Francisco Jose Ortiz @FranciscoOrtiz13: "📉 Market panic often creates..."

Georgia

📉 Market panic often creates the best long-term opportunities There is a common belief that markets are perfectly efficient and that major opportunities in large-cap stocks no longer exist. Bill Ackman made an interesting point yesterday, arguing the opposite. His view is that today’s market is increasingly dominated by: - passive/index flows buying automatically regardless of valuation - short-term, leveraged capital that is highly intolerant to volatility When those two forces collide, temporary dislocations can appear even in some of the highest-quality businesses in the world. We saw this with $GOOG (Alphabet) after the release of ChatGPT in late 2022. The market narrative quickly became: • Search is dead • OpenAI will destroy Google • Alphabet is structurally behind Meanwhile, we were buying. The same happened with $AMZN (Amazon.com Inc) after Liberation Day fears: • tariffs • consumer slowdown • margin pressure Yet AWS continued growing, and Amazon kept reinvesting aggressively into long-term infrastructure. We were buying. More recently, $META (Meta Platforms Inc) sold off sharply after large increases in capex guidance. Many investors interpreted this as: “Meta is overspending”. Ackman (and we) viewed it differently: long-term AI infrastructure investment with significant future monetization potential. Now he believes something similar may be happening with $MSFT. Current concerns include: • AI competition • Azure growth durability • OpenAI relationship changes • elevated capex • multiple compression However, Microsoft still owns some of the most deeply embedded enterprise franchises globally: - Office / M365 - Teams - Azure - GitHub - LinkedIn M365 alone has over 450 million daily users. The key point is not whether Ackman is ultimately right. It is the pattern. Great companies occasionally become temporarily mispriced when markets confuse: “less perfect” with “structurally broken”. That distinction matters enormously for long-term investors. And honestly, could something similar be happening with $MELI (MercadoLibre Inc) right now? The market seems heavily focused on: - margin pressure - investment intensity - competition - short-term profitability volatility While the underlying ecosystem continues expanding aggressively across commerce, fintech, logistics, and credit. Not necessarily the same situation. But an interesting parallel worth thinking about. We bought more MELI (and more $NU (Nu Holdings Ltd.) too) Market panic often creates the best long-term opportunities (and this happens even with the best companies in the world)

Not investment advice. The author may have financial interests in the mentioned instruments.