Welcome back everyone. Today on the

Joseph Carlson show, I'm buying more of

a specific stock. The stock is Amazon

and we're going to be going over it. So,

I'll be going over why I'm okay that

Amazon's such a large position, why I'm

okay with this one potentially even

passing up Google to be my biggest

position. On the show today, we're also

going to be looking at five other

companies that are potentially great

investments, ones that have sold off.

These are all stocks that have sold off

nearly 50% from their recent highs. The

market has thrown out these companies.

They've left it for dead, but we're

going to take a look and see if there's

opportunity with these five stocks. And

then, as always, we have a lot of news

to get to. Tom Lee is going on the news

today explaining the market selloff. Tom

Lee's not too concerned about the market

selloff over the past couple of days.

I'll be reacting to his thoughts. Dan

Ies believes that we're well into an

innovation renaissance. We'll be hearing

his arguments as well. Netflix is now

expanding into gaming and not just games

that they're licensing, but now ones

that you use your phone as a controller

and play party games on the TV. And then

finally, we have another fail of the

week to get to, which in this case is a

post from Michael Sailor showing him

fleeing a burning ship that is also

sinking. So, we have all of that to

discuss, plus much more. Tons to get

into in this episode. Before we start

off, just a quick mention. We've had an

enormous interest in Qualrram over the

past couple of weeks as now you can

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to use Patreon. You can simply go to

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qual.com. Okay, so we have a lot to get

to in this episode and we kick things

off today looking at the new buy. Now, I

have two portfolios. The smaller of the

two is the story fund, but it's growing

quickly because I've decided to continue

investing in this portfolio. At first,

it was only to to demonstrate that you

could outperform the S&P 500 and the

QQQ. Spoiler alert, it outperformed the

S&P 500 and the QQQ by a pretty wide

margin. Every year, it's gone up

substantially for the past three years,

far outperforming the market. It did dip

down a lot in 2022 because all these

companies had a sell-off, but doubling

down on these companies at the lows,

buying more Netflix really bumped up the

performance. The reason that this

portfolio has done so well, I believe,

is because it's a combination of picking

out really good companies and then more

importantly sticking to those companies

during difficult times. It's easy to

pick out good companies, but it's

difficult to invest in them when other

people are telling you they're not good

companies. That was the case with

Netflix. There was a time period where

people didn't believe it was a good

company. That was when Bill Aman sold

the company. He was very uncertain and

unsure about the future. Those decision

points of just being willing to wait a

little bit and hold is very important

because if you get scared out of a

stock, you miss all the outperformance

that comes along with it when it

eventually recovers. And typically good

companies do recover. It's the very same

thing that we saw with Google just 6

months ago. People were extremely unsure

of Google saying that it was literally

being disrupted like the walls were

caving in. The sky was falling. Google

was being disrupted by Chachi PT. Now

the stock is up 80% in 6 months. No

longer is Google being talked about as

being disrupted. Now it's actually being

talked about as potentially being a

better company than Microsoft, a bigger

company than Microsoft. It's growing

into a massive subscription business.

They have YouTube and cloud growing very

quickly. They have all these business

tools as well. The tone can change very

quickly for high-quality companies. The

test for investors is identifying them

and investing in them and then holding

them when people are telling you to

sell. And I always find that third part

to be the most challenging part with

Amazon. This is another company that's

gone through many difficult time

periods. Right now, I wouldn't say is

the most difficult. Amazon stock has

finally gotten a little bit of

recognition because AWS finally sped

back up. It had its first quarter above

20%. And this is where we get into what

I consider the near-term catalyst and

the long-term thesis. When we look at

the basic characteristics of what I look

for in an investment, you can boil it

down to having a dominant lead in their

category. I like companies that are

already winning, not ones that are way

behind that I think can catch up. I want

ones that are already in the lead.

Amazon is the biggest online retailer by

far. They have a dominant market

position. They're number one in the

world. Then you have cloud hosting.

Guess what company's number one in the

world? It's Amazon. AWS is much bigger

than Azure and Google. We read headlines

that Google and Azure is growing faster.

And while that's true, we don't read as

many headlines that really emphasize the

size and scale difference of AWS to

either Azure or Google Cloud. Azure and

Google Cloud have far fewer customers.

