An often overlooked metric when it comes to stocks is the cash conversion cycle. This metric only applies to companies that carry inventory, such as grocery or apparel, but it is important in measuring a company's efficiency. In this post, we'll explain "What is the Cash Conversion Cycle?" and why it's important, as well as showing some stock performance data for stocks that have a good CCC compared to stocks with a relatively worse CCC.
GFL Environmental Inc (NYSE:GFL), is the fourth largest diversified environmental services company in North America. We believe the company to be reasonably priced despite being an aggressive bet relative to its peers.
Amazon (NASDAQ:AMZN) has seen a hefty pullback recently after guiding for slower growth in the third quarter. The market seems to be focusing on the e-commerce slowdown despite having another potential trillion-dollar business hiding within the company. We are referring to Amazon's real money maker, AWS which we covered recently in a previous article. We suggest taking a look if you're interested in learning more about AWS and why we think it's a major growth catalyst for the company. In addition, we cover the main risks involved in holding Amazon's stock.
Tesla Inc (TSLA) is an industry disruptor that has been responsible for the shift towards electric vehicles from other carmakers. As a result, competition has been heating up for Tesla with Ford Motor Company (F), along with others, trying to make a splash in the EV market. In this article, we will be quantitatively comparing Ford to its main competitors: Tesla, General Motors Company (GM), Toyota Motor Corporation (TM), Honda Motor Co Ltd (HMC), and Volkswagen AG (OTCPK:VWAGY).
SEMrush Holdings (SEMR) is a solid growth company that is trading at a reasonable price. In addition, the company is well positioned to benefit from the continued shift to e-commerce.
Currently, there are plenty of uncertainties going around. During times of uncertainty, it's good to take a step back and search for stability. Waste Connections (WCN) is a great place to start. However, its stability isn't cheap.
Cricut, Inc. (CRCT) had a very strong second quarter. Revenue increased 42% compared to the same quarter in 2020. This is very impressive because the 42% is on top of the 149% increase the company saw in 2020 over 2019.
Previously, we had written an article titled, Facebook: The Best 'Fangma' Stock To Buy Right Now, Quantitatively Speaking. We highlighted some major factors that separate Facebook Inc. (FB) from the rest and suggest you check it out. Although we performed a relative valuation for all six companies in that article, we wanted to write a follow-up to calculate the intrinsic value of Facebook. Facebook is currently undervalued using projections that are based purely on fundamental factors.
Deere & Company (DE), is a great company that has performed exceptionally well in the past year. It has a reputation of being innovative and its recent acquisition of Bear Flag Robotics demonstrates why. Despite this, now might not be the best time to buy.
Vimeo, Inc. (VMEO) is a recent spinoff from IAC/InterActiveCorp (IAC). Generally speaking, when investors hear about Vimeo, their minds instantly go to YouTube (GOOG). Both companies have video-sharing platforms for content creators. However, the way Vimeo makes money is not 100% comparable to YouTube. Despite being significantly smaller, Vimeo is seeing great momentum and monetizing in a different way than YouTube. Vimeo is a very solid company with business metrics that are trending in the right direction.
Microsoft Still Has 30% Upside
Leaders lead, and Microsoft Corporation (MSFT) is definitely a leader. The market's second most valuable company by market cap is still currently undervalued. In this article, we will perform a discounted cash flow analysis to calculate the company's intrinsic value.
Alphabet: 50% Upside Potential
Google's parent company Alphabet Inc. (GOOG) (GOOGL), is the definition of a tech heavyweight. However, under current market conditions, the company is very undervalued despite its dominance and growth potential.
Here's our most recent report on Corsair Gaming stock (Ticker: CRSR). Check it out!
PayPal Holdings (PYPL) is a great company that may appear overvalued when looking at valuation multiples. However, it's not as bad as it may appear since the company generates a lot of cash. In this article, we will perform a discounted cash flow analysis to calculate the company's intrinsic value. In addition, we will highlight some important risk factors and growth catalysts that could have an impact on the company's performance.
Netflix: Calculating Its Intrinsic Value
Netflix Inc (NFLX) has the potential to perform well. However, we highlight what you need to consider before jumping into the stock. We base our forecast purely on the company's fundamentals. By doing so, we are able to point to the specific growth drivers rooted in numbers as opposed to perceived potential. In addition, we believe that Netflix's margins will expand going forward. Using the fundamentals allows us to more reasonably estimate the company's margin expansion.
Domino's Pizza, Inc. (DPZ) is a stable and predictable pizza industry leader with a great long-term track record. The pizza industry is fragmented which means that the company's size and brand recognition provide it with a competitive edge over the majority of its rivals. Domino's will continue to see strong growth going forward, fueled by its ambition to continue opening many more stores.
Plenty of great articles have been written about what Etsy Inc (ETSY) does and what catalysts can drive its growth, as well as the risks that are associated with the company.
In this article, we want to focus more on the deep potential value hidden in Etsy from a purely fundamental point of view, rather than talk about things that have already been talked about.
Freelance work is increasing in popularity because hiring a freelancer is typically less expensive than hiring a full-time employee or agency. In addition, freelancers earn more than they would as employees for completing the same tasks even if they charge less. Therefore, it is a win-win for both sides.
ANNOUNCEMENT: For almost a year now, we've been posting stocks to watch every single week, and we hope we've helped many people find interesting charts to trade!
Unfortunately, we will not be doing these watch lists every week anymore. The reason for this is that we want to focus more on educational content, potentially creating useful products, and doing more due diligence (research reports) on stocks.
We will still do some watch lists, but they will only be done once in a while when there are great setups to watch. Thanks again to everyone that reads our watch lists! Happy trading!
Proto Labs Inc. (PRLB) is an interesting company that could see strong growth going forward. The company's recent acquisition of Hubs is potentially a great growth catalyst that will allow Proto Labs to double its revenue in five years.
Here's this weeks' stock watch list. The stocks to watch are: QQQ, INMD, SEMR, CRCT, DG, and SQ. Good luck to all!
Traditional schools are not optimal for the modern student. Younger generations grew up surrounded by technology. Therefore, education providers need to embrace if they are serious about providing a high-quality learning experience. As a result, the edtech industry is expected to continue seeing growth despite the pandemic boost.
Squarespace (SQSP) is an interesting company that offers web-building tools for businesses. It's not the industry leader but it has been growing its market share despite stiff competition. Squarespace has impressive margins, solid revenue growth, and strong efficiency metrics. In addition, the company appears to be reasonably priced.