Tom Nash
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Finding INCREDIBLE Stocks To Buy In This Market is Actually Pretty EASY...
🕑 Added 2024-12-16 12:43:07 +0000 UTCThe market is crazy, right? Prices keep climbing, people are screaming about how “everything’s expensive,” and there are “no deals left.” Here’s the reality: there are always deals, if you know where to look. Great companies on sale don’t stop existing just because the market feels overvalued.
Let me clear this up: buying stocks isn’t about guessing bottoms or jumping on hype trains. The key? Buying quality businesses below their intrinsic value. What’s intrinsic value? It’s what the business is truly worth, based on its future cash flows discounted to today’s dollars. Yeah, it sounds nerdy, but without this, you’re flying blind.
Here’s the thing: no one can call the bottom. But if you did a basic intrinsic value calculation back in 2022, when PLTR was trading at $6 per share and being hated on, you would have gotten a DCF valuation of $30.
So even if you started buying at $15 and averaged in via DCA the whole time, you’d have crushed it as the stock skyrocketed to $80, without timing the market.
The takeaway? Don’t aim for perfection. Aim for undervalued and high quality.
Great companies only go on sale during bad news. That’s the rule. But here’s the kicker: when the news is bad, people freeze. Headlines like “Tesla is dying” or “Elon Musk is a Russian agent” scare people into thinking the company’s doomed.
Spoiler: stock prices drive narratives, not the other way around. When prices drop, people find reasons to justify it. In 2022 Palantir wasn’t dying, it was evolving. But most people couldn’t see it because fear blinded them. Now? Everyone suddenly Palantir again. Funny how that works when the price is up 350% in a year ha?
Forget the headlines. Forget the noise. Focus on facts. The only thing that matters in investing is the numbers. Look at revenue growth, free cash flow, and return on capital. Is the company making money? Does it have a competitive edge? If yes, then ignore the fear mongering.
But Tom, where are the deals right now in this boiling hot market?
Let’s talk current opportunities.
Remember my post here on Patreon from July 19, 2024 about Crowdstrike? The stock dropped from $390 to $300 because of short term panic, and this is what I wrote back in July when the stock price was $300 per share:
"A week ago $CRWD was trading at $390 per share. It did 300% since my first video on it 3 years ago, in which I said it is one of my favorite stocks to own in every portfolio. It is now trading at $300 and might drop even further on some bad news, it pushed an update the crashed half of the entire world. Bad news indeed, but is the company worth 30% less today vs. a week ago?
I don't think so.
It has $1 billion free cash flow (up 200% in 3 years). It has $4B in cash and less then $1B in debt. It has improved revenue and net income by 200% over the past 3 years and is finally profitable for the first time. It dominates one of the biggest total addressable markets in the world right now and despite the recent screw up, it will remain a key player in a fast growing category.
If you liked this stock a week ago, it is now at 30% discount. Be smart and logical, while the rest of the market is being emotional. My price target for Crowdstrike ($CRWD) by 2030 is $670 bear case and $1,300 bull case."
The stock continued to dip all the way to $217 per share, and while every expert on X was saying CRWD was done, we kept on dollar cost averaging into it on double speed during the drop.
It is now at $370 and this community has made a very nice return on this investment in under 5 months...
How did I know?
A company with THESE fundamentals gets punished because of a glitch in the update? That’s not a red flag, that’s a buying opportunity.
I also spoke about other stocks, like ASML , which has done NOTHING this year and still is the monopoly of the chip manufacturing machines. There are others as well, as my ROIC Academy members can attest.
The truth is, most people lose in the market because they can’t handle bad news. They panic when great companies sell at discounts. Don’t be like them. Block out the noise, focus on the numbers, and buy quality stocks when they’re cheap.
Investing isn’t about hype. It’s about discipline, patience, and trusting the math. Stick to that, and you’ll profit while others panic.
And if this resonated, and if you actually lasted this long in the article, here is a small gift from me: for the next 24 hours, use the code TOM35 to signup to any the annual ROIC Academy plans and become a part of our 8,000 strong group of smart, disciplined and skilled long term investors who stay ahead of the crowds...
Comments
Generico Fakero
just common sense
Alexander Kalendarev
Thank You Tom! This is amazing advice from you! Let’s go! 🔥
Generico Fakero
Last week is too early to say anything. It’s a long term game.
Marco Nierop
I bought more ASML last week! and Google! both doing great!
Generico Fakero
Happy to have you here
Michael Lecavalier
Great info cheers :) mike the newbie lol
