Palantir Tech (PLTR)

Palantir Tech (PLTR) is a new position in the portfolio this week, and its -6.28% pullback is exactly the reason why. After this high-flying relatively new IPO (launched in Oct 2020) skyrocketed to $45 a share, it’s been pulling back consistently and lost -6.28% this week to make its first appearance in the portfolio as the Week’s Biggest Loser.

What is the Recovery Speculation Basket?

The Recovery Speculation Basket (“Recovery Spec”) represents stocks that will thrive if vaccines are released quickly and we return to normal but have the likelihood of collapsing if more lockdowns occur. These positions are too speculative to have their own allocation and share a single allocation.

Currently, my Recovery Spec stocks are as follows: the Airlines Exchange Traded Fund (JETS) and Carnival Cruise Lines (CCL). They are listed as a single allocation in the portfolio breakdown chart each week. 

Palantir Technologies (PLTR): *New Position*

You may have heard of Palantir Technologies (PLTR), the somewhat sketchy military intelligence data analysis company that builds and deploys software platforms to assist in counterterroism investigations and operations. Its artificial intelligence (AI) software is truly something to behold, and investors agreed as the stock rocketed 500% from its IPO price in October.

PLTR has been under significant selling pressure for some time now following its IPO near $9 a share last October and a rocketship move to a high of $45.00 in January of this year. I decided to open a small position at $31.50 on Friday, -30% off PLTR’s all-time highs.

From here, my next price target is around $26.00, near the start of the last big move made and nearly -20% lower from here. Of course, I have no sell targets at this time as I’m waiting for PLTR to develop more price discovery as we move forward.

PLTR closed the week at $31.91, up +1.30% from where I opened it Friday.

Tradeweb Markets (TW): Profit-Taking

When Tradeweb Markets (TW) made another stab at its all-time high on Thursday, it was time to take profits and pull my capital (and some additional profit) out of the position with an order that filled at $67.90, reducing my per-share “cost” to -$23.20 (meaning the remaining shares cost the portfolio nothing and, instead, add $23.20 each to the portfolio’s bottom line in addition to the share price).

The sale locked in +24.36% in profit on shares I bought for $54.60 in the middle of last summer on July 10, 2020. From here, my next buy target is $46.70, a past point of support, and I have no sell targets as I wait to see if TW will make for new all-time highs from here.

TW closed the week at $68.29, up +0.57% from where I sold Thursday.