1 00:00:00,120 --> 00:00:02,720 Google stock is unstoppable. It continues to just move 2 00:00:02,720 --> 00:00:05,040 upwards over and over again every single day. 3 00:00:05,320 --> 00:00:09,680 We've seen this before. We saw Google surpass Amazon in 4 00:00:09,680 --> 00:00:13,640 market cap bigger than Amazon. Then it beat out Microsoft, and 5 00:00:13,640 --> 00:00:17,360 then now, just as of yesterday, it beat out Apple. 6 00:00:17,640 --> 00:00:20,440 Google is now in second place, the second largest company by 7 00:00:20,440 --> 00:00:24,400 market cap in the world, and the only one left is NVIDIA. 8 00:00:24,520 --> 00:00:26,840 Google will eventually surpass NVIDIA in size. 9 00:00:26,920 --> 00:00:29,600 It's only a matter of time, and we'll be going over what has 10 00:00:29,600 --> 00:00:32,119 changed. Why is Google so successful? 11 00:00:32,119 --> 00:00:34,360 We now have the Wall Street Journal reports of how Google 12 00:00:34,360 --> 00:00:37,000 took the lead back, how they've caught up in virtually every 13 00:00:37,000 --> 00:00:40,320 aspect of their business, and now how they're racing ahead. 14 00:00:40,800 --> 00:00:44,240 Well, as someone with Google as my second largest position, my 15 00:00:44,240 --> 00:00:47,280 biggest gaining stock, nearly $100,000 in gains in just this 16 00:00:47,280 --> 00:00:50,440 one position, I have a lot of opinions on where Google stock 17 00:00:50,440 --> 00:00:53,280 stands now, what we should be doing with it in the future, and 18 00:00:53,280 --> 00:00:55,520 why Google's going to be the biggest company in the world. 19 00:00:55,920 --> 00:00:57,240 Now we also have some other news. 20 00:00:57,240 --> 00:01:00,760 We have news that Warner Brothers Discovery has rejected 21 00:01:00,880 --> 00:01:04,319 Paramount's offer yet again. This is like the 7th or 8th 22 00:01:04,360 --> 00:01:06,400 rejection. Now, Paramount at this point 23 00:01:06,400 --> 00:01:08,920 loves rejection. They keep submitting offers to 24 00:01:08,920 --> 00:01:11,240 buy Warner Brothers that continue to get rejected. 25 00:01:11,440 --> 00:01:12,600 We'll be looking at this latest one. 26 00:01:12,600 --> 00:01:14,680 And then we have a bunch of other news stories to get into. 27 00:01:14,840 --> 00:01:17,640 Brad Gerstner, for example, highlights his strategy going 28 00:01:17,640 --> 00:01:20,040 into 2026. We have a clip from Palmer 29 00:01:20,040 --> 00:01:22,960 Luckey from Andrel who gives one of the best takes that I've seen 30 00:01:23,160 --> 00:01:25,840 in response to a policy of President Trump who is 31 00:01:25,840 --> 00:01:28,720 restricting how much defense contractors can make, how much 32 00:01:28,720 --> 00:01:30,920 their CEO's can make. We also have President Trump 33 00:01:30,920 --> 00:01:32,760 threatening to crack down on Wall Street. 34 00:01:32,760 --> 00:01:35,520 This time it's cracking down on the different Wall Street 35 00:01:35,520 --> 00:01:38,760 companies like Blackstone that continue to buy up single family 36 00:01:38,760 --> 00:01:40,560 resident homes. And then finally, of course, we 37 00:01:40,560 --> 00:01:43,560 get to our fail of the week, which in this case is a 38 00:01:43,640 --> 00:01:46,240 prankster. We've seen this before, but this 39 00:01:46,240 --> 00:01:49,280 prankster is doing something new, doing something novel. 40 00:01:49,640 --> 00:01:53,840 He is implementing AI in his pranks and he's freaking out 41 00:01:53,840 --> 00:01:57,840 people, disturbing people by creating on the fly videos of 42 00:01:57,840 --> 00:02:01,000 fake things happening, causing a stir and the sled to him being 43 00:02:01,000 --> 00:02:02,720 arrested. We'll be looking at why this new 44 00:02:02,720 --> 00:02:04,760 form of prank is the fail of the week. 45 00:02:04,760 --> 00:02:07,120 So welcome back everyone. We have a ton to get to in this 46 00:02:07,120 --> 00:02:09,520 episode. And as we jump in, if you want 47 00:02:09,520 --> 00:02:11,480 to become a better investor, if you you want to learn about 48 00:02:11,480 --> 00:02:14,400 companies more holistically and learn what really is driving 49 00:02:14,400 --> 00:02:17,600 companies in the future, then you can try out qualtrim.com. 50 00:02:17,880 --> 00:02:20,480 It is the website and stock analysis platform that I 51 00:02:20,480 --> 00:02:22,400 created. We have a whole team of people 52 00:02:22,400 --> 00:02:24,320 working on it. And the amount of people joining 53 00:02:24,320 --> 00:02:26,760 is growing incredibly fast. Just in the past two months, 54 00:02:26,760 --> 00:02:29,920 we've had over 3000 new paid users. 55 00:02:30,160 --> 00:02:32,520 That is incredible growth. So I appreciate everybody that's 56 00:02:32,520 --> 00:02:34,360 tried it out. Qualtrim is an incredibly 57 00:02:34,360 --> 00:02:36,120 powerful stock analysis platform. 58 00:02:36,120 --> 00:02:39,560 It's been built from the ground up, tailor made for my audience, 59 00:02:39,560 --> 00:02:42,120 specifically for you. And as a bonus, your Qualtrim 60 00:02:42,120 --> 00:02:45,080 membership gives you access to a big Discord community with like 61 00:02:45,080 --> 00:02:48,480 minded investors as well as extensive exclusive episodes 62 00:02:48,480 --> 00:02:50,560 like the one that I just recently did on GE. 63 00:02:50,600 --> 00:02:53,680 That's an hour long in depth analysis on GE that I just 64 00:02:53,680 --> 00:02:56,080 published today. So you can get all of that at 65 00:02:56,080 --> 00:02:58,280 qualtrim.com. Now we start things off today 66 00:02:58,280 --> 00:02:59,960 with the continued dominance of Google. 67 00:03:00,240 --> 00:03:04,480 Google has officially surpassed Apple in market cap size to now 68 00:03:04,480 --> 00:03:07,600 become the second largest company in the world, only 69 00:03:07,600 --> 00:03:11,240 behind NVIDIA. It only has one target left and 70 00:03:11,240 --> 00:03:14,160 eventually it will get there. And this is a long time coming. 71 00:03:14,560 --> 00:03:18,480 It wasn't too long ago that they said, they said that Google was 72 00:03:18,640 --> 00:03:21,720 a dying business. Many top analysts, many people 73 00:03:21,720 --> 00:03:24,680 went on the TV, and in fact, prominent ones called Google an 74 00:03:24,680 --> 00:03:28,760 eBay, a decaying company, one that was past its prime, one 75 00:03:28,760 --> 00:03:31,360 that was hanging on to an old antiquated business model being 76 00:03:31,360 --> 00:03:34,600 passed up by new, younger peers with revolutionary business 77 00:03:34,600 --> 00:03:37,480 models. They said that Google could not 78 00:03:37,480 --> 00:03:40,600 maintain the same monopoly it had previously, now that there's 79 00:03:40,600 --> 00:03:43,480 a new form of information gathering, that their margins 80 00:03:43,480 --> 00:03:45,840 are going to be disrupted, that the company won't be as big as 81 00:03:45,840 --> 00:03:49,160 it was previously. To the contrary, all of them 82 00:03:49,240 --> 00:03:51,880 were wrong. Google's not only bigger today, 83 00:03:51,880 --> 00:03:54,280 but it's much bigger. The stock price is up nearly 84 00:03:54,280 --> 00:03:56,200 100%. Since many of those 85 00:03:56,200 --> 00:03:59,320 proclamations claiming that it was dead happened only a year 86 00:03:59,320 --> 00:04:02,440 ago, most of the people making those claims have now completely 87 00:04:02,440 --> 00:04:04,800 changed their mind. They're on board with Google, 88 00:04:05,280 --> 00:04:08,240 recognizing that it's an incredibly powerful company that 89 00:04:08,240 --> 00:04:10,600 adapted brilliantly to the challenges it faces. 