Why Are SaaS Stocks Crashing?

Рет қаралды 12,406

Күн бұрын

👨‍💼 Follow the Brian's Antifragile Portfolio SavvyTrader: savvytrader.com/stoffel_brian... Code: JUNE2024
📈 Check out Finchat for FREE!: finchat.io/brian/
▼FREE ACCOUNTING INFOGRAPHIC EBOOK:▼
🧑‍🎓 Financial Statements School: longtermmindset.co/fssebook
▼FREE INVESTING TOOLS:▼
✅ Investing Checklist: longtermmindset.co/checklist
⚖️ Earnings Power Calculator: longtermmindset.co/ep
⏪ Reverse DCF Calculator: longtermindset.co/rdcf
▼ FREE NEWSLETTER ▼
📩 Join 100,000+ readers of our FREE newsletter: longtermmindset.co/
▼RECOMMENDED RESOURCES:▼
👍 Recommended Resources: longtermmindset.co/resources
▼ USEFUL EPISODES:▼
📺 10 Steps To Build Wealth: • How to Build Wealth In...
📺 How to use our investing checklists: • Brian Feroldi's Stock ...
📺 Our thoughts on valuation: • Stock Valuation Lectur...
📺 How to review earnings: • Quarterly Earnings Rep...
📺 How to prepare for a market crash: • How To Prepare For A S...
📺 10 investing lessons for beginners: • 10 Investing Lessons F...
📺 How to build a portfolio - Step 1: • How to build a stock p...
▼ABOUT US:▼
👨‍💼Brian Feroldi is an author (amzn.to/3JVr9Q0), investor, KZfaqr, and financial educator. He's been investing in the stock market since 2004. He's made EVERY investing mistake you can make. He now spends his time teaching others how to invest better. Brian sends a FREE weekly email called Long Term Mindset (longtermmindset.co), where he shares one investing lesson and 6 pieces of simple content that encourage readers to think and do better with their money.
🤝Connect with Brian Feroldi:🤝
🐦 Twitter: / brianferoldi
🔗 Linkedin: / brianferoldi
📸 Instagram: / brianferoldi
👨‍💼 Facebook: / brian.feroldi
📩 Newsletter: longtermmindset.co/newsletter
🕸️ Website: longtermmindset.co
👨‍💼Brian Stoffel is a writer, investor, KZfaqr, and financial educator. He's a teacher at heart. Brian has been investing for over a decade and has written over 4,000 articles for The Motley Fool. Brian worked as a middle school teacher in Washington, DC for over 5 years. He and his wife had a “mini-retirement” in Costa Rica and now spent a portion of their year there in a containership home. Brian plans his life and his investments around “antifragile” principles.
🤝Connect With Brian Stoffel:🤝
🐦 Twitter: / brian_stoffel_
🔗 LinkedIn: / brian-stoffel-28509549
📩 Newsletter: longtermmindset.co/newsletter
🕸️ Website: longtermmindset.co
❗️❗️DISCLAIMER:❗️❗️
All content on this channel is for discussion, education, entertainment, and illustrative purposes only and SHOULD NOT be construed as professional financial advice, solicitation, or recommendation to buy or sell any securities, notwithstanding anything stated on this channel. There are risks associated with investing in securities. Loss of principal is possible. Past performance is not a predictor of future investment performance. Brian Feroldi and the guests on this channel are not responsible for investment actions taken by viewers. Should you need such advice, consult a licensed financial advisor, legal advisor, or tax advisor. You agree to verify all information yourself before investing. Any past performance discussed during this program is no guarantee of future results. Investing involves risk and possible loss of principal capital; please seek advice from a licensed professional.
All views expressed are personal opinions as of the date of recording and are subject to change without the responsibility to update views. No guarantee is given regarding the accuracy of the information on this channel. Releasees undertake no obligation to provide accurate or sound investment statements. You waive any and all duties that may exist flowing from you to any Releasee. You agree not to hold any Releasee liable for any possible claim for damages arising from any decision you make based on information or other content on the Channel.
*Some of the links and other products in this video are from companies for which Brian Feroldi will earn an affiliate commission or referral bonus. Brian Feroldi is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date.

Пікірлер: 37

@papi2011 Ай бұрын

You should make a video on MongoDB results last week.

@jerryhunter5242 Ай бұрын

Brian, I’m surprised you didn’t mention possibility of increased chip costs affecting the profits in the short term.

@yuzaR-Data-Science Ай бұрын

Thanks Brian, what about Palantir? The aren't seen to go down, don't they?

