O'Reilly

Our PAST TOP PICK with JNJ is progressing well.  To remain disciplined, we recommend trailing up the stop (from $133) to $146 at this time.  

premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Dec 19/24, Up 4.7%)Stockchase Research Editor: Michael O'Reilly

Our PAST TOP PICK with BRK/B is progressing well.  To remain disciplined, we recommend trailing up the stop (from $400) to $440 at this time.  

COMMENT

He likes Canadian energy where such companies make good energy, valuations are attractive and are coming back after being overlooked for US energy. Many are returning capital to shareholders as they control spending. Overall, are strong financially. Also, he likes the car-makers who also make a lot of money, have good PEs and are buying back shares. He likes Ford, but is neutral the Canadian auto-parts-makers.

TRADE

Not buying it now. For options, you could go out to the May $94 put and sell it for close to $4. If it pulls back, you're force to buy at $94. The implied volatility is decent. Pays a 3% dividend; you can get more yield by selling upside calls.

BUY

Selling a cash-covered put means you have money to buy this stock, then pick a level to enter. So, sell the April $75 put for $4. Uber is doing very well, trading at a good PE and they have a large car network. Growth lies ahead. Enter by selling puts.

TRADE

It enjoys little competition. If you sold the February $62 calls (now $64.60), so if you do nothing between now and Friday, you will get called away. So, you can roll that option: buy back the call that you're short, then sell a new call further into the future to replace it. So, pay $2.65, then roll it out to May, sell the $62 again, and collect $3.15.

TRADE

Of the Mag 7, he likes this, but it's tough to buy at currently high levels. For an options trade: sell that $650 put (almost 10% downside) into May, then collect $21.50, which is a large premium, but huge downside protection.

BUY ON WEAKNESS

Is a lower-volatility stock, so options are less expensive than others. Also, call premiums will be weighed down by the dividend. Wait for a pullback before entering and selling a put. 

COMMENT

Covered calls make tons of sense when the market is sideways or moving up a bit, but underperform in a raging bull market like last year. Owning blue chip names and selling some calls. If you're not that overall bullish, set premiums for a short time and a lower price. You give up some upside, but capture more of the premium. Also, if you do this several times a year, then your gains add up.

TRADE

Trades under 12x PE and are buying back lots of shares. Likes it. Options: sell the April $25 call and get 20 cents, not a big premium, but leaving lots upside to get closer to the upper-$20s. But he is not selling calls on CVE, because he expects the share price to recover. But at $27-28, he will sell at $30s. For new money, he will sell $20-22 puts.

COMMENT
Basics of options

Options add or remove risk, depending on whether you forecast the current direction of a stock. Also, they can create a lot of leverage. You buy a call when you are bullish a stock; you have the right, no obligation, to buy a stock at a certain price by a certain date. A put is the opposite. A cash-covered put means you will sell a put--give somebody the right to sell you a stock at a certain price below the current price by a certain date; the cash part means you actually have the money, and aren't using leverage.