Investor's Edge with Gary Kaltbaum - That broad market! [03.27.2024]
Episode Date: March 27, 2024garykaltbaum.com...
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Investor's Edge with Gary Kaltbaum.
Straight talk about you and your money.
Now from the BizTalk Studios, here is Gary Kaltbaum.
And welcome once again to Investors Edge.
I'm Gary Kaltbaum, your host day.
Thanks of being with us today.
Glad you're here, ladies and gentlemen.
Happy that you're listening.
It's Wednesday, the 27th, March, into the end of the quarter.
One more day, 2004.
Hope you're having a good day.
Ladies and gentlemen, we're going to do the show Kind of Sort in three parts.
Yeah, kind of sorter.
Yeah, okay.
Kind of sort in three parts.
And we'll explain the minute.
But first, if you do not get this radio show in your city, we'll post it at GaryK.com.
We'll also post it on our Twitter feed, which is now X.
And if you know, follow us on Twitter, you should.
And if you want to email us, all we ask you to do is be nice.
And again, this is serious talk on everything that affects you.
you and we mean everything that affects you. And you know what we mean. We'll stop right there.
So the first part, what if I told you you're investing in a stock that you have a certain amount of shares
times price. That is the market value of that stock. That's how. That's how.
it goes. Let me repeat. Shares outstanding times price is the market value. So in other words,
you go out today to buy up the company at the market, what the stock market's trading at,
that's the market value. And if I told you, I have a company that did, let me back up,
has a market cap, as I speak, of 8.997 billion.
Let's round it out.
9 billion.
And if I told you that company, in the first nine months of their fiscal year,
lost $49 million on a measly $3.7 million in $1,000.
revenues for the nine months, would you be a buyer?
Let me repeat that again.
You have a company with a $9 billion market cap.
$9 billion.
For the first nine months of the year,
lost $49 million,
and had, I got it wrong,
only $3.3 million in revenue for the nine months.
would you buy that stock.
I wanted to start this way to make sure you know there are no politics involved when I bring this up.
Because we did it with Rivian with you.
We did it with GameStop with you.
We did it with Beyond Meat with you.
We did it with AMC theaters with you.
We did it with dozens of names through the years that were simply ridiculously valued at any given point in time.
And of course, we're talking about Trump, which is now, I believe it's called Trump Media.
So I had to bring this up.
Yeah, Trump Media and Tech.
I had to bring this up because what we just wanted to do is explain to you and state to you exactly what we said about Rivian, about GameStop, Beyond Meat, and others.
And beyond meat, not as bad. They had some good revenue growth for a time.
In bull markets, you can get away with it.
In bull markets, especially frothy bull markets, we have seen insanity.
We have seen crazy in bull markets.
In bare markets, you better not own anything with ridiculous valuations,
losing money, or even has no say.
which takes me to my next part of the statement I have absolutely no clue if this
stock which closed at $66.22 today goes to a hundred hundred and fifty-fifty two hundred and
fifty two hundred because in bull markets anything is possible we've seen it
throughout the years.
Excessive valuations.
For whatever reason.
But we also use the term, the phrase,
eventually will show up,
which means eventually it will matter.
And you can go all look at the company.
And again, let me repeat,
this has nothing to do with Donald Trump.
This has everything to do with a stock price.
and its valuation.
I'm not sure I've seen one this wide.
I'm not sure.
I would suggest Rivian is right there,
but we knew Rivian had a huge, huge deal with Amazon
that they were going to buy tens of thousands of cars,
or whatever they sell, trucks.
So we knew they were going to do big sales eventually,
and they have.
Unfortunately, they lose like three or five,
four grand every time they sell one. And the stock has gone from, well, very simply, when we told
you around 170, it's a ten and change. So we are not telling you not to buy, sell shorter cover.
I was stunned personally when I saw the numbers. I did not really know the numbers yesterday when I
just said to you, just be careful. When I got the numbers, I'm like, this can't be. There's no way
these are the numbers. And then we checked and double-checked. So I'm also hearing well if he wins
the election. I don't think that has anything to do with it at all. This will ultimately and
eventually be based on earnings and sales. And they have basically hamstrung themselves into not
really going to be able to grow the sales of this company because of he we-wees all over half the
country. They won't get on there. And there's only a certain select number that go on there.
