AT&T is ranked number one due to its most interesting valuation setup, low expectations, and a 23% margin of safety, with the market pricing in 0% growth.
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Big Tech Is Crashing… But Wall Street Is Buying These 10 Stocks
Jun 22, 2026
The creator discusses institutional buying in the market, but cautions that not all stocks are cheap. They rank 10 stocks based on quality, valuation, dividend strength, growth, and margin of safety, aiming to identify which are worth buying. The analysis focuses on fundamentals justifying current prices rather than chasing hype, especially in the AI sector, and highlights Applied Materials (AMAT) as a stock to avoid due to its valuation.
Linked Mentions
Tickers discussed in this post
Kroger is a surprising opportunity with a pullback, attractive valuation (lower multiple, higher yield), and significant upside potential.
Lockheed Martin is a top risk-adjusted idea with a reasonable valuation, decent dividend, defensive business, and significant upside potential.
Exxon Mobil is considered fair value, offering a reasonable price and good dividend, but lacks the margin of safety for a top ranking.
Coca-Cola is trading near its normal valuation with a reasonable signal, but is not considered a screaming bargain.
Johnson & Johnson is a hold due to its premium valuation and lower-than-average yield, despite being a stable healthcare giant.
Costco (COST) is a respected business with an incredible membership model, but it is consistently expensive and currently trading at a high valuation.
Caterpillar (CAT) is a strong company benefiting from infrastructure spending, but its current valuation is too high, making it a hold.
Applied Materials (AMAT) is ranked as the worst stock to consider buying due to its valuation, despite being a key company in the semiconductor boom.
Microsoft (MSFT) is mentioned as a mega-cap name continuing its downward trend.