To The Moon

Is Your Portfolio and Retirement Safe from the Devasting Damage of Inflation?

Investors need to be aware that inflation damage compounds over time. We have undergone a secular change, and inflation will continue to move up over the medium term.Inflation has slowed from its 9.1% high in June 2022, but it has reaccelerated to 3.5% from the 3.0% low in June 2023.If you had $1,000,000 in cash in March 2021, the purchasing power of that would only be $848,445.Federal government spending is out of control, which has continued to fuel inflation. Driven by increasing interest expenses and spending, we expect a $2 trillion deficit for 2024.The Fed has been complicit. The balance sheet ballooned from $872 billion before the 2008 financial crisis to $8.9 trillion in April 2022. QT has made a dent, but it still sits at $7.4 trillion.Nominal GDP, 10-year and 30-year Treasury yie

Economic and Market Review $DJIA(.DJI)$ $GLOBAL X DOW 30® COVERED CALL ETF(DJIA)$ $S&P 500(.SPX)$ $SPDR S&P 500 ETF Trust(SPY)$ $NASDAQ(.IXIC)$ $NASDAQ 100(NDX)$ $Gold - main 2406(GCmain)$ $WTI Crude Oil - main 2405(CLmain)$ Equity IndicesYTD ReturnDow Jones4.98%S&P5009.94%NASDAQ9.23%MSCI – Europe6.95%MSCI–Emerging1.79%Bonds 2yr Treasury4.71%10yr Treasury4.32%10yr Municipal2.54%U.S. Corporate5.41%Commodities Gold$2254.41/o

Booking Holdings (BKNG) and Expedia Group (EXPE) are leading players in the OTA (Online Travel Agency) market, with BKNG dominating the European market and EXPE holding a larger share in the US.Both BKNG and EXPE are investing in AI to drive personalization of offerings and new large-scale rewards offerings.Travel spending is on the rise, with consumers prioritizing travel over other expenses, indicating a strong rebound in the travel industry.The alternative accommodation market is a key growth area for both companies, with EXPE’s Vrbo and BKNG’s expansion in non-hotel offerings with Booking.com.OverviewIn the past decade, the OTA (Online Travel Agency) industry has become more concentrated, with two players emerging on top: $Booking Holdings(BKNG)$<

5.22% dividend yield, maintained even at $40/bbl WTI.Strong free cash flow, at $75/bbl WTI REPX expects $100 million in FCF for 2024.Estimated 18.3% production growth for 2024 without a meaningful increase in costs.REPX is actively deleveraging its balance sheet, targeting 60% of free cash to debt reduction.Strong geographic position, operating in a lower-cost and lower-decline rate location compared to the median Permian field.Investment Thesis $Riley Exploration Permian(REPX)$ is an exploration and production company operating in the Permian basin, focusing on oil development. The company’s below-average drilling costs and lower-than-average decline rates position it favorably in the competitive Permian basin. With a strategy centered on acquiri

4.2% Expected Dividend Yield for 2024.HIMX is expanding its product portfolio into non-display technologies, catering to emerging markets like AR/VR, AI, and IoT.HIMX’s strong partnerships with major automotive OEMs and its 40% market share in automotive displays position it well to capitalize on further digitization of car displays.While there are short-term challenges, the display and optical semiconductor market remains one with high margins and high barriers to entry.Investment Thesis $Himax(HIMX)$ is a semi-fabless semiconductor design and manufacturing firm specializing in optical and driver components for displays and sensors. HIMX holds a significant market share in the display technology sector, holding some 40% of the automotive display

4.6% dividend yield, share repurchases tied to net debt.745.7 mboe/d in aggregate production in 2023, the highest in firm history.Targeting a 6% increase in production in 2024 without per bbl cost increases or accelerating depletion.Refinery utilization rates in 2023 averaged 90%, with a projected increase to 94% in 2024.Fortress balance sheet, with a debt to EBITDA of under 1.0x and $4.6 billion in free cash flow.Significant tailwinds with OPEC+ cuts and additional transport capacity to the West Coast coming online in 2024.All figures are in USD unless otherwise stated. Assumes CAD/USD = 0.7409Investment Thesis $Suncor(SU)$ is a vertically integrated Canadian producer of petroleum products. 2023 was the best-ever year for output and the second-best

Dividend Yield estimated at 17.7% for 2024.A 3.3% increase in production to an 8-year high of 737 mboe/d and a strong production profile.Successful Permian basin development program, outputting 66.3 mboe/d. We expect a secular increase to 100 mboe/d through 2025.Strong gas development profile, significant domestic supply shortfall over the next decade.Political considerations will likely be resolved during the next Colombian election in 2026.Investment Thesis$Ecopetrol SA(EC)$ is an exploration and production company controlled by the Colombian government, which owns 88% of the company. EC’s strategic expansion into the US’s Permian Basin for oil and domestic gas production provides a compelling short-term growth narrative. While we doubt the compan

Economic and Market Review $DJIA(.DJI)$ $S&P 500(.SPX)$ $NASDAQ(.IXIC)$ $Gold - main 2404(GCmain)$ $WTI Crude Oil - main 2404(CLmain)$ Equity IndicesYTD ReturnDow Jones3.40%S&P5007.45%NASDAQ8.98%MSCI – Europe1.31%MSCI–Emerging-0.60%Bonds 2yr Treasury4.63%10yr Treasury4.24%10yr Municipal2.53%U.S. Corporate4.87%Commodities Gold$2043.58/ozSilver$22.66/ozCrude Oil (WTI)$78.30/bblNatural Gas$1.85/MMBtuCurrencies CAD/USD$0.74GBP/USD$1.26USD/JPY¥149.96EUR/USD$1.08OverviewThe Congressional Budget Office released its yearly budget estimates. It reports t

2.6% Dividend Yield should grow with earnings.Increased military spending by the US and NATO allies, driven by geopolitical tensions, is expected to fuel sustained growth in RTX’s defense segment.As commercial aviation recovers and aircraft average age ticks up, RTX stands to benefit from both new equipment and overhaul services.$5.5 billion in free cash flow generated in 2023 and an estimated 16.7% CAGR in free cash flow to 2025 provide a solid foundation for returns and expansion.A 12% year-over-year growth in backlog, now at $196 billion, and a book-to-bill ratio of 1.28x for 2023 indicate strong future revenue potential across all segments.Investment Thesis $Raytheon Technologies Corporation(RTX)$ , is an American defense contractor and aviatio