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Warrenbuffett

Compounders: 5 Simple Rules to Build Long-Term WealthImagine this: …it’s 18 years ago. The very first iPhone has just hit the market. Meanwhile, Nokia’s legendary “Snake” game, once the height of mobile fun, was starting to feel… dated. ⚡ And you can sense it: something big is coming. You don’t know exactly what, but something is about to shake the system. So, you invest €1,000 into Apple stock. No fancy moves, no day trading. You don’t check the price every morning, you don’t sell at the first dip. You just hold and go about your life, using their products as always. ---------------------------------- Fast forward to today: the iPhone has evolved quite a bit, and so has your bank account, “a bit”. That modest €1,000 investment would now be worth roughly €70,000. For context, if you had simply invested in the S&P 500 instead, your total profit would be €3,300. This is what happens when you hold a real compounder. Apple: +6,942%. S&P 500: +334%. Time doesn’t just pass, it compounds! Big difference, right? And the craziest part? You didn’t need a crystal ball. Looking back, everything makes perfect sense. The real question is: Can you spot the next one before it becomes obvious? --------------------------------------- 📈 Compounders: The slow, steady, and surprisingly effective path to wealth A compounder is a company that steadily grows your investment over time, powered by a strong business model and consistent value creation. These stocks don’t need to chase headlines. They don’t create drama, and they certainly don’t swing wildly every week on the stock exchange. They simply keep building value. Strong financials, good products, and a clear direction—like a snowball quietly rolling downhill, gathering momentum with every meter. As Warren Buffett once said: That’s exactly what compounders allow you to do. While you rest, they keep working. It’s definitely not a get-rich-quick strategy. It’s more like a slow, somewhat boring, and failry a “safer” route. But in return, it might just give you something far more valuable than fast gains: financial peace of mind, and perhaps even financial freedom. 🔍 So how do you spot one? Now, let’s be clear: compounders are not bulletproof. Market crashes, disruptive competitors, and economic shocks can still shake them.But when the foundation is solid, these companies tend to stand strong, even in a storm. Here are five key traits that define a true compounder. From consistent growth to an unshakable competitive edge. --------------------------------------- 📈 1. Steady Growth What you want to see is a steady upward trend in both revenue and earnings per share (EPS). Not a rollercoaster. A clean, reliable trend. A strong compounder doesn’t explode one year and crash the next. It grows year after year. It grows calmly, consistently, and predictably… Microsoft EPS Q Source: TradingView That’s usually a sign of solid management and sticky customer demand. Let’s look at a key metric here: EPS CAGR (5-year) – the compound annual growth rate of earnings per share. 5% = solid → reliable and steady progress 10% = good → suggests a strong business model and real market demand 15%+ = great → this is where the snowball effect really kicks in, fast and orderly 📌 The higher the CAGR, the faster your investment compounds. But it’s not just about speed, it’s about repeatability. If that growth is not random but repeatable and sustainable, you don’t just have a growth stock → you’ve got a true compounder. ⚠️ Always consider the sector: A 15% CAGR might be normal in tech, but in a consumer brand or industrial company, that’s an exceptionally strong result. --------------------------------------- 💡 2. Efficient Capital Allocation A good compounder doesn’t just grow a lot—it grows wisely. That means every dollar the company reinvests into its business generates more than a dollar in return. Think of it like a business where every $1 invested turns into $1.20 or more in profit. The more efficiently it can put capital to work, the faster it compounds over time. 🎯 ROIC (Return on Invested Capital) tells you how effectively a company is using all its invested capital—including both equity and debt. ROIC shows how much profit the company earns after taxes and costs for every dollar it has invested, regardless of where that money came from.It’s broader than ROE, which only considers shareholder equity. >10% = solid >15% = good >20% = great 🎯 ROE (Return on Equity) measures how well the company generates returns specifically on shareholder money: >15% = solid >20% = good >25% = great 📌 In most cases, ROIC is more important than ROE , since it doesn’t get distorted by how much debt the company is using. But when both numbers are high, you’ve got something that creates a lot of value - a true compounding engine. Just imagine you give a chef $10 to make a dish. If they can turn that into a $15 meal, their ROIC is 50%. That’s the kind of capital efficiency we want to see in companies too, where every dollar invested pulls serious weight. --------------------------------------- 💰 3. High Profit Margins Selling stuff isn’t hard. Any company can sell something, even at a loss. A true compounder doesn’t just generate revenue, it earns real profit from it. That’s where operating margins come into play. They show how much money is actually left over after covering everything: salaries, logistics, rent, office coffee, stolen toilet paper, and all the other lovely overhead costs. ⚙️ Operating Margin – the percentage of revenue that turns into operating profit: 10% = solid → stable profitability, usually driven by volume or efficiency 20%+ = great → often signals strong pricing power, lean cost structure, or a dominant brand 📌 Why does this matter? Because the more profit a company retains after expenses, the more it can: - reinvest in new products or markets - pay dividends to shareholders - or buy back shares (which automatically increases your ownership per share) All of these create real, recurring value for you as an investor—not just once, but year after year. ⚠️ One important note: What qualifies as a “high” margin depends on the industry. A software company might easily run at 30% margins, while a retail chain or car manufacturer might be thrilled with 5%. So don’t judge the number in isolation. Always consider the type of business—in some sectors, profits come from volume, not margin. --------------------------------------- 🧱 4. Debt Matters Even if a company is growing fast and making money, it still doesn’t qualify as a true compounder if it’s drowning in debt. A real compounder moves forward mostly(!) under its own power, not thanks to borrowed money. Financially strong companies have a healthy buffer, so they’re not in trouble the moment the economy slows down or credit tightens. 