90 00:04:10,600 --> 00:04:13,520 This is a unique story where the prevailing narrative was so 91 00:04:13,520 --> 00:04:16,640 negative against Google, so bad against this company, that many 92 00:04:16,640 --> 00:04:19,120 investors were selling it for half the price it trades at 93 00:04:19,120 --> 00:04:22,680 today, less than one year ago. And now we see the outcome of 94 00:04:22,680 --> 00:04:24,520 it. Google has proven the doubters 95 00:04:24,520 --> 00:04:27,600 and skeptics wrong, and it's even proven many of the bulls 96 00:04:27,600 --> 00:04:29,200 wrong. It's done so much better than 97 00:04:29,200 --> 00:04:31,960 even the most optimistic investors believed possible. 98 00:04:32,520 --> 00:04:35,760 So how did this happen? How did Google go from being a 99 00:04:35,760 --> 00:04:39,000 company in distress from now being likely to become the 100 00:04:39,000 --> 00:04:41,360 largest one in the world? When we look at just what 101 00:04:41,360 --> 00:04:43,920 recently happened, Google has officially worked its way up 102 00:04:43,920 --> 00:04:48,680 past Amazon, Microsoft, Apple now to be in rank #2 it's now at 103 00:04:48,680 --> 00:04:55,800 a $3.954 trillion market cap, only behind NVIDIA at a $4.49 104 00:04:55,960 --> 00:04:58,760 trillion market cap. So even though it just barely 105 00:04:58,760 --> 00:05:01,400 passed Apple, it's still a ways behind NVIDIA. 106 00:05:01,680 --> 00:05:04,720 NVIDIA is the the largest company still by around $600 107 00:05:04,720 --> 00:05:07,840 billion, which if we look at some companies here, it's bigger 108 00:05:07,840 --> 00:05:09,520 than MasterCard, bigger than Oracle. 109 00:05:09,840 --> 00:05:14,080 So in order for Google to surpass NVIDIA and to climb to 4 110 00:05:14,080 --> 00:05:17,080 1/2 trillion dollars, it'll literally need to gain another 111 00:05:17,080 --> 00:05:20,240 MasterCard and market cap size. And I believe it eventually 112 00:05:20,240 --> 00:05:22,000 will. And This is why I've put so much 113 00:05:22,000 --> 00:05:24,640 money into Google. I made it my largest focus, my 114 00:05:24,640 --> 00:05:28,840 largest buy in 2025 and I put more effort into videos 115 00:05:28,840 --> 00:05:31,480 surrounding Google than any other company because of the 116 00:05:31,480 --> 00:05:34,080 level of conviction I had to its continued growth. 117 00:05:34,440 --> 00:05:37,640 Now if we look at the ortfolio today, my portfolios are at all 118 00:05:37,640 --> 00:05:41,680 time highs along with Google. The passive income portfolio is 119 00:05:41,680 --> 00:05:45,800 just teetering below $1,000,000 in total value now, and this 120 00:05:45,800 --> 00:05:48,840 isn't from recent deposits, this is from the portfolio growing. 121 00:05:49,080 --> 00:05:52,280 It's gained around $35,000 just in the past seven days. 122 00:05:52,600 --> 00:05:57,160 We're now at $414,900 in gains. When we look at one of the 123 00:05:57,160 --> 00:06:00,440 largest positions in My Portfolio, it is Google, a 124 00:06:00,440 --> 00:06:05,640 $118,000 position, $52,000 in the green in the story fund, a 125 00:06:05,640 --> 00:06:08,120 separate portfolio, which likewise is near an all time 126 00:06:08,120 --> 00:06:10,480 high at this point. I also have Google as my third 127 00:06:10,480 --> 00:06:16,280 largest position, $77,000, total position 48,009, 100 in gains. 128 00:06:16,400 --> 00:06:20,440 So Google's now around $100,000 in gains in My Portfolio, my 129 00:06:20,440 --> 00:06:23,560 biggest gainer ever, beating out Apple, beating out Netflix, 130 00:06:23,760 --> 00:06:27,160 beating out Amazon, and I still haven't taken gains. 131 00:06:27,320 --> 00:06:29,760 I still haven't done that because the future for Google 132 00:06:29,760 --> 00:06:33,120 remains bright as Google continues to pass up company 133 00:06:33,120 --> 00:06:35,600 after company working its way to the top of the pack. 134 00:06:35,880 --> 00:06:39,160 Now with only one company left, we can look at what's driving 135 00:06:39,160 --> 00:06:41,760 this continued growth in Google's market cap. 136 00:06:42,040 --> 00:06:45,360 It's not just the numbers, but qualitatively Google's becoming 137 00:06:45,360 --> 00:06:47,640 a better company. For example, we have the Wall 138 00:06:47,640 --> 00:06:49,480 Street Journal that highlighted this in depth. 139 00:06:49,480 --> 00:06:52,640 Look at all the things that Google has done to lead to this 140 00:06:52,640 --> 00:06:55,320 massive size and it's really impressive when you put it in 141 00:06:55,320 --> 00:06:58,480 perspective how many different things one company's executing 142 00:06:58,480 --> 00:07:00,600 on. If we look back just in August, 143 00:07:00,880 --> 00:07:05,040 Chachi BT was racing ahead with usage and Google is still 144 00:07:05,040 --> 00:07:06,760 competing with them. One of the things that they 145 00:07:06,760 --> 00:07:09,520 highlight that they did here just recently to surpass Chachi 146 00:07:09,520 --> 00:07:14,320 BT in downloads is releasing a new image generator, one that's 147 00:07:14,320 --> 00:07:17,480 lightning fast and it would give the search tighten an edge in a 148 00:07:17,480 --> 00:07:21,240 weak spot for Chachi BT. So we have Google coming out 149 00:07:21,240 --> 00:07:24,000 with Nano Banana, this new image generator that's just 150 00:07:24,000 --> 00:07:26,920 incredible. And it had the top spot in 151 00:07:26,920 --> 00:07:29,760 performance rankings on the platform LM Arena. 152 00:07:29,880 --> 00:07:33,560 That's like a website that ranks how much users like a certain 153 00:07:33,560 --> 00:07:36,720 LLM. It was trending on X and had far 154 00:07:36,720 --> 00:07:38,600 exceeded Google's usage expectations. 155 00:07:38,600 --> 00:07:41,960 By September, Google's Gemini AI app had become the most 156 00:07:41,960 --> 00:07:43,960 downloaded app in the Apple App Store. 157 00:07:44,280 --> 00:07:45,960 That was one of the game changing points. 158 00:07:46,320 --> 00:07:50,120 Up until now, we've seen Chachi BT always rank as #1 like it's 159 00:07:50,120 --> 00:07:52,760 just default position number one in the Apple App Store. 160 00:07:53,200 --> 00:07:55,080 Now we're seeing Gemini bounce up there. 161 00:07:55,200 --> 00:07:57,840 It's getting up to #1 frequently now. 162 00:07:57,840 --> 00:07:59,200 It's not staying there all the time. 163 00:07:59,200 --> 00:08:02,800 Granted, most of the time ChatGPT is there, but Gemini is 164 00:08:02,800 --> 00:08:04,200 getting up there from time to time. 165 00:08:04,280 --> 00:08:07,640 And Google has a lot of ways of getting Gemini access other than 166 00:08:07,640 --> 00:08:09,560 just the App Store now, they say. 167 00:08:09,560 --> 00:08:11,880 Two months later, Google launched its most powerful 168 00:08:11,880 --> 00:08:15,000 Gemini model yet, which surged past competitors to become the 169 00:08:15,000 --> 00:08:17,880 most capable AI chatbot. With that, Google had a 170 00:08:17,880 --> 00:08:20,680 leapfrogged Open AI to the front of the pack. 171 00:08:21,280 --> 00:08:23,360 Just incredible what they were able to do. 172 00:08:23,440 --> 00:08:26,080 This is a line chart going over the relative performance of the 173 00:08:26,080 --> 00:08:29,520 top performing models from Google and Open AI. 174 00:08:29,960 --> 00:08:33,960 As you can see, Google is usually behind, barely coming 175 00:08:33,960 --> 00:08:35,840 ahead of the pack at some points or another. 