It's estimated that Amazon has millions,

multiple millions of customers. Google

is just surpassing 1 million. and Azure,

it's a little bit more difficult to

know. Most of Azure's cloud is from a

few companies that are really large.

Amazon is far more diversified. It's in

the leading position in AWS. Then you

have advertising. You have Google as

number one. Meta is number two. Then you

have Amazon as number three. So they're

number one in online retail. They're

number one in cloud hosting. They're

number three in the world in

advertising. And they have by far the

most intent driven ads in the world.

Meaning that when people go to

amazon.com, their intent is to buy

something. So even though they're in

third place, they're not in a situation

like Meta or Google where you go to

their websites for one reason and they

have to try to convince you to buy

something when that wasn't your intent.

With Amazon, you're going to their place

to buy something. That makes their ads

far more lucrative. But then you add on

top of that Prime Video, which Prime

Video, by the way, is likely number two

in the world in streaming behind

Netflix, which has massive ad reach,

more ad reach than any platform today.

So Amazon's number one in online retail,

number one in cloud hosting, number

three in online ads, and number two in

online video streaming. We have a

company that's dominant and near the top

of the pack in multiple verticals. It's

extraordinary to see what this company

has accomplished and it's still growing.

It's still expanding. What Amazon is

doing is not resting on its laurels.

It's not just trying to go into profit

mode and kick its feet up. Amazon is now

a company that's still aggressively

investing in new endeavors. One of the

biggest things that they've highlighted

as a near-term catalyst is grocery.

Grocery is something that is often

scoffed at by investors. like why would

you want to invest in a company that

that goes into a low margin thing like

grocery? But I don't believe that's the

way that you should look at it. An

example we can look at that's a great

company that's in grocery today is

Costco. Costco is a grocery company.

Now, it's not just grocery. There's a

lot of other reasons to go to Costco,

but part of the reason you go to Costco

is to have lowcost, super cheap

groceries. You get the best value

possible in bigger quantities. If you're

buying a lot of something, you want to

go to Costco. If you want to get high

quality meats and produce, you want to

go to Costco. So, this is part of the

reason people shop there. Costco, a

grocery company, trades at a 46 forward

PE. Well, that's a little bit of a head

scratcher. Shouldn't a low margin,

terrible business like grocery trade at

a super low PE ratio? No, because we

know that what these companies do is

they use something that people need

every single day. They need to eat. They

need groceries every single day. People

need this. It's a part of life. It's one

of the human connections that these

companies are going to have and have

long lifetime value by you constantly

needing groceries. They use that and

they wrap that customer loyalty and

consistency into a bigger business

model, a better one. They attach it to

subscriptions. So what Amazon is doing

is pushing into a low margin bad

business which is grocery and then

they're going to layer that into further

subscriptions which are high margin. The

very same business model that Costco has

accomplished. Costco maintains an

incredibly high PE ratio because it has

high returns on capital employed meaning

it can take a small amount of money

invest it and get super high returns.

It's also a company that has

unquestionable moat. It's a company that

has unyielding customer loyalty. These

type of characteristics come when you

have something as dependable as grocery.

You wrap it into a much better business

model. We can see the growth of Costco

and their card holders look like this.

Consistently growing every single

quarter because everyone in the world

needs grocery. Walmart understands this

as well. Walmart's a company that

actually has the advantage in grocery.

If we look at Walmart, it's another

example of a company that should have a

low PE ratio, right? Because groceries

are low margin. That's the thought. But

that doesn't really represent what goes

on with these companies. Walmart,

similar to Costco, trades at a 35 Ford

PE. Not quite as high because Walmart

isn't quite as membership or

subscription driven, but they have that

model. So investors need to get it out

of their minds that grocery is a bad

business. It's not. Groceries in and of

themselves, of course, they're low

margin, but you can look at them kind of

like a Trojan horse for a subscription

business, which is super high margin.

And that is the exact tactic that, of

course, Amazon will do. Amazon will

implement groceries. They'll push into

this category. They already have the

logistics network. They already have

Whole Foods established all throughout

the nation. They don't have quite the

presence of Walmart, but they can

establish this quickly. Amazon has the

will, the capital, and the knowhow to

execute on grocery. And if they can

create that weekly connection, making it

a part of people's daily lives, then

they can charge more for their

subscriptions. They can include more in

their membership. They can grow that

nice stream of reliable high margin

revenue. And Amazon again knows this.