If that changes, we'll let you know, but let's say they even get to 20 million in sales.
Ain't going to change the dynamics.
So let me repeat, I don't know if it's going to go to 100 or 200.
It may.
When the bear market comes again, this will just be another in a long list of companies that lose money that got crushed in the bear.
always let you decide. And I bring this up because of a motion. We had somebody call yesterday
wanting to buy, and we didn't really know the numbers, except we knew they weren't great.
And we didn't really talk them into it or out of it, decided not to, and at the end of the
day, the stock was down 27%. Same person called up again wanting to get in. And then I gave the numbers,
and they still have not bought.
And it was 71 on the open at 66 of the clothes.
Saved them a little bit.
But for all I know, it opens at 100 tomorrow.
So we didn't tell him what to do.
We didn't tell him to do or not to do.
But I have this sneaking suspicion
that many of the Trump lovers
or people that are behind him
think they're getting into the end-all be-all when all is said and done.
And let me repeat, bear markets pull the curtains down on valuations.
You can get away with it in the bull, not the bear.
Part one, part two coming up next.
I'm Gary.
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Hi, I'm Dr. Jay Goodman, host of Beyond the Script, the podcast where I sit down with
pharmacist to answer the health questions you didn't even know you could ask at the pharmacy counter.
In this episode, we are diving into gut health with CVS pharmacist Victoria Motola, who explains
why so many of us live with stomach issues we should not accept as normal.
A lot of what I see is just like chronic bloating, chronic stomach aches.
Like I get a stomach ache every time that I eat and it just becomes like a lifestyle where
oh yeah, you know, I just, I have a stomach kick every day. Or I'm constantly feeling like gassy.
And all of those things are not something that generally, if you have a healthy gut, you should be living with.
So that's when we deep dive. We deep dive into your medication. We deep dive into your OTC medication.
And then at that point, we can probably identify something that we can change.
Hear the full conversation, plus some fascinating facts about how gut health affects so much more than just your stomach on Beyond the Script, a podcast from Cereux.
VBS Pharmacy and IHeart Radio. Listen now wherever you get your podcasts.
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With Gary Coltbaum.
It doesn't get better than this.
And welcome once again to Investors Edge.
And let me repeat.
Because I think it's important to repeat.
We're not telling you to buy, sell, shorter cover.
We're giving you the facts.
We're giving you the numbers.
We're giving you the facts on the company based on who's the company.
And the thought process of a.
winning, I heard some people say if he wins. If he loses, the election, all hell breaks loose
anyhow, even if we're in a bull market. So just letting you know, and I repeat, you know I can't
stand him. You know I can't stand Biden. I would rather, I, I, you know what I think.
Has nothing to do with that. If this company had
a market cap of $8 billion, but did a couple of billion in revs, four-time sales, or just a billion in revs, eight-time sales, and makes a crap load of money, I'd be saying, ooh, this has got a great shot.
So just letting you know, part one.
Part two.
So recently the Dow dropped 500 points in three days.
It was up 477 today.
When we finished poorly yesterday in the market immediately at 401, the Dow was up 80 after the close.
And we opened up a bunch today, and at around 330 today, the Dow was up 280 and rallied 200 points into the close.
So first, let me state for the record on Friday is another one of those big inflation numbers.
I have no clue what the number is going to be.
I have no clue how the market reacts.
Come next Monday.
I do want to report to you.
A few things heading into.
We have one more day in the quarter.
And then we have Friday, which is off.
Good Friday.
Whoever celebrates, honors it.
Bless.
The Russell 2000, the small caps, looks like they're ready to roll.
The mid-cap 400.
is stronger than the small caps, Russell 2000.
There's something called the small cap 600,
and the symbol on that is IJR.
Looks like it's ready to break out.
A move above one, let's call it near 111.
Would bust it out, closed at 110.
The microcaps, I can't even believe I'm bringing this up,
looks like they're going to break out.
