Stop Overthinking Stock Screeners

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1:42They've got thousands of templates so you don't need to know how to code or design. Just point, click, and your storefront looks professional from day one. Once customers start finding you, Shopify's checkout saves their info so they can buy with one click. and when you hit a wall their built-in ai assistant sidekick has answers on the spot no waiting no digging all you need is the idea shopify handles the rest if you're serious about hearing your first start your free trial at shopify.com slash beginners today you heard that right start your free trial today at shopify.com slash beginners that's shopify.com slash beginners today we're going to do something a little bit different we're going to be pulling up a stock screener and we're going to walk through the companies that show up in the stock screener and this isn't like a slam dunk this isn't we're trying to pump these companies by any stretch of the imagination i don't even know what companies are on it it's more about we just want to practice how we think and how we communicate and how we how we go about evaluating these companies because you always have to remember the screener isn't the answer it's the starting So buckle up.

2:51It's going to be fun. Here we go. You're tuned in to the Investing for Beginners podcast. Investing for Beginners podcast. The show for the long-term investor. We cut through the noise to focus on what works. Compounding, discipline, and the conviction to buy wonderful businesses and stick with them. Your path to financial freedom. Start now. And welcome back to the Investing for Beginners podcast. My name is Stephen Morris, and across from me is the incredibly handsome Andrew Saylor. Today, Andrew and I are going to do, like I said, a little something a little different. We're going to pull up a stock screener, and we're just going to start kind of walking through the companies that show up in the stock screener.

3:39And for full transparency, I have no idea what companies are going to show up. So there is absolutely no prep on my part. or Andrew's because I don't even think he's ran it yet. But we're just trying to, you know, give an example of what the process looks like from the very, very, very beginning when we start to look at companies. So I guess the first question, Andrew, is how did you build this screen or what is it screening for and what tools did you use? Yes. So I used fiscal.ai. We've talked about them a bunch. They've been great partners of ours. And what I was looking for is like the type of metrics you and I talk about all the time and trying to find companies that score well in many of these metrics.

4:28So I looked at long-term revenue growth of at least 6 % a year. Stock-based compensation to revenue, that metric we hate, needs to be below 10%. This one is like an Andrewism and too bad. It's my screen, so we're going to put an Andrewism in there. Um, cash from financing needs to be negative, which means that they are not diluting. They're not their capital. They're returning capital instead of raising capital. Um, well, there's a lot of them, but for P less than 20, so it's got, it's going to be cheap. Uh, net that's EBITDA below 3.5. So it's a strong balance sheet return on invested capital ROIC of 15 % or greater, meaning that this company is good and efficient at making its profits.

5:16And then I don't know why I threw this one in here, but here it is. Revenue five-year CAGR of 6 % or higher. So not only have they shown a long-term track record of growing 6 % a year or more, but also in the more recent term, which I guess would be since 2021, they should have also grown revenue by 6 % or higher. A couple of last rules, no biotech because that place is cray-cray. And no China, no hate. It's just they aren't the friendliest to American investors. so no china no biotech fantastic let's run and see what it comes comes up with all right so we have 43 names not going to go through all of them just going to go through some that could be interesting so the first one i saw was yelp ticker y-e-l-p have you used this service before i have not but i've seen plenty of videos like of the the karen's like i'm going to leave you a Yelp review.

