THE TRUTH ABOUT EXPENSIVE STOCKS | Wallstreet Trapper (Trappin Tuesday's)
Trappin Tuesday's
Wallstreet Looks Like Us Now Network
4.9 β’ 2K Ratings
ποΈ 28 July 2024
β±οΈ 12 minutes
ποΈ Recording | iTunes | RSS
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| 0:00.0 | First of all, I said this long time ago. |
| 0:03.0 | I told y'all this in 2022, 2023, |
| 0:07.8 | as I said Amazon is under $100. |
| 0:11.3 | You should buy it. It's around $90. Something like that. So you should buy. Nobody |
| 0:18.0 | listen to me. Well, maybe a few people did. I'm telling you again, the stock is under $200. |
| 0:25.0 | Buy zone. |
| 0:28.0 | So I want to ask y'all the question. |
| 0:30.0 | So a stat came out that said that, you know, the mag seven is extremely expensive. |
| 0:39.0 | And so what I like to do is put it up today compared to what's been going on. |
| 0:44.7 | So alphabet today is a 22 has a 22.4% multiple. So let me explain what that means. So I'm just not yelling out numbers to y'all. So a multiple means, so if you're looking at a PE ratio or full PE, that's saying you're paying $22 for every $1 of profit that the company make. |
| 1:22.0 | Right, you're paying $22 for every $1 of profit that the company makes. |
| 1:23.3 | So on a 10 year average, |
| 1:28.3 | alphabet is you pay 229. |
| 1:31.8 | As of right now, you're paying 2-4 which actually means that alphabet is a little |
| 1:38.3 | cheaper than what it normally is. Does that make sense? |
| 1:42.0 | Microsoft is 32, has a multiple of 32, which actually means on a 10 year is 24, so you're |
| 1:51.4 | now paying, what is that eight dollars eight multiple more am I |
| 1:56.8 | right right about eight multiple more so you're paying thirty32 so Microsoft in essence is more expensive now than what it normally is. |
| 2:10.0 | All right? NVIDIA is a 38. |
| 2:16.0 | It's on a 10 year, it's 35. |
| 2:20.0 | So you're paying about three times the multiple more. |
| 2:26.6 | Yep, three dollars, let's just use the multiple. |
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