Daniel Pronk

Zeta: An Undervalued AI-Driven Marketing Platform

"Zeta is an AI-powered marketing platform that helps large companies acquire and retain customers more efficiently by leveraging its massive proprietary data. The company has shown impressive growth with 26% revenue expansion, 46% EBIT growth, and has consistently beaten its guidance. Based on a DCF calculation using a projected $340 million free cash flow in 2028, the stock could compound by over 20% annually, reaching a fair value of $26.73 per share, which is about 35% above its current trading level. While I remain cautious and have yet to take a position, Zeta appears significantly undervalued given its strong growth trajectory."

The speaker outlines a bullish view on Zeta (ZETA), an AI-driven marketing platform. Using strong growth metrics and a DCF model projecting a 20% annual compound rate with a fair value 35% above current prices, the commentary highlights the company's undervaluation despite reservations about stock-based compensation and dilution.

Shift 4 Offers Attractive Valuation and Growth Potential

"Shift 4 is a one-stop shop that provides both software and hardware for payment processing, particularly in the hospitality and entertainment industries. With its recent $2.5 billion Global Blue acquisition, the company is positioning itself to capture a larger share of the global payments market. Their metrics are impressive with total transaction volume up 26% and revenue growing by nearly 29% year-over-year. If Shift 4 can hit its 2027 free cash flow guidance of $1 billion, the stock could compound by 42% annually, reaching an estimated fair value of $134 per share. I believe that, despite current debt concerns, Shift 4 is massively undervalued today."

The commentary on Shift 4 emphasizes its integrated software and payments platform, backed by a significant acquisition that expands its international footprint. With strong year-over-year growth and a compelling DCF suggesting 42% annual compound growth to a fair value of $134, the speaker finds Shift 4 undervalued despite its current high debt levels.

Undervalued CP Rail with Unique Cross-Border Advantage

"CP Rail is one of the two railroads that operate across Canada and is uniquely positioned with access to the United States and Mexico. Its network, extending from Canada all the way down into Mexico, offers a competitive edge that no other rail network can replicate. CP's revenue has been growing modestly while earnings per share have surged, and despite the stock having been flat for roughly four years, the fundamentals are improving. I think CP is looking slightly undervalued right now and is worth putting on your radar if it continues to get cheaper."

The speaker provides company-specific commentary on CP Rail (CP), highlighting its unique cross-border railroad network in North America, improving fundamentals, and potential undervaluation despite a flat stock price in recent years.

Bullish Trade Call on Brookfield Corporation (BN)

+0.26%current return

"The first stock that I want to discuss is Brookfields Corporation with the ticker symbol BN. Now, if you've been watching my channel for some time, then this is probably going to be absolutely no surprise to you because I talk about Brookfield a lot and it is the largest position in my portfolio. Even though the stock is selling right near all-time highs and up another 4% on the day, I still consider it undervalued. If they can meet their projections to grow cash flows by 25% annually over the next 5 years, then the stock could produce some pretty significant returns. That's why I continue to be invested in Brookfield and remain bullish on it heading into 2026."

The speaker outlines a bullish trade call on Brookfield Corporation (BN), emphasizing its physical asset base and long-term cash flow growth potential. Despite trading near all-time highs, the stock is viewed as undervalued given its expected 25% annual cash flow growth over the next 5 years.

Attractive Valuation Signals for Amazon

"Now, let's talk about how Amazon is being valued today. And personally, I like to use the price to operating cash flow ratio to value this business because it has been the most consistent and accurate one historically. And here we can see that Amazon is currently trading for 18.5 times operating cash flows and its long-term average all the way back to 2008 has been roughly 26. So after the correction at the end of 2022 when the valuation essentially reset itself, Amazon stock has actually been looking a lot more attractive from a valuation basis. Overall, I do think that Amazon stock is offering value today, but I don't think that it is a must buy right now."

The speaker highlights Amazon's attractive valuation by comparing its current 18.5x operating cash flow multiple with its long-term average of 26x. He notes that despite past underperformance, the stock now appears fairly valued and offers investment attractiveness, assuming continued decent growth over the next five years. This commentary signals a cautiously bullish outlook on Amazon.

Initiating a New Position in Meta as a Value Entry

+4.36%current return

"Meta is a stock that I owned in my portfolio a while ago, and while I exited my previous position with a great gain, I now see the risk-reward as pretty impressive when the stock is trading lower. After seeing it continue to fall below 600 per share, I've taken on a small initial position because I believe the accelerated revenue growth and the results from their capex investments are already starting to pay off. If the share price remains down, I'll continue to nibble on it and build a larger position over time."

