Medtronic Valuation

Medtronic PLC, the American medical device company based legally in Ireland is undervalued according to Wolfteam Ltd.

Medtronic's intrinsic value is 140 billion USD, compared to Medtronic's current market capitalization of 109.568 billion USD.

Medtronic's net profit margin is circa 15 % almost every calendar reported year in  the trailing 5 calendar years. Medtronic is very profitable as most medical companies are. Medtronic's product base caters to vital and long lasting medical conditions like heart problems, diabetes, gynecological, neurological issues etc. and Medtronic has a big moat around its products, hence its pricing power.

Medtronic is a research and development company, hence an innovation premium should be applied also.

Medtronic's dividend yield for the last trailing year was 3.33 % which is a significant cash flow income to investors. The dividend also insures a protection, cushion against adverse business conditions.

According to Wolfteam Ltd.'s projections and comparables estimates Medtronic is undervalued.

ServiceNow Valuation

ServiceNow Inc, the American cloud computing business processes company is undervalued. Not by much, though.

ServiceNow's intrinsic worth is 170 billion USD according to Wolfteam Ltd., which answers to Price/Sales ratio of 20 which is closer to the average of cloud computing companies' Price/Sales ratios. Lately the average Price/Sales ratio of cloud computing has fallen more to 15.

ServiceNow, however reports 4.49 % net profit margin for the calendar 2022. ServiceNow is profitable, that is, which is rare for cloud computing companies. ServiceNow is valuable also on the ground that for the last calendar year 2022 and last reported quarter revenue grew by 22.88 % and 22.72 %.

In short, ServiceNow's intrinsic worth is 170 billion USD compared to ServiceNow's current market capitalization of 118.09 billion USD.

Phillips 66 Valuation

Philips 66, the American multinational energy company is deeply undervalued according to Wolfteam Ltd.

Philips 66's main businesses are refining, chemical and retail assets.

At 169.99 billion USD revenue and net profit margin of 6.49 Philips 66 is both big and profitable upstream oil company, with a 3.72 % trailing annual dividend yield.

Philips 66's intrinsic value is 200 billion USD compared to Philips 66's current market capitalization of 50.38 billion USD, according to Wolfteam Ltd.'s projections and comparables estimate.

The Top 5 Technology Companies Are Overvalued

Apple is 40 % overvalued.

Microsoft is 45 % overvalued.

Alphabet is 15 % overvalued.

Amazon is 20 % overvalued.

Meta is 18 % overvalued.

According to Wolfteam Ltd.’s corporate view.

Automatic Data Processing Valuation

 

Automatic Data Processing Inc, the American provide of human resources data management and software is undervalued, according to Wolfteam Ltd.

Automatic Data Processing is essentially a cloud computing, Software as a Service company. Automatic Data Processing's revenue has grown by 9 % on average for the past five reported quarters and by 5 % on average for the last five reported calendar years. For the last reported five calendar reported years Automatic Data Processing reported a net profit margin of 17 %, which makes Automatic Data Processing a very profitable and well off company.

Automatic Data Processing's intrinsic value is 140 billion USD, according to Wolfteam Ltd.'s projections and estimates, compared with Automatic Data Processing's current market capitalization of 104.25 billion USD.

Bitcoin As A Commodity

The Securities and Exchange Commission has issued years ago a statement that it regards Bitcoin as a commodity.

According to Wolfteam Ltd.’s corporate view what the Securities and Exchange Commission meant was that Bitcoin is an energy commodity. Mining Bitcoin does consume huge amounts of energy.

Wolfteam Ltd.’s view is that Bitcoin is more a currency in the sense that it stores value, accounts for units and is a means of exchange or the characteristics of money. Bitcoin, Ethereum, Litecoin also function as good transfer of payment means.

What the Securities and Exchange Commission tried to do by more narrowly defining Bitcoin as a commodity is to find a way not to outlaw Bitcoin is Wolfteam Ltd.’s view. Since money printing or creation is only a prerogative of central banks.

But if Bitcoin is allowed to exist, this serves the greater good is Wolfteam Ltd.’s and my personal view.

Northrop Grumman Valuation

 

Northrop Grumman Corp, the American aerospace and defense technology manufacturing company is undervalued on possible flaring up of the Russia Ukraine conflict, a new China Taiwan conflict and possible increased military spending globally.

