There’s not really much to say about this month that won’t be said (or not said) by pretty much everyone on this board - I was also at ATH before this mess began. I’m choosing to hold my breath and not try to time or predict the unpredictable. With almost all growth stocks getting crushed in March, I’ll focus on news for the stocks I hold.
The biggest moves I made were to balance my portfolio in the 3 layers I mentioned in my last review. I balanced most of my holdings at 9-10%, with a 2nd layer around 5% and the 3rd at 2%. I made very few changes after that, so the current percentages are natural fallout from the price movements.
JAN: -1.54%
FEB: +2.77%
MAR: -14.77%
YTD: -22.09%
(I think the huge off-hours drop from Jan 31 to Feb 1 is not reflected in the above monthly changes)
Company News & Decisions
Sell-Outs
Credo: I sold due to the customer concentration and wanting to use the funds as I reshuffled the companies I feel more confident in.
Notable News
DCTH: They reported right in the middle of the mess and delivered 35% QoQ revenue growth and have a goal of doubling their treatment centers in 2025, with the new ones continuing to ramp. The treatment centers are what I’m keeping an eye on, and was enough to keep them in my top tier when I rebalanced.
APP: Enough has been discussed on the board about this but my firm opinion, being inside the advertising industry, is that nothing they are doing is outside of the norm for the digital media industry. The most laughable of all the short reports was the latest, which “accused” them of using remarketing to drive repeat transactions which is a totally normal element of any eCommerce strategy. The number they quoted for incremental transactions wasn’t even a bad number…a lot of marketing drives repeat customers even if it’s broadly targeted. The people writing these reports are unbelievably uneducated in this space.
PGY: Walmart is now partnering with Klarna for their BNPL solution, who uses PGY technology. So, this could be huge news for their volume. They also closed a new ABS deal for $500M
HIMS: News just dropped today that Hims will now be selling Zepbound subscriptions through its platform, hopefully this is a big boon amidst the uncertainty of their ability to provide weight loss solutions.
NVDA: The GM self-driving technology deal is to me a pretty big deal and a sign of the future of NVDA. I see them being a major player not only in the build-out but the uses of AI across major verticals for a long time. I trimmed them because the market just does not react to their great results anymore, but hopefully that changes.
NU: They were named the most innovative finance company in the world by Fast Company. They also launched a new product called “Turbo Money Box” which is an upsell play for current customers to consolidate finances with NuBank.
PAY: They reported on March 10th and I was encouraged by their still-accelerating revenue growth, although margins and Net Income declined. I added, to get them to the middle tier.
That’s all for me, I certainly hope April is better than March.