בס״ד

A Noteworthy 50% Gain and… Those Chemicals Rotting Your Brain (CTVA, GWW)

Posted on May 4, 2022

We’re coming at you early this week for reasons that will become abundantly clear in just minutes…

First, though, let’s have a look at our GWW initiative, because it’s about to put some very respectable coin in our pockets.

Bottom line is we’re now in possession of one short  GWW May 20th 550 CALL and a credit of $1.25.

And whaddaya know…?

With GWW currently trading below $484, the long CALL now sells for just $0.25.

And that books it.

We’re urging you to buy it back and walk away with one dollar NET on $2.00 spent.

And that’s a solid 50% return.

On with it!

Today’s bet relies on the agro-chemists at Corteva Inc. (NASDAQ:CTVA) as our underlying, because whenever you get a chance to exploit the poisoners of children and small animals it’s a good day – particularly when those wielding the toxins are applying “advanced germplasm” to further the sale of “trait technologies” to industrial farm operations across the globe.

Corteva delivers earnings after the close today (May 4th), and we’re betting on a downright chemical market response.

In the meantime, feast your beadies on the following fundamentals –

  • CTVA sports a P/E of 23.86, though historically at averages a third less than that,
  • Dividend Yield is 0.98%,
  • Price to Book is 1.65 (no problem there), but
  • Sales have grown at a rate of only 2.40% per year for the last five years.

That’s right.

It appears the only impetus behind CTVA’s recent price performance is external – read: inflation.

And that won’t hold up once guidance is offered on Wednesday afternoon.

Further proof that the rise has concluded – at least for the time being – is found in the price chart.

Investors already appear to have pulled the plug.

Have a look at the daily paste-up for the last six months –

Hang on tight, all ye good Jews and Noahides!  The ride begins later this afternoon.

And the Holy One, Blessed be He is bidding you good courage and faith.

!חזק ואמץ

Many happy returns!

Matt McAbby

Leave a Reply

Your email address will not be published.