 OUR PARTNER PAUL ESSEN CELEBRATES 3 YEARS OF HIS PORTFOLIO5 tips from Paul about investing for long-term growth Our portfolio creator Paul Essen is ringing in 3 YEARS of the Freedom Portfolio, updated on Stock Card! Like any sensible investor, he isn’t breaking a sweat when his stocks go through a rough patch. Here are 5️⃣ gems he shared from his journey! 1️⃣ Paul sticks to his guns. He is open and transparent about these past few quarters underperforming because he has 20 years of experience that keeps him level-headed when his long-term plays aren’t going up 100% of the time.👀 2️⃣ With the rapid growth that boosted his Freedom Portfolio throughout 2020, this slowdown in growth doesn’t shake his confidence. A focus on diversification while shooting for innovative and disruptive companies is essential! 3️⃣ Forward-thinking companies can make all the difference, but you might not know when that difference is coming! His Square (SQ) stock traded flat for over a year until it suddenly exploded at the onset of the pandemic and the increase of cash app payments. 4️⃣ You should always revisit and review your portfolio. Paul is reconsidering the strength of some key stocks. For example, Disney (DIS) has nearly doubled in his portfolio but has underperformed the S&P, possibly due to the streaming war, parks, or other factors. 5️⃣ According to Paul, the underlying theme of his changes this quarter was concentration. In other words, trimming off the losers dragging him down and beefing up his more successful positions. You can read his full quarterly review here on his site: https://paulvsthemarket.com/the-freedom-portfolio-october-2021/   WHY MASTERCARD IS SO DOMINANT5 tips from our partners' analysis of this payment processing industry leader When inflation surges, this dominant payment processing stock will come out on top! Mastercard (MS) is up more than 8000% since it went public! Our partners Brian Feroldi and Brian Stoffel dug into the stock to see if it was worth a buy. Here are 5️⃣ gems they shared! 1️⃣ #MS operates one of the largest payment processing networks in the world! It is the middle man between consumers and merchants, keeping the movement of money quick and painless.👀 2️⃣ Mastercard is using the massive amount of data it has gathered to generate another lucrative stream of revenue by offering subscription offerings like cybersecurity and identity verification services. This optionality is valuable! 3️⃣ The nature of the Mastercards payment processing services add to its “network effect.” The more merchants use #MS, the more consumers do as well. The companies and individuals that use #MS find it inconvenient to switch afterward. 4️⃣ The company has management that is shooting to expand its optionality by expanding its share of the market with merchants, extending its service to benefit consumers, embracing new networks in banking, digital identity, and more. 5️⃣ While it is losing some ground in terms of competitive advantage because of other companies like Visa, the stock still landed well in the “investable” range for Brian and Brian’s ratings. Check out their full analysis!  2021 LESSONS FOR 2022 INVESTINGJoseph Hogue shared his lessons learned from this year, and how it's changing his strategy Joseph Hogue’s Bowtie Nation portfolio on Stock Card is up over 25% this year! Here’s a thread of 5️⃣ tips he shared as he covered his best and worst picks this year, as well as some advice for 2022: 1️⃣ Peter Lynch said “Invest in what you know…” and this principle has guided Joseph’s investing strategy by reminding him to do diligent research on the ins and out of an industry before entering a long-term position. 👀 2️⃣ Doing your homework on a stock means you can notice trends or signs of mispricing ahead of the curve! Investing against the market is where you can make the largest gains, but requires the most insight. 3️⃣ 20 or 30 stocks is the sweet spot for the number of individual stocks you hold in your portfolio. If you add too many, it becomes increasingly difficult to keep a close enough eye on each to time your sell. 🔎 4️⃣ We’re not going to give away his best picks, you have to check out the portfolio to see that! Some of Joseph’s tough losses were from companies like Clorox that were the early victims of pandemic woes and inflation. 5️⃣ Using a “big picture view” to begin narrowing down your list of potential stocks can bring you a stronger portfolio because even if you don’t pick the perfect company, you can still be riding the trends! Check out his video here:  5 TIPS FOR BUYING GROWTH RETAIL STOCKSOur partner Leo Rodriguez broke down which companies are going to see growth this November The pandemic stole Black Friday last year, but it’s back and could be bigger than ever! What stocks should you load up on before the spending spree? Our partner Leo Rodriguez analyzed his top picks on his channel. Here are 5️⃣ tips he shared! 1️⃣ Leo referenced some predictions made by experts for this year’s Black Friday: supply chain shortages, online sales overtaking in-store purchases, negative effects from staff shortages, and higher use of buy-now, pay-later. 👀 2️⃣ TJ Maxx is likely to be a big winner this holiday season. Leo used Stock Card to show that #TJX stock is currently fairly priced, if not a little undervalued. This boost to sales could cause a significant jump in value. 3️⃣ The rise of buy-now, pay-later has allowed people to buy larger and pricier items and handle them easier financially. This means that higher revenues from luxury-oriented items could be expected from many chains. 4️⃣ These retail stocks aren’t just short-term plays for the rest of the year. Stock Card’s growth potential ratings show us that the apparel retail industry is poised for even more growth: at least 5% by 2025! 5️⃣ This shopping season could be bigger than anyone expects! In-store shopping is back, and with it comes relaxed mandates. If you are looking for more retailers to add to your portfolio, check out the rest of his picks here:  IS BILL.COM STOCK A BUY?5 great points from our partners Brian Feroldi and Brian Stoffel Small and medium-sized businesses are utilizing Bill.com to manage back-office and integration solutions. Our partners Brian Feroldi and Brian Stoffel dug into the stock to see if it was worth a buy. Here are 5️⃣ gems they shared! 1️⃣ #BILL uses cloud-based software to simplify, digitize, and automate complex back-office financial work for small and medium-sized businesses. This frees its clients up to focus more on managing and growing their business.👀 2️⃣ Brian and Brian used Stock Card to take a look at some important stats like the 151% quarterly YoY sales growth, or the gross profit margin of 74%! Unfortunately, this also revealed that the company is not profitable on an EPS basis. 😬 3️⃣ Over 80% of the top 100 U.S. accounting firms use Bill.com! This may be due in part to the reputation of its founder, Rene Lacerte, who founded PayCycle as well. Top Accounting has named him a top 100 industry figure 7 years in a row! 4️⃣ #BILL is a powerful contender in the payment and processing industry because of its large amount of collected data, expanded network effects, emphasis on risk management, and experienced leadership, among much more. 5️⃣ With an (estimated) market opportunity of 6 million small and medium-sized businesses, Bill.com is trying to get a piece of the $24 trillion pie of payment volume in the U.S. Check out their full analysis! |
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