3 Stocks to Buy (& 3 Stocks to Sell) Before July 2026 Ends
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https://www.youtube.com/watch?v=SkCAu6ZBx2o
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Analyzed
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July 14, 2026 at 06:02 AM
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Recommendations
GOOGL
BUY
"So that was the first purchase, the first buy recommendation from Morning Stars list."
Context: First stock on their list is Alphabet... So that was the first purchase, the first buy recommendation from Morning Stars list.
Price on publish date: $352.51
Last day closing price: $352.51
(Jul 13, 2026)
Profit/Loss:
+$0.00
(+0.00%)
AMAT
SELL
"the first stock their strategist says to sell might be one you'd never expect because business is actually booming for these guys right now. What stock is that? Applied materials or AMA is their ticker symbol."
Context: Now we flip to the other side. The first stock their strategist says to sell might be one you'd never expect because business is actually booming for these guys right now. What stock is that? Applied materials or AMA is their ticker symbol.
Price on publish date: $575.39
Last day closing price: $575.39
(Jul 13, 2026)
Profit/Loss:
+$0.00
(+0.00%)
PLTR
BUY
"The second stock on their list to buy, Palunteer."
Context: Now, let's swing back to the buy side because this next name gets people fired up more than almost any stock out there as we speak. The second stock on their list to buy, Palunteer.
Price on publish date: $130.04
Last day closing price: $130.04
(Jul 13, 2026)
Profit/Loss:
+$0.00
(+0.00%)
TER
SELL
"Stock number two is Pterodine."
Context: Now back to Morning Star sell list. And if this next company feels a little too familiar to the last one we sold, well, that's kind of the point for the case they're making. Watch this. Stock number two is Pterodine.
Price on publish date: $341.11
Last day closing price: $341.11
(Jul 13, 2026)
Profit/Loss:
+$0.00
(+0.00%)
CRM
BUY
"So let's get to the last stock that the strategist wants you to buy. And this one comes with a giant clue that management themselves thinks it's cheap. Salesforce."
Context: So let's get to the last stock that the strategist wants you to buy. And this one comes with a giant clue that management themselves thinks it's cheap. Salesforce.
Price on publish date: $171.22
Last day closing price: $171.22
(Jul 13, 2026)
Profit/Loss:
+$0.00
(+0.00%)
AAL
SELL
"And our final stock on Morning Stars list to sell, American Airlines."
Context: And our final stock on Morning Stars list to sell, American Airlines.
Price on publish date: $16.31
Last day closing price: $16.31
(Jul 13, 2026)
Profit/Loss:
+$0.00
(+0.00%)
Full Transcript
The chief US market strategist over at Morning Star just named three stocks that he says you should buy right now and three that he says you should dump. But here's the thing, a fancy title doesn't pay your bills. The price you pay does. Following a big name blindly can cost you real money. So today, we're taking all six of his picks and running every single one of them through our own process, the real numbers, the eight pillars, and then our stock analyzer to see if they actually hold up or if they just sound good. And a few of these are actually going to surprise you. So, let's get into it. First stock on their list is Alphabet. And you know it is Google. For a while, everyone was terrified that AI chat bots were going to absolutely kill Google search. The opposite is happening. AI is actually making search much better, which keeps people using it more, which means more advertising revenue for Google. YouTube is also booming with both the number of ads and the price of those ads climbing. And Google Cloud, the business that rents computing power to other companies, grew massively last quarter and has become a key home for AI. So, Google wins from AI three different ways. Better products, better cloud business, and better ads. So, let's dive in. So guys, as you'll always hear me talk about, the actual price of Google is the $4.5 trillion market cap. The stock price is only dividing that market cap by all the number of shares. But this is actually what you're paying for the company. Next thing I like to look at is that enterprise value. It is $4.59 trillion. That difference there is hundred billion. That is essentially the debt they have on hand after their cash. Now, why is that important? Because the next metric I look at is what was their free cash flow. It was 64 billion last year, 68 billion a year for the last five years. This means that in one year and 8 months they can pay off that debt. Essentially, that is a very good balance sheet. Now, next thing I'm going to show you is look how different cash flow is from net income. The one-year difference is astronomical. The 5-year difference is also huge, 68 billion versus 97 billion. Now, why is that? Well, we've seen lately with Capex and all these tech companies, they're building out these data center