The reason Buffett never bought MSFT was that Bill Gates was on the BRK board for many years and he thought it was a conflict of interest to do so. He said it at one the annual meetings ( can’t remember which one).
thanks for the analysis. one point about visa: india is using its own new payment sysmtems (e.g. Paytm, mr Buffet also has a share in it), that are not dependent on VISA (to be best of my knowledge). so not sure how much visa wud expand in india
like these type of videos....Added a couple stocks to my watchlist. Growing my watchlist, but also being picky and only putting quality companies. I feel in a down market if we do hit a big recession that is the time to go for quality
It would be great if you showed more close-ups of Mo's numbers as well as Paul's. Maybe one of you working in dark mode to differentiate. Keep up the great videos, learning a lot 👍
visa is not going to expand that well in India. India population prefer UPI payments over visa. I encourage you paul to read about it and if US government introduced a similar system. That might be a huge negative for Visa. In the month of September alone UPI transactions in India were worth 133 billion dollars. Visa is never going to beat that in India.
I agree, however UPI does not provide credit. Main business for banks is through credit cards vs debit cards. UPI is an payment gateway, however visa/master card are middlemen for bank credit cards and customers. There is long way to change. If you pay via UPI or directly net banking it’s same. It’s an payment app. This is what I believe
ADBE is currently trading around 22x forward PE, by your valuation basically 50% less than todays price, that puts them at 11x forward PE, obviously the macro could put them at risk of not hitting this, but really...?
I agree with MO this time because there is a lot of competition in the sector Microsoft is in and we never know what is going to be in 20 years. I thought Paul was OK with that.
Speaking of high ROIC. Texas Instruments, TNX, has a 5 year average ROIC of 56%. EDIT: 41,9% ROIC on average over the last 10 years. EDIT 2: 35,4% ROIC on average over the last 15 years.
If the average S&P company has 10-12% ROIC and PE say is 14-16, would it be unreasonable for Microsoft to deserve twice the PE if they have more than twice the ROIC than the average company?
Hey Paul is it a good option to dollar cost avg these stocks as these are currently in a downtrend coz I'm an Indian investor who is just beginning to invest in these stocks
It's always a good idea to dollar cost avg during a bear market. You will never be able to predict the bottom, nor sell at the highest high, but investing periodically without trying to predict the market is your only way to go in order to find the process that works for you. But of course, only dollar cost avg companies that YOU think will be here in 10 years AND with dollar cost avg you eventually WILL buy at the price you value those companies at. Cheers and happy investing, buddy :)
Does the software run the dcf from last fiscal year data or from trailing twelve months data. For certain company it makes a lot of difference. If you expect a 10% revenue growth over the next ten years starting from the revenues in 2021 it's a thing, but if it is starting from current data about revenues it might be completely different.
I just don’t understand. You two don’t buy stocks unless they reach entirely unrealistically low levels. Microsoft will never go to $180. I know you laugh at that, but show me where they’ve been that low in the past two years, including Covid. How do you two own any stocks when you refuse to buy until a stock reaches a point that’s nearly inconceivable?
‘Mo you to do that’ ‘Mo your totally wrong’ could not make it up. I thought Mo weighted that long term picture well, next few years will be low, China and Germany having to remodel themselves, Taiwan invasion, population decline, net zero pressure as 2030 gets closer, energy crisis etc etc.
@@EverythingMoney The more I watch your videos the more I understand. It's like a fog clearing as you explain the principles of identifying real value. Can't express how grateful I am to you all. I watch every stream and rewatch many. Thank you for improving my 2022 and thanks in advance for all your will do in 2023. Great to be part of the EM Value family
I have to disagree, google drive is WAY better than Microsoft office and its free. I still agree Microsoft is a good company, but the office products are obsolete
EM TLDR tell everyone to wait for IPO prices and never buy a share a stock, obfuscate everything by saying you sold puts that never got filled but made millions being "paid to wait." *(Never show these puts though).
Thanks for the note....you can see the process...and that is all you need to see if you want to be a successfull investors. If you want to stock picks...TikTok is for you 😉- GC
thats kinda the point, you can never know exactly what the stock is worth so you do the process a few times to get a range of where you think you should buy
Your price ought to change everytime you look at the company depending on the info you have. If you put your own money in the market, you want to make sure you looked at the company several times - GC
@@markwarner6791 its an exercise on how to value you a company not an actual hard numbers break down, its supposed to come up with a different number every time but in the ball park of where they want it
I definitely agree with MSFT and V. Both long term plays and I love the dividend growth.
