The Stock Market Is In Distraction Mode | Get Ready For This
Well folks the stock market is edited again it is in full distraction mode right now it’s almost like a picture a magician right they get you to pay attention to something over here meanwhile they’re doing like a trick over here right and you’re not even like aware of what’s going on the stock market is doing that exactly right now and it is doing it to perfection
And i want to show you exactly what’s going on here so you guys are aware of this in the stock market gets into these time periods where it goes into distraction mode and everybody’s looking over here meanwhile the real story is like over here but no one’s paying attention that because they’re so like caught off guard right and this happens all the time this
Happens in politics this happens in in media like it happens all over the place okay and in this video also i want to share with you an exact like watch list that you can add that these certain companies you have to pay attention to when they report earnings regardless if you own them or not because they will let you know if we’re likely going into a recession or
Not okay and so i’m going to share that with you guys i think that’s going to be really helpful hope you enjoyed this video as always and me bringing this to your guys attention and uh yeah thank you for joining me so big tech watch list is a mess here today i mean just everything is uh you know red dead redemption other than tesla tesla master is trying to get
A little green here today but other than that it’s just uh yeah it’s bloody right out there and snowflake down eight percent meta is down over seven percent shopify is down over seven percent google mcdougall five percent nvidia four percent a lot of big downward moves out there today right i was trying to see like oh maybe oil and gas stocks are going up today
So maybe that’s why the whole market’s down no uh you know oil and gas stocks all uh down down down down down across the board here today and oil and gas stocks have been in kind of a tough place from those highs that reached back in june essentially ever since then it’s kind of been down down down for a lot of these guys if you pull up an overall like uh you
Know heat map of the stock market i mean you can just see it it’s a lot of red out there there’s a few green but there’s not much hair today utilities looking a little green here today and maybe a few you know consumer defensives are green just about everything else out there is red it’s red dead redemption in the stock market here today okay none the less now you
Know it’s interesting because you know there’s this company there’s this company out there that as all of a sudden everybody’s like we’ve got to pay attention to this particular company and this one can take down the whole stock market and i’m like what and this company’s name is snapchat okay snapchat yes the six most popular let’s just call it social media that
People use if we want to call social media because all these things are different some of them you can message in some of them are more for entertainment it is what it is okay snapchat’s the sixth most popular with over 500 million monthly active users uh you know it looks like a small little little nothing compared to some of these other big guys out there right
But nonetheless uh snapchat everybody also wants to pay attention as the stock’s getting absolutely obliterated here today right it’s down 38.8 percent snapchat is here today 38.8 16 billion market cap and this is a stock we’re all supposed to pay attention to and like oh oh my gosh did you see what snapchat reported uh you know their earnings weren’t good their
Guidance wasn’t good you know sell off your stocks you better sell off your meta you better sell off google you better sell off apple you better sell off everything what because snapchat wasn’t quite there a 16 billion dollar market cap a company that you know i don’t even know if they’ll do five billion dollars of revenue this year right this is this is also in
The the stock that matters in the stock market come on man come on man give me a break you gotta be flipping my flapjacks you want to talk about full scale distraction mode oh boy this this is our stock this is the one we’re supposed to pay attention to and the market this is the market mover come on man okay and here we are and this moment of time that literally
This stock tanked just about everything at least the nest back in the markets in general right you know pull up similar to snap look at meta here today right look at pins here today look at google mcdougall it’s amazing it’s amazing that that also in wall street wants us to pay attention to snapchat snapchat are you are you kidding me this is this is our this is
Our fearless hero the snapchat okay oh gosh all right so then there’s a company this one’s named american express this company is over a hundred billion dollar market cap this company is set to do 10x if not much more than 10x the revenues of that last company this is a company that actually matters for the state of the stock market the state of the economy if
You want to know essentially how the economy is doing pay attention to a company like american express i’m going to share a whole list of companies that you should pay attention to in this video but if you want to know what’s going on in the actual economy pay attention to what their numbers are pay attention to what their guidance is pay attention to if they have
People going past 30 days past due situations like that but you’re going to get a lot of good information and if you’re worried about the economy anything like that it’s a very valuable company to pay attention to whatever they’re doing okay this is one that actually should matter and guess what guess what this company they reported earnings this morning just a few
Hours ago just a few hours ago stock’s not really doing much it’s only up two percent or so but what happened what happened in those earnings okay we’re going to go through it by the way 50 billion dollars this company’s supposed to do in revenue this year uh that’s supposed to be up about 20 year-over-year that’s about a 10x of snapchat roughly okay here’s what’s
Going on with american express well total revenues we’re up 31 year-over-year okay 31 and if you adjust for fx we’re talking about 33 up year-over-year so top line revenue for american express is booming business is booming for american express bottom line okay but we want to look a little deeper we also want to know about like how many customers going past 30
Days you know past due and not paying a bill or something like that right those are those are valuable things for us to know but the fact is at least this past quarter business is booming for american express if we look at total network volumes came in at 395 billion dollars so basically this company is going to be running numbers of a trillion dollar you know well