6:16That's literally all I know they do. So I'm sure they do more than just business reviews though. Right. Yeah. I mean, so fiscal is great also because they can give you a very quick deep dive without the deep dive. So one of the things that Yelp has been working on is AI powered chatbot called Yelp Assistant. And so that's supposed to kind of be the next level to what we've always seen as business reviews something i found interesting their gross margins are 90 percent um what what do you think like how would you without without us like really knowing much about the business model but in your mind of what you know about yelp how would you determine whether it has a moat or not uh what i just did and that is google it all right i like it um so just off a quick a google search i i instantly learned that yelp isn't just a restaurant reviews or things like that um it looks like they're they're real business models and local app local advertising and lead generation um so the they're basically a marketplace for for companies to get attention um businesses can pay them uh to show up uh higher on their their list i guess um and of course that will have all of their inform all the businesses information all that stuff um so initial gut reaction on that is solid um i have no problem with that at all um i know from a consumer standpoint before i became an entrepreneur and i i was straight consumer i would have felt like that was kind of greasy um like buying to show it at the top of a search um however like that's how you know you gotta gotta remember these businesses survive off of getting your money um they have to make money otherwise they go out of business And so, you know, they have to be creative in how they do that.

8:31So from a service standpoint, just off a quick Google search, I'd say solid.

8:41Yeah, I saw their shares outstanding are down four to five percent annually for like the last since 2021. So that's they're buying back tons of shares, which is great because that's like a free return. right a stock hasn't done fantastically but this is definitely one of those like man if they rebound because price earnings of 12 uh forward price earnings of seven so this doesn't take a lot of hard math to know like if that price earnings ever gets back to a normal level you have a multi-bagger um i just i get nervous about are people still using yelp or only like a group of Karens who still use it I don't I mean that's a solid question because I feel like Google has probably encroached heavily on their market share nowadays so I don't know if that would be the reason they're down so much trying to trying to find it but nothing's popping right off the screen at me in the moment but i would definitely say like logically speaking that's probably the the the main reason that they would be struggling right now anyway yeah from the stock perspective for sure i didn't know this uh on being on google maps the other day I was driving with my daughter and they popped up like a craft a new craft store on my google maps as I was driving like it just kind of popped up and then um that seems innovative yeah I mean right now they're they're trading at 25 45 25 dollars 45 cents a share their all-time high was 101 dollars a share so they have and that was back in 2014 14 so they've come they've dropped a long way i don't know man the this one without a really extensive research i'd probably i'd probably pass i i almost it sounds like i'm saying this because you said that but i almost just want to like dive into this and figure it out so i might put this one on my list okay not not to strictly spite you but um we'll move on no it's probably gonna happen to you it's probably gonna be like you're gonna come back and be like this is great and i'm like it's all you buddy and then you're gonna it's gonna be your uh casey's and i'm just gonna sit here and watch you make money off something i passed on i'm down for that let's go um two two other names that maybe consumers would be decently familiar with lending tree or pilgrim's pride corporation a chicken company or a loan company which one jumps out at you more well we just did it in the episode about uh banking so let's check out lending tree so like i guess that just shows why research is so important because again quick google search and i learned that lending tree is not a lender they're not a bank their lead gen and marketplace for financial products mortgages personal loans credit cards and insurance um so i guess just case in point why why you need to do research um i again never i have heard of lending tree but i did i've never used them i didn't know what they were um so that was the first thing that popped up on the google search um interesting time I would think for a company like this what do you see on like the financial side of it last three years revenue has really jumped they're growing at 25 % a year in revenue but over the longer term they've kind of struggled well struggled is relative but if you look at over a 10-year period they've grown revenues by 11 % a year and they've grown earnings per share by 20 % a year so growth is pretty strong over the long term the stock has been hammered though yeah I just saw that it was bad bro it's it's so bad so uh their all-time high was July 31st 2019 they're trading up$434 to share.

13:26They are currently$45. So that's, yeah, that's, I don't even know. That is painful. So let's see if we can figure out what happened real quick after 2019. Okay. So again, just real quick Google search. In 2019, Lendtree experienced a massive surge in market value. Obviously, I just talked about that all-time high,$434.94. That growth was driven by rapid sales, and it says specifically 45 % of that revenue came in the first quarter. um however in july of 19 they started uh hitting um really big legal disputes and subsidiary dividends is what it's saying i don't know what that necessarily means and then it's also saying that it's also gotten hit pretty hard by its competitors which I've never even heard of but compare cards quote wizard and value penguin are some of the names that lists as its competitors so I mean I don't know how hard they hit them specifically because I've never even heard of those companies but it looks like the legal the legal side is what really it was 40 million in dividend disputes in 2019.

