Hey guys, it's Sasha The stock market has been busy panicking over the last few years. First we had Covid, then we had a slightly different covered. Then we had Omicron covered. Then we ran out of Greek letters to name new Kovitz and Russia went and invaded Ukraine And now we have inflation. And along with inflation, we have the worst thing that has ever happened to the stock market. The FED has increased interest rates to a huge four percent, and analysts are petrified that interest rates next year might increase to five percent. Five percent is, of course, lower than the average that interest rates have been over the last 70 years. And in case you're not good with math, an interest rate that's lower than the average is an incredibly High interest rate that should immediately send you into a state of panic. And while you're in that state of panic, make sure you sell all of your stocks because I don't know because interest rates and recession and stuff. I Guess while you might think this makes no sense whatsoever, you are completely wrong because the stock market is gone and throwing their toys out of the Prem and sold off massively. Everyone's done exactly this. Greystock started falling through 2021 and from the beginning of January This year, the rest of the stock market joined the red party. Not that red party. The red down arrows. Losing lots of money every day. Sort of partying. On the one hand, a bunch of stocks lost value because we did have a crazy bubble where hopeless companies would reach insane valuations. Shout out to Peloton at 160 and Tattooed Chef at 28 both weirdly popular stocks on YouTube with Finance Gurus, both now trading at 95 discounts. but the sell-off in the stock market was somewhat indiscriminate. Everything that isn't an energy company or McDonald's has seen a big fall in the share price and all gross stocks in earlier stage companies got destroyed. Anything that is pre-profit lost 70 to 80 percent of its value irrespective of the fundamentals. The bad companies that have no hope of ever making money got done, but along with them everyone else got done too. And I want to quickly share my thoughts on the 10 stocks that I am watching amid this mess that I think have been massively oversold. Nine of these stocks have lost over 50 percent of their value and while the share price is crashing, performance of each one is exploding I am personally invested in some of these companies and I am expecting to invest in the others in the coming weeks and months as and when I have some cash. So maybe I am biased or maybe there is a reason why I am invested in these stocks. So you decide if you want information about any of these companies, I'm going to stick links in the description to the simply Wall Street Pages as well as some of the videos I've made about each of those companies individually. Thank you by the way to Simply Wall Street for sponsoring this video! Simply Wall Street is an amazing online tool that lets you quickly go and check everything you might want to know about a stock in a visual, very easy, intuitive way. You've got key valuation metrics, future growth forecast, past performance data, a breakdown of key financials details of the management team inside a trading day data. You can go and get access to data completely for free by signing up to Simply Wall Street using my link in the description simply Wall Street is free to use forever. But if you love The Tool like I do want to access even more data, analyze more companies, use their stock screener. Get the other perks: The first 100 people to sign up for their Unlimited Plan using my link will get a 40 discount, so make sure you go and check them out. The link to sign up for free is in the description. Now let me walk you through the 10 companies just before I Do though, remember that I am not your financial advisor I am a random guy on YouTube sharing my opinion which may be bias probably is wrong so please take it for what it is. First on the list is a company I have a reasonably sized position in it's Fiverr Fiverr is a platform for hiring Freelancers which has been growing very fast in recent years and the stock is currently trading at about thirty four dollars, down ninety percent from its all-time high back in February 2021. Fiverr is a pre-profit company and my own model suggests that the company will only break even in 2027.. So this for me is a long-term relatively high risk play. Having said that, the company actually turns an operational profit every quarter and reinvest their money into growth. which is why they are loss making. Five opposed data about the performance of their quarterly cohorts and their customers booked in each quarter are going on to make over five times return on the investment in the five to six years after they are required. which is the reason why Fiverr is showing non-linear growth in their performance over the long term. I Made a video recently for Channel Members and Patreons doing a deep dive on Fiverr Going through their Q3 results a lot of analysis in there. I Will generally be doing most of my deep dive analysis videos for members only going forward because they just don't tend to be as popular or interesting on YouTube so feel free to sign up to Patreon if you're interested in all of that additional content. The link is in the description. As the economy is struggling, many businesses are cutting back on spend. Fiverr is not immune like many other businesses is a Miss is slowing down Revenue growth for Fiverr because one of the easiest spends to cut as a small business is hiring Freelancers But I have a funny feeling that whenever the economy does turn and confidence comes back, Fiverr is going to be incredibly well positioned to benefit. Next on my list is a company called Upwork. They are the only real competitor to Fiverr out