Google is mentioned as a company that will be raising future capital, contributing to market jitters.
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11 Undervalued Stocks To Buy Today
The creator discusses undervalued stocks that are being left behind in the current market rally, despite the S&P 500 and QQQ showing significant gains. He emphasizes a core-satellite investment strategy, recommending a mix of ETFs like SPY, VOO, or SCHG as core holdings and individual stocks as satellite positions. The creator plans to highlight 11 specific companies that he believes are high-quality and attractively valued.
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Tickers discussed in this post
Micron Technologies is experiencing massive demand for memory chips, making it a trillion-dollar stock with strong future prospects.
DoorDash is a compelling buy, trading 46% off its highs at the bottom of its 52-week range, with historically low P/E and P/FCF ratios, significant growth potential, and expansion into new areas like groceries.
Uber is a strong buy due to being 31% off its highs, trading at the low end of its 52-week range, and appearing cheap on a price-to-earnings and price-to-free cash flow basis with rapid earnings growth.
TSM is mentioned as a bottleneck stock in the AI space, which is currently favored by the market.
Nvidia is mentioned as a bottleneck stock in the AI space, which is currently favored by the market.
Duolingo is a buy, with the creator holding and adding shares despite it being 74% off highs and near the bottom of its 5-year valuation, believing in the substantial market for scaled digital education solutions.
Netflix is a buy, trading 38% off highs and at the low end of its 52-week range, with an undervalued PE ratio and strong subscriber growth making it a compelling investment.
Google, as one of the four hyperscalers, has substantial capex; the investment decision hinges on one's view of the predictability and returns of this spending.
Meta, one of the four hyperscalers, is investing heavily in capex; the buy/sell decision depends on one's perspective on the predictability and profitability of these investments.
Amazon, as one of the four hyperscalers, has significant capex spend; the decision to buy hinges on one's outlook on the predictability and returns of this investment.
Microsoft, along with Amazon, Meta, and Google, is a hyperscaler with significant capex spend; whether to buy depends on one's view of this spend's predictability and returns.
Texas Roadhouse is a buy, trading 15% off highs with reasonable valuation, expected lower beef prices, organic growth, and strong customer loyalty.
Costco is not a buy, as it is currently trading at an expensive valuation with its stock price ahead of its intrinsic value.
Mastercard is a buy, trading 18% off highs at a 5-year valuation low, with strong recent earnings, revenue/EPS growth, and market dominance.
S&P Global is a buy due to its 26% drop from highs, trading at historical lows on P/E and free cash flow, while maintaining strong fundamentals and avoiding disruption.
ASML is highlighted as an impressive compounder and a critical company in the semiconductor and memory chip industries, making it a strong buy despite its recent rally.