Mark Yockey, PM Artisan International: WealthTrack Preview

0

All over the world, stock markets are taking a beating. We’re seeing a number of things going on right now. Giants like Apple Inc. (NASDAQ:AAPL) are falling to levels they haven’t been at in a year, and stock yields overall are just hitting investors where it hurts. But most analysts agree that this is the time to invest because things will turn around eventually.

Mark Yockey, PM Artisan International: WealthTrack Preview

Artisan International Fund portfolio manager ($7.5B AUM), Mark Yockey, spoke with WealthTrack’s Consuelo Mack and discussed the global markets, as well as a key player that he feels is being overlooked. We have an exclusive preview of the upcoming eposide. Yockey said he believes that globally, the markets are undervalued, so this is the time to get in.

Charlie Munger’s Cancer Surgery Formula

charles munger moat valuewalk Charlie Munger competitive advantage great companies great brands GARP value investing value investors Google Alphabet profit margins Berkshire HathawaySometimes, even the best businesses lose their way. Companies like General Electric, which was once a giant of American industry, has flopped in recent years. It has been hamstrung by underperforming businesses and high levels of debt. Q1 2020 hedge fund letters, conferences and more Efforts to turn around struggling businesses generally yield mixed results. Read More


On Consuelo Mack WealthTrack on public television, Yockey said, “We’re having no problem finding companies to invest in. It’s really having to cull it down to the select ones that we want to be in.”

Yockey also highlighted one company that’s gotten a bad rap in the markets right now, and it’s not Apple Inc. (NASDAQ:AAPL), believe it or not. He said Baidu.com, Inc. (ADR) (NASDAQ:BIDU) is being penalized by investors for two main things, although he believes investors are misunderstanding what’s going on.

First, he said the company is being “penalized” for acquiring the Chinese version of YouTube. We could certainly start here in drawing comparisons between Baidu.com, Inc. (ADR) (NASDAQ:BIDU) and Google Inc (NASDAQ:GOOG), which acquired YouTube several years ago. However, Google shares have taken off like a shot in recent weeks, hitting a new record high this week briefly before falling back down today.

Second, he said investors don’t understand what Baidu is doing with its mobile search advertisements. The company just launched its new mobile browser in September, and it’s offering mobile search for free right now, he thinks that’s a smart move on Baidu’s part. He said mobile searches are usually done on cell phones, which usually means the user wants to do something immediately. As Yockey says, that’s a “transaction-oriented business. So that search ought to be worth more.”

Currently Baidu.com, Inc. (ADR) (NASDAQ:BIDU) is giving it away free, which seems a little strange since mobile search should be worth more than PC search. However, Yockey believes that mobile searches will become “three times” more important than PC searches, and so far it hasn’t been monetized. So even though Baidu is giving mobile search away for free right now, businesses are likely going to come to depend on it, which will likely make them more motivated to spend on it in the future.

“Personally, I think Baidu is going to double over time,” Yockey said.

The full interview will air Friday night on public television (check your local listings) and at wealthtrack.com on Monday, Feb. 25.