Every Stock I'm Buying Right Now Before July Ends

Everybody loves talking about the next hot stock, but I only buy when the price makes sense. Right now, there are several great companies on my list. And in this video, I'm going to break down which stocks I like right now, the story behind them, and the price that I want to pay. Our first stock is Meta. And before I get into this one, I want you to understand something very important. This is Facebook. This is Instagram. This is WhatsApp. This is threads. Meta owns the social media world and right now they are spending like crazy to own the AI world as well. Now here's what spooked investors. Metag guided 125 to$145 billion in capital expenditures for just this year 2026. Guys, that's an absolutely staggering number. And when investors see that kind of spending, they naturally get nervous. They tend to sell. And the stock has pulled back quite a bit. But here's what the sell-off is missing. Meta's core business, the ads running across Facebook and Instagram is a moneymaking machine. We are talking about 33% revenue growth year-over-year and 41% operating margin. That means for every dollar they bring in, they're keeping 41 cents as profit. Guys, that's an incredibly profitable business that cannot be ignored. And now there's a new catalyst that just dropped in July. Meta is building a cloud business. Think Amazon Web Services, but for Meta. They're going to take all that excess AI computing capacity that they've been building out and they're going to rent it out to the outside world, to the outside developers. Those billions spent on infrastructure, they're turning it into revenue and profit. The stock right now, as I make this video, is about $582. It's trading about 21 times forward earnings, which might feel a little expensive. So, what you've got here is one of the most profitable businesses in the world, spending huge to build the future, adding in brand new revenue stream, and the market is still trying to figure out what it's worth. The question isn't whether Meta is a great business. I absolutely think it is. The question is, what's the right price to pay for a great business? So guys, let's pull up Meta in our software here and start taking a look at it. Now, a lot of people mention the stock price. I look at the market cap for the real price of the business. It's a $1.5 trillion business. That's basically all the stock shares multiplied by the current stock price. And the next thing I do is I go to the enterprise value. 1.58 trillion. This difference right here of $70 billion is essentially their net debt. You take their debt, subtract the cash on hand, they have $70 billion essentially of net debt. Now, why does that matter? Well, I want to compare it to their cash flow, guys. 70 billion. They did 48 billion last year in free cash flow. That's less than 2 years of their free cash flow can pay off all that debt. That's pretty awesome. Let's look at some other metrics here. High returns on capital. This is a quality metric in a lot of ways. The higher this number, the better quality business it is. because if it's a good quality business, they can get really good returns on the money that is invested in the business. So, I love this a lot. They pay a dividend. I don't know why, but it only eats up $5.5 billion of their free cash flow. Now, let's go look at this. I'm actually surprised by this. Their profit margin over the last 1, five, and 10 years is pretty stable. I would have thought with such a good growing business with 82% margin, gross margin, that means every extra unit they sell, they make about 82 cents, 82% of it goes to profit. I would have thought their profit margin would be getting better and better. So what does that mean? Well, what it means is as they grow, they're also their overhead is growing with them. Their taxes are growing with them, which isn't necessarily a bad thing. It might mean better customer service, might mean more growth down the road, but usually what I see is in a lot of companies with a gross margin this large that over time their profit margin keeps getting better and better. Doesn't mean it won't happen here, but over the last 10 years, they've been growing their overhead along with their profit. Guys, another thing I love here, in the last 5 years, they've only spent about $5 billion in acquisitions. Why do I love that? Because look at this revenue growth over the last three, five, and 10 years. absolutely staggering and I love that because it tells me that these they didn't grow their revenue through acquisitions. That's a huge thing. This company is naturally growing. One thing I love is they have not maximize their overseas advertising revenue for Facebook and Instagram and they just recently started getting revenue really from WhatsApp. Half of the world uses their products almost every single day. That's incredible. That's something you have to remember. Now, let's go take a look at their eight pillars. Now, remember the eight pillars are not a decision to buy or sell. Just tells me a story. What's the story about Meta? High returns on capital. Buying back some shares, which could be good if the shares are cheap enough, which we'll find out soon. Cash flow is up over the last 5 years. Net income is up. Revenue is up. And like I said before, they're low debt. So, what are