🚨3 STOCKS I'M BUYING AND WILL NOT SELL AT ALL FOR THE NEXT FIVE YEARS!

Summary

In this video, the speaker shares three stocks they are buying and holding for the next five years, confidently ignoring market volatility. The stocks include Eletrobras, which is poised for growth and dividend payouts, Suzano, the world’s largest producer of short-fiber pulp with strong growth prospects, and Banco Inter, a digital bank with expanding international reach and a bright future. The speaker highlights their solid business models, efficient management, and long-term potential, offering valuable insights for investors looking to hold these stocks for the future.

Takeaways

• 😀 The speaker is sharing three stocks that they are confident in holding for the next 5 years without fear of selling.
• 😀 It is important to understand that markets change, especially in Brazil, but some companies have solid business models and growth potential.
• 😀 Eletrobras is the first stock mentioned. The speaker believes it is undervalued and poised for growth due to its efficient management and major infrastructure projects.
• 😀 Eletrobras' governance improved after an agreement with the federal government, and it is expected to become a major dividend payer in the future.
• 😀 Suzano is the second stock. It is the world’s largest producer of short-fiber cellulose, which is in high demand globally, particularly for environmentally friendly products.
• 😀 Suzano has a competitive advantage due to its low production costs and huge cash generation, which positions it well for long-term growth.
• 😀 Despite paying fewer dividends, Suzano is reinvesting heavily in growth and may acquire other companies, such as International Paper, for further diversification.
• 😀 The third stock is Banco Inter, a digital bank gaining traction, especially among young people. The speaker sees it as a solid investment for the future.
• 😀 Banco Inter's growth is not just domestic; it is expanding internationally, with plans for growth in countries like Argentina.
• 😀 The speaker encourages viewers to join their mentorship program for more personalized investment advice and to explore additional stocks beyond the three mentioned.

Q & A

Why does the speaker believe Eletrobras is a good investment for the next five years?

The speaker believes Eletrobras is a strong investment due to its low valuation, competent management, and its significant potential for growth. The company has been improving operational efficiency and is expected to pay substantial dividends in the coming years.

What sets Eletrobras apart from its competitors in the market?

Eletrobras stands out because it is the largest electricity generator and transmitter in Latin America. This essential sector, combined with its improving operational efficiency, positions Eletrobras for long-term growth and profitability.

What major change improved Eletrobras' governance in recent years?

The governance of Eletrobras improved after an agreement with the Brazilian government, which resulted in a reduction of government interference. The government's influence was limited to two seats on the board, and the removal of Guido Mântega from the board further solidified the company's autonomy.

Why is Suzano a strong investment according to the speaker?

Suzano is considered a strong investment because it is the largest producer of short-fiber pulp, which is increasingly in demand globally. The company has the lowest production costs, generates massive cash flow, and has significant growth opportunities, including potential acquisitions.

What makes Suzano's production of short-fiber pulp a key advantage?

Short-fiber pulp is more cost-effective and environmentally friendly than long-fiber pulp, leading to higher global demand. Suzano's ability to produce at a lower cost while meeting this growing demand gives it a competitive edge in the industry.

How does Suzano's approach to dividends differ from other companies?

Unlike many companies, Suzano does not prioritize high dividend payouts. Instead, it reinvests profits into growth opportunities, which the speaker believes will yield high returns for investors in the long run.

What potential acquisition could further strengthen Suzano's position in the market?

Suzano may potentially acquire International Paper, which would further diversify its product portfolio. This acquisition aligns with Suzano's strategy of consolidation and expansion, leveraging its cash flow and profitability.

Why is Banco Inter a surprising pick for the speaker’s portfolio?

Banco Inter is surprising because it is a digital bank, and many investors typically focus on traditional, larger banks. However, Banco Inter’s solid portfolio of services, competitive pricing, and impressive growth make it a compelling investment, especially considering its expansion beyond Brazil.

How does Banco Inter compare to Nubank in the digital banking space?

Banco Inter offers a better product portfolio than Nubank, but its valuation is significantly lower, trading at a much lower multiple. While Nubank has more customers and is more mature, the speaker believes Banco Inter will catch up in terms of profitability and market share.

What future growth opportunity does Banco Inter have outside of Brazil?

Banco Inter is expanding internationally, particularly into Argentina, which opens up a new avenue for growth. The company's success in replicating its business model in other countries could significantly boost its customer base and profitability in the future.