and the AI and all that stuff they're doing that costs a lot of money. They're putting a lot of investment into those. Okay, next thing. Good returns on capital 13.6% last year, 18.74 a year for the last 5 years. This is what I love right here. Profit margin. Look at this. 10-year profit margin 26.9, 5year 29.4, one year 38. their profit keeps getting better and better and better. So, not only are they increasing their revenue, but the bottom line profit as a percentage of that revenue keeps getting better and better. That is a quality quality business. Now, they've only made about 15 billion in acquisitions over the last 5 years, which sounds like a lot, but relative to their cash flow and their market cap, it is not. And they've still managed to grow. Look at this. Their three-year compounded revenue growth was 14% a year, guys. Remember it was a little over 3 years ago that people were saying AI was going to eliminate Google. The stock had fallen into the 80s. People were calling for the CEO to be fired. My how things have changed. Let's go check out our eight pillars now and see what the company looks like. So guys, we have checks everywhere except for the valuation metrics, the 5-year PE and 5year price of free cash flow. I want to remind everybody for every single stock we talk about, seeing checks and X's don't mean it's good or bad. It's all about the story it's telling. High returns on capital, buying back shares, cash flows up, net income's up, revenues up, low debt. Those are all great things to see. The buying back shares is only good if you're buying back shares as the stock is cheap. These two metrics right here are a little alarming, but remember guys, it's all part of a look at their profit keeps increasing every single year at a higher rate. That can mean that these are okay. Don't just look at PE and say expensive or or cheap. It's all about what the future holds for that. Now guys, I've thrown a lot at you. If it feels overwhelming, you are not alone. The reason I teach on YouTube is I realize that everybody tries to over complicate things in order to sound smart. I'm here trying to keep it as basic as possible. If I ever say anything in the video that is confusing to you, please let us know in the comments because we watch the comments for repeated messages that we have to sit there and say, "Hey, I need to explain this better in a future video." But if you're looking to understand all of these key metrics a little bit better, I have a great absolutely free key metrics PDF cheat sheet for you. Click the link in the description below or in our first pin comment and you'll be able to download that PDF absolutely free in a matter of seconds. It'll allow us to be speaking the same language as we go through and talk about every company. Now, before we get into what I think the stock is actually worth, let's look at what the analyst estimates are for this company. So, earnings per share more than doubling from 1450 to $31 in the next 5 years. Guys, that's a lot of growth. That's 157% a year earnings per share growth. And in terms of revenue going from 500 billion to a trillion dollars over the next 7 years, that's doubling in seven years. That's 10% per year revenue growth for this company, guys. For such a massive company and their profit to keep growing from that is an absolutely incredible business. Now, we have a little bit of story. We have a little bit of numbers. What we're here to do now is use a stock analyzer tool to see, are we even in the ballpark? Should we spend more time on this? Remember though, it's all about putting in good assumptions into the stock analyzer tool. So, if you have our software, make sure you watch this video if you want about how to make better assumptions. But here are my assumptions for the next 10 years on Google. First, revenue growth. I did 7, 9, and 13%. Next, profit margin and free cash flow margin. Guys, I did 2830 and 32, but you saw they crushed to 38% in the last year. Is that a fluke? Is it going to be part This could be very low just based on that alone. If this isn't a fluke and this is a permanent number for them, this could be very low here. I could be I could be a little conservative here. Next, what PE and price of free cash flow would I assign to Google 10 years from now? Not an average over the next 10 years, not today, 10 years from now. by then much more solid company much more ingrained in our lives I personally put 20 23 and 26 I always start at 15 or 16 in my head then I say is this a better company than average or a worse company if it's better I go higher how much higher guys that's the hard part about investing that is the art of investing we don't know the exact number you got to sit there and kind of say well high returns on capital growing business ingrained in our lives it deserves a premium Remember Warren Buffett bought Coca-Cola at 30 times earnings back in 1987 and he still made about 12% a a year on his money paying 30 times earnings. So it's all this is part of the art of