Over a trillion dollars plus in payment volume so we’re talking about you know well over a trillion dollars of volume going through on american express this is why this company matters so much the overall economy and if you want to understand where the state of the economy is at look at american express numbers because this matters in a meaningful meaningful way
When you’re talking about a trillion dollars plus a payment volume okay massive numbers right so right here’s here’s a magical number we want to look at 30 days plus days or 30 plus days past due it’s very important because you know if you’re talking about you know going into recession bad bad economy you know that number is going to skyrocket right well right
Now we’re at point eight percent point eight percent last quarter that was at point eight percent the previous quarter is point six percent previous quarter was point five percent so it’s a little trending up but let’s also remember in these quarters there was a lot of stimulus money pumped out there so you kind of had a lot of people flush with some cash that
They usually didn’t have right that is something to keep in mind there but um yeah nothing crazy is happening there as far as you know people going way past due and oh my gosh you know we’re gonna have write-offs and all those sorts of things this matters in a meaningful way to the economy and to understand like recession or not recession things like that you’ve
Got to pay attention these sorts of numbers because we can all have our opinions we can have our opinion on this i can have my opinion on this and i think we’re this and that and that and that right we all have our opinions cool but damn it our opinions only go so far sometimes you gotta look at the actual numbers you gotta look at the concrete data and you gotta
Look at that data and say here’s what we actually see are going on because as i say men lie women lie numbers don’t lie the numbers are right there they’re gonna give it to us and so you know this is very very important for everybody to see this you know exactly what’s going on here right now what does the american express ceo have to say right he says quote we’re
Acquiring spending and we see future travel bookings strong so i don’t see it a recession in my numbers at all it’s really hard for me to get my head around that in a quarter three or quarter four we’re going to have a big slow down the ceo said but if we learned anything during the roni rona you kind of have to go day by day month by month so as i sit here today
I do not see a recession okay by the way as far as what they almost beat anal assessments on net sales by almost a billion dollars and they also be on diluted eps as well so there we have the ceo that of one of the most important companies in the world one of the most important companies in the world saying you know this is a company that does you know trillion
Dollars plus of a payment volume through through their you know through their cards here is saying i don’t see the recession like i look at the numbers i look at the spending i look at you know people that aren’t paying or something like that nothing’s lining up to recession as of right now does it mean that you’re not going to get a recession but just like when
He looks at the numbers he has he has to judge looking at the numbers that he sees on a day-to-day basis and he sees the numbers today he saw the numbers yesterday he saw the numbers a previous day he saw the numbers the previous week he saw the numbers the previous quarter he’s seen the numbers for years and years of this company right and so we’re talking about
An individual that’s basically saying he doesn’t see it okay doesn’t mean it’s not going to happen doesn’t mean the recession is not going to happen it’s just this man does not see it based upon the numbers not based upon a gut feel based upon numbers okay so this is very very important now if you want to know some actual important number of companies to pay
Attention to out there here’s a list of companies and here’s why here’s why these companies are very important if you want to know if we’re going to go into recession if the recession’s here things like that pay attention these companies earnings pay attention any guidance these companies give if they give any guidance and things like that okay first one up is
Apple apple is such a massive company nowadays it you know obviously it’s the biggest market cap company out there but when it comes to apple it’s a very important company to pay attention to because we’re talking about about half of americans use uh iphone right and so you’re talking about a product that is in need but it’s also kind of a want right it’s not you
Know a lot of people when it comes to their iphones they might let things go a few years if they’re you know not feeling like spending that much they’re kind of like uh you know i’ll keep my current iphone now there’s always going to be a certain amount of people that have to get a new iphone right which is the biggest component of apple’s business because let’s
Say their old iphone breaks or the battery dies or whatever right well then they have to get a new iphone but there’s the huge segment of apple’s actual business model now is built up on people that want to upgrade every single year or every other year they want to get the newest iphone with the newest cameras and the newest fastest chips and things like that okay
So apple’s a very important company also because their app store now and because that’s become such a massive business now it’s also gonna let you know like how much money people are spending on apps right and um in that whole app ecosystem economy very very important to pay attention to that right also you can also pay attention to pc sales remember if a lot of
Companies are not wanting to spend they’re not going to buy the whole workforce bunch of new macs and macbooks and macbook airs and all those sorts of things okay google and meta extremely important companies to always have on your watch list and always pay attention to what their earnings are i mean you’re talking about google owns android obviously on google
Search they on youtube plus a bunch more very important company to pay attention to understand the state of the economy right meta we’re talking about they own facebook they own uh you know obviously what is it instagram they own whatsapp i mean it’s in the same company and i showed you the monthly i don’t remember what slide that was the monthly active users
Numbers right i mean look at this monthly active users facebook 2.9 billion right they own that whatsapp 2 billion instagram 2 billion so you’re talking about uh facebook gets a you know it’s just a huge understanding of where the consumer is at advertising spend right because if you’re going to spend for advertising for a small mid or large business you’re going
To meta first that’s where you’re going first then you’re probably going to google search youtube things like that right amex and visa the third you’ve got to pay attention american express and visa numbers these are companies that are that are processing you know trillions of dollars of transactions in a given year trillions of dollars so it’s it’s vital that if
