Hottest Stocks in CW 08/21

The "Fear of Missing Out" – FOMO for short – leads traders to buy stocks whose price has already risen significantly. This trading motive could be observed last week with Lufthansa. Trader Richard Dobetsberger (Ritschy) knows why: "Deutsche Lufthansa AG has announced that it has successfully issued a bond with a total volume of 1.6 billion euros. This gave them further breathing space." For Dobetsberger, who has weighted Lufthansa shares at around 12.5 percent in his wikifolio Umbrella, there is another reason to invest in the stock: "With the rays of hope from the successful vaccination campaigns in Israel, as well as the United Kingdom, travel could pick up again."

The "buying the dip" trading motive is evident when traders buy falling stocks in the hope of a bottoming out – in other words, the imminent turnaround. This is precisely what happened last week at Palantir. The stock of the US data specialist lost around 12 percent over the week. No cause for concern for many traders. They repurchased the paper in large quantities. Among them Maximilian Rahn (AktienMax) who now has Palantir weighted at around 14.5 percent in his wikifolio Bambus Ultra. Rahn is not hoping for short-term profits; he believes in the future of the company: "Personally, I don't think quarter to quarter, I think long-term. The reason for the increase was the strong Q4/2020 annual report, according to my analysis. With its current investments, Palantir is laying the right foundation to become the indispensable operating system for many large and world-renowned organizations."

Rahn explains the price losses of the last few days as follows: "From my point of view, Palantir is on a very positive track in terms of corporate development. Other market participants had probably expected even better quarterly figures as well as an increase in the annual forecast for 2021. That's probably why the stock fell.“ Another reason for the price losses is the end of the lock-up period for Palantir stocks. Existing stockholders have been able to sell their stock for the first time since two weeks ago. As has now become known, top managers of the company have also made use of this. This creates uncertainty.

Last week, wikifolio traders have taken profits primarily with the Gamestop stock. A weekly increase of around 120 percent shows that the hype surrounding the video games retailer is not over yet. A roller coaster ride that some wikifolio traders have been following in a significantly more relaxed manner since last week. They used the price gains to reduce or completely liquidate their Gamestop stakes and have presumably been sleeping much better since then.

Selling when prices are falling – this is what characterizes the "Jumping the Ship" category. This trading motive was most apparent last week with the Alibaba stock. There are currently many possible reasons for the price losses of the Chinese online retailer. There is, for example, the failed IPO of the subsidiary Ant-Group, the mysterious interim disappearance of the company's founder Jack Ma, and the recently announced sale of all Alibaba shares to the Gates Foundation.

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