📉 Debt-to-Equity (D/E) – how much of the company is financed with debt versus equity: Under 1 = solid → reasonable leverage Under 0.5 = great → very strong and conservative balance sheet 📈 Interest Coverage Ratio – how easily the company can pay its interest expenses: 5× = solid 10×+ = great → very safe, meaning debt costs won’t threaten profitability 📌 The lower the debt and the higher the buffer, the lower the risk.A company with a strong balance sheet doesn’t need to refinance debt in a panic or rely on costly tricks to survive downturns. Think of it like the foundation of a house. Without it, even the most beautiful structure can collapse. ⚠️ Some industries (like real estate or utilities) naturally operate with higher debt levels. But even in those cases, you want to see a business that controls its debt, rather than living “one day at a time.” --------------------------------------- 🏰 5. Durable Competitive Advantage (a.k.a. Moat) Back in the Middle Ages, a moat was a water-filled trench that protected a castle.Today, in investing, a “moat” is what protects great businesses from competition. It’s a business that others can’t easily reach or replicate. 💪 When a company has a wide moat, it can: - Defend its market share even when others try to attack - Command higher prices—because customers stay loyal - And if a competitor starts gaining ground, it often has enough capital to... just buy them out Here are some classic moat types with examples: - Brand Loyalty – People pay more for something familiarExample: Coca-Cola. There are hundreds of alternatives, but the taste, logo, and brand feel... irreplaceable. - Network Effects – Every new user strengthens the product or platformExample: Visa, Mastercard. The more they’re used, the harder it is for any new player to break in. - Technological Edge – The company is simply too far aheadExample: Nvidia, ASML. You can throw money at the problem, but patents and experience aren’t things you copy overnight. - Ecosystem Lock-in / Habitual Consumption – Customers get “stuck,” and switching feels like a hassleExample: Apple. Once you have the iPhone, AirPods, and MacBook… switching to Android just sounds like a lot of work.Or take Procter & Gamble. If your baby’s used to Pampers, you’re not going back to cloth diapers anytime soon. (To be fair—Huggies might actually be better 😄 That’s Kimberly-Clark, ticker KMB.) 📌 A strong moat allows a company to maintain both profitability and growth for the next 10+ years—because no one else can get close enough to steal it.It’s not fighting tooth and nail for every dollar. It rules its niche quietly and efficiently. --------------------------------------- Now that we’ve covered what makes a business a compounder, the next question naturally follows: “Okay, but if it’s such a great company... is it still a great price?” That’s where valuation comes in.P/E ratio: how to know whether you’re paying a fair price or just a premium for the brand. --------------------------------------- 👉 In my April article, I clearly broke down P/E along with eight other key fundamental metrics: straightforward, real-world explanations designed to help you actually use them… --------------------------------------- 💵 P/E (Price-to-Earnings Ratio) The P/E ratio tells you how much you’re paying for every $1 of a company’s earnings. Think of it like this: are you buying solid value for $20… or paying $70 just because the brand sounds familiar? Now, for compounders, a high P/E (say, 25–40) can actually be fine, IF(!) the company is growing fast and has a strong moat. Here’s a quick cheat sheet: * Under 15 → generally cheap (might be a bargain… or a trap) * 15–25 → fair price for a traditional business * 25–35 → reasonable if the company is growing consistently * 35–45 → starting to look expensive, must be justified by fundamentals * 45+ → expensive, and the market expects big things. One slip-up and the stock could drop fast. ⚠️ A P/E over 40–45 means the market expects strong, sustainable growth.If that growth doesn’t show up, the stock won’t just stumble—it could crash. But here’s the key: P/E doesn’t work well in isolation. Context is everything. Before judging the number, always ask: - What sector is this company in? - What’s the sector average? - How fast is the company growing? - Are the profits stable and sustainable? --------------------------------------- Real-World Examples: ✅ Visa – P/E around 37The average for financial stocks? Usually 10–15.But Visa grows quickly, is highly profitable, and has an ironclad moat.Is it expensive? Yes. But in this case, justifiably so. ✅ Microsoft – P/E around 35Tech-sector average tends to sit between 25–35.Microsoft has consistent growth, high margins, and clear market leadership.A P/E of 35 is absolutely reasonable—as long as the growth story continues. 🤔 But what if Microsoft trades at P/E 50+? Then you have to ask:Is earnings growth truly supporting that price?Or are you just paying for the brand... and a bit of FOMO? ----------------- Leave a comment: What’s the highest P/E you’ve ever paid, and was it worth it? ----------------- 📘 Compounder Cheat Sheet Don’t just stare at absolute numbers. Always compare within the sector, consider the company’s growth pace and business model. Ask yourself: “How much am I paying today for what this company will earn tomorrow?” --------------------------------------- 🧩 Summary Compounders are like good wine, they get better with time. Find companies that grow steadily, generate profits, keep debt low, and dominate their niche. Hold tight. Stay patient. Let the snowball roll. Thanks for reading! If this article was helpful or resonated with you, feel free to like, comment, or share it with a friend! It motivates me more than you’d think. 🙏 And if you’re new here: 🍷 Like good wine, this channel only gets better with time. Follow and let the ideas compound slowly, steadily, and deliciously. Cheers Vaido
NASDAQ:AAPLEducation
by VaidoVeek
7
27% Cheaper Than Buffett’s Buy – And Sitting on a Key ZoneHi, One of the most recent and notable additions to Berkshire Hathaway’s portfolio is Constellation Brands NYSE:STZ — and if that’s not a fundamental vote of confidence, I don’t know what is. And hey, while Midsummer Day is behind us, warm and sunny summer evenings still lie ahead. So why not make your next cold Corona or Modelo a bit more... eemmm... financially meaningful? 😄 Because let’s be honest, I’m not just sipping beer, I’m making strategic support buys to help lift the chart. 🍻 That’s right, not a simple toast but a tactical entry. Cheers to price action! ;) Okay, jokes aside, but technically, this stock is now sitting at a real make-or-break level that deserves attention. Technical View: Trendline — We’re seeing the third touch, which tends to be the strongest. I usually ignore wicks, but this time the confluence gives it weight. Monthly EMA200 — Last touched during the 2008/2009 crash. A level packed with long-term liquidity and psychological weight. Fibonacci 38% retracement Horizontal support — Marked by arrows on the chart. Price has reversed here multiple times. It’s not a coincidence and hopefully this time isn’t the exception. $150 mid-round level — US markets love round numbers, and this one sits right inside the box. Often a magnet for liquidity and reaction. -------------------------------------------------------- Now add this: You’re not just buying a chart level. You’re buying a premium cash generator: - FCF Yield ~6.8% - Operating margin ~34% - Trading ~27% cheaper than Berkshire’s initial average (their cost basis is around $220/share) - Strong brands, stable cash flows, and pricing power Yes, last earnings had a one-off impairment but the underlying business remains rock solid. If you’ve ever wanted to justify those "cold snacks" in your hand as “portfolio research”... well, here’s your excuse. Do your homework, this might be your stock today. Cheers🍻 Vaido
