Over the past few months, I've supported the comeback narrative of Carnival (NYSE:CCL) and the cruise ship industry. At some point, CCL stock will make for a tremendous discounted opportunity. At the same time, you must look at reality. That means you should wait out the storm before pulling the trigger on Carnival.Source: Ruth Peterkin / Shutterstock.com For all the talk about a recovery in this sector, it's becoming clear that it mostly hinges on a factor we can't control: the spread of the novel coronavirus.As recent events have proven, this pandemic, while it's still brewing, is incredibly unpredictable. Yes, at some point, this crisis will fade away — they all do. But for CCL stock, its dependency on that fading — or a vaccine — makes the present situation treacherous.InvestorPlace – Stock Market News, Stock Advice & Trading TipsIndeed, the crisis reached a magnitude that it caused President Trump to change his tone to a more somber one. It's not just voters that need to pay attention to this but investors. Cases and hospitalizations are rising, resulting in higher incidences of people ultimately succumbing to Covid-19. It's not a great time to go vacationing on the high seas and thus, not the best time to buy Carnival's stock.Like I said, patience is the key here. For the time being, here are three reasons to avoid jumping aboard CCL. CCL Stock Is Stymied by "Pointless" TravelUnlike airliners such as JetBlue Airways (NASDAQ:JBLU), cruise ships don't have the luxury of multiple demand channels. For instance, with JetBlue, the company can pull demand from personal travel, travel involving necessities (i.e., weddings, graduations, etc.), and business trips (especially when that segment comes back in full force). * 7 Dividend Stocks to Buy for Beginners to Income Investing In other words, JetBlue can capitalize on wants, needs and business. This is one of the reasons why I'm bullish on JBLU stock. However, with CCL stock, you're mostly limiting yourself to wants: no one needs to go on a cruise ship and I don't think sea travel is the next business revolution.Again, those wants will come back at some point. But until they do, the stock risks volatility.This also brings up the issue of a diminished vacation experience. Even assuming a generous discount on paper, why pay for a mitigated vacation? Call me crazy but I think the point about a vacation is to get away from the stress, not to be at a potential epicenter for it. Competitors Can Steal Market Share from CarnivalAnother headwind impacting Carnival stock is the rise of competitors. In this case, I'm not talking about industry rivals like Royal Caribbean Cruises (NYSE:RCL) or Norwegian Cruise Line (NYSE:NCLH). Instead, I'm referring to companies from other vacation platforms, particularly recreational vehicles.Initially, the rise of RVs doesn't appear intuitive. With a pandemic swirling and people fearing an economic crisis, going for a road trip doesn't seem appealing. However, the need for vacationing and recharging the batteries has also never been stronger.Plus, think of the advantages of RVs and camping. At any point, you can socially distance yourself from others. In the outdoors, you should be much better protected than in close, cramped quarters with potentially asymptomatic people.Fortuitously, the Covid-19 crisis may help lift the RV industry toward another leg higher. With reduced traffic and fewer crowded areas, there has never been a better time to experience the outdoors. That's great news for RV-based investments, but not so much for CCL stock in the interim. What Happens If Things Go Awry?If you could tie one event to the early devastation that Carnival stock experienced, it would be the Diamond Princess disaster. Floating off the coast of Japan while passengers quarantined under extreme anxiety, what was supposed to be a vacation of a lifetime turned into a nightmare.Following this devastating incident, several other cruise ships encountered a similar fate. Overall, it took a very long time for cruise ship passengers and employees to be repatriated. Some never returned home alive.I don't mention these things to be an alarmist. Rather, you know that if you're thinking about it, so are prospective vacationers. With a pandemic still raging, it's also not an unreasonable concern.Further, it doesn't take a genius to realize that people don't want to be stuck in a port away from home, let alone in a foreign country. We already have enough headaches as it is. There's no reason to add more. Thus, would-be passengers will likely stay put and that means CCL stock isn't a great buy right now.Matthew McCall left Wall Street to actually help investors — by getting them into the world's biggest, most revolutionary trends BEFORE anyone else. Click here to see what Matt has up his sleeve now. As of this writing, Matt did not hold a position in any of the aforementioned securities.  More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America's 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post 3 Reasons Why You Should Dock Carnival Stock for Now appeared first on InvestorPlace.

