Gratitude and Insights in the World of Investing

Market Performance and Investor Sentiment

In late November, investors have a sense of certainty with inflation moderating and the Fed cutting rates. The S&P 500 is up 26% and the NASDAQ 27% year-to-date. However, not all investors or consumers are feeling the same. A Gallup poll shows that while 62% of Americans have money invested in the stock market, the wealthiest 1% hold 50% of stocks. Ron Gross believes the market is due for a correction but advises staying in the market and riding out the ups and downs.

Jason Moser notes that while the market is performing well, it's important to remember that not all consumers feel the same. Inflation may have moderated, but it's not fully beaten and could resurface. The upcoming Fed meeting in December is a key event as the market is now unsure whether there will be another rate cut.

Stock Picks and Disappointments

Ron Gross shares his disappointment with Target, which has been struggling with inventory problems and saw its shares drop 20% in one day. Despite his initial investment and belief in the company, he admits that Target is not performing as well as expected in the current competitive market.

Jason Moser highlights Outset Medical as a stock that has been a disappointment. The company faced issues with GLP drugs and management's failure to file for FDA clearance. The stock has been pummeled, and Jason believes the company has been poorly led despite having a great technology.

Dylan Lewis shares his personal disappointment with the Aaron Rodgers-led Jets team not making the playoffs, but remains hopeful for good football.

Companies to Be Thankful For

Ron Gross expresses his gratitude for Costco, which has been a great investment for him, up 1300% over the years. He shares a personal anecdote of enjoying a trip to Costco with his wife and the value proposition of the business.

Jason Moser is thankful for Axon Enterprise, which has been a top performer with the stock up over 140% this year and 250% over the last three years. He believes Axon is the Apple of public safety, with great hardware and software services. The company is an AI play and is seeing strong revenue and recurring revenue growth.

Topics to Avoid at Thanksgiving

Jason Moser doesn't want to talk about the election at the Thanksgiving table, as he believes the results are in and it's time to move forward. Ron Gross suggests avoiding discussions about tariffs as no one truly understands how they work and their impact.

Dylan Lewis briefly discusses how tariffs are creating concerns for companies and affecting the market short-term. Ron and Jason share their thoughts on when these issues become important for business.

Listener Questions and Insights

Alberto calls in asking about certifications for managing money. Ron Gross explains the different licenses and designations needed, such as the Series 7, Series 65, and CFP.

Spencer asks about considering real estate in portfolio allocation. Jason Moser explains the difference between assets and investments and how he views real estate in his portfolio. Ron Gross agrees and emphasizes the importance of consolidating accounts for a better understanding of allocations.

When discussing holiday retail results, Ron Gross highlights the importance of the holiday season for retailers and how it impacts their overall results. Jason Moser looks at both top-line growth and gross margin to evaluate retailer performance.

Neil asks about spatchcocking a turkey, and Jason Moser shares his dry brining method and recommends googling for more information. Ron Gross shares his sweet potato pie recipe for Thanksgiving.

Radar Stocks

Ron Gross presents Garrett Motion (GTX) as a potential value investment. It's an orphaned spin-off operating in a dying industry with complex financials and a recent bankruptcy. However, it's now back public, making money, and trading at only five times free cash flow.

Jason Moser recommends Samsara (IOT), a company that has been a top performer since being recommended in February 2023. It operates the connected Operations Cloud and has seen strong revenue and recurring revenue growth. The company is set to release earnings on December 5th.