NYSE:STZLong
by VaidoVeek
28
9 Simple Ratios Every Great Investor Uses - Buffett Included!Forget the hype, headlines, or hope. These 9 financial ratios are what real investors actually use to pick winners, but... P/E? ROE? EPS? 🧐 - What are they, or better yet, WHO are they? 🤯 - How high is “too high”? - Is a low number always good, or just a trap? - Do all industries follow the same rules… or is that another myth? Buffett. Greenblatt. Graham. Lynch. They didn’t rely on vibes — they trusted fundamentals After years of relying on charts, I built a 9-point fundamentals checklist to filter stocks faster and smarter. Now I’m sharing it with real-life examples and key insights to help you spot what really makes a stock worth owning: Easy enough for new investors diving into fundamentals Sharp enough to level up seasoned pros Real enough to avoid hype …but the truth is: these numbers did flag companies like Amazon, Apple, and Nvidia before the market gave them credit. ----------------------------------------------------- ✅ Quick Reference Table Scan the table, then dive into the stories… First Pro Tip: Bookmark this. You’ll check these before every stock pick. ----------------------------------------------------- 📊 1. P/E Ratio | Price-to-Earnings What it tells you: How much you pay for each dollar of a company’s profit. Short Example: A P/E of 20 means you pay $20 for $1 of profit. High P/E? Expect big growth or risk overpaying. Strong: Between 15 and 25 Caution: Above 30 (unless fast growth) Industry Averages: - Tech: 25–40 - Utilities: 10–15 - Consumer Staples: 15–20 - Energy: 10–20 - Healthcare: 20–30 Story: In early 2023, NVIDIA’s P/E ratio hovered around 25, near the low end for tech stocks. Investors who saw this as a steal amid the AI boom were rewarded—NVIDIA’s stock made 4x by the end of 2024 as AI chip demand soared. Contrast that with Tesla in Q1 2025, when its P/E spiked above 40 with slowing sales and Tesla’s stock dropped 50% in weeks. Pro tip: A low P/E is not always good. If growth is weak or falling, it's often a trap. Example: A utility company with a P/E of 30 is probably overpriced. A tech stock with 35 might still be fair — if growth justifies it. ----------------------------------------------------- 🧠 2. PEG Ratio | Price-to-Earnings-to-Growth What it tells you: If a high P/E is worth it based on future profit growth. Whether the earnings growth justifies the price. Short Example: A PEG below 1 means you’re getting growth at a fair price. High PEG? You’re overpaying. Strong: Below 1 Caution: Above 2 Industry Averages: - Software: below 1.5 is solid - Consumer Goods: Below 2 is more realistic - Tech: Below 1 - Consumer Staples: Below 1.5 - Healthcare: Below 1.2 - Financials: Below 1.5 - Energy: Below 1.3 Story: In mid-2022, Salesforce’s PEG was 0.8 (P/E 35, forward EPS growth 45%) as cloud demand surged. Investors who spotted this steal saw the stock climb 130% by the end of 2024. Meanwhile, Peloton in 2023 had a P/E of 20 but near-zero growth (PEG above 3). Its stock cratered -50% as fitness trends faded. Story: NVIDIA’s PEG hit 0.9 in Q3 2023 (P/E 30, growth 35%) during AI hype, a steal for tech (average PEG below 1.2). PEG filters hype. A stock can look expensive until you factor in growth. ----------------------------------------------------- 🧱 3. P/B Ratio | Price-to-Book What it tells you: How much you pay compared to what the company owns (like buildings or cash). Short Example: A P/B below 1.5 means you’re paying close to the company’s asset value. High P/B? Expect strong profits or risk. Strong: Below 1.5 Caution: Below 1 + poor earnings = value trap Industry Averages: - Banks: Below 1.5 - Insurance: Below 1.3 - REITs: Use NAV (aim below 1.2) - Tech: Often ignored - Energy: Below 2 Story: In 2024, JPMorgan Chase’s P/B was 1.4, solid for banks (average below 1.5). Investors who bought enjoyed 100% gains. n 2023, Bed Bath & Beyond’s P/B fell below 1 with collapsing earnings. It looked cheap but filed for bankruptcy that year. Tip: Only use this in asset-heavy sectors like banking or real estate. ----------------------------------------------------- ⚙️ 4. ROE | Return on Equity What it tells you: How well a company turns investor money into profits. Short Example: An ROE above 15% means the company makes good money from your investment. Low ROE? Weak returns. Strong: Above 15% Caution: Below 10% unless in slow-growth industries Industry Averages: - Tech: 20–30% - Consumer Staples: 15–25% - Utilities: 8–12% - Financials: 10–15% - Healthcare: 15–20% Story: Coca-Cola (KO) has kept ROE above 35% for years, a sign of brand power and pricing strength. Eli Lilly’s (LLY) ROE stayed above 25% from 2022–2024, a healthcare leader (average 15–20%). Its weight-loss drug Mounjaro drove consistent profits, lifting the stock 150%+ in two years. Checking ROE trends helped investors spot this winner. Tip: If ROE is high but D/E is also high, be careful, it might just be leverage. ----------------------------------------------------- 💰 5. Net Margin | Profitability What it tells you: How much profit a company keeps from its sales or what % of revenue ends up as pure profit. Short Example: A 10% margin means $10 profit per $100 in sales. Low margin? Tough business or high costs. Strong: Above 10-15%+ Caution: Below 5% Industry Averages: - Software: 20–30% - Retail: 2–5% - Manufacturing: 8–12% - Consumer Staples: 10–15% - Energy: 5–10% - Healthcare: 8–15% Story: Walmart’s (WMT) 2% net margin looks tiny — but it’s expected in retail. A software firm with 5%? That’s a warning — high costs or weak pricing. In 2023, Zoom’s (ZM) net margin fell to 5% (down from 25% in 2021), well below software’s 20–30% average. Pricing pressure and competition crushed its stock quite a lot. Meanwhile, Apple’s 25% margin in 2024 (tech average 20%) remained a cash cow. Tip: Margins show whether the company owns its pricing or competes on price. ----------------------------------------------------- 💣 6. D/E Ratio | Debt-to-Equity What it tells you: How much debt a company uses compared to investor money. Short Example: A D/E below 1 means more investor cash than debt. High D/E? Risky if profits dip. Strong: Below 1 Caution: Above 2 (except REITs or utilities) Industry Averages: - Tech: 0–0.5 - Industrials: 0.5–1.5 - REITs: 1.5–2.5 (manageable due to structure) - Utilities: 1–2 - Energy: 0.5–1.5 Story: In 2024, Tesla’s D/E dropped below 0.3 (tech average 0–0.5) as it paid down debt, signaling strength despite sales dips - a massive rally afterward. Tip: Rising debt + falling profits = a storm coming. Always check both. ----------------------------------------------------- 💵 