2026 Portfolio Review: Protecting Your Wealth with Institutional Insights

Welcome everybody for our 2026 portfolio review. We're really excited to see you today, and I'm going to jump right into it. Let's get started. So today we're going to be talking about the 2026 portfolio review to position yourself to protect your wealth with our newest institutional-grade tool. Look, earnings are on us, and this is going to be the biggest data dump of the year in a market that's probably the riskiest we've seen in decades. It's time for you to use the best tools available to make sure that you protect your wealth and do the smart thing before the market is reacting to all this data. As usual, our disclosures and disclaimers. We are not investment advisors. We recommend you speak to somebody else for specific investment advice. We are a publishing firm only. We're here to make you smarter, not to give you advice. Meet your instructor. That's me. I've been doing this work for over 25 years, author of Modern Tools for Valuation. And I think a lot of experience, some of the leading experience in AI and machine learning and how to make that work in fundamental research. And I want to hear from you in the chat and the Q&A. Let us know if you're professional or retail. We like to know that. And then let us know where you're from. And if we have time at the end, I'll take a couple requests for some tickers to run through the system live for you guys to see. Now, let's be direct here from the start. If you own stocks now, what we're talking about today matters. It matters a lot. We're in a small but critical window right now. And if you don't act now, you're going to be reacting later after the Q4 earnings data hits the market. Today, I'm going to show you exactly why acting now matters. And I'm going to introduce you to something new that's going to change how you evaluate every stock in your portfolio. This is something our community has been requesting for months, maybe years. And it's finally here. So let's get to it. We're in an unusual time right now. The stock market is hitting record-breaking highs. The Dow crossed 49,000 for the first time ever, the strongest start to a year since 2003. There it is, 49,000 for the first time ever. Things are awesome. And we saw that right until just yesterday, the market had a little bit of a hiccup. That's a sign of things to come. So, with the S&P at a near all-time high, every financial news outlet, by the way, is screaming bullish. That's what they do. But what most investors don't realize is the market can hit all-time highs while the underlying fundamentals tell a completely different story. That's called an overheated market. The headlines can say everything is great, buy stocks, but when you dig into the actual data, the financial statements, the footnotes, the real earnings numbers, You find something very different. The gap between what the market says and what the data shows, that's where fortunes can be made or lost. In fact, more than 50% of consumers expecting higher stock prices over the next 12 months. That's one of the highest bullish readings in history. There's the chart going back to the mid-'80s. We are quite a bit higher. On the surface, this seems positive, but experienced investors know that this is actually a warning signal. When everyone is bullish, when the crowd is certain that stocks will go higher, that's often when the market is most vulnerable. One of Warren Buffett's most famous quotes— you guys probably all know this— be fearful when others are greedy and be greedy when others are fearful. I think that says it about as well as it can be said. If you don't think Mr. Buffett means it, just look at what he and his company have been doing. Berkshire Hathaway is sitting on $382 billion in cash, the most ever. That's enough to buy outright 477 of the 500 S&P 500 companies. In other words, that's a lot of money, folks. That's a lot of money to be on the sidelines. So why would one of the most disciplined investors in history be sitting on that much cash? Because he's selling stocks. In fact, Berkshire has been a net seller of stocks every single quarter for the last 3 years, the longest selling streak in the company's entire history. There it is. Gotta go back to 2002. Buffett is not an emotional investor. He doesn't panic sell. He's probably the most disciplined investor of all time. And he's waiting for better opportunities. One thing you have to keep in mind here is that institutional investors in general, they quit quietly. They don't go to the world and say, hey, by the way, I'm selling everything and you should too, so I get worse prices. No, they're quietly selling while prices are still high so they can maximize their gain. They got to keep it a secret. They tell everybody what they're doing, then everyone's going to follow that. They don't want people to know what they're doing. Buffett doesn't want you to know he's selling. He talks positively about the market all the time. Why? Because he wants the market to stay high while he sells. We're here to give you the same insights that drive those decisions, the truly smart money. And at New Constructs, we pride ourselves on being able to detect where the best buy and sell opportunities are in all markets. You don't even have to take our word for it. Proof is in performance. Our stock picking has beaten 16,000 buy-side professionals to claim the number one spot in multiple categories for 55 straight months on SumZero. SumZero is a buy-side only platform, only professional investors. We're not beating a bunch of people slinging pink sheets and penny stocks. These are the big guys. There it is, straight off the site. Number 1 for 55 straight months. The other thing to keep in mind here, look, is it's not just me, like, making stuff up. Our work has been vetted and validated by some of the most prestigious institutions in the world. Harvard Business School, MIT Sloan School of Management, Ernst Young, the Journal of Financial Economics. They've all published detailed papers proving the superiority of our data and the unique signal in our stock picks. It's hard to get better than that. But even better than papers being published and studies being done and statistics being run is live traded portfolios. Live traded portfolios and indices