15:08So that was what was, well, it looks like that's the key driver into their stock falling. Yeah, if I'm looking at their financials, so since 2019, one, two, three, four, four out of the six years, they've had a net loss rather than turning a profit. That's not going to be a good situation. That is not a good situation at all. so it looks like they lost a lot of those legal disputes or not it sounds like they lost a lot of those legal disputes so yeah 40 million in dividend disputes that's significant that is significant can I say something on the bright side? sure on the bright side they did a study that borrowers who choose the lowest interest rates could save an average of $62 ,500 over the life of a 30-year fixed rate mortgage.

16:08So it's weird because I actually saw this on Instagram. I didn't realize it was them who posted this. But the argument was that people who are more well-off actually are more likely to not save as much on a mortgage because they don't think to like rate shop, like shop for their interest rate because they assume that, oh, I have a great credit score. So whatever rate I'm getting, there's going to be a great rate. And so that's, the study is saying that if you actually shopped and then looked at multiple interest rates rather than just taking the first one you got, you could save, or people do save an average of$62 ,500.

16:53Wow. Not bad. that's not bad and yeah it's definitely lawsuits andrew i just found another one they got in 2022 uh for a 2020 2021 data breach um wow and they were found to be the key contributor or no i'm sorry they weren't they were alleged to be the key contributor to that data breach and so um i don't know how many people were affected but the when you look at their chart you definitely can see that um the you know 20 like i said the 2021 starts to dip and then they start to climb again and i'm sorry 2019 they it starts to dip they start to climb again and then after this uh data breach it just i think that was the final straw uh for investors and yeah looks like they abandoned them that makes me sad yeah gotta do business the right way true is there anything you would have like let's say you came across something that made you optimistic about that company now knowing that that's their track record are there any special ways you would analyze a company like this um i would so the next thing i want to know is who their management is what their management track record is and what they're doing you know data breach like i get that anything can and will be hacked but at some point you know you can't you can't make yourself a target and that's what the article I quickly skimmed over that that was the the synopsis of it is LendingTree didn't do their due diligence to protect their customers and so you know obviously they're having financial disputes they're having data breach you know issues so all these things are avoidable um and i you know from a 30 000 foot view obviously management catches all the blame for all of this so i would say you know have they replaced is it the same management first thing i would look for um and if not the same management if it's the same management then no there's no trust in you now um if it's new management i want to know their track record i want to know who they've worked for in the past and can they turn this ship around um i think of all the turnaround stuff we've looked at they would probably have a strong argument for being able to turn turn the ship around but like warren buffett says you know turnarounds rarely turn around so didn't answer my question i don't remember what your question was I agree.

20:10Management is something to focus on there. Who's next? All right. So we have Brinker International, ticker E-A-T. Brinker International operates Chili's and Maggiano's. So they have almost 1 ,600 Chili's restaurants and around 54 for Maggiano's. and they have just launched the new bombshell mark beverage are you are you are you a fan i don't even know what that is no you're not you're not the mark guy no okay well what is that like a margarita oh no like i can't i honestly don't remember The last time I had a margarita.

21:06Have you heard of this new dirty soda thing that crumble cookie released? No. No. Apparently there's a soda that gives you diabetes, basically. It's a drink you can get and it has 192 grams of sugar in the drink. Holy crap. up so so for investors do you wonder if the the whole margarita of the month program that they've been talking about is is actually being you know kind of taken off here because we have revenue that's accelerating over the last three years revenue has grown by 10 percent a year which surprises me for like chilies i never think of chilies as like accelerating their revenue growth and their stocks actually tripled in the last five years yet they still trade at 18 pe with a 15 forward pe could be interesting i'm definitely curious um looking at their expanded chart um huge huge huge rocket ship growth like you said um i'm very curious i highly doubt it's because of margarita of the month um but yeah i'm definitely yeah definitely i i want to look into this one a little further and see what they got going on because especially with their pe being so low like that is that is interesting yeah and and this is a good point you know too because and i'm just gonna drop this in because we thought we've talked about it and this is a prime example of what we're talking about.

