Close Menu
The Elite TimesThe Elite Times
  • Home
  • Entrepreneur
  • Finance
  • Fund
  • Investment
  • Marketing
  • Stock
  • World
  • Business

Subscribe to Updates

Get the latest creative news from FooBar about art, design and business.

What's Hot

Visionary Entrepreneur Manuel Manzoni and International Taxation Expert Marco Scardeoni Partner to Drive Global Expansion through GCC Advisors

April 16, 2024

Help comes to Fort Worth businesses affected by explosion – NBC 5 Dallas-Fort Worth

March 29, 2024

Lawmakers claim ‘irresponsible’ withdrawal from Endowment Fund proceeds to pay full dividends

March 29, 2024
Facebook X (Twitter) Instagram
Facebook X (Twitter) Instagram
The Elite TimesThe Elite Times
  • Home
  • Entrepreneur

    21 Great Business Ideas for Nurse Entrepreneurs

    March 27, 2024

    EY announces 18 female entrepreneurs selected for EY Entrepreneurial Winning Women™ Asia-Pacific class of 2024 | EY

    March 27, 2024

    Victims of Baltimore bridge collapse include father of three and budding entrepreneur

    March 27, 2024

    Until April 2nd, get great discounts with lifetime access to this stock market app

    March 27, 2024

    Secure and reliable project management support for $25

    March 27, 2024
  • Finance

    Rocket Pharmaceuticals Announces Appointment of Aaron Ondrey as Chief Financial Officer and Additional Updates to Corporate Leadership Team

    March 26, 2024

    Reddit ignites resurgence in meme stocks, further sign of ‘bull market on all fronts’

    March 26, 2024

    Walmart stock plummets, retail giant expected to see further growth

    March 26, 2024

    Stocks soar as Wall Street looks to continue breaking records

    March 26, 2024

    Stocks soar as Wall Street looks to continue breaking records

    March 26, 2024
  • Fund

    Help comes to Fort Worth businesses affected by explosion – NBC 5 Dallas-Fort Worth

    March 29, 2024

    Lawmakers claim ‘irresponsible’ withdrawal from Endowment Fund proceeds to pay full dividends

    March 29, 2024

    The LDP slush fund scandal: What will make po

    March 29, 2024

    City of San Antonio seeks dismissal of Reproductive Justice Fund lawsuit

    March 29, 2024

    Clashes expected between Biden fundraisers and President Trump during preview visit to New York

    March 29, 2024
  • Investment

    Amazon (NASDAQ:AMZN) accelerates investment in humanity and accelerates AI drive

    March 28, 2024

    Recent trends in Kazakhstan’s investment situation

    March 28, 2024

    City of South Bend shares plans for Madison Lifestyle District with more than $330 million in private investment

    March 28, 2024

    OKX Ventures announces strategic investment in MyShell, a pioneer in AI-integrated Web3 technology

    March 28, 2024

    Reform of the EU Foreign Direct Investment Screening Regulation – How might M&A Transactions be impacted? | Mayer Brown

    March 28, 2024
  • Marketing

    Premium hospitality is on fire

    March 27, 2024

    S&P 500 sets record as Wall Street emerges from lull

    March 27, 2024

    DevvStream Announces Multi-Year Agreement to Sell CFR Credits with Major Logistics and Marketing Company

    March 27, 2024

    Global online dating services market by service (casual dating, matchmaking, niche dating), subscription (annual, monthly, quarterly), age group, and gender

    March 27, 2024

    Tower Federal Credit Union Receives Two CUNA Diamond Awards for Creative Excellence in Marketing

    March 27, 2024
  • Stock

    Forget Tesla: We think the ‘Magnificent Seven’ should replace this stock

    March 27, 2024

    Forget about Tesla: One of the unstoppable artificial intelligence (AI) stocks belongs to the ‘Magnificent Seven’ instead

    March 27, 2024

    2 Artificial Intelligence (AI) Stocks with Potential for Parabolic Growth

    March 27, 2024

    Mr. Powell’s comment

    March 27, 2024

    What you need to know about Trump Media’s stock debut

    March 27, 2024
  • World

    Take a look inside the New York Stock Exchange, the world’s largest stock market

    March 26, 2024

    China challenges Biden’s electric vehicle plan at World Trade Organization

    March 26, 2024

    Wolfspeed joins Senator Thom Tillis and key officials to conquer world’s largest and most advanced silicon carbide facility