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Wells Fargo & Company (NYSE:WFC) is about to trade ex-dividend in the next 4 days. Ex-dividend means that investors…

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When it comes to Luckin Coffee (OTCMKTS:LKNCY), it's not all about pointing fingers, bad actors, or failed price charts and the like. Luckin stock is an important wake-up call. In a market made up of stocks, it's always smart to hedge those sure things or the next, next big thing, to avoid the possibility of an ever-present painful burn. Let me explain.Source: Ploy Makkason / Shutterstock.com For more than a few growth stock investors, Luckin Coffee was supposed to be the next Starbucks (NASDAQ:SBUX). Shares of the China-based upstart certainly looked ready to make good on that promise for a short while.Luckin had massive growth. The company smartly utilized today's mobile technology and brick-and-mortar locations to their benefit to win customers. The icing on the cake? Shares were relatively new to the market. Luckin only went public in 2019. And often, most growth stories of Luckin's caliber see their largest stock gains during those first few years.InvestorPlace – Stock Market News, Stock Advice & Trading TipsSo, what could possibly go wrong for investors looking to get in near the ground floor of LKNCY and cash in? It turned out, a whole lot. Lessons LearnedNot exactly a secret, accounting shenanigans concocted by Luckin's top brass and uncovered during the height of the coronavirus dosed Luckin's well-brewed narrative. Shares rightfully plummeted. It's not even worth repeating the fallout or the ongoing fabrication which has been done ad nauseam and continues to this day. * 7 Dividend Stocks to Buy for Beginners to Income Investing If there's any lesson to be learned, you're not going to find it on a balance sheet, income statement, or price chart. Despite our country's leadership nasty political saber rattling with China, the moral in LKNCY isn't about not investing in untrustworthy Chinese companies. Luckin was a cheat of course. But to be very fair, the United States has had plenty of homegrown companies lie, steal, and worse.Valeant Pharmaceutical is one memorable U.S.-based high-flier which imploded for similar improprieties. Enron was another high-profile mess. And let's not forget Boeing (NYSE:BA) or PG&E Corp (NYSE:PCG) for recent transgressions still impacting investors today.The reminder the Luckin Coffee story brings us is that investing is risky. Stocks are called risk-assets, right? That might be hard to remember right now if you're riding high in Amazon (NASDAQ:AMZN), some other trillion-dollar club member, or even the broader market. But don't make the mistake of forgetting or dismissing that feature when buying stocks.Luckin Coffee used to be the property of growth investors. Now shares are in the hands of those that see a potential turnaround, value-play or alternatively, are eyeing the stock for bankruptcy based on other favored evidence.Regardless of growth versus value or bull versus bear, putting blind trust in a company's financial statements, a price chart, an analyst recommendation, etc., and then buying or shorting stock on the back of those type beliefs, can end very badly. But it doesn't have too. Luckin Stock Weekly Price Chart Source: Charts by TradingViewLooking at the weekly chart of Luckin shares, I'm technically inclined to see a low forming. The bullish observation is supported by bearish sentiment that would be hard-pressed to get much worse. No disrespect, but heavily-lopsided analysis warning investors away from Luckin by roughly a dozen of my colleagues at InvestorPlace over the last couple weeks is evidence of an extreme hard at work.Yet on the price chart, conditions are improving. After jumping 130% in less than two weeks to confirm a small double bottom, LKNCY has constructively pulled back in a bullish-looking consolidation that's finding support at the 62% retracement level of a very volatile trading month for shares. Given the combined indications, Luckin looks great as a contrarian play. But that's just one of many opinions out there.The truth is it doesn't matter if I see a bullish bottom using optimistic optics or alternatively, someone else believes the other shoe is sure to drop based on the same price chart. Similarly, it's unimportant if one investor concludes LKNCY looks more attractive at a valuation of $650 million, while another despises it for that very reason.Bottom-line, respect it takes two parties, a buyer and seller, to consummate a trade. Also appreciate every strategy has its day in the sun. And know this, too: If you buy and sell stocks you will be proven wrong along the way for a multitude of reasons. It won't be a one-time incident, either.But far from warning against having exposure to risk assets and no matter your style or outlook, I'd simply recommend purchasing a call contract, a put, or a limited risk spread to avoid a truly harmful burn. That should be a point of agreement among all types of investors in Luckin and beyond.Chris Tyler is a former floor-based, derivatives market maker on the American and Pacific exchanges. Current investment accounts under management do not currently own positions in any of the securities mentioned in this article. The information offered is based on his professional experience but strictly intended for educational purposes only. Any use of this information is 100% the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America's 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post Is Luckin Stock Finally a Buy? appeared first on InvestorPlace.