176 00:08:36,200 --> 00:08:40,520 And now it's not only caught up, but it has it surpassed Open AI. 177 00:08:40,919 --> 00:08:44,240 Right now, Google has the best model on the market available 178 00:08:44,240 --> 00:08:46,360 for users. How is Google doing this? 179 00:08:46,440 --> 00:08:49,600 Well, Google's deep roots in science research, willingness to 180 00:08:49,600 --> 00:08:53,080 pour billions of dollars into developing custom hardware, and 181 00:08:53,080 --> 00:08:55,960 leadership changes in the recent years had cleared the way for a 182 00:08:56,000 --> 00:08:58,920 faster experimentations that are now paying off. 183 00:08:59,200 --> 00:09:01,840 It had also managed to protect an all important and search 184 00:09:01,840 --> 00:09:05,320 business, at least for now, from the surging popularity of chat 185 00:09:05,320 --> 00:09:08,080 bots, which are changing how consumers use the Internet. 186 00:09:08,600 --> 00:09:11,680 Googles AI work has begun generating substantial revenue 187 00:09:11,680 --> 00:09:14,600 through search ads, paid versions of Gemini for consumers 188 00:09:14,600 --> 00:09:17,800 and businesses, and sales of new computer chips developed in 189 00:09:17,800 --> 00:09:19,680 house. The November release of Google's 190 00:09:19,680 --> 00:09:23,440 latest Gemini model outperformed ChatGPT on a variety of 191 00:09:23,440 --> 00:09:27,120 measures, sending Google stocks soaring and triggering a code 192 00:09:27,120 --> 00:09:30,120 red inside open AI. The Google CEO Sundar Pichai 193 00:09:30,120 --> 00:09:33,120 talked up the magnitude of the company's AI push on the day of 194 00:09:33,120 --> 00:09:36,080 the new Gemini model launch. Quote Love to see that we're 195 00:09:36,080 --> 00:09:39,200 launching at the scale of Google, he told employees in an 196 00:09:39,200 --> 00:09:41,520 internal memo. And Sundar Pichai has shown that 197 00:09:41,520 --> 00:09:44,200 he's up to the task. He can do this job and he's done 198 00:09:44,200 --> 00:09:46,080 it really well. All the decisions leading up to 199 00:09:46,080 --> 00:09:48,840 this have actually been incredible, and I will say so 200 00:09:48,840 --> 00:09:50,200 myself. For a time there, I was 201 00:09:50,200 --> 00:09:53,160 questioning Sundar Pichai's leadership a couple years back. 202 00:09:53,160 --> 00:09:55,160 It seemed like he was falling behind the pack. 203 00:09:55,160 --> 00:09:58,320 He wasn't making any big difficult decisions, but really 204 00:09:58,320 --> 00:10:01,560 he was being a little bit coy. He wasn't really talking the 205 00:10:01,560 --> 00:10:04,240 talk, he was more just walking the walk in the background. 206 00:10:04,560 --> 00:10:07,320 All the decisions he made with the investments have really come 207 00:10:07,320 --> 00:10:09,280 to fruition. Over the past year, Google has 208 00:10:09,280 --> 00:10:11,280 done these iterative developments and product 209 00:10:11,280 --> 00:10:14,200 releases, which in hindsight, have actually been incredibly 210 00:10:14,200 --> 00:10:16,880 well executed. In May of 2024, Google 211 00:10:16,880 --> 00:10:19,920 introduced AI Overview. They're short AI generated 212 00:10:19,920 --> 00:10:22,080 summaries that often appear at the top of search results. 213 00:10:22,400 --> 00:10:24,760 The company found that users begin doing more complex 214 00:10:24,760 --> 00:10:28,000 searches, the development of AI mode, a search option that 215 00:10:28,000 --> 00:10:31,840 answers queries, and a chatbot style conversation internally. 216 00:10:31,840 --> 00:10:35,360 The demo after demo showed that showed what could be possible 217 00:10:35,600 --> 00:10:38,360 but also how difficult it was to reprogram search to become 218 00:10:38,360 --> 00:10:41,520 chatbot like while retaining speed and quality. 219 00:10:41,520 --> 00:10:45,280 The doubts with Google, the suppressed stock price and all 220 00:10:45,280 --> 00:10:48,640 the talk of everybody saying that chatbot, he was going to 221 00:10:48,640 --> 00:10:51,840 kill Google inadvertently helped Google. 222 00:10:52,320 --> 00:10:55,560 All right, So everybody's saying that Google's dying was actually 223 00:10:55,560 --> 00:10:58,040 helping Google at the time, because at the time they were 224 00:10:58,040 --> 00:11:01,360 facing a lawsuit or in fact, they actually faced the lawsuit 225 00:11:01,360 --> 00:11:04,080 and they lost. The threat that AI posed to 226 00:11:04,080 --> 00:11:06,560 Google search dominance proved to have a silver lining. 227 00:11:06,840 --> 00:11:10,280 In August of 2024, a federal judge ruled that Google had an 228 00:11:10,280 --> 00:11:12,800 illegal monopoly, an online search and search advertising. 229 00:11:13,240 --> 00:11:16,000 So Google is already guilty of being an illegal monopoly. 230 00:11:16,120 --> 00:11:18,440 Google's lawyer argued that the company's monopoly had 231 00:11:18,440 --> 00:11:22,200 effectively ended with the advent of AI chat bots as 232 00:11:22,200 --> 00:11:25,280 popular new forms of search. So you have Google's lawyers 233 00:11:25,280 --> 00:11:28,080 there saying, look, you're calling us a monopoly, but look 234 00:11:28,080 --> 00:11:29,320 at what all the analysts are saying. 235 00:11:29,520 --> 00:11:30,880 Look what all the investors are saying. 236 00:11:31,280 --> 00:11:34,720 Look at the reason our stocks trading for like a 1718 PE 237 00:11:34,720 --> 00:11:37,040 ratio. Everybody's bearish on our 238 00:11:37,040 --> 00:11:39,520 company because they're saying that we're being competed away. 239 00:11:39,520 --> 00:11:41,920 We're going to we're going to go down, right? 240 00:11:42,080 --> 00:11:43,920 This is something that's bad for the company. 241 00:11:43,920 --> 00:11:47,640 The judge accepted the argument and ruled the Apple deal could 242 00:11:47,640 --> 00:11:50,840 continue with only minor amendments, helping Google avoid 243 00:11:50,840 --> 00:11:53,640 more extreme remedies. So in a different world where 244 00:11:53,640 --> 00:11:56,840 Google had already beaten ChatGPT, where it already looked 245 00:11:56,840 --> 00:11:59,160 super strong, where the stock price is up, where everybody's 246 00:11:59,160 --> 00:12:01,080 saying it's such a powerful company, it's one of the biggest 247 00:12:01,080 --> 00:12:03,600 companies in the world. If Google is going into the 248 00:12:03,600 --> 00:12:06,440 lawsuit with that type of environment, it could have ended 249 00:12:06,440 --> 00:12:08,120 more poorly. They could have said that you 250 00:12:08,120 --> 00:12:10,240 have to split off Chrome. But because of all these 251 00:12:10,240 --> 00:12:13,600 concerns about AI at the time, it actually helped out Google. 252 00:12:13,680 --> 00:12:17,520 Continuing on with Googles rise, we have by October Gem and I 253 00:12:17,520 --> 00:12:21,960 having more than 650 million monthly users, up from 450 254 00:12:21,960 --> 00:12:24,720 million users in July. When we look at this chart, you 255 00:12:24,720 --> 00:12:28,080 can see the usage chart. Now we have Chachi BT up here, 256 00:12:28,760 --> 00:12:31,400 5.8 billion. You know in a month we have 257 00:12:31,400 --> 00:12:34,640 Gemini at 1.4 billion. So Chachi BT is still multiples 258 00:12:34,640 --> 00:12:36,800 bigger than Gemini. That's OK for Google. 