Portfolio Update 2/26/22 5:30PM
It’s been a month since I posted my last portfolio update found here;
I have found doing these updates is helping me keep better records of my investing thought processes over time. Much like keeping a journal in life when you re-read in the future it helps you remember what your thoughts were at the time of writing. Hopefully others find this helpful as well.
Current Portfolio as of 2/26/22. Change since 1/28/22 +30.2% YTD -9.4% VTI Monthly +2.2% YTD -8.9%
I have decided to just benchmark versus the VTI which is Vanguard Total Stock Market Index Fund, which is probably what I would put my money into if I did not want to spend time researching stocks. VTI includes all 3600 stocks traded in market.
Stock % Portfolio % Portfolio % Change Market Monthly Stock Current Previous Portfolio Cap (B) Price change UPST 72.8 70.1 +2.8 11.4B +50.8% TCNNF 23.7 27.9 -4.2 4.0B +11.0% MNDY 2.3 0 +2.3 6.9B -16.1% CASH 1.2 2.0 -0.8
New positions since last portfolio update: MNDY
Exited positions since last update: NONE
Trades between 1/28-2/26 Bought: UPST 2/3 98.75 MNDY 2/17 217.02 Sold: UPST 2/9 111.70
Thoughts on trades and companies for the month.
What a difference one month can make. Still down on the year but starting to see the light at end of tunnel. My two main holdings were up. Upstart reported what I would describe as a monster quarter. My UPST purchases from last month (just look at last months write up) are up nicely even though my overall position in Upstart is down.
I added about 1.1% to my portfolio this month in cash. I have yet to deploy it. It is the last of my cash that I have to invest. I bought some Monday which has been down big. It is a favorite on Saul’s board. My company recently implemented a workflow software and it made me understand why so many companies are adopting this type of software. Asana is what my company implemented but Monday is growing faster. The fact that it is so well covered at Saul’s board is a plus as well. I also tried to buy some Asana stock but it rose up too quickly from its recent lows.
Trulieve reports this next month. I recently posted my thoughts and expectations in a previous post on this board. March 15th will be earnings report.
TAM 1.4T https://www.nasdaq.com/articles/upstarts-%241.4-trillion-mar…
Monthly performance of stock for February was +50.8%
It reported Q4 and year end results https://ir.upstart.com/news-releases/news-release-details/up…
More interesting was a week later Upstart posted this Form 8-K https://ir.upstart.com/node/7646/html
On February 18, 2022, the Compensation Committee (“Compensation Committee”) of the board of directors of Upstart Holdings, Inc. (“Upstart”), after extensive consultation with its independent compensation consultants, approved the grant of a performance-based restricted stock unit (“Performance Award”) under our 2020 Equity Incentive Plan to Paul Gu, our co-founder, Senior Vice President, Product and Data Science and a member of our board of directors. The Performance Award is intended to be Mr. Gu’s primary compensation for the next seven years and his cash compensation will be limited to the amount necessary to allow him to participate in the broad-based employee benefits generally applicable at Upstart.
The Compensation Committee and board of directors believe that the next seven years are very important to the further development of Upstart and the delivery of value to stockholders. Mr. Gu led the development and building of the automated loan flows and artificial intelligence models that provide us a competitive advantage and currently leads the product and data science teams that continue to develop more accurate AI models and the automation of our processes. His leadership in these key functional areas makes it critical to retain and provide further incentive to Mr. Gu for the next phase of Upstart’s lifecycle so that we can continue to deliver stockholder value.
Because of this, the vesting of the Performance Award is heavily weighted toward being earned at higher stock prices (only 21.4% of the Performance Award can be earned if Upstart’s stock price does not reach $347, 2.40x the reference price used to set the targets) and the Performance Award will fully vest as to 687,500 shares only if Upstart’s stock price reaches $616 for a 60 consecutive trading day period (approximately 4.25x the reference price used to set the targets) and certain service conditions are met over a 7-year period.
Paul Gu is betting on himself and Upstart. I love it!
TAM 62.5B (US) https://thedeepdive.ca/bofa-global-cannabis-market-currently…
Monthly performance of stock for November was +11.0%
Trulieve purchased a 64,000 sqft production facility in AZ.
Trulieve opens its 161st dispensary.
YTD return of portfolio for each month January -30.4% February -9.4%