value and opportunity
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Slow value investing & special situations by value and opportunity.
value and opportunity
4d ago
It’s Belgian Power Week on the blog this week with a second post in the “All Belgian Shares” series. From these 20, randomly selected shares, 7 made it onto the preliminary watch list, including some really interesting companies. Let’s go !!
121. Galapagos
Galapagos has nothing to do with the Islands in the Pacific but is a Biotech company that has spiked during Covid and lost -90% since then. They do have sales and even some earnings and according to TIKR, they have a negative EV of -1,8 bn.
Gilead owns 25% of the company. For some strange reason, the negative EV attracts me like a fly to the ..read more
value and opportunity
1w ago
With this post, we crossed the “half-time” mark for the Belgian Stock Market. Among these 20, in random order selected stocks, 6 made it onto the watch list, among them a former holding of mine. Let’s go:
101. Newtree
According to TIKR, this 17 mn EUR market cap company “provides chocolates, spreads, snacks, gifts, and coffee products. It also offers products through online”. On their investor website, annual accounts are only available to 2018. “Pass”.
102. Elia Group
Elia is th 6,6 bn EUR market cap operator of the Belgian Electricity transmission network. They also own and run 50 Hertz, one ..read more
value and opportunity
2w ago
An interesting collection of 3 “Oddball stock picks” form the Bargain Stock radar Substack
Interesting write-up on market research firm YouGov Plc from Robin Research
The WinterGems substack with a portfolio update and the “50% draw down” test
“Every stock has a shelf life” – very good thoughts from Ian Cassel
Very interesting FT article on the “Private Equity Winter” (search result)
Some deep thoughts from Ben Evans on why Generative AI has not produced real use cases (yet)
Michael Mauboussin dropped a great paper on how to interpret and compare valuation multiples ..read more
value and opportunity
2w ago
As always with my longer write-ups, I will attach the full PDF below. In the post itself I will focus on the Exec summary, Pro’s and Con’s and the conclusion. And the Bonus Track of course at the end.
Executive Summary
Hermle AG is a typical “Hidden Champion” Mittelstand company from Southwestern Germany (Baden Wuerttemberg, the “Ländle”) that managed to carve out a very nice niche in 5- Axis CNC machines and connected production automation. The company is able to earn industry leading EBIT margins (>20%) and Returns on Capital (>30%), has a Fortress Balance sheet and trades only a ..read more
value and opportunity
1M ago
In the first 3 months of 2024, the Value & Opportunity portfolio gained +3,2% (including dividends, no taxes) against a gain of +6,0% for the Benchmark (Eurostoxx50 (25%), EuroStoxx small 200 (25%), DAX (30%), MDAX (20%), all TR indices).
Links to previous Performance reviews can be found on the Performance Page of the blog. Some other funds that I follow have performed as follows in the first 3M 2024:
Partners Fund TGV: +9,0%
Profitlich/Schmidlin: +4,0%
Squad European Convictions: 3,4%
Frankfurter Aktienfonds für Stiftungen: +5,9%
Squad Aguja Special Situation: +1,2 ..read more
value and opportunity
1M ago
Back from the Easter break with 20 freshly selected random Belgian stocks. This time, four made it onto the preliminary watch list.
81. MAATSCHAPPIJ VAN DE BRUGSE ZEEHAVEN (Expert Market)
At first I got excited, as this seems to be the Port of Brugge and the port seems to have grown over the years according to Wikipedia. And I do like ports.. But this stock traded last in 2015. It seems that at a higher level, the port has already merged with Antwerpes.
Unfortunately I did not find any financial information. “Pass”.
82. Mazaro NV
This 4 mn EUR market cap company seems to be (or have been) an a ..read more
value and opportunity
1M ago
And on we go, turning rocks and kissing frogs in the Belgian stock market. This batch of 20 randomly selected stocks yielded 4 watch list candidates, among them a stock I owned in the past.
So far, the “Expert Market” is a littlebit disappointing. For many of the companies there it is really hard to get infromation. But be assured, i won’t give up easily !! Let’s go:
61. Orange Belgium
As the name says, this 745 mn EUR market cap stock is the listed Belgium subsidiary of Orange Group, which owns 77% of the shares.
As many telcos, the stock looks cheap but has been basically going down forever ..read more
value and opportunity
1M ago
Treasure Hunting with a nice write-up on Cornerstone FS
The Giverny Capital 2023 letter with some important lessons after investing for 30 years
Despite a few good IPOs, the PE industry is still struggling
Really nice write-up on UK specialty Chemical company Croda
Former Bond King Bill Gross is still writing letters
Interesting FT article on the development of Private infrastructure Equity as major asset class (search result)
A fantastic “Business model breakdown” of retailers from Edelweiss Capital ..read more
value and opportunity
2M ago
Rob Vinall’s RV Capital 2023 letter as always is a great read with soem controversial views (China, PDD, Carvana)
I have to admit that Augustusville “outbored” me with its write-up on German small cap Nordwest-Handels AG
Great list of the necessary attributes for a long term successful investment process from Flyoverstocks
A great reminder: Patience is key for long term investment success
Ben Carlson with 20 great lessons from 20 years of investing
Joachim Klement on “post eanings drift” in stocks that are dominated by retail investors
Good write-up on Var Energi from the “modern Investing” su ..read more
value and opportunity
2M ago
Disclaimer: This is not investment advice. DO YOUR OWN RESEARCH !!!!
As in the previous write-ups, the full 13 page document is attached as PDF. Within the post I will present the Elevator Pitch, Stock Price/Valuation, Risks and Summary. And of course a bonus music track !!
Elevator Pitch:
Amadeus Fire is a 590 mn EUR market cap small cap business service company that offers temporary staffing and training for finance and IT professionals in Germany. The company is well managed, has a strong track record with 10% p.a. growth for many years, decent double digit margins, high returns on capital ..read more