TRANSCRIPT
for joining us once again we’ve got a
lot of good stuff today so Ron’s going
to share with us uh a little bit about
some bankruptcies that happened last
year a lot of economic activity that’s
happened and some interesting fun stuff
so stay tuned we’ll be right back on in
just a second
[Music]
[Applause]
[Music]
all right folks welcome to the show Hey
Ron how you doing good morning Jeff I
Holiday Traditions and Boredom
know it’s our second episode of the new
year I got some fun stuff to share uh I
got to tell you before the holidays you
and I were joking about Watching Elf
watching Christmas Story You’re a fan of
Christmas vacation from that wasn’t
always one of my favorites but we and
this year we totally broke tradition
because we ran out of time and we
actually watched Christmas vacation on
Christmas day which was just it just
destroyed the whole Mystique of our
Christmas season watch and I got to tell
you I did watch it again there was still
there were some funny scenes in there it
it was one of my favorites it was good
and I’m a Chevy Chase guy so I got to
tell you so during the holidays there’s
some boredom right there not as much
activity with work things like that so
I’m rooting around the channels so I got
Unbelievable Sports: Slapping and Pillow Fighting
to share this because I’m telling you my
man I think we’ve hit a new low so I
believe it was on ESPN 2 but alternative
Sports they call it the oo like ESPN
from the movie Dodgeball that’s where
they took that from so you’re not going
to believe this so you’re familiar with
the UFC Ultimate Championship absolutely
with MMA yep now apparently I don’t know
if you’re aware of this oh actually
before I show this UFC I don’t know if
they bought it but they were interested
in buying it in the slapping contest yep
I actually watched a I watched an entire
documentary on Fox The Fox Nation
Channel about this idiotic sport yes and
these guys they they put chalk on their
hands and they sit there and hopefully
they got a mouthpiece and they just
whack each other to see who knock each
other out dumbest sport
on I’m going to probably one up you
because I don’t think you’ve seen this
make this next sport have some
credibility they brought in former MMA
fighters oh good lord ready for this so
you’ve heard of the UFC they now also
have the PFC the pillow Jesus Campion I
am not kidding you can go to this
website I was going to try and do
pictures of the fighters or a video but
I don’t know about copyright so I didn’t
do it so you’re going to love this so
here are their sponsors escaped is their
lead sponsor okay and here are official
pillow fight pillows that you could buy
from Harris pillow Supply so wow
basically a pillow with canvas handles
that you’re whacking each other and the
best part I really love the top there
combat pillows yes hold on I’m it’s G to
get better my friend so when you’re
watching this I love the announcer they
got a top they got a topnotch announcer
to try and make this sound like combat
guys right oh a spin aama things like
that so anyway where this fight was done
first of all they have ring girl okay
horse
yeah then there’s a $5,000 prize for the
champion of the fight now wow when they
were sh this it literally looked like it
was in a high school gym it was in rock
Rockland Rockville North Carolina so
here’s the best part when the announcer
is ready to announce the
champion he’s going through like the
nicknames do you remember with Sylvester
Stallone yep Apollo Creed the master of
disaster he great nicknames so here they
are these are some of the ones that they
have for the pillow Fighting
Championship so they add some taglines
for the new champion and I’m not going
to do it justice but there were three
fantastic ones but I had to pause go
back and write down for this here we go
king of pillow fism wait it gets better
the master of noal
knockout here we go the last one was the
of
my
God we so the Opera quick have we hit a
new low absolute low I thought honestly
I thought the slapping idiots was bad
this is awesome but hold on go to the
website they have some video of these
two
guys beating the crap out of each other
with a canvas pillow wow this is on EXC
not
a combat
pillow I I think the funniest part
though is that they’re also sponsored by
Dr Pepper so I’m trying to figure out
how Dr Pepper fits into this besides the
fact of somebody going I’m a pepper
you’re a pepper hit him in the head with
a pillow but also notice the logo of PFC
I wonder if UFC if this is a
subsidiary trying to Branch out into
anything it has to be and Dana White is
a genius when it comes to promotion but
yeah it it just sounds too much like
something that UFC is involved with yeah
all right wow Moving on but yeah you got
to check you got to check it out I was
afraid to use any pictures of the
fighters or the video but oh my god oh I
just got the master of nocturnal
knockout so here we are these were
Bankruptcies and Economic Trends
companies that went bankrupt last year
now I don’t think most of them were
chapter 7 which was liquidation these
were chapter 11 but remember mid year we
were talking about Red Lobster yeah stoy
is interesting because I don’t know if
you saw the the thing that came out in
the last couple weeks all the alcohol
companies have been hurting in the last
couple of months because they’re saying
Millennials aren’t drinking as much