these X's? It's their 5-year PE and 5year price of free cash flow. Now, these alone don't say it's expensive. And my reminder for those who are new to our channel, if a company's going to grow their profit 100% per year, this is dirt cheap. If they're going to grow their profit 1% a year, this is very expensive. It's all based on that future. That's why we spend a lot of time thinking about the future of the company. And I say future, I don't mean next quarter. I don't mean next year. I mean for a long, long time. That's the way I think. Now guys, if you're new to the channel or you're new to investing, I've thrown a lot at you. It probably feels overwhelming. I want to assure you that you're not alone in that. Every single successful investor in history was overwhelmed at some point. My goal here, and the reason I started this channel was to simplify investing cuz people over complicated the crap out of it. I'm here to make it easier for you. And one way I've done that is I created an absolutely free key metrics PDF. It'll explain all of these key metrics to you. It'll show you the calculations, all this stuff. It'll allow you to have it at your fingertips so you and I can speak the same language. So, if that's something you'd like to download in a matter of seconds, click the link in the description below or the first pin comment and you'll you can download that PDF in a matter of seconds. Now, guys, in a couple minutes, I'm going to show you the price that I'm willing to pay for the stock. But first, let's see what analysts think about this company. Guys, analysts think the company's going to make about $33 per share this year, growing to 58 over the next five years. Guys, that's a lot of growth. That's a lot of growth. Starts off slow and grows. Now, remember, they are analysts. They have their bias. Now, let's go to the revenue growth. Over double in the next seven years. That's over 10% per year in revenue growth for the next 10 years. Seven years. So guys, what we have here is a little bit of a story and a little bit of numbers. Now the next step is to determine is this stock worth even looking at and what the appropriate price to pay would be on back of the napkin numbers. That's why we have stock analyzer tool. I was so sick of hearing people say like, oh, go fall in love with the company, understand everything about it, and then decide if you're no first start by looking at these quick numbers. Then go to the run the stock analyzer tool. If the stock is completely far away from your number, let's say, for example, right now Meta is at $590 as we speak. It has turned around today. Let's say the stock analyzer says it's worth $100 a share. Don't spend any more time on it. But maybe it comes back and says it's worth $1,000 a share. Go spend a lot of time on it. Make sure you're right about your assumptions and make sure you're right about the company. So, here are my assumptions on Meta for the next 10 years. Now, the great news is if you disagree with me and you have the software, you can go make your own edits in there. So, first off, I did revenue growth. I did 7, 10, and 14% for the next 10 years. Then I did the profit margin. I did 29, 31, and 33 and a little bit less on free cash flow. Because of how much they're going to spend on capital expenditures, I am going to focus on the profit margin here. Next, what is the PE I would assign to this company 10 years from now, guys? The market average is 15 to 16. I don't believe this is an average company. You should go higher for above average companies, lower for bad ones. What makes this company above average? High returns on capital. Half the world uses their products all the time and they keep on growing. That's a very high quality business. Now, I put in 20, 24, and 28. I'm going to scale it back a little bit. I'm going to do 18, 22, and 26. And then finally, what is my desired return? Now guys, I'm never buying a company based on a 9% return. This is my intrinsic value number. No margin of safety. But remember, if you're going to buy individual stocks, it's really important you have a margin of safety because if you just want a 9 or 10% return, you just buy a lowcost ETF. So if you're going to buy an individual company, make sure you give yourself a higher return than this. What's the right number? It is different for you versus me versus everybody else. You've got to determine that for yourself. So, I hit the analyze button. The stock's currently at 590. I have a low price of 550 or so, high price of 1,400, middle price of 850. So, guys, based on my middle assumptions, if they turn out to be true, I have about a 13.7% discounted cash flow return based on my own personal assumptions. So, for me, this requires me to go do more research and see what I want. Guys, I want to remind everybody when it comes to investing, it is not about what you buy, it's about what you pay. But more importantly, in our videos, we will help level you up by giving you the tools and principles. So the next time you analyze a stock, you'll have an advantage over 99% of the retail investors in this world. And every single month, we are searching for businesses that get disconnected from reality, where fear, headlines, or short-term noise push a stock below its intrinsic value. That's the opportunity. I want great businesses. But I only want