Adding $8,500 to META

I’m traveling so I’ll keep this short.

I made a larger than normal contribution to the portfolio of $8,500 this morning and this afternoon at between 3:00pm EST and 3:30pm EST I’ll be purchasing $8,500 worth of .

This purchase will make Meta my largest holding. Subscribers can see my portfolio and position sizes at this link. I’ll update it today after the purchase.

They announce earnings after market close today and the stock could easily be down 20%+.

I wrote a longer email explaining my thesis and sharing some rough price targets for Meta last week. The stock is historically cheap on a P/E and P/S basis and I believe most of the negative news is already reflected in the share price. Paying subscribers can see that write up at this link.

I view as a 5+ year investment and I’m willing to bet that Zuckerberg and Meta are making the right investments in the shift to the Metaverse and it will pay off over the long term.

I’ll send out a more detailed email about my thoughts on the Metaverse opportunity this week.

As for this quarter, there are certainly going to be advertising challenges. We saw that from and even . will definitely see the same challenges.

However, I think they’re being smart about cutting costs, have a ton of cash and will probably continue buying back shares since the valuation is at historic lows, and they might fare better than feared for advertising because they have more reach than basically any other advertising platform.

Have a great day everyone!