These Are The Best And Worst Stocks Of 2024

it's time we check in and look at how things are going we've already entered into March we're kicking off the year to an exciting start and already just a couple months the S&P 500 is up over 8% it's a pretty good start for the year we're in a bull market things are going up like crazy the QQQ is up 10% for the year so the indices are doing really well this year but I want to know which companies in the indices specifically are lifting the markets which ones are really putting in the gains we're going to be looking at the top 10 best performing stocks in the market we're also going to be looking at the top 10 worst performing stocks the losers the ones that are really being sold off this year so we'll be looking at that with the market but I also want to look at my portfolio we have the story fund here this is my growth portfolio it's just in a handful of companies I want to look at the year-to-date performance and see how this is doing and then of course we have the passive income portfolio this is my bigger portfolio and I want to see what the returns look like this year and we're going to see what's working and what's not working because because some of the companies in the portfolio are doing a lot better than others so we're going to be checking in on all of this seeing how it's going and even though it's been a couple months I know that this is shortterm I still think it's really interesting to look at how things are doing we're going to be looking at all of these different companies seeing what's working and not working now if you like this type of content be sure to ring that Bell below the video that gives you notifications whenever I upload now let's go ahead and start off with the story fund this is the smaller of my two portfolios but it's one that I've tracked publicly since the beginning it currently has 4 $9,000 in gains with a total value of $211,000 now I'll be honest this year has been fantastic for this portfolio the whole past year has been fantastic for this portfolio the reason why is because over half of the portfolio over 50% is in these two companies Amazon and Netflix if we look at either of these for example if we pull up Netflix here in qual trim we can see that the company is up 32% year to date huge huge run this year and this is off of the back of a really good earnings report where Netflix reported that they gained 13 million subscribers Wall Street was expecting around 8 million and they just blew past expectations they also raised their guidance they said that margins were going up there they said that they're re accelerating Revenue growth everything that you could feed to investors that was positive Netflix did in this past quarter so that caused the stock to go up big time over the past year it's also been just an incredible incredible performer up 99% in the past year so with Netflix being 30% of the portfolio onethird of it it is obviously driven the gains of this portfolio a lot in the past year and year-to dat being up 33% year-to dat is huge if we look at Amazon this is another one that's off to an incredible start this year A lot of people are excited about Amazon I think rightly so their free cash flow story margin expansion advertising um them getting costs under control reducing capex all the things that you'd look for in a company right now I think Amazon is another one that has them it's up 19% year to date so it's again one of the best performers in the market this year if we look at the past one year it's up 91% so just to put this in perspective in the story fund my top holding is up 90% in the past trailing year and then the second one that's also 30% is up 99% so the rapid recovery in in the story fund is due to these two Holdings I bought a lot more of them on the dip but in the past one year the portfolio has gained a combined $85,000 in value bringing it deep out of the red into the green $50,000 into the green these two companies have really lifted up the portfolio another one that's helping out a lot is Microsoft I don't want to forget about Microsoft because their performance year-to dat has been incredible it's up 12.2% over the past year it's up 62% so not quite as good as Amazon or Netflix but not bad their performance has again been incredible now if we look at the two companies that haven't done as well this year it's Google and S&P Global both of these companies have different reasons they're not performing let's go ahead and take a look at Google this one is a 15% position so it's still really big I'm still bullish on Google in fact I'm in the green but it has not had a good start to this year Google's facing an innovator's dilemma meaning that there's a new way to search for information and retrieve it and Google either has to adapt it but if they adapt it do their margin stay the same are they going to lose market share to potential competitors there's all of these many concerns about Google's Core Business which is search on top of that Google has released a lot of botched releases like their Gemini release um they've had multiple problems with it they've actually retracted it and they're working on it so Google's in a tight spot right now causing the stock to continually sell off it's down 3.26% just today this year Google is in the red year-to date by 4% so it's actually not rallied at all with the market or with the QQQ again the QQQ is up 10% the S&P 500 is up 8% Google's down 4% this is because of different issues Google's facing the next company that has done poorly year to date is S&P Global this is a much smaller position in the story fund with only an 88.7% waiting so it's still a big position but it's just a lot smaller than these other ones S&P Global is down 2.3% year-to date so it's in the red this year and part of that is attributed to their soft guidance on their earnings you can see that they were trending up into their earnings and then their earnings report right there caused the stock to sell down giving up this year's gains so you lost a couple months of gains in this company now over the past