them when the price makes sense. When the price is below the value. And let me let me say something very clearly. Do not buy a stock because I own it. Don't buy a stock even if Warren Buffett owns it. This channel is about process. You're watching how I break down a company, how I make educated assumptions about the future, and how I patiently wait for the price to meet value. So, if you're new here, you're going to notice something very quickly. No one else on YouTube analyzes stocks like we do. And also, a friendly reminder, never take our title and thumbnail literally. We are never here to give you a stock tip. We are here to teach you the process so that one day you sleep better at night because you know how to value a stock, how to make good assumption about its future and understand the price you're paying. So guys, our second stock is Microsoft. And look, this is one of the most dominant businesses on the planet. It's got cloud, it's got AI, it's got productivity software, it's got gaming. They are everywhere and everything. But right now, the stock has been getting punished as of late. And here's why. Microsoft is spending and they're spending big. They've guided to roughly $190 billion dollar in capital expenditures for this year. That is a massive number and the market hates it right now. When a company spends that much, margins get squeezed in the short term and investors get nervous, so they sell. The stock dropped 21% in the last year, hitting a 52- week low of $349 just a few weeks ago in late June. It's sitting around $390 right now. And here's what's interesting. The forward PE has compressed down to about 23 times. Now, for those of you who care, Microsoft's 5-year average is closer to 30. That doesn't affect me at all, but that gap has a lot of people paying more attention to the company. Now, here's the part that Wall Street is not talking about enough. Microsoft owns 27% of Open AI. Open AAI just filed confidentially for an IPO and some people think it could be worth a trillion dollars. That stake is not showing up in Microsoft's price right now. And on top of that, tools like Copilot and Fabric are being embedded deeper into businesses every single day. So what you have again is a world-class company spending heavily to build a future, getting punished in the short term, and trading at a valuation that it hasn't seen in years. But the question is, is that valuation cheap enough? And again, just like Meta, the question isn't whether Microsoft is a great business in my opinion. It is. The question is, what's the right price to pay? So, let's dive a little bit deeper, guys. $2.86 trillion market cap, $3.06 trillion enterprise value. That's a $200 billion difference. And guess what? Last year, they generated 73 billion in cash flow. The last five-year average was $67 billion. So they can afford that $200 billion difference. Hell, if they're 20 if if Open AI becomes a trillion dollar company and they own 27% of it, they can take that stake, pay off all their debt, and still have $70 billion left over. Okay, good returns on capital, 22% a year for the last 5, 14% last year. A lot of acquisitions, but not much for their their um their market cap and some big growth on revenue. And this is what I was talking about earlier. 68% gross margin. Every extra unit they sell. 68% profit. And look at their profit margin. Keeps going higher and higher. Almost 34% a year for the last 10 years. Almost 37% for the last five, almost 40% last year. That's what I meant about Meta. I would have thought their profit margin would have been getting higher because they have a higher gross profit than even Microsoft does. Now guys, look at this. Their dividend isn't even 1% and it pays out $25 billion per year. So this big capital expenditure budget they have is huge. So they're going have to take pay the dividend out of their cash pile or something because that's a huge huge number. Let's go look at the eight pillars. Just like Meta, everything is a check except for their PE. And guys, they haven't bought as many shares outstanding that as Meta has, but their 5-year PE and 5year price free cash flow is still pretty elevated, but it could be justifiable based on how you value the company. So, let's go check out the analyst estimates before we get to our stock analyzer tool. Guys, look at this. $17 a share in profit going to $41 here in the next seven years. That's well over double in the next seven years. and revenue also more than doubling from 336 to 760. Again, over 10% per year in earnings per share growth and revenue growth. A lot of numbers there. All right, so here are my assumptions on Microsoft for the next 10 years. I did 7, 10, and 13% revenue growth. I did profit margin and free cash flow of 34, 37, and 40. Keep in mind the 37 and 40, they basically did that in profit margin last year. Yes, their free cash flow is going to be hit in the short run with these capital expenditures, but in the long run, it should even out. Next, what PE would I put 10 years from now? I did 20, 23, and 26, guys. Not going to lie. I don't know if that's right. I could see a higher number. Could I see lower? Man, Microsoft is everywhere. I I think it does justify a low to middle to mid20s PE. It's a very good company. It's embedded in our lives. It's bed embedded in almost everybody's life. I just