They are pushing hard into grocery. In

their last earnings report, there's a

whole segment dedicated to retail and

grocery selection expansion by 14%

quarter over quarter with addition of

popular brands. Everyday Essentials

nearly doubling growth rate of the rest

of the business. Significant expansion

and perishable grocery delivery. Now in

1,000 plus cities, targeting 2,300 by

the year end. So by 2025's end, they

want to double the amount of over double

the amount of places they're in grocery.

Another thing that of course is a

near-term catalyst for Amazon is the

continued reaceleration story of AWS. If

we look at the KPI on Qualrum here, we

have the AWS on a quarterly basis and

you can see it grow over time and then

most importantly the most recent

quarter, it reacelerated growth beyond

20%. So the near-term catalyst I see in

Amazon and the reason that I'm buying it

today is they're going to continue

growing AWS and accelerating their

growth. I think that more capacity is

going to come online. I believe that

next quarter it's going to grow above

20%. I think it will continue to

reacelerate. So that's going to be a big

catalyst. Investors will have a hard

time selling the stock off when AWS is

growing at a more accelerated pace. Then

we also have the grocery business, which

I think is a very near-term catalyst for

the company. The grocery business

expanding really puts the end to the

story of Walmart invading Amazon's

territory. Those are both short-term

catalysts, but I also believe Amazon has

a very good long-term thesis. As I've

said before, I think this company is

going to become a company of margin

expansion. So, you're going to have

long-term revenue growth with their

expansion into grocery with their AWS

growth, but you're also going to have

margins expand. Amazon is doing layoffs.

And while that's sad for the employees

being let go, it also means that

Amazon's trying to operate more

efficiently, increasing their margins by

lowering employee expense. For most

companies, they hire 10, 20,000

employees. They can run somewhat

efficiently. Amazon has 1.5 million

employees. They have tens of thousands

in the office which AI will help become

higher margin. And then you also have

more than a million employees in

warehouses and as delivery drivers. We

know that over time those jobs will be

automated to a huge extent. Humans will

be put in roles as supervisors and

organizers of the automation of the

robots and of the AI more than doing all

those tasks themselves. So what I see

longterm with this company over the next

5 to 10 years of this continual story of

automation and margin improvement and I

see very limited downside in the stock

with this many catalysts. Of course

Amazon could sell off if the entire

market does that happens but the

fundamentals are going to continue

upward. Now moving on we get into five

companies that I've outlined as ones

that I believe the market is is just

they're just selling off. Investors

don't want anything to do with these

companies. They almost have like a

bitter taste in investors mouths. They

they just are not stocks that investors

want to talk about, ones that they want

to consider. Those are in many cases the

best stocks to look at, ones that

investors are a little bit disgusted

with, ones that the sentiment so

negative that investors don't even want

to consider it. And at the very top of

the list here, we have Adobe. This is a

stock that investors simply want nothing

to do with. Just look at some of the

numbers of this company, and it shows

how poor the sentiment is. First of all,

Adobe continues to trade down. It's down

25% year-to- date. So, it's it's nearly

at its all-time low this year. But then

we zoom out even further. It's down 34%

in the past uh year. We zoom out over

the past 5 years. Adobe is down 50% from

its high. The multiples this company

trades at are one of a dying company.

One where it's going downhill. Things

look really bad. The returns on this

stock are going to be terrible is what

investors believe. They priced it at a

14-5 Ford PE ratio. They've priced it at

a 7% free cash flow yield. So super high

free cash flow yield, super low PE

ratio. When we look at the fundamentals

of Adobe, does it match the sentiment?

When we look at the revenue that

continues to grow 10 to 11%. And this

company hasn't had any sudden revenue

deceleration. So you can't even say,

well, the reason the stock is down is

because it went from 20% growth to 10.

That never happened. The performance

obligations, which is basically their

backlog of contracts, has grown by 13%.

Signifying that there's future growth.

It's not just looking at trailing

numbers. Now, we're looking at future

obligations, and it's still growing. The

free cash flow grew 47% year-over-year.