based on our research. For example, the Core Earnings Leaders Index, up 27% last year versus the S&P at 18%. It beat by 900 basis points, 9 percentage points. It did 50% better than the S&P 500. That's pretty good. Over 5 years, the index has beaten the S&P 500 by 39 percentage points. Also pretty good. There are other indices based on our data. Perhaps my favorite is this core earnings weighted S&P 500 index. I call this an enhanced index strategy, right? We let somebody else pick the stocks, but we weight them more intelligently. Now, here's an idea. Why don't we weight them based on core earnings? Why don't we weight stocks in this portfolio, in anyone's portfolio, but just take the S&P 500. Let's weight the stocks based on core fundamental driver, core earnings. See if that does better than market cap. Of course it does, right? The core earnings leaders, the core earnings weighted S&P 500 index beats the S&P by 25 percentage points. Over the last five years, then there's the very attractive stocks index, and we're going to go with some numbers later that show like how good our very attractive stocks are mimicking the and finding the best stocks in the market. But this is a very small and elite group of stocks, proven to be elite by the fact that over the last five years, the very attractive stocks index, which just holds all the stocks that get our very attractive. Rating, it beat the market by 36% over the last 5 years. So data matters, ratings matter. Remember, anyone can claim they have the best research tools for stock picking, and by the way, a lot of people do claim. However, we're the only ones that I know of that have the proof that our research beats the market. And today I'm going to show you how you can get our premium research at a much more accessible price point. We're in a very narrow window right now between record market highs and the full release of last year's full year and last quarter's financial data. The biggest data dump of the year is about to happen, and everything's about to change. These filings are rolling out soon. The press releases are happening now. The detailed 10-Ks and 10-Qs are A few days later, hundreds of thousands of pages of data full of complex accounting and legalese. Do you have time to read them? Here's what's critical to understand. Companies strategically separate what they announce from what they bury in the filings. These filings are 200 to 2,000 pages long, not because it's fun to have a long filing, but because they got stuff to hide. How many of you have ever seen an income statement? Balance sheet, cash flow, statement of equity. They all take about 1 page, and yet the average filing is over 200 pages. So, you know, just say the company description, risk factors, it's another 20 pages. Let's say 25 of what you need. By the way, when I started in this business, filings were around 25 pages long. Now 200. 175 pages of footnotes usually. Why is that? So they can hide stuff. What do they hide in the filings? If you've ever been on a conference call, an earnings conference call, you know it's about good news, growth stories, right? It's— I call it a commercial for selling stock. But here's what gets buried is the bad news and the hidden losses, emerging risks in the footnotes. That's where the truth lives. And off-balance sheet items, that's where they hide debt. Unusual income and charges. It's where they hide unusual gains and losses to manipulate earnings. Stock-based compensation, another huge item that they conveniently keep out of the numbers. I want you to also understand that this is not a new trend. Companies have been manipulating earnings for decades. I got 2 papers here that I pulled up. This first one, Lies, Damn Lies, and Managed Earnings. You couldn't find it for a while. It had been scrubbed from the internet. I just found it. This was a major Fortune article, by the way. You can't find it on Fortune. You can only find it at this link. And if you email us at support@newconstructs.com and ask for this link, I'll give it to you along with this one. And the titles of these papers say it all. But these were published papers that are difficult to find because guess what? Wall Street doesn't want you to know. This paper in particular by Carol Loomis, major Fortune article. I remember because I was on Wall Street at the time. I was like, oh yeah. She's making the case. This is great. And it was in one of, one of our Accounting 101 articles in the education section. And I remember I was just going through that the other day. I was like, oh yeah, I remember that paper. And I clicked on it and the link was bad. It was gone. Then I tried to search for it. Couldn't find it. Been removed. Recently reemerged. Very telling. Point is, you need to address these problems about fake earnings Before they hurt your portfolio. Based on experience, during each earnings season, we typically see 800+ stock rating changes. That's right. Out of the 3,400 stocks we cover, over 800 of them see ratings changes during earnings season, upgrades and downgrades. And you want to know about this because, like, for example, when we upgraded JD.com from neutral to attractive, In April of 2024, stock was up 38% in the next month. American Public Education, after we parsed its 10-Q, it was up 21% in the next month. Consol Energy, up 15% in the month after we parsed the new 10-Q and gave it an upgrade. So if you're not prepared for this earnings onslaught, this data dump, You're caught flat-footed. You'll be reacting after the market has already moved. But if you have the right tools and the right analysis, you can anticipate these changes. You can position yourself ahead of time. That's the real opportunity. And by the way, that's how the smart money does it. I was seeing— I saw on CNBC, they were talking about Davos, and a big money manager was talking about how there's been quiet quitting going on and how institutions don't announce that they're selling. Because again, that creates panic. Everybody sells that they can, then they end up having to sell at much lower prices if they can sell at all. So keep in mind, the media is going to be telling you one thing, the smart money is doing something else, and that's the way it's been since the beginning of time. So we're in the window right now where the press