259 00:12:37,040 --> 00:12:39,760 Google's making solid progress. But the important thing that we 260 00:12:39,760 --> 00:12:43,400 look at and a trend that I think is worth highlighting is Chachi 261 00:12:43,400 --> 00:12:46,960 BT for two months in a row now has gone down in their monthly 262 00:12:46,960 --> 00:12:48,800 usage. Two months in a row, they've had 263 00:12:48,800 --> 00:12:51,800 a decline in usage. And those two months coincide 264 00:12:52,000 --> 00:12:54,680 with a rapid increase in usage from Gemini. 265 00:12:55,240 --> 00:12:58,000 So Google's fine where they're at right now. 266 00:12:58,000 --> 00:13:00,320 They have a lot of other tools besides just Gemini. 267 00:13:01,120 --> 00:13:04,520 But it is telling that Gemini is growing while ChatGPT is now 268 00:13:04,520 --> 00:13:06,720 declining. Maybe it's temporary. 269 00:13:06,720 --> 00:13:10,160 Maybe this will tick back up for ChatGPT, but as of right now, 270 00:13:10,160 --> 00:13:13,320 just the past couple of months, it looks really good for Google. 271 00:13:13,480 --> 00:13:15,800 Now we're left with Google today in a stronger position than 272 00:13:15,800 --> 00:13:18,640 they've ever been in before. They've successfully fended off 273 00:13:18,640 --> 00:13:21,320 ChatGPT and shown that it's not going to destroy the company. 274 00:13:21,440 --> 00:13:24,200 We also have many other factors we can look at for Google. 275 00:13:24,360 --> 00:13:27,160 I think that Gemini's only part of the story here, and I think 276 00:13:27,160 --> 00:13:29,880 that Google search is actually still only part of the story 277 00:13:29,880 --> 00:13:31,600 here. YouTube is something that most 278 00:13:31,600 --> 00:13:34,160 articles like this don't mention, but when we look at 279 00:13:34,160 --> 00:13:35,760 YouTube, it has two different sections. 280 00:13:35,760 --> 00:13:37,920 It has subscriptions and it has YouTube ads. 281 00:13:38,520 --> 00:13:41,960 So when someone subscribes to YouTube Premium, that doesn't 282 00:13:41,960 --> 00:13:44,840 fall under the YouTube ad revenue segment. 283 00:13:44,840 --> 00:13:47,760 So this actually understates how big YouTube is 'cause now 284 00:13:47,760 --> 00:13:50,560 YouTube Premium has hundreds of millions of users. 285 00:13:51,040 --> 00:13:54,360 When we look at YouTube, this is a massive, fast growing business 286 00:13:54,360 --> 00:13:56,560 between YouTube and subscriptions. 287 00:13:56,920 --> 00:14:01,720 It's growing 15% year over year. I've said before that by 20-30, 288 00:14:01,720 --> 00:14:05,000 I think YouTube in and of itself will be worth over a trillion 289 00:14:05,000 --> 00:14:08,200 dollar market cap. It is insanely valuable. 290 00:14:08,560 --> 00:14:11,800 Think about the story arc of YouTube, a company that's 291 00:14:11,800 --> 00:14:15,440 gaining in total watch time, a company that's so big that every 292 00:14:15,440 --> 00:14:18,280 kid wants to watch it on TV, everybody wants to watch it on 293 00:14:18,280 --> 00:14:20,280 their phone. People now watch too much 294 00:14:20,280 --> 00:14:22,640 YouTube. It's so successful that it's now 295 00:14:22,680 --> 00:14:26,600 a crown jewel on planet Earth. It's something that is very 296 00:14:26,600 --> 00:14:29,640 unique and there's not really any company set up to directly 297 00:14:29,640 --> 00:14:32,320 compete against them. There's streaming services like 298 00:14:32,320 --> 00:14:35,120 Netflix. There's different companies like 299 00:14:35,120 --> 00:14:36,800 Twitch, but they're not even close. 300 00:14:36,800 --> 00:14:38,880 It's difficult to call them real competitors. 301 00:14:39,280 --> 00:14:42,400 So this is a story arc that I believe is about halfway done. 302 00:14:42,640 --> 00:14:44,560 We still have a long ways to go with YouTube. 303 00:14:45,040 --> 00:14:49,360 Then we have Google Cloud. Google Cloud grew 31% year over 304 00:14:49,360 --> 00:14:52,400 year last quarter. Not only is Google Cloud growing 305 00:14:52,400 --> 00:14:55,560 in total revenue very fast, but the operating margins continue 306 00:14:55,560 --> 00:14:58,920 to tick upwards. It's not 24% operating margins. 307 00:14:58,960 --> 00:15:01,000 Those will eventually go above 30%. 308 00:15:01,080 --> 00:15:02,920 And then we also have the cloud backlog. 309 00:15:03,480 --> 00:15:06,040 This is a hockey stick moment for the company. 310 00:15:06,320 --> 00:15:11,240 The cloud backlog went up 78% year over year, signifying that 311 00:15:11,240 --> 00:15:15,000 the future revenue growth of Google Cloud is increasing in 312 00:15:15,000 --> 00:15:18,400 speed, not decreasing. It is going to accelerate this 313 00:15:18,400 --> 00:15:20,000 year. Google Cloud is another 314 00:15:20,000 --> 00:15:23,600 storyline with Google where the story arc is only halfway done. 315 00:15:24,120 --> 00:15:27,240 Then of course, we have Waymo. The last report was that they're 316 00:15:27,240 --> 00:15:31,200 doing now 450,000 weekly paid rides. 317 00:15:31,720 --> 00:15:35,160 These are real rides. No safety monitor, nobody in the 318 00:15:35,200 --> 00:15:38,400 the passenger seat or the driver seat, only the passenger in the 319 00:15:38,400 --> 00:15:41,200 back seat of the vehicle. They're completing 450,000 320 00:15:41,200 --> 00:15:45,400 rides, which is a 125% increase year over year. 321 00:15:45,720 --> 00:15:49,840 So they're over doubling and by the end of 2026 they're going to 322 00:15:49,840 --> 00:15:52,160 over double again. They're going to get to 323 00:15:52,160 --> 00:15:56,960 1,000,000 paid rides per week. They're really taking market 324 00:15:56,960 --> 00:16:00,440 share from the robotaxi networks, from companies like 325 00:16:00,440 --> 00:16:02,280 Uber. They're trying to partner with 326 00:16:02,280 --> 00:16:05,920 them as much as possible because Waymo represents one of the most 327 00:16:05,920 --> 00:16:09,520 significant changes in robotaxi and AV technology. 328 00:16:09,680 --> 00:16:11,680 And this story arc is not halfway over. 329 00:16:11,800 --> 00:16:13,680 This story arc is just beginning. 330 00:16:14,000 --> 00:16:16,640 Waymo's going to be a story that continues to drive Google's 331 00:16:16,640 --> 00:16:19,440 market share for a long time. In the future, when I do my 332 00:16:19,440 --> 00:16:22,440 analysis on Google, the reason that I have not sold any of the 333 00:16:22,440 --> 00:16:25,560 company and I continue to hold my shares, it's not because I 334 00:16:25,560 --> 00:16:27,680 believe it was the deal that it was a year ago. 335 00:16:27,680 --> 00:16:30,080 I certainly don't think we're going to repeat that performance 336 00:16:30,200 --> 00:16:33,520 because evaluation is more fully valued now than it was back 337 00:16:33,520 --> 00:16:35,360 then. But it's because I believe that 338 00:16:35,360 --> 00:16:38,560 Google has a long way to continue organic growth with the 339 00:16:38,560 --> 00:16:43,120 continued storylines of YouTube, Waymo, Gemini, Google Cloud with 340 00:16:43,120 --> 00:16:45,360 their Tpus and their advanced searches. 