At 36.60 billion USD revenue, 13.38 net profit margin for the calendar 2022 year and average revenue year on year growth rate of 5 % for the last five reported quarters, Northrop Grumman's intrinsic worth is 95 billion USD, according to Wolfteam Ltd. compared with the current Northrop Grumman's market capitalization of 64.99 billion USD.

Both on projections, discounted cash flow analysis and comparables, Northrop Grumman is undervalued according to Wolfteam Ltd.

The world, unfortunately, is rearming itself. At least this is the tendency for the next decade, according to many analysts' forecasts. And Northrop Grumman would benefit a lot from the rearmament.

Domino's Pizza Valuation

Domino's Pizza Inc the multinational pizza chain, is slightly undervalued according to Wolfteam Ltd.

Domino's Pizza's intrinsic value is 15 billion USD compared to Domino's Pizza current market capitalization of 13.36 billion USD.

At 4.36 billion USD revenue, 5.83 % year on year yearly revenue growth and 11.71 percent net profit margin Domino's Pizza' is undervalued both on future growth projections and comparables analysis.

In the current political tumult we are in, people will be cost sensitive and will continue and even increase their pizza consumption.

Kellogg Valuation

 

Kellogg Inc, the multinational food manufacturing company, is undervalued, according to Wolfteam Ltd.

At 15.32 billion USD revenue, net profit margin of 6.27 % and 8.00 % year on year revenue growth rate for the calendar 2022, Kellogg's intrinsic value is 68 billion USD, far above Kellogg's current market capitalization of 20.97 billion USD.

In addition, Kellogg's revenue has grown with 8 % year on year for the last 5 reported quarters and Kellogg's trailing dividend yield is 3.88 %.

According to Wolfteam Ltd.'s projections and comparables evaluation, Kellogg's intrinsic value is 64 billion USD, Kellog is undervalued, that is.

Micron Technology Valuation

Micron Technology Inc, the American producer of computer memory and computer data storage is undervalued according to Wolfteam Ltd.

Micron technology has based its business around Artificial Intelligence or AI. Its memory and storage cards are all designed in view of processing Artificial Intelligence, AI.

Artificial Intelligence or AI is the current mega growth trend, which is likely to propel information technology for the next decade.

At 30.76 billion revenue and net profit of 8.69 billion USD on net profit margin of 28.24 Micron technology at a market capitalization of 69.76 billion USD  is deep into value investing territory, even as far as technology companies are concerned.

In the June 2023, second quarter of 2023 Micron Technology reported quarterly revenue of 3.75 billion USD on net profit margin of - 50.53 %. Micron Technology revenue in the second quarter of 2023 fell 56.58 % year on year. These results were not to Micron Technology's high standards. But Micron Technology first two calendar quarters have not been as strong of late.

And even at 3.75 billion USD quarterly revenue run rate Micron Technology has tremendous unlocked value.

Micron Technology's intrinsic value is 130 billion USD, according to Wolfteam Ltd.'s growth and risk projections and comparables multiples calculations.

MetLife Valuation

MetLife Inc, the life insurance company is undervalued according to Wolfteam Ltd.'s estimates and projections.

At 69.90 billion USD revenue and 2.54 billion USD net income for the calendar 2022, MetLife's intrinsic worth is 73 billion USD compared to MetLife's current market capitalization of 47.14 billion USD.

True, insurance companies report low net profit margins which in MetLife's case is 7 % on average for the last five calendar reported years. In the last rolling reported quarters MetLife's net profit margin fell to 3.5 %, hence there is a lot of unlocked value inherent in MetLife Inc.

 

However, both on intrinsic growth, risk, projections and comparables valuations basis MetLife is undervalued, according to Wolfteam Ltd.'s estimates.

MetLife's fixed income portfolio bring high cash streams income and should continue to do well in the future.

China Taiwan Tensions. Influence On Apple Stock Price

 

If China invades Taiwan, Apple Inc’s stock could crash by 70 % in the space of a month, according to Wolfteam Ltd.’s estimates and projections.