@TerryBogard-sh6nf Ай бұрын

Companies across the economy are optimizing. Software is no exception. Re the moat argument, that's too broad a statement. The internet runs on NET, CRWD has shown no weakness, CRM had a bad quarter but is an exceptional company (a lot of knee-jerk reactions to CRM, surprise surprised). SNOW has competition from DataBricks, which I think is a legitimate threat to the moat -- but there can also be more than one winner in the space. PATH has always been risky and as a risky growth stock. Rate cuts have been on hold, but easier access to money could help the economy and SaaS included (many SaaS companies are optimized for growth, not profit).

@Cygx Ай бұрын

What we are seeing in the enterprise software market is that companies with growth are seeing revenue growth from substitution (displacement) since the IT budgets are capped. Only company making money hands over fist is Nvidia.

@zajunc69 Ай бұрын

They were overvalued. For example still I wouldn't call snowflake cheap. Imo now it's fair value/slightly expensive. Me as an ivestor if I want to invest in company that is loosing money it has to have a potential to make at least 3x till 2030. Can snowflake be worth 150mld till then? I guess..

@zajunc69 Ай бұрын

In the meantime I'm almost certain amazon will be 2x by then, so why bother risking much more on snowflake?

@theresamorgavi9196 Ай бұрын

snow flake is too expensive for my taste at $125...but the market is crazy...over hype up as well as over reaction down...I prefer to buy good company over reaction down

@UziGameGP Ай бұрын

Berkshire buying snowflake above 200 is absolute madness

@user-db2xe7nd7o Ай бұрын

Is it same for MongoDB?

@aleanderperez8015 Ай бұрын

It is

@joelcazares9986 Ай бұрын

Was thinking the same.

@pranayk37 Ай бұрын

Definitely not adding to my snow till they figure stuff out

@bbs32 Ай бұрын

It's easy. SaaS companies figure out how to leverage AI to automate their software evolvement iteration. And then they cut all the fat that is no longer needed. I don't know whether revenue growth will be back to the good old times after those "efficiency" initiative gets deployed, but the margin would be pretty good. It's brutal but it can be done.

@fischX Ай бұрын

They don't have products someone need but products that someone may want. That's not good in a bear market.

@aleanderperez8015 Ай бұрын

This is the video i was waiting for… I have no idea on what to do… Im down in SNOW… I don’t mind holding but theres lots of uncertainty which to be honest i don’t like I been considering realizing the lost and looking elsewhere… we will see…

@jankay8569 Ай бұрын

44b company doing 2.8b revenue is just eikes! Especially with slowing top line growth. Plus, dont even get me started with their Sbc. This company's sole existance is to scam money from gullible investors and to make management rich.

@dc1219 Ай бұрын

Q based on my shoddy maths and your recent vids- you've recently sold or/and mentioned some LTH (google, microsoft, amazon etc) and most of these are up like 600%+ wasn't google like 10x? Your performance is 350% over 10 years, does this mean you've lost in the majority of your other positions?

@joelcazares9986 Ай бұрын

Can’t believe this channel hasn’t updated on MongoDB. 😮

@theresamorgavi9196 Ай бұрын

b/c it went down so much? lol

@robin212212 Ай бұрын

what is there to update that has not already been said? Company issued lower guidance for future revenue growth; need to wait for companies to ramp up usage as they implement their AI models.

@papi2011 Ай бұрын

@@robin212212 They don't have any AI models. They just use the AI buzz word to sell. AI is a completely different space.

@EamonRuane Ай бұрын

No mention of the recent hack? 😮

@BlizzardzRS Ай бұрын

Hack was on the customer’s end, not Snowflakes. They were just trying to shift the blame from the biggest data breach in history.

@drmsgp Ай бұрын

do you think Palantir AIP is a threat to snowflake? it seems like it provides similar or better analytics and insights

@gurusukh Ай бұрын

Simple reason: Just as software was eating the world over the past decade, AI is eating software this decade.

@mattdukeshire3837 Ай бұрын

If you’re someone who works with AI/ML, you know it’s not taking over anything right now. It’s increasing productivity. Lawyers and legislation will stop it from replacing much for at least the next decade. Always, I mean always, think about liability.

@narinpratap8790 Ай бұрын

This is such a reductive take on the topic... Anyone working on AI/ML will tell you how that most companies are nowhere close to replacing their employees with AI (or even their existing SaaS Enterprise Software vendors for that matter).

@gurusukh Ай бұрын

@@narinpratap8790 You could be right on this. However currently the market thinks, that's not the case.

@michaelmiddleton3311 Ай бұрын

Tiny bit of irony that you used AI generated illustrations to make your point. Have not seen that here before. Maybe, therein lies your answer.

@leweezo33 Ай бұрын

Get out of my mind Brian.My first thought this morning was "I qiah the Brians would put out a vid on the software slump".. Kinda scary Got lucky yesterday, I sold / of my SNOW and bought more TMDX.. So far a good trade that I hope gets better