341 00:16:45,720 --> 00:16:47,760 Google's story is only halfway over. 342 00:16:48,120 --> 00:16:50,120 If anything, it's even less than halfway over. 343 00:16:50,120 --> 00:16:53,880 It's like 1/4 to 1/3 of the way over over this story arc, which 344 00:16:53,880 --> 00:16:56,800 we look at companies in long term stories where valuation 345 00:16:56,800 --> 00:16:58,880 meets the story in the fundamental developments. 346 00:16:59,320 --> 00:17:02,720 We see a company here that still has a great story ahead, and 347 00:17:02,720 --> 00:17:06,280 that's the reason that I refuse to sell it, especially at a high 348 00:17:06,280 --> 00:17:09,040 20s PE ratio. Google's more expensive than it 349 00:17:09,040 --> 00:17:12,480 has been relative to the past year, but it's still not that 350 00:17:12,480 --> 00:17:15,079 expensive given the situation and the dominance that it's 351 00:17:15,079 --> 00:17:17,280 shown. And it's only a matter of time. 352 00:17:17,760 --> 00:17:19,760 Google will continue to grow bigger and bigger. 353 00:17:20,160 --> 00:17:23,680 And in the next year, you may see it approaching the size of 354 00:17:23,680 --> 00:17:25,640 NVIDIA. NVIDIA needs to watch out. 355 00:17:25,640 --> 00:17:27,319 Now, let's go ahead and move on to some news. 356 00:17:27,359 --> 00:17:30,920 Now we first get to the story of David Ellison with Paramount and 357 00:17:30,920 --> 00:17:33,880 this continued saga of him trying to buy Warner Brothers 358 00:17:33,880 --> 00:17:36,800 Discovery and Warner Brothers Discovery saying no. 359 00:17:37,400 --> 00:17:39,200 That's been the story over and over again. 360 00:17:39,560 --> 00:17:43,080 In fact, I think this marks the 7th rejection from Warner 361 00:17:43,080 --> 00:17:46,520 Brothers discovery #7 it's not an exaggeration. 362 00:17:46,520 --> 00:17:49,160 Here's a look at Warner Brothers latest rejection and their 363 00:17:49,160 --> 00:17:50,160 reasoning for it. Let's. 364 00:17:50,160 --> 00:17:55,000 Start with the fact that we have a signed merger agreement with 365 00:17:55,000 --> 00:17:58,720 Netflix. It's a compelling value, a clear 366 00:17:58,720 --> 00:18:04,400 path to closing and protections for our shareholders if 367 00:18:04,400 --> 00:18:07,920 something stops the close, whatever that might be. 368 00:18:08,480 --> 00:18:10,920 And ultimately he didn't raise the price. 369 00:18:11,400 --> 00:18:16,880 So in our perspective, Netflix continues to be the superior 370 00:18:16,880 --> 00:18:21,920 offer a clear path to closing and we believe protection for 371 00:18:21,920 --> 00:18:24,960 our shoulders. We all know, and I think I also 372 00:18:24,960 --> 00:18:28,120 said it that day, the deal is great closing. 373 00:18:28,160 --> 00:18:32,000 Better Paramount's offer continues to be mostly done with 374 00:18:32,000 --> 00:18:35,320 debt, meaning they're buying Warner Brothers Discovery with a 375 00:18:35,360 --> 00:18:38,760 massive leveraged buyout. And we know how that works out. 376 00:18:38,760 --> 00:18:40,760 We've seen so many examples of leveraged buyouts. 377 00:18:41,240 --> 00:18:44,280 A lot of times when you hear the word leveraged buyout, it's like 378 00:18:44,280 --> 00:18:46,600 alarms going off, right? There's just red flags 379 00:18:46,640 --> 00:18:49,200 everywhere going off. And it should be because in many 380 00:18:49,200 --> 00:18:51,840 cases, it puts so much financial pressure on the asset after 381 00:18:51,840 --> 00:18:54,320 buying it that they can't expand, they can't grow. 382 00:18:54,560 --> 00:18:57,000 They're just struck down with massive debt. 383 00:18:57,000 --> 00:19:00,640 It weighs down on the company and if Paramount is successful 384 00:19:00,840 --> 00:19:04,040 in buying Warner Brothers Discovery, it'll be the biggest 385 00:19:04,040 --> 00:19:07,960 leveraged buyout ever done in Mankind ever in the history of 386 00:19:07,960 --> 00:19:11,080 the capital markets. So that's another big concern 387 00:19:11,080 --> 00:19:12,640 for them trying to make these offers. 388 00:19:13,160 --> 00:19:15,040 Warner Brothers is saying that you have to come back to the 389 00:19:15,040 --> 00:19:17,440 table with real cash, not with more debt. 390 00:19:17,680 --> 00:19:19,840 And then we'll look at the deal. Now we move on to an interview 391 00:19:19,840 --> 00:19:21,960 here with Brad Gerstner. This is someone that I like to 392 00:19:21,960 --> 00:19:24,200 get his opinion on things from time to time, see what he's 393 00:19:24,200 --> 00:19:27,880 thinking about the environment. He's very much focused on AI, on 394 00:19:27,880 --> 00:19:31,920 infrastructure, plays big investor into open AI and NVIDIA 395 00:19:31,920 --> 00:19:35,600 and all these top AI companies. And here's how he sees things 396 00:19:35,600 --> 00:19:38,520 looking into 2026. Through this year, but if we 397 00:19:38,520 --> 00:19:40,880 just look at the general operating framework and then 398 00:19:40,880 --> 00:19:44,480 I'll get to NVIDIA, you know, lower taxes, we're in a rate 399 00:19:44,480 --> 00:19:48,600 cutting cycle, inflation under control, you know, earnings 400 00:19:48,600 --> 00:19:52,880 growth is, is occurring. We've got this AI super cycle, 401 00:19:52,880 --> 00:19:54,920 this massive investment super cycle. 402 00:19:55,160 --> 00:19:58,920 We have this reindustrialization and bringing on re onshoring our 403 00:19:58,920 --> 00:20:01,560 national supply chain. That's also a huge investment 404 00:20:01,560 --> 00:20:04,120 super cycle. So the backdrop looks good. 405 00:20:04,360 --> 00:20:06,880 And then we have these companies that are all getting more fit, 406 00:20:07,200 --> 00:20:08,720 right? They're leveraging AI. 407 00:20:08,720 --> 00:20:12,200 This is tough for the employment picture, but it really does lead 408 00:20:12,200 --> 00:20:14,280 to this golden age of margin expansion. 409 00:20:14,800 --> 00:20:17,760 And I think what you heard from NVIDIA yesterday was a lot more 410 00:20:17,760 --> 00:20:20,400 of the same, right. The consensus estimate this year 411 00:20:20,600 --> 00:20:24,080 I think is that they're going to grow earnings about 65%, maybe 412 00:20:24,080 --> 00:20:27,800 30% in 2027. You said it's an earnings driven 413 00:20:27,800 --> 00:20:30,080 market, so they don't need to expand multiple. 414 00:20:30,320 --> 00:20:32,360 The multiple is 25 times earnings. 415 00:20:32,600 --> 00:20:36,080 It peaked in July of 24 at 41 times earnings. 416 00:20:36,360 --> 00:20:39,480 It troughed last April at 21 times earnings. 417 00:20:39,760 --> 00:20:43,640 Now we're at 25 or 26 times. So it's not a demanding 418 00:20:43,640 --> 00:20:46,040 multiple. And as A to shareholders, Scott, 419 00:20:46,320 --> 00:20:50,080 I'm thrilled and happy just to sit here and let an incredible 420 00:20:50,080 --> 00:20:53,480 company generate earnings and let our returns come from 421 00:20:53,480 --> 00:20:55,640 earnings. We don't need our returns to 422 00:20:55,640 --> 00:20:57,600 come from multiple expansion in NVIDIA. 423 00:20:57,800 --> 00:20:59,320 When you're looking at the market, there's so many people 424 00:20:59,320 --> 00:21:02,400 that can be bearish and they point out valuations or they 425 00:21:02,400 --> 00:21:04,440 point out this or that that's gone wrong in the world. 