Ticker Symbol YOU: The Most Overlooked Stock Right Now

Outside of memory, which I know makes up a good chunk of the port, what do you think right now when you look at your portfolio is the stock that is getting the least attention? Like people are not talking about it, but they really should be. And I put him on the spot. >> Hmm. I I think that not probably so like it's I don't know what people talk about. So like my gut says the answer is ASML. Like if I had to pick one stock that people should be talking about way more, uh it's ASML. And it may not be for the reason that people think, right? So when things get supply constrained, so ASML has a few benefits. It's in the Netherlands, right? So it's like pretty far removed from the Strait of Hormuz, even though like it has a really global supply chain, but like it's pretty resilient to these supply chain shocks. ASML is like first and foremost a supply chain company. It is like mastered the art of creating this really ridiculous machine that it sorts that it sources from like I want to say over a thousand different companies, you know, so like when it comes to supply chains, nobody has it nailed like ASML in my opinion. And so in times like these, that's they have a lot of supply chain resiliency relative to other companies. Does that make sense? Like a lot of other companies are just worse at managing their supply chains through COVID, through these supply chain shocks. Go ahead. >> Yeah, just for those that aren't maybe deeply familiar, can you just elaborate on your thesis about them and then go into the >> Sure, sorry. So ASML uh is the company that makes EUV lithography machines. EUV stands for extreme ultraviolet. It's just a fancy way of saying they make the oven that the chips cook in, right? Like think about it that way. So if TSMC runs an industrial kitchen that makes all these amazing chips, right? Nvidia's GPUs, Apple's processors, AMD's stuff, you name it, right? TSMC makes all the chips right? ASML makes one of the most important machines in that chip-making process, which is called the EUV lithography machine right? Okay. Uh the special thing about ASML is they're the only company that makes these EUV machines. They like I'm not using the word monopoly negatively here. I'm not trying to call them a monopoly, but they are effectively the only company on planet Earth that can make these machines at enough scale to give them to TSMC, to Intel, to Samsung, etc., right? Like So, that they're a single source supplier for a very important machine, especially in the AI era. They're also extremely supply chain resilient in an era where we have tariffs, uh supply shocks from COVID, supply shocks from the Strait of Hormuz closing, right? Like all these other things that are affecting all these companies, but that don't come from the company, which is how we started this conversation, right? A supply chain shock over here affects us all, even though that's not any one company's fault, right? Like no company did anything wrong that caused this. This is a bigger picture macroeconomic thing that's happening. ASML is largely removed from that. Not entirely, right? Because of some of their stuff just comes from all over the world, but largely, right? Um between So, between being extra resilient to a lot of the things that's pushing the market down and having a monopoly on like one of the most important things of why the market is going up, I'm really surprised that ASML just like isn't on way more short lists uh that you know, memory gets made on ASML's machines, GPUs, CPUs, ASICs, right? Like this is the company like if you delete ASML, you you just delete the stock market at this point, you know? >> Yeah, and up 55% year-to-date and has held up a decent amount better, I would say, also even on this pullback potentially because of that monopoly-like structure that they have. They're down, you know, 12% in the same time period that an MU is down 30%. >> Yeah. >> Why do you think that they have no real competition? >> Um I think the problem that they solve is just like incredibly hard to solve. It's like the the only thing they do. I also think it takes a lot of like specialized parts. One of my favorite like little facts about um ASML is so they they work with a mirror company called Zeiss, Z E I S S. Um and Zeiss makes the flattest mirrors on planet Earth. And uh if you put so basically the way EUV works at a super high level, like I'm not trying to derail the conversation, is uh it takes a bunch of ultraviolet light, shines it through a bunch of mirrors, and then that light is in a pattern that the chip will get like stamped out in, so to speak. Um and that light hits the chip and it etches out like the pattern of the chip, right? >> Right. >> So these mirrors need to be super super super flat because there's a lot of them, and if they're not flat, they distort the light, which changes the shape of the chip, which results in errors, which is how you get lower yield, right? So one speck of dust can cost like millions and millions of dollars if it effs up an entire like um >> Yeah. >> you know, silicon wafer of Nvidia's GPUs, let's say. Um so these mirrors are so flat that if you blew one up to the size of the United States, right, the 48 contiguous United States, the sma- the biggest bump on it would be about the size of one grain of sand. One grain of sand. It is one of the flattest things like produced in the universe are these Zeiss mirrors right? That's one part in uh these EUV machines. So it's not that simple to just like, "Oh, we can build it, too." There's a lot of like science, engineering, integration, institutional knowledge, physics, like the I mean, I almost hesitate to even use the word physics, and we should start using words like black magic, right? Like Like these guys are wizards, not engineers. And the fact that this stuff exists at all is mind-blowing even to me and this is my background so. >> Have you had a chance to visit any of these factories and check any stuff out? >> I would have loved to. If anyone in the industry is listening to this, dude, just just open the door for me and I'm in. Clean rooms tend to be pretty close hold. These are like where institutional and trade secrets like really get, you know, baked into the product itself. I've asked TSMC they were like, "Hey, we actually even know who you are." No. And I was like, "Okay." You know, so you you ask all these companies and they usually like uh that's very close hold, you know. I've seen a few I've seen a few content creators get in and I'm always like, "How? What black magic did you pull to get into this?" Like, you know what I mean? >> You're ready to take the next flight out to Taiwan? >> Dude, I'm there. I'm there. If they ever let me in, I'm there. They're like, "We'll give you a tour of our museum and you can see some I was like, "Eh." Like, "Sorry, that's not what I'm looking for, you know." >> No, no, no. We need to act I'm not going to lie.