Cathie Wood Stocks
ARKK Innovation EFT
ARK INNOVATION ETF
Top 25 ARKK Invest Holdings
As of 05/10/2021
|2||TELADOC HEALTH INC||TDOC||87918A105||8,684,792||$1,311,750,983.68||6.28|
|4||SQUARE INC – A||SQ||852234103||4,297,661||$1,002,859,194.35||4.80|
|5||SHOPIFY INC – CLASS A||SHOP||82509L107||698,308||$774,144,248.80||3.71|
|6||ZILLOW GROUP INC – C||Z||98954M200||6,258,824||$741,952,291.08||3.55|
|7||SPOTIFY TECHNOLOGY SA||SPOT||L8681T102||3,045,685||$729,167,445.85||3.49|
|8||ZOOM VIDEO COMMUNICATIONS-A||ZM||98980L101||2,457,186||$725,459,594.64||3.47|
|9||TWILIO INC – A||TWLO||90138F102||2,089,692||$641,848,897.80||3.07|
|10||COINBASE GLOBAL INC -CLASS A||COIN||19260Q107||2,230,666||$588,226,624.20||2.82|
|11||UNITY SOFTWARE INC||U||91332U101||6,565,952||$587,127,427.84||2.81|
|12||EXACT SCIENCES CORP||EXAS||30063P105||5,118,232||$534,855,244.00||2.56|
|13||CRISPR THERAPEUTICS AG||CRSP||H17182108||4,839,915||$521,258,845.50||2.49|
|16||10X GENOMICS INC-CLASS A||TXG||88025U109||2,562,384||$375,030,522.24||1.80|
|17||INTELLIA THERAPEUTICS INC||NTLA||45826J105||5,147,827||$348,713,800.98||1.67|
|19||PALANTIR TECHNOLOGIES INC-A||PLTR||69608A108||16,447,943||$324,846,874.25||1.55|
|20||KE HOLDINGS INC-ADR||BEKE||482497104||6,263,946||$318,834,851.40||1.53|
|21||IRIDIUM COMMUNICATIONS INC||IRDM||46269C102||8,379,793||$317,845,548.49||1.52|
|22||NINTENDO CO LTD-UNSPONS ADR||NTDOY||654445303||4,579,769||$315,958,263.31||1.51|
|23||IOVANCE BIOTHERAPEUTICS INC||IOVA||462260100||11,063,949||$315,543,825.48||1.51|
|24||TWIST BIOSCIENCE CORP||TWST||90184D100||2,515,803||$293,694,842.22||1.41|
|25||BEAM THERAPEUTICS INC||BEAM||07373V105||3,998,247||$283,155,852.54||1.36|
My Biggest Upside Stocks! 100x ROI Potential
How I Find My Next 10x Stock
Hello guys here today I get to address one of the questions I get more than any other out there. Hey, what are my biggest stocks for upside potential in the future years? And I hate answering this question. And the reason being is, when I think about stocks, I think about risk reward. So I’m not just thinking about what’s the potential upside of the stock, I’m also thinking about what is the potential downside.
And the greater the probability is that I’m going to make a 2x or more on my money in a stock over the next let’s say three or five years, versus lose 50% plus of my money in that stock, like, the better those probabilities are, like, the higher chances I’m gonna invest in that stock invest heavier and heavier, so I don’t just think about upside.
But for today’s video, we’re just gonna talk about the upside the thing that people want me to talk about more than any other as always, so hope you guys enjoy this video.
Don’t forget to smash the thumbs up. As always, that helps you to john and mathway lets me know you appreciate a video like this where I’m going into my biggest stocks for upside potential and why it’s not just about the stocks, it’s about why do I think these specific stocks have so much upside potential, okay, we’re thinking long term with the stocks. These aren’t just like day trades or like this, get in and out of these or something like that.
These are long term investments for me. And today, we’re talking about the next five to 10 years with these stocks. Whenever I go into investment, I really like to focus on the next three to five years. Okay, but for today’s video, we’re really gonna focus on the next five to 10 years with the stock we’re really thinking about, like 2030 numbers 2030, Where can the stock prices be 2030?
Where can these market caps be? And we’re going to go all the way from my fifth you know, biggest upside stock and my potential all the way to number one, by the way that technically sharing six stocks with you here today, cuz I have two stocks that basically I’ve run numbers on.
And I think, you know, both of those stocks are going to be around a forex, they’re all the way to this last one that has 100x potential, like absolutely ridiculous, okay, now, we’re assuming, you know, when we’re talking about massive upside, we’re assuming there’s going to be no super bad luck for these companies, which keep in mind, in everything in life, including in investments, luck does play some sort of factor, okay?
If I look at my most successful investments, like there was fortunate, nothing went super wrong in some of my other investments where things went really wrong, sometimes it was just like, like, the worst things happen. And sometimes it was luck related, right? Like, for instance, investment on mine back in, you know, I started investing in this company in late 2019, the beginning of 2020. And then all sudden, they had to shut down their entire business for over a year. And that was CCL right?