there. Although they have slightly different business models, they work for slightly different kinds of customers. But in general, if you want to go and hire a freelancer to go and do a job for you, you're probably going to use one of those two platforms and both are doing exceptionally well. As the world is gradually moving to a more distributed model of working, Upwork is down 80 percent from its all-time highs in October 2021. Simply Wall Street thinks the stock is now 300 undervalued and Wall Street thinks the stock is 100 below fair value. The balance sheet is a bit messy though, with a 560 million dollar pile of debt and an almost identical amount of marketable Securities It does buy them a bit of flexibility I guess. but I like the long-term Optics on upwork. I will be doing a deep dive video for my channel members in the next few days with a lot more detail. Next up is Google Google Hasn't had as much of a drop as some of the other stocks. only down 35 Only down 35 since November last year and Google has seen a few wobbles recently which are spooking investors. Ad rates globally have collapsed. that's their main business and this is affecting Google's revenue, but at the same time Google cloud is growing extremely well and becoming a very meaningful part of their raw business. and Google announced recently a trim of 10 000 worst performers. This happened just yesterday to cut down on employees spend Google pays a ridiculous three hundred thousand dollars on average to its staff. They're even known to hire staff they don't even need just so that their competitors don't hire them instead. And somehow, despite this ridiculous amount of pay, they're still making huge profits. Google does have some regulatory concerns as well because everyone seems to want to break the company up and there's question marks around how the removal of third-party cookies in the future will affect Google's business model in the ad space going forward. These are all valid concerns, but I see a company that is absolutely killing it on multiple fronts: I Think that some of these concerns may be slightly overstated whenever the recovery does turn up and address start going back up. I Think Google is going to stand to benefit a lot and I am looking forward to whenever that happens. Next up is Airbnb a company I have not talked about before we discussed it with members in the Discord but I Spent some time going through the financials this morning and it's pretty interesting here. You have a travel company that got absolutely smashed in the last few years. like every other travel company, an Airbnb's market cap is 60 billion dollars while the company is printing one billion dollars a quarter in free cash flow. Let that sink in. The balance sheet has almost 10 billion dollars in cash and multiple Securities which is almost more than the total pile of liabilities all in for the company. and long-term debt sits at just two billion dollars, so things are looking super healthy there. Airbnb Have a huge first mover motor they've built up and they're printing money for fun at the moment. So what's going to happen when the economy starts recovering? What happens when people really start traveling After the recovery in the economy? After the recovery from Covid in the coming months and years, that is going to be pretty exciting for me, and that's why I'm going to look at them a lot more closely going forward. Next up is Tesla the biggest position in my portfolio Tesla's wrapping production revenues are going through the roofers. two new factories are currently increasing volumes in the early stages every single quarter, and despite the economic worse, Tesla is continuing to have a wait list for their cars. something unprecedented with customers having to wait a few months after placing an order. The world is changing incredibly fast at the moment, from combustion engines towards electric cars and every electric car made not just by Tesla but anyone is going to get sold out over the the next few years as this transition happens. Tesla is by far the market leader at the moment. They have 30 gross margins which is Bonkers territory and the next few years are looking incredibly promising. This is definitely one company that I think is going to benefit a lot from the economy turning at the moment. Tesla Stock lost 25 just in the last month because of noise to do with the Elon Musk buying Twitter But the noise has exactly nothing to do with Tesla's output, nothing to do with their performance, and the stock is now down 58 from its all-time high a year ago, which is funny because growth has accelerated during the same time period. When you begin considering the impacts of the energy, business and full self-driving I think the stock is incredibly undervalued and that is why it continues being my biggest position at the moment. Next on my list is Twilio, which is a stock that really divides opinion. 20 years revenues are growing at a crazy Pace They've slowed down slightly like everyone else, but their core performance is strong, but the company keeps losing money. They're losing a lot of money and they keep losing more and more money and this is spooking a lot of investors, which is why Twilio is also down 90 from its all-time high now. I Expected Twitter to continue reinvesting money back in the business and making those losses, but they recently came out and announced that they are planning to do some cost cutting to bring forward profitability to next year way ahead of schedule, which is probably going to be a very tough ask, but given that Revenue has been on the way to the Moon recently, if they curb the stock based compensation and some of the costs, this could get very exciting very quickly, especially with investors who typically discard unprofitable companies outright. Now let's quickly talk