they’re really not yeah yeah I am a
vodka and tequila snob right I do not
drink any vodka or tequila owned or
endorsed by a celebrity other than skull
vodka which Dan akroy owns and he bought
the company to save a town in Canada
yeah but I got to tell you the one vodka
I always hated with stoy yep oh this is
interesting yeah it’s it’s really I mean
it’s a totally new world with the with
Millennials especially gen zers you know
those ones that are turning 21 and you’d
think they’d be out drinking and they’re
just it’s that’s just not how they’re
wired and when we were growing up in the
80s and the ’90s this was in its he days
but I to tell you I was at one about 10
years ago it seems like it’s been on a
steady decline for a while they tried to
give it a refresh with the Brandon
whatever that’s been St but it’s still
when you go into them they’re the same
kind of they just look like they’re from
the 80s it reminds me of what was it uh
the the prime rib place when we were
growing up God I can’t think of what it
was
tell no steak and alses you know it was
like they were a good place when we were
growing up that’s where you went for
your nice and all that and then they
just never changed and they just got old
and there’s just too much competition in
that world Y and the big locks doesn’t
surprise me I’ve been in one or two I
can’t remember but Dollar General and
all those other stores look at their
stocks in the last couple years yeah
they’re getting CR straight down at an
alltime high right yeah it’s you would
think that the trade down that okay
people are going there my wife and I go
to Dollar Tree all the time because she
does all kinds of projects and she
writes books on how to create help
projects and stuff like that from Dollar
General we’re in there quite a bit and
honestly it’s way the hell cheaper than
going to a Hobby Lobby I can get the
same stuff at Hobby Lobby for about
eight times more that I can get it
Dollar Tree so I don’t understand why I
just don’t think they’ve got enough
margin no that’s exactly right because I
was told if you’re going to get like
basic supplies like a luno foil or
whatever Dollar Tree Dollar General are
fantastic but they tell you never buy
food or even canned food there because
typically they’re getting it right near
exporation or past exploration on the
cheap for other little supplies I get it
all right moving on I thought this was
Microsoft’s AI Investment and Market Valuations
interesting Microsoft announced that
about for their AI expenditures in 2025
will be $80 billion half of that
domestically half of that globally and I
thought it was interesting wait a minute
they’re gonna spend 80 billion what are
the companies that are valued at 80
billion and under so these were just
some notable companies that I thought
were interesting you got mandes
Constellation Energy yeah sna that
Illinois toolworks which is huge
absolutely but here’s here’s a a little
bit of conversation uh or fod for
conversation door Deb yes 51 billion ow
you know what this is what always has
got me about this every now and then I
got a McDonald’s across the street on
the way in I’ll get an Egg McMuffin
right yeah got pretty good coffee but I
get an Egg McMuffin next to the the cash
register there are shells there for the
door Dash and the GrubHub people to get
that I’m thinking to myself if you’re
sick and you can’t get out of bed okay
makes sense
okay freaking McDonald’s has drive-thru
if you don’t want to be seen or get
dressed yeah if you are so late you
won’t even get off your lazy butt to
drive over to pay $25 for an eggc muffin
a coffee and a hash brown yeah by the
time you get done with door Dash fees
and gratuity yeah R rarely if ever can
you be more than about four or five
miles from a from any fast food
restaurant unless you live way out in
the middle of the country and you
couldn’t get a door dash out there yeah
the world has changed yeah get on a
freaking Ro get the car go your driv
through give me a break this is where
like
the excess of yeah I got a buck in my
pocket screw saving
50 ridiculous but I also had to look
them up D Das hasn’t really made any
money I think acted to make a profit
this last quarter but think about how
many
deliveries they have to
do oh and by the way their forward PE
ratio is like a
37 because that’s expected it’s expected
because they haven’t been making money
there’s no PEG ratio there’s obviously
no dividend I don’t know I don’t know
that’s the only thing they do I look at
Uber Technologies and Uber has they
they’ve so Diversified what they do it’s
such a better investment in the long run
not recommending you buy Uber I’m just
saying it’s a better investment but come
on Jeff give me a break here door Dash
has a higher capitalization than Target
Republic Services Northrup Grumman and
bed act yeah
just it’s
insane all right enough of that anyway I
just thought it was just some
interesting taking a look at what
companies are worth what Microsoft is
spending and then door Das just well and
Microsoft also they just announced what
was it three or four weeks ago that
they’re acquiring the former Three Mile
Island facility oh that was a while ago
yeah yeah so that they can power their
data centers and stuff like that that is
absolutely insane that these private
companies are basically building new
actors to be able to manage their data
centers and when they had their accident
