Weekly Wins! Two to Chew on While Palantir Pops

Doug Kass: Short CHWY for a quick trade

First, in his Daily Diary, Doug Kass announced that he was shorting Chewy CHWY following a Roaring Kitty tweet about a dog.

Date: June 27th, 2024

Trade: Short CHWY between $36 and $38

Why: Roaring Kitty (of Gamestop fame) tweets out a picture of a dog! And the shares of CHWY rise by over $10/share in a day June 27th to over $37/share.

Result: Within three days, the stock was down $27, and Doug was out. It’s continued lower since then. Woof.

Read the article here.

Ed Ponsi: Long CHWY

We love when our excellent contributors provide different points of view. Here we see that bulls and bears can coexist, provided they have different time-frames. So, let’s back up a few weeks from Doug’s quick trade and chew on this one from Ed Ponsi. Also in CHWY.

Date: May 30th, 2024

Trade: Buy CHWY around $21.50

Why? Strong earnings, stock buyback, technical strength, increase in pet adoptions

Result: Not only did Chewy report strong first-quarter earnings and revenue, the company also announced a $500 million stock buyback plan…we see Chewy breaking a long-term bearish trendline (blue dotted line) that has been intact since early 2021

Read the article here.

Stephen Guilfoyle: Long PLTR

Sarge has been writing about Palantir PLTR for a while. It’s his pick of the year and he’s heavily invested in it. His research and excitement about this stock gave us all a quick 4th of July win today when they stock popped like a firecracker. But this kind won’t keep your dog up all night.

Date: July 4th, 2024

Trade: Buy PLTR around 26

Why? Sarge has a target of $32 on this stock due to strong earnings growth and positive technicals.

Result: A quick 4% pop on July 5th. But Sarge isn’t selling yet.

Read the (most recent) article here.

Thank you for reading and we hope your holiday weekend has been and will be a great one!