IWC.
of range. The 10-year yield back down today below 4.2, and I think that's the impetus,
and could break the 50-day moving average on one more good day in the bond market. That ain't bad.
The recent breakouts, we had a breakout, and I think Goldman Sachs is an important name,
broke out five days ago, pulled right back in. Looks like it wants to follow through the breakout here.
We'll see.
could be movie importante.
The regional banks may be bottoming for now,
and they're weak versus everything else,
but interest rates down, they go up.
The stuff area of the market, what is that?
Well, I have one screen of financials,
economically sensitive, restaurants,
commodities, steel, copper, aluminum, that stuff.
Medical research and products, retail, oils, stuff.
They all look like they're ready for a continuation move.
It doesn't have to be everything.
Oh, I'll throw in housing too, which looks like it wants more.
advanced declines today, 33 up 7 down on the New York, 30 up 10 down on the NASDAQ.
By the way, this is all happening with crappy sentiment.
But as we've said to you, sentiment secondary indicator, price primary.
The utilities, XLU, looks like they want to break above a little range.
They are not bullish.
They're not bearish, but looks like, and that's interest rate,
sensitive. The gold miners looks like they want to place some catch-up to the gold, which is just
range-bound now for three weeks after breaking out recently. What else do I need to say? Oh, the other part.
Huh. So the Dow was up 477 today, but Nvidia was down 23. Huh. Huh.
How can that be?
Netflix was down 16.
Wait, huh?
How can that be?
A bunch of software names were hit hard.
Wait, how can that be?
With the Dow down 477.
Some other growth names came in pretty good.
How can that be?
You have some serious rotation out of leader.
into these other areas.
We call that the broad market.
So just letting you know.
Now, I will tell you this, full and fair disclosure.
Back on February 12th,
it looked like the small caps and broad market was going to get going.
And the next day came out with an inflation number that was not that good.
And the small caps came right down.
But they held.
and now they look after weeks of jerking around and backing and filling, we'll see.
I'd be paying attention to these areas.
It's broad market stuff.
And as I look at the Dow, Travelers, yeah, it's boring.
New High today.
All right, Travelers.
J.P. Morgan, not a new high, but almost.
Home Depot on their crappy numbers holding support on the,
the pullback. Caterpillar, almost new highs and extended. Of course, there's weakness,
Boeing, which bounce four bucks today. But just overall, I'm impressed, and I wrote it at two
o'clock before the jam at the close today. I was impressed with how some of these big leaders
are getting trashed today, and the broad market, pretty darn good. We'll see what Tamar brings.
that's how we look at it.
And now we have these little levels
on these areas I just mentioned
and if they get taken out
and then I have these stocks that are on my screen
and if they get taken out
more and more.
Up next.
We'll stay with part two.
This is the one only investors edge.
Hi, I'm Dr. Jay Goodman,
host of Beyond the Script,
the podcast where I sit down with pharmacists
to answer the health question
you didn't even know you could ask at the pharmacy counter.
In this episode, we are diving into gut health with CVS pharmacist,
Victoria Motola, who explains why so many of us live with stomach issues we should not accept
as normal.
A lot of what I see is just like chronic bloating, chronic stomach aches.
Like I get a stomach ache every time that I eat, and it just becomes like a lifestyle
where, oh, yeah, you know, I just, I have a stomachache every day.
or I'm constantly feeling like gassy.
And all of those things are not something that generally,
if you have a healthy gut, you should be living with.
So that's when we deep dive.
We deep dive into your medication.
We deep dive into your OTC medication.
And then at that point, we can probably identify something that we can change.
Hear the full conversation, plus some fascinating facts
about how gut health affects so much more than just your stomach on Beyond the Script,
a podcast from CVS Pharmacy and IHeart Radio.
Listen now wherever you get your podcasts.
Struggling to see up close, make it visible with Viz.
Viz is a once daily prescription eye drop to treat blurry near vision for up to 10 hours.
The most common side effects that may be experienced while using Viz include eye irritation, temporary dimmer, dark vision, headaches and eye redness.
Talk to an eye doctor to learn if Viz is right for you.
