S&P 500 is at All Time Highs.Here are 5 Undervalued Quality Stocks

$.SPX(.SPX)$ is at all time highs. Don’t chase hot stocks. Here are 5 undervalued quality stocks:

1. $Alphabet(GOOG)$

Monopoly in search trading at just 19 times forward earnings.

It has the fastest growing cloud and Youtube has the highest share of TV screen time. It’s free money now.

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2. $ulta beauty(ULTA)$

It’s the largest beauty retailer in the US.

The stock got depressed due to low guidance but it has largely recovered from it’s lows.

It bought back 25% of the company in the last 10 years despite increasing earnings 22% annually.

Trading at just 16 times earnings.

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3. $LVMH-Moet Hennessy Louis Vuitton(LVMUY)$

Louis Vuitton is the largest collection of the luxury brands in the world.

Luxury sales in the world declined this year for the first time since 2008.

This depressed the stock but the business so strong.

CEO is also buying the dip regularly.

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4. $Nu Holdings Ltd.(NU)$

It has recently become the largest bank in Brazil.

It grew revenues 128% in the last 5 years while decreasing cost to serve per customer every year.

It’s now depressed due to the regulatory headwinds in Brazil but Colombia and Mexico segments are growing super fast.

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5. $PDD Holdings Inc(PDD)$ In the last 5 years, $PDD grew revenue 60% annually.

- It has no debt.

- Operating margin is 26%.

- Taking market share from $Alibaba(BABA)$

It’s now trading at only 7 times free cash flow. It’s worth taking a shot.

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Source: https://x.com/thexcapitalist/status/1864762426970771694