0:06
Sean, you and I were sent something from our friend Jack.
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0:09
Steph, I'll I'll fill you in.
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So, basically, there's this guy named Ryan Cohen.
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Ryan Cohen, he started chewy.
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com, which is a like Amazon for pet stuff, when he was young, right?
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Sean, I think he was like in his early 20s.
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And he was aggressive when he started it.
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He raised a ton of money.
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He started it out of uh Florida.
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So, he was very much like an individual thinker.
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He was like, "No, I'm not doing Silicon Valley.
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We're going to do this out of Florida."
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He raised like a billion dollars, a huge sum, ended up selling it for three, four, five, six billion.
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I don't know the exact amount.
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Then it goes public, worth uh many billions.
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But, after doing that, he made, I think, around like $600 million, like a a huge amount of money.
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And after he made that money, there was an article written where he goes, "I pretty much put all of my money into two stocks, Apple and Wells Fargo."
1:01
So, he put like all of it in there.
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And since that article went live, that means that the money that he put in there has gone up 361%.
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Then, about a year and a half ago, he noticed that there was a brand that he loved that wasn't doing so well, and he thought, "These guys can totally revolutionize the game, but they're just really like getting they're getting crushed right now.
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I'm going to buy 10% of the company," which he did, for $76 million, and that company was GameStop.
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And when he bought GameStop, that's when this whole like meme stock thing went down, cuz everyone was like, "Ryan Cohen bought it."
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And he actually it worked.
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He turned the company around, or at least it's in the process, but it's being turned around.
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And his $76 million he turned into 1. 1 billion.
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And he currently still owns like 13% of the company, is on their board of directors.
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Now, just this morning, it was released or announced that he just bought 10% of Bed Bath & Beyond.
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So, he's doing the same thing and this guy is a madman.
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I think I'm almost positive he's still only 34 or 35 years old.
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I also researched on LinkedIn.
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I'm almost positive that it's just him, like he doesn't have an employee.
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Maybe he has an assistant, but it's like just him like searching around for stuff.
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So, this man's crazy and I love him.
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So, his money's already up. Uh yeah, okay. He's amazing.
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I feel like there should be like a ticker for just like stocks that aren't small that have fallen like 80 plus percent from their highs.
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It's like what crazy operators want to like come in here and totally turn this thing around.
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I feel like you could also have a podcast about that where you just like you find a stock like Bed Bath & Beyond and you're like, "Look, highs were at $80.
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It's now at What was it before this? Like $6."
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Like, what would you do if you were operating this business and have people like come on and battle like Jeopardy-style and see who comes out with the best strategy. That's kind of cool.
2:58
Yeah, right now there's like a whole bunch of growth stocks that are down, you know, somewhere between 50 and 80% from their all-time high.
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And uh you know, stocks like Zoom and uh you know, Fastly and a bunch of others.
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And uh there's, you know, there's like kind of like that Warren Buffett phrase, you know, be uh be greedy when others are fearful and fearful when others are greedy.
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And uh It sure does seem like now is a good time to be greedy when others are fearful, right?
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Like uh there's a lot of you know, opportunity everywhere in the market.
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And so, you you know, if these are things that you believe in on a 10-year timescale, then like this is a fantastic entry point.
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Uh here's another interesting one.
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So, I have I was thinking about this Bed Bath & Beyond thing and GameStop and my friend Joe sent this to me.
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So, if you guys remember Express, Yeah.
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I don't know if they if they have that in Canada, Steph, but Express, mostly women's clothes.
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It's like it was like fash fast fashion before that was like even called a thing.
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So, look at what their market cap is.
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I think their market cap is $250 million right now, but their EBITDA is $150 million.
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So, I think Express is an interesting one, too.
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Yeah, but you got to look at like the debt and all the all these other obligations and these things.
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They have a They have a ton of debt. Yes. They have a ton of debt. That's the problem.
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They've got a ton of debt.
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Michael Jack was a like a Ryan Cohen is basically he's doing the Tai Lopez playbook of buying old retailers and spinning them into like, you know, e-commerce and sort of rejuvenating these big old brands.
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You know, he's doing the same playbook as Tai Lopez, just without being Tai Lopez, which is actually a great idea.
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In general, that's a great business plan to follow.
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Do the Tai Lopez playbook without being Tai Lopez is like a a a great great idea.
4:44
When people talk about buying when the like buy buy the dip, I hate that.
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I'm cuz I'm like I don't I don't have any money to buy. do the dip.
4:54
Yeah, yeah, that's what I got to do.
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I don't know whenever people say buy the dip, I'm like with what? I I don't own anything.
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What do you What do I do?
5:02
Well, you don't keep any dry powder.
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I feel like you always you're always Mr.
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like safety net with cash and other things. You have dry powder.
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Why aren't you buying the dip? I have $100,000 in cash. Oh, wow. Okay.
5:13
I thought you used to have a way more in cash.
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Now that Now that you're a short-term real estate mogul, you've deployed everything or what?
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I've deployed everything.
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Yeah, I don't I Yeah, I I don't have that much cash.
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I don't have enough What?
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Do people just hold like keep cash in a checking account? Yeah, certainly. People do that. They do CDs.
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They do, you know, different like different versions of like a market neutral like, you know, cash position. I own bonds. I own a ton of bonds.
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Seven figures of bonds, but Why did you do that?
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Who Who told you to do that?
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Uh it's 5% of my net worth is in bonds. told you to do that?
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Don't Nobody buys bonds on their own.