7. Free Cash Flow (FCF) What it tells you: Cash left after paying for operations and growth investments. Short Example: Apple’s $100 billion cash pile in 2024 funded stock buybacks, boosting shares. Low cash? Trouble looms. Strong: Positive and growing Caution: Negative for multiple years Sector notes: - Tech: Lots of cash (think billions) - Industrials: Up and down, check trends - REITs: Look at FFO (cash from properties), aim high - Energy: Has cash, but swings with oil prices - Healthcare: Steady cash, not too high Story: Netflix had negative FCF while scaling content. Once costs stabilized, FCF turned positive and stock re-rated sharply. Pro tip: Profits don’t mean much without real cash. FCF is often more honest. Cash is king: Companies need cash to pay bills, reduce debt, or fund growth. If FCF is falling, they might be burning through cash reserves or borrowing, which isn’t sustainable. Potential issues : This mismatch could signal problems like poor cash collection, heavy spending, or even accounting tricks to inflate profits. ----------------------------------------------------- 🚀 8. EPS Growth | Earnings Power What it tells you: How fast a company’s profits per share are growing. Short Example: EPS up 10% yearly means more profit per share, lifting stock prices. Flat EPS? No growth, no gains. Strong: Above 10% Caution: Below 5%, flat/negative for 3+ years Industry Averages: - Tech: 15–30% - Staples: 5–10% - REITs: 3–6% (via FFO growth) - Healthcare: 10–15% - Financials: 5–10% - Energy: 5–15% (cyclical) Story: In Q1 2024, NVIDIA’s forward EPS growth of 30% (tech average 20%+) fueled a rally as AI chips dominated. Checking forward estimates helped investors avoid traps like Intel, with flat EPS and a drop. Pro tip: A stock with flat EPS and no dividend? There’s no reason to own it. ----------------------------------------------------- 💵 9. Dividend Yield | Passive Income What it tells you: How much cash you get yearly from dividends per dollar invested. Short Example: A 3% yield means $3 per $100 invested. High yield? Check if it’s sustainable. Good: ~3–4% Red Flag: Above 6% with a payout ratio above 80-90% Industry Averages: - Utilities: 3–5% - REITs: 3–6% - Consumer Staples: 2–4% - Tech: 0–2% - Energy: 2–5% ----------------------------------------------------- 💡 Final Thought: How to Use All of This Top investors don’t use just one metric. They look at the whole picture: Good growth? Check PEG. Good profits? Confirm with ROE and margin. Safe balance sheet? Look at D/E and cash flow. Fair valuation? P/E + FCF Yield + P/B. Real power = Combining metrics. A company with P/E 15, PEG 0.8, ROE 20%, low debt, and positive FCF? That’s your winner. A stock with P/E 8, but no growth, high debt, and negative cash flow? That’s a trap. ----------------------------------------------------- Real-World Combos 🎯Winners: Tech Gem: P/E 20, PEG 0.8, ROE 25%, D/E 0.4, growing FCF, EPS 20%+ (e.g., NVIDIA 2023: AI-driven growth, stock soared). Energy Steal: P/E 15, P/B 1.5, FCF positive, Dividend Yield 3.5% (e.g., Chevron 2023: Cash flow king). ⚠️Traps: Value Trap: P/E 8, flat EPS, D/E 2.5, negative FCF (e.g., Peloton 2023). Overhyped Tech: P/E 50, PEG 3, Net Margin 5%, D/E 1.5 (e.g., Rivian 2024). ----------------------------------------------------- 🚀 Share your own combos! What do you personally look for when picking a stock? If you spotted something off in the numbers, or have a valuable insight to add — please, drop it in the comments.👇 💡 Let’s turn this into a thread that’s not just good but superb and genuinely helpful for everyone. ----------------------------------------------------- Final Thought “Buy great companies at fair prices, not fair companies at great prices.” – Warren Buffett This guide gives you the map. Charts, tell you when. These numbers tell you what, and why. And this post? It’s just the beginning! These 9 metrics are part one of a bigger series I’m building — where we’ll go even deeper, with more advanced ratios, smarter combos, and real case studies. If this guide helped you see financial numbers a little clearer, there’s a good chance it’ll help your investor friend too, especially if they’re just starting their journey...🤝Share it with them! I built this as much for myself as for anyone else who wants to get better.👊 If you made it this far — thank you! 🙏 ...and super thankful if you hit "The Boost" on this post 🚀 Cheers, Vaido
NASDAQ:TSLAEducation
by VaidoVeek
2
Bank of America (BAC) Shares Drop Over 6%Bank of America (BAC) Shares Drop Over 6% On 18 February, we reported that Warren Buffett was selling bank stocks, including Bank of America (BAC) and Citigroup (C). This proved to be a sharp decision, as yesterday: → Bank of America (BAC) shares fell by 6.34% → Citigroup (C) shares fell by 6.25% As a result, BAC stock hit its lowest level of 2025. Why Did Bank of America (BAC) and Citigroup (C) Shares Decline? Investor bearish sentiment may have been driven by concerns over: → New US tariffs on imports from Mexico and Canada → The risk of renewed inflation growth amid an economic slowdown This led to a broader decline in financial sector stocks yesterday. Technical Analysis of Bank of America (BAC) The chart shows that in 2024, the price was in an upward trend (illustrated by the blue channel), but the $48 level proved too strong for bulls to break. Key observations: → In mid-February, a bearish breakout occurred below the channel, and in early March, the same level acted as resistance → The $44 level has influenced the trend in the past and could now act as resistance again → A drop below the late-December low may indicate a Change of Character (ChoCh) pattern, signalling a potential market shift BAC Stock Price Forecasts Analysts remain optimistic. According to TipRanks: → 17 out of 19 analysts recommend buying BAC stock → The average 12-month price target for BAC is $53 Trade on TradingView with FXOpen. Consider opening an account and access over 700 markets with tight spreads from 0.0 pips and low commissions from $1.50 per lot. This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
NYSE:BAC
by FXOpen
1
PLUG- book value is 2x higher- Asset PlayPLUG has a stated tangible book value 2x from current price. Fundamentals: Its still a cashflow negative, money loser. Analysts expect the loss to be only -0.60 this year, down from -1.22 last year. Analysts dont expect positive earnings until 2029. Technicals: Rsi is low, and possible bullish divergence, because momentum trend my be shifting neutral from its bearish trend. Sentiment: sentiment is low, meme stock players dont seem to care about PLUG like they used to, and TRUMP has definitely switched the energy narrative to pro oil vs alternatives. TRADE- long low rsi, and target tangible book value. 100% exit if target or partial met. I wont be in this one for a decade like Celsius or other growth stocks, because this is an asset play. I tend to avoid money losing businesses, unless they are deeply below tangible book value. Ive done this trade before on PLUG, it worked, so Im happy to try it again. Im long options in the money, target tangible book value around 3.00 price.