Great companies...worth DCA in and standing the long term - GC
The reason Buffett never bought MSFT was that Bill Gates was on the BRK board for many years and he thought it was a conflict of interest to do so. He said it at one the annual meetings ( can’t remember which one).
thanks for the analysis. one point about visa: india is using its own new payment sysmtems (e.g. Paytm, mr Buffet also has a share in it), that are not dependent on VISA (to be best of my knowledge). so not sure how much visa wud expand in india
Can you keep the returns to 12% on the low, medium and high scenario, more value add imo.
You can do that...but as your assumptions get more generous, you should input a higher margin of safety - GC
When companies like Visa buy every year regardless. Is this not the same as you guys with DCA with stocks?
like these type of videos....Added a couple stocks to my watchlist. Growing my watchlist, but also being picky and only putting quality companies. I feel in a down market if we do hit a big recession that is the time to go for quality
Great suff Rob....thanks for sharing - GC
There’s not really much point in having Mo’s numbers if they’re going to be pretty much the same IMO.
It would be great if you showed more close-ups of Mo's numbers as well as Paul's. Maybe one of you working in dark mode to differentiate. Keep up the great videos, learning a lot 👍
Noted! - GC
@@EverythingMoneyWhat does GC stand for BTW?
visa is not going to expand that well in India. India population prefer UPI payments over visa. I encourage you paul to read about it and if US government introduced a similar system. That might be a huge negative for Visa. In the month of September alone UPI transactions in India were worth 133 billion dollars. Visa is never going to beat that in India.
I agree, however UPI does not provide credit. Main business for banks is through credit cards vs debit cards. UPI is an payment gateway, however visa/master card are middlemen for bank credit cards and customers. There is long way to change.
If you pay via UPI or directly net banking it’s same. It’s an payment app.
This is what I believe
ADBE is currently trading around 22x forward PE, by your valuation basically 50% less than todays price, that puts them at 11x forward PE, obviously the macro could put them at risk of not hitting this, but really...?
paul laughing at divi of Visa is painfull he should look up the the power of compounding and see that visa is one of the best divi's out there!
I agree with MO this time because there is a lot of competition in the sector Microsoft is in and we never know what is going to be in 20 years. I thought Paul was OK with that.
Speaking of high ROIC.
Texas Instruments, TNX, has a 5 year average ROIC of 56%.
EDIT: 41,9% ROIC on average over the last 10 years.
EDIT 2: 35,4% ROIC on average over the last 15 years.
Verrrry impressive!
Was this video filmed a couple weeks ago?
We film once a week and stream 2 video everyday.
Thanks for the note - GC
“You like that Moe 🫦” 😂😂😂 real seductive Paul
If the average S&P company has 10-12% ROIC and PE say is 14-16, would it be unreasonable for Microsoft to deserve twice the PE if they have more than twice the ROIC than the average company?
Hey Paul is it a good option to dollar cost avg these stocks as these are currently in a downtrend coz I'm an Indian investor who is just beginning to invest in these stocks
It's always a good idea to dollar cost avg during a bear market. You will never be able to predict the bottom, nor sell at the highest high, but investing periodically without trying to predict the market is your only way to go in order to find the process that works for you. But of course, only dollar cost avg companies that YOU think will be here in 10 years AND with dollar cost avg you eventually WILL buy at the price you value those companies at. Cheers and happy investing, buddy :)
Join our channel and learn our process...it will help you in the long run - GC
Maybe have a look at good small cap stocks please ?
Great video but I was totally distracted by Paul’s jacket, that’s a really nice jacket and I was trying to figure out where he got it
Hi,
Can you make a video on at least 1 stock which we can buy at CMP?
We don't pick stocks for you...we show a process of investing.
Feel free to join our community if you want to learn more - GC
There good stocks because they are all Monopolies not really much competition, has Paul got Autodesk on his watchlist?
There is plenty of competition, however these have better fundamentals.
Thanks for the note - GC
happy Xmas Paul and Mo, love your video as always
CAN YOU GUYS MAKE THESE VIDEOS EVERY WEEK ❤️ LOVE AND APPRECIATE EVERYTHING YOU GUYS DO!!!! YOU MAKE THE WORLD A BETTER PLACE 🤑
Ok...thank you Alyjah - GC
This was a great way forward on video content and well presented; perhaps keep this format.
And another great video Paul and MO❤!!
Paul where did you buy this jacket? It looks very good👍
I don't think I've ever seen these guys do an analysis where the tool says it's a buy. It's always in that murky area. LoL
That is incorrect...keep watching. - GC
They have been saying BABA and META are buys for a while now. Paul has also said in the past that he likes FOX at the current price
I like these.