Learn more at Viz.com.
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He's got to be pleased with that.
The crowd is just on its feet here.
He's a senator of.
With Gary Colbomb.
It comes highly recommended.
You're going to feel better if you talk to him.
And welcome once again to Investors Edge.
By the way, I should do a disclaimer on what I did in part one.
I hope they're a success story.
I love success stories.
I love success.
I want all to be successful.
Gold, I mentioned earlier.
Just letting you know that gold miners finally perking up a little bit.
here. And what I mean by that is they just for years they've been so much weaker than the metal.
For years, so much weaker than the metal. For years, so much weaker than the metal.
And they still are, but they're perking up. Other things, well, do I, I'm just going to let you
know the solar's had a strong day, whatever that means. They've been dead. They've crashed.
They're at the lows. And they're trying off the lows. We'll
see what happens.
Okay.
Oil's had another decent day.
As we told you, prices at the pump, and it's exactly what's happening across the country
with California screwing every one of their citizens with ridiculous taxes.
Hawaii has an excuse, the transport of it.
California's in the contiguous states.
Just letting you know.
You know what I think of the people running California, right?
So part two of the show, very impressed with today.
But somehow I have to believe we've got to get past Friday.
But I was impressed before they jammed the Dow 200 points in the last 30 minutes.
That had me impressed all day.
And the other part of today, while they were hitting some of the frontline semiconductors,
the weak semis that have been comatose,
We're having a good day.
When Nvidia was down 30, Texas Instruments was up, analog devices was up, and a few others that I don't need to name.
So just letting you know.
I was emailed today.
Do you think this is end of quarter window dressing?
I don't care.
When we shut the market down and we start scanning, we drown out all that, what day it is, what month it is, what year it is.
is an election year, is moon in conjunction with Venus and all that stuff, we drown it all out
and close our eyes, hold our nose and pray.
And we'll repeat ourselves, we've tried, it does not work.
And very simply, if the Russell and the mid and these other areas get out, that's more of the broad market.
And as you know, I told you that on March 8th, next we sold down, our NVIDIA and some other
semis and a couple of them are way below where we sold.
Nvidia is a little higher than where we sold, but not so much.
We think that they're still under some pressure here may just be while money flows into them other
areas.
And we'll see how that goes.
Next, in part two, Apple.
Just letting you know Apple was up 360 today, very weak stock still.
But it's Apple.
and I can tell you back in October it held 166 in September 167, and it's been hovering around 168, 169 in the last three weeks, so maybe there's support there.
But I'll tell you what we loathe.
I'm not going to name names because we just don't want to do that.
But there's an analyst out there that has been looking a little bit like a doofus, even though he's made calls on other things.
And he's just putting out gargantuan report on Apple.
Guess what?
Artificial intelligence.
You think these boobs don't know what they're doing as far as marketing and touting their stocks.
Now it's all artificial intelligence, this artificial intelligence, that artificial intelligence.
By the way, everybody's now into artificial intelligence.
Everything, everybody, everywhere.
It's on your sneakers.
It's on your dashboards.
It's in your weed.
just letting you know, just letting you know.
We hope it is the end all be all.
We read today about how it's going to be,
changed the face of health care,
that people are going to be able to do their jobs in one-fifth the time,
and this, that, and the other thing.
And I just say to myself, oh, really?
Okay.
And as you know, we are very curious people here.
Everything's now artificial intelligence.
They're all picking up on it.
Wall Street's all they're doing is talking about it.
I gather they're going to bring out companies public
that have really nothing to do with AI but put AI all over the prospectus.
We'll keep a watch on it.
But main point of today, really impressed.
And if, by chance, the small caps get out of here,
even more.
And in case you don't know, we look at these charts of small caps versus large caps, large caps versus small caps, financials versus the S&P and all kinds of things.
The small caps versus the large caps, pretty much the widest spread we've ever seen.
So if they decide to get going, there may be room.
Again, maybe.
We predict nothing.
We give no targets. We predict nothing. We let the market decide as it goes. We look for uptrends and hopefully the Russell starts an uptrend. And when we meet uptrend, we know the bottom was hit in October, bare market bottom. We're talking about breaking out of a big range. If you look at a weekly, you will see the high of 2138 April of 2022.