NASDAQ:PLUGLong
by ValuePig
1
At least a 10% market gain for Berkshire in 2025.Berkshire is one of the smart companies that has been actively selling overvalued stocks and investing in more promising sectors lately. Political changes could also positively impact the company, as potential tariffs from Trump would benefit Buffett's furniture industry. It’s no secret that the U.S. imports massive amounts of furniture. Another part of the company’s operations is insurance, which accounts for about 26% of the company’s profit. It hasn’t entered any risky sectors related to the famous cases in Los Angeles. The company expects around $92 billion in revenue for Q4, and if this is achieved, Berkshire will close another record-breaking year. Thus, at least a 10% market gain for Berkshire in 2025.
NYSE:BRK.BLong
by gorgevorgian
Is This the Final Chapter in Buffett's Tech Journey?Warren Buffett’s once unshakeable partnership with Apple seems to be reaching a critical juncture, leaving market watchers with more questions than answers. For years, Buffett and his Berkshire Hathaway embraced Apple, with Buffett even calling it “the greatest trade of all time.” Yet, with Berkshire’s recent decision to reduce its stake by a staggering 67%, the dynamic is shifting. While initial statements attributed the sales to tax planning, the sheer scale hints at a deeper strategy. This raises the question: is this a calculated portfolio rebalancing or the beginning of a more profound shift in Buffett’s investment philosophy? The timing of these sales isn’t random. Apple now faces several hurdles, from slower growth projections in a competitive smartphone market to increasing regulatory scrutiny in the U.S. and Europe. The conglomerate’s move coincides with Apple's potential weaknesses, suggesting Berkshire is not immune to the broader industry concerns, such as competition in China and challenges in artificial intelligence—a field where Apple appears to be lagging. Interestingly, some experts speculate that the recent passing of Charlie Munger may have influenced Buffett’s decision. Munger, who historically favored Apple, played a pivotal role in Berkshire’s tech investments, balancing Buffett’s more cautious stance on technology. Now, Berkshire’s shift could signal a strategic return to its foundational values, preferring stability over tech’s unpredictable currents. As Berkshire Hathaway maneuvers through these adjustments, Apple remains its largest equity holding, hinting that Buffett hasn’t fully turned his back on the tech giant. But with record cash reserves and a keen eye on emerging opportunities, the next steps Berkshire takes could redefine not just its portfolio but perhaps even broader investment trends in the years to come.
NASDAQ:AAPLShort
by MorMedia
Is Warren Buffett Losing Faith in Bank of America?A Strategic Shift with Far-Reaching Implications Warren Buffett, the legendary investor and CEO of Berkshire Hathaway, has taken a significant step that has sent ripples through the financial world. Berkshire, a long-time major shareholder of Bank of America (BofA), has been steadily selling its stake in the bank. This strategic move, totaling over $3.8 billion in sales, has raised eyebrows and sparked speculation about the future of BofA. Buffett's decision to reduce Berkshire's holdings in BofA is a departure from his typical investment strategy, which often involves long-term, unwavering commitments. This shift raises questions about his perception of the bank's prospects and the broader financial landscape. The implications of this move extend beyond Berkshire and BofA. As one of the most closely watched investors in the world, Buffett's actions can influence market sentiment and investor behavior. His decision to sell BofA shares could signal a potential shift in his outlook on the banking sector or broader economic conditions. To learn more about the reasons behind Buffett's decision, the potential impact on Bank of America, and the broader implications for the financial sector, please visit our website.
NYSE:BACShort
by MorMedia
2
Berkshire Hathaway - BreakoutHello Traders, welcome to today's analysis of Berkshire Hathaway. -------- Explanation of my video analysis: In 2013 Berkshire stock broke above a key resistance area which was acting as resistance for multple years. This breakout was followed by a +300% pump towards the upside. Last month Berkshire stock then also broke out of a long term triangle formation. If we get a retest back to the previous resistance mentioned in the analysis, I will be looking for long-continuation setups. -------- I will only take a trade if all the rules of my strategy are satisfied. Let me know in the comment section below if you have any questions. Keep your long term vision.