investing. And then finally, what is my desired return? Now guys, for our videos, I always put in 9%. Now, that doesn't mean I want a 9% return. It's just my way of saying what's the intrinsic value to this business. But remember, there's no margin of safety. You got to have a margin of safety. If you only want a 9 or 10% return, you're going, you might as well just buy a lowc cost ETF. So, I have my assumptions in here. I hit the analyze button. The stock is currently at 366. I have a low price of 240, high price of 530, middle price of 330 for a 7.8% return based on today's price. So, for me, guys, it's just a matter of me waiting. Now, I had it on my watch list at 225. Why? because my personal return requirements are much higher than 9%. But that doesn't mean yours should be as high as mine. It's really important that you decide for yourself what return you want for this company. So that was the first purchase, the first buy recommendation from Morning Stars list. And remember, these are the author's picks, not mine. At least not yet. And that's exactly why we checked them ourselves. Now we flip to the other side. The first stock their strategist says to sell might be one you'd never expect because business is actually booming for these guys right now. What stock is that? Applied materials or AMA is their ticker symbol. These guys make the machines that make computer chips. The picks and shovels of the entire chip industry. And business has been absolutely booming because the whole world is building AI chips all at once. So, why is he saying to sell? Well, here's the catch. This historically is a boom and bust business. When everyone rushes to build chips, a company like Applied Materials makes a fortune. But when that building slows down, the orders are going to dry up fast and the stock can fall hard. Remember our rule, a great company becomes a bad investment if you pay the wrong price. So, let's go dive in deeper and see what the numbers say. So, Applied Materials is a $427 billion business, guys. Look at this. Enterprise value of $434 billion. That's an $8 billion difference. And they generated 6 billion in free cash flow. So, I like that balance sheet number real quick. While looking at that, they pay a small dividend of.3%, but it still eats up about 25% of their free cash flow. They're selling for 70 time 75 times free cash flow and 50 times earnings. That's a big number, guys. And again, it can make sense if things are going to be getting consistently bigger. Profit margin is getting better. 24% a year for the last 10 years, 26% for the last five, almost 30% last year. High returns on capital. Obviously, a quality business here. So, very little in terms of acquisitions. But what's interesting to me is this. The revenue growth rate is only 3% a year for the last three years. If this is a company that's booming, why is it only 3% a year? Maybe this guy's on to something. So, let's go check out the eight pillars here real quick. Just like Google, we've got a lot of check marks here with the two X's being on valuation, the PE ratios. Everything else is a check mark. But again, I'm very confused by this um earnings, the revenue growth. Let's go check this out. That's incredible. I'm very surprised by this massive slowdown in revenue growth. All right, so let's see what analysts are saying about this company. Profit growing from $12 per share to $21 per share over the next four years. High growth, guys. Very high growth. And revenue a little choppy. Growing from 33 billion to 50 billion. So at a 50% increase over the next four years. It's a lot, which I'm kind of surprised about considering they've only done 3% a year for the last three years. Kind of confusing to me. So again, we're going to go sit here and go to our stock analyzer tool. All right, guys. So I did a 10-year analysis. First step, revenue growth. I did three, five, and 7%. Greatly below anal estimates, but I'm okay with that. I'm looking for a little boom and bust here in this market. Profit margin, I did 20, 23, and 26 for both free cash flow and profit margin. Now, profit margin tends to be higher than free cash flow. So I wanted to focus here on that free cash flow number. So I think this is still realistic. PE. Now remember, high returns on capital. I gave it a little bit of a premium, but I don't like the slowdown in growth. So I put 15, 18, and 21. And again, my 9% no margin of safety return. I hit the analyze button. The stock is currently at 538. Guys, we have a low price of 110, high price of 240, middle price of 166, which means based on today's price, if my middle assumptions occur, I can expect a negative 5% return on my money. Now, you can see why Michael Bur is short applied materials as we speak. So, that's the first cell on the list. And see what we're doing here. We're not just reading you a list. We're putting our own eyes on each one the same way you should want to do before you risk a single dollar. Now, let's swing back to the buy side because this next name gets