It's getting there.
And then the other high is November of 21 when it hit 2449.
That's what we mean.
Midcaps farther along.
And that's a little bit of part two.
Weird day.
Weakness in the strength, strength in the weakness.
But you know what?
I take that back.
Strength in the things that have been coming on.
And today's close, I'm looking at a five-minute vertical, starting at 3.30.
Vertical.
And that means government leaked the numbers to their friends in Wall Street on Friday.
They have the numbers, by the way.
Oh, Gary, that's criminal.
They don't do that.
Nah.
They don't do that.
Nah.
Never happens.
Sure. I guess we'll know Friday, right? Anything else sticking out for me? I don't think I need to go into anything else sticking out. Why? The main theme, the main crux, broad market day. And we would have been saying it before the jam into the close. And we're really watching. There's some good-looking stuff in the financials.
regional banks coming on still way below the highs of 22 like a PNC was 228 it's at 160 today
but near term acting pretty decent so tomorrow's another day I don't have much bad to say
except some of the big leaders gagging bit here and we think they probably stay down for a bit
have to retrench after moves.
And by the way,
NVIDIA is up 80% in two and a half months.
Actually, it's going on almost three months now.
Too much too soon.
And the last time NVIDIA had great move,
five months of trading range.
Not saying the same thing happens,
but that's how it works.
And that money flows into other areas,
and that's what you're getting here.
And again, two words.
very impressed.
I was asked about the Reddit that was down seven bucks today.
I don't have a feel for that one at all.
Up next, I think I have a part three.
This is the one only investor's edge.
Hi, I'm Dr. Jake Goodman, host of Beyond the Script,
the podcast where I sit down with pharmacists to answer the health questions
you didn't even know you could ask at the pharmacy counter.
In this episode, we are diving into
gut health with CVS pharmacist Victoria Motola, who explains why so many of us live with stomach
issues we should not accept as normal. A lot of what I see is just like chronic bloating, chronic
stomach aches. Like I get a stomachache every time that I eat and it just becomes like a lifestyle
where oh yeah, you know, I just have a stomachache every day or I'm constantly feeling like gassy.
And all of those things are not something that generally if you have a healthy gut, you should
be living with. So that's when we deep dive. We deep dive into your medication. We deep dive into
your OTC medication. And then at that point, we can probably identify something that we can change.
Hear the full conversation, plus some fascinating facts about how gut health affects so much more
than just your stomach on Beyond the Script, a podcast from CVS Pharmacy and IHeart Radio. Listen now,
wherever you get your podcasts.
Struggling to see up close, make it visible with Viz.
the once daily prescription eye drop to treat blurry near vision for up to 10 hours.
The most common side effects that may be experienced while using Viz include eye irritation, temporary dimmer, dark vision, headaches and eye redness.
Talk to an eye doctor to learn if Viz is right for you. Learn more at Viz.com.
Cashflow crunch? On-Dex small business line of credit gives your business immediate access to funds up to $200,000 right when you need it.
Cover seasonal dips, manage payroll, restock inventory, or tackle unexpected expenses without missing a beat with flexible draws, transparent pricing, and control over repayment.
Get funded quickly and confidently.
Apply today at on deck.com.
Funds could be available as soon as tomorrow.
Depending on certain loan attributes,
your business loan may be issued by OnDec or Celtic Bank.
OnDak does not lend in North Dakota.
All loans and amount subject to lender approval.
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Investors Edge.
With Gary Culper.
And welcome once again to Investors Edge.
in the morbid depressing news that matters to you
Gary why does that matter to me
because it does
because everything gets back and goes back
to who's running the country
who's running the states who's running the cities
and where we're going from here
in New York City
a family of four is expected to receive up to
$350 per week under a migrant program
debit cards
It's going to expand to 115 families
While they leave their own veteran homeless for dead
I don't know what's going on
You know I call myself Mr. Logic
And they just make me look more logical
I told you the story
I'm going to repeat it again
I was with my son Eric and we were on 96th in Lexington
And we were walking towards Central Park
And there was a man
I'm going to say
a homeless man, probably 50, 55, and just
looks like he hadn't slept in a week, clothes
probably on him, never washed for a month.