The speaker explains his decision to initiate a new, small position in Meta, citing the stock's attractive valuation after a significant sell-off and strong underlying business performance driven by accelerated revenue growth and beneficial capex. He plans to add to his position if the price remains low.

Continued Buying in Brookfield Corporation Amid Long-Term Growth

+4.56%current return

"I already know it. But I am continuing to buy more Brookfields Corporation. I try to keep this position around 25% of my entire portfolio because I do believe that the stock is truly still offering value in the market today relative to what I think the business will produce in terms of cash flow in the future. If Brookfield Corporation can meet their 5-year projections, then the stock could still offer some pretty stellar returns going forward. In my DCF model, even with slight multiple compression, we get a 20% compounded annual growth rate and a fair value of roughly 68 per share, which is 56% above where the stock is currently trading."

The speaker explains his rationale for continually buying Brookfield Corporation, emphasizing its robust fundamentals and attractive cash flow projections. He highlights a 5-year DCF projection that implies a potential fair value of $68 per share, suggesting significant upside given the current trading levels.

Buying Opportunity in Marcato Libre

+6.44%current return

"Now, to put it simply, I do not know why Marcato Libre stock continues to sell off so much because the last quarter in my opinion was extremely good. The business is continuing to see the growth rates to its fundamentals accelerate. It just had a quarter where it posted 39% year-over-year revenue growth on a revenue base of over $20 billion a year. As Marcato Libre stock continues to fall, I have continued to consistently buy shares on the way down. I simply look at the value of the business and ask if I think the valuation is attractive and if it is then I will continue to buy."

The speaker highlights Marcato Libre's strong fundamental growth with 39% YoY revenue increase on a large revenue base, noting that despite a significant price correction, the underlying business remains robust. He expresses his conviction by consistently buying shares during the sell-off, seeing the current valuation as an attractive entry point.

Constellation Software as a Long-Term Compounder

"Yeah. So, we'll talk about percentages. Um, the best stock, it's best for a few reasons, but it's Constellation Software. It's a fantastic Canadian business. It's been a it's been an incredible compounder in the market. Absolutely has dominated the S&P 500. On my position right now, I am up roughly 100% over the past 3 years, which may not be as exciting as what you see on social media today, but part of the reason why I call it my best investment ever, is because I believe it is pretty much the ideal business. It has the most ridiculous metrics I've ever seen and it's just been a fantastic winner over the long term."

Daniel Prong highlights Constellation Software as his best investment, emphasizing its impressive compound growth, no dilution in share count, and strong management alignment. He notes that the stock has delivered roughly a 100% gain over the past 3 years, underscoring its appeal as an ideal, high-quality business.

Adding to Brookfield Corporation Amid Market Weakness

+2.34%current return

"But as I've already said, I did add to my Brookfield Corporation position today, and I could see myself continuing to add to this position over time if the share price remains weak. I'm probably just going to continue dollar cost averaging it now."

The speaker confirms that he added to his Brookfield Corporation position during a market sell-off and plans to continue buying if the stock remains weak. He emphasizes his long-term investment approach and reinforces his confidence in the company's fundamentals despite short-term volatility.

Company Commentary on Cororeweave's Red Flags

"I would be shocked if this stock over the next 5 years is still trading for $85 per share. I'm not a short seller. Every time I talk about a stock negatively, I get comments like, 'Well, then why don't you short it, Daniel?' I'm just telling you that the fundamentals of this business are terrible and it's massively overvalued. This company has a $43 billion valuation, is trading at 10 times sales despite losing money, and all around, this company screams red flags to me."

The speaker provides a comprehensive commentary on Cororeweave, highlighting severe concerns including its overvaluation, deteriorating profitability, heavy debt burden, and insider selling. Although not a direct trade call, the analysis implies significant downside risk for the stock.

Bullish Trade Call on Meta Based on Discounted Valuation

+1.67%current return

"Now to be clear, I do think that Meta's business deserves to sell for a discount to the other main hyperscalers because Amazon, Google, and Microsoft have much more diverse cash flows. Yet, Meta is trading at a significant discount, with a price to operating cash flow around 14.7. I ran a quick discounted cash flow calculation on Meta and over the next 5 years, if it grows its operating cash flows by about 12% annually while maintaining a multiple around 15, the fair value comes out to $773 per share, which is 26% above its current price. So I do think that Meta stock is looking quite interesting today."

