📈 SigmaTrader Blog

Ferrari ( $RACE ), the legendary Italian automaker, has announced price increases on select models in response to the possibility of a 25% tariff on imported vehicles under President Donald Trump’s proposed trade policies. While some automakers might struggle to pass increased costs to customers, Ferrari’s ability to do so with minimal resistance is a testament to its formidable competitive moat. The Price Hike and Its Impact Starting April 1, Ferrari ( $RACE ) will raise prices by up to 10% on some models, potentially adding around $50,000 to the cost of a typical Ferrari. Unlike mass-market carmakers that rely on competitive pricing to maintain demand, Ferrari is in a unique position where its exclusivity allows it to dictate prices without significant pushback from its affluent customer base. The company’s CEO, Benedetto Vigna, reaffirmed Ferrari's commitment to keeping all production in Maranello, Italy, even as it prepares to launch its first all-electric vehicle next year. A ...

The past week was a whirlwind for the markets. Major indices took a hit, with the Nasdaq 100 ($QQQ) plunging 10% and the S&P 500 ($SPY) dropping more than 7%. But beneath the surface of this broad sell-off, a different story was unfolding. While tech giants like NVIDIA ($NVDA), Tesla ($ TSLA ), Palantir ($ PLTR ), and Netflix ($ NFLX ) continued to slide, certain sectors and stocks stood their ground and even flourished. Who’s Thriving Amid the Chaos? Surprisingly, some consumer cyclical and communication services stocks saw gains: McDonald’s ($ MCD ) and Yum! Brands ($ YUM ) hit all-time highs. Verizon ($VZ) reached a 52-week peak. Beaten-down names like $TEX, $CE, $LKQ, $ GES , $ARCO, $CELH, $ EL , $NEE, $ FSLR , $ ADBE , and VOD saw strong inflows, closing in the green. This raises an important question: Are we witnessing a recession panic , or is this a strategic sector rotation? Recession Panic or Sector Rotation? If this were a true recession scare, we’d expect investors to f...

Kaspi.kz JSC (KSPI) is one of Kazakhstan's leading fintech companies, providing banking, payments, and e-commerce services. The company has positioned itself as a dominant force in Kazakhstan’s financial ecosystem, with a strong business model and impressive financial performance. But with the current stock price at $103, well below the Peter Lynch Fair Value of $193, is now the right time to invest? Let’s take a deep dive into the numbers. Kaspi.kz Overview Kaspi.kz operates as a super app, integrating financial services with e-commerce and digital payments. The company’s primary offerings include: Kaspi Bank – A leading retail bank in Kazakhstan. Kaspi Pay – A widely used digital payment system. Kaspi.kz Marketplace – A rapidly growing e-commerce platform. This diversified ecosystem creates a competitive moat, allowing Kaspi.kz to maintain high profitability and strong customer engagement. Fundamentals and Valuation Current Price: $103 Target Price: $125 (21% upside potential) P...

Vodafone Group Plc ($VOD), one of the world’s leading telecommunications companies, is currently trading at historically low levels. With its stock price beaten down more than 50% from its highs, is now the right time to start accumulating? Let's analyze its fundamentals and growth prospects to determine if it presents a compelling investment opportunity. A Brief Overview of Vodafone Vodafone is a multinational telecom giant headquartered in the UK, operating in over 20 countries and partnering with networks in 48 more. The company provides mobile, broadband, and digital services to hundreds of millions of customers worldwide. It has played a significant role in shaping the global telecom industry, pioneering advancements in 5G, IoT (Internet of Things), and enterprise solutions. Despite its strong global presence and innovation-driven approach, Vodafone’s stock has struggled in recent years due to competitive pressures, regulatory challenges, and macroeconomic headwinds. However,...

Throughout history, a fascinating pattern has emerged in U.S. presidential elections and market cycles: Republicans tend to get elected near the peak of a business cycle, and recessions often occur while they are in office. Is this merely coincidence, or is there a deeper psychological and economic phenomenon at play? Why Republicans Often Get Elected Near Market Peaks One possible explanation lies in human psychology and confidence cycles. When the economy is booming and stock markets are near all-time highs, people tend to feel optimistic, self-reliant, and confident in their ability to succeed. This mindset often aligns with Republican policies emphasizing free markets, tax cuts, and deregulation—making voters more likely to elect a Republican president during these times. On the other hand, when the economy is struggling or in recession, voters tend to seek security and government intervention, favoring Democratic policies that promise social safety nets and economic stimulus. Look...

Celanese Corp (NYSE: CE ) is a global chemical and specialty materials company that plays a crucial role in various industries, including automotive, electronics, pharmaceuticals, and consumer goods. The company is known for its high-performance engineered materials and acetate tow, among other products. With a strong presence in the S&P 500 index, Celanese benefits from institutional investment via ETFs. However, its recent stock performance has caught the attention of investors, particularly after a sharp post-earnings sell-off. Business Overview and Products Celanese is a leader in the production of engineered polymers, acetyl intermediates, and food ingredients. Some of its key product lines include: Engineered Materials: Used in automotive, medical, and industrial applications. Acetyl Chain: Provides chemicals used in paints, coatings, adhesives, and pharmaceuticals. Food Ingredients: Produces sweeteners and preservatives used in consumer food products. Investment Case: Valuat...

Harley-Davidson, Inc. ( NYSE: HOG ) is a legendary American motorcycle manufacturer known for its premium cruiser and touring bikes. With a strong brand and a loyal customer base, Harley-Davidson has been a staple in the motorcycle industry for over a century. Products and Business Overview Harley-Davidson primarily designs and sells heavyweight motorcycles, parts, accessories, and general merchandise. The company also offers financial services, including motorcycle financing and insurance. While it faces competition from brands like Honda, Yamaha, and BMW, Harley-Davidson remains a symbol of freedom and power on the road. Technical Analysis: Support Level Holding Strong Currently, HOG stock is trading at $26, sitting at a strong support level on the weekly chart. Both the Relative Strength Index (RSI) and Money Flow Index (MFI) are deeply oversold, signaling a potential reversal in the near term. Fundamental Analysis: Undervalued by Over 300% From a valuation perspective, Harley-Davi...