Weekly Wins: Taking Profits and Getting in Before a Buyout
Two this week from James "Rev Shark" De Porre and Chris Versace.
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Welcome to the October 19th edition of Weekly Wins. We've got two for you today. One trading win from Rev Shark and one investing home run from Chris Versace in the Pro Portfolio.
First up, is an undervalued stock that received a buyout offer almost immediately.
You win some, you lose some. But sometimes, you win some in just a day, and that’s incredible. This week, I’d like to feature a one-day winner from James "Rev Shark" DePorre.
On Wednesday, October 16th, Rev wrote an article describing three stocks that he felt were undervalued. These were Humacyte HUMA, Sensus Healthcare SRTS, and Universal Stainless & Alloy Products USAP.
It's USAP that we'd like to focus on today.
Rev shared that he had started accumulating shares in USAP because the technicals looked good, and the stock appeared to be on the verge of a breakout. Not only that, but the shares also traded with a low valuation despite strong corporate earnings growth.
He wasn’t the only one who believed shares were cheap. The next day, USAP announced that it would be acquired at $45 per share by Aperam.
Now, this one didn’t have the chance to become a big profit trade, but it just goes to show that Rev Sharks never sleep, they just scour the investment ocean for winners.
Next, we took more profits in Axon.
It's no secret that Chris Versace has been a fan of Axon. And Axon has been a fan of Chris, returning more than 100% in the little more than a year that he's owned shares in the portfolio.
I know, you remember this one from last week. But Chris took additional profits this week, in a bid to sell a few big winners and diversify. It's just good portfolio management skills.
This week, Chris sold another 100 shares, or around 25% of shares held at that time. This lot returned a stellar 127% since purchase in May 2023.
Well done!
Thanks for reading and we're excited to share more with you next week!