426 00:21:04,680 --> 00:21:07,240 But when you look at what the situation actually is, what 427 00:21:07,240 --> 00:21:10,480 we're actually in right now, we have the best companies in the 428 00:21:10,480 --> 00:21:13,120 world with the brightest minds continually innovating, creating 429 00:21:13,120 --> 00:21:15,320 new new innovations, new products all the time. 430 00:21:15,760 --> 00:21:18,080 And they're experts at running the company, making them 431 00:21:18,080 --> 00:21:22,400 profitable, increasing margins. And we have this, this group of 432 00:21:22,400 --> 00:21:25,520 companies that we can select from that are just spectacular, 433 00:21:25,560 --> 00:21:28,400 whether it's NVIDIA, which continues to create this 434 00:21:28,440 --> 00:21:32,400 ecosystem of hardware accelerating AI or Google, all 435 00:21:32,400 --> 00:21:35,320 the various products that they've they have, or Amazon, 436 00:21:35,320 --> 00:21:38,720 which is another one that is one of my top picks for 2026, a 437 00:21:38,720 --> 00:21:40,400 company that I'm leaning into this year. 438 00:21:40,400 --> 00:21:42,920 The runway of growth through all these different verticals that 439 00:21:42,920 --> 00:21:45,720 were in all these different transformations, whether it's 440 00:21:45,720 --> 00:21:48,560 artificial intelligence, robotics, all the different 441 00:21:48,560 --> 00:21:50,920 tools that they can use to make the company operate more 442 00:21:50,920 --> 00:21:53,640 efficiently, I think we have a lot to look forward to. 443 00:21:54,000 --> 00:21:57,120 And then even when you contrast that with the macro environment, 444 00:21:57,400 --> 00:21:59,920 we do have an environment of overall lower taxes. 445 00:22:00,000 --> 00:22:02,760 Inflation is not out of control. It's basically stabilized. 446 00:22:03,080 --> 00:22:05,720 We have the Federal Reserve lowering interest rates and we 447 00:22:05,720 --> 00:22:07,520 should see that reflected throughout the economy. 448 00:22:07,560 --> 00:22:09,320 We have a business friendly environment. 449 00:22:09,320 --> 00:22:12,480 Now is the time to be invested. It's not the time to cower in 450 00:22:12,480 --> 00:22:17,160 fear over contrived concerns about valuations or that a 451 00:22:17,160 --> 00:22:21,680 company might be at a 30 PE instead of a 25 like he says. 452 00:22:21,680 --> 00:22:24,360 There's always a chance that valuations compress a little 453 00:22:24,360 --> 00:22:26,920 bit, but that's not a concern. If you buy a company that 454 00:22:26,920 --> 00:22:30,120 continually grows earnings, eventually the stock price will 455 00:22:30,120 --> 00:22:32,480 follow the earnings growth. And the companies that I'm 456 00:22:32,480 --> 00:22:36,920 invested in continue to grow earnings at 15% or above year 457 00:22:36,920 --> 00:22:39,920 after year after year. So I see compounding in My 458 00:22:39,920 --> 00:22:42,520 Portfolio this year. I'm going to see it next year. 459 00:22:43,080 --> 00:22:45,280 We'll have some ebbs and flows like we always do. 460 00:22:45,280 --> 00:22:48,280 But I think that overall, this is the correct look from Brad 461 00:22:48,280 --> 00:22:50,800 Gerstner. So great take by Brad Gerstner. 462 00:22:51,000 --> 00:22:52,920 And now we have another example of another great take. 463 00:22:52,920 --> 00:22:55,640 This one comes from Palmer Luckey, who is someone that I 464 00:22:55,640 --> 00:22:59,480 already really like, and he's responding to this new threat 465 00:22:59,520 --> 00:23:03,120 that President Trump put out to defense contractors saying that 466 00:23:03,120 --> 00:23:06,720 he's going to limit their salary to like $100,000 per year. 467 00:23:06,840 --> 00:23:10,440 And this is Palmer Luckey's response to that threat. 468 00:23:10,680 --> 00:23:13,560 If I am getting paid by taxpayers, they should have the 469 00:23:13,560 --> 00:23:16,800 ability to elect people, elect representatives, elect you, who 470 00:23:16,800 --> 00:23:19,680 will then nominate people who can hold me to account in any 471 00:23:19,680 --> 00:23:21,640 way they wish. If they want to say that I only 472 00:23:21,640 --> 00:23:25,520 pay myself $5,000,000 until I'm caught up with my schedules, 473 00:23:25,800 --> 00:23:26,880 they should be allowed to do that. 474 00:23:26,920 --> 00:23:30,120 If they say that I'm not allowed to pay myself $1.00 until I get 475 00:23:30,120 --> 00:23:32,200 caught up, I think they should be allowed to do that. 476 00:23:32,280 --> 00:23:35,560 When you you are working on the when you are working on Taxpayer 477 00:23:35,560 --> 00:23:38,920 9, there is no level of oversight and intervention that 478 00:23:38,920 --> 00:23:42,320 I am against conceptually. Now, I think some of these might 479 00:23:42,320 --> 00:23:44,560 be bad moves. They might not necessarily help 480 00:23:44,560 --> 00:23:47,600 the defense base, but in concept, I think everything 481 00:23:47,600 --> 00:23:49,440 should be on the table. And I think it's even good maybe 482 00:23:49,440 --> 00:23:52,160 to scare some people. Sometimes you don't necessarily 483 00:23:52,160 --> 00:23:54,400 go to people and say this is the way it's going to be forever. 484 00:23:54,480 --> 00:23:56,680 You say this is how it's going to be until you get your act 485 00:23:56,680 --> 00:23:59,240 together. This is such an accurate take. 486 00:23:59,760 --> 00:24:02,720 These companies that extract billions of dollars, 10s of 487 00:24:02,720 --> 00:24:05,480 billions of dollars from the US government should be held to 488 00:24:05,480 --> 00:24:07,280 close account. That's money coming directly 489 00:24:07,280 --> 00:24:09,560 from taxpayer money. That's money that you and I are 490 00:24:09,560 --> 00:24:11,000 paying with every single paycheck. 491 00:24:11,360 --> 00:24:14,000 And the government should be able to hold them to account to 492 00:24:14,000 --> 00:24:17,400 put any restrictions they want A 100% accurate take. 493 00:24:17,640 --> 00:24:21,040 And it even goes on to relate it as like a a a parent child 494 00:24:21,040 --> 00:24:23,000 relationship. Remember being a teenager, your 495 00:24:23,000 --> 00:24:26,200 parents say you're grounded until XY and Z bring up your 496 00:24:26,200 --> 00:24:29,800 grades, solve your problems, and then we will talk about altering 497 00:24:29,800 --> 00:24:31,920 the deal. You, you say, but but this deal 498 00:24:31,920 --> 00:24:34,120 has so many problems. If it's like this my whole life, 499 00:24:34,120 --> 00:24:36,280 if I'm grounded for the rest of my life, that means I'll have no 500 00:24:36,280 --> 00:24:38,320 social life. And your parents are not 501 00:24:38,320 --> 00:24:39,680 necessarily looking to ground you for life. 502 00:24:39,680 --> 00:24:41,880 They're saying right now you're grounded. 503 00:24:42,120 --> 00:24:43,800 And I think that that's what you're seeing right now. 504 00:24:43,800 --> 00:24:45,840 It's not necessarily a lifetime. Let me, let me jump. 505 00:24:46,400 --> 00:24:48,920 He's spot on here. If these defense contractors are 506 00:24:48,920 --> 00:24:51,760 not doing the job, they should not be making big money, 507 00:24:51,880 --> 00:24:55,280 especially from taxpayer money. We should be extremely strict 508 00:24:55,280 --> 00:24:57,880 with what we're doing with our taxes and make it go as far as 509 00:24:57,880 --> 00:25:00,640 possible. So when Palmer Luckey is asked 510 00:25:00,640 --> 00:25:02,880 about this, he could get defensive and try to point out 511 00:25:02,880 --> 00:25:04,880 flaws in the policy. But instead he's saying the 512 00:25:04,880 --> 00:25:07,880 government has every right. And that's the exact, exact 513 00:25:07,880 --> 00:25:08,480 right. Take Care. 514 00:25:08,880 --> 00:25:11,800 Now when we look at other news here, we have this one that I 515 00:25:11,800 --> 00:25:14,760 heard about a day or so ago. We have Trump threatening to ban 516 00:25:14,760 --> 00:25:16,920 Wall Street investments in single family homes. 