Suggestions for a speculative punt?

adindas

Apple Stock Split scheduled in August 24, 2020 . The company will execute a 4-for-1 stock split. Buying or Sell oportunity ??. There are a lof of info on the internet.

https://www.fool.com/investing/2020/08/02/is-apple-stock-a-buy-ahead-of-its-stock-split.aspx

https://www.forbes.com/sites/petercohan/2020/07/31/3-reasons-apple-stock-split-is-a-buying-opportunity/#2e5a6bca7af1

Thrugelmir

adindas said:

Apple Stock Split August 24, 2020 . the company will execute a 4-for-1 stock split. Buying or Sell oportunity ??. There are a lof of info on the internet.

https://www.fool.com/investing/2020/08/02/is-apple-stock-a-buy-ahead-of-its-stock-split.aspx

https://www.forbes.com/sites/petercohan/2020/07/31/3-reasons-apple-stock-split-is-a-buying-opportunity/#2e5a6bca7af1

Split merely makes for more liquidity in the stock. Given investors can buy fractional shares unlikely to make significant difference either way. 

Sailtheworld

coyrls said:

Sailtheworld said:

Or Amazon - right place; right time just when software allowed them to scale. The staff are super smart but the IT is shocking and they must be worried someone else might come along who also gets lucky.

What IT are you referring to?  Amazon just announced quarterly revenue of $10.8 Bn from Amazon Web Services.  I really wouldn't be shorting Amazon on the basis of shocking IT.  Personally I wouldn't know about the quality of the staff because all my interaction with them is via their IT.

They're a nightmare to sell with. We have a £2m turnover with Amazon. The Vendor Central system (so you don't get to talk to a human) is poor. They keep ordering obsolete lines that shouldn't exist in their system (and charge a penalty when they don't arrive), orders received should be listed by EAN but randomly use their own stock identifier from time to time. They sign for orders received then issue a chargeback for missing stock which they've had and then sold.

For us it's a decent turnover but the account is high admin because the IT just isn't good enough. Other retailers manage to order stock they want, sell it, pay for it and repeat. Amazon make a song and dance about it.

They're at risk of someone else coming along and doing it better.

Of course some (maybe most) will disagree and think they're the bees knees but that's what makes it a speculative punt. 

adindas

Thrugelmir said:

adindas said:

Apple Stock Split August 24, 2020 . the company will execute a 4-for-1 stock split. Buying or Sell oportunity ??. There are a lof of info on the internet.

https://www.fool.com/investing/2020/08/02/is-apple-stock-a-buy-ahead-of-its-stock-split.aspx

https://www.forbes.com/sites/petercohan/2020/07/31/3-reasons-apple-stock-split-is-a-buying-opportunity/#2e5a6bca7af1

Split merely makes for more liquidity in the stock. Given investors can buy fractional shares unlikely to make significant difference either way. 

Fundamentally no change. But there is Psychological difference Some people see the share price is lower, especially those who do not like fractional share.

Thrugelmir

adindas said:

Thrugelmir said:

adindas said:

Apple Stock Split August 24, 2020 . the company will execute a 4-for-1 stock split. Buying or Sell oportunity ??. There are a lof of info on the internet.

https://www.fool.com/investing/2020/08/02/is-apple-stock-a-buy-ahead-of-its-stock-split.aspx

https://www.forbes.com/sites/petercohan/2020/07/31/3-reasons-apple-stock-split-is-a-buying-opportunity/#2e5a6bca7af1

Split merely makes for more liquidity in the stock. Given investors can buy fractional shares unlikely to make significant difference either way. 

Fundamentally no change. But there is Psychological difference Some people see the share price is lower, especially those who do not like fractional share.

My reference to fractional shares was in light of the increasing numbers of what loosely maybe described as low value day traders. 

barnstar2077

Sailtheworld said:

coyrls said:

Sailtheworld said:

Or Amazon - right place; right time just when software allowed them to scale. The staff are super smart but the IT is shocking and they must be worried someone else might come along who also gets lucky.

What IT are you referring to?  Amazon just announced quarterly revenue of $10.8 Bn from Amazon Web Services.  I really wouldn't be shorting Amazon on the basis of shocking IT.  Personally I wouldn't know about the quality of the staff because all my interaction with them is via their IT.