people fired up more than almost any stock out there as we speak. The second stock on their list to buy, Palunteer. This is the company that takes a giant organization's data and turns it into clear decisions for the military and now for multinational businesses as well. And here's what's wild. The stock recently crashed about 40% all the way down to its lowest price in a year. Even while the business is having the best stretch of its entire life, revenue grew 85% last quarter. Guys, I repeat, revenue grew 85% last quarter. Its profit margins keep getting better and sales to US businesses jumped over 130%. This was a company that used to solely rely on government contracts. They are expanding their footprint and they are doing it successfully. After the 40% drop, some analysts are finally seeing an opening. But Palanteer has famously been very expensive. So the real question is whether it's truly truly cheap right now or just cheaper. There is a difference. So, let's run the numbers and find out. And remember, Bur shorted this above 200 and just exited the short. When he exited the short, the stock did pop quite a bit. So, let's pull up Palunteer in our software. It is all the way back up to 134 right now, but the real price of the business is 344 billion, guys. And watch this. Look at this enterprise value. -6 billion difference between market cap and enterprise value. That means they have more cash on high in the debt and their cash flow is just getting better. 2.7 billion last year versus the 5-year average of 1 billion. But guys, I want you to see this right here. Price to free cash flow is 128. PE is 150. That's a lot. That's a lot. Yes. Everything else is getting better. Returns on capital are 15% in the last year. profit margin obviously getting better because they weren't making money for a while. This gross margin, every extra contract they get, 84% of it is basically profit before taxes and overhead. That's a huge number. A lot of potential revenue growth. 38% a year for the last three years, 34% a year for the last five. Amazing. But again, are we paying too much for a great story? Very important question to ask. Eight pillars, not as rosy as the other ones. Returns on capital, we don't have enough data for the five-year number. Shares outstanding, they have diluted shareholders in the last 5 years. Shares outstanding are up 26%. But let's see what's going on as of late. So, let's go quarterly, guys. The shares outstanding seem to have stabilized here. God, I love these charts we have now. It allows you just to click a metric and show you these charts. So, quarterly, it's still getting higher. It seems to have steadied off a little bit and just slightly decreased over the previous quarter. And you can scroll over here and see exactly what the number is. 2.57 versus 2.58. So this might slowdown might be happening right now, which is great because this is a cash positive business. Why why dilute shareholders anymore? You're hurting the people who've supported you all along the way. Such little debt. It's absolutely incredible. Now, ready for these numbers? profit estimates are a$134 this year growing to 637 over the next four years guys that is a what is that 5x almost almost a 5x over the next four years let's put it this way if you think this company is a 22 PE in four years that makes this $130 company where it's currently at today that might be something to consider here but remember their free cash flow is greater has been greater than their net income over the last few years. And look at this revenue growth over 4x in the next four years going from seven and a half billion to 33.2 billion according to analysts. Absolutely incredible business. So let's go to our stock analyzer tool. Now guys, this one's harder. This is one of the ones that I look at the way Buffett says, can I accurately or reasonably um predict what the company's going to make in the next 10 years? It is very difficult for Palunteer when these companies are in their really good growth stage. Is that growth going to slow? Is it going to stop? Is it going to get even better? These are the questions to ask. So on my 10-year analysis, I went aggressive guys. I did 1520 and then jumped up to 30% revenue growth. For profit margin and free cash flow, I did 30 40 and then jumped up to 55% here because look, they did 51 and a half% in the last year on free cash flow. That's a big number. Next, 10 years from now, what PE I put 18, 22, and 26. And again, no margin of safety, 9% return. Guys, I think anybody would agree these are aggressive assumptions. I hit the analyze button. The stock's currently at 134. This is why I have an issue. I have a low price of 26, high price of 196, middle price of 59. So even on my highest of high assumptions, I have a 13 and a half% return. How does it go when you buy investments based on their best assumptions out there? For me, I don't agree with Morning Star here that it's a buy. But again, everybody has a different interpretation of what the future could