There's a bit of bumpiness here. So, on

a 5-year average, it's around 14%. When

we look at the free cash flow per share,

it's actually growing a lot faster

because Adobe makes so much money that

they're buying back a lot of shares.

what investors are pricing into this

stock seems incredibly bearish. In fact,

when we look at the discounted cash flow

calculator, this is on Qualrum and we

can just run some simple scenarios here.

We basically have four inputs here.

Super simple. We have the trailing

earnings per share that's already

entered by Qualrrim. Then we have the

EPS growth rate and this is where we can

get into some basic assumptions. For

example, we can say that we think Adobee

is going to grow at around uh 13%

earnings per share growth. Let's say

that the multiples go up a slightly just

to a 22 and we have almost a 15% return

right there. We get 14.4% returns per

year. If Adobe just continues on doing

what it's doing, buying back shares,

growing its EPS at even a low rate, 10

to 12%, this stock should have positive

returns. Next on the list is another

stock that's been left for dead. It's

one that no one wants to own today,

which is Chipotle. Now, Chipotle's had

its struggles, I'll admit. the portion

size control, the difference between

ordering in person and ordering digital

pickup. In many cases, you feel like you

get jipped when you go to Chipotle. Lots

of people complaining about the making

of their burrito. So, they have issues

with consistency, with quality. They're

trying to address that. So far, it seems

like they've made some progress, but

they haven't fixed that problem. But

Chipotle is down 50% this year. Now, I

used to own Chipotle. I sold the stock

for around $54 per share. I made around

$13,000 in gains on the company. I made

a hefty profit in the company by buying

it and selling it when there's a lot of

enthusiasm in it. And I know as someone

that has invested in restaurants for a

long period of time, I've owned

Starbucks before. I've owned uh Texas

Roadhouse. I've owned a number of them

before and they've been very profitable

investments, but these companies are

more volatile. They're ones where

investors become very bullish and very

bearish very quickly. So, this is a a

category that I think sentiment can have

very dramatic swings. What we're seeing

here is sentiment shifting to the

negative incredibly fast for Chipotle.

Some of it is justified. And that's the

problem with stock prices going down is

there always is some validity to the

stock going down. After all, Chipotle's

revenue has decelerated. So, you can see

that it was going up very quickly.

They're raising prices, opening up new

locations, unit volume was growing.

Things seemed like it was great for

Chipotle, but then we've hit a little

bit of a slow period. Now we have an

issue. Unit volume is going down. Unit

volume is a measurement of every single

Chipotle location and how much it's

selling every single year. It was at its

highest peak 3.21 million. And Chipotle

has goals to get this above like 5

million. You know, they want to get it

up to six or seven million as top tier

restaurants, but it's not there yet. And

in fact, instead of continuing on its

long-term trend of going upwards, now

it's gone down for multiple quarters. We

have three quarters in a row of it being

below where it was previously. Not a

great trend. Don't be mistaken by the

metrics here. Chipotle going down for a

few consecutive quarters is not a death

blow to the company. This doesn't mean

the product's ruined forever. This

doesn't mean they can't fix the value

proposition or the consistency in their

portions. And what's going on right now

is a huge devaluation of the company,

multiple compression. On the one-year,

Chipotle went from a 55 trailing PE

ratio now to a 27. The free cash flow

yield went from a 1.47%

now up to a 3.72%.

I think it's worth consideration. Now, I

don't know if Chipotle is the best buy

in the world, but it's one that I think

investors should have on their watch

list because if we just look at some

simple assumptions of a 12% earnings per

share growth, a 30p ratio, you get a

nice healthy 14% return from this

company. And these are very moderate

assumptions. Chipotle is a company that

could enthuse investors if there's any

good news, any sentiment shift. if they

open up and start offering breakfasts

and that boosts their earnings. If they

find a lot of success in new locations,

that boosts their earnings. Or if

there's a simple economic turnaround and

people just go to restaurants more. So,

this may be one worth considering while

the stock is beaten down. Now, another

stock that's been beaten down this year

is one of my own, which is Dualingo.

This is a stock that seemingly nobody

wants to own. We look at what's gone on

just year to date, and Duelingo is down

42% year-to date. So almost chopped in

half. We look at the past one year, it's

down 38%. In the past five years, it's

well off of its highs. Look at the highs

way up here. It was trading at 1 $530

per share. Dualingo is now at 191. And

there's reason to believe that this

sell-off may be more of a result of

other factors outside of Duelingo's

control. There is right now a continual

sell-off in any company that investors

consider even slightly speculative.