They're a nightmare to sell with. We have a £2m turnover with Amazon. The Vendor Central system (so you don't get to talk to a human) is poor. They keep ordering obsolete lines that shouldn't exist in their system (and charge a penalty when they don't arrive), orders received should be listed by EAN but randomly use their own stock identifier from time to time. They sign for orders received then issue a chargeback for missing stock which they've had and then sold.

For us it's a decent turnover but the account is high admin because the IT just isn't good enough. Other retailers manage to order stock they want, sell it, pay for it and repeat. Amazon make a song and dance about it.

They're at risk of someone else coming along and doing it better.

Of course some (maybe most) will disagree and think they're the bees knees but that's what makes it a speculative punt. 

You make it sound like Amazon don't know what they are doing.  Their system is working perfectly, penalties and charge backs are a revenue stream for them.  The money only flows in one direction after all :  )

Edit:  They are not at risk of someone coming along and doing it better because the end customer doesn't care if supplying Amazon can be a bit of a nightmare or not.

Sailtheworld

barnstar2077 said:

Sailtheworld said:

coyrls said:

Sailtheworld said:

Or Amazon - right place; right time just when software allowed them to scale. The staff are super smart but the IT is shocking and they must be worried someone else might come along who also gets lucky.

What IT are you referring to?  Amazon just announced quarterly revenue of $10.8 Bn from Amazon Web Services.  I really wouldn't be shorting Amazon on the basis of shocking IT.  Personally I wouldn't know about the quality of the staff because all my interaction with them is via their IT.

They're a nightmare to sell with. We have a £2m turnover with Amazon. The Vendor Central system (so you don't get to talk to a human) is poor. They keep ordering obsolete lines that shouldn't exist in their system (and charge a penalty when they don't arrive), orders received should be listed by EAN but randomly use their own stock identifier from time to time. They sign for orders received then issue a chargeback for missing stock which they've had and then sold.

For us it's a decent turnover but the account is high admin because the IT just isn't good enough. Other retailers manage to order stock they want, sell it, pay for it and repeat. Amazon make a song and dance about it.

They're at risk of someone else coming along and doing it better.

Of course some (maybe most) will disagree and think they're the bees knees but that's what makes it a speculative punt. 

You make it sound like Amazon don't know what they are doing.  Their system is working perfectly, penalties and charge backs are a revenue stream for them.  The money only flows in one direction after all :  )

Edit:  They are not at risk of someone coming along and doing it better because the end customer doesn't care if supplying Amazon can be a bit of a nightmare or not.

There's every possibility they're doing this on purpose but, over time, I've started thinking they not as good as they think they are.

Nothing's forever and something disruptive always comes along. Look at how much market share Lidl & Aldi have mopped up. Something will come along to p**s on Amazon's fireworks whether it be regulation or another disruptive competitor or another change to shopping habits.

The thing with a speculative punt is that you've got to pick something which everyone else has valued wrong. If everyone agreed Amazon was worth shorting there'd be no point would there? You've got to go against the crowd and hope the crowd come around to your way of thinking.

coyrls

I've got a feeling that Amazon weren't prepared for the success of Amazon Market Place.  It's now a significant part of the business and so I would expect them to be investing in the support systems in the future.

mark55man

the swings of Amazon are little to do with the share split.  I would say that their IT is fine, but like all major systems you just need to know how to work it.

pleased with progress on LLOY - recovered its post results losses pretty much.  while it is a long term play, its always good to get ahead of the curve

adindas

mark88man said:

the swings of Amazon are little to do with the share split.  I would say that their IT is fine, but like all major systems you just need to know how to work it.

With US$ 3,000+ I think many investors would like to see Amazon stock to be splitted. Do you know when is the date for the share split ?

I also like to swing trade Megacap companies like Amazon when they are making a dip. I swing with patient even if it will mean waiting for a year until they are back to the long time before taking decision to sell them.

It is my belief, the mega cap companies like Amazon will only go up. It is less effected by COVID-19 and therefore the chance to go into administration is almost nil. They do not have credible competitors. For Amazon, I am still waiting until they go below the previous support level back in July 2020 which is about US$3,000. Once it reaches that mark, I will bite it.

mark88man said:

pleased with progress on LLOY - recovered its post results losses pretty much.  while it is a long term play, its always good to get ahead of the curve

I also have small position with LLOY.  My avarage price is p34.92, (19.69% loss). I am hoping  it will be back to Pre-COVID-19 price.