22:52And I know you can't see what we're looking at and stuff, but Andrew said the PE is 18, so the stock is fairly cheap. However, the stock is trading today at$181.31. The previous stocks we looked at were all trading under$50 a share. So, you know, you got to switch that mindset of the price being cheap. You know, the$50 a share stocks weren't cheap. They were expensive, especially in the risk that you would be assuming as to where this stock that's$181 could be very, very cheap, even though it's a higher price. If that makes any sort of sense, it's just a mindset shift that I especially had to go through when it came to investing.

23:46because when you think cheap, you think a lower dollar amount. So just throwing that out there because we've talked about it a lot.

23:56And actually the PE ratio I'm seeing is 16.5, Andrew. That's pretty good. And so the first step I would take if I was analyzing a restaurant stock, I have a couple in my portfolio because I want to look at same store sales. that is a restaurant KPI, comparable restaurant sales, same thing as same store sales. This number actually, my jaw almost hit the floor. So in the last five years, they've grown this comparable sales around 7%, 8 % a year, which is really good, especially if you look at McDonald's or some of the more matured restaurants, they're not growing nearly that fast, maybe 3%, 4%, 5%.

24:43It's kind of lumpy. And in the last year, they grew comparable sales by 25%. So don't count out the margaritas just yet because 25 % is a massive growth. And what that means, that's not them opening stores. That's them just selling more product or having more guests, whatever. probably a bit of both probably more pricing and more guests in their same store base so the revenue is probably much higher than that but that was I was shocked to see such a high comparable sales number yeah that's that's it's really interesting and you because you rarely see a restaurant especially one that's been around as long as Chili's has grow like this just seemingly out of nowhere yeah because this wasn't this wasn't um you know slow into you know up into the right it was like slow and then all of a sudden at the top like right it's it's pretty crazy and i don't think i've seen i mean we we talk about texas roadhouse a lot and that they they don't look like this at all so i'm very curious um maybe it's the margarita if it is i will eat my words happily on air and say that i was wrong but i highly highly doubt like i know alcohol sales are big but not not this kind of growth not man like they had to they've done something special that we're not seeing right now if i had to put money on it i would bet that's their tiktok account or something they had to have something go viral something like but i mean like does that make sense to you like they've been around for so long i remember their commercials when i was a kid like jillies and then they had terry cruz i want my baby back baby like right you remember that like they've been around for a hot minute like and just like i'm very curious this is definitely going to be a deep dive for me um maybe maybe maybe maybe an investment like because man 16.5 pe that's that's cheap yeah i'm i'm putting it on the list too so we've got some some homework to do after this episode definitely and who's who's the other company that's a part of this um magianos yeah never even heard of Maggiano's they're Italian okay was that is it I wonder if that was a new acquisition I'm sorry I'm sorry we can move on these are questions that I'm writing down that of things I need to find out sorry he's already started reading the 10k he's scrolling down to the risk factors slow down all right what's the next one we got all right i i feel like i'm gonna judge you for a second because i think you're gonna be a hater but yeah let me hate before you judge okay yeti holdings you know the big yeti coolers and the big yeti koozies what's your stance on yeti i freaking love my yetis man really okay what do you like about them um so i'm a i'm a big cold drink or hot drink kind of guy like obviously we've talked about how much i love coffee right and i love iced coffee as much as i love hot coffee but if it's hot i want it to be freaking hot and like just just past the point of like it actually puts blisters in my mouth hot like i love hot coffee or if it's cold i want it to stay freaking cold and I don't want the ice to melt and it become watered down.