Let's go ahead and just take a look at a

couple examples. For example, we have

SMR. This one's down 56% in the past one

month. We have Oaklo. This is another

one that just went through a recent

sell-off, down 39% in the past one

month. Energy Fuels, another company

investors were super bullish on, but in

the past month, it's down 36%. We get to

the quantum computing category. Remember

that one? Investors were really excited

about it just a bit ago. Look at it over

just the past month, down 53%. We can

look at the AI infrastructure trade.

Companies like Coreweave, ones that

investors were super bullish on just a

month ago. They're now down 43% from

their recent highs. We also have Oracle

that had that massive spike after the

deal with Open AI only to trade down 26%

in the past 1 month. The stock has given

up basically all of the gains it made

from that announcement. And then we get

to companies that are a bit more similar

to Dualingo. These large consumer-led

companies, ones like Hims and Hers. This

is a company that's down 40% in the past

month. Oscar Health is another stock

that's down 31% in just the past month.

What I see here is any company that

doesn't have a wide established mode or

super high profitability is being sold

off. Anything that seems speculative

that traded up with momentum is being

sold off. So, I'm not saying that

Dualingo is like any of those companies.

Of course, there's huge distinctions,

but I do believe that there is some

similarities in the way that the

market's treating these companies. The

market is wanting to derisk. It's

wanting to exit speculative growth

stocks and Duelingo today is treated and

bucketed in the category as a

speculative growth stock. There's lots

of people that believe this stock is no

different than Candy Crush or Clash

Royale. Simple mobile game that's a

little bit addictive and it will go

through its wave of growth and

inevitable failure when the hype wears

off. And then there's the core believers

that believe it's a new category of core

education and digital expansion across

the globe. But right now it is

speculative. the story is not told. The

fundamentals are not established enough.

The moat isn't known enough today. And

so I believe that part of the reason

that Dualingo is selling off with such

aggressiveness is simply because of the

de-risking nature of the overall market.

You can look at many similar companies

that are in that speculative growth

stock bucket and they'll have very

similar stock patterns, very similar

trading patterns over the past year. In

fact, many of them went down almost the

exact same time periods. So even though

there are reasons that you could point

to for Duelingo specifically, I believe

a large part of the sell-off is simple

trading patterns and I believe when

investors have a greater appetite for

risk, we'll see something different with

this company. Duelingo is a company that

I don't need to put in super aggressive

assumptions to make this stock have a

decent return. If I use the free cash

flow for this DCF and I say that it's

going to grow its free cash flow at 20%

per year, you may say that that's a bit

high, but remember Dualingo has grown

its free cash flow at 50% per year. So,

I'm pricing in massive deceleration in

its growth. With that deceleration

priced in and only trading at a 3% free

cash flow yield, the stock gives a

staggering 27% return. Now, next we get

to a stock that has sold off recently.

Although, I will say that this one

hasn't sold off as much as the others.

It's Door Dash. This is another stock

that I've had on my watch list for some

time. Year-to date, it's up 22%, but in

the past month, it's down 25%. Now,

investors already know how good of a

company Uber is, and Uber is very

similar to Door Dash. Both of them

operate and compete in food delivery and

grocery delivery, but Uber also has a

lot of exposure to drives. In fact, just

getting rides and passenger rides is the

biggest part of their business. So, Uber

is like a primarily ride sharing

business with a little side business as

Uber Eats. And Door Dash is simply a

delivery business. All they do is they

deliver food, they deliver groceries,

they even deliver stuff from convenience

stores. If you want something picked up

fast, you don't want to go out and get

it, you can get it on Door Dash. One of

the key distinctions is Door Dash seems

more insulated against autonomous

vehicles than Uber. Uber has to compete

with Whimo in these dynamics of Tesla.

Tesla has shown zero interest in

partnering with Uber. Tesla eventually

figures out how to offer robo taxi

without a driver, that could pose a

problem for Uber. Then you have other

companies, some of which are wanting to

partner with Uber, some aren't. But

that's a highly competitive business.

It's becoming more saturated by the day.