release is coming out, the detailed filings in the next few days. The market's not processed this data yet. Your chance to prepare before surprises has emerged now. Here's the fact that most investors don't know: all the net wealth created in the U.S. stock market since 1926, and all of it has been generated just by 3.44% of companies. Here's the study of A Global Research: 3% of companies generated all net wealth in the U.S. stock market since 1926. Pretty amazing. Great question, Timothy. We will be getting to that in a second. This 3% thing clarifies your job as an investor with brutal simplicity. You got one job: avoid the 97% and find the 3%. Now, it's not an easy job. And I think in new constructs, We're better positioned to help you do that than anybody else. To help you find the 3% and protect you from the 97%. That's exactly what our research and AI agent help you do. And it— if it isn't obvious by now, our AI is much different and superior to other AI tools out there. I do meetings, podcasts, interviews with the press all the time on this. And I can tell you, hand on heart, nobody has what we have. People are completely off base with what AI can do right now. And that's not much. It summarizes the internet. Everyone believes, oh, I'm just gonna pour the internet in my large language model. Poof. Figures it all out. I'm gonna pour filings into the large language model. Poof. It's gonna figure it out. No. Doesn't work that way. If it were that easy, everybody'd be doing it. It takes very deep subject matter expertise to get the data right for the machine to understand it, to provide real results. Therefore, what you get from other providers is built on inconsistent and incorrect data. It picks popular stocks just like everybody else. Popular does not equal attractive right now. General large language models are designed to summarize the internet. They are not designed to be financial truth engines. They scrape data from dozens of sources with different, inconsistent, conflicting, and most of all, incorrect methodologies. Let's take a look at the tech sector as an example. We asked 3 different AI tools, what are the best tech stocks for 2026? Here we go. From ChatGPT, there's their 10. Here's Perplexity. Here's Claude. What are the takeaways? First, none of the listed stocks get an attractive rating from New Constructs at the time of this presentation. Second, there's no fundamental research or solid data to back the suggestions. Third, they're all doing the same thing, looking at past performance and market cap. Keep in mind, our AI agent and stock picks are proven to outperform the market consistently. So we can confidently state we know how to determine whether a stock is truly attractive, a buy or not. We can confidently state that the answers from our AI agent and from our research are reliable because the same data that drives that research is what drives the outperformance of our index. However, we notice the free AI tools such as ChatGPT, Perplexity, or Claude tend to select stocks that are just popular, not based on real research. Big mega-cap stocks, often overvalued companies that have already experienced huge gains, and they're not attractive right now. It's old news. It's reporting on what's been reported. That's what AI does these days— reports on what's been reported. Telling you what is popular is not adding value. Popular is the easiest way to do anything. Just go with the popular, just follow what everyone else does. That's not how you gain an edge. Where most companies are going wrong with AI is they pay too little attention to the inputs. All the focus is on fancy outputs. Garbage in, garbage out. I know I've had direct conversations. We had a long, fruitful partnership with Google Cloud. And I tell you, compared to financial firms, the tech firms, they get that data matters. That's why Google paid us and built an AI based on our data to demonstrate The power of their technology when it was seeded with truly reliable data. So how do we build our AI? How do we build our system? You know what we started with? Clean, superior inputs. First and foremost, we spent 15, 20 years just building the system to get the data right and checking the data and building models and validating it. That's how you can have something that you know you can trust. We of course built that into an ontology. Ontology is just a fancy word for model. It's a big word. It means how you put meaning to things is what an ontology is. Obviously, having all this data isn't enough. You've got to be able to put the data together in a way that creates a valuable signal. But when you have clean data and a good ontology, good financial models, you've got real true insights. I like to think about it like this, right? And I do this in meetings with advisors all the time. Because a lot of advisors and institutional investors, they're afraid of AI. There's a lot of fearmongering out there. AI is going to take away, is going to change investing. They're right. And here's how it's going to happen. First, the machines learn how to do financial statements. Then the machines learn how to analyze footnotes. And then they can do advanced modeling to take advantage of this data, create signals and analytics. And then you get novel alpha. For example, core earnings. And that's what drives real AI. That's called Finsights. That's what ours is called by Google Cloud and New Constructs. I think this makes perfect sense. Machines are going to learn this stuff. We've taught a machine to do this stuff and it is driving alpha in the stock market right now. We're the first. We won't be the last. As I mentioned before, we spent 20 years of building a truth engine. Our proprietary RoboAnalyst technology was built for one purpose: to read financial filings like a forensic accountant at machine scale, at AI scale. We correct the distortions, we correct the misleading elements, we adjust for the off-balance sheet debt, the unusual gains and losses, we calculate true recurring cash flows. The result? We're converting that misleading GAAP number into a company's true economic reality. What's even better? Why do firms like Google Cloud and Harvard Business School and Goldman Sachs and biggest firms in the world, why do they work with us? Why do they write papers about our data? Because