    March 26, 2024

    Amy Brenneman, Raviv Ullman, Jeremy Love, cast and others in ‘Galilee’ world premiere, 34 years old

    March 26, 2024

    These beauty brands are among the most innovative companies in the world

    March 26, 2024
  • Business

    Canadian business leaders say housing should be a top federal budget priority

    March 27, 2024

    The power of mentorship in business

    March 27, 2024

    Los Angeles County business owner forced to pay damages after SWAT raid

    March 27, 2024

    Chinese President Xi meets with foreign business leaders amid economic uncertainty | Business and Economic News

    March 27, 2024

    China’s Xi Jinping meets with US business leaders in Beijing

    March 27, 2024
The Elite TimesThe Elite Times
Home»Investment»Billionaire Bill Ackman invests 37% of his portfolio in two great stocks
Investment

Billionaire Bill Ackman invests 37% of his portfolio in two great stocks

The Elite Times TeamBy The Elite Times TeamMarch 27, 2024No Comments5 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Share
Facebook Twitter LinkedIn Pinterest WhatsApp Email

[ad_1]

Billionaire Bill Ackman runs the hedge fund Pershing Square Capital Management. He easily surpassed this with his 212% total return over his five years ending February 2024. S&P500, an increase of 99% over the same period. That makes him a good case study for aspiring investors.

With that in mind, Ackman had split 37% of his $10.4 billion portfolio between the two companies as of the December quarter. alphabet (Google 0.40%) (GOOG 0.36%) Accounting for 19% of his investment assets, Chipotle Mexican Grill (CMG 1.79%) It accounted for 18%. Its position sizing evokes high confidence.

Here’s what investors need to know about these two spectacularly successful companies.

1. Alphabet

Alphabet reported strong results in the fourth quarter, beating expectations for revenue and bottom line. Total revenue rose 13% to $86.3 billion, with particularly strong sales growth in the cloud computing division. Meanwhile, GAAP net income increased 52% to his $20.7 billion as cost control efforts expanded operating margins by 300 basis points. Investors can expect similar revenue growth in the coming quarters, but earnings growth will definitely slow.

Google, a subsidiary of Alphabet, has the enduring competitive advantage of being able to source data from across the Internet. Specifically, the company has 15 products serving at least 500 million users and 6 products serving more than 2 billion users. This includes the internet search engine Google Search, the streaming platform YouTube, the Android mobile operating system, and the Chrome web browser.

As a result, Google dominates the digital advertising market because of its deep understanding of the consumer behaviors that media buyers value. The company accounted for 39% of digital ad spending last year, according to Statista. Google is working to strengthen its position by injecting new artificial intelligence (AI) capabilities into the ad tech ecosystem, including recently adding generative AI capabilities to Google Search.

Meanwhile, Alphabet has been steadily gaining market share in cloud computing by investing in product development and go-to-market capabilities. Google Cloud Platform accounted for 11% of cloud infrastructure and platform services revenue in the fourth quarter, an increase of 1 percentage point year over year. Google still follows Amazon and microsoft However, the recently released Gemini could help the company gain even more market share.

According to the company, Gemini is a machine learning model that can outperform GPT-4 (the engine behind ChatGPT Plus) across a variety of benchmarks. Gemini allows Google Cloud customers to build his AI applications such as conversational chatbots and intelligence search agents. Gemini also integrates with the Google Workspace application to automate tasks such as drafting content in Google Docs, synthesizing data in Google Sheets, and generating images in Google Slides.

Going forward, Wall Street expects Alphabet to increase its revenue by 10% annually over the next five years, but that forecast could be beat if the company only maintains market share in advertising and cloud computing. remains. I say that because digital ad spending is expected to grow at 15% per year through his 2030, and cloud computing revenue is also expected to grow at 14% per year over the same period.

But even if the Wall Street consensus is correct, its current valuation of 6.4 times sales seems reasonable. Patient investors should feel comfortable buying this growth stock today, but I think I’m much more conservative than Bill Ackman when it comes to position sizing.

2. Chipotle Mexican Grill

Despite a tough environment for many of its peers in the restaurant industry, Chipotle looked strong in the fourth quarter. The fast-casual restaurant chain’s revenue increased 15% to $2.5 billion, operating margin expanded 80 basis points to 14.4%, and non-GAAP net income increased 25% to $10.36 per diluted share. Driving that success was his strong 8.4% same-store sales growth, driven by pricing power and his 7.4% increase in foot traffic.