According to various news sources, more than 80 % of the CPU computer chips powering Macintosh computers and iPhones and iPads are produced by Hon Hai or Foxconn trade mark mainly in Taiwan and China.

All these CPU chips production processes are controlled and managed by the Taiwan based Hon Hai with trademark Foxconn. Most of Hon Hai’s management is based in Taiwan.

If China invades Taiwan, Macintosh iPads and iPhones computing chips production run from Taiwan will basically stop and the manufacturing of iPhones and Macintosh computers will basically cease off.

Some of the Hon Hai, Foxconn iPhones, iPads and Macintosh chips and parts production has been moved to predominantly India, but also Brazil and Vietnam.

But this is not enough. If China invades Taiwan, stopping the Macintosh, iPads and iPhones CPU computing chips production, Apple’s value could be very negatively affected.

Delta Air Lines Valuation

 

 

Delta Air Lines is undervalued according to Wolfteam Ltd.'s estimates.

Delta Air Lines' intrinsic value is 60 billion USD compared with Delta Air Lines' current market capitalization of 26.77 billion USD.

With Price/Sales and Price/Earnings ratios of 0.48 and 8.93 respectively Delta Air Lines is grossly undervalued.

The price of oil, the main input into Delta Air Lines' business is not prohibitively high and can be almost fully hedged out.

2 years of the coronavirus COVID-19 restrictions made people thirsty for travel and tourism is now close to its peak 2019. And tourism and travel will grow further as a recreational vehicle, which enhances well being and prolongs life expectancy.

In 2018 Delta Air Lines had a net profit margin of 8.86 while in 2022 the net profit margin was 2.61.

But in the last reported quarter Delta Air Lines' net profit margin was 11.73 which shows a return to profitability for Delta Air Lines. Delta Air Lines' newly found profitability will unlock the tremendous value inherent in Delta Air Lines currently is Wolfteam Ltd.'s corporate opinion, based on intrinsic analysis, asset base and multiples comparisons.

Other triggers could be a lower price of oil and peaceful,  recent resolution of the current geopolitical tensions.

USD Is Undervalued

The EUR/USD exchange rate should trade at 0.90 is Wolfteam Ltd.’s corporate opinion.

In the current geopolitical tumult and havoc it is highly surprising that the EUR/USD exchange rate has not gone below 1.00

What is more, the USA is obviously a safe heaven for assets,  which keep getting invested in US assets, predominantly treasuries and thus the USD appreciates.

Europe’s economy is not doing so well as the US economy. Germany, which is often considered the economic motor narrowly avoided recession by stagnating, that is recording 0.00 % growth.

All these factors go in favour of the United States Dollar, which could further appreciate according to Wolfteam Ltd.’s corporate view.

Palo Alto Networks Valuation

Palo Alto Networks Inc, the multinational cybersecurity company is undervalued according to Wolfteam Ltd.

Palo Alto Networks, the cybersecurity specialist's intrinsic value is 115 billion USD compared with Palo Alto Networks' current 71.78 billion USD market capitalization.

The world is swarming with data. Every company uses technology extensively and is in a way also a technology company. The safety of data, cybersecurity is of pivotal importance. And Palo Alto Networks is one of the global leaders in cybersecurity. Cybersecurity is the mega trend underlying all current technology waves like Artificial Intelligence, AI, videos, photographs, social media, etc.

For the last 5 reported years Palo Alto Networks grew its revenue by around 25 % year on year. The net profit margin remained slightly negative in this period. In the last five reported quarters, however, the profit margin of Palo Alto Networks turned positive being around 4 % on average.

 

This changes the valuation dynamics of Palo Alto Networks, the cyber security company. Palo Alto Networks, being part of the Infrastructure as a Service, the largest part of the cloud computing market, can strive for a market that is to be measured in 700 billion USD annual revenue in 7 years, according to many analysts.

Cybersecurity is vital not only for technology companies, but for most companies actually. Cybersecurity is a way to protect intellectual property, develop products and cooperate both in software design teams, but also in hardware design and production teams.

And Palo Alto Networks is at the cusp of cybersecurity innovation.

Palo Alto Networks is worth 120 billion USD, according to Wolfteam Ltd.'s projections and estimates.

Ford Motor Valuation

 

Ford Motor Co, the international automobile manufacturer, is undervalued.

