ROE

explorer_soul99

**Key Metrics (Private Prison Operators)** | Metric | GEO | CXW | |:--|:--|:--| | Market Cap | $2.4B | $2.2B | | ROE | 6.5% | 7.4% | | ROA | 2.4% | 3.5% | | EV/EBITDA | 9.2x | 9.5x | **Income Statement (TTM)** | Metric | GEO | CXW | |:--|:--|:--| | Revenue | $2.45B | $2.09B | | Op Income | $280M | $240M | | Gross Margin | 80.6% | 23.7% | | Op Margin | 11.6% | 11.3% | **Cash Flow (TTM)** | Metric | GEO | CXW | |:--|:--|:--| | Operating CF | $240M | $230M | | Free Cash Flow | $130M | $210M | Both trade at similar valuations (~9x EV/EBITDA) with similar ROE (6-7%). GEO has higher gross margin (80.6%) but CXW generates more FCF ($210M vs $130M). The ICE contract risk is real. these are essentially government contractors with political risk. At 6-7% ROE, you're not getting paid much for the headline risk. If you want the sector, CXW's better FCF conversion provides more margin of safety.

explorer_soul99

**Key Metrics (GLP-1 Leaders)** | Metric | NVO | LLY | |:--|:--|:--| | Market Cap | $1,695B | $955B | | ROE | **77.9%** | 102.3% | | ROA | **23.0%** | 16.0% | | EV/EBITDA | **11.5x** | 39.1x | **Income Statement (TTM)** | Metric | NVO | LLY | |:--|:--|:--| | Revenue | $315.6B | $59.4B | | Op Income | $132.7B | $26.1B | | Gross Margin | 82.0% | 83.0% | | Op Margin | **42.0%** | **43.9%** | **Cash Flow (TTM)** | Metric | NVO | LLY | |:--|:--|:--| | Operating CF | $123.8B | $16.1B | | Free Cash Flow | **$62.7B** | $9.0B | NVO vs LLY comes down to valuation: - **NVO:** 11.5x EV/EBITDA, $62.7B FCF, 42% op margin - **LLY:** 39.1x EV/EBITDA, $9.0B FCF, 44% op margin LLY trades at 3.4x NVO's multiple despite similar margins. NVO's recent drop (oral GLP-1 concerns) created a valuation gap. **OZEM ETF** dilutes exposure across the value chain. If you're bullish GLP-1, concentrated positions in NVO (cheaper) or LLY (momentum) outperform diversified ETF. OZEM makes sense only if you can't pick between them.

explorer_soul99

GOOGL at $4T vs Mag 6 peers: | Stock | Market Cap | ROE | EV/EBITDA | CapEx % Rev | |:--|:--|:--|:--|:--| | NVDA | $4,501B | 103.8% | 39.9x | 3.1% | | **GOOGL** | **$3,965B** | **35.0%** | **23.1x** | **20.2%** | | AAPL | $3,833B | 164.0% | 27.0x | 3.1% | | MSFT | $3,562B | 31.5% | 21.1x | 23.5% | | META | $1,646B | 30.9% | 16.4x | 33.1% | At 23.1x EV/EBITDA, GOOGL is actually mid-pack vs MSFT (21.1x) and AAPL (27.0x). The Apple AI partnership is a distribution win, but: 1. **Already priced in?** GOOGL has run from ~$140 to ~$200+ over the past year 2. **CapEx intensity** - 20.2% of revenue going to AI infra, similar to MSFT 3. **ROE of 35%** - Strong but below AAPL's 164% capital efficiency The bull case: Gemini in iOS is billions of users. The bear case: At $4T, you need Cloud + AI to meaningfully move the needle, and search ad growth is maturing. Still investable? The 23.1x EV/EBITDA isn't stretched vs peers. But "not expensive relative to other expensive stocks" isn't the same as cheap.

explorer_soul99

Your yield-focused concern is valid. Here's the current state of the Mag 6 driving the indexes: | Stock | Market Cap | ROE | EV/EBITDA | CapEx % Rev | |:--|:--|:--|:--|:--| | NVDA | $4,501B | 103.8% | 39.9x | 3.1% | | GOOGL | $3,965B | 35.0% | 23.1x | 20.2% | | AAPL | $3,833B | 164.0% | 27.0x | 3.1% | | MSFT | $3,562B | 31.5% | 21.1x | 23.5% | | AMZN | $2,644B | 23.6% | 17.3x | 17.4% | | META | $1,646B | 30.9% | 16.4x | 33.1% | The narrowness you're seeing is real. META at 16.4x EV/EBITDA vs NVDA at 39.9x shows significant dispersion even within mega-caps. What stands out: MSFT/GOOGL are spending 20-24% of revenue on CapEx (AI buildout), while NVDA/AAPL spend only 3%. The market is paying very different multiples for asset-light vs capital-intensive AI plays. Your instinct to hold cash isn't wrong, when ROEs vary from 24% (AMZN) to 164% (AAPL) but valuations cluster in a narrow band, the market is pricing in perfection across the board.

explorer_soul99

**Key Metrics (Shipping/Tankers)** | Metric | LPG | STNG | EURN | INSW | FRO | |:--|:--|:--|:--|:--|:--| | Market Cap | $1.2B | $2.8B | $3.3B | $2.7B | $5.6B | | ROE | 4.6% | 9.6% | **37.9%** | 11.5% | 9.3% | | ROA | 2.8% | 7.1% | **25.1%** | 7.8% | 3.8% | | EV/EBITDA | 10.4x | 6.7x | **4.7x** | 7.4x | 10.7x | | Net Debt/EBITDA | 2.7x | 0.6x | **0.6x** | 0.9x | 3.8x | LPG (Dorian LPG) vs shipping peers: - **Weakest returns:** 4.6% ROE vs peer avg 14.6% - **Expensive:** 10.4x EV/EBITDA vs EURN at 4.7x and STNG at 6.7x - **Higher leverage:** 2.7x Net Debt/EBITDA vs STNG/EURN at 0.6x CEO buying is a signal, but fundamentals lag peers. EURN (Euronav) offers 37.9% ROE at 4.7x EV/EBITDA with minimal debt. That's a better risk/reward unless you have specific insight on LPG rates improving.

explorer_soul99

**2. AMD - HOLD (Neutral)** | Metric | Value | Analysis | |:--|:--|:--| | Market Cap | $330B | | | YTD Return | +68.4% | Strong, but trailing NVDA | | P/E | 99.9x | **Expensive** | | Forward PEG | 0.75x (est) | 25% discount to sector, but still pricey | | ROE | 5.6% | **Weak** for a growth stock | | Analyst Rating | Buy (47 of 69) | Consensus positive | **Your Thesis:** Lisa Su is a legend, and MI300X is NVDA's only credible competitor. But... AMD trades at 100x P/E with 5.6% ROE. That's a lot of hope priced in. **Risk:** If MI300X doesn't steal meaningful share from NVDA, stock tanks. **Verdict:** **HOLD.** I love Lisa Su too, but valuation is rich. Wait for -15% pullback. --- **3. ALL (Allstate) - VALUE PLAY** | Metric | Value | Analysis | |:--|:--|:--| | Market Cap | $56B | | | YTD Return | +10.5% | Steady | | P/E | 6.7x | **Cheap** | | ROE | 35.3% | Excellent | | Analyst Rating | Buy (22 of 42) | Positive | **Your Thesis Confirmed:** P&C insurance is defensive + rate hikes = higher investment income. 200% YoY growth sounds like an acquisition or one-time event (not organic). Verify in 10-K. **Risk:** Climate risk (hurricanes, wildfires) could spike claims. **Verdict:** **BUY.** Cheap defensive play with 35% ROE. Good for portfolio balance. --- **4. INCY (Incyte) - BUY** | Metric | Value | Analysis | |:--|:--|:--| | Market Cap | $21B | | | YTD Return | +53.7% | Strong | | P/E | 17.6x | **Cheap for biotech** | | ROE | 29.8% | Healthy | | Analyst Rating | Buy (24 of 43) | Positive | **Your Thesis Confirmed:** Jakafi is mature, but pipeline (blood cancers, dermatology) is diversifying. Low debt, insider buybacks, 30% ROE = quality compounder. **Risk:** Patent cliffs. Jakafi loses exclusivity 2027 (US), 2029 (EU). Pipeline must deliver. **Verdict:** **BUY more.** At P/E 17.6x with 30% ROE, this is a steal if pipeline works. --- **5. B (Barrick Gold) - CONTRARIAN BUY** | Metric | Value | Analysis | |:--|:--|:--| | Market Cap | $82B | | | YTD Return | **+199%** | Huge move | | P/E | 22.7x | Reasonable for gold miner | | ROE | 14.5% | Decent | | Dividend Yield | 1.1% | Bonus | **Your Thesis:** Gold up 35% in 2024 (to $2,650/oz), but B is up 200%. Some of this is catch-up (miners lag gold), but momentum is strong. Copper exposure (30% of revenue) adds diversification. **Risk:** Gold peaked? If we get a Trump "strong dollar" policy, gold could correct 15-20%. **Verdict:** **HOLD (trim 25%).** Take profits, keep core position. Gold is overbought short-term. --- **Portfolio Allocation (if $10k):** - **MU:** 30% ($3k) - High conviction - **INCY:** 25% ($2.5k) - Value + growth - **ALL:** 20% ($2k) - Defensive - **B:** 15% ($1.5k) - Commodity hedge (trimmed) - **AMD:** 10% ($1k) - Speculative (wait for dip) **Bull:** Diversified across tech, healthcare, financials, commodities **Bear:** Heavy on semiconductors (MU + AMD = 40%) - if AI crashes, portfolio hurts Solid list. I'd rank: **MU > INCY > ALL > B > AMD** (on current valuation).

explorer_soul99

Solid watchlist—mix of growth (MU, AMD), value (ALL, INCY), and commodities (B). Let's rate each with data: **1. MU (Micron Technology) - STRONG BUY** | Metric | Value | Analysis | |:--|:--|:--| | Market Cap | $386B | | | YTD Return | **+295%** | Massive momentum | | P/E (TTM) | 32.6x | vs sector median 1.66x forward PEG | | Forward PEG | 0.20x | **Screaming cheap** for growth | | ROE | 22.4% | Healthy | | Analyst Rating | Buy (54 of 67) | Strong consensus | **Your Thesis Confirmed:** HBM3E dominance (80% market share vs Samsung/Hynix) + AI demand = multi-year tailwind. Yes, it's near 52-week highs, but forward PEG of 0.20x is insane for a semiconductor in an AI super-cycle. **Risk:** Cyclical business. If AI demand slows (2026?), memory prices crash. **Verdict:** **BUY on any -10% dip.** This is a 3-5 year hold.