they can validate it. We're not a black box. If someone's a black box, they're hiding something. If their research is a black box, they're hiding something. Why can I say that? Because I know, because our research is good and I don't have to hide anything. I want you to see how much work we do. I want you to see how transparent you are, and I want you to challenge our competitors to be just as transparent. Here's an example of how transparent we are. We give our institutional clients— you boom, click on any 10-K and 10-Q in our system, or 20-F, or 6-F, or whatever filing there is that has the data in it, and we will take you straight to the page. Here we are, page 100, some charge buried in cost of revenue. Restructuring charges bearing cost of revenue. Bam, there it is. Pull it out, pull it out. But we show you exactly where all this stuff comes from. Number— the other thing to keep in mind is that we're 100% independent. I don't report to bankers. By the way, all the traditional Wall Street people, they report to bankers. We don't have investment banking conflicts, and it shows up in our ratings. It's a very different ratings landscape. And new constructs. Only 4% of all the stocks we cover get our very attractive rating. Notice that number is really close to that percentage of the elite stocks, 3%, that generate all the wealth. We're pretty close. In fact, it's even closer than that because it's 3.44% that generate all the wealth. And I think we're a little bit under 4%. We're like 3.8% or 3.9% that get a very attractive rating. Less than 13% of our stocks have an attractive rating. So if you want very attractive and attractive, that's 13%. But Wall Street, no. 96% of the stocks on Wall Street rates are buy or hold. There's no sells or very few sells out there. Why? Because the bankers are running the show. And how do bankers make money? By selling stock. So if you're an analyst that doesn't help bankers sell stock, you get fired, period. In other words, sell-side analysts' paychecks depend on you buying stocks. And sell-side firms and Wall Street analysts and Wall Street analyst firms, they don't make any money from research. It's a loss leader to help the bankers get better relationships with companies and sell stock. Recent data shows that 50% of Wall Street ratings are actually a buy. 50% compared to 13% for us. I think it's safe to say we're a little more discerning. Not surprising, our performance is also a lot better. So in this 20-year journey, and this foundation of audited superior data has led us to this moment. And you can trust our research because it's based on the same data that's proven to outperform the market over 1-year and 5-year time periods. Now, I want to tell you about something we've been working on that I'm genuinely excited about. For years, our research has been available and focused on institutional investors. They can pay big money. They've got a huge amount of scale with which to use it. Hedge funds, large asset managers, institutional managers, these guys were a no-brainer for what we do. And they're willing to pay $12,000+ a month for access to this. Then we made things more accessible with our flagship professional membership for advisors, high net worth advisors at $999 a month. But even that's been a bit out of reach for our individual investors. So we asked ourselves, what if we could make institutional-grade research accessible to individual investors at a price that makes sense to individuals. We figured you'd like that. Today, I'm excited to announce the answer. Portfolio Insights. It's a new membership designed specifically for serious investors who want institutional-grade research tools, but don't need every single feature that comes with our professional membership. Here's what you get. You get everything you get in the Stock Tracker 50. Which is AI-powered stock ratings on 3,300+ securities, advanced screening tools to find new opportunities, deep fundamental analysis and data for every security in your portfolio. You get to track up to 50 tickers with real-time alerts. You get full access to our learning library and educational resources, and you get fresh ratings updated with the latest earnings data. Go ahead and click on the link in the chat we provided to get access to Portfolio Insights. Now, I want you to know the comprehensive nature of our research entails countless pages of data and documentation, including information from balance sheets, income statements, cash flow statements, footnotes. Remember I showed you that picture? Here, here's— these are all pictures from our system. Footnotes and dozens of other disclosures. By understanding the true profitability and identifying the hidden risk, We can build a superior model to find the best stocks. That's how you do it. There's no fancy magic AI hocus-pocus black box. It's just doing the work that everybody knows that needs to be done better, faster, and cheaper. Our stock ratings are grounded in the verifiable numbers from the filings, not speculative narratives or biased analyst reports. This gives you a much more accurate picture of the company's sustainable profits. and helps us discover, discover stocks like Mind Technology, upgraded from neutral to attractive in April of last year after we parsed this 10-K, up 32% in one month. Alibaba upgraded from neutral to attractive after we parsed its 6-K, up 24% in the next month. We also help you avoid bad stocks such as Caesarstone, Downgraded from neutral to unattractive after we parsed this 10-K, down 24% in the next month. Voyager Therapeutic was down 22% in the month after we parsed this 10-K. You can use Portfolio Insights as your guide to give you unrivaled insights about the thousands of stocks in the U.S. market. And the great thing about Portfolio Insights that you're tracking these things, so, you know, When the stock looks good and you know when the stock looks bad to better inform both buy and sell decisions. Now, what would it cost for you to do this on your own? What do you think producing and maintaining this level of detailed research, what do you think that would set you back? We estimate would be millions of dollars. And our clients agree with this. Our institutional clients have said the same thing in meetings with me. David, you're saving me millions. This