And this creates an interesting dynamic

because although Door Dash seems like

it's less diversified, they're also not

competing as directly with autonomous

vehicles, it is true that AVs will do

food delivery, but there is no quick

second place. Whimo doesn't have some

big food delivery business. In fact,

whenever they want to do that, they have

to partner with Door Dash. So, Door Dash

in some ways may actually be more

insulated from technological advancement

than Uber. When we look at the company,

the fundamentals show a very strong

company. Revenue growing 25%. The orders

on a trailing 12-month basis, growing to

19.5%,

almost 3 billion orders. Their free cash

flow is growing at 20% per year. The

earnings per share have gone from the

red up into the green. The ad segment of

Door Dash has grown to a billion dollar

run rate. So, they have a huge ad

business built into this one. as well.

Restaurants want to advertise and kind

of list sponsored links similar to

Amazon.com and those show up above the

other the other results around you. That

ad space is highly profitable for Door

Dash. And Door Dash is investing

aggressively into autonomous vehicles

and other robotic type of delivery

services. They want to own that

technology, not abandon it. With Door

Dash, we again don't need to make too

aggressive of assumptions. Even with a

15% free cash flow per share growth

rate, which has been much higher

historically, a 3% free cash flow yield,

we get above a 10% return. And that

gives you access to a company that has

much higher potential upside if things

end up going better than expected, which

for these type of companies that are

large platform businesses, they have

ample ways to grow. Now, another company

that's shown up on my radar recently and

one that I believe is worth

consideration is not one that's going

through some dramatic sell-off. So, this

isn't a story of buying this stock that

nobody wants to own, but it's also one

that I believe has potentially a lot

more upside. It's Marcato Libre, ticker

symbol Mi. Now, this is one that's

growing in popularity within my own

community. Lots of members talking and

discussing this company. It's a top 50

stock on Qualrum in terms of people

interacting with it and researching it.

So, a lot of investors are looking into

this stock and I wanted to figure out

why. When I looked at some of the

fundamentals of Marcato Libre, I was

pretty shocked by how good this stock

is. Let's go ahead and take a look at

some of it. It is phenomenal. We look at

the trailing 12 months of revenue. This

looks fake, but these numbers are

correct. They're real. You can double

check them if you'd like. This is the

growth of Marcato Libre. This stock is a

growth behemoth. In fact, I believe

Marcato Libre holds some type of record.

I was told about this. I had to look it

up. by delivering over 30%

year-over-year revenue growth for 27

consecutive quarters as of Q3 of 2025.

This sustained performance is unique. As

its chief financial officer noted, no

other company in the world has delivered

this for such a long period of time.

It's the only company to ever do this

30% year-over-year growth rate for 27

consecutive quarters. So, it's just

phenomenal what this company has

accomplished. and how are they growing

this revenue for so fast for so long.

When I was learning about this company,

they have some unique and really

compelling catalyst to it. First of all,

just the scale of it. Marcato Libre

operates in South America and these are

areas with developing economies. They

don't have giant companies like Amazon

that's already established themselves.

So, there's lots of white space to grow

into. Marcato Libre boasts an extensive

user base with 68 million monthly active

users and rapidly increasing engagement

across both commerce and fintech

services. What I understand is that

Marcato Pago is their fintech portion.

So this is a company that's growing in

retail and they've leveraged that into

fintech. The platform claims to have the

broadest assortment in Brazil. A recent

seller-friendly initiatives such as

lowering take rates and shipping

thresholds have successfully attracted

new merchants and expanded live listings

in low ASP segments. Now that's a line

taken straight from Amazon having the

broadest selection. Amazon always

believes that people want fast shipping,

low prices, and broad selection. That's

exactly the playbook that Marcato Libre

is following. But more importantly, I

believe is their advertising segment.

Similar to Amazon again, they're

building out this fast growing retail

business. huge selection, low prices,

and then putting an advertising business

on top of that. Advertising revenue

surged by 38% year-over-year with

significant momentum in off-platform and

video formats. As long as they can

sustain any level of this growth for the

continued future, I don't see how the

stock can go down. Now, there's a couple

things to note with the fundamentals

because when we look at the valuation,

uh sometimes the valuation is just

straightforward and plain and simple.

Other times there has to be a little bit

of a nuance. For example, on the PE

ratio, Marcato Libre looks like it's a

premium price company, a 37 Ford PE.