explorer_soul99

"Apple Intelligence" outsourcing to Google is a massive narrative shift, but let's check if fundamentals support your thesis: **GOOGL vs AAPL - TTM Comparison:** | Metric | GOOGL | AAPL | |--------|-------|------| | Market Cap | $3.97T | $3.83T | | YTD Return | +73.4% | +6.4% | | P/E Ratio | 32.0x | 34.6x | | FCF Yield | 1.9% | 2.6% | | ROE | 35.0% | 164.0% | | Analyst Rating | Buy (67/81 analysts) | Buy (67/109 analysts) | **Your Thesis - Reality Check:** 1. **"GOOGL owns AI for entire mobile world"** - TRUE. Gemini powering iOS Siri (rumored $1B+ deal) gives Google data moat + revenue from both platforms. But... Apple historically pays for services (see $20B/year to Google for search). This isn't new; it's scale. 2. **"Apple Services margins take a hit"** - MAYBE. Apple's Services segment has 71% gross margins. Even a $1-2B Gemini tax is ~1-2% of Services revenue ($85B TTM). Not material unless usage explodes. 3. **"GOOGL calls for iPhone 17 cycle"** - DATA SAYS YES. GOOGL is up 73% YTD vs AAPL's 6%. Market already sees this. But GOOGL trades at P/E 32x (slight discount to AAPL's 35x), so some room left. **Reality:** - AAPL is NOT just a "luxury hardware wrapper." Services + Ecosystem lock-in = 164% ROE (highest of Mag 7). They're a cash-printing machine. - GOOGL benefits from AI dominance, but faces antitrust risk (DOJ search monopoly case). **Trade:** GOOGL momentum looks strong (+73% YTD), but I'd ladder in vs YOLO calls. For AAPL puts, you're betting against $99B FCF/year and 164% ROE—gutsy. **Bull GOOGL:** AI infrastructure leader, data moat, cheaper than AAPL on P/E **Bear AAPL:** Services growth slowing, AI outsourced, China risk I'd play a **paired trade** (long GOOGL, underweight AAPL) rather than naked puts on Cook's ego.

fredditf

$JPM | JPMorgan Q4 2025 Earnings - Adj EPS $5.23 (est $4.70) - Adj. Rev. $46.77B (est $46.35B) - FICC Sales & Trading Rev $5.38B (est $5.27B) - Investment Banking Rev. $2.55B (est $2.65B) - Equities Sales & Trading Rev $2.86B (est $2.7B) - Standardized CET1 Ratio 14.5% (est 14.8%) - Managed Net Interest Income $25.11B (est $24.99B) - Total Deposits $2.56T (est $2.58T) - ROE 15% (est 15.7%) - Loans $1.49T (est $1.45T) - Qtr Included $2.2B Net Reserve Build

MajesticBread9147

I have three long term holds. **ASE Technology (ASX)** A Taiwanese company that is the market leader in outsourced semiconductor packaging and testing. Semiconductor process nodes can't shrink too much more before we get into issues, which is why many companies are not focusing as much on die-shrinks to increase performance but instead more advanced packaging. You see this with the increased use in 2.5 and 3D packaging, chiplets, SiP and the like. This trend is across the electronics industry, from auto manufacturers, the main CPU and GPU designers we all know, as well as SOCs used in cell phones, and combined CPU/GPU SOCs designed by big cloud providers used for AI training. The company is well diversified within the industry, and is the main player in their space, so isn't reliant on the current AI hype train to succeed. They have lower margins than TSMC however they have a significantly lower PE and PEG ratios and pay a 3% dividend which I reinvest. They are investing heavily into new equipment and factories to support the latest and highest margin technologies that they work with, but are still diversified across pretty much all semiconductor packaging beyond just the high end. The company doesn't get a lot of hype, and isn't captured by a lot of semiconductor ETFs, so while it absolutely is positive impact on the AI hype cycle, they are much less likely to be severely hurt by a bubble popping the hype cycle compared to NVIDIA or TSM, especially with their diversification. **Secondly, since we need to power the datacenters**: **First Solar(FSLR)** Basically zero debt, 0.57 PEG, and 28% profit margin with a huge backlog and new factories coming online this year. They make most of their panels in America and despite that and their large margins they were the first solar company to achieve sub $1/watt pricing over a decade ago. Their panels don't use silicon and instead use a different semiconductor (CdTe) that allows an efficient thin film deposited on glass ( vs sliced silicon crystals) meaning they use less material, and this semiconductor is both significantly better at maintaining efficiency in high heat environments and cheaper to produce. They focus exclusively on grid scale solar projects and contracts, so their revenues are more predictable and less sensitive to interest rates than rooftop solar. Current government policy can't change the fact that utility scale solar is by far the cheapest and fastest way to add electricity to the grid in a time when fossil fuels are set to become more expensive due to both increased exports and domestic demand, and nuclear projects, even SMRs take significantly longer and cost significantly more. **Lastly, I think Celestica(CLS) is still fairly valued as a growth play.** They are an advanced electronics manufacturer and large manufacturer of high speed network switches that are used in hyperscaler datacenters. Every server rack, and at multiple connections upstream has a switch, and networking is very important for ML workloads because large amounts of data needs to be sent between different servers quite quickly. They are the market leader in 800G switches which is the cutting edge right now. And while this is a good portion of their business, they also do healthcare technology,rack integration, general electronics design and offer services to better automate factories, which is important if we are going to bring manufacturing back. There are dozens of cloud companies, most of whom are unlikely to last til 2030, but Celestica will last, and every cloud company uses something made by them. They even make components and contracted out design and manufacturing for companies like Juniper and Dell. They beat last quarter earnings expectations by 50%, have a 30% ROE, and are expected to grow their EPS by 28% each year over the next five years. It's my largest holding by far. All of these are positioned to grow with whatever Cloud/Datacenter providers win out, whether AMD, Nvidia, or custom SOCs dominate compute, and are diversified enough to not go bankrupt if this turns out to be all hype.

Lost_Grand3468

*Valuation Stretched* Stock up ~ (Yahoo Finance) 138% YTD with a 35.7x earnings multiple. Average analyst price target of $51.55 implies ~4% downside, suggesting the stock is "priced to perfection" (TipRanks). P/S ratio of 4.49x near its 3-year high of 4.54x, well above industry average of 2.74x (Finimize) *Good News Already Priced In* Concerns mounting that the market has already priced in much of the good news from the $2.1 billion MAG Silver deal and higher production guidance (Weiss Ratings) With the stock trading near its 52-week high and institutional buying like North of South Capital's 444% stake increase already disclosed, fresh incremental catalysts are limited in the near term (Weiss Ratings) *Silver Price Dependency* Financial health closely tied to the price of metals on the world stage (Finimize). Silver is notoriously volatile—a mean reversion from current ~$30+ levels would compress margins significantly. Shares vulnerable to pullbacks as traders react to any disappointment in silver prices (Weiss Ratings) *Operational/Execution Risks* Business model heavily exposed to operational disruptions, cost inflation, regulatory challenges and environmental compliance in multiple jurisdictions (Weiss Ratings). Faces integration and execution risk as it manages assets at different stages of their life cycles (Weiss Ratings). Increased exploration costs have sparked discussions about potential impact on future production and profit margins (StocksToTrade). *Jurisdictional Risk* Operations across Mexico, Peru, Argentina, Bolivia—politically volatile mining jurisdictions. Permitting and social-license requirements can delay projects or restrict expansions. Mexico in particular has become increasingly hostile to mining interests. Poor Shareholder Returns Relative to Volatility. Weak dividend support—despite reasonable profitability and 11.29% ROE, shareholders not being well-compensated through dividends for the volatility they endure (Weiss Ratings). Compared with peers like Southern Copper (SCCO) and Agnico Eagle (AEM), PAAS offers similar ratings but less dividend support (Weiss Ratings). *Technical Weakness* Recent session volume of 3.77M shares well below the 90-day average of 6.57M, suggesting pullback unfolding without heavy buying support (Weiss Ratings). Stock losing ground near the top of its trading range rather than extending higher (Weiss Ratings). Bottom line: If you're bearish silver prices, see the MAG Silver integration as a "sell the news" event, or believe the ~30-35x multiple is unsustainable for a miner, PAAS has meaningful downside risk from current levels. The analyst targets clustered around $51-52 vs. recent trading near $53-55 suggest limited upside even in a constructive scenario.

redditmodsRrussians

about to start testing how AI/drones/robots deal with guerilla warfare especially when the ROE is basically non existent now.

Senior-Preference678

This is the version you would lock in and run for at least 10 years. ETF: VUG (Vanguard Growth ETF) Benchmark: Russell 1000 Growth Expense Ratio: 0.04% Why 75%: US growth remains the global growth engine, deep innovation, high margins, strong capital markets, avoids over-concentration while staying aggressive. International Growth — 15% ETF: VIGI (Vanguard International Growth), exposure: Developed + Emerging growth stocks Expense Ratio: 0.15% Why 15%: Geographic diversification, access to non-US growth leaders, limits drag from structurally weaker markets. Quality Factor Tilt — 10% ETF: QUAL (iShares MSCI USA Quality Factor) Factor: High ROE, low debt, earnings stability Expense Ratio: 0.15% Why 10%: reduces drawdowns without sacrificing growth, improves risk-adjusted returns, helps behaviorally during market stress. Cost & Efficiency: Weighted Expense Ratio: ~0.07% Turnover: Low Tax efficiency: Excellent Scalability: $100k - $1M+ with no changes Rebalance annually or if any sleeve deviates ±5%, direct new contributions to the most underweight ETF. This Portfolio intentionally excludes: SMAs, active mutual funds, crypto / NFTs, sector chasing, high-fee “advisor products”. Volatility: High Max drawdown, severe markets: -35% to –45% Long-term expected return: ~9–11% This portfolio assumes 10+ year horizon, no panic selling, no need for income today!!

crazybutthole

I was thinking more in the context of drone defense (aka red sea attacks last year) where destroyers were using very expensive SM's to take down (relatively) cheap drones i also grew up in a different state of mind from ROE perspective (fire only when fired upon) vs today - where we seem to have changed our mindset a tiny bit and i am not sure how that is going to evolve in the future Its......different

GardenOk7022

Totally agree about sticking with quality stocks. I use moomoo to track long-term ROE and dividend consistency before entering any wheel trade. The earnings and valuation charts are easy to understand, and paired with their options analysis features, it gives me a lot more confidence to manage assignments calmly. Stocks like KO or JNJ may move slowly, but they bring steady results.

Ok_Foot2530

Important fundamentals don’t change over time - moat (pricing power, sustained market share, high entry barrier, high ROIC, etc. as signs), good economics (ROE, sustainable margins), predictability (risks are manageable on most fronts, and downside case not too detrimental), valuation (discount vs FCF, margin of safery). In an environment of excess liquidity and narratives-driven concentration (today), I look away from AI hype and even outside US most of time now, to find high quality ones. Plenty undervalued sectors / stocks - I think housing related ones are cheap in the US, and I think China consumer stocks are too beaten down, etc. and many are overvalued - SaaS stocks are not valued right today, their multiples and margins will be lower given AI’s commoditization forces and SaaS integration of AI / upcoming R&D and S&M spend to stay relevant with AI.

Ok_Foot2530

Be more hopeful! I am. :-) (1) market cap ties to GDP (famous Buffett indicator), which grows with productivity. Every few years, a new wave of productivity gain shows up and US has been a leader. After AI, maybe we will have robots, space, genetic editing… and new waves of great companies will be part of S&P. (2) the world is not as dependent on the US as many Americans believe - Soviet Union was growing for decades, China hit record trade surplus recently despite US tariffs and did well during 2008-09 US financial crisis. US is influential, but India / China will continue growing even if US stalls. We always feel down and believe there is no tomorrow when things go bad - I’m sure many felt the same in 2001 (followed by multiple years of bad returns until 2010). But plenty made money still during that period investing in US and foreign companies. World GDP always go up, (except war years) and there is always some pockets filled with innovation, excitement, growth and high ROE. So I am sure you will do well - just be open minded in looking for opportunities and be patient.