is amazing. The Portfolio Insights membership gives you access to a level of depth of financial research that's considered a goldmine to financial advisors and hedge fund managers. It consists of superior unbiased ratings on 10,000+ stocks, ETFs, and mutual funds. Details on quality of earnings, valuation, the numbers behind the ratings, comparisons to the key benchmarks. And you get portfolio tracking, right? This is the tool and it's going to update you every day and you'll get alerts for all the stocks you put in your portfolio. You get alerts every day. There's a change in a rating and an analyst note comes out. You will get alerts as to what's going on with your portfolio. When we think it's good, when we think it's bad, you get stock screening. With precision, screen the entire market for the best and the worst stocks in an instant. This is an incredibly powerful capability. Imagine someone's gone out and done the diligence in the footnotes across thousands of stocks, built models proven to generate alpha in the stock market, gives it to you all on one silver platter, and you can just click a button to sort all those by best to worst. You also get downloadable reports, which is 8 or 9 page PDF. With indices and details, analysis on adjustments and how those compare or trending. Income statement adjustments are going way up or way down. Balance sheet adjustments way up or way down. Valuation adjustments way up or way down. Things that institutional investors like to know. We go far beyond the competition with the quality of our research. You want to check the boxes about how we compare to other firms. It's not even close. Not even close. So with our portfolio insights, you can Invest your money with confidence, knowing that you have access to the most accurate research and ratings available. Maximize your profits, making informed decisions based on proven superior data. Leverage a new AI. Enjoy real due diligence and have the complete financial picture when you're making financial decisions for you or for your clients. Use this as a truth test for every ticker you own and protect your portfolio in 2026. Now, some of you who've been part of the community for a while might be wondering, how is Portfolio Insights different from your professional membership? There are similarities, but there are a few key differences. First of all, the Pro membership has the same fundamental research, the same high-powered ratings and screening tools. What's different is that with Insights, you get to track up to 50 tickers With Pro, it's unlimited. So 50 is a lot. You get a basic stock screener, so you're able to see the ratings. You don't get all the other details. You don't get the model portfolios. You don't get the danger zone along idea reports. You don't get credit ratings and you don't get earnings distortion scores. The model portfolios and the danger zone along ideas, those can be bought à la carte. You can get those when you want them. Credit ratings and earnings distortion scores, those are only available on Pro. But the key thing is you're getting all the good stuff. You're getting the same detailed research, fundamental analysis, stock ratings, and screening tools that drives our core earning system, which beat the market by 900 basis points in 2025. You're getting a more focused version designed for investors who want to avoid paying for features they don't necessarily need. So you're probably wondering, what's the price? of the Portfolio Insights membership. Here's what it would cost for you to build it on your own. When I said millions of dollars to do this on your own, I know because I've done the numbers, talked to clients, how they do it, right? How many people they'd have to hire, how much you have to pay them, and then how many hours it takes to go through a filing. It's not hard math. By the way, this $2.7 million just for one earnings season. Doesn't include the price of the technology you need to build the models and do all the kind of cool work that we do. This is just the labor cost to parse the filings. As I mentioned before, our institutional clients are paying us $12,000 a month for access to the institutional product. But you don't have to do that. We're not looking to sell you something at $12,000 a month or $5,000 a month or even $999 a month. As our pro members pay us. Better pricing. 1 year of Portfolio Insights membership and you get 1 month free. That's $5,489. That's a savings of $499 off the annual price. Now is the time to act. Market's at all-time highs, but fundamentals are deteriorating. The smart money is selling. There was a low-key broadcast A not-so-quiet quitting on CNBC today from the CEO of TCW, who made the point very early this morning, hey, institutions quit quietly. They don't tell you what they're doing, and it's going on right now. Why? Because they see what the rest of the market doesn't. We want to give you that same reality before it hits. And the best way to position yourself is before the rest of the market catches on. How about a couple testimonials from our clients? Along with your integrity, we appreciate your commitment to maintaining high standards and your courage for saying so. New Constructs remain at the top of my list of respected companies. I like that when people get to the heart of what it is we do. That's integrity. Joe, high net worth advisor. Simply and instantly, you can see how your stocks or funds are rated and where they are trading compared to economic book value. For someone with limited time to spend watching the stock market, this top-down view is incredibly useful. I highly endorse the new construct system as one must-have tool in any stock or fund selection system. I sincerely appreciate all the work that has gone into creating the new constructs. And the database going from marked-up footnotes and filings to reliable, easy-to-understand indicators of company performance is a huge undertaking. And you deserve my utmost respect. I find New Constructs information to be reliable, relevant, and trustworthy. Thank you. It provides me with concise insights into investment opportunities derived from meaningful metrics that I couldn't duplicate on my own. Guess what? Nobody can duplicate it. Otherwise, we wouldn't be outperforming the market by 900 basis points. So I want to