year it's up 21% compounding on schedule this isn't really in the basket of hyper growth tech companies but S&P Global is a fantastic company I don't see anything fundamentally wrong with it I don't see any really big risks so I've been buying more of it as it's selling off when we look at all of these companies together we can visualize them using the dipf finder when I bring up year-to date this is what the portfolio looks like Google and S&P Global are in the red by a couple percentage points and then every other company after that is outperforming the S&P 500 for example if we were to add in the S&P 500 we can see that right here as The Benchmark the S&P 500 year to date performed like this it's right there these two companies Google and S&P Global have underperformed and Microsoft Amazon and Netflix have outperformed by a huge amount now the important thing here too is that Amazon and Netflix are Again by far the biggest positions they're making up over half the portfolio so the portfolio overall is outperforming even if we look at this on the past trailing year we can compare the S&P 500 against these Holdings and see dramatic outperformance of the story fund there is the S&P 500 performance the past year the only company to underperform is S&P Global and just barely I mean just barely over the past year Google has outperformed Microsoft has Amazon has and Netflix has these companies have led to the dramatic Rebound in this portfolio if we look at this visualized all time we can see it again here this is the past one year from 2023 to 2024 going way below right here we were way below the S&P 500 and now we have creeped out above it now we're outperforming spy by around 5% so I'm really happy with the story funds performance this year so far year to date it's up 177% and Amazon and Netflix are off to a really good start I think that Google's going to recover it may take time it may sell off further but I really believe it will have a comeback I don't know for sure but I think it's going to come out on top now let's go ahead and move on to the passive income portfolio we can take a look at how this one's doing every month I release a monthly update with some thoughts on the market what I think is going on my allocation and my performance calculated with time weighted returns so I look at this and this is the time weighted returns of this portfolio over the past couple of years and year-to date this year it's actually not doing as great it's not help performing to a large degree not as much as I would hope in fact so far this year we're basically head-to-head with the S&P 500 7.82% returns against the S&P 500 7.1 one that was updated as of uh one day ago one business day ago so this is basically matching spy which is not what I want to do I want my portfolio to outperform the S&P 500 but this is only two months so it is shorter term and we've had a run of a couple good years 2022 we did a little bit better 2023 we had a really good run some companies did fantastic 2024 we're having a couple companies struggle so let's go ahead and take a look at these companies that are struggling the easiest way to visualize this is with the dipf finder we can look at the passive income portfolio here this is what the portfolio looks like and we have the S&P 500 in there as well so The Benchmark looks right about here again 8% returns that's the Benchmark that I'm trying to beat we can see that a couple companies are dramatically outperforming and a few companies are dramatically underperforming let's go ahead and kick it off with the underperformers we have vich as the biggest underperformer it is down nearly 9% year to date let's go ahead and take a look at how this looks in my holding if we bring up vichi it's in the real estate category I invested in this one a while back so even though it's not doing well this year I'm still in the green by around $7,300 but vichi has been an underperformer the company pays a solid dividend and the dividend has grown over the past couple of years but the stock price is getting no appreciation even during a huge bull market and it's no fun when you have a stock that's staying completely flat when the rest of the Market's going up we can see this visualized here if we look at V over the past 5 years we can see that over the past couple of years V has stayed relatively the same price while paying around a 7% yield so investors aren't getting nothing here they are getting a yield and that makes up for a big portion of the the gains but on a stock price it's just staying flat and this has been the issue I believe the primary issue with vichi is extra sensitivity to interest rates as interest rates rise same with money market accounts same with savings account yields which are somewhat competitive to the Yi that vich pays so as savings account yields rise V's relative value proposition is lowered now the worst case scenario for vich is for interest rates to rise more and more this year that' be the absolute worst scenario even if interest rates stay flat that's not good for vichi the best outcome is if interest rates come down I think the stock will pop if that happens but if interest rates look like they're going up or if they're going to rise further this one's going to be a big loser the other one that's not doing well this year is Apple year to date Apple's down 6% and just today it's down 3% off of news that the EU is finding Apple for their dealing with music applications like Spotify Spotify has met with the EU Regulators 65 times to complain against Apple during their investigation and now it's been released that they have a $1.8 billion fine that they're leving on Apple so this is something where it's governmental risk regulation risk in Europe Apple's going to fight this they have their side of the story the EU has theirs Spotify has theirs all these parties are self-interested so I think there's going to be a battle here but this is the type of thing to expect with apple they're going to have to pay these fines along the way but these two companies apple and vichi have dragged down the portfolio this