Carnival Cruise Line, I invest in a business who was undervalued asset, it looked like a great dividend play, plus probably getting share appreciation over time. And then next thing, you know, all sudden, a once in 100 year health event comes out, they have to completely shut down their business and go from, you know, a profit machine to awesome, they’re losing millions of dollars.
Like, that’s kind of bad luck, right? Sometimes you’re going to get some really good luck in the stock market. Sometimes you’re going to get some really bad luck. It just depends. Okay, I know I’ve been, I’ve been fortunate enough to receive some really good luck in a lot of stocks out there, where everything just went exactly as planned, and maybe even better as planned. Okay. And that’s what happens sometimes, by the way, peep the shirt, okay, from 2008 free shirt.
This was you get you know, you volunteer your time, you get a free shirt. Okay, and I’m still rocking it today in videos. All right. But that’s what we’re thinking about. We’re thinking about over the long term, you are assuming no super bad luck happens things companies, we’re assuming these companies keep the pedal to the metal, which is another factor, you have to think about, you know, are these companies in get complacent?
Are their management teams gonna get complacent, things like that, you know, these companies are gonna have to work their tails off and they’re gonna have to execute on a plus level to reach these type of valuations that think these companies can go over time.
Okay. And last thing we’ll get into before we get into these five stocks, Well, technically six stocks is why not just invest in in all my money in these particular stocks? And this is a good question because obviously, these are stocks I hold that I think have the biggest upside potential.
And if we’re thinking about just the reward potential, then it would make sense just to put all my money in these stocks because these are clear the stocks I believe, that have the biggest upside that I hold, right. But at the same time, the stock market doesn’t just work in reward potential, it works in risk potential, right?
It’s not just about what could go right for that stock. It’s about what could go wrong for that stock and those sorts of things. So you know, nowadays especially with the type of money I have invested in the market, I like to be in 15 or 20 different stocks out there. years ago when I had 100k to my name or 200k to my name or less than that. I was cool with being in five stocks I was fine with that.
But nowadays it’s different Okay, there’s different amounts there and I like to be more diversified and I like to be a well rounded investor in some great value stocks and some dividend stocks and turn around place some high growth companies, things like that. Okay, so hope you guys enjoy this video as always, and let’s get into
This guy so first off up here it looks like we need a light blue marker to figure out this by the way, if anybody can guess all you know 60 stocks you are special okay?
That means you watch way too many my videos, man, you need to go like go research some stocks quit watching my videos. Anyways guys. So first stock up here of the bunch is Tesla, my Tesla. Okay, so Tesla, I think this company has 4x ROI potential by the year 2030 I think they could go from Great, now they’re at about $600 billion market cap, I think they could potentially go to 2.4 trillion by the year 2030. Now this assumes several different things.
Okay, this assumes that I am going to be correct about the high majority of cars being sold in year 2030, or electric cars cave, that’s assuming I’m correct on that. That’s also assuming that I am correct on this thesis I have in which I believe in developed markets like United States, Canada, Europe and maybe some other markets, I believe that Tesla will have around a 25% to maybe even up to a potential 50% market share in new cars sold by year 2030.
Okay, so those are two big things. Okay, one, we have to completely transitioned from the high high majority of cars sold here today, or ice vehicles, gasoline, we have to convert over to getting almost all new cars sold by year 2030 to basically be electric cars. And then Tesla has to have a market share that we haven’t seen ever in modern history when it comes to automobile sales, okay. And this is also assuming Tesla gets the autonomous taxi network rolled out in all major markets.
This is assuming like, you know, the the numbers on China are really strong and those sorts of things. They’re not going to In my opinion, Tesla’s not going to get a 25% or 50% market share in China, India and some other big markets, okay. But in some of those markets, if they just get 5% market share, they’re winning. Like like apple, for instance, Apple has a very small, a very small market share in China compared to like the United States.
But China is still the second most important market for Apple because the market so dang big in China, right? And so same thing with Tesla, Tesla doesn’t have to get 25% or 50% market share in China, they get 5%. That’s massive. Okay. So this is assuming some things go right, this is assuming Tesla can build into a cash flow machine.
Now, in regards to Tesla, the wild card is really the autonomous taxi network. And I you know, the thing is an autonomous taxi network. Okay, first off, this has never been done before. So we have no model to go off of, for that business model. There’s some folks that believe the Thomas taxi network business is going to be incredibly profitable, like an absolute cash flow machine, to the sky for Tesla.
I don’t know, okay, when I look at this opportunity, I know it’s massive, there’s no doubt like the market for a car coming to be able to pick me up where I’m at, and there’s no driver inside. It just takes me wherever I want to get out. And it charges me a fee. But that’s great.
Okay. I don’t know, like, what the cash flows are going to be there long term, because we don’t have anything to model this off of. And that’s really, really important. Okay. So, you know, maybe this is something that will bring Tesla in the year 2030 a billion dollars of extra net income, maybe it’s something that brings them $10 billion. I don’t really No, no, no arcs run numbers on this.
