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MarketFoolery

Have Unicorns Ruined Growth Stocks?

MarketFoolery

The Motley Fool

Money, Business, Motley, Business News, Stocks, News, Investing, Market, Fool

4.71.7K Ratings

🗓️ 14 October 2019

⏱️ 33 minutes

🧾️ Download transcript

Summary

It’s Mailbag Monday! On a slow-ish news day MFAM Funds portfolio manager Bill Barker analyzes the relative risk of growth stocks in the current market, as well as the top reasons new investors quit the stock market. Plus, we discuss the weekend box office results and preview earnings season. (Tangents include “The Addams Family”, the baseball playoffs, “12 Angry Men”, and an under-the-radar tourist attraction in Philadelphia.)

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Transcript

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0:00.0

Thanks to Zapier for supporting market for re.

0:02.0

Zapier is the easiest way to automate your work.

0:04.5

It connects all your business software

0:06.5

and handles work for you so you can focus on the things that matter most.

0:10.5

Try Zapier for free by going to our special link Zappier.com slash Fool.

0:17.0

It's Monday, October 14th.

0:20.0

Welcome to Mark Fullry.

0:21.0

I'm Chris Hill joining me in studio today and thank goodness he's in the building because it's a quiet day here at full global headquarters from M-Fam funds. It's Bill Barker. Thanks for being here.

0:30.0

Thanks for having me. So schools are out in the Commonwealth of Virginia or at least in our neck of the woods.

0:36.0

So yeah, a lot, not a lot of people here at the office.

0:38.0

So again, thank you for coming in.

0:40.0

We're going to dip into the full mail bag. We're going to get a little bit of an earnings

0:44.7

preview and I mean we got to talk a little bit of baseball, but let's start with the mailbag. And you always email us market foolery at fool.com is our

0:56.2

email address. Question from Caroline in New York City. Road in regarding a New York Times article on startups in Silicon Valley, maybe starting

1:07.0

to focus a little bit more on turning a profit.

1:09.5

This is in reaction to a host of so-called unicorns going public in 2019 and let's just be

1:17.0

charitable and say not fairing so well initially in the public market and so

1:21.0

Caroline asks do you think this focus on profitability over growth

1:25.0

will affect the stock prices of companies that have been out there and trading for

1:29.1

a while? I'm wondering if I should expect a crash in my growth tech stocks soon.

1:35.0

What do you think?

1:37.0

Well, I think that over the long term, profitability is always going to be the thing that dictates where a stock ends up.

...

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