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Welcome to the Equities Section of Options Realm |
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. Today June 4th I wanted to take the time to look back on an article that I wrote for Collegeanalysts.com about the QQQQ and the top ten holdings. In this article I acknowledged the fact that eight out of the ten were currently at or very close to their 52 week highs. Since that time we have seen one of those stocks move up to right within its 52 week high in Google. My feeling about Google is very well know but as I said in my previous article about the QQQQ I felt Google would continue to move up with the general market. When I wrote that article I felt the QQQQ would continue to move upward and it has moving from 46.33 at the time of the article to 47.54 as of trading today. With this move up I decided to again look at the prices of the top ten and the thing that I found interesting was that the move upward is really a byproduct of the rise in price of Apple and Google. I found this interesting because these were the two companies that I believe to be overvalued the most. I stated previously that I felt that Google and Apple would continue to trend with the market and so far that has happened. Interestingly enough this upward movement means that the other top eight holdings still have room to move up before they are at what I believe to be their fair value. I think this means that the QQQQ is still a buy given the prices of the remaining eight of the top ten holdings. My original summary of the QQQQ can be found here. The price targets for each of the top ten companies were calculated using analysis of the companies financial statements and using the current consensus analyst’s estimates on growth. Given those numbers the price targets were then calculated by discounting present and future cash flows. All of our News Updates Here |
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