28:48I absolutely like, I don't know why Yeti does different with like their tumblers and stuff, but like they literally, they aren't, it's no cap when they say they keep a drink cold for eight hours. Like they do like that. That is 100 % true. And I absolutely love it. Unfortunately for Yeti, my wife found another one. i can't remember the name of the brand but i like it more um just because it's more comfortable and it's not that stupid big yeti um that it's a little more ergonomical like as far as like hand feel and stuff goes and i know i'm like nerding out on on like drink well drink wear here um but it's funny because when she bought it for me the the company's initials are sm which are my initials and i thought she had it like monogrammed for me and i was like so i said oh you're like the sweetest woman in the world and she's like oh no that's just the company oh you suck totally but no um i love i love my yetis i use them on a regular basis um they do have a bad rap but you know it is what it is I enjoy I do not however have a Yeti cooler just have no need for it really anyway

30:16fascinating company ROIC over the last five years has averaged 37 % return on equity 29 % lots of cash and P.E. here from a trailing 25 by the forward 17. So how I read that is that they're expecting a big jump up in profits in the next 12 months. So it could be an interesting name to watch. Historically, it hasn't been great over the last, call it three, five years from a growth perspective. Not a ton of growth, a little bit of growth, but not a ton. But it could be an interesting name again because that ROIC is so high. It makes you wonder, are they just so efficient in the way they do marketing or the way they're manufacturing these products?

31:11For me personally, I think Yeti was one of the first companies where I can consciously remember a company advertising with an influencer. So I used to watch that YouTuber guy, You Betcha. And he would, uh, Yeti was one of his sponsors back in the day. And that was one of the first companies I remember seeing, uh, on an influence with an influencer and being like, Oh wow. Now, like I know about this company. Um, whereas previously I had never heard of them. And, and I love my, I mean, I have, um, little koozie, like you talk about koozie, but you got the flimsy koozies. this thing is like putting your drink in a rock it was great as we we put my picture on there from my wife's bachelorette party so i got my andrew yeti koozie and it keeps it it keeps whatever i got i got anything in there it keeps it cold cold right no it's interesting you definitely like when you zoom out and look at them uh from a price perspective you can definitely see like the rise to fame and then their their kind of cool down period which i think is pretty common for for companies like that to go quote unquote viral um because they took straight off um the you know ipo to just absolutely crazy crazy uh numbers in just two years it looks like um then they cooled off like andrew said and you know that looks like the past six months they've been on a you know trending upwards again um definitely not a no or a hard pass but you know definitely some more research i'm not near as curious into yeti as i am uh uh chilies but uh or i can't remember the name of the the holding what is it again it's brinker international yeah e-a-t eat yeah got it what a what a freaking brilliant tigger to eat like man that's amazing but um yeah so i'm definitely not as curious as i am for brinker international but it could be you know going forward a good not a good long-term investment definitely yeah i have my questions but it's definitely interesting right now um do we have time for one more uh yes we do um this is one i know we've talked about before but zoetis ticker yeah zts i don't know if you've done work on it or not i know you've talked about it you do yes so what's going on um zotus is a uh uh what's what's the word agriculture um animal health is their main source um they also do a little bit of animal insurance livestock insurance um type work and then they do some r &d research into crop retention as well with a really heavy focus on green.

