Momentum Securities stock picks performance – with surprising results
An analysis by Daily Investor revealed that Momentum Securities’ stock picks over the last eighteen months performed significantly worse than the S&P 500 and the JSE Top 40.
Momentum Securities is the full-suite stockbroking business of Momentum Metropolitan Holdings and provide a range of investing services.
Momentum Securities CEO Steven Schultz leads a diverse team of specialists, which includes analysts involved in the research and investment selection process.
They integrate a macro and micro market view into their advice which is shared with their clients.
In February 2021, Momentum Securities started to bring investors their “stock pick of the week” and the motivation behind the pick.
Over the last year-and-a-half, the company selected 47 stocks from many exchanges, including the Johannesburg Stock Exchange (JSE), New York Stock Exchange (NYSE), and NASDAQ.
Their best performing stock pick is the NYSE listed AbbVie, selected on 9 September 2021, which gained 63% in rand value.
AbbVie is an American biopharmaceutical company founded in 2013 after a spin-off of Abbott Laboratories.
Other top performers include Apple (NASDAQ), Glencore (JSE), Broadcom (NASDAQ), Santova (JSE), and Alphabet (NASDAQ).
Momentum Securities’ worst-performing stock pick was Hellofresh, which lost 72% since it was picked in August 2021.
HelloFresh is based in Berlin, Germany, and is the largest meal-kit provider in the United States, with operations in Australia, Canada, New Zealand, Europe, and Japan.
Other poor-performing picks include Alibaba (HKG), Paypal (NASDAQ), Xioami (HKG), and Adidas (ETR).
Momentum Securities stock pick performance
To analyse Momentum Securities’ stock pick performance, Daily Investor calculated the increase or decline in the share price in rand (ZAR).
To see whether the stock picks outperformed the market, we compared them with two popular market index trackers – the S&P 500 and the JSE Top 40.
We measured the results of each stock, the S&P 500, and the JSE Top 40 from the date of the pick to 29 July 2022.
The results showed that Momentum Securities’ stock picks lost an average of 11.5% over the reporting period.
The S&P 500 gained an average of 7.5%, while the JSE Top 40 lost an average of 0.4%.
| Momentum Securities Stock Pick Performance to 29 July 2022 | ||||
| Date | Company | Stock Pick | S&P 500 | JSE Top 40 |
| 25-Feb-21 | Roche | 13.20% | 19.95% | 0.45% |
| 04-Mar-21 | Samsung | -29.60% | 20.52% | -0.46% |
| 10-Mar-21 | Broadcom | 33.85% | 16.85% | -0.82% |
| 17-Mar-21 | Alibaba | -55.49% | 17.79% | 1.97% |
| 31-Mar-21 | Xioami | -48.34% | 17.57% | 1.66% |
| 08-Apr-21 | NIO | -42.63% | 16.52% | 0.74% |
| 22-Apr-21 | Estee Lauder | 0.46% | 16.10% | 1.67% |
| 06-May-21 | Alphabet | 13.92% | 16.40% | 1.00% |
| 06-May-21 | Apple | 41.37% | 16.40% | 1.00% |
| 12-May-21 | Glencore | 37.59% | 19.48% | 1.18% |
| 20-May-21 | Impala Platinum | -24.23% | 19.05% | 3.57% |
| 27-May-21 | Fedex | -12.46% | 18.95% | 2.62% |
| 10-Jun-21 | Alibaba | -45.45% | 19.39% | 1.29% |
| 17-Jun-21 | Biogen | -34.49% | 16.58% | 2.82% |
| 23-Jun-21 | Apple | 36.96% | 14.02% | 3.74% |
| 01-Jul-21 | Volkswagen | -37.00% | 11.01% | 2.74% |
| 08-Jul-21 | Amazon | -24.01% | 11.52% | 5.05% |
| 23-Jul-21 | Disney | -33.31% | 6.48% | 1.02% |
| 19-Aug-21 | Mastercard | 7.34% | 3.80% | 4.07% |
| 26-Aug-21 | Hellofresh | -72.32% | 2.93% | 2.12% |
| 02-Sep-21 | SAP | -29.34% | 5.47% | 2.34% |
| 09-Sep-21 | AbbVie | 62.69% | 7.39% | 6.01% |
| 16-Sep-21 | Prosus | -10.49% | 5.76% | 7.68% |
| 30-Sep-21 | John Deere | 8.59% | 4.98% | 5.56% |
| 07-Oct-21 | Alphabet | -9.18% | 4.19% | 4.14% |
| 28-Oct-21 | Nike | -25.38% | -0.67% | 2.04% |
| 04-Nov-21 | Adidas | -46.65% | -3.01% | 1.42% |
| 11-Nov-21 | John Deere | 0.65% | -3.47% | 0.03% |
| 26-Nov-21 | Tencent | -33.05% | -8.13% | -0.13% |
| 07-Dec-21 | Xpeng | -46.54% | -8.07% | -6.23% |
| 10-Dec-21 | Samsung | -25.11% | -8.43% | -4.73% |
| 13-Jan-22 | Paypal | -49.06% | -6.10% | -9.75% |
| 20-Jan-22 | Comcast | -14.86% | -0.85% | -9.86% |
| 27-Jan-22 | Microsoft | -1.23% | 1.53% | -6.95% |
| 17-Feb-22 | Airbnb | -34.70% | 3.02% | -9.86% |
| 28-Feb-22 | Adidas | -24.60% | 2.08% | -10.17% |
| 31-Mar-22 | BP | 9.54% | 2.65% | -9.65% |
| 07-Apr-22 | Gemfields | -14.96% | 3.68% | -8.26% |
| 14-Apr-22 | Jubilee Metals | -9.84% | 4.92% | -7.36% |
| 21-Apr-22 | Citigroup | 6.63% | -0.57% | -6.45% |
| 28-Apr-22 | MSCI China | 7.83% | 1.07% | -3.81% |
| 27-May-22 | Omnia | -26.33% | 6.79% | -2.67% |
| 17-Jun-22 | Standard Bank | 1.66% | 16.60% | 4.75% |
| 30-Jun-22 | John Deere | 12.42% | 10.71% | 1.74% |
| 07-Jul-22 | Mastercard | 7.77% | 5.01% | 0.74% |
| 19-Jul-22 | Santova | 14.29% | 2.89% | 0.84% |
| 27-Jul-22 | Hudaco Industries | 2.74% | 1.83% | 0.79% |
| Average | -11.51% | 7.50% | -0.43% | |
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