You want to know where the state of the economy is you pay attention to companies like that numbers because you’re going to get to see oh man you know uh people aren’t uh you know running their cards quite as much this is just very important like back in the day when everybody used cash for transactions you didn’t really get you know that good of information when
It came to that because everybody’s using cash it’s not it’s not really registering but now the fact is you know most people use debit cards or credit cards to to go buy gas at the gas station or go buy you know food at mcdonald’s or wherever right or go to the restaurant or go to the movies everybody uses debit cards and credit cards nowadays that’s the that’s
The environment we’re in right and so american express and these are vital companies no next one up here toll brothers lenore polti kb homes those sorts of companies those are very important always have on your watch list and pay attention to earnings you know we got to admit it the real estate industry is one of the most meaningful things to the u.s economy in
Terms of the amount of jobs it produces in terms of the state of consumers and in terms of the state of you know are people feeling confident to go buy a new home you know where’s the economy at for a big purchase like that that’s usually everybody’s biggest purchase in life is a home so when you’re those companies are very vital now we know those companies are
Numbers that have weakened considerably so we know based upon not our opinion we know based upon facts based upon numbers that the housing market is getting into a worse and worse position pretty much quarter by quarter right now it’s not an opinion that’s facts that’s in numbers okay and so you know that’s just you’ve got to always pay attention these sorts of
Companies so you can understand where the state of the real estate market is okay ups fedex i mean gosh if you’re gonna uh you know send a product just about anywhere nowadays like it’s probably going on ups or fedex at some point in time in its journey so if you want to know about the state of of you know product moving around the united states and worldwide
Because these companies do business international as well pay attention to ups pay attention to fedex you’re going to get a good understanding micron this is a very underrated stock for paying attention to the state of the economy and when it comes to micron remember this is one of the biggest memory chip plays in the world okay so you know this iphone right here
Or you know whatever device you’re watching this on right now it probably has micron chips in it for for memory or if it doesn’t have micron it has one of their competitors sk hynex or could have uh samsung as a competitor to them right but it’s got it’s got memory chips in it so if you want to know about the state of consumer electronics right which is obviously
Very important like if if you know people are out there buying stuff that’s usually bullish for the economy if they’re not that’s usually something okay there’s something going on out there right so always pay attention to micron numbers micro in the last quarter they had um weak guidance so it was something to pay attention to there right that’s kind of a negative
For the overall economy so always pay attention to micron very very important union pacific csx these are real road companies hey you want to transport product around the united states usually actually the cheapest way to do it is through rail and not through truck so you always got to have these guys on your list always pay attention to what’s going on with their
Earnings you’re going to understand what’s going on the economy jpmorgan goldman sachs in my opinion those are the two most well-run banks out there right obviously jp morgan’s a little more on the commercial and business side goldman sachs a little bit more on the investment side but to be quite honest these are these are companies are starting to compete just
Across the board and when it comes to jp morgan goldman sachs they’re going to let you know about the state of the economy right based upon numbers not based upon feelings based upon numbers here’s what the numbers are here’s what the numbers are showing this is this is our opinion based upon those numbers right so these are very very important companies to all pay
Attention to there this is the the most important companies in my opinion that you can possibly add to your watch list pay attention to their earnings pay attention or guidance and you’re going to get a very good understanding of the state of the economy based upon those companies snapchat and twitter and all these other companies come on man they’re not going to
Give us the real the real understanding of what’s going on out there these companies they will and if it’s bad their numbers are going to show it and their guidance will show it if things are good the numbers are going to show it and their guidance will show it just bottom line when it comes to that and so keep this in mind now moving forward okay moving forward
Very important we’re in a situation here where all these companies receive right here almost all of them will report in their earnings over the next three weeks all right so a few of these have already reported the member american express reported tesla reported a few of these have already reported but most of these have not almost all these companies are going
To be reporting their earnings over the next three weeks and so get ready to rock and roll and wherever the stock market’s going to trend over the next two to three months is going to really be based upon where the stock where these companies earnings are at okay the only other big thing we got going on over the next few months other than obviously these earnings
Over the next few weeks is inflation numbers that’s what everybody all people care about right now in the stock market is two things earnings over the next few weeks and where the inflation numbers come in for the month of july and where the inflation numbers come in for the month of august that’s it that’s all that really matters in the stock market right now
And the rest is a straight-up distraction play for this market okay hope you guys enjoyed this as always i hope you got some good value out of it also just so you know in the given in the market we’re in right now actually made two courses absolutely free right now one’s a little more of a beginner course and one’s a little more of an advanced course in that
Particular course so if you want to book a 15 minute call with somebody from my team they’ll get you enrolled into that we’ll just ask you a few questions get you enrolled into whatever course is the right one for you it’s absolutely free you don’t have to join my private stock group to get access to that and that will be pin comment down there much love as always and have a great day
Transcribed from video
WARNING ⏰ The Stock Market Is In Distraction Mode | Get Ready For This By Financial Education