34:37And I don't mean like green crop, but like green as in for the environment, for the human consuming green. So they are very well known in the farm circles. And if you've listened to me talk, you know, I come from, I grew up on a farm. so very well known in my family circles that they know who they are um have used them in the past um have had good experiences with the company um so yeah they're they're solid um uh i think one of the more interesting things about zotus when i was researching them was they are a fairly young company when it comes to like agriculture a lot of the the agriculture um the companies are like super super legacy and zotus has been around for a long time but not near as long as some of the other brands uh that my my family has used in the past um and so that's pretty cool um they like i said they they focus really heavy on the the health and green side of things that they they i guess saw that trend early and kind of jumped in it um their pe is uh 12 i don't know what you're saying andrew um but i'm telling you like they've been a a solid investment so far they've been hit a little bit um recently but uh for the past i think it's been about six months they've been an okay investment yeah it's super cool um roic of 25 is good and then 4p is lower than trailing p so looks like analysts do expect growth from here which is always a good thing yeah definitely and you know pharmaceuticals are such a hard place to play because one innovation um can can shoot the rocket ship straight up into the air and then once that trails off then you're left with you know you can't survive off that patent forever um you know not and not every pharmaceutical is an eli lily especially when it comes to the agriculture space so um i know if you like zoom way out on their chart it would be very concerning um i am not concerned at all this is just kind of the the way agriculture and pharmaceuticals type stuff works and so i'm happy with it like i said um i do watch them very closely um but like i said and some of the stuff that they talk about in their earnings call that they're working on um if they can if they can nail down some of the patents that they're trying to work on i definitely can see another big uh uh to the moon shot uh for them but again that's that's a risk because are they going to get the patent or one of their competitor is going to get it um so you just kind of you know do the do your research the best you can i definitely think they have a winning shot and uh we'll see that's awesome so last company um give you an option car gurus or booking holdings both what is booking holdings booking holdings has booking.com they also have priceline and rentalcars.com what was the first one car gurus let's do if you've ever yeah you've done car gurus okay so this one's interesting car gurus have you ever used them to buy a car before i have not okay i've kind of like it was one of my resources it's it's a pretty good like if you've ever gone on auto trailer kbb just it's a similar kind of story but it's interesting as a stock because again like some of the other companies we've mentioned today trailing p not too bad 23 before 4p of 14 so definitely expected to have a big growth this year however um in the last three years they've really seen growth come down a lot on their revenues so they've got i guess they must have had something weird happen because they had like one year with 1.6 billion now they're down 1 billion um but but over the long term the revenues are up and growing over time though it is a pretty bumpy ride um have you i guess have you invested in any like website place like a cargurus.com or something like that i do not own any dot coms i don't think i ever have um i would say the closest that i could get to that it would be spotify i don't know but but like a like booking.com or guru like no i've never never done that it definitely does look like a bumpy ride i'm curious as to why it's been so bumpy um because it is really bumpy there for a while um looks like it might i don't know I'm curious enough to want to research it a little bit just to figure out why, but I don't know.

40:35I don't know, Andrew. I'm not feeling it on car gurus. Maybe I picked badly. So one of the things you can do on fiscal is have the AI summarize the latest earnings call. And so I just did that real quickly while you were talking. They actually have a little bit of international exposure, which surprised me. I guess revenue is up 39 % internationally. So that's UK and Canada. For an ignorant US investor like me, that's something that always can kind of open your horizons a little bit when you're looking at stock. Revenue is up 15 % year-over-year for the quarter. And they're talking about, can you guess what topic?

41:16AI. So AI-driven workflow, AI-driven dealer workflow, internal AI implementation. man some of these earnings calls just sound the same regardless of what company you're listening to i mean i don't know because so their number one competitor i'm sure they'll mention in their 10k is probably like what carfox car yeah i mean i've i've used i've used carfax like kind of in conjunction with car gurus um there's the carvana is probably one because people people like that process kind of like skip the dealer still shop online but you You skip the whole dealer hassle. Oh, so this is a marketplace, not a research tool?

42:15Yeah. Well, you can use it for both. But yeah, it's a marketplace essentially. Okay. Yeah. Okay. Well, that kind of changes my perspective a little bit because if it's a marketplace, that's going to be super, super cyclical, right? Yeah. Especially in the high ticket items like ours. because as the jobs market goes up and down, as inflation goes up and down, as the Fed goes up and down, that's going to drastically impact their revenue. Yes.

