We're rounding the corner to home in building out our model portfolio on CommonStock. Many of you have noted that we haven't bought all the companies we've talked about. That's purely because we have to wait for permission to buy them because of our work with The Motley Fool.
As for our next stock, it is Clear Secure $YOU
Here's everything you need to know.
And be sure to leave a comment letting us know what you think for a chance to win $ 100
Most people know Clear b/c it helps you skip the ID line at the airport, but it has more uses
And the number of people signing up to use the service has been growing
While retention number are admittedly not stellar, we love the fact that Clear spends next-to-nothing on selling, as it has government-protected real estate inside airports (more on that in the moat section , too)
The moat is straightforward.
Network effect: more users, more incentive for airports, bars, stadiums to use, etc.
Switching: There's no real alternative
Intangible: that government-protected real estate
What's more, the company has some pretty solid financials, especially with cash flows. (stock based comp is the drag on net income)
One more thing on the horizon: an agreement to sell TSA Pre-Check and Clear as a bundle. This is in the test-phase, but could be a HUGE boon moving forward.
Here's what we would watch moving forward
But what do you think? This is a stock that's not on many people's radar...