share those testimonies because I want you to understand how much people trust us, because it's hard to find trust in the world today. You can see in the surveys and the studies, trust is in decline everywhere. Why? Because there's so much misinformation and there's so much exploitation. The media is really bad, right? That's a big trend, and it's been going on for a while, and I don't expect it to reverse. So, at New Constructs, we're not just here to help you be a better investor. We're here to give you a reliable port in the misinformation storm. Why? Not just because we're here to help you become more wealthy and protect your wealth, because we think it's important for you to know that there are people out there fighting for the good guys, fighting for doing things the right way. And that's part of why we believe so much in transparency. Trust, of course, right? But transparency. We want you to know how much work we're doing. We want you to challenge our competitors to show you the same level of transparency. And when we identify stocks, it's because we truly believe they're valuable. And that opinion is not just based on the way we model companies and our view of the world, but it's based on data that's been proven to be superior and to pick stocks better than the market. Not stocks that we are compensated to promote or rate as attractive for a paycheck. We do it for the right reasons, and we leverage technology to do it at scale, which is why this technology is revolutionary and going to change the market forever. This is your chance to get it all together. Let me tie it together for you. The market's very risky with extreme valuations built on fake and misleading numbers. 90% of stocks go down or nowhere. Your job is to find the 3%. You need a truth engine built on superior audible data to find the right stocks. And now, before the huge data dump, is the time you need it, not after the data is already out and the market has already reacted. This can be your competitive advantage. Individual investors usually have no such advantage. They don't have a research department. They don't have dedicated analysts. They don't have institutional tools to do all the work that's supposed to be done. With Portfolio Insights, you can change all that. You get access to institutional-grade research. Go ahead and click the link in the chat that we provided. And in the meantime, I'm going to do a live presentation on how this looks. On the website, and in the meantime, I'm going to take a look at some of the questions here. We had a bunch of stuff come in. How is new contracts analysis in the biotech universe? As good as anybody's. Like biotech, a wild guess for everybody, right? It's based on FDA decisions, which are now influenced by FDA lobbyists, and like historical financials are not reflective of future financials in any way. You know, what can I say? It's. hard to, for any model, predict anything about biotech. But what our models will show you is what the market is predicting for the company. So if the stock price is already implying that new cancer drug is going to hit, maybe it's already priced in. You don't want to be in it. The stock price is not implying things that you believe to be happening, then you may want to buy it. But that's, I think we do as well as can possibly be done with biotech. Does the tool do automated portfolio review? Yes, we're constantly updating the models and sending you alerts to make sure you have the best information. You'll see when the ratings change, when we change our opinion on whether or not we think it's attractive or unattractive. What do I do with the research? Do I buy a stock and hold it forever? You can look at stocks, indices, ETFs, mutual funds, look at all of them, rank them according to what you care most about. We care about our ratings. You can use other criteria. You can track them. You can use the information to do whatever you want. But understand that you will be the most informed investor around fundamentals as can be if you are able to access the new constructs. All right, let's do a demo. So here's the portfolio page for the Portfolio Insights membership. You can see you can add companies here. As many as you want, up to 50, and you're going to get the equity rating. You're going to get these details. You can sort and screen by who's got the highest ROIC and the lowest ROIC, or the highest gap and the lowest gap. And then you could also go in and get deeper details around the rating. So you're going to see all the elements of the rating, all the details here. You'll get links to our latest articles. Now, if you don't have access to the long and short ideas, these won't get you to the full report. They'll get you to a short summary. You also get the rating breakdown. This is super valuable. This is like access to a model on this company, a model that I would bet you would take, cost you, if you were to go out and hire someone to build like one model for this case, Apple, you want to get a professional to do it right? $25,000. To do it right, $25,000 minimum, just for one company. You want to get it updated every quarter, probably charge you another $5,000. every quarter. So that's what, $15,000, $40,000 a year? That's what it takes. So this will show you the— for each of the elements of the rating, you get to see the trends. So you can see how accounting earnings and economic earnings are looking here, right? You can see this is why you got a false positive. You got accounting earnings going up faster than economic earnings. And I think in this situation, the TTM and the 2025 The last fiscal year, it's the same number. So you can see how shares are going. We like to see shares going down. That's good. We see return on invested capital, return on tangible invested capital, pretty much the same thing for Apple. You also get tables, right, with the data so you can see how the actual numbers are panning out. So you can see, yeah, the TTM and the fiscal year stuff, it's the same. We also show ROIC, WACC, ROTIC, and then you got a 2-year average, 3-year average, 4-year average, 5-year average. Like we can, we got the great numbers. We can put them together in any way you want. You can break out return on capital into margins and capital turns. Right? So we see margins are still pretty good, but that big CapEx for AI weighing down the balance sheet. Some people aren't seeing free cash flow yield. We've got a 2-year average free cash flow yield, and we've also got a regular free cash flow. We show you both. We'll show you the actual free cash flow over the last few years. This is why Apple is considered one of the AI winners. 