42:57We all know YouTube is the greatest research tool, right? Saying that sarcastically. But I can't remember if it was CNBC or Wall Street Journal had a video about how just auto industry in general is tough because they have tough demographics obviously like age demographics and then just the fact that the younger generations not all of them are getting driver's license like like previous generations have which is an interesting thing that if that continues could be an interesting trend um so you have the whole population thing and then also a potential shift in consumer behavior and then like the risk of like tesla and some of the evs how does that play into when you know a more traditional used car market i wouldn't even go there um i would go e-bike and the one wheel and things like that that we're seeing more and more and like my county not my county my so i live in indianapolis but indianapolis like most cities is broken up into smaller cities so the actual city i live in is called fishers and fishers just passed the city ordinance mandating some some pretty strict rules on e-bikes and where when they can be on the sidewalk what kinds can be on the side because of like they're getting really fast now um and so even the state of indiana is starting to talk about making some of these e-bikes require registration and insurance and stuff like that because they're so fast that they can be on the road um not the interstate obviously but you know you know a normal city road so i think definitely when it comes to like city and stuff like that like we gotta you know for you and i when we grew up you know our driver's license was our ticket to freedom and now like you can be 12 years old and have that same experience just with an e-bike so i mean i think that for from my my perspective i think that's the big disruptor we really got to look out for or one of the big disruptors we got to look out for yeah have you ridden one before i have they are pretty cool they are pretty cool i think um along the themes of like cheap stocks with like numbers that look interesting i would look at the companies you mentioned check out an uber a lyft a doordash the numbers on there are pretty fascinating and um yeah i think it's interesting to see how that industry is playing out so you brought up doordash um uber not so much because uber's main thing is ride sharing i know they have uber eats but like doordash and grubhub where their main thing is like delivery uh i know a lot of a lot of places are starting to push back on companies like doordash because it's so expensive it cuts so deep into their pockets that they're just struggling to stay alive because of it.

46:28And so they've started doing things like creating their own apps because it's super easy to create your app now. And even a couple of local restaurant restaurant tours here in the city, they just went in together, shared the cost and share the responsibility of running it. I don't know how sustainable that is, but that's the route they've taken so that they could get rid of DoorDash. And that's the route they've gone. So, I mean, are you concerned with that at all? Hurting companies like DoorDash, or do you think that's just a phase and it'll go out? That's a good, I mean, good question.

47:15I hate to do a cop-out answer of just like, well, if it plays out in the financials, then that's how you know, right? that's not a good answer for just kind of any question around moat and things like that but i guess in my mind if if i was an investor who's interested in door dash i would really evaluate the moat and hopefully you've thought about what happens of new entrants into the market that sort of things like barriers to entry it can be such a big mental model to consider for any stock you're looking at because that any business can have new entrants right so what are the barriers to those new entrants and is the moat that doordash has today is that enough to thwart what you're talking about um unfortunately like if there's not a obvious company who's publicly traded and kind of growing and has financials that we can measure against, it becomes a little bit harder.

48:32But if you've done the work on a moat, hopefully you've thought about entrance. And I think that applies to every stock, not just DoorDash or any other stock. because what do we always say about competition and profits? High profits brings competition. And so we have to consider, does a stock have barriers to entry or not? And it doesn't need to be just a blanket statement, yes or no. Okay, there's no barriers to entry. I'm out, right? Banks have very low barriers to entry. Homebuilders have very low barriers to entry. That's okay as long as you're comfortable with how that company is different from competition um and so in the case of this that's that's where my mind would go of trying to try to answer that that's a hard question to answer i think it is and i mean i've always disliked doordash as a company because i learned very early like just how destructive they can be to to restaurants and restaurant restaurant tours um and i didn't like it so i very rarely have used doordash um but again i'm kind of as evan would say in a privileged position because i live downtown so it restaurants are literally just you know a 10 minute walk if i want to walk from my house.