And as I said to you, and I had to tell you this,
he had not gone to the bathroom in forever.
So I went and bought him some food, some drink,
not alcohol.
I asked him his name and told me,
and he also told me he was a veteran
and I said
don't you speak to people running the city
and they don't help me
they don't help any of us
and the shelters are full with migrants
and stuff like that and they're taking care of the people
that are coming here and I'll use the word illegally
I don't care what anybody tells you
and then the veterans
are veterans
their mental health should be taken care of
No. Let's take care of the people that are coming here illegally.
I mentioned 96th Street in Lexington on 1 25th Street and Lexington.
A 35-year-old man got behind another man and threw him onto the tracks.
Right when a train was coming, the man is dead.
The 35-year-old has been arrested 21 times, some of it for major violence and let out 21 times.
And now they're complaining, oh yeah, but it's mental.
health. If I'm the family of the man that's dead, 55-year-old man, just minding his own business,
waiting for a train like I do like my son does, I don't want to hear excuses. I want to hear that
people that are violent are in jail behind bars. So not to be able to do that again. And as I say to you,
until these people running these cities get affected by something like this. They're
own family murdered. Then maybe they'll do something. I had a text both my sons yesterday.
Please. Oh, by the way, there were six police officers right there also, but the guy was so quick
in pushing them onto the tracks. There was nothing they could even do. I text both my sons last night.
Please, when you're taking the subway, stay away from the tracks, stand up against a wall,
If they're police, they're staying near them and just be aware of yourself and every now and then look behind you.
It's unbelievable that I have to say that to them.
That I have to say that to them.
And the problem is most of these crimes, and not just New York City, are from people that have done it before and just let out.
Just out, go.
Have a good one.
and now this guy is in jail for the rest of his life,
at least he should be,
but they'll use the excuse of mental health.
And again, I bring this up because
the same people that are running the country,
running these states, running these cities,
I think it all intertwines
with what they're doing with their corruption,
their debts, their deficits,
their lives, their lies, their thievery,
and just moronic,
unadulterated stupidity.
What they're doing with the border is a crime of epic proportions.
A crime.
Beyond the beyond.
And they lie about it?
You know, I got this little list here that the administration sent out.
Fact sheet from the president.
Are you ready?
The nerve.
One of them says the president's budget secures our border.
What?
What? The president's budget cuts the deficits by $3 trillion over 10 years. Do you realize Joe Biden couldn't last 30 seconds in an interview with me with just that statement? And they get away with it. And if you don't know, the media is the corrupt part also. They were going to hire the RNCX chair. And now because of the anchors, they now not going to hire her. The same anchors that lie up there.
end, black out bad news on their friends, rip the stuffing out of others that they don't like,
and make stuff up.
Trump, the whole Russia thing was BS.
They ran it for three years.
They had Adam Schiff go on every day.
Another lion's sack.
This is what we're talking about.
And that's why our motto stands.
We can't stand any of them.
and we're so not thrilled about all who are running.
And if you notice another thing, a ton of them are retiring
because we know what they're leaving us with.
And I think there's also a lot that are just plain old.
I've had enough.
Frustration.
But no worries.
Markets broadening out.
But I had to bring all this up because, man, oh, ma'am,
some of these things are front and center when I read it
and you care about your family
and 25 blocks from where my son takes the train
scares the crap out of me
and the money that's being wasted
and going towards things
that should be going towards
that said
we'll be on with Varnie and Company
10 a.m. Tomar, Fox Business Network.
You have a great evening drive carefully
when you get home, do like we do, quite simple.
Make sure you hug your family.
you hug your children.
They will feel better.
You will feel better.
I promise.
Stay well, be well.
Dig you all.
Good night.
This has been Investors Edge
with Gary Cult Bomb on BizTalk.
To listen to past episodes
or to get in contact with Gary,
go to GaryK.com.
That's GaryK.com.
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