Jiří Filip Press Release: The past month has been one of uncertainty in the stock market, with stocks continuing to sell off, so we used to buy shares other growth companies. In the world they do to countries all the time problems of high energy prices, in some of them, for example in the USA, even housing is increasingly unaffordable for ordinary people. In addition, it was interesting to know that Michael Burry, who predicted the coming of the financial crisis in 2008, sold all his shares some time ago, so he seems to be expecting further falls in the stock markets. Probably the most important event of the last month, however, was meeting of central bankers in Jackson Hole, the markets were mainly waiting for Jerome Powell's statement. He announced that interest rates in the US will be at the current higher levels, or will increase even more if the situation requires it.
Interesting things also happened in the area of companies whose shares we already have in our portfolio. Company Apple introduced new iPhone models labeled 14 and 14 Pro. They still make up the majority of the company's sales. In addition, new watches and headphones were also introduced. Apple also plans to expand its advertising business. A big change for Amazon's operation could be the purchase of iRobot, which produces robotic vacuum cleaners. The third point of interest will again be from the field of technology companies, this time it will be Meta. It has announced that it is establishing a new division, New Monetization Experiences, whose task will be to bring paid versions of the Facebook, Instagram or Whatsapp applications. These should have new functions, which the company has not yet specified, however, it probably wants to diversify its income in this way, following the example of Twitter, for example.
This month we are in the investment portfolio added more shares of Alphabet, which is the parent company of Google. We opened the first position about two months ago. The current sales are mainly carried by riskier companies, among which you can definitely find a quality company without debt that generates a lot of cash with a great competitive advantage. And that's exactly the kind of company we think Alphabet is. The company is ridiculously cheap in terms of valuation, currently trading at around 20x annual earnings. A few months ago there was a 1:20 split on the shares, so the price per share is currently around $110, making it affordable for most investors' portfolios. Alphabet is currently making money mainly from advertising, but large technology companies have shown several times in the past that they look especially to the future, and this company is no different. Firm invests in many sectors, but the dominant investments are in the healthcare sector, where it focuses on wearable devices with an emphasis on health, database systems, artificial intelligence and its use in drug development or longevity.
For more detailed information on the above topics, see this month's video Share portfolio of Tomáš Vranka, which you can freely play here.
