Investment Q&A

Q: hi,
thank you for, and this question is in reference to, the answer to the "baby Mag 7" question a few days ago by "JR". are you able to do a short analysis of these 7, compared to the "adult" Mag 7 in regards current and future valuation, growth, debt/equity metrics. further, do you have any guess on the timeline of googl/meta etc.'s development/utilization of their own AI chips in house?
take as many points off as needed, this question seems like a bad homework assignment to me!
thanks Chris

Q: Please rank the magnificent seven from best anticipated performance first to least in the next 5-10 years.

Q: HERE is the DEAL, My wife and i are going to live off grid for 3 years, no internet, no phone, no visitors, oh YEAH, the dogs want to come, we grow are food, hunt and fish, we have a 1 million to invest, we own no other stocks. So could you rate the following stocks for safety and % rating.


APPL
MSFT
AMZN
GOOG
NVDA
BERK/B
LLY
META
SPY
COST
VGT
TSLA
SMH

13 stocks are LUCKY #,
We will prepay for our 5i sub. so we can look back. and not have worry again if a stock goes down 1% in a day.

SO THIS WAS JUST FUN,

Thanks Again

Q: I know Tesla as a car company will survive! But will TSLA as a stock survive?! What does Cathie Wood say nowadays about it I wonder.
Anyway my question is should one nibble here or stay away.. far away from TSLA?

Q: What are your sentiments on TSLA for the next 6 months? Buy / Sell / Hold?

While they do complete on quality and features, they are now also competing on price; obviously challenging for margins. Also Elon's comment about control are concerning, certainly suggesting conflict. I'd be OK sitting this one out if the 'story' will not clarify for some length of time. Energy storage systems to the rescue?

Thanks.

Q: Peter,
what would be your list of baby Mag 7 that have high probability of solid growth and show possibility of becoming the new Mag member? Do you see AMD as a potential contender?

Q: There is so much buzz in media about the Magnificent Seven- the latest grouping that alleges dominance from these mega cap leaders and how 2024 is likely to see them fall from grace at least in momentum rallies, or at least in contrast to others.
Don’t support this assertion, ie is there relative price and growth rate relative to others such that they are due to get leapfrogged, or worse decline? I feel like this same line has been towed for several years and look at five and ten year growth rates for any of these as examples.
If you had some chunk of change would you lean here or elsewhere, say to financials or industrials?

Q: Hi Peter,

From a risk-return perspective over the next five years, which is the better investment option? Purchasing an equal weighted investment in the magnificent seven, SPY, or QQQ? Please explain your rationale.

Thanks George

Q: Peter and His Wonder Team
Here is what could be classified as an absurd question! Ha!Ha! However I would love to have your opinion just to satisfy my curiosity. I have a friend..."cult member" who is obsessed with Elon Musk and thinks that someday humans will relocate on Mars. He believes that TSLA someday...in 5-10 years...will go to $3000.00 per share. He believes his cars are not cars but "robots on wheels" and all that that implies...if you know what I mean. It is my understanding that companies who do reverse-splits generally do not skyrocket. In fact it may demonstrate a weakness. Personally, I think this is totally unrealistic. Just for fun what do you think TSLA chances are of hitting $3000.00. Please give me a percentage...as an old rock and roll song went "A Million To One". I promise I will just keep it to myself and not quote you! Ha!Ha! Thanks...as usual!

Q: If the world is going to need all this power to deal with all this Artificial Intelligence that is going to be happening in the coming years, what stocks in your opinion will benefit from this need for electrification? BTW I tend to like stocks that are on the more liquid side so please push your answer in that direction please and thanks

Q: Hello Peter,
Is there a way to participate in SpaceX for retail investors? Also, with Elon Musk being involved in many companies (space x, twitter, tsla), how will this affect performance of tesla in the long run? I have small weighting in well health, is it good time to buy some more.. much appreciated

Q: Everyone, what is the rate of return for the large cap tech stocks vs the Nasdaq 100. For the large cap I would classify: AAPL, AMZN, GOOG, MSFT and NVDA ( you can add more to the list). Please use a time period that you have good stats for but or a 5 year or 10 year return period. I would like to know if it is worthwhile only investing in the big tech stocks overall. Clayton.

Q: Hello Peter,
I own TSLA shares mostly due to Elon Musk's innovation in the EV and other areas.. Given that he is always in the spot light (not always positive), do you think it is time to bail out or is the publicity just noise for now and will go away eventually . I am guessing it will be a rocky ride, but like to have your opinion given your experience in the industry. .. thanks very much

Q: thinking we will be using many batteries in the next few years, any company you think might benefit from this?

Q: Recently watched the Blackberry move and it was excellent. We know how things ended but they had a good run when they were winning but missed where the market was heading. Looking back over years there was the PC/Internet revolution followed by the mobile/smartphone revolution and now what appears to be the AI revolution. In hindsight buying and holding Microsoft, Apple, Google, Nvidia etc made sense. With AI the next frontier what stocks do you think will be the next big winners; same names as the past or are there new names we should investing in?

Q: Please rank the above in terms of risk/reward and technicals

Q: For the listed companies, what would be your ranking in-terms of attractiveness if adding to a portfolio today?

Q: What would be your best contrarian pick today in both us and canadian markets

Q: I am trying to get a better understanding of the cash postion for Tesla. I have read, heard people state that Tesla should buy back stock, I have heard people say that they have lots of money. Looking at the balance sheet, the cash position is exactly what I hear people state. They have $26B in cash (plus about $2.5B in receivables); however, when I look at their current liabilities, it is about $26B. Am I wrong to think that their net cash position is position pretty close to 0 (plus the $2.5B in receivables). And if we consider that their cash position has not been growing in leaps and bounds, they do not really have very much cash as their current cash position would be required to pay their current liabilities. Is my logic correct (if not can you add a little explanation as to why not)? Thanks.

Q: Hi
I have three questions.
I am confused about market cap of a stock. Let me illustrate by way of example.
Company X lists for the first time on a stock exchange. It sells a lot of shares and captures, maybe, a windfall. The money is used to grow the company. Without any rationale, the share price drops and drops until it is worth next to nothing. The company is still operating and generating profits. In theory, can the company operations not be oblivious to the drop in share prices, as long as it still has sell-able products or services and is generating profits? Or do the value of the share price affect the company's operations?
The other thing I'm confused about is the value of the assets, goods and services possessed by a company. Assuming the value of these assets was much greater than the market cap, it seems unfair that the market cap could be seriously skewed by at the whim of shareholders. I don't have any examples but I assume there are some.
Lastly, can you please compare Tesla to BYDDF and fundamental basis?