Ok_Foot2530

Why so pessimistic? If you believe S&P won’t be up much because it’s too expensive (like the Internet bubble / EM bull runs you talked about), then wait until it’s cheaper. If you believe US companies in S&P will not generate good ROE or grow as much as before, you are losing faith in US exceptionalism - then some country (countries) must be replacing US leadership role, then diversify and allocate. If neither if above - then you are predicting WW III for value destructive for the entire world? Then, my man - god bless us. But I will just live assuming the 3rd scenario won’t happen - if it does, money doesn’t matter as much any way….

i69like420blowjobs

Tsla has P/B ratio of 18. If investors demand a 10% return that implies a ROE of 180%. Investors view tsla as a very good business

Alarming-Maize-8611

It first started as a liberty media share arbitrage, but they raised their stake i presume for a few reasons. First, Sirius has meaningful Price to FCF ratio of approx. 6.3 That amount of cash flow for such a low valuation is pretty extraordinary. On top of that SiriusXM is buying back a meaningful amount of shares. This along with the dividend present a pretty strong ROE case for a large shareholder such as Berkshire. Im also guessing that they believe that even with fairly modest subscriber losses, the earnings and free cash flow story wont be meaningfully effected enough for it to matter. I also think that SIRI is making some pretty big moves in investing in content to refurbish its service for newer customers. Whether that works or not, time will tell. 2026 will be a consequential year for SIRI whether their strategy works out or not.

SharestepAI

I like your idea in principle, long-term. FWIW, I ran your list through a quick check on the stocks' fundamentals and there is some variance in quality there: \- IREN, VRT, ANET, MRVL: look pretty good \- NBIS, APLD, CRWV, CORZ: negative margins, ROE Have you looked into data centre REITs? That's another angle to play on.

BrownMarubozu

Take a look at FRFHF. It’s geared to higher interest rates, real assets and most of its income isn’t correlated to economic activity. Trades at only ~8-10 earnings and should earn a 15%+ ROE on average over the next 5 years. It’s going into the S&P/TSX 60 so passive buying should increase the multiple over time.

SukottoHyu

Their AI is very sophisticated at analysing whether stocks are undervalued. It is a powerful tool if you are a value investor. Quite often, when it tells you a stock is overvalued, and you look at what the undervalued price is, the stock will eventually sink to its undervalued or fair valued price. It uses financial models such as 10 year DCF revenue exit and DUPont ROE Analysis to save you doing these calculations and research yourself. You can toggle the metrics it uses if you don't agree with them. You'll find that its valuation can sometimes differ from the general sentiment of analysts (which are not always right anyway), but when you find that both analysts and the AI agree on the valuation of a stock, it's an extra layer of confidence. What it can't do is tell you precisely when a stock will reach a certain price, it can only predict that at some point it will happen.

Illustrious_Mix4946

Honestly, do your own research instead of taking random stock tips from Reddit. What I’d do is: 1. Go to Screener and filter using this formula: ROCE > 15 ROE > 12 D/E < 0.5 OPM > 15 Sales growth 5Y > 10 Profit growth 5Y > 10 This will give you genuinely strong long-term companies. 2. From that list, pick 6 stocks max you actually understand. 3. Then check their support & resistance on ChartScanner.ai — I only use it because it forces me to avoid buying at stupid levels. Nothing fancy. 4. Add all 6 to your watchlist and just do cumulative buying on dips instead of going all-in at the wrong price. Most people lose not because they pick the wrong stock… but because they enter at the wrong level. This keeps things simple and eliminates 80% of the guesswork.

jubilantBeatbox

# Financial Health & Ratios Based on the most recent financial data available (as of **November 14, 2024**, Yahoo Finance and Simply Wall St): || || |Metric|Value (as of Nov 2024)| |**Market Cap**|\~$9.11M (intraday)| |**Enterprise Value (EV)**|$6.48M| |**Cash on Hand (mrq)**|$3.43M| |**Current Assets vs. Liabilities**|Not fully disclosed, but short-term assets exceed liabilities per WallStreetZen \[July 24, 2025\]| |**Long-term Debt**|Not disclosed; Debt/Equity ratio not available| |**Debt-to-Equity Ratio**|Not available (marked as "--")| |**Interest Expense**|Not disclosed| |**EPS (TTM)**|**-$1.82**| |**Return on Equity (ROE)**|**-1,191.73%**| |**Net Margin**|**-47.28%**| |**Book Value**|Not available| |**Market-cap-to-cash ratio**|\~2.66x ($9.11M / $3.43M)| |**Annual Cash Burn**|\~$4.51M (Levered FCF TTM)| |**Estimated Cash Runway**|\~9–10 months (based on $3.43M cash and \~$4.51M annual burn)| The company is **not profitable**, with negative EPS and ROE, and has **missed earnings expectations** in multiple recent quarters (Q1, Q3 2025). The **forecast breakeven date has been pushed back to 2027** \[Simply Wall St, Oct 5, 2024\], and there are **going-concern warnings** implied by negative equity and cash burn.

jubilantBeatbox

# Financial Health & Ratios Based on the most recent financial data available (as of **November 14, 2024**, Yahoo Finance and Simply Wall St): || || |Metric|Value (as of Nov 2024)| |**Market Cap**|\~$9.11M (intraday)| |**Enterprise Value (EV)**|$6.48M| |**Cash on Hand (mrq)**|$3.43M| |**Current Assets vs. Liabilities**|Not fully disclosed, but short-term assets exceed liabilities per WallStreetZen \[July 24, 2025\]| |**Long-term Debt**|Not disclosed; Debt/Equity ratio not available| |**Debt-to-Equity Ratio**|Not available (marked as "--")| |**Interest Expense**|Not disclosed| |**EPS (TTM)**|**-$1.82**| |**Return on Equity (ROE)**|**-1,191.73%**| |**Net Margin**|**-47.28%**| |**Book Value**|Not available| |**Market-cap-to-cash ratio**|\~2.66x ($9.11M / $3.43M)| |**Annual Cash Burn**|\~$4.51M (Levered FCF TTM)| |**Estimated Cash Runway**|\~9–10 months (based on $3.43M cash and \~$4.51M annual burn)| The company is **not profitable**, with negative EPS and ROE, and has **missed earnings expectations** in multiple recent quarters (Q1, Q3 2025). The **forecast breakeven date has been pushed back to 2027** \[Simply Wall St, Oct 5, 2024\], and there are **going-concern warnings** implied by negative equity and cash burn.

jubilantBeatbox

To help tidy up this sub from the endless supply of absolute crap tickers... here is a very simply DD prompt to put into your AI-powered browswer. Do not use ChatGPT/Grok etc on this first step. you need a LLM that reads the internet. This is not meant to give you concrete DD. It is a high level DD. You can then, based on what the results are, investigate further and do proper DD by referring to actual SEC filings, websites, etc. Here is the prompt and refine it anyway you like: "Please provide a comprehensive analysis of Reviva Pharmaceuticals Holdings, Inc. RVPH Business Overview What does the company do? Summarize its core products, services, and business model. Corporate & Regulatory Risks Identify any adverse news involving the company, its directors, or major shareholders (include source dates in brackets). Assess regulatory risks that may impact operations or financial performance. Evaluate the risk of future dilution and indicate when the most recent dilution occurred, with reference to SEC filings. Financial Health & Ratios Using the most recent financial data available (include dates in brackets), analyze: Key financial ratios Cash on hand Current assets vs. current liabilities Market capitalization Enterprise value (EV) Long-term debt Debt-to-equity ratio Interest expense EPS (TTM) Return on equity (ROE) Net margin Book value Market-cap-to-cash ratio Annual cash burn and estimated cash runway Any going-concern warnings in filings Corporate Actions & Legal Matters Review insider transactions (purchases and sales). Note any litigation or material legal issues. Valuation & Outlook Based on the findings, assess whether the current share price appears overvalued or oversold. Provide a general outlook on the company’s future prospects. Competitor Comparison List five relevant competitors, including ticker symbols and current share prices. Are there any near future catalysts?"

D_Pablo67

ROE, free cash flow and a strong balance sheet should be looked for together.

AICHEngineer

ROE is a weak nothing burger metric

JimmyInvestor

I would replace ROE with ROIC. And I’d use a forward-looking analysis (NTM), not a backward-looking one (LTM). I’d also assume at least 7-10% annual growth in revenue and earnings in the model.

TheBayWeigh

Seems like they have strong fundamentals but definitely some risks. Just did this analysis via Magic Signal (iOS) Key Highlights: Year-to-date (YTD) change: -32.65%, reflecting notable weakness despite historic annual volatility. Q3 2025 earnings: Missed expectations with EPS of $0.24 versus consensus $0.26; follows earlier earnings volatility. Strong fundamentals: ROE stands at 21.09%, indicating efficient capital allocation; reasonable P/E (normalized) at 17.59. Liquidity: Current ratio of 2.48 and quick ratio of 1.78 suggest healthy short-term liquidity. Capital structure concern: Negative interest coverage ratio (-89.25), highlighting pressure from debt servicing or operating losses. High volatility: 52-week price range from $4.33 to $44.15 — recent price is near the lower end following significant drawdown. Industry prospects: Operates in AI/video analytics and IoT security — both high-growth, innovation-led fields. Technical Analysis: RSI near neutral: Indicates the stock is neither overbought nor oversold, suggesting a balanced risk but lacking a clear reversal signal. SMA trend: Trading below the 20-period SMA supports a near-term bearish view. MACD dynamics: Negative and widening MACD histogram reinforces strengthening bearish momentum. Options flow: Put/Call ratio (0.20) and OI ratio (0.31) are bullish, but overall volume and open interest are lower than average, suggesting limited conviction or caution among option traders. Volatility: Implied volatility remains elevated (89.8%), substantially higher than realized volatility, indicating higher expected moves and potential risk premia for option writers. Market Analysis: Sector dynamics: Technology and AI-driven security demand remain robust; GRRR’s market focuses are aligned with macro growth trends. Peer landscape: Intense competitive pressure from established industry players may affect pricing power and margins. Premium valuations (P/S 3.38; P/B 3.92) are in line with growth tech stocks, but raise expectations for future growth and execution. Institutional activity: No clear evidence of materially increased institutional buying or selling recently. Sentiment: Options market positioning is moderately bullish, but reduced volumes suggest caution. Volatility context: The stock’s historical and implied volatility are both high, contributing to wide price swings and short-term trading risks. Investment Outlook: Short-term (1-3 months): BEARISH | Confidence: 70% Supporting factors: Technical indicators (RSI, SMA, MACD) all tilt negative. Failure to break above the 20-SMA confirms near-term downside risk. Weakness in options volume and open interest further supports subdued price action. Catalysts or risks: Further downside could arise from technical breakdowns or absence of positive corporate news. High implied volatility also increases risk for short-term traders. Medium-term (3-12 months): NEUTRAL | Confidence: 60% Longer-term factors: Positive industry backdrop and strong ROE provide baseline for recovery; structural demand for AI and video security remains. Growth drivers: Potential re-acceleration from new contracts, product launches, or improved earnings trajectory. Currently, no major upcoming catalysts have been identified, limiting upside probability unless new developments occur. Risk Assessment: Earnings volatility: Recent earnings misses (including Q3 2025) point to uncertain profitability trends and execution risk. Negative interest coverage: Implies pressure from debt servicing; company is vulnerable if operating conditions worsen. Valuation premium: Trading at higher multiples compared to sector peers heightens sensitivity to further earnings disappointment. Competition: Faces well-funded rivals in AI and security analytics — margin compression and market share risks persist. High volatility: Wide 52-week range and elevated implied volatility underscore risk of abrupt price moves. Summary: GRRR is an innovation-driven small-cap technology firm in a dynamic and growing sector. Strong ROE and solid liquidity are positives, but earnings volatility and debt concerns warrant caution. Current technical factors point to near-term weakness, and the absence of fresh growth catalysts makes the stock vulnerable to further downside in the short term. Over the medium term, the company could benefit from robust industry tailwinds, but investors should closely monitor earnings progress and strategic developments. Risk-tolerant, long-term investors may consider building a position on further pullbacks, while short-term traders should remain cautious amid ongoing bearish signals.