NYSE:BRK.B
by basictradingtv
5
Berkshire (BRK.B) -> Trend ContinuationMy name is Philip, I am a German swing-trader with 4+ years of trading experience and I only trade stocks , crypto , options and indices 🖥️ I only focus on the higher timeframes because this allows me to massively capitalize on the major market swings and cycles without getting caught up in the short term noise. This is how you build real long term wealth! In today's anaylsis I want to take a look at the bigger picture on Berkshire Hathaway. At the moment you can see that Berkshire stock is retesing its previous all time high which is roughly at the $350 area and we might see another short term bearish rejection. However considering that the overall trend is still very bullish I am waiting for a simple break and retest of the current resistance level and then I am looking for a trend continuation. - - - - - - - - - - - - - - - - - - - - I know that this is a quite simple trading approach but over the past 4 years I've realized that simplicity and consistency are much more important than any trading strategy. Keep the long term vision🫡
NYSE:BRK.BLong
by basictradingtv
23
Berkshire Hathaway Q1 Earnings Rise on Insurance ReboundWarren Buffett's Berkshire Hathaway reported strong earnings growth in the first quarter of the year, primarily driven by the recovery of the conglomerate's insurance business. Operating earnings, which include profits from Berkshire's wholly-owned businesses, increased by 12.6% year-over-year to $8.065 billion. Insurance underwriting profit surged to $911 million, a sharp increase from $167 million a year ago, while insurance investment income also rose by 68% to $1.969 billion from $1.170 billion. The turnaround in Geico, which saw an underwriting profit of $703 million, was a significant contributor to the overall insurance business success. On the other hand, the company's railroad business BNSF and energy company posted year-over-year earnings declines. However, other controlled businesses and non-controlled businesses saw slight increases from the same period last year. Berkshire's cash reserves also increased to $130.616 billion from $128 billion in Q4 2022. Additionally, the company repurchased $4.4 billion worth of its own stock, the most since Q1 2021, up from $2.8 billion at the end of last year. Berkshire's net earnings, which include short-term investment gains, rose to $35.5 billion in Q1 2023, up from $5.6 billion in the same period last year, reflecting a first-quarter comeback in Warren Buffett's equity investments such as Apple. Nonetheless, Buffett cautioned investors not to pay too much attention to quarterly fluctuations in unrealized gains on investments. These results were released ahead of Berkshire's highly anticipated annual shareholders meeting, known as "Woodstock for Capitalists." Despite lagging behind the S&P 500's 7.7% advance with a 4.9% increase in its Class A shares this year, Berkshire's stock is still less than 3% below its all-time high.
NYSE:BRK.BLong
by FOREXN1
19
Berkshire Hathaway Inc. New WCA - Classic Rectangle PatternHello and thank you for taking the time to read my post. Today, we analyze Berkshire Hathaway Inc. New's chart on the weekly scale, focusing on a classic price pattern called the "Rectangle Pattern." Berkshire Hathaway Inc. New is a diversified financial services conglomerate, traded on the NYSE under the tickers BRK.A (Class A shares) and BRK.B (Class B shares). Classic Rectangle Pattern: The classic rectangle pattern is a chart pattern formed when the price of an asset moves between two parallel horizontal lines, representing support and resistance levels, over a period of time. In essence, it reflects a consolidation phase where the market is undecided about the direction of the trend. Analysis: In the case of Berkshire Hathaway Inc. New, we observe a 322-day rectangle with several touching points. The upper boundary is at 320$, and the lower boundary is at 264$. The price chart has just broken out of the rectangle and is re-testing the old resistance as support, which makes an entry interesting. All this happens while we are above the 200 EMA, which supports a bullish environment and an idea on the long side. Additional Analysis: The recent breakout from the rectangle pattern and the re-test of the old resistance as new support suggest a potential upward trend continuation. As we are above the 200 EMA, the bullish environment is further supported, making long positions more attractive. The price target is at 376$, which represents a potential ~17.5% price increase. On the way to the price target, we can expect to encounter resistance at 360$. Conclusion: The Berkshire Hathaway Inc. New weekly chart showcases a classic Rectangle Pattern, reflecting a consolidation phase in the market. The recent breakout and re-test of old resistance as support, combined with the price being above the 200 EMA, signal a potential continuation of the bullish trend. With a price target of 376$ and intermediate resistance at 360$, traders should remain vigilant and consider proper risk management strategies when entering long positions. Company: Berkshire Hathaway Inc. New Ticker: BRK.A (Class A shares) / BRK.B (Class B shares) Exchange: NYSE Sector: Diversified Financial Services Please note that this analysis is not financial advice. Always do your own due diligence when investing or trading. Best regards, Karim Subhieh
NYSE:BRK.BLong
by KarimSubhieh
2
Applying Warren Buffett and Peter Lynch valuations : SNAP stockWhen I was new, I traded just the picture of prices. Later after living through a full cycles, I learned stocks were actually businesses. Business sell stuff to customers and generate revenue each year. Businesses have cash flows and earnings. Thats why when we look book 10 to 20 years, most businesses are more valuable today then back then. Valuation looks at what things are worth today and also looks at future potential. Financial math is discounting the the future growth to make sure you get the best deal you can. Valuation keeps you grounded. You can still day trade, swing trade, and option trade all you want. Valuation just helps you know the true value inside the business so you avoid some losers and pick more winners. Cheers and good luck on your journey! #snap #warrenbuffett #peterlynch
NYSE:SNAP
by ValuePig
7
Price is what you pay, but value is what you getWarren Buffett is the most successful stock investor in the history of the world. Of course, which we know now. "The Oracle of Omaha" - that's what fans of his "magical instinct" call Buffett. But is that the point? As an 11-year-old child, little Warren was inspired by the possibilities of the stock market and invited his sister to participate in his first investment. These were preferred shares of Cities Service. The sister agreed to take the risk and Warren bought 3 shares at $38.25. But then, the wave of enthusiasm turned to disappointment and guilt - the shares fell to $27. Buffett's first investment "enterprise" lost 29% of the amount of investments that were borrowed. We can only imagine how the young investor felt at that moment, but I think this feeling is familiar to many: positive expectations clashed with the harsh reality of the stock market. Warren didn't sell shares. But when the price for them reached $40, he did it instantly. Apparently, considering this whole undertaking a mistake. The income was 4.6%, the sister received her money back. Everything worked out. Surprisingly, Cities Service's share price rose to $202 a few days later. Or +428%, Warren! The entire subsequent history of Warren Buffett confirms that he drew the right conclusions from the experience of his childhood. He realized that the price on the stock exchange may not reflect the value of the company itself. Buffett began to study accounting, the principles of fundamental analysis of enterprises, the ideas of Benjamin Graham. This allowed him to develop an approach that consisted in determining the real value of the company, different from the one that we see on the stock exchange. "Price is what you pay, but value is what you get". From myself I will add: and if the value is higher than the price - such an investment is considered reasonable. In the chart above, the price history of Buffett's main holding company, Berkshire Hathaway . As well as the S&P500 index. As you can see, his company "overtakes" the index, which means it shows much better performance than the average value of 500 US companies. Perhaps, in addition to deep analysis of the companies' business, Buffett's unique investor instinct helps, I don't know. But the fact that he is a real Wizard of our time is an indisputable fact for me.
