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THERE ARE NO WARRANTIES, EXPRESSED OR IMPLIED, AS TO ACCURACY, COMPLETENESS, OR RESULTS OBTAINED FROM ANY INFORMATION DISCUSSED DURING HAWKTRADE MEETINGS. Past performance does not guarantee future results. Investment returns and principal value will fluctuate, so that investors' shares, when sold, may be worth more or less than their original cost. Investing in any financial instruments does not guarantee that an investor will make money, avoid losing capital, or indicate that the investment is risk-free. There are no absolute guarantees in investing. HAWKTRADE and its members do not bear any responsibility for losses or gains made by members trading on their personal accounts based on analysis from HAWKTRADE meetings.
Tonight’s Agenda • Introduction • HawkTrade Goals • What are stocks? • Tools and Resources • Twitter earnings
Newcomer’s Information • We meet every Sunday at 7:15PM – 8:15PM at W151 in PBB • Membership Dues: $20/semester • Food/Drinks every meeting • Investment information and education • Great trading tips and strategies • Investment Competition: $15/semester • Best way to gain experience and learn • Past prizes include iPads, Apple TVs, gift cards • Fun Discussion atmosphere, member involvement
Hawktrade 2013-2014 Goals • Stay current and understand the market/economy: • Knowing current financial events and understanding the market is a huge plus for employers. • Investment competition: Practice and win prizes! • Whether a beginner or market vet., the market gets easier to understand when you have money in the game! • HawktradeEvents • Hear directly from Finance professionals about their views on the market • Fun Discussion atmosphere, member involvement • Eat food, stay current, learn some investment tools, and help your “stock” grow! • Continuing pursuit of success: • We’re here to help you grow your knowledge and help make you money
Investment competition • $15 to enter competition • All money goes to prizes so more people = better prizes • Must attend 50% of meetings in order to be eligible for prizes • Top 8 get prizes (tentatively) • Won’t allow high frequency trading or anything that is unrealistic
March 23rd – Jim Oberweis • Specialize in Small-Cap Growth • Oberweis Octagon • Has been featured on CNBC and Bloomberg • Writes growth stock column for Forbes
Leadership Positions Opening • President • Vice-President • Director of Technology • Director of Volunteering • Director of Marketing • Director of Group Simulations • Director of Finance • Director of Outside Events
President & VP • Can run together or alone • Will do partial presentation sometime in semester • Voting will be done late in the semester
What does “The Stock Market” consist of? There are roughly 5000 Publically traded U.S. stocks out there…..So how do we keep track of them all?
The “Stock Part” • A stock represents a percentage of ownership in a company. • When you INVEST in STOCKS you buy “shares” of that company. • All public companies have stock available to buy. • Companies “go public” because they need to raise money so when investors buy shares of a company that company can use that “investment” to grow their business.
How are stocks Identified? • Found via their TICKER SYMBOL= Stocks “ID” • Symbols are 1 to 4 letters in length • Citigroup= C • Facebook= FB • Bank of America= BAC • Apple = AAPL
Stock Research • Google Finance • Yahoo Finance • Your online broker • Bloomberg.com • Morningstar.com • Investopedia.com • CNBC.com • Links available via the Hawktrade website under “investment tools”
Stock Market Landscape S&P 500 Dow Jones Industrial Average • 3 main Indexes that are followed: The Nasdaq • 2 main stock exchanges where buying and selling occur: • NYSE and Nasdaq
Our Website http://iowahawktrade.com/
What you missed over break • December tapering • Monthly asset purchases reduced by $10 billion • Split evenly between Treasuries and mortgage-backed securities • Reasonably justified (November unemployment lowest in 5 years) http://www.investopedia.com/video/play/quantitative-easing/
Fri 7 Feb 14 | 05:00 PM ET Watching the S&P: Domm
Things to watch for • Monday and Tuesday trading • Janet Yellen addressing Congress Tuesday
Federal Reserve Chairman • Most powerful economic policy-making job • Head of central banking system • Manages monetary policy
The Federal Reserve’s Dual Mandate Maximum Employment Price Stability (low inflation)
Janet Yellen- New Fed Chairman • Worked previously under Bill Clinton on council of economic advisors (chair) • President and CEO of San Francisco Federal Reserve • Vice Chair of the Board of Governors of the Federal Reserve System
Janet Yellen- New Fed Chairman • Taught at Harvard, London School of Economics and currently University of California (2 time most outstanding prof) • More concerned with unemployment than inflation (less likely to raise interest rates) • More so than Ben Bernanke
GoPro files for IPO • Expected to IPO sometime in late Q2 • In December 2012, company was valued at $2.25 billion • JPMorgan will be lead underwriter
Twitter (TWTR) First Earnings Report Since their October IPO • Wall-Street’s Expectations • Adjusted EPS: -2 cents per share • Revenue: $218.1 million • TWTR’s Earnings • Adjusted EPS: 2 cents per share ( $.04 above expectations) • Revenue: Impressive $243 million • More than double than last quarters $112 million • $220 million from advertising
Twitter (TWTR) First Earnings Report Since their October IPO • TWTR 5 Day Chart • Why did TWTR fall? • Only added 9 million active users. Increase of only 4% this quarter. – Only 1 million were in the U.S. • Number of timeline views decreased 7% from previous quarter. Down ≈ 23%
TWTR vs. FB Twitter is behind where Facebook was in advertising and growth “On the bright side, Twitter makes 75% of its advertising revenue from mobile usage, while the comparable figure for Facebook is 53%” – Zachary M. Seward
Jobs Report • Payroll side disappointing • Labor rate increased
Fri 7 Feb 14 | 11:40 AM ET Cashin says this could tempt Fed to taper
Next Week • First two days important • Cashin – Correction may soon be over if first two days are positive • Potential for some volatility • Yellen speaking