be. That's why we have the stock analyzer tool for people to use because you might know something that I don't know. And that's what's wonderful about investing. Now before we go on to the next stock to sell, I need to say this. You cannot take our title and thumbnail literally. We are never here to give a stock tip. We are here to teach you a process so that one day you can sleep better at night because you know how to value a stock. You know how to make good assumptions about its future and you understand the price that you're paying. Now back to Morning Star sell list. And if this next company feels a little too familiar to the last one we sold, well, that's kind of the point for the case they're making. Watch this. Stock number two is Pterodine. And I always laugh at this one because it sounds like Aerotine from Wolf of Wall Street. Pterodine makes the equipment that tests computer chips to make sure they actually work. And it also builds factory robots. Are you catching on to a theme here? Just like Applied Materials, it has been riding the AI chip wave. and the stock has climbed a ton. But it's the very same story. This is an up and down cyclical business tied to how many chips the world is making. When the chip cycle cools off, the demand for testing gear cools right along with it. So, let's put it through our process and see what we can find from it. So, Pterodine is a $60 billion market cap business with essentially the same enterprise value. We love that. Now, net income and free cash flow are a little bit different. Free cash flow is down from its net income over the last 5 years, over the last one year. And even over the last 5 years, guys, it's selling for 108 times free cash flow. Cheaper than Palunteer pays a dividend. Only eats up 77 million of their of their free cash flow. Good return on capital over the last 5 years. A little bit lower last year, but still decent. profit margin 20 21 and a half and 22 and a half over the last 10 five and one year which is getting better because they have a 59% gross profit. Okay, not quite as good as definitely not as good as Palanteer, not quite as good as Google but it's still up there. Revenue growth the last three years only 7.9%. Last five years only three and a half%. Kind of surprising there. All right, let's go check out our community members have it as a sell. Let's check out the eight pillars right now. All right. So, cash flow is down over the last 5 years and everything else is a check except for these valuation metrics. You know, the cash flow being down. I wonder why that is. Did they really jump up their their capital expenditures? Because remember guys, cash flow is cash from operations less your capital expenditures. So, whenever I see a big drop, I always wonder, especially this day and age, yeah, there's a pretty big jump in capital expenditures here. 13 to 225 over the last 5 years. Okay, that's a big jump. Are they investing in the future? These are the questions to ask as you look at these companies. So, let's pull up analyst estimates. All right, doubling over the next five four years from 731 to 1486. It's a lot of growth, guys. A lot of growth. And revenue growing from 4.5 billion to 7.7. Also a lot of growth. So this is so what's interesting to me is I look at these numbers on the growth and I go then why are they struggling in growth in the last three years when the boom has been happening? Is it going to get better? These are the questions I think hopefully you're seeing. Oh that makes sense to ask. We've seen a big boom in the last three years in AI and chips but we've only seen a 7.9% revenue growth yet we're seeing big revenue growth here for the next four years. I have to ask those questions. So guys, what I always like to do here is I like to look at the earnings per share in the final year and say, "Okay, multiply by 22. It makes this basically a $330 company. What's the current stock price?" 330. Isn't that ironic? So the analysts are right and they make $15 per share, and you multiply it by 22 times earnings, which is a premium, you're still only getting to today's price. But again, we don't know what's going to happen in the middle. So, let's go to our stock analyzer tool and we're going to do a 10-year analysis like usual. Now, I did revenue growth of 3, six, and 9%. I did profit margin and free cash flow of 17,1 19 and 21 because I focus on the free cash flow here because I'm looking at this going it's consistently I mean here it's even but the last five years free cash flow because as we said the capital expenditures are up. Next, what PE high returns on capital? I'm still putting 14, 18, and 22, but not quite the premium I was talking about before. In fact, I kind of want to make this actually, I think I'm going to alter this. I think I'm going to make this 14, 17, and 20 because I don't think this company deserves that big of a premium. And finally, my 9% no margin of safety return. I hit the analyze button. Boom. Low price of 60. high price of 145, middle price of 