Does the software run the dcf from last fiscal year data or from trailing twelve months data. For certain company it makes a lot of difference. If you expect a 10% revenue growth over the next ten years starting from the revenues in 2021 it's a thing, but if it is starting from current data about revenues it might be completely different.
Thanks for the note....join our channel and get involved with the community - GC
@@EverythingMoney great response
Paul, where'd you get that cool sweater? It's like The Beatles meets Mr Rogers.
Hahahaha....classy...Sgt. Pepper's ish 🤣- GC
@@EverythingMoney I remember some jackets on an early one, too. Maybe the I Want to Hold Your Hand single.😆 Is this a Lululemon?
What do you think of PLTR now? At 6.25
TTCF now at 1,15USD. I think Paul would buy it at 0,01 USD
It is a shit Stock only worth 0.1$
I just don’t understand. You two don’t buy stocks unless they reach entirely unrealistically low levels. Microsoft will never go to $180. I know you laugh at that, but show me where they’ve been that low in the past two years, including Covid. How do you two own any stocks when you refuse to buy until a stock reaches a point that’s nearly inconceivable?
If MSFT got that low 150 wouldn't the story have changed
Possibly....you make your own assumptions. That is all part of the processs...it is not a perfect science...it is a form of art - GC
Update on micron, sofi please
Hey Paul, Mao Zedong called. He wants his sweater/coat back.
‘Mo you to do that’ ‘Mo your totally wrong’ could not make it up.
I thought Mo weighted that long term picture well, next few years will be low, China and Germany having to remodel themselves, Taiwan invasion, population decline, net zero pressure as 2030 gets closer, energy crisis etc etc.
Thanks for following us...one day you can be like Mo 😉- GC
@@EverythingMoney The more I watch your videos the more I understand. It's like a fog clearing as you explain the principles of identifying real value. Can't express how grateful I am to you all. I watch every stream and rewatch many. Thank you for improving my 2022 and thanks in advance for all your will do in 2023. Great to be part of the EM Value family
🎉no.1 like
Love it - GC
feliz navidad to the EM team
Please evaluate EW...
Why should you want to own Visa forever ?
Long term they will have huge issues being just a mediator.
American Express has actually the larger moat.
Cryptos will replace traditional Credit Cards
Mo why do you need to get instructions from Paul? Come on man you’re better than that…..
I have to disagree, google drive is WAY better than Microsoft office and its free. I still agree Microsoft is a good company, but the office products are obsolete
Stop doing 20 year forecast. Even 10 is ridiculous. When you had Jimmy on your show he said he does 3 years
You can do whatever you want Colin...the world is your oyster...as for EM, will carry on as usual 😉
Thanks for the note - GC
Agree - 10 years is good, but 20 years is a bit silly,.
Yeah jimmy buys random companies to sell in a year 😂 he is not the benchmark you should be looking to
Mo is so lost...
a stock to own forrever is a non stop compounder like JNJ
EM TLDR tell everyone to wait for IPO prices and never buy a share a stock, obfuscate everything by saying you sold puts that never got filled but made millions being "paid to wait." *(Never show these puts though).
Thanks for the note....you can see the process...and that is all you need to see if you want to be a successfull investors.
If you want to stock picks...TikTok is for you 😉- GC
No baba? huh
BABA love...we should do an update soon 😉 - GC
His price target's will change even though no fundamentals or stats change .....
thats kinda the point, you can never know exactly what the stock is worth so you do the process a few times to get a range of where you think you should buy
Your price ought to change everytime you look at the company depending on the info you have. If you put your own money in the market, you want to make sure you looked at the company several times - GC
@@seanbacher4864 doesn't change every 15 days
@@markwarner6791 its an exercise on how to value you a company not an actual hard numbers break down, its supposed to come up with a different number every time but in the ball park of where they want it
Clearly MO does not have any idea.. no clue et all!!
I kindly disagree - GC
Please remove the intro music immediately. Happy holidays!
guy wants MSFT at 74 to 94 hahaha
He wants it at 80 to sell it 100. And waits ten years. For 25% up. So less than the average investor. 😅
You must be the person that said GOOG and MSFT couldn't drop 40% approx.
Ok...best of luck - GCC
@@EverythingMoney he was also saying TSLA was going to $4000 when it was $1200 presplit. I saw his comments.
Man, I love your videos, thank you! I admire your reasoning. I hope in the future you can analyze WM (waste Management Inc), they are on my list.