50:00So it's super convenient. I don't have to deal with, you know, crazy traffic or long distances to get my food. I just, I've never liked their business model just for that reason, just because of how destructive it is to restaurants, especially the smaller mom and pop restaurants. Yeah, that's cool. So what's your takeaway from these different stocks we looked at running a screener, kind of seeing some ideas of what's out there today? Did anything jump out to you? Yeah. You know, don't judge a book by its cover, obviously. You know, there were there were some really cool surprises. You know, you said Chili's.

50:47I'm like, whatever. um and then you know because you know the very first thing i always do and i don't really talk about this but the very first thing i'll do is i'll go to my brokerage app and i will type in the the ticker and then i will zoom out to a year um and that that shows me the lifetime of the company unless they've been around or been publicly traded for 100 years it'll show me the lifetime of their of their stock price just at a quick glance so I can see like you know you're like talking about a bumpy road like you can see that instantly just by looking at the their price chart so that's the very first thing I did when you mentioned Chili's and I'm like holy crap dude like how and so instantly that got me curious so definitely you can't judge a book by its cover just because a stock looks down or a stock looks crazy or bumpy or because it's been around so long and it's kind of a legacy brand and you're like whatever they have no more growth left in them because you can't beat Terry Crews dancing and singing he wants his baby back you'll never be able to beat that so I mean you know their glory days are over but obviously not and I'm super curious that is going to be my workload tomorrow um getting out of all meetings i can uh to to so that i can spend my day trying to figure out what chili's is doing to just be incredible right now so i mean that's the number one takeaway just when we do these things we always need to be open-minded um i know that's kind of hypocritical to say because i was so bearish on doordash but I mean you just have to be really open-minded and be prepared to be wrong and willing to to to see what's right in front of you I guess yeah I mean I think that's so well said and something we can all learn from and improve on but I hope for the beginners out there if you're new to investing or you've never used a screener before always found them intimidating um like Andrew said he used physical AI super simple it's it's just you check boxes of some of the things you want so go back listen to the to the list he said and write that down and there there you go you just go into physical you you check those boxes you run your screen boom you got companies it's that easy and then you just sit here like we just did for the past hour go through them ask questions and be curious um and that is exactly how you use a screener that is exactly how you find amazing amazing amazing companies to invest in so um but yeah i think that's the the main lesson for a new investor it's super simple it's not i know it when you get into there it's like really overwhelming because especially on fiscal because i don't know how many they have I've never counted them is probably over 100 options of different metrics you can look at.

54:08You don't need hardly, you don't need even 10 % of those. You just need a few. And for each investor is different. I'm sure my list is completely different than Andrew's. And that's fine. You know, as you learn, you'll develop your own list. But it's not as intimidating as you think it is. I promise. It's super simple. So I hope that's the takeaway you've got. We are going to bounce. I had so much fun. I hope Andrew did too. Did you have fun, Andrew? This was a fun episode to do. I'm really hoping it's the margaritas because we will all collectively laugh at you. You doubted the margaritas. If it is the margaritas, I will do a full-length apology episode on why I am wrong and how I just completely botched that and was a skeptic.

54:59And I will do a 100 % pulling at least 30 minute long episode on me apologizing and just saying how stupid I am. Like 100%. I will take that challenge because it's not the freaking margaritas, man. But anyway, that's going to wrap it up. Thank you for joining us. I hope you guys had as much fun as we did going through this. We will see you next time. But in the meantime, never, ever, ever forget invest with a margin of safety emphasis on the safety. Peace.

55:35You've been listening to the Investing for Beginners podcast. All show notes can be found on our website at einvestingforbeginners.com To master the basics of stocks in seven days, sign up for our free email series at einvestingforbeginners.com slash newsletter. Until next time, Have a wonderful day. The information contained is for general information and educational purposes only. It is not intended as a substitute for legal, commercial, and or financial advice from a licensed professional. The hosts may own positions in the securities discussed. Review our full disclaimer at einvestingforbeginners.com.

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