517 00:25:17,440 --> 00:25:20,400 Now this has been a common complaint for a long time. 518 00:25:20,880 --> 00:25:24,320 Home prices is one of the biggest things that that non 519 00:25:24,320 --> 00:25:26,680 homeowners, people that are renting complain about. 520 00:25:26,680 --> 00:25:28,640 You just can't find a home that's affordable. 521 00:25:29,120 --> 00:25:31,920 The increase in price with homes nearly doubling over the past 522 00:25:31,920 --> 00:25:35,200 five years in value, and the fact that interest rates are 523 00:25:35,200 --> 00:25:38,240 higher, the combination of those two things make it so that homes 524 00:25:38,240 --> 00:25:40,680 are incredibly unaffordable for most Americans. 525 00:25:40,960 --> 00:25:43,040 You're lucky if you can get into a home. 526 00:25:43,480 --> 00:25:45,840 And what President Trump is doing here is trying to address 527 00:25:45,840 --> 00:25:49,120 this. He said, quote, for a long time, 528 00:25:49,120 --> 00:25:51,560 buying and owning a home was considered the pinnacle of the 529 00:25:51,560 --> 00:25:54,760 American dream, saying that the big investors aren't the primary 530 00:25:54,760 --> 00:25:57,120 problem. In fact, if you look at who owns 531 00:25:57,120 --> 00:26:00,920 the majority of investor held homes, it's not big Wall Street 532 00:26:00,920 --> 00:26:02,880 corporations. It's small time investors, 533 00:26:02,880 --> 00:26:05,280 people that may just have lived in a home and then they bought a 534 00:26:05,280 --> 00:26:07,240 new one and they're renting out the old one. 535 00:26:07,480 --> 00:26:10,880 That type of situation happens frequently and in fact it makes 536 00:26:10,880 --> 00:26:14,720 up for 87% of investor held single family homes. 537 00:26:14,920 --> 00:26:18,000 Small investors own the majority of them, but that doesn't mean 538 00:26:18,000 --> 00:26:19,760 that Wall Street is not a problem here. 539 00:26:19,880 --> 00:26:23,120 Wall Street institutions such as Blackstone, which is frequently 540 00:26:23,120 --> 00:26:27,120 confused with BlackRock. BlackRock does not own single 541 00:26:27,120 --> 00:26:28,560 family homes. Blackstone does. 542 00:26:29,200 --> 00:26:32,280 But you have American Homes for Rent and Progress Residential 543 00:26:32,480 --> 00:26:35,480 have bought thousands of single family homes since the financial 544 00:26:35,480 --> 00:26:38,640 crisis in 2008. By June of 2022, institutional 545 00:26:38,640 --> 00:26:44,480 investors owned around 450,000 homes, around 3% of all single 546 00:26:44,480 --> 00:26:49,280 family rental homes nationally according to 2024 study by the 547 00:26:49,280 --> 00:26:51,200 Government Accountability Office. 548 00:26:51,760 --> 00:26:55,960 So it's not the the biggest problem. 3% isn't like they're 549 00:26:55,960 --> 00:26:58,280 not buying 20% of homes. It's not like they're buying one 550 00:26:58,280 --> 00:27:02,880 out of every five. But 3% is still a lot. 450,000 551 00:27:02,880 --> 00:27:06,720 homes is still a lot. And I have to believe that if 552 00:27:06,960 --> 00:27:10,480 this stopped, if Wall Street was prevented or prohibited in some 553 00:27:10,480 --> 00:27:14,920 way from buying up single family homes, it would drop home prices 554 00:27:14,920 --> 00:27:19,280 to some degree. Even 3% does put stress on the 555 00:27:19,280 --> 00:27:21,560 home market. It does increase value. 556 00:27:21,920 --> 00:27:25,320 So taking these buyers out of the market will make prices come 557 00:27:25,320 --> 00:27:28,800 down to some degree. I think this has to be one of 558 00:27:28,800 --> 00:27:33,400 the most popular policies ever. I, I can't imagine there being 559 00:27:33,400 --> 00:27:36,320 really any pushback to this. I, I just can't imagine it. 560 00:27:36,520 --> 00:27:39,280 Who's going to be upset by Trump threatening to kick out these 561 00:27:39,280 --> 00:27:42,360 big firms from buying single family homes so that people can 562 00:27:42,360 --> 00:27:45,120 rent from them forever? I, I don't think there's anybody 563 00:27:45,120 --> 00:27:47,120 that's really going to have too big of a, a problem with this. 564 00:27:47,600 --> 00:27:50,720 No one's going to say, hey, I really am concerned about 565 00:27:50,720 --> 00:27:52,400 Blackstone. That's my priority. 566 00:27:52,840 --> 00:27:55,360 I just, I just am really looking out for Blackstone. 567 00:27:55,480 --> 00:27:57,600 Like nobody's going to do that. This will be one of the most 568 00:27:57,600 --> 00:27:59,240 popular moves Trump has made recently. 569 00:27:59,240 --> 00:28:01,600 Now finally we get to the fail of the week, which in this case 570 00:28:01,600 --> 00:28:05,920 is a prankster, which at one point far back in history, there 571 00:28:05,920 --> 00:28:08,960 was a point where pranks were harmless fun, where they weren't 572 00:28:08,960 --> 00:28:12,000 really disruptive or obnoxious or harassment. 573 00:28:12,480 --> 00:28:14,720 And that point has been long crossed. 574 00:28:15,000 --> 00:28:17,520 For the past couple decades, it seems like pranks have just 575 00:28:17,520 --> 00:28:21,440 evolved further and further to the point where now prankster is 576 00:28:21,440 --> 00:28:24,160 one of the worst category of people. 577 00:28:24,480 --> 00:28:27,280 If you're a prankster, you're probably just annoying people 578 00:28:27,280 --> 00:28:29,000 around you, you're probably a pest. 579 00:28:29,200 --> 00:28:31,680 You're you're probably just a nuisance to society in general, 580 00:28:31,960 --> 00:28:34,680 and most people would rather you just go away and stop doing 581 00:28:34,680 --> 00:28:37,680 pranks. And in this case, it's no 582 00:28:37,680 --> 00:28:39,080 different. The only thing that's really 583 00:28:39,080 --> 00:28:42,880 changed in this case is that the pranks are now implementing AI. 584 00:28:43,280 --> 00:28:47,400 So we have a story here. This is from KPTV News. 585 00:28:47,680 --> 00:28:49,760 It's a local news broadcast. We'll go ahead and just listen 586 00:28:49,760 --> 00:28:52,000 to some of this. Time Police say a man has used 587 00:28:52,200 --> 00:28:55,560 AI to create a fake and frightening scenario, this time 588 00:28:55,560 --> 00:28:58,560 here at the Marathon gas station on Southern and Dixie, and now 589 00:28:58,760 --> 00:29:00,920 he's charged with resisting an officer. 590 00:29:01,640 --> 00:29:04,480 This content creator, as they call him in the news report, 591 00:29:04,880 --> 00:29:07,960 created an AI video of this gas station. 592 00:29:07,960 --> 00:29:11,240 So like, he took a video of the gas station, and then he imposed 593 00:29:11,240 --> 00:29:13,800 an AI video of somebody being dragged away from the gas 594 00:29:13,800 --> 00:29:15,680 station. And of course, they look very 595 00:29:15,680 --> 00:29:16,760 real. Like if you're just on your 596 00:29:16,760 --> 00:29:20,040 phone and you create an AI video and you make it look realistic, 597 00:29:20,360 --> 00:29:22,960 some of them are now virtually indistinguishable, just 598 00:29:23,160 --> 00:29:26,920 especially at a passing glance. And then he showed it to the 599 00:29:26,920 --> 00:29:30,120 clerk in the gas station. And then the clerk and him got 600 00:29:30,120 --> 00:29:33,640 in a confrontation which led to him being arrested. 