Before we go over the 4 stocks to look out for the month of October, let's look at the past performance of our two stocks from last month and see how they did.
Apple (NASDAQ: AAPL)
Apple, oh Apple, it has certainly seen better days, during its keynote on September 12th, the stock price went up modestly, as soon as the presentation mentioned that it wouldn't roll out the iPhone X next week, but rather have pre-orders next month in October and roll out the phone in November, plus, after hearing the starting price of $999 for the phone, investors lost their minds and quickly sold their shares. They were (somewhat) satisfied to hear that the Series 3 Apple watch and the iPhone 8 were coming out in a week. However, upon hearing that the Series 3 watch was having 4G connectivity problems and the BRUTAL analysis/reviews on the iPhone 8 didn't make the well-known company any more attractive resulting in a big loss for the month of September for Apple. Down almost 6%.
If you're like me, you know better not to follow the herd of investors that are selling, but rather buy the shares of Apple at a discount and hold whatever shares I have in my portfolio.
Exxon Mobil (NYSE: XOM)
You'd think that after a hurricane knocks out the NUMEROUS and the most VALUABLE and the most PRODUCTIVE oil refineries (as far as the number of barrels per day) you'd think that investors would flee from such company, but NOPE, you'd be wrong. As soon as you hear a company close down a refinery for a while that amps up gas prices, you'd think the company is about to endure some tough times ahead and needs the extra revenue to make up for the lack of supply and the cost of reopening/potentially repairing the refinery, but NOPE. Investors saw the increase in gas prices, correlated with revenue (and not supply and demand) and thought "wow Exxon Mobil will kill it this quarter with their high gas prices, it will reflect the balance sheet with no problem" being completely oblivious to what is to come.
Roku (NASDAQ: ROKU)
Awe, the NASDAQ had a cute IPO recently, and the company is Roku. For those of you who have no clue what Roku is, it essentially is a TV streaming and media player company. You hook up the Roku product to your TV, connect to the internet, and you can now watch/stream Netflix, HBO, Hulu, etc. and watch it on your TV. Roku has some 15 million monthly users, 7 billion streaming hours as of 2017, and has grown their profits in double-digit percentages over the past few months. Okay, it sounds like a well-structured business, however, Roku isn't profitable just yet. Plus, it faces large competitors such as Apple TV, Amazon Fire, and Google Chromecast. While the companies focus on different aspects of their business, Apple, Amazon, and Google can in fact and are notorious to multi-tasking and have proven that they can multi-task and improve their TV services. Furthermore, TV companies have been releasing smart TV's that already can stream Netflix, HBO, Hulu, etc. and pose a threat to Roku. Shares of Roku soared 60% as soon as it went public and have since fallen 40%. Who knows what the future holds for this company, keep an eye out for it for the rest of this month.
Amazon (NASDAQ: AMZN)
There has been a scandal recently on Amazon not paying taxes in Luxembourg. The deal was, Luxembourg granted a safe haven for Amazon to pay little to no taxes in comparison to other companies/businesses in the small country back in 2003 and the EU doesn't like that one bit. The EU is also cracking down or has cracked down on other silicon valley tech companies that have failed to pay taxes, such as Apple and will target Facebook and Google. Amazon thus far has completely denied such accusations and will look into the whole situation. The news that will be released for the rest of this month should be fairly juicy and should have investors on their toes.
Six Flags (NYSE: SIX)
Six Flags is hosting their fright fest, a good way for them to boost their quarterly financial statement, and has always been a great help for them going into the 4th quarter in having some cash for the winter/fall season. Historically speaking, Six Flags makes the most revenue during the summer (duh) and such revenues decline during the 1st financial quarter at the beginning of the year (double duh.) Investors might feel reluctant to buy any shares during this time of year, but would be willing to milk some cash out of Fright fest if all goes well.
MGM resorts international (NYSE: MGM) Wynn resorts limited (NASDAQ: WYNN) Las Vegas Sands Corp. (NYSE: LVS) Boyd Gaming Corp. (NYSE: BYD) and Caesars Entertainment Corp. (NASDAQ: CSR)
Casino, resorts, and hotel related stocks reacted after the mass shooting that took place in Vegas on October 1st. The Mandalay, where the shooter was found and a hotel owned by MGM, was questioned on their security and the future of tourism around the area after the tragedy. MGM was down 6% per share as soon as the markets opened and all other stocks lost 1 - 3% per share respectively. Promptly, MGM stock was downgraded by numerous analyst wary of future prospects of the company in the following months. Keep an eye on MGM and the other casino, resort, and hotel stocks for the following month.