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BUY
They announced a big acquisition today, Credit Karma. People love checking their credit scores. He likes INTU for changing the way business is done.
computer software / processing
BUY
A long-time favourite of his. Gold is supposed to be safety haven, and given September seasonality and general uncertain, this is one to consider, because Barrick is best in class. It's a long history of returning capital to shareholders.
precious metals
COMMENT
It's a reopening stock. Last week travel was good, this was good. Bad good bad good. In the end, TRIP is merely OK.
Consumer Products
DON'T BUY
A tech company that handle biometrics, like examining your eyes, face and fingerprints to verify your identity at the airport. They operate in 38 airports and now handle Covid health passes at offices, cinemas, casinos, restaurants and theme parks. They are first to do this--nobody else comes close to them in this business. Problem is, YOU doesn't reveal enough details in its reports, which he he doesn't like. Too many totals like 7 million cumulative enrollments (all sign-ups, up from last year's 5.25 million), and not enough break downs of services. Their net member retention came in at 80.6%, down 5% YOY, which means nearly 20% churn which is not good. However, business held up fine during Covid because it's a subscription services and jumped during the reopening. The valuation trades at 25x sales--not earnings. They aren't expected turn a profit until 2023 the earliest. Too rich for him. Pass.
Transportation
BUY
It emerged from a SPAC deal from last May. They are an Uber-like helicopter taxi business. They do a lot of business between New York City to the Hamptons and other nearby destinations. It's for rich folks. BLDE is building a network to Miami, Chicago and LA. Long-term, BLDE plans to use quieter electric vertical aircraft. Since May the stock has been stuck between $6-11. Revenues were up 277% in the recent quarter and up 73% vs. 2019. They are nearly breaking even. It's trading at only 5x sales 2022. He sees a lot of demand for them. He price targets $15 from the current $9.
Transportation
RISKY BUY
They offer a membership for private jets. Two-thirds of fligths use their own aircraft, though they plan to be asset-light in coming years. The average member spends $70K a year. UP has a big partnership with Delta, their major shareholder. The pandemic has been great for business. Membership is up 47% and total revenue is up 113% YOY. The stock has been hammered. UP is risky, but has good growth and the stock is cheap. A spec buy.
Transportation
BUY
It came public at $15 and has rallied 700% in two years. They keep delivering super results. About 18% is powered by their platform and today announced they're growing their network by 25%, targeting 250 cities in more than 100 countries. There's still room to run.
Technology