According to Wolfteam Ltd.'s estimates Ford Motor's intrinsic worth is 100 billion USD compared with Ford Motor's current market capitalization of 47.91 billion USD.

At 158.06 billion USD revenue for 2022 Ford Motor is grossly undervalued. Ford Motor pays 5.01 % annual dividend yield. For the last five rolling quarters Ford Motor company achieved circa 3.00 % net profit margin. 

It is true that Ford Motor is lowly profitable, but at Price/Earnings ratio of 11.66, revenue growth of 16 % average for the last five rolling quarters, and Price/Sales ratio of 0.3 Ford Motor Co is grossly undervalued, according to Wolfteam Ltd.'s estimates based on comparables and intrinsic value growth and dividend projections.

When one looks at the valuation multiples electric vehicle manufacturers are trading at, Ford Motor Co looks immensely, ridiculously undervalued at Ford Motor Co's level of valuation multiples.

Oil, Gas And ESG

 

Oil and gas are undervalued on the all crushing trend towards ESG or ‘green’ investments.

As if there is a directive from far above for any free spare cash to flow into ESG, green investments, that is.

This saps investments bound to go into drilling for oil and natural gas.

And thus oil, gas are bound to remain undersupplied in the future.

Oil companies are forced to return cash via dividends, stock buybacks in the current ESG investing ‘all in’ climate.

Which drains from the natural productive capacity of oil wells and the subsequent natural gas production.

In short, oil, gas and oil and gas midsized and large companies are generally undervalued on the ESG trend, according to Wolfteam Ltd.’s projections and estimates.

Bitcoin ETF

 

A possible Bitcoin ETF will provide a boost to the cryptocurrencies ecosystem by increasing starkly both the demand for cryptocurrencies investments and the lawful legitimacy of cryptocurrencies public investments.

Bitcoin, crypto and blockchain are grossly undervalued on money transfers, investment alternatives, lessening USD global reserve currency status, blockchain disruption possibilities and the demand a Bitcoin ETF will create is Wolfteam Ltd.'s corporate view.

Gold has moved sideways in the last 3 years, which provides for crypto as an investment alternative.

The USD also has not found a clear trending direction in the last couple of years towards leading currencies.

The Brazil, Russian, India, China and South Africa, BRICs group is making a viable bid to displace the USD as the main global reserve currency with a possible BRIC's currency of its own.

Which again makes place for Bitcoin to make inroads as a global reserve currency.

The blockchian, via its built in ability to model chaos via the hashing tree algorithm, provides for further potential of Bitcoin, Ethereum, Ripple and cryptocurrencies in general to disrupt most know industries and industrial sectors.

Blockchain is basically Artificial Intelligence, AI applied, so blockchain is riding the AI revolution boom, possibly the greatest tidal wave of innovation after the internet in the words of both William, Bill Gates and Satya Nadella, Microsoft's current CEO.

All the factors above provide for undervaluation of crypto is Wolfteam Ltd.'s corporate view.

In addition, a Bitcoin ETF will streamline Bitcoin's investing process and the Bitcoin ETF could drag higher other cryptocurrencies' prices.

BlackRock Valuation

BlackRock Inc, the asset management company is overvalued by circa 20 % on overvalued stock and fixed income financial instruments.

According to Wolfteam Ltd.'s projections and estimates BlackRock's intrinsic value is 80 billion USD, compared with BlackRock's current market capitalisation of 100.07 billion USD.

Although BlackRock exhibited astoundingly high net profit margin of circa + 30 % in the last four quarters, in the same period the average growth rate of BlackRock's revenue was 9 %.

According to Wolfteam Ltd.'s corporate view, global stock markets and fixed income markets are overvalued. BlackRock is predominantly a fixed income asset manager. It is true, BlackRock's Exchange Traded Funds, ETFs business is growing strongly and partly substantiates BlackRock's lofty Price/Sales of of 5 ratio and partly high Price/Earnings ratio of 20, but if stock markets and fixed income markets crash significantly, BlackRock's revenue and profitability will decrease with them.

BlackRock has been trying to develop its private markets business, but the private equity and venture capital business lines are still minor compared to BlackRock's fixed income, Exchange Traded Funds, ETFs and stocks businesses.