about Intuit Intuit is a global leader in accounting software with QuickBooks, but they also have expanded their product line. They've made some Acquisitions and then Own Credit Karma Turbo Tax mint and MailChimp share price is down 43 percent from its all-time high at the moment. Revenues for Intuit did slightly in Q3 three, but are on a long-term growth trajectory. Net income is a two billion dollars on a trading 12 month basis despite heavy reinvestment in the business. and the PE is over 50, which kind of looks bad, but here you have a business with growing revenues. incredibly sticky customers. Nobody ever wants to change their accounting software, and their subscription model that the business has deployed is great for consistent long-term revenue from those sticky customers. While we're in the theme of boring accounting software companies, let's talk about Xero. and I mean these are not the kind of companies that you will hear about on YouTube because they're boring accounting software companies. It's not the future bro. It's not going to make you rich quick. It's not some kind of amazing futuristic Tech But Xero is the New Zealand company that is becoming the accounting software of choice for small businesses. The stock is down 56 in the last year, but revenue is up 30 percent year on year. And here's the thing. technically zero is making a loss so blah blah blah and profitable company. Don't ever invest in it all that. But operating cash flows are at 160 million dollars and you can see that the business model has similar non-linear growth to what I showed for Fiverr. Remember, these are not quite the same dollars that you might be used to. Lifetime value per customer is 4.7 000 in Australia and New Zealand and it's 2.4 000 elsewhere because they haven't been doing business Elsewhere for as long. but you can see that this value is several times the cost of acquiring those customers and marketing is the biggest expense line in the P L. So they're spending all this money in marketing. then the customers they acquire with this marketing make several times that amount of money over their lifetime, making money every single quarter. This is the kind of business model that I really, really like. So when you put these things together when we see a recovery, zero, May Well be that kind of pick seller sitting at the bottom of the mountain raking in a lot of cash. Next up is Pinterest I've been a fan of this stock for a little while and I mentioned before in videos Why I Think people are missing the fact that these guys are on a very different path to some of the other social media companies OR tech stocks and when the Q3 results came out, everyone was very surprised that Pinterest did much better than expected. Were the only company in their class that seemed to do kind of well. Well, everyone except me because I said this is exactly what I think is going to happen Pinterest underlying growth means performance is very good despite the ad rates falling globally. And hey, these lower ad rates could be here for another year, maybe longer if the economy continues tanking. But whenever the bounce back does turn up which it will because Pinterest is so early in the growth of their ad Revenue business, they are likely to benefit disproportionately when that moment arrives. Pinterest stock is down 71 since February 2021, but the company has just become profitable. All the numbers are in absolutely fantastic shape, going in the right direction, which for me is pretty good reason for owning the stock. which is exactly why I happen to own Pinterest stock. They still have a long way to go on optimizing that ad rate. Revenue They're still in very early stages of building out some of the features on their website. They are miles behind the likes of Facebook in terms of how much they make per user and I feel that their product is very unique in being able to attract big revenues because of people shopping directly on the platform without even needing to leave it. Check out my video about Pinterest up here and in the description for more details Now Last but not least is AMD AMD stock is down over 50 in the last year and recently got smashed to Pieces after consumer processor sales fell off a cliff in Q3. The long-term business model is really much more predicated on cloud computing and third-party applications, so for me, it's not really that much of a big deal, but the market didn't like it at all, and the company does continue to lead by some margin in the way of Chip design, which is why AMD has recently overtaken Intel in the market cap for the first time ever. Something I said was highly likely a few years ago, but everyone thought that I was smoking some something now. Lisa Sue the CEO has completely transformed the business and continues doing it. The triplet design is absolutely killing it, and Amd's growth in despite the slowdown in consumer sales is still staggering. Despite the Slowdown, the PE Ratio might look somewhat high, but data center revenues are up 45 year on year. That segment is not slowing down at all and I think will become the biggest segment for AMD in the next quarter or two. and the AMD Epic processors which are what underpins that business line are so far ahead of the competition that AMD has established a bit of a moat as far as cloud computing goes. When the economy does turn and completely start investing a whole lot more money into their Cloud architecture, AMD I Think is going to be a very exciting company to watch. Remember, Go and check out Simply Wall Street for free using my link in the description if you want to look at any of these companies in more detail. If you found this video useful, don't forget to smash the like button for the YouTube algorithm. Thank you so much for watching I Really appreciate and as always I'll see you guys later.