Just because I’m negative on SentinelOne and somewhat negative on Zscaler, I want to reiterate that I think this is a great time to build positions in companies that are strong long term. I had over 30% of the portfolio in cash as of yesterday evening, but today I’m down to 15% cash. I’ve been buying.
Datadog is up to 30%. That’s a lot, but I have no doubts. They just raised their guidance mightily when others are slashing theirs. (Hello, Docusign)
MongoDB is currently over 15%. This is a database businesses are built on. They (Mongo’s customers) might go through tough times, but they will stick with Mongo, and others will choose Mongo (and are doing so) – I think this is a long term winner.
I’ve even added to Snowflake and Cloudflare, which are each down 64% YTD. I just don’t think these companies are dead. Who knows – they could have even to fall, or maybe not, but I believe in them long term.
Just a note of encouragement. Hang in there, everyone.
Bear
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Long term optimism, a long term investors’ best friend. It has served Warren Buffett well over the years.
Don
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PLEASE no more off-topic posts. Further posts will be deleted.
Thank you for your cooperation.
I. M. Young
Assistant Board Manager
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Hi Young, not sure why you feel it is an off topic question? I too was interested in Bear’s views on MDB, SNOW and NET and why he thinks they are better positioned to win in the long run.
Kuber,
It wasn’t so much off topic as it was out of touch. Najdorf has been around the board for years. He should know why we believe in these companies – it’s what we discuss here every day, when we’re not overrun with OT posts. He should have (maybe has) read the knowledge base, and Saul’s posts about what he looks for in companies and why it’s different this time, etc.
The thing is, on a long enough timeline, Najdorf will probably be right. No company is immune to competition. It might sound crazy to think Microsoft or Apple could be unseated, but 40 years ago that’s what IBM thought about the idea of Microsoft or Apple unseating them.
But companies have what we call S curves. Companies grow – the best ones for years and sometimes decades – before they get unseated. Those are the companies we’re looking for. I think Datadog, MongoDB, and Snowflake are among them – for all the reasons we’ve discussed on the board for years. If they prove not to be, we will keep constantly seeking the ones that are. Doing so has worked out pretty well for Saul for something like 30 years.
Bear
PS With the 15% cash I had left coming into yesterday, I have still been buying.
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