BY ANDREW GIOVINAZZI
January 24, 2025
Yo Pit Crazies,
So folks somehow we managed to close above 6100 as traders bet on the Donald, the D.O.G.E. and the newly named Gulf of America. So much is coming out of the Trump Administration that the MSM is melting down keeping up with all of it. That is ok. Things are moving and I particularly like the “no Central Bank Digital Currency” EO. That will keep Uncle Sam out of everyone’s business. At least try to. The AI announcement lifted the Mag 7 hugely this week.
Another funny thing is that many of the stocks in the Mag 7 trade at 10x revenue. Apple Inc (Ticker: AAPL), Nvidia Inc (Ticker: NVDA), Meta Inc (Ticker: META) and Microsoft Inc (Ticker: MSFT) come to mind. When the market cap is $1billion I can see the growth but these are all in the Trillions of Dollars. That is a hefty premium.
Below is one that trades at a discount to revenue. It was a Mag 5 Tech stock in the 90s.
It is on my Longshot list for that very reason.
Find out more.
This lovely stock is Dell Computer Inc (Ticker: DELL)
For a while in 2024 DELL was an AI stock going to $200. That stopped when everyone remembered that it is still a hardware company. It is a very well run hardware company. Michael Dell was selling computers out of his dorm room when I was buying kegs at UCSC. What puts this on my Longshot list is the value.
DELL is a stock that should go up 40% or more this year.
To Your Trading Success,
AG
Andrew Giovinazzi
30-Year Trading Pro
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