in 1979 or 80 I was actually I lived 100
miles east of that
yay and by you know I actually dated
somebody that grew up near there and
apparently there’s a lot of adults that
are having that have had issues or died
of strange circumstances or of odd
things earlier in life there I didn’t
realize but there were studies done over
the last four decades on this and
somebody had brought it up to me she had
brought it up to me it was pretty
interesting we’ll see if they make the
improvements we’ll see yeah hopefully
all right so I thought this was
interesting because we always follow the
10-year yield and this the number what
happens in the cumulative change in
10year yields after the FED starts
cutting rates and I realize this looks
like a bunch of spaghetti here but
obviously when they start cutting rates
this is the beginning or during sluggish
time in an economy and I thought this
was interesting that this is only second
fastest increase in the 10year next to
1981 when Reagan came in and he had a
horrible recession it was shortlived but
everybody thought here we are is the
1970s all over again until he went
through deregulation and tax cutting and
things like that so we’ll have to see
what happens if this is a Reagan 2 .0
even though interest rates were much
higher then sure we’ll see I think
economy was way worse back then oh yeah
you and I both remember like sitting in
our parents’ cars where you had to go
every oppos odd day to get gas and stuff
yeah that was like 78 is yeah that was
the odd even and it was like if you had
an even number one day odd number the
next day and you had if you had a if you
ended with a letter I think it was a
through K was like the odd day and
day yeah it was insane so yeah it was
just like I said Carter was not the
greatest of presidents but he was dealt
a pretty tough hand to begin with so I
agree and then my last one I had to
Mergers and Acquisitions Under Biden Administration
bring this up because when we were going
through our expectations for
2025 Healthcare was one of my big things
and I really thought that was mainly
going to be because of of of a future
m&a but I saw this yesterday and I had
to borrow this slide um I did not
realize just the lack of m&a during the
Biden Administration look a lot of
people were not happy this we that’s a
whole separate conversation but you want
to talk about just absolutely putting
handcuffs on deals and maybe some of
them are well-founded as far as you know
again bad for the consumer whatever but
this chart is terrible I mean can’t even
compare it with 2020 because of Co but
just terrible it’s okay there was a
reason yeah okay there’s an economic
reason in 2020 2021 companies were just
okay we can’t make any decisions at this
point but this is just straight up
governmental we’re just going to put
every block in the way and not allow any
of these deals to come it’s wow but that
is that is a massive drop so hopefully
we’ll see some because there there’s a
lot of mess you think about all those
bankruptcies that you showed up there
were why were there not other companies
going hey let’s see if we can like stoy
okay you went bankrupt okay maybe
somebody else wants to pull that into
their portfolio like their assets there
they just got to refinance debt
yeah yeah wow interesting to some of
those things we more next week we’ll
have to see because m&a absolutely Spurs
the markets I don’t know how much we’re
going to see this year we’ll have to see
because there are other priorities but
um certainly if the market does
precipitously pull back which we’re not
wishing for but if it does m&a activity
should absolutely pick up it up a lot I
think the biggest will get bigger yeah
and we’ve seen that in the banking
systems and everything else the bigger
get bigger and the smaller struggle at
that point and that there’s a few
companies in the middle that are they’re
fighting for either direction at that
point yeah I think there’s always going
to be investment opportunities we just
have to find them and and deal with them
when we have that opportunity
Conclusion and Call to Action
so I hear you so I guess we’ll have to
give uh PFC pillow fight Championship
updates at least once a month and if we
can get the copyright permission got to
show a couple of Clips just to do an
outtake of our podcast I here’s my
absolute dream and I will leave it with
this all right the Florida
man
PFC series it would be
awesome king of pillow
pism that is awesome thank you for
sharing that because I I honestly I
thought you were going down the path of
the slap championships and you just
added so much value today oh my goodness
oh my goodness all right tell you I’ve
been holding those slides for two
weeks put it together and I I saved the
episode I had to go get say that is
awesome that is absolute awesomeness
folks go out there join the pillow
fighting championships and watch it it’s
on ESPN 45 I’m sure at this point
because it can’t have moved up that far
but we’re here for you welcome to the
new year can’t wait to share a lot with
you make sure you subscribe to this
Channel right now do it wherever you’re
at do it on the podcast channels do it
on the YouTube channel and make sure you
are listening because we’ve got all
kinds of fun stuff like that and we have
added a lot of value with the pillow
fighting championships this week so
we’ll see you here next week