Stocks crashing‼️(AMD, MU, SNDK, SOFI) Do this now
Overall Thesis
Market experiencing significant volatility with semiconductor and fintech stocks declining sharply due to margin unwinding, but presenter advises long-term focused investors to view dips as buying opportunities.
Narratives
The video notes SoFi has dropped sharply to $15 a share amid broader market deleveraging and margin unwinding. The host frames this as a buying opportunity for those who already like the stock, without making a specific forward price call.
Key Arguments
- SoFi is trading at $15 today amid a broader selloff
- Leverage and margin are being unwound across the market
- If you already like SoFi at this price, it's reasonable to buy more
Micron has fallen significantly from its all-time high near $1,200 last month to $777, representing a 35-40% drawdown. The host attributes this to unwinding leverage in the semiconductor trade rather than a change in long-term fundamentals.
Key Arguments
- MU topped last month in the $1,200 range and is now at $777
- This represents a 35-40% drawdown from all-time highs
- Semiconductor trade unwind and South Korean market factors are contributing to the drop
SanDisk stock is down about 57% from its all-time high, part of the broader semiconductor selloff discussed in the video. No forward-looking price target is given for the stock.
Key Arguments
- SanDisk is down approximately 57% from its all-time high
AMD has dropped to $440 a share amid the broader semiconductor and margin unwind. The host suggests that if you already like AMD at this level, it makes sense to keep buying, without giving a specific price target.
Key Arguments
- AMD is trading at $440 amid market-wide deleveraging
- If you like AMD at 440, you go buy the stock
The host highlights Cheesecake Factory as one of his best long-term picks, having bought shares in the $30s and now seeing the stock near $100. This is framed as a past success story rather than a new forward prediction.
Key Arguments
- Started buying Cheesecake Factory in the $30s and it's now nearly $100 a share
- Considers it one of the best money-making stocks of the past few years
- Believes many investors missed this opportunity
ServiceNow had been dead money for a long time but has recently heated up, rallying from the 80s to $116 and up over 5% on the day discussed. The host notes many recent buyers are now significantly in the green.
Key Arguments
- ServiceNow rallied from the 80s to $116, a large move in a few months
- Stock was up more than 5% on the day
- Recent buyers (last 3-6 months) are likely green on the position
Hedges & Caveats
- Acknowledges uncertainty about whether market has bottomed
- Warns about short-term margin calls and leverage unwinding affecting prices
- Emphasizes need for long-term focus rather than short-term market movements
- Notes upcoming earnings reports that could impact stocks discussed