Fall 2024 (50th edition)

Chris Waller runs a concentrated portfolio and holds a long position in Watches of Switzerland, indicating his belief in the company's growth potential in the luxury watch market.

Chris Waller has a long position in Seaport Entertainment Group, suggesting confidence in its business model and future profitability in the entertainment sector.

Elie Mishaan holds a long position in Limbach Holdings, reflecting his focus on companies with strong management engagement and growth prospects in the construction and engineering sector.

Elie Mishaan's long position in Vertiv indicates his belief in the company's potential to capitalize on the growing demand for data center infrastructure and services.

David Baron holds a long position in Spotify, suggesting confidence in its ability to grow its user base and monetize its platform effectively in the competitive streaming market.

David Baron's long position in On Holding reflects his belief in the company's innovative approach to athletic footwear and its potential for market expansion.

David Baron’s long position in SpaceX indicates a strong belief in the company's future growth and its pivotal role in the aerospace industry.

The thesis presented by Jared Duda, Joe Ferguson, and Garret Wallis focuses on Valvoline, Inc. as a strong long investment due to its solid market position and growth potential in the automotive services sector.

The team of Erik Listoe, Daniel Sohn, and Yifan Wang argues that BlueBird Corporation presents a compelling long investment opportunity due to its innovative product offerings and favorable market dynamics.

Nadim Rizk mentioned owning shares in Novo Nordisk, highlighting its strong fundamentals and growth prospects in the pharmaceutical sector, particularly in diabetes care.

Nadim Rizk noted his position in Taiwan Semiconductor Manufacturing Company, citing its critical role in the global semiconductor supply chain and robust demand for chips.

Nadim Rizk discussed his investment in Moody's Corporation, emphasizing its strong market position and consistent revenue growth in the financial services sector.

Valvoline is positioned to capitalize on significant growth opportunities in the automotive services market, with a target of expanding its store count from 1,800 to over 3,500. The company's strong unit economics, disci…

The investor has followed SPX Corporation for many years and has a lot of conviction in the company's management and its position in the HVAC space.

Spotify is a strong platform with a well-known brand that continues to invest in improving its services. With a large base of 600 million subscribers, there is significant potential to convert the 400 million free users …

On Holding operates in a large market with significant growth potential, especially as it focuses on enhancing athletic performance and expanding into new activities. With Nike's growth stagnating, On has the opportunity…

SpaceX has a strong cash flow and balance sheet, with significant growth potential in both its launch and Starlink businesses. The company's ability to reduce launch costs and leverage its monopoly position in the market…

Novo Nordisk has disrupted the diabetes treatment market with its GLP-1 drugs, which have created a larger market opportunity despite impacting its own insulin business. The company has consistently generated strong fina…

Taiwan Semiconductor has evolved from a good business to an incredible company over time, similar to Novo Nordisk. The company is a leader in semiconductor manufacturing, which positions it well for future growth as dema…

Moody's operates in a duopoly with S&P, providing a highly sticky business model that offers significant ROI for clients through cost savings on bond issuance. This creates a strong incentive for companies to seek rating…

Garrett mentioned Valvoline, Inc. as a stock he is considering, indicating a positive outlook on the company's performance.

We recommend a BUY for Blue Bird Corporation (NASDAQ: BLBD) with a base-case price target of $65, implying a 16.1% IRR through 2027. The company is positioned to benefit from structural tailwinds in the North American sc…

TerraVest is a Canadian small cap business in the storage tank sector that has generated returns on capital of about 25%. With a third of the company owned by insiders and management demonstrating high integrity and stro…

Watches of Switzerland is a leading retailer in the luxury watch market, particularly with Rolex, and has shown significant growth potential, especially in the US market where it has grown 30% annually over the last five…

Seaport Entertainment Group is a spinoff from Howard Hughes, which has been weighed down by less desirable assets. The company is currently undervalued at $25 per share, especially with Pershing Square backstopping the r…

WOSG has a strong partnership with Rolex, generating high returns on capital. The company should focus on expanding its Rolex business rather than diversifying into lower-return areas. Acquiring smaller businesses with R…

Installed Building Products is an installer of residential insulation with a compelling growth story driven by management's ability to roll up the industry. The company has shown resilience through temporary decreases in…

Limbach Holdings caught our attention due to a management transition with the promotion of Mike McCann to CEO. The company, with a market cap of about $300M, fits our investment criteria in the SMID cap space, where we s…

Limbach is transitioning its revenue mix from low-margin general contracting to higher-margin owner direct relationships, which has already improved profitability. With a strong balance sheet and a strategy to roll up sm…

Vertiv has a leading market share in power distribution and thermal management products, with significant margin expansion opportunities under the guidance of experienced management. The company is well-positioned in a g…

Rudi van Niekerk from Desert Lion Capital believes in the long-term growth potential of VRT due to its strong management team led by Dave Cote, who is focused on improving operational efficiencies and driving margin expa…

Rudi van Niekerk mentioned increasing exposure to LMB as part of a strategy to allocate capital to companies with strong value drivers, indicating confidence in its performance relative to other investments.

Elie Mishaan from Bryant Street Capital sold SPXC because its multiple exceeded their view of fair value, but he acknowledges that it has performed well since the sale, indicating a strong underlying business despite the…

Spotify is founder-led with Dan Ek holding a 15% ownership stake, aligning his interests with those of investors. The company is expected to achieve over 20% revenue growth, and despite perceptions of operating in a comm…

On is currently undervalued at 15-16x EBITDA, while its growth rate is significantly higher than that of competitors like Nike. With expected valuation at 30-35x EBITDA due to its strong growth and founder-led management…