By Bill Taylor-CEO, Fintegration/FintekNews & CIO, TLC Capital Group
10/14/16 Daily Closing Analysis & Week End Review – NASDAQ Fintech Index (KFTX)
Ity Bity Bounce for fintech. Friday started out with a big rally but fizzled over the day. The NASDAQ fintech index KFTX moved up 4.09 points to 1015.66 (+0.40%) today. An ity bity move considering the last few weeks down.
Only 2 of the 49 issues in the KFTX moved +/- 3% intraday on Friday and we will call them the “whoops brothers”. Why? Because the were both up more than 3% early BUT (whoops) they both closed down on the day. BOFI at 22.07 was off 0.08 (-0.46%) and LC closed at 5.38 off .12 (-2.18%). Not to point out the obvious (but I will) LC is not looking very……..healthy? Under 5 and the “big boys/girls” can’t play.
There were 3 stocks that had a 2 point or more move today. Lets find them; ADS (209.77) +2.93; FLT (171.40) +2.66; and ICE 271.29 +4.73. Betcha little LC is a little jealous of those stocks.
On the week the KFTX lost 11.91 points (-1.2%) to settle at 1015.66. The ‘pothole’ is turning into a sinkhole and the sides are strating to cave in. Lets take a look at the stocks that had some big (+/- 3%) moves on the week:
DNB (126.25) -3.64%
GPN (73.04) -3.91%
HAWK (34.30) +7.76%
LC (5.38) -9.59% (Goldman Sachs announced it is launching a lending platfrom. Competing against GS is NOT a positive.)
PAY (15.08) -6.34%
RATE (7.70) -4.35%
SQ (11.12) -3.12%
VIRT (13.87) -4.16%
Only 8 of the index’s 49 stocks had a significant move this past week. Sort of unusual. There were many stocks that lost 2%-3% and the winning issues could only muster 1%-1.5% gains. Like I said, fintech is becoming a sinkhole and it may (MAY) start sucking a whole lot of the 49 issues into a deep crevasse. Caution out there.
What is upcoming for the new week? Third quarter earnings start flowing out in earnest (Do we care? Does it matter?) and valuations will be a hot topic. Or are we just hooked on the political rhetoric? Oh, on that note, there is the last (really for sure?) presidential debate on Wednesday evening. All these market movers? Probably not. Have a great week.