Sanjay26081962

Why are you investing in such companies. See PE ratio. If PE ratio is between 20-35...be calm or if companies are good with excellent ROE or ROCE don't worry.

Fascination_Roe

MDLZ is a solid defensive pick with reasonable ROE, valuation, and stable dividends. Lower raw material costs should help margins, but the softness in the North American biscuit market is a concern. It’s good for steady exposure but not for major upside. Hold in moderation and monitor performance regularly.

Reasonable_Skill2149

Everyone’s bleating on about AI. It’s only a small slice of the technological cake . Overhyped. Focus on the massive development in super accelerated computing which will increase speeds and memory 1,000,000 x. Yes the market as a whole is due a correction. But the mag 6 , not Tesla are producing ROE of 36%-150% per annum . That’s real cash money, free of debts. . Forget PE ratios . Then if it the market collapses , ask yourself one question: Will I stop using my laptop and mobile forever ?

JacquesHome

I was never a FIG person but know just enough to know that I don't know enough :). For FIGs, the balance sheet is just as important than the income statement. I am going to name drop for a second to say I got to know Bill Browder and he gave me that advice: balance sheet doesn't lie. Banks make money by taking in deposits (paying interest) and loaning out money (getting higher interest) and there is a lot that can go wrong if you don't have the right controls. FIGs can fudge a lot on the income statement but the balance sheet is the arbiter of truth - loans held at value, ROE, ROA, etc. You are looking for delinquencies, credit quality, short term vs. long-term loans, etc.

GapOwn9308

on what basis are you claiming this? meta's ROE is only 30%, no where close to being the top

n1gg4p3nis

Awesome post and 100% agree - I think this is one that Mark Zuckerberg would agree on as well. He recognizes that putting hundreds of billions of capex dollars for an unknow ROE is a possibility. But he has said he would rather mis-spend a couple hundred billion dollars in AI than for it to really take off and them not being a part of it. I think these LLM will likely be a winner takes all business and there will only be one LLM that enjoys the majority of the economic success, so it seems like it’s build now and think about economics later.

Evolvedyouth

Perfect — here’s a one-page investment memo for PayPal Holdings (NASDAQ: PYPL) as of November 2025, summarizing the company’s latest financials, strategic momentum, valuation view, and key risks. 📄 Investment Memo: PayPal Holdings, Inc. (PYPL) Date: November 2025 Analyst: ChatGPT (GPT-5) Sector: Fintech / Payments Ticker: PYPL | Market Cap: ~$75B Recent Price (Nov 2025): ~$68–70 52-Week Range: ~$50 – $82 🧾 Investment Thesis PayPal is executing a credible turnaround under CEO Alex Chriss, transitioning from stagnation toward profitable, diversified growth. With improving transaction margins, renewed consumer engagement through Venmo, early traction in advertising and AI-driven commerce integrations, and the reinstatement of a dividend, PayPal is re-emerging as a cash-rich fintech with multiple growth levers. Valuation remains compelling relative to peers, suggesting upside potential if management sustains EPS momentum and TPV growth. 💰 Recent Performance (Q3 2025 Highlights) Revenue: $8.42 B (+7% YoY) Non-GAAP EPS: $1.34 (+12% YoY) TPV: $458 B (+8% YoY) Free Cash Flow: $1.7 B Active Accounts: 438 M (+1% YoY) Transaction Margin Dollars: +6% YoY Dividend: Initiated at $0.14 / quarter (first in company history) Buybacks: $1.5 B repurchased Q3 alone Outlook: FY25 non-GAAP EPS $5.35–5.39 (raised). Management emphasizes “quality growth” and cost discipline. 🚀 Key Catalysts & Positives 1. Venmo Monetization: Launch of Venmo Stash cash-back program aims to drive debit card spend and interchange revenue. Venmo card penetration now a key monetization vector. 2. PayPal World / Cross-Border Expansion: New platform linking to India UPI, Mercado Pago, and Tenpay Global opens high-growth remittance and merchant corridors. 3. PayPal Ads: Building first-party data ad network leveraging merchant insights — potentially high-margin incremental revenue. 4. AI & Agentic Commerce Partnerships: Integrations with Google, OpenAI, and Perplexity to enable “smart checkout” and embedded payment flows. 5. Capital Returns: Dividend + accelerated buybacks signal confidence in steady free-cash-flow generation. 6. Crypto & BNPL Product Expansion: Enhanced stablecoin and BNPL infrastructure expand addressable markets beyond traditional checkout. ⚙️ Financial Health Net Cash Position: ~$3 B (cash – debt) Free Cash Flow Yield: ~9–10% Operating Margin: ~23% (non-GAAP) ROE: ~21% No material near-term debt maturities 📊 Valuation Snapshot (as of Nov 2025) Metric PYPL Peers (Avg: V, MA, SQ, ADYEN) Forward P/E ~12× ~21× EV/EBITDA ~9× ~16× FCF Yield ~9–10% ~5% Fair Value Estimate: $85–95 / share (≈25–35% upside) Assumes sustained mid-single-digit revenue growth, stable margins, and continued capital returns. ⚠️ Key Risks User Engagement: Transactions per account still below 2022 levels; weak activity could cap TPV growth. Competitive Pressure: Apple Pay, Block/Square, and traditional card networks compress take-rates. Regulatory Headwinds: BNPL, crypto, and ad data usage may invite scrutiny. Execution Risk: Monetizing Venmo Stash and Ads needs careful rollout and user adoption. Macro Sensitivity: Consumer spending slowdown could hit merchant volumes. 🧩 Bottom Line PayPal is no longer a pure growth story — it’s a cash-flow compounder in transition, trading at value-stock multiples. Early success with Venmo Stash, PayPal Ads, and cross-border expansion shows a path back to mid-teens EPS growth. If execution holds, re-rating toward peers’ multiples appears justified. 📈 Recommendation: Buy / Accumulate Time Horizon: 12–24 months Target Range: $85–95 Would you like me to append a peer-comparison chart (Square, Visa, Mastercard, Adyen) and a DCF-based fair-value model to this memo for deeper valuation detail?

Buddah_Chillz420

Nvidia ROE is around 60%. If that keep going they out grow that p/e easy.

No_Hour6830

There are so many bad assumptions in this post. Not trying to be rude, I just need to call them out. For starters, there's an assumption here that "institutions" are the "smart money". While that isn't necessarily wrong, you have to understand how "institutions" actually operate. Many institutional flows are passive, meaning they don't actively choose to buy and sell specific securities. Next, of the active managers, many have specific goals and mandates that influence decision making. They might be behind their benchmark and need to chase into year end or risk losing clients or even their job. There are many other rules/mandates/goals that must be followed/hit that can influence decision making beyond "I think this is a good long-term investment at these prices". Actually, very little institutional capital is how you're imagining it. I bet you have the idea that institutions are trying to make decisions that yields the highest returns. Or maybe the highest risk-adjusted returns. When in reality, that is a small sliver of the institutional investing space. The whole "circular investing" thing is not something serious investors are paying attention to. Maybe if you're evaluating OpenAI, but the rest of the companies have little real risk if these commitments don't pan out. Finally, the claim that the stocks are "so damn expensive". It's impossible to say for sure whether they are or they aren't. Historically speaking, stocks are very expensive. But also historically, the largest company in the world didn't have 50% net income margins, 80% ROIC, 100% ROE and EPS growth north of 50%. No company did. That was completely unheard of. And that same idea is true of all the Mag 7 (if we include AVGO and remove TSLA). So why are people buying? I think right now, the market poses a pretty favorable risk/reward balance. I could be completely wrong, but I think we're much more likely to see S&P 10k before we see S&P 4k.

OptionsJive

When I say "top 1%", I don't mean it by number of companies in an ETF, I mean the absolute strongest businesses on the planet (i.e. dominant market share, strong economic moats, low debt, consistently high surplus ROE, etc.). I build my own "top 1%" watchlist every quarter based on those fundamentals and only trade within that universe. The key point is that I only open positions in line with current sector rotation and volatility regime.

Important-Seat7243

DIBS has earnings today. Strong technical sentiment, however did have a slight increase in stock price a couple of days ago, so may only have a short lived uptick. No volume yet this morning. CGC has earnings however missed the last 3 quarters, and has negative sentiment across the board. It is at a low right now though, so may be good for a scalp at least today. Volume is slowly growing. HLLY is forecasted to beat estimated earnings. ROA and ROE are exceeding industry averages, however, they have a slight downward revenue trends. No volume yet. Thinking I might buy a bit of all 3 and watch.

