Welcome to The Alpha Report 👋

You only have to get rich once. Now is your time.

Major News Today:

• NVIDIA earnings loom.

• SMCI moons.

• How I make $30k/mo+

• I added my watchlist on the bottom!

• 30 year fixed mortgage falls to 6.98% from 7.10% yesterday.

• 10 year treasury bond yield falls slightly to 4.39% from 4.41% yesterday.

Million Dollar Lesson:

Stop waiting for the “perfect time” to invest.

There will always be recessions, crashes, or political turmoil.

The perfect time to invest was yesterday.

The second best time is right now.

SMCI Moons

• SMCI's appointment of BDO as its independent auditor greatly reduces Nasdaq delisting fears and restores investor confidence.

• BDO’s engagement follows detailed due diligence, indicating SMCI’s financials lack material misstatements severe enough for rejection. (this is good)

• This may be a great time to buy in since it is still down for the $118/share all time high.

• PEG ratio is under 1.

• PE ratio is around 8.

• Both are fundamental measures of the stock being ultra cheap.

• I like to buy when people are fearful.

• I plan to initiate a medium term play on this.

• See my watchlist below to see!

NVIDIA Earnings Loom

• Nvidia popped almost 5% today following bullish notes from Wall Street analysts citing strong chip demand ahead of earnings tomorrow.

• The stock has been volatile the past month.

• There was a recent report that came out stating their new flagship chip the “Blackwell” was overheating and may face delays.

• I do feel this is mostly noise and will not matter to the long term performance of the stock.

• NVDA has been on my watchlist and I plan to add shares, especially during high volatility times to get a better entry price.

• Forward PE is about 50, which is lofty, but the earnings growth is very solid.

• I feel the valuation is justified.

• I will also be using options to magnify my gains.

• See my watchlist below for more details!

• According to my intrinsic value calculator, NVDA is basically trading right around intrinsic value… BUT look at my assumptions.

• I assumed a 50% annual growth rate. This is possible, but it is going to be harder and harder as the company continues to grow. (law of large numbers)

Economic Calendar For Nov 18-22

Monday Nov 18th: 

Home builder confidence index (7am pst)

Tuesday Nov 19th: 

Housing starts (530am pst)

Walmart Earnings (before open)

Lowes Earnings (before open)

Wednesday Nov 20th: 

Target Earnings (before open)

Nio Earnings (before open)

TJ Max Earnings (before open)

Nvidia Earnings (after close)

Thursday Nov 21st:

Initial jobless claims (530am pst)

Intuit Earnings (after close)

Friday Nov 22nd: 

Consumer sentiment (7am pst)

Not a super heavy week on data, but it all matters!

Tip of The Day:

Rich mindset: Sacrifice today for a better tomorrow.

Poor mindset: Sacrifice tomorrow for comfort today.

Current Valuations:

• The S&P 500 (Ticker: VOO) is at a forward PE ratio of about 21.7 right now, we are a little lofty. (But not crazy expensive)

• The Nasdaq 100 (Ticker: QQQ) is at a forward PE of 26.21 right now, which is a tad lofty also, but faster growth is being priced in which justifies a higher PE.

• Interest rates are gravity on stocks. We are currently at 4.75% fed funds rate now. We are expected to be at 4 in a year. 1% is a decent cut and that will make a difference.

• Remember, if rates fall, yields on bonds will fall. That means stocks are the only game in town. BUT, if rates are say 5%, that competes with stocks and many people will go for the “guaranteed” 5% yield on the bond vs “risk” of stocks.

Brandons Watch List:

👇My Price Targets For End Of Year 2025👇

• QQQ - $530 (Currently $503)

• VOO - $580 (Currently $542)

•  IWM - $240 (Currently $230)

• SOXX - $240 (Currently $214)

• TSLA - $380 (Currently $346)

• NVDA - $190 (Currently $147)

• AAPL - $240 (Currently $228)

• PLTR - $60 (Currently $63)

• AMZN - $240 (Currently $204)

• GOOG - $195 (Currently $180)

👇My Favorite New Trades I Might Enter👇

• QQQ - DCA Shares - 3 year minimum hold duration

• VOO - DCA Shares - 3 year minimum hold duration

• SOXX - DCA Shares - 3 year minimum hold duration

• TSLA - DCA Shares - 5 year minimum hold duration

• PLTR - Buy Puts - 3 Month Duration - Strike Price $60

• GOOG - Sell Puts - 1 year duration - Strike $150

• NVDA - Buy shares on a dip and hold for 2+ yrs & sell 1 year puts at a strike of $130

• AMZN - Buy shares on a dip and hold for 2+ yrs

• SMCI - Buy calls - 5 month duration - $30 strike.

👇How My Trades Have Performed Since 2023👇

👇My Investing/Options Strategy👇

Doing this strategy below, I have made millions in the stock market & generate $30k/mo on average with options.

Current Value of My Trading Account:

• I think we are about 5-10% over valued as a whole, so if the market takes a dip, that’s 100% normal.

• So I consider the intrinsic value of my trading account to be somewhere around $800k, not $888,502

Final Comments:

• Nvidia is BIG for the market tomorrow. I will be eyeing earnings and guidance very closely along with Blackwell.

• SMCI is very cheap on a fundamental basis and may be a solid dip buy opportunity, but also has downside risk with the accounting issues.

• I see the market at 5-10% over valued. (a dip is ok and normal if it comes)

• Keep your emotions in check on pumps and dumps.

• Continue to DCA into quality stocks/ETFs at good prices.

• When you find undervalued companies, use options to magnify gains

👇Check Out My Links Below👇