Analysis of Reddit's 'Black Friday Sale List' of Stocks Down From All-Time Highs

This analysis combines insights from a Reddit post [1] and internal financial metrics [0] to evaluate the ‘Black Friday Sale List’ of stocks down from ATHs:

• ORCL
  : 42.5% down from ATH, but its current ratio of 0.62 (insufficient current assets to cover short-term liabilities) validates bearish debt concerns [0].
• PLTR
  : 25.4% down from ATH, but its 334x P/E ratio (vs tech peer average of 25-30x) confirms overvaluation claims [0].
• AMZN/MSFT/META
  : 14.7-25.4% down from ATHs, supported by high analyst buy ratings (81-90%) and strong margins (11-36%) [0].
• NFLX
  : 22% down from ATH, with a 24% net profit margin aligning with its growth claim [0].
  The post’s framing of ATH declines as ‘sales’ ignores fundamental differences across stocks.

• Cross-Domain Correlation
  : PLTR’s extreme valuation undermines its ATH decline as a ‘sale’—valuation metrics are more critical than price drops.
• Liquidity vs Valuation
  : ORCL’s liquidity risk (current ratio <1) is a more pressing issue than its ATH drop, while PLTR’s problem is pure overvaluation.
• Analyst Consensus
  : Bullish stocks (AMZN/MSFT/META/NFLX) have strong analyst backing, which the post correctly highlights but does not quantify.

• Risks
  : ORCL’s liquidity risk (current ratio <1) requires monitoring; PLTR’s valuation poses downside risk; buying stocks solely based on ATH declines is a trap.
• Opportunities
  : AMZN/MSFT/META/NFLX offer potential due to strong fundamentals and analyst support.

Critical metrics for decision-making: