All things STOCKS

[BigOrangeMojo]

I'm looking for my next thing to buy.

I made about about 30% off both Ford and Smith&Wesson last year

If you believe the recent GDP, inflation, and jobs numbers, TGT and HD at these levels arent bad.....

TGT does have some internal issues to work through. But TGT getting to around $125 would be a 30% return once you factor in dividends. If you have GDP in the 4s and inflation in the 2s, that should fit right into HD and TGT'S wheelhouse....

 

[Thunder Good-Oil]

Bitcoin headed back where it belongs. Current price/$87K.

It’s a unique asset. I don’t think that anybody knows where it (or other large crypto market cap coins) belongs.

It’s really too volatile to be a reliable store of value.

The government has forced it to not really be invisible.

It’s going to be a long time before it has wide spread use as a transactional vehicle. But the huge money center banks are getting involved.

It’s generational. Guys like Buffet and Munger discount it as if it’s a dot com or meme type of investment. It creates value only if somebody else is willing to pay more for it than you did.

Is the IRS planning on taking a piece of every transaction if consumers eventually adopt it the same as cash/credit cards/checks?

Does it enable nations that don’t want to settle large trade deals in US dollars a viable alternative?

Without doing the math, are there enough coin slices available with the finite number of coins?

 

[YankeeVol]

If you believe the recent GDP, inflation, and jobs numbers, TGT and HD at these levels arent bad.....

TGT does have some internal issues to work through. But TGT getting to around $125 would be a 30% return once you factor in dividends. If you have GDP in the 4s and inflation in the 2s, that should fit right into HD and TGT'S wheelhouse....

I’ve got 100 shares of TGT with an average of 90.47 lol

 

[BigOrangeMojo]

I’ve got 100 shares of TGT with an average of 90.47 lol

Factoring in dividend, all you need to do is get to 114 or so for 30%...

 

[Thunder Good-Oil]

If you believe the recent GDP, inflation, and jobs numbers, TGT and HD at these levels arent bad.....

TGT does have some internal issues to work through. But TGT getting to around $125 would be a 30% return once you factor in dividends. If you have GDP in the 4s and inflation in the 2s, that should fit right into HD and TGT'S wheelhouse....

HD will soar if housing ever ramps up. Increasing the housing stock of starter homes is on the administration’s agenda. But health care reform and affordability, domestic manufacturing and securing supply chains, world conflicts, tariffs and fair trade, the $35-$40 trillion debt and a balanced budget, energy and petro pricing, and orderly immigration and balancing jobs with a work force are obstacles and distractions. But having a healthy housing industry and affordability plays well into the mid-term elections.

 

[Thunder Good-Oil]

TGT needs to figure out how to not be dependent on China and other frenemies for their inventory. Also WMT kicks their ass with technology.

I picked up M a year or two ago with some uninvested bits of cash across accounts and planned to ditch it if it made me a small profit. I’m now having second thoughts about possibly holding on to the shares for a multi-year cycle.

AMZN though. My widows and orphans long term hold exploiting the US consumer. With AWS propping it up instead of a pure play consumer dependent equity. AWS also has the spin off possibility, although I think that that would eliminate a huge advantage for Amazon dot com.

 

[Go aeiou]

It’s a unique asset. I don’t think that anybody knows where it (or other large crypto market cap coins) belongs.

It’s really too volatile to be a reliable store of value.

The government has forced it to not really be invisible.

It’s going to be a long time before it has wide spread use as a transactional vehicle. But the huge money center banks are getting involved.

It’s generational. Guys like Buffet and Munger discount it as if it’s a dot com or meme type of investment. It creates value only if somebody else is willing to pay more for it than you did.

Is the IRS planning on taking a piece of every transaction if consumers eventually adopt it the same as cash/credit cards/checks?

Does it enable nations that don’t want to settle large trade deals in US dollars a viable alternative?

Without doing the math, are there enough coin slices available with the finite number of coins?

IRS is already going after tax cheats that hope to hide transactions using Bitcoin. Several have been prosecuted. A profit would have to be involved. Hopefully more cases will curtail tax cheats.
Are states going to classify Bitcoin as tangible personable property? Not sure if that has been to court yet?
Sales by dealers who are paid in Bitcoin should be subject to sales and Use Tax at fair market value of items sold.

 

[Thunder Good-Oil]

IRS is already going after tax cheats that hope to hide transactions using Bitcoin. Several have been prosecuted. A profit would have to be involved. Hopefully more cases will curtail tax cheats.
Are states going to classify Bitcoin as tangible personable property? Not sure if that has been to court yet?
Sales by dealers who are paid in Bitcoin should be subject to sales and Use Tax at fair market value of items sold.

Would classifying Bitcoin as tangible personal property allow it to be used at the cash register without creating a taxable event? I guess that is similar to exchanging US dollars for foreign currency before traveling overseas.

So what will/does the government do if an individual has an account with $250,000 worth of Bitcoin purchased to initially fund the “investment”. Then if it appreciates to a million dollars of value. If the individual buys a boat or real estate or luxury/collectible car then no doubt the IRS will want some of that appreciation. But what happens if that account is functionally transactional and the owner buys a pack of gum, a 6-pack of beer, or lunch?

 

[YankeeVol]

I am relatively conservative on the amount I invest outside long term holds. 10K is about what I'm willing to "wager" with my spare cash in the account. I also like to have at least 100 shares (I really don't know why, it's just a weird thing I have with numbers**).

So obviously 10K on a $100 stock goes further than a $200, etc, etc.


**I have 185 of one stock and it irritates the f*** out of me. I like 50 or 100 increments lol.

 

[Thunder Good-Oil]

I roll all the cash in my Schwab account into SWVXX money market ETF that’s currently paying around 3.5%

But SWVXX isn’t an ETF is it. It prices at the end of the day and has a settlement period before it can be invested in something else.

I see somebody on Reddit has posted XHLF, CLTL, ICSH, and SGOV as possible alternatives. Ultra short bond fund ETFs.

 

[05_never_again]

I’d like to hear if anybody has thoughts on cash sweeps other than Fidelity (I’m happy with Fidelity’s rates and automatic sweep).

With E-trade I have to keep a separate account to move idle cash to for a market interest rate. It’s a PIA to move it over to the brokerage account to make equity trades and vice versa.

With Schwab I can’t find an option that pays better than about 1/10th of a percent on cash sweeps. I might use a short term ETF to stash cash.

It's not considered a cash sweep, but I've been keeping cash in PULS lately. Currently yielding 4.6%. SGOV is good as well

 

[Thunder Good-Oil]

It hasn’t been discussed recently, but TreasuryDirect is a good alternative program for those that use bank savings accounts. I wish that it could be integrated with brokerage accounts.

https://www.treasurydirect.gov/

 

[@1RBFjr]

I am relatively conservative on the amount I invest outside long term holds. 10K is about what I'm willing to "wager" with my spare cash in the account. I also like to have at least 100 shares (I really don't know why, it's just a weird thing I have with numbers**).

So obviously 10K on a $100 stock goes further than a $200, etc, etc.


**I have 185 of one stock and it irritates the f*** out of me. I like 50 or 100 increments lol.

Does having 100 shares get back to the time when you were charged a premium for odd lot share purchases, so you'd buy a minimum of 100 shares?

And, if you have dividends dripped back in, that'll give you an odd number.

 

[YankeeVol]

Does having 100 shares get back to the time when you were charged a premium for odd lot share purchases, so you'd buy a minimum of 100 shares?

And, if you have dividends dripped back in, that'll give you an odd number.

Maybe, I just can't seem to put my finger on it.

Dividends just end up in my FCASH.

What's funny is that it was 183, and I bought 2 (double from original cost) just to try and get it to look better. I still don't like it.

 

[Go aeiou]

I am relatively conservative on the amount I invest outside long term holds. 10K is about what I'm willing to "wager" with my spare cash in the account. I also like to have at least 100 shares (I really don't know why, it's just a weird thing I have with numbers**).

So obviously 10K on a $100 stock goes further than a $200, etc, etc.


**I have 185 of one stock and it irritates the f*** out of me. I like 50 or 100 increments lol.

I more often than not have dividends converted to additional shares of stock.. That means I usually own fractional shares. I'm guessing you don't do that?

 

[Go aeiou]

Would classifying Bitcoin as tangible personal property allow it to be used at the cash register without creating a taxable event? I guess that is similar to exchanging US dollars for foreign currency before traveling overseas.

You can pretty much bet that if there is a loss the individual will take a loss on their income tax. The IRS wants tax on any gains.
The gov't wants only their $ used as currency.
If tangible personal property states will want sales tax(9-10% in TN) on any sale or use that is not casual or isolated. If you trade your TV set(tangible personal property) for a new suit from a retail store the State would expect that store to collect sales tax. Same for bitcoin. Sales tax would normally involve a dealer who is registered to collect sales tax. There are exceptions for some things, Most notably motorized vehicles. If due the tax is paid when the vehicle is registered. Depends on the state.
Six pack or gum from a store would have sales tax charged and the # of bitcoins needed would be negotiated between the buyer and seller. The Seller would have to report the sale for income tax purposes, and charge sales tax and report/remit that tax.

 

[Vol737]

But SWVXX isn’t an ETF is it. It prices at the end of the day and has a settlement period before it can be invested in something else.

I see somebody on Reddit has posted XHLF, CLTL, ICSH, and SGOV as possible alternatives. Ultra short bond fund ETFs.

You’re correct. It’s not, it’s a MMF. I do the same as Yankee, but I leave some cash in my sweep for immediate opportunities. I just look at it as I’m okay with keeping some immediately available cash in the sweep even though it’s not earning anything, but when it looks like certain equities are getting more attractive, I go ahead and pull cash from the SWVXX with an intent to buy in the near term.