I’m Buying $10,000 Of This Company Next
Summary
Joseph provides a comprehensive update on his $1.5 million portfolio, which currently holds 14 positions and has achieved a 14.8% time-weighted return. Joseph argues that while many of his holdings are high-quality companies, they are currently trading at valuations that do not offer the aggressive growth he seeks. Consequently, Joseph has established specific buy targets for every stock he owns, intending to invest an additional $10,000 into the first company that hits its designated price. Joseph emphasizes that this strategy is designed to ensure a high margin of safety and a projected compounded annual growth rate (CAGR) of 15% to 20% for new capital.
In addition to his portfolio strategy, Joseph addresses recent negative media coverage surrounding Uber. Joseph states that viral videos from Business Insider and More Perfect Union accusing Uber of 'personalized pricing' lack journalistic integrity because they ignore Uber's detailed technical rebuttals. Joseph argues that these reports suffer from omission bias and fail to present a balanced view of how Uber's dynamic pricing algorithm actually functions. Throughout the video, Joseph maintains a focus on long-term fundamental analysis and disciplined valuation.
Mentioned Stocks
Reasoning: Joseph argues that Amazon has significant operating leverage. Joseph set a buy price of $200, which he calculates would result in a 19.3% CAGR over the next five years.
Reasoning: Joseph is bullish on Meta despite its recent decline, stating it is stronger than investors believe. Joseph's buy target is $450, where he expects a 17.2% compounded annual return.
Reasoning: Joseph loves the company but wants a better valuation. Joseph's buy target is $1,200, which he believes would allow the stock to double in value over five years with a 15.2% return.
Reasoning: Joseph states that Microsoft is a core holding but requires a drop to $400 for new capital. Joseph argues this price provides a 16.8% CAGR and a margin of safety.
Reasoning: Joseph notes that Texas Roadhouse is his best performing position but has a buy target of $140. Joseph states this would yield a 13.4% return based on a 23x multiple.
Reasoning: Joseph argues that Google is not cheap at its current price of $347. Joseph has set a buy target of $250, assuming a 12% EPS growth rate and a 22x multiple to achieve a 14.1% CAGR.
Reasoning: Joseph rejects AI-related concerns regarding Duolingo and has set a buy target of $90. Joseph calculates a 14.2% CAGR at this entry point based on 18.5% EPS growth.
Reasoning: Joseph states that Mastercard is a very stable company but wants to wait for a dip to $450. Joseph believes this target would provide an 18.5% compounded annual return based on conservative growth estimates.
Reasoning: Joseph targets $60 for Netflix, noting its volatility. Joseph states that buying at this price would produce a nearly 20% CAGR, making it one of the most attractive potential entries.
Reasoning: Joseph targets $375 for Moody's. Joseph argues that while the 12.1% expected return is lower than other targets, it remains a high-quality market-beating option.
Reasoning: Joseph argues that Costco is overvalued at its current 50x multiple. Joseph has set a deep buy target of $600 (a 38% drop) to achieve a 10.6% projected return.
Reasoning: Joseph sets a buy target of $350 for S&P Global. Joseph argues that this entry point would offer a 16% compounded return based on a 25x multiple and 10.7% EPS growth.
Reasoning: Joseph is highly optimistic about Uber's future and defends the company against media criticism. Joseph states that a buy price of $60 would yield an exceptional 20.9% CAGR.
Reasoning: Joseph argues that DoorDash requires a massive 47% decline to a price of $120 to be attractive. Joseph states this target would ensure a 15% compounded annual return.