95 for a negative6% return based on my middle assumption. So I don't necessarily disagree with Morning Star on this. So let's get to the last stock that the strategist wants you to buy. And this one comes with a giant clue that management themselves thinks it's cheap. Salesforce. If a company needs to keep track of its customers, who they are, what they bought, how to keep them happy, there's a good chance it runs on Salesforce. It is the leader in what's called customer relationship management, CRM, which is also their ticker symbol. The business is doing well. Revenue and profits have beaten expectations, and management is so confident the stock is cheap that in a single recent quarter, they bought back around $27 billion of their own shares, shrinking the company by about 16%. When a company buys back that much stock that fast, they are telling people loud and clear that they think it's a bargain. Now let's check the price for ourselves comparing to the fundamentals guys. Salesforce is down 32% over the last 5 years. But what's interesting is the business is 26.5 billion 5 years ago, 42.8 billion last year. Think about that for a second. It is $148 billion market cap versus a $28 billion enterprise value. That's a $60 billion difference. That's the biggest one we've seen so far. But guess what? Free cash flow last year was 14.5 billion dollars. Five-year average was 9.6. So, a real big jump in the last year. And it's way better than their net income numbers, which I love. It is selling for 10 times free cash flow. 10 10 times free cash flow. Guys, I want to show you something here. [snorts] Look at their free cash flow multiple. Look back here. They were always really high. Look at that. Just high high. 4251. and they just started to go down. Okay, returns on capital aren't great. 4 and a.5% a year for the last five, 8.8% for the last one year. But look at this profit margin. 11% for the last 10 years, 11.9 for the last five, 18.7 last year. Is this a fluke? That's the question we have to ask ourselves. 72% gross margin. and they made a big acquisition in Slack for 27.5 billion in acquisitions over the last 5 years. Our community members have this as a buy. So let's go to the eight pillars. Bad returns on capital. PE 5-year PE is very high because look how much different their their 5year net income is less than half of their 5year free cash flow, which is why their 5year PE is so low. Everything else is a check mark. All right, so let's go to analyst estimates. Well guys, analysts seem optimistic. 11.88 growing to 24 more than about doubling a little bit more than that over the next seven, eight years. So what is that? 9% per year roughly. Okay, not bad. Nothing to write home about, but not bad. But they have this revenue growth of high single digits. 42 billion growing to 89 billion over the next 8 years, 9 years, whatever it is. So again guys, we go to our stock analyzer tool to run these numbers. And here are the numbers I've done over the next 10 years. Five, 7 and a half, and 10% revenue growth. I'm focusing here on pro on free cash flow because look how much higher it is than profit margin. And this is the real life of the business. I did 25, 30, and 35%. Next, PE and price of free cash flow. The returns on capital were low. So I put in 14, 18, and 22. and my 9% return. Now, I want to talk to you about joining Everything Money in our community because if you're watching this far, this is absolutely built for you. You've watched me run the stock analyzer a bunch of times, not only in this video, but in tons of other videos. That's the exact tool that I and our members use every single day. [snorts] It's how you stop guessing and start knowing. You plug in your own assumptions. You see what a stock is worth based on the things that you have determined the future looks like and that'll tell you the price to pay. No more buying at the top because a headline got you excited. You run the numbers yourself. But here's what most people don't know. It's not just me in there. Our whole community of thousands of investors analyze stocks together and they find things early. Let me give you one example. One of our analysts, Dalton, called Micron in our private community when it was under $90 a share. Micron, guys, the stock that just blew the doors off earnings and ran to all-time highs over $1,200 a share. He was in there analyzing it in our exclusive content, calling out the value that he saw before the whole hype train started. That's the kind of thing you get access to when you're inside. And you're not doing this alone anymore. We go live together where you can ask your questions and go deeper. And every single day, there are real people in there getting better at this right alongside you. Now, here's the big one. We've got a brand new AI analysis tool dropping very soon. And our members get it first before anyone else. So, if you want it in your hands the moment it's ready, you want to be inside right now, not later. So, do yourself a favor. Come try