But at the same time, remember, you know, when you go into a brand new business where it’s never been done before, things don’t always go according to plan. So the big wildcard to these numbers is really autonomous taxi network. And that could be the difference between Tesla being a $2 billion company, or excuse me, a $2 trillion company, and maybe a 4 trillion or 6 trillion or something like that.
That’s really the wildcard, we’ve got to let that play out, though, no one truly knows how profitable or not profitable that business model will be long term. One thing I do know, though, is Tesla has a great chance to be the number one player in that market based upon all the studies I’ve done in that company over the years, like I truly believe, like, like their technology, for self driving vehicles is superior to anybody else out there.
I think they have more data than anybody by a mile by a whole lot more than one mile. Okay. And so that one definitely meets the criteria of big, you know, potential short term or Tessa. Okay, the short term if we’re talking over the next year or two, you know, I think we’re in a kind of a moment where it’s about show me, you know, I think this stock has climbed so dang much. I mean, we’re talking about I was invested in this company a couple years ago.
And it was like a 30 to $40 billion mark cap is climbed into one of the biggest companies in the world. At one point it was over 800 billion. And I think now in the short term, the next year or so, I think the market is going to say, Ilan, Tesla executives proved to me the numbers that this company deserves to be valued over time with Apple, Amazon, Google, fb.
These are the huge companies out there, okay. And I think if Tesla can do that, I think their stock will start to roar again. I think if you know they falter.
Their numbers are bad. You know, in the short term, there definitely can be some more weakness. But I think right now, the stocks, taking a breather.
The stocks taking a breather and saying, Okay, let’s see the numbers over these next few quarters prove to me that you’re going to stay high growth. And these numbers are going to be beast. And I think that’s what the market is saying right now. So yeah, for its potential. Now, I have another stock here that also has 4x potential. Okay. And I couldn’t forget this one here.
So this one is the tattooed chef, okay. tattooed chef, up here. So tattooed chef, this is a company in the plant based foods space that is rapidly growing. I mean, they’re expected to grow 50% plus revenues this year. Okay.
And I think they have, I think they’re going to be able to grow double digit revenue growth for the next decade, essentially, for like this entire period, we’re in 2022, through 2030, I think tattoo chef is going to grow double digits the entire dang time, okay, when I think about how much opportunity is frozen in front of this company, and as long as they keep the pedal to the metal here, there’s no doubt in my mind that they can just boom, boom, boom, boom, you know, maybe they don’t grow 50% every year, but maybe they slow down to 20% growth 10% growth in the food industry.
That’s amazing growth rates, let’s be This isn’t like a software business or something like that. Like if you can grow consistently 10 to 20% revenues, year in a year out, oh my gosh, like you’re going to become the food giant. That’s where I think this company is going to Okay, I think they have true forex potential by the year 2030, maybe even larger than that. But what I do know about the food space is it is highly competitive.
Well, howdy there, folks, and welcome into today’s video. So first off, thank you so much for joining me today we’re doing a straight educational video on how I find my next 10 x stock opportunity. So we’re talking a stock where I’m 1,000% Plus, and Okay.
I’m going to take you guys through everything kind of in detail exactly how I think about this. And exactly, so hopefully, you can identify, hopefully, a big potential opportunity out there in the market. And there are these opportunities out there in the market.
Regardless, if you’re in a bear market, a market that’s just kind of not doing much, or a bull market, there are opportunities always out there for these types of stocks that you can get into and invest in over the course of months, or maybe a couple years, and end up taxing for you over time.
So I hope you guys enjoy this. This is just like straight educational. I’ll even take you through some stocks I’ve invested in in the past 24 months that have either 10 X or are on their way to 10 x. And so we can kind of reference those for some examples in this video.
So hope you guys enjoy this. As always, if you don’t mind smash the thumbs up. That’s all I asked in this video from you guys. If you feel like joining stock hub, it’s absolutely free to do so that is going to be linked in the description.
That’s the best and biggest free discord chat out there for stock market investors who might try to apply to my private stock group might have that as like a pin comment or something down there. So hope you guys get a ton of value out of this. I know it’s a subject that a ton of people want me to talk about.
Okay, so first off, all right, in terms of last 24 months in stocks, I’ve invested in that of either 10 X or on their way to 10 X and the only one that is hit in the past 24 months that is already over 10 X is Tesla stock.
And usually if you’re going to get an authentic stock, most of the time, it takes several years to play out every once in a while you can get in an opportunity where maybe it 10 X is faster than that or something like that.
But most of the time, it takes years for these things to play out. So Tesla has been able to hit as more than 10 x i think we’re up like 1,600% or some insane number on tests of stock. However, I have other stocks in the works that are now starting to get to places where they’re like up 100% or more.
And I think these type of stocks are definitely great possibilities of reaching 10 X and we’ll reference some of those in the video to kind of give you some context on what I see with those stocks, and kind of how it plays out in my strategy and things like that.
So Upwork I think we’re up over 400% now on that stock, freelancing economy type company, one of the biggest players in that market, actually the biggest player in that market planet, the planet 13. So that’s a stock in the jack Jackson space.