In short, BlackRock's high profitability substantiates a lower 80 billion USD, than the current 100 billion USD market capitalization, according to Wolfteam Ltd.'s calculations.

Walt Disney Valuation

 

Walt Disney Inc. the mass media and entertainment conglomerate is undervalued, according to Wolfteam Ltd.'s corporate view. 

Walt Disney Inc, Walt Disney's intrinsic worth is 270 billion USD compared with Walt Disney's current 157.29 billion USD market capitalization.

Walt Disney has been growing revenue with 9 % year on year on average in the last 5 rolling quarters. In 2018 and 2019 Walt Disney reported net profit margins of around 20 % . The net profit margin fell to 3 % in the last couple of years.

The high profitability in the recent previous years, proves, however, that Walt Disney can be a very profitable company.

The market seems to extrapolate the most recent low and negative profit margins in the next 10 years. Wolfteam Ltd.'s view differs.

Wolfteam Ltd.'s opinion is that Walt Disney would soon recover its previous profitability under current or new, which will unlock great value.

The Wald Disney franchise value is just too great and will soon bear large profit fruits again.

Amazon, AWS Cloud Computing Strategy

Most of the inherent value in Amazon's market capitalization comes from cloud computing.

Cloud computing has the tendency to become modern day computing.

The US online merchandising business of Amazon is only mildly profitable, while Amazon’s international internet trading business is loss making.

So from here follows that most of the market capitalisation of Amazon comes from the cloud computing business which regularly reports net profit margin of above 20 %. 

Lately Amazon has become the number three global player in internet advertising, which also accrues huge value to Amazon.

Amazon’s AWS service offering is disrupting computing with 32 % market share in cloud computing and thus changes many other new businesses.

Amazon’s AWS tailor made strategy seems a viable ‘pay as you go’ service breakthrough, which will continue to create value for Amazon.

Amazon has to target more small and medium enterprises for which the pay as you go cloud computing models seems a neat fit.

All in all, Amazon with AWS cloud computing is on the cusp of innovation.

Many even mid-sized or large capitalization technology companies like Spotify, Snap Inc, the maker of Snaphat are using cloud computing, which shows cloud computing is really capable of executing large projects and complex tasks.

Amazon with 32 %, Microsoft with 19 % and Alphabet owner of Google Cloud with 10 % market share are the front-runners in cloud computing, together holding more than 60 % of the cloud computing market.

Amazon AWS advantage is that AWS is the first developed cloud computing suite offered on the market. In the words of Jeff Bezos  himself: 'we just put together some things, like API we were working on and had done and thus Amazon cloud was born'. Amazon's intuitive approach to cloud computing allowed the company to be close to AWS users and adapt its offering accordingly.

Amazon AWS' tailor made approach is resonating very well among customers who are really pleased by the ability to save on costs and scale quickly.

In short, Amazon AWS is the (cloud) computing leader to catch nowadays and with Amazon's brilliant cloud computing strategy up until now, this is easier said, than done.

Bitcoin Is Undervalued On Gold And USD

Bitcoin is undervalued on transfer payments and anonymity of transactions as it chips away from USD status as the global reserve currency.

Gold has moved sideways in the last three years and Bitcoin is a viable investment alternative.

Capital One Financial Valuation

Capital One Financial, the credit cards and automobile loans bank specialist is undervalued, according to Wolfteam Ltd.'s corporate view.

Capital One Financial's intrinsic worth is 93 billion USD in the long run.

Giving out credits, lending to credit card holders is a relatively high-risk banking business. But also high net profit margin business. Lending for automobile purchases stands also up on the banking risk ladder, below credit cards loans, however.

That said, both credit card lending and automobile purchases crediting are high profit margin business. That is, Capital One Financial's credit card and automobile lending two main business lines are very profitable and hence Capital One Financial regularly reports above 25 % net profit margin, both on quarterly and yearly basis.

Both on the future profit and business growth projections, Wolfteam Ltd.'s corporate view is that Capital One Financial is worth 93 billion USD, more than twice Capital One Financial's current market capitalization of circa 40 billion USD.

High-profit margin banking business are generally undervalued, even in the current almost crisis times.

