Charles’ Take: AI Sentiment & The 40% Rule

I'm going to share with us right now. I'm going to bring a Kingsview partner, Wealth Management Mario Venerosa. Let's talk about your formula, Mario. So the magic ingredients are growth, innovation, and guidance. Absolutely. So these are the components of Cousin Mario's secret sauce right here. You want strong growth. At the end of the day, I call it the 40-40 rule. And I'm not talking about Jay-Z's club in Midtown either. I'm talking 40% top-line growth. You want 40% bottom-line growth. And the other thing, too, and this will be a little component of the secret sauce, you also want margins to be high, too, 40% above. But if you have growth, innovation, and forward guidance that's raised, those are all nice ingredients. A lot of companies that stocks are down today that raise their guidance. Is there a certain level of guidance that you've got to raise it? So this market is a very bifurcated market. It comes down to two things. It's the do's and don'ts. It's the haves with AI and the have-nots. And if sentiment is negative in your sector with AI right now, it's like going against the tide. You're not going very far. Amazon is a name that you've liked before. In fact, we're up like 60% of some of the time. You still love it. Yeah, absolutely. Infrastructure spending, supply chain, the business, there's a high guy. So you would still be a buyer here. Yeah, so I was here a month ago saying buy Amazon. It was under $215. The stock went up 30%, and they're going to eat everyone's lunch. Andy Jassy yesterday said AI is gonna be the biggest technology revolution in our lifetime, and they're getting into the logistics business. I still like Amazon, higher growth ahead. Palantir is a name that you like. Yep. I'm in Palantir, I'm not doing great. Yep And if you look at it I mean it just it seems like they doing right Government business up 84 percent commercial business up 133 percent The guidance was strong What happening This is exactly what I just said It sentiment So if you look at Palantir, it's a software company. Software companies right now trading in the market are like dogs with fleas. Nobody wants to touch them. But if you're patient and you're a smart investor and you follow the recipe, I believe Palantir could have better days ahead. You also like, we're going to bring this up here. One thing I wanted to ask you about Amazon, circling back to it for a moment. They had this announcement yesterday about logistics. They started doing their own logistics. Now they're offering it to anyone. And that crushed a lot of stocks. FedEx stocks got hammered yesterday, a lot of the old stocks. But this tiny portion, is that enough to really move the needle? That is a wonderful question. Comes down to one thing, money, Charles, revenue. FedEx does $90 billion a year. UPS does $90 billion. I don't know if there's a $180 billion market plus, and there's only one type of vans I see in my neighborhood on the weekends. It's blue and blue. It's Amazon. They're going to be a great logistics company, and I think that could be a proponent going forward. Real quick before I let you go, you like Oclo? Yep. We're down on it, my friend. We are. Are we buying this bad boy here or what? So a few things happened. So I was looking at this at year end, made a big run up. I took some profits along the way. Right down here, right here, made that spike. Yep, absolutely. So it went back in October, it went from about 100 to 170. But look, at the end of the day, you've got to take some profits along the way. I think long term, this could be a good play. So you're not in it right now? I still have some small positions in it. Okay, good stuff. Okay, great seeing you. You too, my man. I want some candy too. You're looking great. Yeah, we've got to go there, man. Yeah, let's go.