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Monthly Archives: August 2016

It’s 11am, do you know where your car is? If not the stock we’re adding this week probably does

It’s 11am, do you know where your car is? If not the stock we’re adding this week probably does

Last week, as the latest issue of Tematica Investing was being delivered to you, I was literally being wheeled into the operating room for knee surgery. It was nothing too major, just the repair of a small meniscus tear I suffered on the basketball court. Fortunately for you (and for the performance of the Tematica Select List) the issue was completed early that morning — well in advance of that surgery — as I was pretty loopy afterwards!

A week later, things are feeling pretty good, but I am looking forward to getting the stitches out so I can get back in the pool and get some relief from the extra humid conditions here in DC this week!

 

In this week’s Tematica Investing:

 

  • We’re placing shares of CalAmp Corp. (CAMP) on the Tematica Select List as part of our Connected Society investing theme with a Buy rating and a $21 price target. We would be comfortable adding the shares up to $17.50, at which point we see upside of 20% vs. the current 35% upside to be had at the last night’s closing share price. Read More >>
  • Updates on Alphabet (GOOGL), Amazon (AMZN), Physicians Realty Trust (DOC), Nike (NKE) and Under Armour (UA). Read More >>
  • We also dig into where we are with our position in The Walt Disney Co. (DIS) after their earnings announcement last night. Hint, we need to have the same patience as a the line at Space Mountain. Read More >>
  • Check your accounts! Dividend payments have been made over the last few days from Starbucks (SBUX) an PetMeds Express (PETS). Read More >>

You can click below to download the full report.
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US Over the Top Video Users Approach Saturation Point

US Over the Top Video Users Approach Saturation Point

Streaming video continues to grow as does consumer spending on streaming video services. That trend has led Hulu to drop its free streaming service in favor of a subscription business model. Increasingly Hulu is looking more and more like Content is King company Netflix. How long until there is so much proprietary content that we’ll be thinking once again of Springsteen’s early 1990s song, “57 Channels and Nothin On”

According to eMarketer’s first-ever forecast of over-the-top (OTT) video viewership, OTT video services are nearing saturation. This year, 186.9 million people in the US will watch video via an app or website that provides streaming content over the internet and bypasses traditional distribution.

Nearly nine in 10 digital view viewers in the US already watch video content this way.

Overall, more US TV viewers are watching television shows and movies via subscription-based streaming services. A survey from Hub Research found that the respondents who chose streaming services were nearly double those who picked TV network sites or apps, and they were more than double those who picked free aggregators, such as Crackle or free content from Hulu.

Source: Hulu Drops Free Streaming Service as OTT Viewership Grows – eMarketer

$CMSCA makes Harry Potter the champion of Content is King thematic

$CMSCA makes Harry Potter the champion of Content is King thematic

Beginning all the way back in 1994 with its original investment in The Golf Channel, followed by taking a controlling stake in QVC the following year (which it eventually sold to Liberty Media for a cool $7.4 billion profit), Comcast (CSMCSA) has a history of using its muscle and foresight to secure the fuel that keeps consumers watching — content.

What’s made Comcast one of the darlings of our Content is King investing thematic is that long ago it recognized the power of content to keep customers continuing to fork over the money to pay their ever-increasing monthly cable bills. Of course things kicked into high gear in with its deal with General Electric to create what became NBCUniversal and the TV, movies and music that came with it, as well as Universal Studios theme parks.

Keeping with that pattern, the announcement that Comcast-owned Warner Brothers studios has acquired the commercial TV rights to the Harry Potter franchise — past and future releases — adds a powerful new wand to its lineup. How and where people will be watching the Wizarding world in the emerging chord-cutting world remains to be seen. At the end of the day however, Content is King, and we know that people will always seek out, and even pay for, what keeps them engaged and entertained. No franchise other than Star Wars has proven that more than J.K. Rowling’s Harry Potter.