NYSE:BRK.AEducation
by Be_Capy
2
Betting agains WARREN BUFFETT is it smart?Hi everyone, Yurii Domaranskyi here. Let's take a look at the chart: 1. Price levels are working good 2. Globally and locally uptrend, the price at all-time highs 3. THe levels is confirmed by a touch 4. It was a near test 5. The model I'm going to trade "false breakout with 2 bars" 6. There is accumulation in the highs 7. The price closed in the short area 8. Enough room for trade with risk/reward 1 to 5.10 9. no model "ascending lows" anymore 10. no news for the last 10 days 11. the price came from below 12. BEWARE report on February 10! I'm going to out before that date. Potential risk/reward ratio = 1 to 5.1 meaning that potential risk 100$ with the possibility to make 510$ If it does make sense to you, press a thumb up! 👍
NYSE:KOShort
by trading_as_bus
2
BTC/USDT The Volume is not enough! #SHORTI am so sorry for just basing my TA with how and what I feel... now I ve been checking the market and its movement together with the FUDs and good news... FUD = BTC Russia Tracked??? (FBI) Good news = Defi eyed by Amazon; hath 500$ Million to BTC by Warren Buffett's Berkshire Hathaway. Considered TA: RSI ATR VOL and the Movement at 1D 4hr and 1HR considering the fri sat sun being the weakest days. We still have Huge fear and denial in the market. But the people who wants to Hodl and learn are many they are just silent. sold 50% to buy that 27 26 25
Short
by PuyatanHoldings
2
The myth of Warren Buffett and Buy & HoldFirst of all let me note that a few years ago an university professor looked into Buffett history and found that according to filings he had a turnover of 100% (correct if I'm wrong he only checked the 13F they do not show other investment than stocks and stocks that have been held not long enough to be filed). Also he held 80% of stocks for less than 2 years. Here is what the chart for a stock looks on a daily chart: Absolutely disgusting. Giant candles, tiny candles, huge gaps, no trend, no pattern, valuation doesn't matter, government doesn't matter, etc. Looks like gambling or trolling. Without dumb money hedge funds are not performing, and quants either they're only as big as the retail market is (both day gamblers & baghodlers). Versus a chart over 25 years... Some thinking can actually take place as opposed to the 1Y chart that is just ridiculous. Is it a good company? Is it expensive? The trend? And so on. The long term advocates do seem to mix everything up and throw Forex in there (because comparing 2 economies is the same as buying a company). "Buy and hold is the only proven way bla bla bla everything else is bolocks" yawn I get it you're braindead. Man these investment advisors. 2Y chart of FX (and 1Y) looks much better than a long term one, as opposed to 1/2Y stock charts being disgusting but 20Y looking exploitable. Let's take a look at some of his purchases. The stocks that went against him and he closed rapidly do not attract any attention so there is nothing on it and I did not want to go over his 13F for hours, most of his trades recently are breakeven or small wins anyway from what I have seen. So we are starting with some of those ones. Buffett Phillips adventure Berkshire Verizon adventure And I don't even know why he held that long, maybe there was nothing else around. Idk it just wouldn't go up, looks bad already just a few months after BRK bought. Who knows what other positions they had at the time (shorts are not reported)? A quick win Watch out all bagholders are now learning from his "mistakes" and making sure they never sell too early their bags, of course they also know diversification is for idiots and they should make sure to hold as little company lottery tickets as possible, making sure to: - Have very big stakes - Never sell (knowing that 97% companies go to zero and 90% of the remaining 3% perform worse than inflation) Maximizing as much as possible their odds of losing everything while freezing their capital and minimizing their odds of taking advantage of opportunities 👍 The herd blindly following Berkshire and all institutional investors feeling "safe" to buy companies after Buffett bought (if their clients complain they say he did it so...) = perhaps this allows BRK to have a high hitrate since they are famous? Of course no one follows them after they sell, there is always a good excuse to hold a bag. If Warren/Berkshire countless small wins & breakevens are hard to find, many losers are impossible to find, his winners sure are extremely easy to find actually they are even impossible to miss as they are constantly thrown in our faces endlessly. A famous one Another famous one And of course... :) The only loser I heard of, of course the one he just kept holding, a source of inspiration for success & motivation coaches and all dum dums that dream of lambos Hundreds of losses or struggling winners he cut off quickly? Who cares! They don't exist lalala I cannot hear! OMG say what? He held a bag with red candles? OMG long term just noise bla bla bla IQ doesn't mean anything strong hand to victory! "Buy cheap". If it's worthless crap then it is expensive not cheap... 20 cents for a bag of soiled toilet paper is not cheap even if it is 20c... Some stories The Coca Cola chart over 2 decades when he bought: And then... In 2007 Buffett got into Forex a bit and bought the Brazilian real He said something like "we can't get a big position like we could with the euro". Nice, Brazil is too small for Berkshire. Forex gets so much bad reputation from ignorant clowns, if dumb money is doing better with stocks (the number of baghodlers would suggest they are not) it would simply be because they are perma bulls in a big long term 50 years or more bull market. Forex is not super long term like this, so mistakes will kill the noobs much faster. Holding a stock bag will take years or decades to wipe out its investors, but in the end they are just as bad and just as rekt. Forex IS shorter term, it is not gambling or less valid because it is shorter term, no, we are talking about a different asset that works in different ways, and since it is shorter term clowns and bagholders will be wiped out much more quickly. The leverage is not "what makes Forex so dangerous", the issue with noobs is not the leverage it is being bad, and fighting trends and bagholding. Since they hold losers until being wiped out, it will be much faster with FX than with stocks or Bitcoin. Bitcoin baghodlers have been at it for 3 years and are still alive. If they held FX going against them they'd be rekt long ago. Oh and then since FX is not being sold as a magical holy grail to hold passively "any idiot can make it" and brokers spend millions to advertise day trading, the noobs all end up being day gamblers