Closing 5 ideas

Getting out of BERY (until after the spin-off)

First I sold my Berry Global (BERY) shares (mentioned here a few days ago) and my opinion on the spin-off transaction went from being neutral to slightly positive to neutral to slightly negative. Probably should have looked into it deeper, but I got a large backlog of stocks to look at right now. So what I will do is I will wait until after the spin-off before entering a position. I will be away anyway when the spin off begins trading, so I will not have the option to sell it right away, which I also don’t like.

I also sold T K Group (2283). Stock has performed nicely this year, but they are an exporter and will be exposed if the China-US trade war really heats up. Given Trump's increasing odds of winning the presidency the stock is not as attractive here. Fundamentals could be hit hard if Trump really starts slapping on blanket tariffs left and right as he has said would do. I expect to be able to get in cheaper on a Trump win, and if Harris wins I can probably get in at a similar price. 

I will remove Currency exchange (CURN/CXI) from the active list of ideas as I have sold this stock like a year ago and stopped following it. They are not really growing. Although stock is somewhat cheap, I find it hard to handicap where their business will be in 10 years.

I am closing Aclaris (ACRS) here. Spiked up on no news, and I am kind of done with these biotech special situations. Depending on where it trades on Monday (I will probably take some average of the first hour or two of trading as closing price). 

Then I would also close Sangamo (SGMO), the thesis was that the balance sheet was quite bad and they would have ample opportunity to refinance with their IP through licensing deals etc. I think that has been at least partially priced in now. I don’t know enough to hold this stock for the long run, it was a nice trade. Maybe they will be the next big thing in gene editing, but that is not really why I was in this trade. 

Disclaimer: Readers of this blog should do their own due diligence before buying or selling any of the mentioned stocks, since I have been wrong before and cannot guarantee all information in this write-up is 100% factual. I may buy or sell the above mentioned stocks at any time. Past success is no guarantee for future success. Some of the stocks mentioned might have poor liquidity, so make sure to check average daily trading volume before buying or selling anything. I am not your financial advisor.