ZealousidealGoose193

If u have any request for other definitions (The next is ROE and ROI) please feel free to write me up. Also about other stocks

feenixOmlette

Everyone is saying chipotle big disappointment. Did you guys even read the actual report or just the CEO and media buzz? --- Tldr Place is profitable and decently run business making good money with growing cash flows. CEO spouts some inane bullshit about genZ, price crashes 50%. Probably so he can buy more shares cheaply from idiots. analyze Chipotle's latest earnings releases etc. independently ignoring critics and news but actually looking at the numbers analyse the business from a revenue, EBITDA, cashflow and balance statement perspective Chipotle's latest quarterly results reveal a business continuing to grow but now facing sharper macroeconomic headwinds and margin compression. The analysis below is based purely on their reported numbers and not on media reaction or external commentary. ### Revenue Trends - Q3 2025 revenue hit $3.0 billion, up 7.5% year-on-year. This growth was mainly driven by new restaurant openings, with comparable restaurant sales up just 0.3%. Growth in average check size (up 1.1%) only partially offset a 0.8% decline in transactions, indicating both pricing and volume pressures[1][2][3]. - Digital sales remain a strength, at 36.7% of food and beverage revenue[1]. ### Profitability and EBITDA - Chipotle’s operating margin decreased to 15.9% from 16.9% the prior year[1][2][4]. - Restaurant-level margin also dropped slightly to 24.5% from 25.5% last year, signifying inflation and possibly waning pricing power[1]. - Estimated trailing-twelve-month (ttm) EBITDA is $2.34B on about $12.5B revenue, with a margin in the 20% range. For Q3 specifically, EBITDA margin is roughly in line with company forecasts at ~20%[5][6][7]. - Net income for Q3 was $382.1 million, or $0.29 per share, representing only a slight year-on-year gain versus $387.4 million and $0.28 per share last year[8]. ### Cash Flow Analysis - Free cash flow (FCF) for the trailing twelve months remains robust at over $1.4 billion, although 2025 may see a slight dip versus 2024 as capex accelerates with store openings[6][7]. - Capex for 2025 is projected at nearly $676 million, suggesting reinvestment intensity is up (about 27.6% of EBITDA)[7]. FCF margins, however, remain strong at around 11–12%[7]. - Operating cash flow growth has been strong in recent years, nearly tripling since 2020, supporting continued expansion[9]. ### Balance Sheet Strength - Cash position is about $1.55B, and net debt is essentially zero given Chipotle’s longstanding asset-light, unleveraged model[5][10]. - Book value per share continues to climb, now around $2.7/share with a projected year-end book value of $2.7–$3.0 per share[7]. - The company maintains high returns on equity (ROE mid-40% range) with minimal leverage[7]. - Capital intensity remains moderate, closely managed, with capex to FCF ratios stabilizing in the 40–50% range, supporting sustainable self-funded growth[7]. ### Summary Table: Fiscal Health Snapshot | Metric | Q3 2025 / TTM Value | Trend | |-------------------------------|---------------------------|------------| | Revenue | $3.0B (Q3) / $12.5B (TTM) | ↑ YoY | | Comparable Sales Growth | +0.3% | ↓ vs prior | | Operating Margin | 15.9% | ↓ YoY | | Net Income | $382M (Q3) | ≈ Flat YoY | | EBITDA (TTM) | $2.34B | Stable | | Free Cash Flow (TTM) | $1.4B+ | Slight ↓ | | Capex (2025 est) | $676M | ↑ | | Cash Position | $1.55B | High/stable| | Net Debt | $0 | N/A | | Book Value per Share | ~$2.7 | ↑ | | ROE | ~45% | ↑ | ### Core Takeaways - Chipotle's financials still show solid growth and excellent cash flow conversion, but comparable sales and traffic are faltering[1][2][11]. - Margin compression (in operating/restaurant lines) and slowed transaction growth are key operating risks. - Balance sheet robustness and high returns on capital remain a distinct strength, enabling reinvestment without new debt[5][10][7]. From a pure numbers perspective, Chipotle remains highly profitable with conservative financial structure, but its near-term momentum is softening as inflation and consumer sensitivity weigh on sales and margins[1][2][7].

Prudent-Corgi3793

You can choose any metric you want: P/E, PE/G, P/S, EV/EBITDA, ROA, ROE, ROIC. They all look disastrous.

Hungry-Brain-3287

The company is spending 600% more than they make Negative margins, Negative ROE/ROA Had a 60% value drop this month due to a "lack of investor confidence" ... what's not to love?

Time-Philosophy0323

For a senior finance manager, from another finance manager, this post was extremely lackluster and uninsightful DD. Where are the multiples now, vs peers and vs historical. Where are the FCF and ROE mentions, where are the reasons for why the price isn’t fully baked in already…

dubov

This looks like my next mistake. 9x earnings, 5x cashflow, and a 99% ROE because the regards have levered to the tits

Open-Fieldbook

# Market Summary[](http://localhost:8501/chat#market-summary) * European cyclicals continue their policy-driven surge, with German defense spending and fiscal expansion supporting banks and industrials through **20% Q2 earnings growth** in select sectors. * ETF flows remain robust globally, approaching $1 trillion in 2025, with international equity ETFs capturing $81 billion as European and emerging markets demonstrate relative strength. * Semiconductor equipment demand remains structurally sound despite cyclical volatility, with **$ASML's High NA EUV technology** enabling the next generation of AI and high-performance computing chips for customers like Intel, TSMC, and Samsung. # Your Portfolio Impact[](http://localhost:8501/chat#your-portfolio-impact) **What this means for your portfolio:** Your 50% allocation to $VWCE provides excellent core exposure to this environment, capturing both European cyclical strength and semiconductor leadership through diversified global equity exposure. Your 15% individual stock allocation—particularly **$ASML**—positions you directly in a company with an **unassailable technology moat** and 40-50% ROE, while $SHELL and **$NN** (NN Group) offer Dutch exposure with different risk profiles. The 5% Bitcoin allocation benefits from growing institutional adoption via spot ETFs, though crypto remains your highest-volatility component. # Performance Attribution[](http://localhost:8501/chat#performance-attribution) **Your small-cap tilt (20% $IUSN) is strategically sound** at your age and time horizon, despite the 0.35% TER. Small-cap premiums materialize over decades, not quarters, and the additional 0.25% cost versus $VWCE is **justified by the long-term return potential** for a 20-year-old investor. This allocation captures companies before they become large-cap index constituents. **Your emerging markets question reveals sophistication:** $EMIM's "IMI" designation (Investable Market Index) includes small and mid-caps alongside large-caps, providing **broader EM exposure than standard indices**. This structural advantage outweighs minor TER differences versus alternatives like EUNM or VFEM, particularly given your existing small-cap tilt in developed markets. # Portfolio Considerations[](http://localhost:8501/chat#portfolio-considerations) **Your 15% individual stock allocation is appropriate—not excessive—at age 20.** $ASML's 25-30% net profit margins, minimal debt (0.2-0.3 debt-to-equity), and **monopoly position in EUV lithography** justify its premium 40-45 P/E valuation. The company's $400 million High NA machines represent decade-long competitive advantages that competitors cannot replicate quickly. **However, concentration risk warrants attention:** Three Dutch stocks create geographic and currency clustering. Consider whether $SHELL's energy exposure and **$NN's financial services positioning** genuinely diversify your thesis, or whether they simply reflect home-country bias. Your ETF allocations already provide Dutch exposure through $VWCE. **The crypto allocation at 5% is defensible** given your age and risk capacity, though Bitcoin's volatility will dominate your portfolio's short-term fluctuations. If this allocation grows beyond 7-8% through appreciation, consider rebalancing to maintain your intended risk profile. \- Open Fieldbook Intelligence Team

Open-Fieldbook

# Portfolio Considerations[](http://localhost:8501/chat#portfolio-considerations) **Given your concern about position count, consider consolidating around your highest-conviction ideas.** $RIG (offshore drilling) faces structural headwinds from energy transition policies and volatile oil prices—this position appears speculative rather than strategic. **Selling $RIG could fund additional $IVV accumulation**, restoring your core allocation while maintaining exposure to energy through the S&P 500's diversified holdings. **Your planned $XPEL position deserves scrutiny before initiation.** At a P/E near 37 and P/S around 5.8, you're paying a significant premium for a company with 11% net margins in a specialized but competitive automotive aftermarket. While $XPEL demonstrates strong fundamentals (ROE of 21%, minimal debt), the valuation leaves little room for execution missteps. Consider whether this capital might better serve you in $FOA or $ABL—existing positions where you've already done the diligence. **Rebuilding $IVV should be your priority.** Your admission of feeling "bad" about the sale signals psychological discomfort with your current risk profile. Dollar-cost averaging back into the S&P 500 over 60-90 days provides downside protection while maintaining exposure to any year-end rally. \- Open Fieldbook Intelligence Team

GoldenPresidio

Eventually yes, when the ROE on other investments are low enough

whitepenthouse

I know nothing, zero, nada, about pennystock but I was taught the Warren Buffet way of value investing so I’ll be doing my own due diligence as so Stock name: 374Water ($NadaqGS: SCWO) Company info: Engages in the development and commercialisation of sustainable water treatment technologies including the flagship’s Subambient Pressure Thermal-Oxidation otherwise know as the SPT process for short which enables cost-effective and energy-efficient treatment of hazardous waste and wastewater, addressing the growing global demand for clean water solutions. Sector: CleanTech Industry Group: Water Utilities Industry: Environmental Services Type: Growth Current stock price: $0.68 PS value (intrinsic): $0.85 MOS: PIEC Finding: Income Statement * Revenue: $3.2M ✅ * Net income: $4.5M ❌(Loss as expected of growth company) * Gross Profit Margin: 34.5% ✅ * Net Profit Margin: -140.63% ❌(Its negative due to heavy R&D and scaling costs) * ROE: -15.4% ❌(Typical for growth phase) * Diluted EPS(adj.): -$0.27 ❌(Company reinvesting into other technology) Remarks: The company is making money, but still relatively low seeing as its in its early commercialisation stage. The gross profit margin is decent, but it’s showing up red because of the capital-heavy stage of development. For those who are monitoring this stock, keep an eye on revenue trajectory and gauge if margins improve as the technology scales. Balance Sheet * Current Ratio: 4.2x ✅ * Cash Ratio: 3.1x ✅ * D/E: 0.52x ✅ * CCC: 56 days ✅ Remarks: Strong balance sheet with solid liquidity. They have a strong cash position which means the company’s short-term assets has enough sufficiencies to cover its liabilities. Debt to Equity ratio is stable meaning they own more than they owe which is a good sign for sustainability. Cash Conversion Cycle shows they have efficient working capital management, but for me I like it better if it could be improved. Valuation * Dividend Yield: NIL * P/E (adj.): NIL * P/B (adj.): 2.1x ✅ Remarks: Price-to-Book ratio is reasonable for a growing clean-tech company, suggesting that the stock is not overly expensive relative to its book value, which is reassuring for long-term investors. Other * Diluted (adj.) EPS Growth - Year-to-Year CAGR: 10% ✅ - 3 Years CAGR: 20% ✅ Remarks: The continued EPS Growth over the last 3 years indicates solid momentum which is promising for a company that is still in its early commercialisation phase. Business Moat Analysis Income source: derive most from licensing its SPT (Subambient Preassure Thermal-oxidation) technology and potentially from large-scale installations for municipalities and industrial clients in need of advanced water and waste treatment solutions. Future prospects: currently focused on commercialising its technology, with major efforts in scaling operations and establishing long-term partnerships. Given global demand, 374Water’s prospects are strong. Competitive advantage: The ability to leverage its proprietary SPT process, which offers energy-efficient, cost effective wastewater treatment. However peer-to-peer competition in the water treatment space is always a factor, so maintaining strong technological leadership is crucial. Risk factor: * Regulatory risk – High, as SCWO operates in a pretty strict regulated sector. Approval of new technologies can take time and may face hurdles. * Inflation: Medium-High as large players may look to replicate or compete with SCWO’s technology. Key Man risk: High ❌ Valuation Calculation (Price to Sales Only) Average P/S Ratio ✖️ Revenue/Sales Per Share = Intrinsic Value 8.5x ✖️ 0.12 = 1.02 Share Price ➗ Book Value/Share = Price/Book < 0.8 (Intrinsic) $8.25 ➗ $3.93 = 2.1x ✅ (Dividend/Share) ➗ Share Price = Dividend Yield NIL ➗ $8.25 = 0% ❌ (Dividend/Share) ➗ Dividend Yield = Share Price (Intrinsic) NIL ➗ 0% = No Valuation ❌ Remarks: Undervalued. Summary My take: overall 374Water is still a high-risk, high-reward type of company. Financials are still in the negative, but this is normal for early-stage companies. Th current valuations are solely driven heavily by expectations of its future growth. For now, watching its future revenue growth, technology scaling, and partnership developments will be key.