These numbers are really impressive when you consider the context. Same-store sales for the average restaurant rose just 1.1% in December, but customer traffic actually fell 1.7%, according to the National Restaurant Association. This means Chipotle brought in more people while the average competitor lost business, and the company does this regularly. This is a testament to the brand authority that Chipotle has cultivated through its “Honesty Foods” strategy.

To elaborate, Chipotle only sources responsibly raised meat (no hormones or antibiotics) and organically grown produce, and uses only real ingredients (no preservatives or antibiotics). (No artificial flavors used). CEO Brian Nicol said the company also focuses on fresh ingredients, meaning it doesn’t use freezers, can openers or microwaves. This strategy helped Chipotle become independent from other quick service restaurants.

Unfortunately, not all good companies are good investments. Wall Street expects Chipotle to increase its earnings per share by 20% annually over the next five years. Based on this consensus estimate, the current valuation of 65x P/E looks quite expensive. To be fair, investors who want shares in this company should be prepared to pay a premium, but I personally would wait for a cheaper entry point before buying the stock.

John Mackey, former CEO of Amazon subsidiary Whole Foods Market, is a member of the Motley Fool’s board of directors. Alphabet executive Suzanne Frye is a member of The Motley Fool’s board of directors. Trevor Jennewine has a position at his Amazon. The Motley Fool has positions in and recommends Alphabet, Amazon, Chipotle Mexican Grill, and Microsoft. The Motley Fool recommends the following options: His long January 2026 $395 call on Microsoft and his short January 2026 $405 call on Microsoft. The Motley Fool has a disclosure policy.

[ad_2]

Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
Previous ArticleLos Angeles County business owner forced to pay damages after SWAT raid
Next Article Entrepreneur revolutionizing SEO and digital marketing
The Elite Times Team
  • Website

Related Posts

Amazon (NASDAQ:AMZN) accelerates investment in humanity and accelerates AI drive

March 28, 2024

Recent trends in Kazakhstan’s investment situation

March 28, 2024

City of South Bend shares plans for Madison Lifestyle District with more than $330 million in private investment

March 28, 2024
Leave A Reply Cancel Reply

Demo
Latest Posts

21 Great Business Ideas for Nurse Entrepreneurs

March 27, 2024

EY announces 18 female entrepreneurs selected for EY Entrepreneurial Winning Women™ Asia-Pacific class of 2024 | EY

March 27, 2024

Victims of Baltimore bridge collapse include father of three and budding entrepreneur

March 27, 2024

Until April 2nd, get great discounts with lifetime access to this stock market app

March 27, 2024
Stay In Touch
  • Facebook
  • Twitter
  • Pinterest
  • Instagram
  • YouTube
  • Vimeo
Don't Miss

Boeing’s problems may soon become your problems

By The Elite Times TeamMarch 15, 2024

[ad_1] Lindsay Wasson/Reuters/File Aerial photo shows an unpainted Boeing 737 MAX aircraft parked at Renton…

HABCO Committee considers revocation of business license and appeal of annexation

March 16, 2024

Meta, Boeing and GE Vernova join US business delegation to Vietnam this week

March 18, 2024

Subscribe to Updates

Get the latest creative news from SmartMag about art & design.

Demo
About Us
About Us

Welcome to [Your Website Name], your go-to source for comprehensive information on funds, investments, and the latest in stock news. We are dedicated to providing you with accurate, insightful, and up-to-date content to empower your financial decisions.

Facebook X (Twitter) Pinterest YouTube WhatsApp
Our Picks

Visionary Entrepreneur Manuel Manzoni and International Taxation Expert Marco Scardeoni Partner to Drive Global Expansion through GCC Advisors

April 16, 2024

Help comes to Fort Worth businesses affected by explosion – NBC 5 Dallas-Fort Worth

March 29, 2024

Lawmakers claim ‘irresponsible’ withdrawal from Endowment Fund proceeds to pay full dividends

March 29, 2024
Most Popular

Visionary Entrepreneur Manuel Manzoni and International Taxation Expert Marco Scardeoni Partner to Drive Global Expansion through GCC Advisors

April 16, 2024

Teenage Girl Finds Mom’s Debit Card, Spends $64,000 on Mobile Games

January 9, 2020

Apple’s Beats Studio Pro Headphones Listed in FCC Database Ahead of Launch

January 10, 2020
© 2025 theelitetimes. Designed by theelitetimes.
  • Home
  • About us
  • Contact us
  • DMCA
  • Privacy Policy

Type above and press Enter to search. Press Esc to cancel.