Starbucks Corporation (NASDAQ:SBUX), Bank of America Corp (NYSE:BAC) and Amazon.com, Inc. (NASDAQ:AMZN) are the three stocks that have caught the attention of JJ Kinahan, chief strategist at TD Ameritrade Holding Corp. (NYSE:AMTD). Kinahan was on CNBC’s Halftime yesterday and he believed that the market has become an investor market and that the trader approach is fading away in general.
Here is what he said:
“Many of our clients are traders, but we are seeing a little bit more of an investors type market and what they are doing is selling some of the stocks that are doing very well in the first half”
He said investors are now rolling over stocks that have not been doing all that good in the first half of this year. He mentioned Bank of America Corp (NYSE:BAC) as a prime example of a stock that was beaten up and other than Bank of America Corp (NYSE:BAC), Kinahan also pointed out Starbucks Corporation (NASDAQ:SBUX) and Amazon.com, Inc. (NASDAQ:AMZN) being the companies that might excite the investors in the second half.
Kinahan said that people believe in Starbucks Corporation (NASDAQ:SBUX)’s story and they would definitely invest in it as the company is going with a lot of health food types of things.
When he was asked why Amazon.com, Inc. (NASDAQ:AMZN) would be doing well, Kinahan stated:
“I think the news yesterday really reinforces that. When people are buying Amazon when it got beaten up, down to the $330-ish level, I think they hope for a $360 with the news they had yesterday was sort of a pay to play where you can pay on other sites with their Amazon credentials. “
Kinahan said that he read people going for $390 – $400 on other sites for Amazon.com, Inc. (NASDAQ:AMZN). The e-commerce giant has surely picked up a lot of value in yesterday’s trade and we would need to see how it goes for the rest of the week. However for now Kinahan’s picks look good.
Some of the key investors in Starbucks Corporation (NASDAQ:SBUX) are Columbus Circle Investors with over 3.3 million shares and Alkeon Capital Management with approximately 660 million shares. Similarly the key investors in Bank of America Corp (NYSE:BAC) are Harris Associates with over 100 million shares and Fairholme (Fairx) with about 98 million shares. The stock that is already doing good, Amazon.com, Inc. (NASDAQ:AMZN) might have a couple of excited and happy investors like Lansdowne Partners with about 2.9 million shares and Blue Ridge Capital with roughly 810,000 shares.