7investing Lead Advisor Matthew Cochrane’s top stock to buy in February 2022 is investing heavily now to build out a technical and physical infrastructure that will make it difficult for business rivals to duplicate. These investments are depressing cash flow now, but should provide patient investors with impressive returns for years to come.
February 1, 2022
Matt’s recommendation this month looks expensive by traditional valuation metrics because it is investing heavily in its future, but he believe these investments will provide a great return for patient shareholders. It also has proven economic moats surrounding most of its business segments and has optionality in spades, meaning there are several future paths it can take to secure additional streams of revenue.
Sometimes the best stock recommendation is the one hiding in plain sight, the one everyone knows about. You don’t have to get into the ground floor of the latest and hottest IPO to realize market-beating returns in your portfolio.
Hi, I’m Matthew Cochrane, lead advisor at 7investing. There are several things I look for when making investments. I want the companies in my portfolio to have strong economic moats, or competitive advantages. I want my companies to have optionality, meaning there are several future paths they can take to secure additional streams of revenue.
My recommendation this month looks expensive by traditional valuation techniques, because it is investing heavily in its future and I believe these investments will provide a great return for patient shareholders.
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I’m Matthew Cochrane, we’re 7investing, and we’re here to empower you to invest in your future.