look at this thinking to myself, I think that's justifiable. And again, my 9% desired return, no margin of safety. I hit the analyze button. The stock is currently at 385. I have a low price of 360, high price of 823, middle price of 550 with a 13.5% return based on buying at today's price. Now guys, I want to remind you these returns include the dividend. So don't add the dividend on top of that. Now guys, our third stock is Uber and this one is quite interesting because the market is scared of the wrong thing in my opinion. So here's the story. Uber has been sitting near its 52- week lows for quite some time. The stock pulled back and if you look at the headlines, people are worried that self-driving cars are coming and Uber is going to become irrelevant. I don't necessarily see it that way. Do I understand the concern? Absolutely. But here's what's actually happening with the business right now. Record operating income. Almost $10 billion in free cash flow over the last year. That is not a dying business. That's a growing business that the market is mispricing because of fear. And the whole robo taxi narrative, I don't think Uber is getting disrupted. They're actually going out there and partnering. They already have a relationship with Whimo and they're building out more autonomous vehicle partnerships so that self-driving fleets plug directly into Uber's network. Think about that. Uber becomes the platform that autonomous vehicles run on. That is not a threat. That's an opportunity. On top of that, Uber 1, their subscription service, just hit 50 million members. They've built an in-app advertising business running at $2 billion a year. They're booking hotels now. And this company is becoming something much larger than just rides and food delivery. And the stock is trading near its lows while all of this is happening. So, same question. Is it a great business? In my opinion, yes. is getting it at the right price. Well, that's what we're going to find out right now. So, let's take a look at Uber. The current price is $150 billion. Now, they have a lot of debt here. 178 billion enterprise value. That's $28 billion in debt. But again, last year they did $10 billion in free cash flow. So, they can afford that. Based on their 5-year average, it's a little pricey. But overall based on last year's number, if they can continue to build on that, it's absolutely fine. Next, returns on capital. Not great right now, but getting way better. They were negative for the last 5 years, and they did 8.36% last year. Same thing with profit margin. Look at this. 5-year profit margin 6.5% last year 16%. So guys, for a company like this, it's a little bit harder to sit there and make assumptions about the future because their past is so small and getting better. So we don't really know the right numbers to put in, but we're still going to do that in our stock analyzer tool. Now guys, look at this. Only a billion half dollars in acquisitions over the last 5 years. And look at these revenue growth numbers. 17% a year for the last three years, 38% a year for the last five. So, some really interesting stuff here along with a PE of 15. Our community members actually have it as a buy right now. So, let's go look at the eight pillars. A lot more ugly. Yes, growth in cash flow. Yes, growth in net income. Yes, growth in revenue. Lower debt levels. That's even gotten better because this debt level, this check mark is based on their 5-year free cash flow, which is over doubled in last year. So, this is even, even though it's a check mark, it's even better than expected. But again, shares are up, returns on capital are low over the last five years, and the five-year PE and fiveyear price of free cash flow is high. But again, Uber is a company that just keeps on getting better. So guys, one thing I want to show you about um Uber, look at the free cash flow. Let's go quarterly. I remember when the CEO came out and said, "The market cares about free cash flow now. We're going to start growing it." And look at this. And it started to dip and then went up here. Now, does this mean the future is going to be this? No, of course not. We still have to sit there and look at the future and say, "Hey, robo taxis are a real threat, but what is Uber doing to to combat that threat and still grow as a business?" That's really, really important here. And that's what I love about our software here. It'll show you all this data in a nice chart because visually we can sit there and look at this saying, "Oh, yeah. Free cash flow is way better here." All right, guys. So, let's get the analyst estimates here. I'm actually surprised by this. The growth in profit is not very good. 313 growing to $5 in the next five or six or seven years. That is not very good at all. Revenue growth though, what's interesting is almost doubling from 60 to 105 billion over the next seven years. So, not a lot of growth here. Earnings per share down. Trying to figure out why that is. So, let's go to put in stock analyzer tool. And I think I'm going to make some modifications to my stock analyzer tool. My first was 4, seven, and 10% revenue growth. basically doubling every 10 years. I'm actually okay with that right now. So maybe I'm not going to make as many changes. Profit margin and free cash flow. I did 18 22 and 26. Yes, they've never done the majority