That's in the higher end. But then in

the free cash flow, it's at a 7.7%

yield, which makes it seem like it's

super cheap. We can see this distinction

again comparing the free cash flow per

share to the earnings per share. The

free cash flow per share looks like

this. In the trailing 12 months, it was

$187.

The earnings per share in the trailing

12 months was $40. Now, free cash flow

per share and earnings per share are

never the same. Like rarely ever is it

the exact same. Typically, the free cash

flow per share will be a little bit

higher than the earnings per share, but

to a marginal extent, maybe 30, maybe

40% more. It's typically not four or

five times as much. So, why is Marcato

Libre so much higher in their free cash

flow than their earnings per share? That

is because they take on customer

deposits. So, they get that cash in

today, but they don't really own that

money. they're just holding that cash

flow for their customers. So, when you

map out the free cash flow per share and

you adjust it for the amount of money

that they're taking in in deposits, the

free cash flow per share drops

dramatically. It's a lot closer to

around 3.2%.

Now, that's not a bad yield. It's

actually good for a company like Marcato

Libre, but it's not nearly as cheap as a

7.7% yield. In any case, this is a

company that I believe is worth looking

on. It's one that I'm going to be doing

more research on and considering for the

future. Now, moving on, we get to this

market sell-off that's a bit

wishy-washy. We're going from the red to

the green and back and forth, but

overall, investors are starting to

become a little bit more concerned that

this bull market may be coming to an

end. And here we have Tom Lee once again

reaffirming that he does not believe the

bull market is ending so soon. We should

expect from time to time profit taking

because tech has been a leader for the

last decade. Um, and it is overbought.

So I think it you know it is going to be

from time to time going to show extended

weakness but to me the underlying story

driving technology which is the

productivity miracle coming from AI is

still intact. Uh Mary Erdos even talked

about this earlier this week from JP

Morgan that there's been a payoff in

spending and Lisa Sue at AMD as well as

noting that that productivity lift is

the reason AI spending is rising. That's

actually still a tailwind for tech

stocks. Tomley continues on to argue

that actually some of the things going

on today aren't a warning sign. They're

actually healthy. It's a healthy market

signal.

>> Yeah. Well, I I think it is uh helpful

to think about where we are in the in

the cycle. I know the Fed is a little

hesitant. The reason to cut in December,

but the reason they're hesitant to cut

is the economy is actually pretty

healthy and they just don't have a clear

contour of how quickly inflation's

cooling. That's a very good backdrop for

corporate earnings. actually even

corporate earnings to actually start to

spread. So if the Fed uh gives us some

guidance and visibility about you know

path forward, I do think business

confidence picks up that means that ISM

starts to recover and it is a broadening

trade. So, uh, I would agree with the

other speaker that, you know, I I like

tech structurally because of AI

spending, but there's still plenty of

room for the small caps to work, which

have really taken it in the gut as the

Feds sounded hawkish and the banks. And

so, uh, I'd be in sort of favor of a a

broadening trade as well. But I still

like tech and as you know, the AI trade

comes under question every few months.

There's always a big pullback, but but

for the last 5 years, you investors have

had to buy that pullback. I agree with

Tom that it's healthy to have a

broadening. It shouldn't be only a

couple companies that go up in the stock

market, but I also believe that there's

still going to be the emphasis on the AI

trade. Technology companies do create

the most value for society. They are the

ones expanding the fastest, growing the

revenue the fastest, and they're the

place that I'm going to have the most of

my capital. Now, we also have Dan Ies

who goes on to Bloomberg this time, and

he's even a bit more bullish than Tom

Lee. In his case, he thinks the NASDAQ

is going to continue to race higher. T

it's my view we're going to be talking

about NASDAQ like 25,000

>> NASDA like 30,000

>> next two three years. So these are it's

my view like as we continues to play out

streets underestimating numbers by 20 to

30% next few years that's why these are

opportunities to own the AI on these

pullbacks. I

>> actually believe this could be the case.

I do think that in many cases Wall

Street is underestimating the AI trade.