Now I’m invested in and that one were up many, many hundreds of percent now. And I think that one’s on its way to 10 x long term, very good food company, we’re up hundreds of percent on that one, I think that has a great opportunity to potentially 10 x over time.
As long as they execute the next the next couple of years are really really important for that company in terms of how big their Tam is long term for that one and TTC f which is a tattooed chef, that one I also think has a great opportunity over the coming year as to 10 x as well in 50% plus revenue growth expected this upcoming year, they should grow just be a growing beast for years and years to go into the future.
Okay, so I feel like those stocks are on the way. Now two things I want to cover real quick before we start getting into all this. First one is to x doc is so much dang easier to find than a 10 x k. So although there are 10 x opportunities out there in the market.
I’m just telling you, those are so hard and I actually don’t focus most of my attention on finding tech stocks actually focus the majority of my attention actually on finding two x stocks, okay, to pick stocks, sometimes you can take way less risk in those, and you can double up your money.
So that’s what I really like to focus on. Because it’s just the amount of opportunities to to extra money in the stock market is exponentially more than 10 x opportunities, I can tell you that, okay? I mean, you can find value stocks that have the potential to x over the next few years, you’re gonna find turnaround plays that have the potential to x or more your money in the future years and even like large caps.
So even companies like Apple, Google, Amazon, Facebook, those type of companies, Microsoft, a lot of those stocks have to x over the last few years. And those aren’t like some like super hidden stocks. So you had to like spend so much time like trying to research like those are just big tech in those stocks to x and some of those stocks will play to x in the future.
I wouldn’t be a bit surprised if Facebook stock two x’s within the next two or three years. Okay. So just keep in mind, you know, I would focus the majority of your attention. Although we’re talking about 10 X in your money, I’d focus the majority of your attention as a stock picker on finding two x opportunities because those are so much easier to find in the stock market than TEDx opportunities.
I can promise you that. Okay. And number three, keep this in mind now that everything is a 10 x opportunity in the market right now because the markets been pretty hot. Everybody thinks that like every stock with any sort of story in anything that a CEO says about the stock is like a 10 x opportunity. I can just tell you that’s not accurate.
Okay, not everything’s a 10 x opportunity in this market. Most stocks are not 10 x opportunities, okay? They just aren’t there. They’re there. They’re diamonds that are rough when you can find that next opportunity. Just understand that is not the majority of stocks out there. When you’re in a market that’s been flying high like our market has for the past year right since March bottom.
The Nasdaq has, I think, almost doubled, right? We’re pretty dang close to doubled. Stock Markets reach pretty much record highs almost seems like every day, right? When you’re that type of market, there’s a lot of froth in the market.
There’s a lot of just good feelings and good vibes in the market. And everybody starts thinking every CEO who says anything about oh, we’re gonna do this. It’s like a 10. x. And I’m just here to tell you guys, that’s not accurate.
Okay, so what am I looking for in, you know, a 10 x opportunity? And how do I identify that and kind of my thoughts around those cables. So first thing I’m kind of looking for is I’m looking for a company, that’s a disrupter a disruptive company, in an industry, okay?
So for instance, a perfect example of a sock that’s obviously worked out in the past 24 months, that is 10 extra or more is Tesla. So Tesla super disruptive company, on so many different fronts, the way they do business, the way they raise capital, their CEO, all these things are very disruptive from the traditional way of doing things, right.
But it’s not just that they’re completely disrupting the entire automobile sector, right, taking the whole entire industry, from an industry that is like ice vehicles, and like, you know, internal combustion engines.
And that’s like how it’s done right? Now, every single big auto company, and the entire world is basically saying, Yeah, within 10 years, we’re going to try to make all our cars, electric cars, that’s crazy. I mean, it doesn’t get more disruptive than that.
That’s absolutely extraordinary. an industry that hadn’t had much change in forever, also, in this company comes in and change the entire industry. Now, every company out there wants to be an electric vehicle maker.
That’s a way that’s truly disrupted. And not just that, right, then they’re disrupting how these cars are driven, right? Because they want to basically make it so the car drives itself, and you don’t even have to drive the car. And it can do a much better job than like a human can do in those sorts of things.
Right? So when you think about that, that’s completely disruptive. And when it comes to a company like Tesla, a disrupter, they’re going to continue to disrupt more industries. In the future, a lot of people are looking at what they’re doing and solar, and you know, as far as batteries in your garage, and things like that.
As well as potentially, maybe age back in so many different applications and industries, that company can go after long term. I mean, it’s absolutely astonishing. Okay, so I’m looking for a company that’s very disruptive. Upwork, obviously, a very disruptive company.
In the overall workspace, when we think about the freelancing economy, that is something that’s just going to get massively bigger in the coming years, and their company is very well positioned to disrupt in that industry, right?
The planet, their, their the way they do business is very disruptive compared to a lot of players and how they were thinking about their businesses. I mean, they’re they’re opening superstars that are massive that are like, you know, disneyland of jack Jackson, right?