of those numbers here, but the business is getting better in ter if the business continues to get better, the profit should go higher as they focus more and more on profit and free cash flow. Next, what PE would I have signed to this company 10 years from now? Well, I did 18, 22, and 26. And finally, my 9% no margin of safety return. I hit the analyze button. Now, before I finish running this last one, I want to say something extremely important. Everything you just watched me do, the way I broke down these last three companies, the metrics, the assumptions, the price, that isn't magic, guys. It's a process. And it's a process anybody in the world can learn. We built this community and stock analyzer tool at everythingmoney.com because it's what I needed to use. In fact, that's how the whole community came about. People asking me for this exact tool. So, you put your own numbers in, you make your own assumptions, and you figure out what a stock is worth based on what you believe. And right now, guys, all of this can be available to you for $7 for 7 days. That gets you the analyzer. It gets you our full community. It gets you every resource that we built around this process, including the thousands of community members in here who think like you want to think. So, $7, seven days, and if you do what I do in this video for even one stock, you'll already be ahead of most investors out there. The link is in the description below. So, go try it out. Now, let's go find out what Uber is worth based on these assumptions. So, I hit the analyze button. I scroll down, guys. I have a low price of 85, high price of 255, middle price of 150, which gives me a potential 19% return. Guys, don't go away because now I need to show you the kind of income that I make while I wait for stocks to hit the price I want to hit. Let me repeat that. I'm getting paid to buy a stock that I want at a lower price. This is what a cashsecured put does. And let me explain that in pure English. When I sell a put on a stock, I'm basically saying, "Hey, I want to buy this stock, but I want to buy it in the future at a cheaper price than where it's at today. So, I pick a price that I'm happy buying it at." That's called the strike price. And while I wait to see if it gets there, the market pays me money just for making that commitment. So, I'm either going to buy a great stock at a price I love and keep that money, or I'm just going to keep the money and not get the stock and wait for another one. Either way, I win. So guys, let's look at some puts. Let's start with Uber. We go to our options chain here. Now, I'm gonna pick a date in the future. I like to go one month out. So, let's go to August 7th. And let's say Uber's at 73 right now. Let's say I want it at $65, guys. Somebody's going to pay me almost a dollar per share, which if I do that over and over every single month for the entire year, it's a 17% return on my cash. So, if I if I do this every single month and I never get Uber shares and I keep selling it at this kind of return, I'm going to make 16.8% on my cash. So, I'm making almost one and a half% per month in cash waiting for Uber to fall. If Uber gets to $65 or lower, I get it for 65 bucks and I keep my dollar. So, I essentially paid $64. If it stays above 65 bucks, I still keep my dollar. I don't get the shares. That's what I mean by that. Let's go pull up Microsoft. See what that one looks like. Microsoft. Let's go again. August 7th. Good return here. Similar. 345 per share. Guys, the stock's almost at 390. I can buy it for $45 cheaper and make 16% return on my cash because somebody's going to pay me almost $5 per share to wait for the stock to fall. Now, you might sit there and say, "What's the catch?" Well, the catch is emotional. What are the what if we have a bad bare market and the stock or Microsoft has a bad run and it falls to 300. Guess what price you're paying for Microsoft? You're paying 345 and you get to keep your five. So you're essentially paying 340. It is hard psychologically for people to pay 340 for a stock that's selling for 300. My eyes is if it was at 345 right now, I buy it right now for 345. So if it fell to 300, I'm still going to be out 45 bucks. But in my put situation, I at least got to keep $5. So, I essentially only lost 40 versus 45. That does take somebody to be able to realize that and be disciplined enough to do that. Let's go look at Meta. We'd have to be basically at 520 in stock price. So, stock's currently at 5.88. So, 520 in stock price gets me a 17.2% return. And oh, wow, it's just jumped up. Oh, no, there it is. $7.87 per share. This is how I make great money on the cash sitting in my account. So guys, if that sounds of interest to you, I want you to do me a favor. We have an absolutely free options PDF. Click the link in the description below or in our first pin comment and you can download this PDF in a matter of seconds, absolutely free. It'll explain this entire thing to you. Now, I just showed you those three stocks that I like right now, but those three are part of a much bigger list. I have 46 stocks on my watch list and in my next video I go through all of them and I show you the ones that I'm watching really close right now. So if you want to know what's actually on my radar, click the video on your screen and check it out. Thank you for your time.