'Cause they got huge amounts of cash flow. Huge. $74 billion, $122 billion, $97 billion, $86, $87 billion, right? You see a pretty big tick down. I think Meta had a negative $30 billion in free cash flow. Doesn't bother Apple one bit. Apple can continue to spend on that AI race until Meta's out of money. Spend them into the ground. That's a very popular business strategy, if you haven't noticed. It's been a big part of the business strategy that is Consolidated power in the Mag Seven or the top four or five tech companies spend you into the ground or buy you, and so having a big cash flow is a big deal. And you can see we've got three-year averages and all kinds of cool numbers. Free cash flow from acquisitions, right? These are actually some of these are numbers that our institutional clients or metrics that they say, "Hey, will you create a metric for me?" Like course, I'm happy to do it. It's easy. We don't care what metric you use; we just want to make sure it's. powered by the best data. Free cash flow margin, that's just free cash flow divided by revenue. Free cash flow yield is free cash flow divided by enterprise value. Here's the price-to-economic book value ratio. Here's why you can see we're a little bit less positive on Apple, because look how expensive it is. Price is meaningfully diverging from economic book value, means a lot of growth is priced in. You can see how the economic book value has changed over time. It's actually Going down, come back up. But like the no-growth value of Apple, $78, that's just the value of the business. The cash flows stay the same forever. Forever, which is bullish in some way. Here's what the price is from the stock market. So you can see 3x current cash flows, plus more than 3 times the current cash flows is what's priced in. That's a lot, even for Apple. Right? Especially when they're growing at like single digits these days. They're lucky if they hit the low teens. And then a summary of the growth appreciation period analysis. This is our reverse discounted cash flow analysis, the best discounted cash flow modeling in the world by far at scale, not even close. In fact, I'm looking forward to working with some folks at a business school in the Chicago area just to talk about reverse DCF at scale. What stuff can do because it's super powerful. And we'll give you a summary of the reverse DCF model here. Super cool stuff. Another really important feature that you get with Portfolio Insights is the reconciliation. All the adjustments we're making. So you see net income, all the adjustments we get to arrive at net operating profit after tax. You can see NOPAT for Apple is actually higher than net income in 2025. 2024, 2023, 2022, and 2021. That's amazing. That doesn't happen very often. All the adjustments to the balance sheet, here they are. You start with unadjusted total assets and you get all the way down to invested capital. You can see average invested capital for Apple way lower than total assets. What's the biggest adjustment? Excess cash. Who else makes adjustments for excess cash? Nobody that I know of. Super important adjustment. Looking at Apple's return on capital without removing excess cash is penalizing them for how profitable they've been. They don't need the money they made in the past to make the money in the future. They got positive cash flow. They're making more of it. Pull that out. Understand the amount of assets at work to generate the profits today. That's the return on capital you're generating. And then all the valuation adjustments. You can see Apple's actually got quite a bit of debt. They were smart back when debt rates were super low. They took on some debt super cheap. It's 2 or 3%, probably less than that for these guys. They're probably getting better than a mortgage on 30-year stuff. And we know that people got mortgages at 2% or below. So Apple got some really super cheap debt. When you make a ton of money, who cares? Cheap form of capital. Why not? And not surprisingly, they don't have a lot of other adjustments. Apple's like one of the cleanest companies. of all time. Why? Anybody want to make a guess? Why is Apple one of the cleanest financial statements and filings that we see? Because they're so profitable. They got nothing to hide. They want you to see everything. Notice that people that are profitable or doing good work want to be transparent about what they do. Adjustments. This is a summary of just how adjustments are hitting over time. You can see that Apple is well below the adjustments, especially as a percent of market cap, you can see that their adjustments are pretty small except for excess cash, which is huge. All right, let's take a look at the screeners. So we've had a lot of people over the years want screening tools, right? And we're like, yeah, we can't give you all that data. So we said, listen, we're going to do a middle ground. We're going to give you access to the screener with the ratings only, not all that data, because that data, like, for institutions, I'm telling you, man, like, They're paying us a lot of money for this data. And these are like big, huge firms like Goldman Sachs Asset Management. And so we can't give that away because someone's going to— from Goldman Sachs is going to come in and log in and then just take it from the website, right? So what's more reasonable? We just give you the ratings only. And that's still pretty darn good. Right. So you can say, I want to exclude all suspended ratings. I want to know the best stocks in the financials or the healthcare sector. Let's go biotech. Go. There we go. One very attractive, the rest unattractive. We got 3 pages of this stuff, but in an instant you get answers across the entire market. Super powerful tool. You also get access to the ratings page. Type in a ticker for as many companies, companies as you want. So we can go in here and Type in whatever stock you want. You can do this 1,000 times a month. I don't care, as many times as you