Very disruptive, very different business ball than a lot of places. And also, they focus on branded products at a time when a lot of these other jack Jackson plays just want to flood the market with with cheap product.
And who cares, you know, if it hasn’t rained or anything like that they’ve really focused around branding of their products, very good food company, obviously plant based foods, which is a whole disruptive change that is massive in the food industries that couldn’t have continued to play out over the coming years tattooed chef, same exact thing, really disrupting plant based foods in the freezer aisle, specifically.
So when I look at all these types of stocks, they really have to be massive disruptors in an industry. And also they have to have huge total addressable market opportunity. Okay. Now, how do I judge a huge Tam? total addressable market?
Well, I’m looking at the industry in general, and I’m trying to see like, how big is that industry? Okay, so something like the Tesla, right? I mean, when you’re talking about going after the entire automobile industry, that’s like crazy, huge opportunity, right? And you’re talking about, you’re going to be potentially the number one player by far and away in that industry. And that’s changing over to electric vehicles.
And I’ve always thought like, Tesla has a great opportunity to be 25%, if not 50%, take market share in the United States of America long term, and maybe even in Europe as well. Okay, maybe other potential markets as well, that’s huge, total addressable market, then you think about if they have autonomous taxi network, which is definitely a very realistic possibility within the next couple years, right?
If you think about that, and how disrupted that is to overall transportation, and even even services like Uber, Lyft, and all these other big platforms around the world, when you really add all that up? I mean, the TAM, for Tesla long term is huge. Never mind, the energy side of their business.
A lot of folks feel like the energy side of Tesla’s business is going to be just as big if not bigger, long term than the automobile side. That’s just like, it’s hard to even wrap your head around that right now. Right? From from where we’re at. I mean, that’s like, I mean, if you go back 10 years ago, you know, Amazon Web Services was like this little thing, and not a lot of people knew about it.
And, you know, Fazio said, Hey, that could be as big as our retail business people like, Why what? And now obviously, it is, that could be, you know, Tesla’s energy side of their business, long term, everything. About a company like Upwork, the total addressable market. I mean, we’re talking about freelancing economy we’re talking about, this is an industry that is that is already big.
But over the next 10 1520 years, it’s going to be so much bigger than ever thought possible, right? And it looks like is it them and Fiverr that are going to be competing now for who’s number one who knows who’s number two in that market, long term, that total addressable market is raizy, big, crazy, big long term, and how many different industries and adjacent industries they can get into over time, when you’re the player in that market? It’s epic, okay?
If we look at the very good food company, tech to chef, you’re talking about, there’s massive changes going on in the food industry right now, where tons of people or experimenting with more or not even I don’t even want to say experimenting, but just like moving toward more plant based diets, and trying to move away from certain meat products as much, right?
Maybe not eating it as much. And then you have the whole vegan movement, which is straight going over to that side, that’s bigger than it’s ever been by far and away for many various reasons. And the food industry, it’s no bigger than that everybody needs to eat in the world, right?
So when you think about that the TAM for those type of companies, is massive. I mean, gargantuan, Okay, number six, it’s very important to think about how realistic is it for a company to capitalize on that huge, total addressable market?
Okay, if a company is just going after huge Tam, and they’re just like, yeah, you know, we’re gonna try to compete in this space. Okay, what’s the realistic probably, you know, probability, they’re going to pull off success in that market. And they’re going to grab, let’s say, you know, 5% market share in that market, or 10%, market share, or 15, or 20%? market share?
What’s that probability? Okay? Because that’s very key, I could say, I’m going to start a smartphone company, okay. And you say, Whoa, Jeremy started this company, smartphone company, that’s huge. Tam, okay, what’s the realistic possibility?
I make that into a successful company. And I compete against these other companies, and what’s the possibility of me getting certain types of market shares, these are things that are very key to understanding on a high level, okay. So if I looked at some of these other companies like Tesla, when I got in that sock, couple years ago, they had already launched the model three, I saw the demand for that product.
And I saw how successful that product was, and how, you know, people that were experienced it were like, overjoyed with it is amazing product. I said to myself, okay, this is very realistic. Now, back in the Model S days back in the Model X days, you could make an argument that it was like, Tesla’s just going to be some niche player in the automobile market long term, the model three changed everything forever, in my opinion, when it came to Tesla.
And that was a product that I said, This company is has a great opportunity now, realistic opportunity, not unrealistic, a realistic opportunity, based upon their CEO and based upon the product they had in the market, model three, to actually capitalize on huge, total addressable market long term.
And that’s key. It’s one thing if you just talk and you say, all Yeah, we’re gonna do this do that. It’s another to have a product or service in the market, that you can actually see experience for yourself and say, Oh, my gosh, this is game changing. Okay.
That’s what’s really important. A company like Upwork the way they’re already like doing it, they’re already the biggest player in the freelance economy pretty much out there, okay. It’s very clear planet. When I looked at this company, I said, Okay, this is this is, this is an interesting opportunity.
But what changed my perspective on the planet, when I saw what happened in basically February, March, and the entire economy had shut down right in the planet had to close their stores.