even thought zero professionals do it, and day gambling is the fastest route to rekt. High costs, high randomness, not holding winners, oh and the majority of gamblers dumb enough to day gamble obviously do not have the mental abilities to figure out 2% risk per trade day gambling is simply dense because your actual risk will be something like what? 50% over 1 month? As opposed to 5% over a month using 2% risk with a logical strategy. They just go for x% no matter the risk over time like it doesn't even exist which makes absolutely no sense. And they think the risk is the same... Forex investors don't get as far as I am concerned the winrate stock investors get, with the exception of retail forex gamblers which trade profit for winrate ye pretty easy to have a high winrate if you don't care how much you lose, and another exception perhaps would be when Buffett trades it because he goes for a solid unbreakable multi year trend and very rarely. Lower winrate buuuut (obviously there is a but otherwise why even touch FX?) more opportunities. So you can actually have less portfolio noise you won't be down 20% the year the S&P goes down. In the end it all ends up the same way. The best FX investors over decades got returns of 30% a year, the best stock investors over decades got returns of 30% a year. "Experts", investment advisors, nobel prize economists with plenty of degrees (aka clueless idiots), they're going to tout bagholding index funds as the holy grail, beg baggies to never sell because "just noise - last time they said - 13% muh snp - buffett long term", and constantly bash fx & even commodities, and most people are brainwashed to listen, they just fall for the most obvious bs just look at how many people cry when some vegan activists "show terrible images" of a farm that are obviously made up (they could wait for a farmer to have an accident then go visit his abandoned farm a few days later when animals died and feces accumulated and at night then go "see those horrible conditions? They just die and are left for dead and there are feces everywhere and animals are abandoned in the dark"). No free lunch. No holy grail. No market that throws free money because "muh positive sum". Markets are chosen by personal preference (and a bit by what is volatile at a specific moment of course but over decades they all have something to offer). Let me tell you one thing: commodities & forex have hedgers. Therefore it is a positive sum game for speculators in my eyes. Whereas stocks? Only investors trying to make money ripping each other off. This is the real zero sum pyramid scheme. Warren looks for winners, trends & supply demand imbalance just like anyone else. The time horizons are different, the reports you read are different (shareholder letters or central bank minutes or the OPEC MOMR), the winrates are different (and number of opportunities which evens it out), but the way you approach it and the fundamental idea are really the same (trend, new highs, overextended trends like petrochina that went down shortly after Buffett sold, pullback = discount that is a free cheap entry, position sizing, trailing, big winners often being those that rapidly and strongly went your way and losers being those that chopped around for a long time ...). Damn. Warren Buffett is not a wizard that magically picks up winning stocks but does what investors have been doing for possibly millenias. FX meh trades will last days or weeks, stocks 1 to 4 years maybe. Forex winners last weeks or even months, stocks 5 years to decades. Why would you sell a stock winner that keeps going up? Only if you think it is very expensive (or you hate making money), but if it is already expensive after just 1 or 2 years then you clearly messed up by entering a trade on a stock that was expensive! Either way you are in for the long run, it is something to make a multi decade career out of, sorry roulette day traders & passive bagholders, taking dozens of trades over a year that will last a few weeks or just a few like Buffett that will last a few years. Learning takes a long time, researching takes a long time, growing an account takes a long time, just the same no matter the market no matter the strategy. The only free lunches are really only found with insider trading... They end up getting lots of free lunches in jail... free hugs too.
PEducation
by MrRenev
28
Warren Buffett Invests in Japan - Economic War 2020 - CurrencyAs the world watches the USA capital markets squeeze themselves into just 5 or 6 large cap, over-hyped, mania stocks (Tesla, Apple, Amazon, Google, Facebook, Microsoft, etc.), the richest (1%) are avoiding U.S. stocks altogether. Warren Buffett has just announced his buy-ins into Japan (over past 12 months). *Warren Buffett made gained his massive "unrealized" returns by accumulating stocks just after the great depression. He then held pretty much his entire lifetime. I don't believe Warren has an edge at all anymore. The world has moved lightyears ahead of what the baby boomer generation can generally comprehend. Sorry Warren, stash the cash, go enjoy your family. Your best days are behind you. Invest in small cap USA or watch the USA struggle for years. Sad stuff. DON'T INVEST IN JAPAN LIKE WARREN. Don't live on leverage like the majority. Invest smart. CONTRARIAN. INVEST IN $GNLN or other small cap USA companies. Go USA!!! #cannabis #federalize #risksavageinthemarket #maxcreativeinvesting #watchthis #stockmarketcrash2020 #cannabisboom2020 #greenlaneholdings
INDEX:NKYShort
by UnknownUnicorn1015917
Potential killzones on EasyJet (1d) and airlines overviewIt's impossible for me to predict what will happen with EasyJet. So, I'm showing two potential killzones on a daily time frame. My probability estimate is for further moves south. I think the issues here are about entry points, for those who missed the deep dive. It's dangerous though at this time. Globally all civilian commercial airlines are in deep trouble (except Boeing perhaps). Govts and central banks simply cannot bail them all out. Air traffic will be seriously reduced over the next year. We can therefore expect further travel south for EZJ and other airlines. Berkshire Hathaway just closed on $50 Billion in losses on airline stocks. If one is shorting EZJ and other stocks much 'bottle' is required to suffer the vacillations in price. It's unlikely to be a smooth travel south. Disclaimers : This is not advice or encouragement to trade securities. No predictions and no guarantees supplied. Any previous advantageous performance shown in other scenarios, is not indicative of future performance. If you make decisions based on opinion expressed here or on my profile and you lose your money, kindly sue yourself.
LSE:EZJShort
by Captain_Walker
2