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Inovio Pharmaceuticals (NASDAQ:INO) is a hot stock to watch right now.The shares of INO stock are up more than 647% from a year earlier.Source: Ascannio / Shutterstock.com In some ways, that is surprising, given that the pharmaceutical company doesn't currently have any products on the market. The stock jumped after Inovio entered the race to create a coronavirus vaccine. The company is currently conducting clinical trials and has seen promising results.But after the stock rose so suddenly, does it still make sense to buy INO stock? After all, the shares have already fallen from their 52-week high set in June.InvestorPlace – Stock Market News, Stock Advice & Trading TipsAnd other biotech stocks show more promise than Inovio and seem closer to actually producing an effective vaccine. Let's look at three reasons to sell INO stock: 1\. Inovio's Phase 1 Results Were DisappointingThere are over 140 coronavirus vaccines currently in development, but Inovio has emerged as an early player in the vaccine race. So far, the company seems to be making solid headway on its vaccine, INO-4800. * 7 Dividend Stocks to Buy for Beginners to Income Investing INO-4800 utilizes DNA that encodes for messenger RNA which encodes the SARS-CoV-2's S-protein. During Phase 1 of the company's clinical trials, 34 out of 36 patients developed an immune response.None of the patients had severe reactions to the vaccine, and the only real side effect any of them experienced was redness around the injection site. So there are no safety concerns about INO-4800.However, Inovio didn't provide any data on how many participants developed neutralizing antibodies or T-cell responses. For that reason, it's unclear how effective the vaccine actually is. Consequently, several analysts downgraded the stock after the company's Phase 1 results were released. 2\. Other Companies Are Closer to Developing a VaccineAlthough Inovio was an early player in the race to develop a vaccine, it still lags behind other companies. For instance, Moderno (NASDAQ:MRNA) began its Phase 1 triak a few weeks before Inovio.And this week, Moderno kicked off its Phase 3 clinical trial. Moderno will enroll 30,000 healthy participants in the trial at 89 different sites across the country.Pfizer (NYSE:PFE) also announced it has started a late-stage study for a coronavirus vaccine with the German company BioNTech (NASDAQ: BNTX). If Pfizer's trial proves effective, the U.S. government agreed to buy 100 million doses for $1.95 billion by the end of the year.Inovio is combining its Phase 2 and Phase 3 trials and plans to begin the study later this summer. But its efforts still lag behind those of several of its competitors. 3\. Inovio Wasn't Selected for the Warp Speed ProgramIn June, the U.S. government selected five companies for its Warp Speed Program. This program is part of the government's effort to bring a coronavirus vaccine to market quickly.Inovio was not selected to be part of this program. Washington chose to include AstraZeneca (NYSE:AZN), Johnson & Johnson (NYSE:JNJ), Merck (NYSE:MRK), Moderna, and Pfizer in Warp Speed. The government didn't specify the criteria it used to select these five companies, but it seemed to prefer seasoned vaccine developers.Government funding is an important part of vaccine development. In conjunction with Warp Speed, Moderna has received $483 million of funding, while AstraZeneca received $1.2 billion, and Novavax obtained $1.6 billion.Inovio has yet to receive any funding from Project Warp Speed. However, the Department of Defense did grant the company $71 million of funding to support the development of a device called Cellectra. That is the device which is used to inject INO-4800. The Bottom Line on INO StockInovio seems to be a legitimate contender in the race to develop a coronavirus vaccine, but there are reasons to be concerned about the company. The lack of information regarding the neutralizing antibodies produced by those who received the company's vaccine raises serious questions about the effectiveness of INO-4800.And if the company's vaccine fails to live up to the hype, it's likely the stock's recent gains won't last. So now probably isn't the time to invest in INO stock.Jamie Johnson is a personal finance freelance writer and has been writing for InvestorPlace since mid-2019. She writes for a number of other well-known financial sites, including Credit Karma, Quicken Loans and Bankrate. As of this writing, Jamie Johnson did not hold a position in any of the aforementioned securities. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America's 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post 3 Reasons to Sell Inovio Stock appeared first on InvestorPlace.