And I saw that management team also in focus on expanding the business still in an environment like that when they should have been done, right. And I saw a company grow, grow revenue substantially in 2020 a year when they should have seen their business decline. And maybe that company even go bankrupt when I saw them pull off that in half success and get this business to where it’s at.
Now. I said, Oh, my gosh, this is actually the type of company that actually could you know, get this huge Tam which let’s be honest, in the jack Jackson space, I mean, that is this one of the biggest markets in the world.
And it’s been illegal, right? Imagine what his legal how big debt markets going to be long term. Okay. Very good food company. That was a little more speculative. Okay, then then some of these other stocks out there. So I saw it, I saw it growing.
I saw the numbers that were putting up I saw some of the hype that was coming out of Canada around that one. And I said, Okay, let’s go ahead and get in that one. CF, okay. That’s one I looked at and I saw the CEO there has like 35 years of experience in the food industry has built successful companies.
I watched what they’re doing with the tattooed chef brand, their expansion they were getting into Sam’s Club Costco Walmart target, saw the sell through when you when you’re watching all this, this this, this makes me say okay, this is company has a realistic opportunity when you can get into these big retailers, and you can actually sell through superstrong.
That makes me say, okay, you actually have a realistic possibility of capitalizing on this huge Tam opportunity long term. I mean, you think about just, if you just look at industry numbers for, like, let’s say, the frozen food category of a company, like, you know, for any, you know, basically frozen food company, and you have this one that’s expanding super fast.
They have a realistic possibility to be huge in this space long term and actually pulled up, this is so dang key guys, because like I said, any CEO, anybody that’s in a public company can say they’re going after whatever industry, they’re gonna try to do this, they’re going to try to do that, they’re going to try to be a disruptor.
But who’s actually got the products and services in the market that you can see with your own eyes, that are actually going to realistically pull this off and become a beast. Okay, that’s what is key. And that’s what a lot of investors Miss, unfortunately. And so they get in some stock that they think is the next tech stock, and that stock doesn’t ever 10 X, and actually, it probably goes down over time.
And I say what went wrong, it’s because a lot of times, those individuals that are running that company, they just never really had the product or service in the market that was truly disruptive enough and successful enough to make you really, you know, feel like this is this is a changer in the future. It’s one thing to talk, it’s another as you put it in the real world, that’s when you change the game.
Okay, number seven thing up here, if you’re going to try to find the next 10 stock is around capital position. So if you’re going to have huge expansion opportunity for a business, you better have the capital to make it through, okay, and to get whatever opportunity is out there. So when I looked at some of these different companies.
I said they are in either the right capital position, or I have the faith based upon who’s running that company, that they will get in the right capital position to expand their business, whether that means opening up more Giga factories, whether that means opening up, you know, more offices, whether that means hiring more engineers, whether that means opening more stores, whether that means, you know, basically buying more machinery for product.
And it started with Tesla. So what I what I saw with Elan Musk, I said, This guy can raise money in a snap of fingers like Elon Musk who say give me a billion like somebody’s like, there’s a billion like, it’s Ilan musk.
I watched that guy raise money when he was much more of a nobody than he is nowadays, where he’s like, the most famous business person probably on the planet, right? most famous person on the planet, when it comes to business is just amazing.
I raising money. And when he even wasn’t that famous, he was still amazing at raising money. So I said, Tesla, the whole argument back in the day, Tesla’s going to zero was such a ridiculous argument that I heard from short sellers time and time again, when it came in in regards to tell stocks,
I’m looking at that I’m like, you realize Elon Musk could raise money whenever he wants, how’s the business going to go out of business, even if they were losing money, even if they continue to lose money, which now they’re cashflow positive, right, and they actually can make some money on the bottom line.
Even if they continue to take losses. It’s Elan Musk, he can raise money, no problem. And what I saw as I was invest in that stock, obviously, still am today. Like they’re in the capital position to do whatever they want. I mean, heck, nowadays, our capital position is so strong that, you know, Ilan just put a billion and a half dollars in Bitcoin.
And I wouldn’t be surprised if they buy some more bitcoins over time, because they just have plenty of money around nowadays, and they’re just in the capital position to do things like that. Okay. When it came to Upwork, I looked at that business model, I said, they are in the capital position to execute on this.
And it’s a company that’s in such a growing space of freelance economy, that this is a company that could get financing for whatever they want. Okay, the planet. Oh, my gosh, so this company has raised, you know, we don’t know exactly the amount of money on Planet 13 balance sheet right now, because you can’t see the numbers up to date, you have to wait like three months at a time to get the quarterly reports, right.
I think they have over $100 million on their balance sheet and cash with near non existent debts. That’s like, whoo, flip my flapjacks hat off. Okay. That’s ridiculous. I mean, for the size of that company, to have, let’s say, over $100 million, which I truly think if you look at all the capital raises and what they’ve been spending, I think they have over 100 mil, on the balance sheet right now.