Many of the companies that Dan Ies

highlights, I don't agree specifically

with those companies, but across the

board, there's so many companies that

will benefit from artificial

intelligence, especially with margin

expansion and efficiency, that is not

fully priced into the stock. Investors

are so focused on capex spend that

sometimes are missing the broader

picture. Right now, I don't see any

reason for the stock market to fall

dramatically. It is true that valuations

are a bit higher. So we could see some

multiple compression but there's so many

big catalysts going on between AI

robotics between lowering of interest

rates. There's a lot of things that will

benefit stocks in the future. Now moving

on we get to news. This time it's with

Netflix. Netflix is again one of my top

positions in my portfolio. I've owned it

for a long time period. So it's a stock

that I like to keep watch of what

they're doing. In this case they've

announced games. And Netflix has been in

the video game industry doing this for

some time. They actually just announced

recently that they're licensing Red Dead

Redemption 2 for mobile. So that's going

to be part of a Netflix membership. But

now they've also announced Party Games.

And this is something new to Netflix.

>> Netflix is the home for all your

favorite movies and TV shows. And now

games.

>> Who is this?

>> Well, that's Ken Jung. Barbie and K-pop

Demon Hunters.

>> Oh, right.

>> Let's play.

>> What? Who put this trap down? Eric, I

will destroy you. If you have a phone,

you have a controller. And when game

night is this fun, you never know who's

going to crash the party.

This is different than what Netflix has

been doing with games before. Before it

was like you just kind of you sign up

for Netflix and they'll show you the

games and you might have some mobile

games. Now they're introducing it as

social games, ones that you play on the

couch with friends in front of the TV.

and the remote that you use is your

phone. So now they're not requiring you

to have any additional software, any

additional hardware. You simply have

your phone. It's an interesting concept.

I've seen this type of party game

before. I think it's another thing that

in the very least all these type of

additions to Netflix, all they serve to

do is just lower the churn, raise the

retention slightly more. Now, finally,

it's Friday and we get to another fail

of the week. This one comes in the form

of an expost from none other than

Michael Sailor, the Bitcoin the Bitcoin

leader. Michael Sailor is considered the

most highly influential emblematic

leader of Bitcoin today. He is the one

leading the pack. He's the one trying to

get every single institutional investor.

He's the one trying to get wider

adoption of Bitcoin. He's the one that

focuses specifically on Bitcoin. He's

the one that told everybody to sell your

home, sell your possessions, take out as

many loans as you can, buy as much

Bitcoin as you can, leverage everything

to buy Bitcoin. And he practices what he

preaches with Micro Strategy. He brings

on a lot of leverage to buy Bitcoin. So,

he is the leader of Bitcoin. He is the

one leading his people into battle. He

is the one that posts all of this crazy

content showing how he believes Bitcoin

is the future of finance. Now we look at

this post again and I just want to

highlight a couple things. Uh he posted

this picture recently with the title

hodal so it has hodl above it but this

is the the picture that he posted and

this isn't me changing anything. This is

his post live on X. He hasn't taken it

down to his credit. It shows the

Titanic. I believe that's the Titanic.

maybe a very similar looking ship, but

it looks a lot like the Titanic sinking

in the Atlantic while on fire. So, it's

not bad enough that that the Titanic

just sinks or this ship is just sinking.

It's also engulfed in flames. Doesn't

look good. Then you have Michael Sailor.

You have him out front looking very

chiseled. Look at that jawline. Right.

Everybody in these AI photos, that's

just a a side a side note, everybody

likes to make the AI photos, make them

look like the best self ever. Like this

would be like the best picture you'd

ever take of yourself because AI can

make you look amazing if you want it to.

So you have Michael Sailor there looking

chiseled and strong and courageous. but

he's on a life raft by himself

unbothered while a ship presumably full

of people is sinking to the bottom of

the ocean while being engulfed in

flames. Now again, Michael Sailor is

considered the leader literally the

emblematic leader of crypto of

specifically Bitcoin and he is fleeing

the ship as the captain. He's on his own

life raft and he's not even turning his

back to look at what happened. That's a

bit odd if you ask me. Shouldn't the

captain go down with the ship? Shouldn't

he be the one holding? How is that

holding? How is it holding on to crypto

to watch everybody else sink to the

bottom in the ocean engulfed in flames

while you're fleeing on a little life

raft? Uh it looks a bit like like you

got out unscathed. You're making a lot

of money and you're leading a lot of

other people to their destruction. So, I

don't know if this is the picture that

uh Michael Sailor wanted to paint, but

of course, this is going viral on social

media. That is going to be the fail of

the week. That's all for now. Hope you

enjoyed.