The Stock Market Correction Could Soon Be Over

The current stock markets correction could soon be over.

The market seems accustomed to 5.50 % Federal Funds Rate.

There is just abundant liquidity in the market, which supports the stock market and all risky assets.

Before this liquidity is mopped up, Wolfteam Ltd.’s corporate view is that it will be difficult for US stock markets to fall more than 25 %.

A Federal Funds Rate above 7.00 % could start to change things, though.

Activision Blizzard Valuation

Activision Blizzard Inc is currently valued at approximately 71 billion USD on Nasdaq Stock Exchange.

In January 2022 Microsoft announced the acquisition of Activision Blizzard Inc for 68.7 billion USD to strengthen its electronic gaming franchise.

With a revenue of 7.53 billion USD for the calendar 2022, net profit of 1.51 billion USD and a Price/Earnings ratio of 33.08 Activision Blizzard Inc is undervalued on both the promise of gaming and the Metaverse.

According to Wolfteam Ltd.'s projections Activision Blizzard's intrinsic value is 140 billion USD or more than double the value for which Microsoft Inc is acquiring Activision Blizzard.

And almost double Activision Blizzard's current market capitalization.

The electronic gaming market is very large. Microsoft quotes that 3 billion people on the planet Earth are playing video games. The electronic gaming market is an oligopoly, so high net profit margin are on show.

What is more, the Metaverse holds huge promise, which for now has slowed down a bit.

Both the global gaming market and the Metaverse potential market size make Activision Blizzard undervalued, according to Wolfteam Ltd.'s corporate opinion.

Appreciating USD and Bitcoin

 

The appreciating USD does not necessarily mean Bitcoin, cryptocurrencies should go down.

The USD/Bitcoin negative correlation has been decreasing in absolute value lately.

Blockchain, money transfers, anonymity of transactions and geopolitical instability are some of the factors that could decouple Bitcoin and the USD.

Bitcoin, Cryptocurrencies As A Wall Street, Investment Banking Disruptor

 

2015 was a stellar year for Initial Coin Offerings, a way to offer cryptocurrency tokens to the public.

In 2015 the Securities And Exchange Commission effectively banned the Telegram, the Russian founded messenger application Initial Coin Offering.

This event in practice outlawed all other up and coming ICOs.

Initial Coin Offerings were for all intents and purposes a way to circumvent The Securities and Exchange Commission’s stringent Initial Public Offerings of securities regulations.

This in turn made Initial Coin Offerings a genuine disruptor of IPO’s, one of Wall Street investment banks’ most lucrative business.

The recent Ripple court decision, whereby Ripple is defined not to be a security, but a kind of token could change the above dynamics and bring Initial Coin Offerings back into vogue.

Which could upend one of Wall Street investment banks’ most profitable business lines, namely Initial Public Offerings or at least deprive Wall Street investment banks from a new lucrative revenue stream.

Time will tell. Wolfteam Ltd.’s view is that Bitcoin, cryptocurrencies will be allowed to endure.

Salesforce Valuation

Salesforce Inc's intrinsic worth is 155 billion USD compared to Salesforce Inc's market capitalization of circa 202 billion USD, according to Wolfteam Ltd.'s estimates.

Salesforce is arguably the world's number one client relationship management system. The Customer 360 suite and the Artificial Intelligence are the company's flagship products, the Customer 360 being a unified system for customer leads creation, marketing and sales management or client relationship management for short, CRM.

Salesforce's revenue grew on average by 21 % for the last five years with a 6.5 % net profit margin on average.

For the last four quarters, however, Salesforce revenue grew on average by 12.7 % and Salesforce exhibited a net profit margin of 1.1 % on average for the last four calendar quarters year on year. Such scant profitability and 11.28 % year on year revenue growth rate in the last reported quarter do not justify Salesforce's market capitalization of 202 billion USD .

At a Price/Earnings ratio of 545.05 Salesforce is overvalued, according to Wolfteam Ltd.'s calculations, which are based on growth and risk projections, but also on comparison multiples inside the Infrastructure as a Service, cloud computing services producing companies' multiples.

IBM Valuation. August 2023

 

IBM Inc is undervalued according to Wolfteam Ltd.'s estimates.