The speaker presents a buy-oriented trade call on Meta, arguing that its current discount relative to peers and attractive operating cash flow growth potential make it a compelling investment. A DCF model suggests a 15% annual compound return, with a fair value of $773.

Short Trade Call on Palantir due to Overvaluation

+0.37%current return

"Now the last point that I want to address is that Michael Bur is shorting Palunteer and Nvidia despite him addressing Meta, Google and Amazon in his tweets. And the reason why I think Bur is shorting Palunteer and Nvidia and not a company like Meta which he actually named in his tweet is simply because Palunteer is trading for insane prices. Okay, it is still trading for 111 times sales and 241 times free cash flows. So, if it ever does come out that the hyperscalers are overstating their earnings, then it could cause a massive deflation to the overall hype and the artificial intelligence sector. I think Palantir is way more overvalued than Nvidia."

The speaker outlines an actionable short trade call on Palantir by emphasizing its extreme overvaluation relative to its sales and free cash flow metrics. He suggests that if the hype fades due to earnings corrections, Palantir stands to suffer the most.

Favor Brookfield Corporation Over Asset Management Peer

-5.15%final return

"I personally am not purchasing any BAM in my portfolio and I still do prefer to buy more BN at the current share prices today."

The speaker compares two related Brookfield entities, explicitly stating a preference for Brookfield Corporation (BN) over Brookfield Asset Management (BAM). He argues that BN offers superior growth potential and a more attractive valuation, making it his preferred pick despite solid results from BAM.

Shift for Payments: Intriguing Fundamentals But Hold Off for Now

"I have not yet taken a position in the business, but I do think that it is looking very interesting and its price today is looking very attractive. I'm not sold on the business yet. I'm not buying shares right now, but I do think the stock is looking extremely interesting, extremely undervalued, and I'd really just need to continue doing a little bit more research."

The speaker highlights the robust financial performance and attractive valuation of Shift for Payments, noting impressive growth figures and a strong operational model. However, due to lingering uncertainty about the company's competitive moat and long-term prospects, he is withholding from taking a position.

Avoid Buying Duolingo Amid Slowing Growth Momentum

+12.85%final return

"So then the ultimate question is am I buying Dualingo here? And the answer is no. And the reason is because I am not personally confident in this business's moat and potential to take a position in the stock and feel comfortable with it."

The speaker expresses a clear decision not to buy Duolingo due to concerns over decelerating growth—particularly in total bookings and revenue momentum—even though recent financial metrics remain strong. This caution stems from uncertainty about maintaining a long-term competitive moat.

Avoidance Stance on Palantir Due to Excessive Valuation

+8.74%current return

"Based on Palunteer's latest quarterly results, the stock is down 8% on the day, which I believe is due to the market pricing in far too much future growth. Even though their fundamentals are phenomenal, trading at 250 times free cash flow and with a free cash flow yield of only 0.4%, I am not buying into it because the risk-reward just isn't there. The valuation requires Palunteer to grow free cash flows at extraordinary rates just to break even with market returns, and that level of expectation is too risky for my investment strategy."

The speaker outlines his skepticism towards Palunteer despite its strong earnings. He argues that the stock's extremely high valuation and low free cash flow yield make the risk-reward unfavorable. As a result, he is choosing to avoid buying the stock given the heavy pricing on future growth.

Continued Buy Signal for Marcato Libre Based on Explosive Growth

-9.81%current return

"At the beginning of 2020, Marcato Libre was producing $2.5 billion in revenue. And now as of the most recent quarter, they're doing $26 billion of revenue, which means Marcato Libre has 10xed its revenue since 2025. Its revenue growth rates are accelerating, and the business is phenomenal. In my opinion, Marcato Libre is producing around $5.3 billion in trailing 12 months free cash flow, making its current market cap of $118 billion very fair at 22.2 times free cash flow potential. That's why I have continued to buy much more Marcato Libre in my own portfolio."

The speaker highlights Marcato Libre's strong revenue growth, improved free cash flow, and fair valuation multiples. Emphasizing a long-term growth story, he states that these fundamentals justify his decision to add to his position, making it a compelling buy for long-term investors.

Google Earnings: Strong Growth but High Valuation

"So for me, I am not buying Google stock up here as I do believe that it is over fair value today. Again, I do not think that it is like bubble territory or massively overvalued. I just don't think that it is necessarily the best buy in the market today."

