Long story short I’m finding these 6 stocks to be very attractive currently for the following reasons:
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Generating monstrous free cash flow each with their own future potential growth areas. All of these companies have proven highly innovative with very solid managements, especially AAPL, AMZN, GOOG, and MSFT, who are sort of in their own little tier.
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Still have massive user bases, pricing power and most of us use their services daily. This is really the crux of the appeal to me. I don’t get how people compare these to Pets.com or even Yahoo. From what I see, they’re practically inescapable and on avg each person reading this thread probably contributes hundreds of dollars to each of their top lines yearly, either directly or indirectly.
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For the ones that are less “gold plated” when it comes to the core of their business aka Meta and Netflix, they are currently trading at much much saner multiples than before, especially Meta, and still are solid businesses with moats and tons of FCF.
I feel Netflix still offers the best service amongst the streaming platforms and is an innovative enough company to maintain its profitability and growth. It also has streaming as its core bread and butter business unlike AMZN and arguably Disney.
Re: Meta, Metaverse may look like a weird bet but the VR/AR tech they’re investing in is absolutely industry leading and FB ads still have a massive moat in digital advertising thanks to Insta. Current valuation is a bargain when you consider their profits and growth.
Hence, I feel there’s a decent rational logic to buying these stocks over the next year or so keeping a 10 year + horizon in mind. They might get killed over the next 1-2-3 whatever years but I find them to offer solid and reliable value. Thoughts?
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