601 00:29:33,680 --> 00:29:37,400 He in fact, is OK being arrested because that means that he's 602 00:29:37,400 --> 00:29:40,880 making exciting content. But officers say he admitted he 603 00:29:40,880 --> 00:29:44,520 did the actions that night to make more social media content 604 00:29:44,760 --> 00:29:47,680 and said people would, quote, love his content more because 605 00:29:47,680 --> 00:29:50,760 he's willing to get arrested. What has society gotten to the 606 00:29:50,760 --> 00:29:53,720 point where now we're getting arrested to create content 607 00:29:53,880 --> 00:29:58,000 that's content creation in 2026? You're willing to just go out 608 00:29:58,000 --> 00:30:00,920 there, annoy people, get arrested, upload it, and then 609 00:30:00,920 --> 00:30:03,840 all is good. And again, he's encouraged by 610 00:30:03,840 --> 00:30:04,800 this. He continues on. 611 00:30:04,960 --> 00:30:08,600 Her an AI video of her truck being stolen and tried to get 612 00:30:08,600 --> 00:30:10,480 her into his car to catch the guy. 613 00:30:10,600 --> 00:30:14,240 He took a video of of her car, imposed an AI video of her car 614 00:30:14,240 --> 00:30:18,120 being stolen, you know, driven away by someone, showed her that 615 00:30:18,160 --> 00:30:19,800 showed her her car's being stolen. 616 00:30:19,800 --> 00:30:21,840 And then I don't know if I heard that right, but it sounded like 617 00:30:21,840 --> 00:30:24,880 he tried to basically kidnap her to get her in his car. 618 00:30:25,120 --> 00:30:27,080 But don't worry guys, it's just a prank. 619 00:30:27,280 --> 00:30:29,840 This is just a prank. Even though I'm trying to abduct 620 00:30:29,840 --> 00:30:32,920 someone and showing false information to alarm them, it's 621 00:30:32,920 --> 00:30:35,000 just all a prank. We'll put it under the prank 622 00:30:35,000 --> 00:30:37,480 umbrella. It was shocking, honestly, how 623 00:30:37,480 --> 00:30:40,920 realistic the video was, and that's the problem now these 624 00:30:40,960 --> 00:30:44,360 idiot pranksters can do this and their videos look real. 625 00:30:44,640 --> 00:30:46,920 They look real. Anybody can make these videos in 626 00:30:46,920 --> 00:30:49,000 a second. He did another prank while in 627 00:30:49,000 --> 00:30:53,960 Home Depot showing a video to someones wife that was shopping 628 00:30:53,960 --> 00:30:55,880 around. Like a couple shopping around of 629 00:30:55,880 --> 00:30:57,640 the husband kissing another woman. 630 00:30:57,800 --> 00:31:01,120 So he made a AI video on the fly that can be made in like 5 631 00:31:01,120 --> 00:31:04,240 seconds and showed him this, which caused another stir which 632 00:31:04,240 --> 00:31:07,000 caused the cops being called on him again. 633 00:31:07,000 --> 00:31:11,720 Just annoying pest behavior causing disruptions, annoying 634 00:31:11,720 --> 00:31:13,880 other people that they're just trying to get through their day. 635 00:31:14,120 --> 00:31:16,640 Like people want to go to Home Depot just to look around and 636 00:31:16,640 --> 00:31:20,360 shop, maybe do a home project. They don't want to deal with an 637 00:31:20,360 --> 00:31:24,160 annoying person and his phone making AI videos filming them in 638 00:31:24,200 --> 00:31:26,880 a private business. But here he is excited about 639 00:31:26,880 --> 00:31:29,920 this content creation. I'm kissing another woman and 640 00:31:29,920 --> 00:31:32,840 showed it to the man's wife while recording her reaction on 641 00:31:32,840 --> 00:31:36,600 his meta glasses. That's going to be, my gosh, the 642 00:31:36,600 --> 00:31:39,200 metaglasses. He's also implementing that 643 00:31:39,200 --> 00:31:42,120 technology, Mark Zuckerberg's brilliant idea of the 644 00:31:42,120 --> 00:31:45,240 metaglasses, where you can, you can record anybody just with 645 00:31:45,240 --> 00:31:47,320 your glasses. And of course, he's using it 646 00:31:47,320 --> 00:31:49,560 exactly how we knew people would use it. 647 00:31:49,720 --> 00:31:52,480 This is the great technology that these companies are making 648 00:31:52,560 --> 00:31:53,760 being used. And of course, the most 649 00:31:53,760 --> 00:31:57,040 predictable ways possible by the worst people to invade people's 650 00:31:57,040 --> 00:32:00,680 privacy, disrupt their day, film them in private areas without 651 00:32:00,680 --> 00:32:03,120 their consent. And here he goes. 652 00:32:03,120 --> 00:32:05,520 And this is his reaction when being confronted about this. 653 00:32:05,920 --> 00:32:09,320 I just made a venue. With this one boss, I think my 654 00:32:09,320 --> 00:32:12,200 last one at Home Depot hit like I think like a mill. 655 00:32:12,880 --> 00:32:15,520 We need to get ahead of this. This is the type of person that 656 00:32:15,520 --> 00:32:17,840 we need to get ahead of this type of behavior. 657 00:32:17,960 --> 00:32:20,360 There needs to be laws immediately drawn to deal with 658 00:32:20,360 --> 00:32:22,320 people like this. If people like this are 659 00:32:22,320 --> 00:32:26,200 incentivized through social media to ruin other people's 660 00:32:26,200 --> 00:32:29,800 days for content for their benefit, we need to come down 661 00:32:29,800 --> 00:32:32,640 hard on this type of thing. People like this will not learn 662 00:32:32,640 --> 00:32:34,120 unless there's real consequences. 663 00:32:34,440 --> 00:32:37,240 First of all, the companies that are empowering him to do this, 664 00:32:37,480 --> 00:32:39,840 the social media companies that are allowing him to upload his 665 00:32:39,840 --> 00:32:44,320 content and monetize disrupting other people, the the companies 666 00:32:44,360 --> 00:32:46,920 like Google and Meta that are making the AI that he's using to 667 00:32:46,920 --> 00:32:49,720 make these videos should immediately revoke their access. 668 00:32:49,960 --> 00:32:51,840 He should be permanently suspended from being able to 669 00:32:51,840 --> 00:32:55,200 access these tools and Meta with their glasses, which he's using 670 00:32:55,200 --> 00:32:58,840 to record people privately and businesses should also revoke 671 00:32:58,880 --> 00:33:01,080 access. Meta makes you sign user 672 00:33:01,080 --> 00:33:03,360 agreements when you buy their glasses and when you use them. 673 00:33:03,600 --> 00:33:06,840 They should find out people like this and revoke their access 674 00:33:06,960 --> 00:33:09,960 because this is going to be a much bigger problem unless it's 675 00:33:09,960 --> 00:33:11,680 addressed. This is the fail of the week for 676 00:33:11,680 --> 00:33:14,760 a million different reasons, but hopefully we can get on top of 677 00:33:14,760 --> 00:33:16,360 it. Hopefully we can avoid this type 678 00:33:16,360 --> 00:33:19,440 of thing from becoming a bigger problem 'cause this person right 679 00:33:19,440 --> 00:33:22,680 here is just the beginning. If this type of thing's allowed, 680 00:33:22,680 --> 00:33:24,520 it's going to happen 1000 times more. 681 00:33:24,520 --> 00:33:26,000 That's going to be it for this episode. 682 00:33:26,080 --> 00:33:27,720 Hope you enjoyed. See you in the next one.