MajesticBread9147

I have two long term holds. ASE Technology (ASX) A Taiwanese company that is the market leader in outsourced semiconductor packaging and testing. Semiconductor process nodes can't shrink too much more before we get into issues, which is why many companies are not focusing as much on die-shrinks to increase performance but instead more advanced packaging. You see this with the increased use in 2.5 and 3D packaging, chiplets, SiP and the like. This trend is across the electronics industry, from auto manufacturers, the main CPU and GPU designers we all know, as well as SOCs used in cell phones, and combined CPU/GPU SOCs designed by big cloud providers used for AI training. The company is well diversified within the industry, and is the main player in their space, so isn't reliant on the current AI hype train to succeed. They have lower margins than TSMC however they have a significantly lower PE and PEG ratios and pay a 3% dividend which I reinvest. They are investing heavily into new equipment and factories to support the latest and highest margin technologies that they work with, but are still diversified across pretty much all semiconductor packaging beyond just the high end. The company doesn't get a lot of hype, and isn't captured by a lot of semiconductor ETFs, so while it absolutely is positive impact on the AI hype cycle, they are much less likely to be severely hurt by a bubble popping the hype cycle compared to NVIDIA or TSM, especially with their diversification. **Secondly, since we need to power the datacenters**: First Solar(FSLR) Basically zero debt, 0.57 PEG, and 28% profit margin with a huge backlog and new factories coming online this year. They make most of their panels in America and despite that and their large margins they were the first solar company to achieve sub $1/watt pricing over a decade ago. Their panels don't use silicon and instead use a different semiconductor (CdTe) that allows an efficient thin film deposited on glass (as opposed to sliced silicon crystals) meaning they use less material, and this semiconductor is significantly better in high heat environments, whereas silicon panels get less efficient when they heat up. They focus exclusively on grid scale solar projects and contracts, so their revenues are more predictable and less sensitive to interest rates than rooftop solar. Current government policy can't change the fact that utility scale solar is by far the cheapest and fastest way to add electricity to the grid in a time when fossil fuels are set to become more expensive due to both increased exports and domestic demand, and nuclear projects, even SMRs take significantly longer and cost significantly more. Lastly, I think $CLS is still fairly valued as a growth play. They are an advanced electronics manufacturer and large manufacturer of high speed network switches that are used in hyperscaler datacenters. Every server rack, and at multiple connections upstream has a switch, and networking is very important for ML workloads because large amounts of data needs to be sent between different servers quite quickly. They are the market leader in 800G switches which is the cutting edge right now. And while this is a good portion of their business, they also do healthcare technology,rack integration, general electronics design and offer services to better automate factories, which is important if we are going to bring manufacturing back. There are dozens of cloud companies, most of whom are unlikely to last til 2030, but Celestica will last, and every cloud company uses something made by them. They even make components and contracted out design and manufacturing for companies like Juniper and Dell. They beat last quarter earnings expectations by 50%, have a 30% ROE, and are expected to grow their EPS by 28% each year over the next five years. It's my largest holding by far.

goodpointbadpoint

for perspective - # 2025 H1 Financial Comparison (Q1 + Q2 Actuals) |Metric|Robinhood (HOOD)|Coinbase (COIN)| |:-|:-|:-| |Stock Price|$143.18|$337.49| |EPS (Q1 + Q2)|$0.82|$5.87| |Net Profit (H1)|$722 million|$1.49 billion| |P/E Ratio (TTM)|72.87|32.54| |P/S Ratio (TTM)|35.67|12.93| |Market Cap|$127.24 billion|$86.73 billion| |ROE|23.54%|27.96| #

gmsd90

To the OP, please mention that you are using the Indian Numbering system and INR currency in your post. We can't tell you whether to hold or sell. **Here is some analysis of this company:** \--------------------------- The company's recent financial performance shows significant challenges. * **Quarterly Loss**: The company reported a loss of **₹100.35 crore** for the quarter ending June 30, 2025, following three consecutive profitable quarters. * **Negative Earnings**: The Price-to-Earnings (P/E) ratio is **-33.58**, and the trailing twelve months Earnings Per Share (EPS) is **-₹1.15**, indicating negative profitability. * **Declining ROE**: The company has shown a consistently declining Return on Equity (ROE) over the last five years. The stock has a "Neutral Outlook" with an overall score of **4 out of 10**. # Shareholding Pattern (June 2025) * **Promoters**: 44.14% * **Promoter Pledge**: 45.37% of promoter holdings are pledged. * **Foreign Institutional Investors (FII)**: 2.89% * **Domestic Institutional Investors (DII)**: 0.00% * **Others (Retail, etc.)**: 52.97%

MajesticBread9147

A picks and shovels pick is CLS. They are an advanced electronics manufacturer and large manufacturer of high speed network switches that are used in hyperscaler datacenters. Every server rack, and at multiple connections upstream has a switch, and networking is very important for ML workloads because large amounts of data needs to be sent between different servers quite quickly. They are the market leader in 800G switches which is the cutting edge right now. And while this is a good portion of their business, they also do healthcare technology,rack integration, general electronics design and offer services to better automate factories, which is important if we are going to bring manufacturing back. There are dozens of cloud companies, most of whom are unlikely to last til 2030, but Celestica will last, and every cloud company uses something made by them. They even make components and contracted out design and manufacturing for companies like Juniper and Dell. They beat last quarter earnings expectations by 50%, have a 30% ROE, and are expected to grow their EPS by 28% each year over the next five years. It's my largest holding by far.

mnshgoyal

Hello community, I've been researching lesser-known Indian small-caps in the biotech/enzymes sector, and Titan Biotech Ltd (BSE: TITANBIO) stands out for its focus on biological products like culture media and peptones used in pharma, food, and agriculture. This is purely for discussion—sharing some key data from filings, not suggesting any actions. Interested in your views on its fundamentals and fit in the broader market. Snapshot from latest reports: * **Core Business**: Manufactures hydrolysates, extracts, and media, with \~40% revenue from exports. They've ramped up capacity for eco-friendly lines like plant-based alternatives. * **Financial Update**: For Q1 FY26 (ended June 2025), net profit was \~₹6.86 Cr on revenue of \~₹40 Cr (estimates from aggregates). FY25 full-year showed revenue \~₹160 Cr (down slightly YoY) and net profit \~₹23 Cr, with EBITDA margins \~25%. Debt is low (D/E \~0.2), but ROE around 18% reflects moderate efficiency. * **Stock Dynamics**: Closed at \~₹920 on September 26, 2025 (markets closed weekends), with market cap \~₹760 Cr. P/E \~35x, higher than some peers like Novozymes (global, P/E \~30x) but aligned with growth in India's biotech push. Recent dip from \~₹1,000 high followed minor promoter activity (1,500 shares sold) and sector volatility; volume \~30K shares. * **Pros/Cons**: Tailwinds from global demand (biotech market CAGR \~12% to 2030) and domestic policies. Challenges: Input cost swings, regulatory barriers, and competition from bigger firms. No major AGM surprises on Sep 26 (routine approvals). Thoughts? How sustainable is their growth post-Q1, or is the valuation overextended? Comparisons to similar plays? Any management or industry insights? Let's discuss objectively! Sources: BSE filings, Moneycontrol, [Screener.in](http://Screener.in), and Deloitte/ICRA biotech reports. Best,

wisesheets

Some of the **top lithium stocks** regularly highlighted by analysts and investors include Lithium Americas (LAC), Albemarle (ALB), and Lithium Argentina (LAR). Each of these companies presents a different risk/reward profile and exposure to the lithium market. **Quick overview of notable lithium stocks:** - **Lithium Americas (LAC):** - Pure-play lithium development company focused on Thacker Pass in Nevada, one of the world’s largest known lithium resources. - Thacker Pass is under construction, targeting first production in 2028. General Motors owns a 38% stake in the project, which gives it high-profile backing. - LAC’s financial health shows a strong liquidity position (quick ratio: 10.30) but negative returns on assets and equity, reflecting early-stage development and lack of current sales. - No current dividend and trading at a significant discount to analyst estimated fair value. - Price as of late September 2025: ~$2.68–2.77 per share. - Not in major indices following recent removal from the S&P/TSX Composite Index. - **Albemarle (ALB):** - One of the **largest global lithium producers** with operations across multiple continents. - Currently profitable, with positive (though modest) profitability metrics (ROA: 0.40%, ROE: 0.84%). - Diversified, less speculative than Lithium Americas, but with lower upside potential due to already large scale. - Price/Earnings (P/E): 104.29 (indicating high investor growth expectations, possibly overvalued). - **Lithium Argentina (LAR):** - Primary operations in South America, fits the profile of an emerging, high-risk/high-reward company. - Poor profitability metrics as of latest data, very limited in market cap compared to ALB. - For pure lithium exposure but geographically more concentrated than LAC or ALB. **Other global mining majors** (e.g., BHP, Rio Tinto, Vale) also have lithium or battery metals exposure, but lithium is a small proportion of their overall business and stock performance. | Metric | LAC | LAR | ALB | |--------|-----|-----|-----| | Market Ca

Sadiezeta

Some stocks are way overvalued. Especially the ones with no earnings and low ROE.

Sadiezeta

Certain stocks way out of balance. Especially the ones with very high price/earnings and low ROE

Whatstheplan150

But there are huge pieces of the S&P 500 like Nvidia that has 103% ROE. Nothing like it prior. And if I’m wrong, show me. Another example, compare Microsoft today to 25 years ago. They’re massively more profitable- margin and ROE. Valuations may be justified.