That’s extraordinary. I mean, think about how much they’re going to be able to expand distribution, especially if things get federally legalized. Think about the store the superstore opportunity, this company can expand into more states in the future, right? I mean, they are in the capital position to do it. tdcs that’s another one I looked at.
And I’m like, you know, they’re just in a very strong position. When you got a CEO there who knows how to grow food businesses, knows how to get in with all the big retailers. You’re gonna be able to get the funding to do whatever you want a buy more factories, you know, have more machines, get more employees, things like that. Okay,
Feeny. In the capital position to actually execute on these dreams and ideas and products and services of the future, that is key, okay? You can’t just say, Oh, I got a big opportunity for myself, you don’t have the money to execute on that, like, how are you going to do it?
Okay, it just doesn’t make sense, especially when a lot of companies that are big growth companies that are public companies lose money on the bottom line, right? So it’s not like you have tons of profits pouring in, you’re like, whoo, I can expand, no.
So you have to be in the capital position to do it. Okay. Next thing I’m kind of looking for, I want I mean, if I’m gonna find a true TEDx opportunity in the market, I really need to find companies that are growing revenues, 10% plus per year, and I am confident they’ll be able to keep that up for the next decade.
Okay, the next decade, most stocks, when I look out into them, I’m looking over the next three to five years, this, you know, specifically around the two x stock opportunities, I’m thinking about them over the next three to five years, when it comes to these sorts of companies, the 10 x opportunities, I have to be very confident that these companies can grow at least at least 10% plus per year, top line for the next decade.
Okay. And so when you when you talk about those type of rates compounded it’s pretty impressive numbers. When I looked at tests, I was like, yeah, no question. Okay. It’s not even a question. If Telos is going to grow 10% per year, for the next 10 years. Can I start investing in 2018? I looked at 2028.
I’m like, Yeah, they’re gonna grow a lot faster than that. So it’s not even a question right. Upwork, same exact situation, the planet. Yeah, they should destroy those growth rates over the next 10 years per here. Okay. Very good food company. Oh, my gosh, okay. They’re grown revenues, like 322% in the past quarter.
I mean, you know, the amount of growth for that company long term, the tattooed chef, Cade, that company, I looked at that one, and I said, Okay, yeah, they’re, they’re gonna grow revenues. 50%. Plus, over the next year, they’re probably gonna grow much above 10%.
But ideally, you want to find companies, if they have true 10 x opportunities, they’re going to make you feel more much more comfortable, if you can be confident they’ll grow 20% Plus, ideally, per year over the next 10 years.
And for all those companies up there, I can say, I’m pretty darn confident, they will be able to do that. And when you run the numbers on what that means, if you can grow 20% Plus, on average, each year, over the next 10 years, nevermind, if you can do 30% 40% 50%, which keep in mind, some of these companies are growing revenues. 100% plus right now 50%
Plus, you know, if you can run those numbers and execute on that over, you know, a decade needless to say, the growth in your stock price over time is going to be absolutely epic. Okay, a great company that’s been able to grow pretty much 20% per year, every single year, for a long, long time has been Amazon, right?
And have we seen, you know, look what’s happened with Amazon stock price, it’s way over 10 X. Okay, that stock, I’ve probably talked to probably over 100 X, just since I got in the stock market in 2008 2009. Right? You know, maybe it hasn’t, but if it hasn’t 100 X is probably doing pretty dang close, okay, just in the past, you know, 1213 years, because every single year.
Amazon’s revenues pretty much go up. 20% 30%, something like that. So when you can put those numbers year in and year out, the growth of your company is on epic scale, like we haven’t really seen, okay. And that’s when you get that true 10 x plus opportunity.
All right, so 20% plus per year is ideal. All right. Now, the next question that is very, very important is not just about growing revenues, especially if you want to 10 X or more your stock price over time, it’s about how much could actually reach the bottom line for your company.
Okay, because if you have $100 billion in revenue, let’s say, and only, you know, 1% of that reaches the bottom line over over time, right? And you only make a billion dollars of net income. Cool, that’s not very impressive, right? But where it begins to get very, very special, is when you can have big numbers potentially hit bottom line.
Okay, so five to 10% long term is not impressive, you know, keep in mind when we’re talking about these numbers hitting bottom line, we’re not talking in the short term, we’re talking about long term. So it’s not like you look at a stock like Tesla, or the plan or TTC F.
It’s not like you look at those stocks and say, Well, next year, they’ve got a hit, you know, x x dollar, as far as bottom line is you’re looking at those from a long term basis, in what can they hit on a long term basis based upon your understanding of that industry?
Very, very key based upon what you’re looking at in that industry. And all the different factors you’re looking at there and judging and saying, Okay, I think this number can hit bottom line. So if I looked at something like Tessa, when I look at that company, long term profitability wise, long term net income, I say, I believe their electric cars they’ll sell long term will be actually much more profitable and I mean, much more profitable than ice vehicles long term.
Five years ago, it didn’t look that way at all. But today, it’s looking like that’s more of a realistic possibility at five years from now, I think we’re gonna see a massive change where Tesla is going to actually make very nice profits.