want. If you add it to your portfolio, you got one portfolio, it goes in there, then you can get the full details, including the report. This PDF report mentioned before, it's about 8 pages. You can see here all that stuff on the ratings details page. And then you get these appendices as well with tons of great data. Again, this product by itself is worth $25,000 per company to get this kind of detailed, reliable data. Yes, you can get data from a lot of other places. FinChat, FinTool, Fiscal AI, these, all these Fin stuff and LLMs, they're just going to give you the reported numbers. They don't care about the adjustments. They're not into the adjustments because most of their clients don't understand. It's not an institutional-grade product. Ours is. This is why this is a value add. You're going to get insights that matter here. Not just the same data that everyone else has. And then, of course, access to our educational library. This is huge because, like, whether it's accounting loopholes, 30 papers on all the accounting loopholes. You want to know how we do what we do and why? Here's an explanation. In particular, you can take a look at our excess cash analysis that we remove. We'll explain to you why we do that. You want to understand details around high-level corporate finance that you don't even get in business school sometimes? We'll give it to you. You want to see definitions of all of our metrics? There's a simple one. Why don't we do free cash flow or invested capital? We'll show you how we calculate invested capital. We'll give you formulas. We'll give you an example. We show you how we do things. It's being able to do it at scale and with integrity that matters. Methodologies, right? You want to know our stock rating methodology? Here's how the stock rating works and here's why. A FASB tracker. What's going on at FASB? What do I need to know? Company models, free trainings, Value Investing 2.0. Like all you need to know, all you need to understand, like how to really get smart about investing. We've got articles that explain it to you. How to use our reverse DCF model, how ROIC is important. And then there's also, of course, our blog, which has tons of great information. that you'll have access to as well. And if you want to pay up for some of the long ideas à la carte, you can do that as well. Okay. I think that pretty much covers everything here. Let's do some questions real fast. Common questions. As a first-time user, how can I confidently navigate and make the most of the tools inside Portfolio Insights? First of all, the site's pretty easy to use, and I think it's pretty straightforward. Type in a ticker, get an answer, save tickers off, screen for tickers, get education. We also have the ability to sign up for a demo or a meeting with one of our experts anytime on our homepage as well. So if you missed the meeting with me, you can get a demo any other time with one of our experts. How about another question? Are the attractive and very attractive stocks identified With the Portfolio Insights membership guaranteed to have a double or triple-digit gain in the next year? No, nothing is guaranteed. I wouldn't do that. It's illegal. It's dumb. I can't guarantee. I don't have a crystal ball. I do have an AI that does more work than anyone else. And in my experience, hard work is undefeated. Hard work is undefeated when it's done smart. No stock rating system can ever promise a specific return. While we are highly selective with which stocks we grant as attractive, we cannot guarantee the stock will explode in the near future. What will be covered during the members-only training session? Portfolio insights, mastery, live Q&A, anything you want. I'll take all questions as I always do. You guys got questions now, send them on over and I will take them. Otherwise, we are right at an hour and we are happy to close this baby down. All right. We will do as promised. Seeing some more questions come in here, but these are things I think we've already answered. But Kyle, we will do— let's do 2 requests for stocks based on what people have put in here. For first one would be SHW. All right. We will do it here. SHW, add it to, and then we will go look at the details. So Sherwin-Williams, oh, this one was really popular for a long time. We had a great analyst, I believe, who was a Sherwin-Williams guy and came over from there and was like a value investor guy, now started his own fund. Super smart, great guy. Yeah, every time I see Sherwin-Williams, I think of him. But yeah, good company, bad stock. So this was a great moneymaker, and this was a little value investor secret for a while. Guess what? The institutions got in early, retail came on. Now it's at a place where maybe people should think about selling. So expensive, it's unattractive. That's what I would say about Sherwin-Williams. All right, what's next, Kyle? Next one, ASML. We rarely have a meeting where people don't ask about a tech or semiconductor company. So good company, bad stock, same story. Yeah, I think you guys got to keep in mind, like, it's a real thing. Institutions are quiet. They're getting in without people knowing. They don't want you to know. Who here has ever heard of Regulation Fair Disclosure? Came about after the tech bubble. Raise your hand if you've heard of Regulation Fair Disclosure. This one is a great story. Regulation Fair Disclosure. Is a rule implemented by regulators in the stock market that Wall Street could not give its clients inside information. All material information regarding public companies had to be fully disclosed at the same time to everybody. They had to make a rule about that in 2000 because guess what? It was common practice For sell-side analysts to talk to a company, say, hey, you're my buddy, you're my top analyst, I love you, you're great. By the way, next quarter we're going to beat the number by a nickel. I love you. Bye. And then the sell-side guy picks up the phone and calls all of his institutional investors and lets them know about it. That was common practice. Legal. That's how people did business. That was legal in 2000. We just created a rule for that recently. So that's how Wall Street works, my friends. Thank you, everybody. We appreciate you being with us and we look forward to seeing you next time. Thank you.