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As Congress debates the next coronavirus relief package, millions of Americans are waiting to see if the extra $600-a-week unemployment benefit will be extended or reduced. WSJ’s Shelby Holliday reports. Photo: Bryan Woolston/Reuters

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With cord-cutting showing continued strength amid the novel coronavirus and the recession, Roku (NASDAQ:ROKU) stock remains very well-positioned to benefit from that trend.Source: JHVEPhoto/Shutterstock.com In the short- to medium-term, Roku's financial results should also be lifted by the boycott of social media websites by some advertisers and the high ad spending to promote internet TV services, such as those of Disney (NYSE:DIS) and AT&T's (NYSE:T) HBO. Cord Cutting Is SurgingAccording to a study by Roku, more than 30% of U.S. households do not subscribe to traditional pay TV services and another 25% are receiving less extensive services than previously. Nearly 50% of households in the latter category plan to eliminate their subscriptions within the next six months.InvestorPlace – Stock Market News, Stock Advice & Trading Tips * 7 Dividend Stocks to Buy for Beginners to Income InvestingSome might say that we should be skeptical about the survey's findings because it was conducted by Roku. But in general, the companies that provide traditional pay-TV services are reporting similar trends. For example, AT&T recently reported that its net total of premium video subscribers dropped by about 5%, or 886,000, in the second quarter versus the same period a year earlier.Meanwhile, Comcast's (NASDAQ:CMCSA) video residential subscriber total fell in the first quarter by a net 388,000 to 19.9 million. In Q1 of 2019, Comcast lost only 107,000 net residential video subscribers, indicating that the cord-cutting trend is greatly accelerating. And suggesting that the trend will accelerate even more in Q2, Comcast warned in April that its cable results would be further hurt by the poor U.S. economy.Interestingly, Comcast cited the poor economy, not the lack of live sports, as the reason it expected its cable revenue to be weak going forward. And, according to Roku, less than 20% of cord cutters say they will return to paid TV when live sports return. So, it seems like the cord cutting trend is unlikely to slow greatly now that live sports have returned. Headwinds for ROKU StockAmong the gigantic companies now refusing to buy ads from Facebook (NASDAQ:FB) are Ford (NYSE:F), Clorox (NYSE:CLX), Verizon (NYSE:VZ), and Unilever (NYSE:UL). And several huge companies, including Starbucks (NASDAQ:SBUX), and Coca-Cola (NYSE:KO) have announced a hiatus on all social media ads.After announcing boycotts of large social media websites, these huge companies will need to find ways to reach the many millions of young people who no longer watch TV on the traditional paid TV services. Roku is definitely an obvious candidate.Roku stock should also benefit from huge increases in spending on ads by new streaming TV channels. According to a report by iSpot, online advertising spending tripled in 2019, exceeding $1 billion. Ad buys in the first quarter of 2020 also increased as the pandemic forced more people to stay home.Since cord cutters are likely to be attracted to the new streaming services and many of them watch Roku, the latter company should be a big beneficiary of this surge.And to the extent the ads on Roku cause its users to sign up for the new channels via Roku, the company will also benefit. That's because the firm gets a commission on subscriptions that are launched from its service. Snap's Strong Results Bode Well for RokuSnap (NYSE:SNAP) has much in common with Roku; both platforms are good ways for advertisers to reach young people, and both platforms have largely avoided the political controversies that embroiled Facebook and Twitter (NYSE:TWTR).Consequently, I believe that Snap's better-than-expected Q2 results, including a 17% year-over-year increase in revenue, bodes well for Roku and suggests that those who are bearish on Roku's ability to grow its ad business during the pandemic are incorrect. The Bottom Line on Roku StockRoku remains well-positioned to benefit from cord-cutting, and its results should also be boosted by the social media ad boycotts and increased spending on ads for new streaming channels. Trading at a reasonable trailing price-sales ratio of 14, Roku stock is worth buying at its current levels.Larry Ramer has conducted research and written articles on U.S. stocks for 13 years. He has been employed by The Fly and Israel's largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been Roku, oil stocks and Snap. You can reach him on StockTwits at @larryramer. As of this writing, he owned shares of Roku. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America's 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post There Are Plenty of Reasons to Love Roku Stock Now appeared first on InvestorPlace.

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