And it’s not going to look like they’re selling cars for a loss like it did years ago. Okay? When I look at all these companies up work, oh my gosh, you know, that’s just I mean, basically, it’s a website slash app and things like that they take in servicing fees. And those sorts of business models are extremely profitable.
If you can be in the 15 to 20% range, you’re looking good, okay, this means, you know, basically $15 out of every $100, or $20, out of every $100, that comes in your door through revenue is actually going all the way down to bottom line.
Okay, I think up work long term can be more toward these sorts of numbers, okay. And these sorts of numbers are for very, very special companies, let’s just put it that way. Okay. There aren’t a ton of companies out there that can basically have 25% or 30% of their revenue, hit that bottom line, those companies are special, I feel like Upwork has a great opportunity.
Okay, I feel like the planet, when you’re talking about their own brands, and getting those into more dispensaries long term, nevermind the superstore opportunity, I think that’s a company that could definitely be in the, let’s say, 20% to 25% range long term.
And if you’re thinking about a day and age, when, let’s say, you know, they’re they’re doing, you know, $5 billion in revenue, that would mean essentially a billion dollars or more is making its way down the bottom line.
And if you’re gonna say, if the planet gets to a place where long term, they can have a billion dollars or more hit the bottom line, that company will justify a valuation of 25 to $35 billion. Okay, you see where I’m going with this, this is why this is so dang key, because that that puts it at a 25 to 30 p ratio, that’s definitely very realistic for somebody that could be the premier player in that market long term.
Okay. So that’s why when we when you start to run these numbers, I mean, even if the planet, let’s say, the planet gets to a stage, where they’re doing, you know, let’s say $2 billion in revenue, which you don’t plan it within five to 10 years should definitely be able to do 2 billion plus dollars in revenue, right?
If they’re doing $2 billion of revenue, that means this company could potentially have, you know, 300 mil, 400 mil 500 mil, potentially hitting that bottom line, I mean, at that at a decent valuation, you’re looking at a stock price, it would definitely be up 1000 plus percent just based upon today’s prices, nevermind when I started buying it, right.
So that’s why this is where things get really, really important tests, a long term can likely be a very profitable company, TTC f could be a very, very profitable company, very good food company, as well, they’re just very early days.
But this company, oh my gosh, you know, when I look at their product prices they sell when I look at the fact that in an industry like they’re in, they should be able to not just expand the business massively over time, but be able to get the business more and more profitable.
As they get more and more scale, it’s hard for me not to see them getting margins of 40% plus on each product sold long term. Okay. And if they can do that, I mean, imagine the type of money that is going to be hitting the bottom line for a company like the tattooed chef long term.
So this is the last secret part where the real magic is, because like I said, it’s great if you can put up some revenue numbers. But the real magic is if you can get to more of these numbers, you can get to 15 to 30%, especially if you’re down here in the 25 to 30% range of actual revenue coming in long term hitting the bottom line.
That’s where the true magic is. And great businesses can do it. Okay, you look at Apple, you look at Google, you look at some of those other companies, a lot of them, you know, are 20% to 30%, or is actually hitting the bottom line, some of those companies actually a little bit more than that is actually hitting, and that is really where you get the true magic.
And that’s how you get stock to 10. x, they have to have massive growth, they have to have massive Tam, they have to be able to actually execute on that they have to be in the capital position, do it. But what can actually hit the bottom line long term. And you can only figure out these sorts of things. By the way, by understanding that company.
On a super high level, you can’t really understand that by doing a few hours of research, you gotta likely have to spend days or maybe even weeks, maybe even months, potentially, it depends on the stock and your level of understanding around it.
Looking into this company, reading the annual reports, reading the quarterly reports, understanding the industry looking at the competitors in the industry, looking at different research reports, looking at how big some of these industries are, they’re going after what are the realistic possibilities, they could pull off those numbers and things like that.
Once you’ve really done your full research, then you can start to build a fundamental case around Yes, this is why I think they can have this much revenue growth per year you can start running some models in a spreadsheet or just the heck you can write it down on a piece of paper or whatever right with a little calculator beside you go old school.
Then you can start running numbers on what you think is realistic for the bottom line long term, but you only can figure out these sorts of things by understanding a company on a high level, if you don’t, you’re not gonna be able to formulate this and that’s why some people ask me for my opinion on different stocks.
I’m like, I don’t really know. Because if I don’t understand the industry well enough or stock low enough, I can’t formulate these numbers. If I can’t formulate these numbers, it’s very hard for me to buy that stock and especially if I’m trying to say this tech stock guy so hope you enjoyed this. As always, this was just a ton of value.
It’s just a value drop video. Yeah, if you don’t mind smash the thumbs up if you haven’t already. That helps us out in the YouTube algorithm. I appreciate you guys much love as always, if you want to basically apply for my private stock group, I’ll probably have that linked in the description, maybe even the ping comm if you want to join stock hub that’s free to do so.
And you can you can get in there and kind of talk stocks with a ton of other investors out there. Thank you for watching. Have a great day.