groceriesN1trip

High debt to cash, high PE, declining ROE. Bigger short target to me

brian-augustin

The numbers for this company look really bad tbh I would not gamble on this. >Index - P/E - EPS (ttm) - Insider Own - Shs Outstand - Perf Week -2.21% Market Cap 15.65M Forward P/E - EPS next Y - Insider Trans - Shs Float 10.62M Perf Month -28.49% Enterprise Value - PEG - EPS next Q - Inst Own 1.09% Short Float2.60%Perf Quarter -78.27% Income - P/S - EPS this Y - Inst Trans - Short Ratio0.12Perf Half Y - Sales - P/B - EPS next Y - ROA - Short Interest0.28MPerf YTD -84.35% Book/sh - P/C - EPS next 5Y - ROE - 52W High 24.65 -94.60% Perf Year - Cash/sh - P/FCF - EPS past 3/5Y - - ROIC - 52W Low 1.23 8.13% Perf 3Y - Dividend Est. - EV/EBITDA - Sales past 3/5Y - - Gross Margin - Volatility 5.28% 11.46% Perf 5Y - Dividend TTM - EV/Sales - EPS Y/Y TTM - Oper. Margin - ATR (14) 0.31 Perf 10Y - Dividend Ex-Date - Quick Ratio - Sales Y/Y TTM - Profit Margin - RSI (14) 34.67 Recom - Dividend Gr. 3/5Y - - Current Ratio - EPS Q/Q - SMA20 -23.60% Beta - Target Price - Payout - Debt/Eq - Sales Q/Q - SMA50 -40.08% Rel Volume 0.30 Prev Close 1.31 Employees - LT Debt/Eq - Earnings - SMA200 -55.83% Avg Volume 2.25M Price 1.33 IPO Apr 11, 2025 Option/Short No / Yes EPS/Sales Surpr. - - Trades 2,294 Volume 673,445 Change 1.53%

brian-augustin

The numbers for this company look really bad tbh I would not gamble on this. || || |Index **-** P/E **-** EPS (ttm) **-** Insider Own **-** Shs Outstand **-** Perf Week **-2.21%** Market Cap **15.65M** Forward P/E **-** EPS next Y **-** Insider Trans **-** Shs Float **10.62M** Perf Month **-28.49%** Enterprise Value **-** PEG **-** EPS next Q **-** Inst Own **1.09%** [Short Float](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)[**2.60%**](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)Perf Quarter **-78.27%** Income **-** P/S **-** EPS this Y **-** Inst Trans **-** [Short Ratio](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)[**0.12**](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)Perf Half Y **-** Sales **-** P/B **-** EPS next Y **-** ROA **-** [Short Interest](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)[**0.28M**](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)Perf YTD **-84.35%** Book/sh **-** P/C **-** EPS next 5Y **-** ROE **-** 52W High **24.65 -94.60%** Perf Year **-** Cash/sh **-** P/FCF **-** EPS past 3/5Y **- -** ROIC **-** 52W Low **1.23 8.13%** Perf 3Y **-** Dividend Est. **-** EV/EBITDA **-** Sales past 3/5Y **- -** Gross Margin **-** Volatility **5.28% 11.46%** Perf 5Y **-** Dividend TTM **-** EV/Sales **-** EPS Y/Y TTM **-** Oper. Margin **-** ATR (14) **0.31** Perf 10Y **-** Dividend Ex-Date **-** Quick Ratio **-** Sales Y/Y TTM **-** Profit Margin **-** RSI (14) **34.67** Recom **-** Dividend Gr. 3/5Y **- -** Current Ratio **-** EPS Q/Q **-** SMA20 **-23.60%** Beta **-** Target Price **-** Payout **-** Debt/Eq **-** Sales Q/Q **-** SMA50 **-40.08%** Rel Volume **0.30** Prev Close **1.31** Employees **-** LT Debt/Eq **-** Earnings **-** SMA200 **-55.83%** Avg Volume **2.25M** Price **1.33** IPO **Apr 11, 2025** Option/Short **No / Yes** EPS/Sales Surpr. **- -** Trades **2,294** Volume **673,445** Change **1.53%**|

brian-augustin

The numbers for this company look really bad tbh I would not gamble on this. || || |[Scroll to Statements](https://elite.finviz.com/quote.ashx?t=RBNE&p=i1#statements)Index **-** P/E **-** EPS (ttm) **-** Insider Own **-** Shs Outstand **-** Perf Week **-2.21%** Market Cap **15.65M** Forward P/E **-** EPS next Y **-** Insider Trans **-** Shs Float **10.62M** Perf Month **-28.49%** Enterprise Value **-** PEG **-** EPS next Q **-** Inst Own **1.09%** [Short Float](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)[**2.60%**](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)Perf Quarter **-78.27%** Income **-** P/S **-** EPS this Y **-** Inst Trans **-** [Short Ratio](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)[**0.12**](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)Perf Half Y **-** Sales **-** P/B **-** EPS next Y **-** ROA **-** [Short Interest](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)[**0.28M**](https://elite.finviz.com/quote.ashx?t=RBNE&ta=1&p=d&ty=si&r=)Perf YTD **-84.35%** Book/sh **-** P/C **-** EPS next 5Y **-** ROE **-** 52W High **24.65 -94.60%** Perf Year **-** Cash/sh **-** P/FCF **-** EPS past 3/5Y **- -** ROIC **-** 52W Low **1.23 8.13%** Perf 3Y **-** Dividend Est. **-** EV/EBITDA **-** Sales past 3/5Y **- -** Gross Margin **-** Volatility **5.28% 11.46%** Perf 5Y **-** Dividend TTM **-** EV/Sales **-** EPS Y/Y TTM **-** Oper. Margin **-** ATR (14) **0.31** Perf 10Y **-** Dividend Ex-Date **-** Quick Ratio **-** Sales Y/Y TTM **-** Profit Margin **-** RSI (14) **34.67** Recom **-** Dividend Gr. 3/5Y **- -** Current Ratio **-** EPS Q/Q **-** SMA20 **-23.60%** Beta **-** Target Price **-** Payout **-** Debt/Eq **-** Sales Q/Q **-** SMA50 **-40.08%** Rel Volume **0.30** Prev Close **1.31** Employees **-** LT Debt/Eq **-** Earnings **-** SMA200 **-55.83%** Avg Volume **2.25M** Price **1.33** IPO **Apr 11, 2025** Option/Short **No / Yes** EPS/Sales Surpr. **- -** Trades **2,294** Volume **673,445** Change **1.53%**|

ImpossibleTracker

2025Q2 EPS: -$0.05 (vs. +$0.07 in 2024Q2), reflecting a net loss of -$327k compared to a $406k profit in the year-ago quarter. Net Profit Margin: -28.02% (vs. +33.17% in 2024Q2), driven by operational inefficiencies. ROE: -8.36% (vs. +9.47% in 2024Q2), indicating poor shareholder returns. Gross Margin: Improved to 61.44% (vs. 54.08% in 2024Q2), suggesting better cost control in production. Liquidity Decline: Current ratio fell to 6.54 (vs. 14.17 in 2024Q2), signaling reduced short-term liquidity despite still-elevated levels

shabigdata

Intelligent investors is the bible for all. To Estimate a stock you need Moat, CEO, Customer, Future, Revenue, ROE, ROA, EPS, institutional holding, cash, debt and market emotion Experience is the best book and you need to update daily

SidonyD

I understand. Sometime i use screener to use very rigourous criteria to be sure I buy something with very strong fundamentals. You know what i saw ? only companies with bad performance in stockmarket. Best ROE, best PER, best EPS growth, and the best net margin... I found only stock with bad performance.

iyankov96

My point is that the recent returns that came from Alphabet were largely from the multiple expanding. Even if you take the PE multiple, which is bigger than the currently presented 25.5 if you subtract gains on equity securities because they're a one-time event and I like to evaluate the company based on NOPAT, it's still trading at very high levels. I guess just ignore these comments if they annoy you. I like to look at multiple metrics when evaluating companies and the ROE : P/BV (which ultimately is the earnings yield) was one such example.

Ancient_Bobcat_9150

Its momentum does not make it a good investment. You are making a bet based on story. Beside the fact it hasn't a strong MOAT and competes in a competitive field, It lacks profitability (poor ROE, accumulating deficit), it has very concentrated client base. But again, gambling means you are making a bet. Some work, most don't. Paying a mag7 at excessive vuation is also a sort of gamble (although the quality of the business makes it less risky to my eyes)

bobby_stackz

Imagine investing in a fake digital "asset" that has no customer base, product, revenue, earnings, profit margin, balance sheet, cash flow, ROE but a TON of value in trust me bro

BasketRepulsive9347

No it's not, period. Your understanding of SBC is fundamentally flawed. Buying back shares reduces equity and concentrates company value onto fewer shares. It's a payout to shareholders, a dividend payout without tax if you will. Your %ownership of the company goes up. It also reduces equity and therefore increases ROE/ROCE "It's a EPS lever" is a very dumbed down way of looking at it. 

plznodownvotes

It has been repeated on this subreddit and multiple other investing subreddits, but the gist is they have an ROE of 42%, PE of 13% and $1.3billon cash on hand. Also, it’s a good contrarian play given the above and the unfounded bearishness on Reddit (as an echo chamber of doomers) and analysts who are trigger happy with their downgrades which they’re likely doing so the stock plummets and they buy more when it’s cheaper.

Mcamp27

AMZN, AMD. I usually start with a stock screener on moomoo. Set filters like low PE, high ROE, steady profits, and no major dividend cuts over the past five years. It helps narrow down the list so I don’t waste time on overpriced or unstable picks.

Salt_Zucchini2544

Not a chance lulu is overvalued at this price point. Its fair value is close to $250. Their ROE is 40%+ calls is easy the play. 

ChattemiteOrelse

I believe carrying such debt is quite current in the sector ; Debt/Ebitda at 2,30 seems sustainable. I think it is « net debt » however (did not check financial reports). So, even if I do agree that, on the finance side, things do not look that great, I do believe « No growth since 2022 »could explain such valuation better, with the idea that cable is outdated. That being said there has been some kind of surge in the sector in H2 (sector of communication services not specifically cable) and there is smart money invested in Comcast… Could be worth the dive … maybe ? P/E around or below 12 was not uncommon in the sector in 2024 in Europe. I mean checking comparables, especially US comparables, would be my first step. I saw that there was growth in Theme parks for Comcast but less than 10% of revenue. I do not own any company in communication services (debt, heavy capex, lots of competition, slow growth, low ROE etc.), but Comcast seems better than others in the sector, at first glance. Of course, if cable disappears …

TurnipNo9566

i like CPRT 5Y sales growth: 80% 5Y EPS growth: 90% ROE: 22–24% Debt/equity: 0 PE: 32 (industry average is 41) PEG: 1.9 i’m also liking LRN (fits in the same criteria i use for a good business) and also seems fairly-undervalued to me and to a lesser extent i’m looking at DGII

SeaworthinessOld9480

However their valuation at the mom is based at parts on their pile of cash and the ROI / ROE of their invested capex - if this KPI go south it will adversely impact the valuation and stock price respectively.

BeerNirvana

Market Capitalization: Approx. $360–390 million TTM Revenue: Just $22,500 (in thousands)—so the Price/Sales ratio is astronomically high (e.g., ~17,000×) Book Value Per Share: Around $0.02, giving P/B ratio in the 50–130× range—depending on which source, but consistently extremely elevated Profitability: Deep net losses (–$5M), negative ROE/ROA/ROIC Liquidity: High current ratio (~7:1), low leverage Bottom line: On a fundamental basis, HGRAF is highly overvalued relative to any traditional metrics.

Ok-Grocery7508

Even ROE and book value shows as a great deal for $ROOT, check out fallacyalarm substack for a lot of his detail. He also loves the stock.

Ok-Grocery7508

Even ROE and book value shows as a great deal for $ROOT, check out fallacyalarm substack for a lot of his detail. He also loves the stock.

SnS2500

And that is not what I responded to. You said: \> Warren Buffett says, buy when no one else is. That is of course pure nonsense, as I said. And is shown by him not buying the few dozen other stocks that have stunk as bad as UNH ytd. Stop waving your arms and look at the actual reason is was a good value, like you said above the ROE and PE, and prospects of the company. A pile of pigeon poo is cheap. That alone does not mean it is a good buy. If you can't get the nuance in that, oh well. Also, lots of funds besides Buffett revealed they recently bought UNH.

James_the_bull_

I explained why it was a good value. PE, ROE, cheapest evaluation ever.

