Episode 23: Nasdaq Reaching New Highs
Hi Pandocap Family. Happy Friday it has been a strong week on the markets with Nasdaq breaking records and companies like Apple, Microsoft, Nvidia, Tesla, and Amazon, of course, continuing to lead in a new bull tech market.
Disney moves ahead with its plans to reopen in Orlando, even as Covid cases surge, and with the release of Hamilton on Disney plus, they hope their stock price will be pushed higher to truly realize Disney’s value.
The coronavirus pandemic and calls for racial justice this year have accelerated the growth in ESG investing, as socially responsible funds raked in a record amount of new money. Bank of America scanned ESG-focused funds and found that the top 50 most commonly held stocks outperformed the bottom 50 stocks by 22 percentage points. The most popular names include Alphabet, Ecolab, and Accenture.
Next week Bank earnings kick-off, following on the heels of awful first quarter earnings; this quarter is expected to be the worst since the financial crisis. We will be watching the earning results next week, but regardless of the outcome, bank stocks are at record lows and could be a good buy for long term investors.
Moving on to the markets all closed up.
Dow up 369 points closing at 26,075
S&P up 32 points closing at 3,185
Nasdaq up 69 points closing at 10,617
IPO
There have been 70 companies priced, with 39 in healthcare. Companies are trying to get out before the election, as the August - September period has become a new window for IPOs to launch. Some of the names filing for IPOs include Coinbase and Palantir.
There have been 102 IPOs that have filed to go public this year. One area of concern is how the IPOs have been priced and how much money was left on the table with IPOs popping. This has been a discussion that many want to address, as it led to conversations on Direct Listings, with more companies looking at alternatives to traditional IPOs, including SPACs.
This leads me into some of the guests who will be sharing their insights on 3rd and 4th quarter IPOs and how we should be looking at the markets. I am excited to announce that I will be featuring Lise Buyer, a leader in IPO advisory from Class V Group followed by capital market updates from Morgan Stanley. As we move through the second half of the year I want to make sure our Pandocap community takes advantage of these opportunities and understands their impact as they come to market.
Also some new additions to the team: we welcome Marisela Garcia Marquez and Vero Gonzalez who are joining us; we are very excited to grow our Pandocap family! Also, I recently brought on an intern and will be searching for a new one soon; If interested, please send me a note. Thank you for tuning in and have a great weekend.