In a wide-ranging seven-year deal with Time Warner Inc.’s Warner Bros. that takes effect in 2018, the Comcast Corp.-owned media company will obtain commercial television rights to the eight “Harry Potter” movies, which will air mainly on the USA and Syfy channels.NBCUniversal also will get rights to the coming “Fantastic Beasts” franchise from “Harry Potter” author J.K. Rowling, and will be able to use the “Harry Potter” and “Fantastic Beasts” source material at several of its Universal theme parks in conjunction with its hugely popular “Wizarding World of Harry Potter” attraction.

Source: NBCUniversal Places Big Bet on ‘Harry Potter,’ ‘Fantastic Beasts’ – WSJ

Amazon Prime taking over the skies $AMZN @AMZN #thematicinvesting

Amazon Prime taking over the skies $AMZN @AMZN #thematicinvesting

 

Amazon sits right in the cross-hairs of several of our themes: Connected Society (online shopping), Cashstrapped Consumer (cheap online shopping + Prime free shipping) and even Content is King with the Amazon original series. Nothing represents the impact Amazon Prime is having than this story detailing the expansion of the online giants’ fleet of planes used to deliver products throughout the country.

 

While Amazon’s drone program remains in testing, the e-commerce giant is turning to cargo planes to keep up with package delivery demands.At Seattle’s Seafair’s Air Show on Friday, Amazon will display what could be the first of many Amazon-branded cargo planes dedicated to the firm’s Prime delivery service. The plane, dubbed Amazon One, is a Boeing 767-300 operated by Atlas Air, the airline which provides air cargo services to Amazon.

Source: Amazon launches Prime Air cargo plane fleet | ZDNet

Adding a splash of color to Rise & Fall of Middle Class

Adding a splash of color to Rise & Fall of Middle Class

Welcome to another weekly issue of the Weekly Tematica Investing. It’s been a wild week of market moves, earnings reports and economic data all at once.

In addition to my regular visits with the Charles Payne on his Making Money with Charles Payne show on Fox Business, I had an opportunity to sit down with the folks at Boom-Bust on RT (the new home of The Larry King Show) to dig deep into our thematic-driven approach and discuss why most investors are investing wrong. That of course is NOT the case with us!

You can click on the image below to watch the whole interview.

In this week’s Tematica Investing:

  • Closing the books on July, the Tematica Select List had a number of positions that handily outperformed the S&P 500, which rose 3.6% for the month. Read More >>
  • We are issuing a Buy rating paint and coatings company Sherwin Williams (SHW) with a $350 price target as we add a splash of color to our Rise & Fall of the Middle Class investing theme. This is a new position and we are holding off with a protective stop loss for now. Read More >>
  • Updates, Updates, Updates – Recapping earnings from Alphabet (GOOGL), Amazon (AMZN), PetMeds Express (PETS) and Under Armour (UA). Read More >>
  • Housekeeping! – Here’s what we’re watching when Physicians Realty Trust (DOC) and Walt Disney (DIS) report quarterly earnings. Read More >>

You can click below to download the full report.
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Marvel and DC could be duking it for the next few millennia 

Marvel and DC could be duking it for the next few millennia 

The next super-hero release is typically a must-see event for the staff here at Tematica, and it’s been that way probably since Richard Donner’s Superman hit the screen in 1978. Sure, there were dark periods — most of the 90’s to be specific — and there have been times where they all start to become formulaic. For the most part however, Directors have been able to reimagine these franchises when they get stale, and this is a proof-point for our Content is King thematic — no matter where the delivery channels and devices head, at the end of the day, the consumer craves great content and the superhero genre has been a consistent provider. Great news for Marvel owner Disney ([stock_quote symbol=”DIS”]) and the host of other studios that own the rights to various franchises, including Time Warner ([stock_quote symbol=”TWX”]) owned Warner Brothers and its rights to several DC Comics franchises.

Between Marvel and DC there are some 17,000 characters to choose from—enough for them to keep battling it out for box office dominance for the next 3,400 years.

Source: There Are Enough Superheroes for 3,400 Years of Movies | WIRED