year they are underperforming the best performing one in my portfolio year-to date which has over doubled the performance of the S&P 500 is Texas Roadhouse this company has been incredible I bought Texas Roadhouse just a couple years ago and the company has performed so well the stock prices appreciated so so much that it's now my fourth largest position it's bigger than Microsoft bigger than Apple it is a massive position in my portfolio it's now trading at 150 which is incredible this company has been a really quick double in my portfolio I remember buying it when it was $70 per share when people are concerned about restaurants but I went to Texas Roadhouse and it was completely packed I looked on the app every single weekend every single evening this place was packed and to me that felt like the Peter Lynch scenario where you go to Dunkin Donuts you see the lines the door you buy the stock because you know the earnings are going to grow and what Texas Roadhouse has done is grown the earnings so this has been an incredible one so far this year just year to date it's up 26% so it's doing really well over the past one year it's up 43% so this has been a great story and as far as I can tell the story is on track so even though it's a restaurant it doesn't have a strong OTE as other companies I believe the incredible execution the great brand loyalty the exceptional operations of the company the way that they're able to own this many restaurants and execute on a daily basis I think does give them a competitive Advantage so even though this is grown to a massive position I'm still hanging on to it I'm not selling a single share the next two are other companies that have to deal with food and selling food we have Chipotle which is up a staggering amount this year we were just looking at Texas Roadhouse here's Chipotle we're in the green by $9,000 on this company if we look at Chipotle now it's pushing $2,700 per share the company is up9 19% year-to date so it's another story of a fast growing food chain I thought that food chains are going to do really well this year and I tried to pick the ones that I think will do the best out of the pack after Chipotle we have it again a company that just doesn't seem to slow down which is Costco this one confounds a lot of people it's just so confusing why does Costco always do so well why does it trade at valuations that seem extreme the valuation seem crazy like look at any PE ratio Bryce to free cash flow anything with Costco and it seems like it's trading at the price of some type of hyper growth stock I've owned Costco for a long period of time and it's one of the companies that I've been the biggest proponent of the biggest Advocate getting investors interested in at least looking at at least considering this company as an investment I've made video after video after video after video after video on Costco because I feel so strongly about this company so I'm one of the ones where I won't shut up about Costco I just think it's such a such a phenomenal company but the performance has has really done well over the past couple of years currently Costco is at $760 per share year to date it's up 17% over the past trailing year it's up 58% past 5 years 247 per. now keep in mind again this does not count it doesn't factor in dividends and Costco paid such a massive dividend this last year that it was over one year worth of earnings they paid $15 in a special dividend that is a massive amount to pay out to investors and to have the stock appreciate at the same time investors are getting gains both ways so this has been a massive winner now that we've seen my portfolios what's working and what's not working let's go ahead and take a look at the market here we have a list of the top performing companies in the S&P 500 year-to date and at the very top of the list is a company that will surprise no one the best performing stock in the market year to date is NVIDIA with a staggering 72% return is that right are we really up 72% with Nvidia that that is just incredible it's now at $866 today it's up 5.31% so 5.3% just today just another day for NVIDIA up another 5 or 6% shares of the semiconductor stock are trading higher amid overall Tech sector strength as well as continued AI momentum that's very broad there's not much specifically happening today but just because we're in a bull market and Nvidia has been the epitome of this bull market it has incredible amounts of momentum and I'm talking insane amounts of momentum 79% year today we have it right there if we look at this over the past one year it's up 267 per. so it's just outlandish returns here now obviously the metrics justify this their fiscal year 24 $6.9 billion look at the revenue jump from one year to the next incredible amounts of Revenue look at the free cash flow jump from one year to the next 3.81 billion to 27 billion dollar so they're justifying this so far but the big question is how long can Nvidia keep this up can they maintain this level of growth this level of momentum how long is this going to last because it seemingly never ends here's a video that I think is interesting this is from the dean evaluation and this is from 6 months ago so just 6 months ago he had a price target of 200 $40 per share for NVIDIA here is his reasoning I mean this stock was $30 6 years ago so and it's at near death experience would drop 50 60 80% you know these are companies where the momentum shifts you can very quickly see a route in the other direction you've seen this on Tesla and I think you could see this in Nvidia as well so if you haven't you know been lucky enough to add Invidia yet I think that there will be a point somewhere in the next year or two when fear is greatest you will not feel comfortable buying Invidia at 150 because everybody's going to be fleeing these same equity research analysts who put out buy recommendations with stocket 470 are quick to put out sell recommendations with stocket 150 he was warning about Nvidia when it traded at $470 per share and it's nearly doubled since then so this is a stock that continues to defy most