PieGluePenguinDust

yes, but: this is a new market regime to say the least. there is a nonzero chance that all the usual playbooks and metrics are now much less relevant. PE? Cash flow? ROE? Those are from grandfathers market. I don’t think there will be a collapse as much as there will be a rug pull.

heyitsyourlandlord

Wholeheartedly agree. I enjoy liquidity. I feel a bit trapped with the great rate. ROI and ROE is still good but will eventually fall behind the longer it’s held.

bobbyrayangel

For those bashing the formula / idea , it's basic quantitative analysis taught to analysts. 1.. Sustainable Growth Rate (SGR) Formula This is used if you want the growth rate based on reinvested earnings: g = ROE \times (1 - \text{Dividend Payout Ratio}) Where: = expected growth rate ROE = Return on Equity = Dividend Payout Ratio = Example: If ROE = 12% and the company pays out 40% of earnings as dividends: g = 0.12 \times (1 - 0.40) = 0.12 \times 0.60 = 0.072 \text{ or } 7.2\% --- 2. Gordon Growth Model (for dividends) If you’re valuing equity with the dividend discount model: P_0 = \frac{D_1}{r - g} g = r - \frac{D_1}{P_0} Where: = current stock price = expected dividend next year = required rate of return on equity

Ecstatic_Diet477

There are 2 major risks: competition from LLY and HIMS + pharmaceutical tariffs. A part from that it's obviously a great value play, they are leader in their own sector and they have an amazing ROA / ROE

PatientBaker7172

Applovin ROE is 254% while Nvidia ROE is 107%. Applovin literally printing gold. Speculation that Applovin or Robinhood will be introduced to s&p 500 tomorrow.

PatientBaker7172

Applovin ROE 280% compared to Nvidia 100% and visa 50%. Profit making machine. Possible introduce s&p tomorrow.

DoctusPrime

Okay, so this stock? Not exactly a sure thing. Here's my fundamental take. \- ROE is awful: -349%, and operating margin at -77% means they're losing a ton of value. \- Way too much debt: Their debt ratio is 22x, and they're short on working capital. Basically, they're stretched thin. \- Expensive for what you get: Trading at 3x book value ($0.78), but there's no cash flow or dividends. My guess for what it's really worth: Somewhere between $0.80 and $2.60. Maybe $5 if they get super lucky and turn things around. This is not a stock to bet the house on. It's risky, but if things turn around, there's upside. I've looked at how profitable, stable, and volatile this is, and right now it's a pure gamble. I'm being careful here. I'm not expecting a gold mine, just keeping an eye on the numbers to see if there's any improvement.

PuzzleheadedWeb9876

Didn’t think an S&P 500 company would be considered immature. What metrics would you like to use? P/S? ROA? ROE? ROIC?

Crazybuttondot

Shs Outstand368.87MPerf Week-13.66%Market Cap4.06BForward P/E-EPS next Y-0.23Insider Trans-3.46%Shs Float360.91MPerf Month-10.13%Enterprise Value3.82BPEG-EPS next Q-0.09Inst Own42.12%Short Float33.75%Perf Quarter10.49%Income-188.52MP/S39.73EPS this Y109.62%Inst Trans20.14%Short Ratio3.23Perf Half Y-27.79%Sales102.23MP/B10.22EPS next Y-330.00%ROA-43.07%Short Interest121.82MPerf YTD-49.04%Book/sh0.99P/C16.52EPS next 5Y-ROE-68.22%52W High24.98 -59.53%Perf Year104.24%Cash/sh0.61P/FCF-EPS past 3/5Y-37.66% -ROIC-47.19%52W Low3.94 156.60%Perf 3Y166.75%Dividend Est.-EV/EBITDA-Sales past 3/5Y58.68% -Gross Margin34.35%Volatility7.01% 7.80%Perf 5Y-Dividend TTM-EV/Sales37.37EPS Y/Y TTM-42.58%Oper. Margin-132.17%ATR (14)0.82Perf 10Y-Dividend Ex-Date-Quick Ratio4.92Sales Y/Y TTM101.39%Profit Margin-184.41%RSI (14)40.92Recom2.00Dividend Gr. 3/5Y- -Current Ratio4.92EPS Q/Q368.04%SMA20-13.03%Beta2.77Target Price11.83Payout-Debt/Eq0.01Sales Q/Q151.24%SMA50-4.95%Rel Volume0.68Prev Close10.33Employees842LT Debt/Eq0.01EarningsAug 07 AMCSMA200-6.88%Avg Volume37.74M

Krishna_Trading_

This is a sharp take, and the chart plus fundamentals fully support it. You're ahead of the curve, and most retail (and even some institutional desks) are still locked into a zero-sum mindset where AMD must “beat” Nvidia outright to be worth a rerating. That’s not how disruptive parallel adoption works. Sales growth: AMD is growing at 20%+ YoY, and EPS next year is projected at 5.92, up from 1.36. That’s a 335% jump in earnings power, the market will not keep pricing that at a 30x forward PE for long. Gross margin of 45.15% and a debt/equity of just 0.08 shows strong operating leverage and capital efficiency, especially in contrast to bloated peers. ROE of 3.90% and ROA of 2.30% look low now, but if even half your thesis plays out, those metrics will scale aggressively by 2026 as open-source traction compounds. Held by VTI, QQQ, SPY, XLK, SMH, SOXX, VGT, institutional exposure is deep, and this sets the stage for rotation when fund managers reweight AI plays post-Nvidia euphoria. You’re looking at a near-parabolic channel breakout, and 50M avg daily volume suggests real demand. Even with today's red candle, AMD is up +29% this month, +50% this quarter, and +105% YTD. RSI is hot at 76.92, but that’s typical before big repricings. Look at MSFT in early 2023 for the same setup before it launched. From The Innovator’s Dilemma to Crossing the Chasm, we know disruption rarely starts with a knockout punch. It starts where incumbents aren’t looking, open-source flexibility, sovereign autonomy, cost-sensitive AI stacks. That’s AMD’s wedge. And it’s not just theoretical: Meta, MSFT, and Oracle testing AMD accelerators in their AI workflows is a big deal. These aren’t just dev kit trials, they’re vendor hedging at scale. Geopolitical de-risking is not a sideshow. European and Middle Eastern governments don’t want to build national AI capacity on Nvidia’s closed ecosystem. Startups need modularity. With AMD offering open toolchains like ROCm and growing PyTorch integration, there’s a bottom-up movement building, same way Linux eventually dethroned Unix. Investors still pricing AMD like it’s a sidekick in the AI race are missing the macro and micro drivers. It doesn’t need to win headlines. It’s winning adoption velocity in exactly the segments that create structural longevity. This isn't a trade on hype. It’s a re-rating play on silent architecture-level disruption. Well said and well spotted.

disloyal_royal

AMZN has a 25% ROE, they clearly aren’t a horrible company. They also have about the same market share as Microsoft and Google combined https://www.hava.io/blog/2024-cloud-market-share-analysis-decoding-industry-leaders-and-trends#:~:text=Key%20Takeaways%20*%20Amazon%20Web%20Services%20(AWS),computing%20are%20critical%20to%20future%20market%20evolution. I’m not overweight any of these names, but I’m not seeing your thesis, what’s making you say they are losing?

GoZukkYourself

UNH UnitedHealth Group reported earnings Q2 FY2025 results ended on Jun 30, 2025 - Revenue: $111.6B, +13% YoY - Net Income: $3.41B, -19% YoY - Cash Flow from Operations: $7.2B in Q2 CEO Stephen Hemsley: “We are strengthening operating disciplines, positioning us for growth in 2026 and beyond.” 🌱Revenue & Growth - UnitedHealthcare: $86.1B, +17% YoY - Employer & Individual: $19.8B, +3% YoY - Medicare & Retirement: $42.6B, +22% YoY - Community & State: $23.7B, +20% YoY - Optum: $67.2B, +7% YoY - Optum Health: $25.2B, -7% YoY - Optum Insight: $4.8B, +6% YoY - Optum Rx: $38.5B, +19% YoY - Optum Insight revenue backlog stood at $32.1B 💰Profits & Health - Net Margin: 3.1% vs 4.3% YoY - Earnings from Operations: $5.2B vs $7.9B YoY - UnitedHealthcare: $2.1B, -48% YoY - Optum: $3.1B, -20% YoY - Operating Margin: 4.6% vs 8.0% YoY - Medical Care Ratio: 89.4%, +430 bps YoY - Operating Cost Ratio: 12.3% vs 13.3% YoY - ROE (YTD): 20.6% - Debt to Capital: 44.1% 📌Business Highlights - Returned $4.5B to shareholders via dividends and buybacks - Quarterly dividend raised 5% to $2.21 - UnitedHealthcare served 50M people, +770K YTD - Optum Health reduced planned 2025 patient expansion from 650K to 300K for better execution - Medicare funding reductions impacting performance across segments 🔮Future Outlook - Re-established FY2025 outlook, which was suspended on May 13, 2025 - FY25 Revenue: $445.5B–$448.0B - FY25 Adj. EPS: ≥ $16.00 - FY25 Net EPS: ≥ $14.65 - FY25 Cash Flow from Ops: ~$16B - Medical Cost Ratio guidance: 89.25% ±25 bps - Operating Margin guidance: 4.8%–5.0% - Optum Rx revenue +13% YoY to ~$151B forecast - Optum Insight revenue +1% YoY to ~$19.0B–$19.5B forecast - Medicare Advantage cost trends to accelerate to ~10% in 2026 - Return to EPS growth expected in 2026

Qwidox

**Company has 27,9% operating margins and trades at 12x earnings** Current Ratio: 6.35x Quick Ratio: 6.02x Cash Ratio: 0.59x Interest Coverage: 20.13x Debt/Equity: 0.19 P/E: 12.85x PEG: -1.41x P/B: 1.59 P/S: 2.80 EV/EBITDA: 9.52 Gross Margin: 95.45% Operating Margin: 27.87% Net Margin: 21.79% ROE: 12.77% ROA: 6.95%

Qwidox

It is well positioned in graphics, and compute and networking solutions. And it is generating a lot of cash with a good prospect and expectations:) P/E: 56.27, P/S: 29.04, ROE of 106%, ROA: 61%, Debt/Equity: 0,12 Revenue in Q1/ 2025: 44B with cost of revenue: 17,4B and net income 18.8B Good company with lot of expectation, Still not TSLA expectation:) Source: [https://findatafox.com/stock/NVDA/income-statement?period-type=quarter&date=2025-04-27&geo-date=2025-01-26](https://findatafox.com/stock/NVDA/income-statement?period-type=quarter&date=2025-04-27&geo-date=2025-01-26)

DualShockArtist

So for Consolidated, what drives the growth are the massive share repurchases. The bottling company earns high ROE and ROIC consistently every year. It’s down a little because of slow revenue growth. Well, revenue growth is not what fuels the high growth of the stock. I would advise you hold tight and keep your shares. Company will spike in next share repurchases.

erbush1988

Total Premium / (Strike*100?) 5 contracts, each with a premium of 0.50 (0.50 x 5 x 100 = $250.00) 5 Contracts each with a Strike of $95 x 100 x 5 = $47,500 250/47,500 = 0.526% Return. Now, this is more like.. return on capital so not sure if it's ROE?

creemeeseason

Yeah, weird report really. Slowing new premium growth (bad) but increasing ROE which is good. I'm looking at this as strong business in a soft sector.