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Everybody gets told to buy bonds.
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My My A lot of my portfolio is 90/10.
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So, 90% equities, 10% bonds.
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You don't You don't Wait, do you own a bond? own a single bond. Steph, do you?
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I don't own a single bond. Really?
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But I feel like Sean's right.
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Like, what What rate are you getting on these bonds?
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Aren't interest rates at like zero? Yeah, nothing. Like, 2%. Yeah. I don't know.
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This is just like traditional into a money-losing position. Congratulations.
6:22
Wha- Well, actually, that's a good question.
6:23
With With havoc going on right now, Sean, from one Is your net worth down from 1 year ago today?
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If Assuming you did not add any new cash. Yeah, for sure. 1 year ago?
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Cuz 1 year ago was like a market high, right?
6:36
Like, uh if you're talking about right after the COVID bounce.
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So, like, let's say COVID crash, then COVID recovery all happened in like a 3-month period or 6-month period, basically.
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So, let's just take the all-time high last year to today.
6:51
I got to be down 25, 30% easily. Easily 30%.
6:57
I would have thought it would would have been a lot more because of you have more high-risk stuff.
7:01
Uh, yeah, but like a lot of my stuff's in Amazon stock, and Amazon stock has done fine.
7:05
You know, it's down a little bit, but uh Yes, that one's not so bad.
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And I would say like, you know, that's a pretty large position.
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So, that's not super That's not very risky, uh in my opinion.
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And um you know, crypto crypto's, you know, down whatever 30 30% 35% from last year, most of it.
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But I have a few like altcoin bets that have done really well.
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So, like uh I was on here talking about Luna not long ago.
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Luna's up 100%, so it's like, you know, that That doubled while other stuff went down 30%, so it's okay, you know. We do all right. All right.
7:37
But, Sean, where's your psychology at?
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Because I feel like, you know, everyone knows the strategy.
7:41
Like, yeah, buy low, sell high, but when this actually happens, when all your stocks or all your investments go down, it's like so hard to actually maintain that psychology and be like, "Oh, yeah, I'm totally going to put more more money in the market."
7:55
So, are you like is your conviction still as strong as it used to be?
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Are you like, "Yeah, this is like awesome.
8:00
I'm going to buy the dip." or are you struggling? Quick interruption. Do me a favor.
8:07
Scroll down and you're going to see a link to the Hustle.
8:08
So, if you want to stay up to date on the tech and business news you need to know, check out the Hustle. It's a daily email. I used to help write it. I love it. So, check it out. Scroll down below. Let me guess. Don't talk, Sean. Don't talk yet.
8:19
I have a feeling that this means nothing to you and you're totally cool about this.
8:25
Uh it's actually even better.
8:25
I don't even look like I don't look at it cuz I'm like, "Oh, why would I look?
8:28
It's just going to be down."
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So, I just don't look, which means I don't think about it, which is actually like the correct way I should have been doing it all together.
8:35
Like, waking up and seeing green put a little nice little pep in my step, but was sort of this like false positive.
8:41
And um and now I just don't look cuz I'm like, "Oh, yeah, of course I'm down 5% again today." Like, what?
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I just lose 5% every day or 2% every day.
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That's just like a an average day now.
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So, I just don't even look at it.
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And because I'm not looking at it, it doesn't matter cuz I wasn't selling I wasn't selling when it was going up.
8:59
I wasn't not selling when it's going down.
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So, it doesn't really matter the day-to-day fluctuations of it.
9:03
So, now it's just I just get some time back because I don't like want to go look at it cuz I don't want to see any carnage.
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So, I'll just I kind of ignore it and just go about my my day and uh you know, I kind of ask I'll pause.
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I'll ask myself, you know, "Has anything changed?"
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Meaning, do I view these investments differently now?
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Do I do I no longer believe that these are good good investments to be in over like a 5-to-10-year period? No? Okay.
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So, then, you know, what am I thinking about?
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There's nothing nothing to nothing to think about essentially at this time. Do I buy the dip?
9:30
Uh that's one where, you know, sometimes I like I do like to just chill.
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I just like sit on the sideline for a bit um because I'm a pretty like I've spent a lot of time in my life gambling.
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Like I literally played a lot of poker, a lot like I've spent so many days in a casino and so I know the feeling of chasing a loss, trying to win it back.
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And um and so I just like to make sure that I'm not doing that.
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So there's a difference between buying the dip and chasing a loss um and you know throwing good money in after bad.
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And so just trying to differentiate between the two.
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Like am I on tilt or do I actually believe that you know this is a good good entry point and you know whatever else.
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So I would say the one thing this does do is it heightens my focus on earning money cuz like oh I need to like earn money.
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I can't just rely on my investments, you know, completely.
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So like what do you know? I got off my ass.
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I taught my course and I like submit my invoice for for the podcast and I like I do things that I like will bring cash in because otherwise, you know, uh it's easy to get lazy when when everything's just going up so much. Right?
10:31
There's many days where you could just look at your portfolio and just be like wow, that was a whole year's worth of salary just today. Swing like swing up.
10:38
So that that kind of makes you kind of lazy into like do the work that day in a way, right?
10:44
Because it's like oh well this if this just can earn that much money just doing nothing every day like why do I need to go hustle for that, you know, that next dollar? I feel you, bro.
10:53
feel like a lot of people are feeling that way.
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They're like oh wait, I have to work.
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Like this doesn't last forever. healthy.
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Very healthy position to be in.