people's expectations it's trending with a ton of momentum and we're going to see how long that lasts now the second best performing company is one that I'm not familiar with at all ceg or Constellation Energy Group is up 48% year to date this is one where I think it's just an electric company I don't know what they're doing I don't know why the stock is up so much over the past year up 122% but I do know that energy companies can be very cyclical very volatile very boom and bust so I wouldn't expect this one to be a long-term compounder maybe it could be but just on first glance I think it's one that's just riding some wave in third place we have meta with a 42% gain this year continuing along with very strong momentum Mark has been making All the Right Moves he's been using AI to improve their ad technology he's been focusing on the Core Business increasing cash flows and meta has been a big winner over the past year up 171% up 45% year-to date one of the shocking things to me about meta is how big the company is how many users they already have and how they're able to still continue to grow their Top Line they've really proved that which is incredible and number four we have am D which is up 41% year-to date this one I believe is getting overflow demand from Nvidia at this point it's basically a package play with Nvidia they're both doing somewhat the same thing Nvidia is doing it a lot better but AMD is benefiting as well and then number five we have a pharmaceutical company Eli Lily which is up 36% now there's no secret why these pharmaceutical companies are doing well they've came out with a specific type of weight loss drug and Eli Lily is supposed to have one that's going to make a lot of sales so it's making the revenue go up it's making the earnings go up things are headed in the right direction investors are very excited about that causing the stock to go up big so it's one of the biggest winners in the market this year after that we have Uber Uber's in the green this year by 31% and this has been a story of a unprofitable company there was one of the free cash flow negative companies that had a lot of stock based comp it seemed like it was just not a great company a couple years ago well the CEO really committed to generating cash flows and he's done it in 2023 they generated $ 3.36 billion of free cash flow with $2 billion of stock based comp so for the first time for a full year their cash flows exceeded their delution the story of a company growing revenues while growing margins and becoming Gap profitable is a great story for investors pushing the stock price up nearly 40% this year in number seven we have a company that I'm very interested in it's Applied Materials the stock is already up 36% year-to date and it still trades at a decent free cash flow yield and PE ratio so I wouldn't be surprised if this one continues to climb and then in number eight we have tapestry which is up around 30% year-to date this one's a bit surprising but when you look into it it makes sense and it may look like this company is just growing and growing but in reality it's basically been flat for the past year even zooming out 5 years the stock is really cyclical it has booms of demand then it has time periods where it has lower demand so so I don't believe this one is a reliable grower I think it's just going through a good period and then in number nine of the best performing stocks this year we have netx we've already talked about it but it's up around 33% this year off to a really good start number 10 the last one we're going to be looking at is Juniper Network now this one's another one where it's a special situation you can see that the stock had a dramatic and sudden rise year-to date the stock went up dramatically on the 9th of January because there was talks of helip Packard buying Juniper Network so they're going to be acquired when they're acquired they're acquired at a premium which means the stock price goes up for the company that's being acquired so that's what happened in this case under normal circumstances this would not be a top performer so that's the top performing we have the pharmaceutical company with their new drugs for weight loss we have Nvidia we have AMD the semiconductor companies with the AI Trend we have meta which is just killing it we have Netflix and we have Applied Materials these type of stocks are doing really good this year this is the type of thing that's working right now now let's go ahead and take a look at the type of stocks that are not working this year the ones that are really being sold off these are the 10 worst performing stocks in the index year-to dat and at the very top of the list is one that I have been very outspoken against this stock which is Paramount Paramount Global is down 30% year-to date a lot of investors bought Paramount because of the relatively low valuation it trades at a really low PE ratio so they bought it because of that reason and it's just been a disaster down 30% year-to date over the past year down 53% when I look at streaming services and I see the direction things are going it's just not with Legacy m it's not with cable TV assets people want streaming over the Internet ubiquitous on all of their devices the company that offers that the best is Netflix and Netflix's stock is up 99% paramounts is down 53% over the same time period And I see this is the problem with Paramount going forward it's just too subscale it's not able to make the jump to streaming effectively so Paramount's The Biggest Loser this year after already having a really difficult 2023 now the next closest loser number number two is another company that's in the same type of category Warner Brothers Discovery Warner Brothers Discovery likewise is down 30% year-to date and over the past year down 46% this is again another company that's in that situation of being subscale with streaming but having to use all of their legacy assets their cable TV assets their movie production assets and they're trying to make money that way so there's a lot of negative momentum here and the stock price is