it. How much is all that worth to you? Guess what? It's only $7 for seven days, a dollar a day, way less than anything you're gonna buy today, and you get all of it. The stock analyzer tool, the community, exclusive videos, live streams, everything. So, click the link below. Come join us, and let's have you start valuing stocks the right way. I'll see you in there. So guys, I have my assumptions here. I'm going to hit the analyze button. Guys, this is pretty interesting to me. Based on cash flow, we have a low price of 210, high price of 577, middle price of 355, which gives me almost a 20% return based on my middle assumptions and based on cash flow on today's price. So, I don't necessarily disagree with Morning Star on taking a deeper dive into this one. And our final stock on Morning Stars list to sell, American Airlines. Now, airlines are a very, very tough business and Warren Buffett has discussed that time and time again. They cost a fortune to run. They get hammered by fuel prices and many of them carry mountains of debt. American Airlines in particular has one of the heaviest debt loads in the whole industry. When you owe that much money and your profits are thin, there's very little cushion if the economy slows down or oil spikes, which with the conflict in Iran, that's a very real risk as we talk now. Guys, I have one airline stock. It's Southwest Airlines. They've never had a bankruptcy apart from the one year of COVID. They've had profitable year every single year in their 50s some year existence or being a public company. I do think they're better managers of their oil hedges and operators of their business. So my biggest concern about Southwest is it's an airline. So let's go take a deeper look in American Airlines. Remember, don't just go by Southwest cuz I like it and it's up a lot lately. Let's take a look at American Airlines and see what we think of this bad boy. It just turned a hundred years old in April, I was just told. Now, guys, look at this. 11.5 billion market cap, $72 billion enterprise value. That's $61 billion of debt. Last year's free cash flow of negative 1.8. 5-year average is 57. Net in I mean, this is already just barf. Low returns on capital with high debt. Profit mar I mean, look at this. profit margin negative for the last 10 years, barely profitable for the last five. Let's go look at let's go look at its history. We actually have two community members who have it as a buy. But let's go look at the history before co 45 billion in revenue generating 1.3 to 1.7 billion in profit. So what is that? 3% 4% profit margin. So even on today's profit margin, on today's revenue, they're looking at $2 billion in profit. Let's say they match that in free cash flow. You're still selling. That's a five five times market cap, but there's a lot of debt here. It's like Walgreens. I bought Walgreens because I did wasn't paying attention to the debt levels. The debt levels were astronomical. I got lucky and sold it early. But I'm looking at this going, this is the exact same thing. The debt levels can absolutely bury American Airlines. If interest rates jump up again, they have to refinance. For me, this is just ugly. I mean, let's go to the eight pillars here. Wow. Cash flow is up 7 billion because they went from losing 9 billion to losing three or losing two. That's basically what it is. Net income's up again for not good reasons. Let's see what analysts think. Wow. They have big jump in profit here. [laughter] Look at these jumps in profit here from losing money to making a ton. And at let's say you call it 15 times earnings, you're at 35 bucks a share here. Okay. What's it currently selling for? 17. Look at the revenue. Basically down. Basically flat or down. So guys, the reason I want to show you stock analyzer tool here, I've actually never even done this before. All right guys, so I'm doing a 10-year analysis and I'm not going to lie to you. This one's a tough one to get through, but I'm going to show you why the stock analyzer can be a little misleading here and why I'm glad you're watching this. Revenue growth. I did 1 3 5% revenue growth. Profit margin, I did 1, two, and three. Yes, they did 4% below before, but I don't like those debt levels now. And with the interest rates being higher, it's probably going to drag down their profit. PE and price of free cash flow did 12, 15, and 18, and my 9% return. I can I'm pretty confident this is going to show out as all green. It did not. We have a low price of 10, high price of 50, middle price of 26 with a 15% return. But guys, for me, I just stay away from it merely because of the debt levels and the industry it's in. So guys, if you made it this far, you're clearly a serious investor or serious about getting better at investing. I have something great for you. We just put out a video walking through the exact stocks that I'm personally buying right now and my full process for finding value in a market like this. So, click the video on your screen to watch it next. Thank you for your time.