The speaker highlights Google's robust revenue and AI momentum while cautioning that despite excellent earnings, its current valuation does not offer an attractive buying opportunity for value-focused investors.

Microsoft Earnings: Strong Performance but Overvalued

"I do think that, you know, the earnings report was incredible. This is a fantastic worldclass company, but I am someone who thinks that just because it may be one of the best businesses in the world, valuation still matters. And I do think that Microsoft, just in my opinion, is selling above fair value today."

While praising Microsoft's excellent earnings and growth in its cloud business, the speaker expresses concern over its high valuation, suggesting that it may be trading above a fair price for value investors.

Meta Stock: Long-Term Value Amid Short-Term Headwinds

"So for longerterm investors who believe in the capex spend and Mark Zuckerberg then Meta stock is looking quite interesting in my opinion. But for people who are more focused on the next year and short-term profits then it's pretty clear that you know their margins are going to be compressed."

The speaker argues that despite upcoming margin compression due to heavy capex and near-term profit headwinds, Meta presents an attractive long-term investment based on its growth metrics and valuation relative to historical averages.

Mediocre Outlook on PayPal Driven by Buyback Dependency

"So I do not think that PayPal share price is going to rally significantly because so much of its per share profit growth comes from buybacks. I think that PayPal, at least in my opinion, is looking like it's selling for fair value today. Overall, I also think that PayPal is not necessarily the highest quality business that I have ever seen in the market, and therefore I am just again not really interested in PayPal."

The speaker offers a tepid, cautionary view on PayPal, arguing that its earnings per share growth is heavily reliant on buybacks rather than organic improvement. He concludes that the stock, while fairly valued, lacks the quality to generate substantial upside.

Avoid Tesla Due to Overpriced Valuation and Speculative Future

+6.66%final return

"Tesla's valuation does not reflect the fundamentals of the business today and therefore investors are paying for a significant amount of Tesla's future growth and that is where the risk is. This ultimately means that for Tesla as an investment to work out from its price today, the future of the business has to go on to succeed massively. And in my opinion, that is where speculation really happens. So there's no way that I am interested in it. And um I'm definitely not looking to buy Tesla stock anytime soon."

The speaker expresses a strong negative view on Tesla, citing that its high valuation is unsupported by current fundamentals and relies excessively on speculative future growth. He clearly indicates that he is not interested in buying the stock.

Caution on Netflix Over High Multiples Despite Strong Earnings

"Let's now move on to Netflix stock because Netflix has been getting hit pretty hard in the market today. Their revenue grew 17% which was in line with guidance, but the operating margin was below expectation due to a Brazilian tax dispute. Despite strong earnings in revenue, margins and free cash flow, Netflix is trading at about 50 times cash flow. That high multiple makes the stock very expensive in my opinion and is the main reason I do not like buying it."

The speaker provides commentary on Netflix, noting that even though the company reported strong revenue growth and margin expansion, its high valuation at 50x free cash flow renders it expensive. He attributes the recent sell-off partly to a one-time tax expense and argues that the lofty multiples make Netflix a less attractive buy.

Buying Opportunity in Constellation Software at a Lower Multiple

"Constellation Software is in a very large correction right now. It s actually the largest correction the stock has ever been in and down roughly 30% from its all-time highs. I was waiting for a better opportunity. And I believe that a 22 multiple for a business that has such a great track record of growing 20% plus is very fair. I am happy to be a buyer of Constellation Software. Once again, that's my first time in 3 years buying this stock."

The speaker explains that Constellation Software, currently in its largest correction and trading at a 22x free cash flow multiple, now offers an attractive entry point. He highlights its consistent revenue and cash flow growth, alongside strong capital allocation and management incentives.

Aggressive Buying of Marcato Libre Amid Correction

-3.42%current return

"And the first stock that I want to discuss that I am actively buying is Marcato Libre. ... So, for all of those reasons, I have continued to buy more Marcato Libre. And I believe that this is actually the number one stock that I have continued to add to my portfolio over the past month. And as the stock has fallen, I have been getting more and more aggressive. If the stock does see any weakness after earnings, and I'm actually kind of expecting it to, then I will be looking to add to my position even more."

The speaker discusses his active buying of Marcato Libre, emphasizing that its current 20% correction, driven by competitive and political concerns, presents an attractive buying opportunity. He highlights the company s history of using lower free shipping thresholds to spur growth and deepening its competitive moat.