moving down dramatically in number three worst performing we have charter down 27% year-to date this stock is having a tough time for a couple reasons right here we can see the stock dropped around 16% in a single day that was because of their earnings report where they lost customers again it's easy to see where the trends are going it's going away from companies like Charter it's going to companies like Amazon Prime video Apple TV plus it's going to uh Disney plus it's going to Netflix it's not going into companies like Charter so as this secular trend's playing out in media you can see the winners and the losers the fourth worst performing holding in the S&P 500 is a company called Market access which is down 26% year to date they're a company that gives liquidity and they're a brokerage for bonds and as we had a report here that there's less bonds being issued the stock dropped dramatically so that explains their poor performance this year now number five we have ADM Archer Daniel Midland company which is down 26% this one is down for a pecul reason it's down because the the government is looking at their accounting practices and this is not what investors want to hear ADM accounting Scandal zeros in on nutrition unit that was key in boosting exec stock bonuses past 70 million it's just a terrible headline for a company you have apparently Executives that could be self-serving doing things with accounting to make it so they have bigger bonuses I haven't looked into the whole story but anytime you have this type of headline anytime this happens the stock is going to go down so it's down 27% % most of this was in the day that this news was announced now number six we have human which is down 24% year to date this is a health insurance company that's down because of poor guidance on their calls so they had a big drop after hours now number seven we have a ticker symbol here podd this is down 24% the company's called insulet Corporation and the name insulet is represented of the company providing insulin that's their product that they provide is insulin pumps the reason that the stock went down is because investors are now concerned that all these weight loss drugs where there they used to be insulin treatment will reduce the sales in this company so this company's primary product is being negatively impacted by all these big Pharma companies making these new weight loss drugs in number eight of the worst performing year-to date in the S&P 500 is Tesla Tesla's down currently 24% year-to date just today it's down 7.3% Tesla Shares are trading lower after the company reportedly saw decline in February China sales if we look at Tesla's stock price and the performance of it over the past couple of years it really peaked in 2020 that's when we got the first big peak from Tesla and it still has not risen to that level even three years later going on to year four now Tesla has still remained at that same level I think the company was dramatically overpriced in this territory it was just bid way too high and now it's starting to have the fundamentals catch up for it but there's still a question of how good the fundamentals will be in the future when people ask me why I don't invest in Tesla it's not just because of valuation when I look at Tesla and I compare it to companies like Amazon I just like Amazon more I think the robotic story is better with Amazon the automating warehouses the AI story The Cloud hosting there's so many businesses from Amazon that I like more than comparable companies like Tesla now in number nine of the worst performing companies in the S&P 500 this year we have Boeing Boeing has been a disaster for a long period of time it's down 20% year-to date over over the past one year it's down 5% so no gains in the past year in the past 5 years it's down 53% so you can zoom out further and further and further with this company bad returns almost any period of time when I look at the qualities and characteristics of a stock Boeing has almost all of the ones that I don't like to see the only one that you could say is a positive is they are a doopy they have a large market share but almost everything else is a negative for this company and on top of that you have a culture that seems to have a huge issue with safety first first we saw the mcast system we saw the disaster that was crashing two planes within a 6-month period killing 300 people in the process and now they have planes where the doors are falling off in the mid-flight doors are literally falling off the planes so there needs to be big changes with Boeing investigations employees that are changing Executives something needs to change with this company and then finally the 10th worst performing stock in the S&P 500 this year is a gold mining company that's just going through a cyclical low so so there isn't any specific reason this company's doing poorly it's just down 19% because they're not doing as well this year there's no big reason why so if we look at the worst performing stocks this year the top three of them are related to Legacy TV cable TV trying to make a transition to streaming then we have companies that are in accounting scandals we have Tesla which has had valuation issues for a long period of time we have Boeing which has had repeatedly bad news and we have a couple companies that are cyclical but overall luckily for the market the biggest companies in the market the nvidias the amds the companies like Microsoft are doing really well and since they make up such a large market cap they're pulling the indexes further and further into the green so you can thank big Tech and these big semiconductor companies for getting your portfolios in the green if you're invested in ETFs they're doing the heavy lifting I hope you thought this video was insightful if you want to see more content just make sure you subscribed

Channel: Joseph Carlson After Hours

Views: 69,218

Keywords: The Joseph Carlson Show, investing, stocks, stock market, dividends, portfolio update, m1 finance

Id: cReHKqtsN08

Length: 28min 57sec (1737 seconds)

Published: Mon Mar 04 2024