IBM bough RedHat, so IBM has an edge in open source and programming. IBM made several cloud computing related purchases and has a cloud computing market share of around 5 %. And cloud computing is today's and tomorrow's computing, according to many analysts, with 700 billion USD annual revenue market in 7 years.

IBM has significant market share in very quick growth information technology verticals like open source programming, cloud computing and artificial intelligence.

At 60 billion USD revenue and 10 % net profit margin on average for the last 5 calendar reported years, IBM at 128.72 billion USD market capitalization and 4.72 % annual dividend yield is grossly undervalued.

According to Wolfteam Ltd.'s estimates IBM's intrinsic worth is 350 billion USD.

In the last two calendar years IBM's revenue grew by 5 % on average.

Bitcoin, Crypto And Ripple

A US court decided that the Ripple cryptocurrency is not a security. Apparently Ripple is a cryptocurrency token.

This transforms the cryptocurrency world, at least temporarily, because it lessens the government supervision pressure on cryptocurrencies, which increases investment flows into crypto.

The new prospective investments make Bitcoin, Ripple and cryptocurrencies in general undervalued, according to Wolfteam Ltd.’s corporate view.

Blockchain will slowly transform our world and Bitcoin will take market share from the USD as a global reserve currency.

Warren Buffett Buys Homebuilder Stocks

In Q2, Berkshire opened stakes in D.R. Horton(DHI), Lennar (LEN) and NVR (NVR) worth a combined $814 million, its latest 13F filing on Monday showed.

Apparently Warren Buffett, as evidenced by his company Berkshire Hathaway’s purchases of homebuilder companies’ stocks for close to 1 billion USD, seems to think the US economy is doing relatively well.

Or in any case not so bad as the majority of Wall Street analysts think, given most of them until recently predicted mild, some deep economic recession.

One caveat from Warren Buffett’s homebuilder stocks buying is that the ‘Oracle of Omaha’ expects commodities prices to recover and rise. Simply because copper, tin, iron, steel, silver, gold even go into the building materials with which homes are made.

And people buy homes when they think the economy is doing OK, at least. This means the demand for oil is bigger than expected, which could translate into higher oil and natural gas prices, thank Street currently forecasts.

In support of the above, Berkshire Hathaway has invested months ago billions of USD in Japan’s five biggest commodities trading companies.

In short, Warren Buffett seems to think better of the US economy’s prospects than Wall Street research analysts.

Oil, Gold Stocks Are Undervalued. Value Stocks

 

Oil, Gold stocks are undervalued on geopolitical tensions and supply limitations for oil in Russia and mainly Saudi Arabia.

Exxom Mobil , Chevron, BP, Royal Dutch Shell, Total and most mid-sized companies are undervalued.

The ESG trend is suppressing oil production, but the ESG trend is slightly slowing, so oil producing companies can benefit by increasing oil drilling and respectively oil and natural gas production.

Even with high interest rates, gold miners are in general undervalued. There is excessive money created, geopolitical havoc and search for safety, safe harbor which benefits gold miners' stocks.

Oil and gold stocks are the current value stocks.

Bitcoin, Ripple, USD And Gold

After a US court deemed Ripple not to be a security, Bitcoin and most other cryptocurrencies seem undervalued.

Gold remains a viable alternative to crypto. USD is a sound investment on its own, moving generally inversely to Bitcoin, gold and cryptocurrencies.

This correlation has broken down since the beginning of 2023 and with slightly appreciating USD, Bitcoin and cryptocurrencies prices have increased.

According to Wolfteam Ltd.’s corporate view more and more new investment flows will flow into Bitcoin and cryptocurrencies with time and respectively Bitcoin’s price will increase.

Groupon Valuation

 

Groupon Inc is undervalued according to Wolfteam Ltd.'s corporate opinion.

Groupon Inc's intrinsic worth is 5 times its current market capitalization of circa 292.2 million USD.

The world needs good deals even if people have to group for that.

At almost 600 million USD annual revenue for 2022 Groupon Inc is simply grossly undervalued.

It is true that revenue is decreasing fast and losses are undermining capital, but still at 599.09 million USD revenue Groupon Inc's business is still viable and worth around 1.5 billion USD in the mid-term is Wolfteam Ltd.'s corporate view.