| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 13.4% | 2.6% | 21.4% |
| 2025 | 2024 | 2023 | 2022 | 2021 | 2020 |
|---|---|---|---|---|---|
| 21.4% | 2.0% | 31.4% | -19.9% | 32.9% | 60.6% |
Buckley Capital delivered strong 2025 performance with 21.4% net returns, outperforming both benchmarks. The portfolio is positioned to capitalize on wide dispersion between prices and intrinsic values in small- and mid-cap equities. The strategy focuses on identifying company-specific inflection points where fundamentals are improving but remain underappreciated by markets. Key holdings include Basic-Fit, the dominant European low-cost gym operator expected to inflect in 2026; Willis Lease Finance, benefiting from unprecedented aerospace supply constraints; and several other businesses transitioning from temporary setbacks to normalization phases. The approach emphasizes downside protection and asymmetric upside through concentrated positions in quality businesses with durable competitive advantages. Many holdings are moving from misunderstood situations toward fundamental improvement and value realization. Despite macro volatility risks, the focus remains on company-specific fundamentals rather than broader market direction. The disciplined, research-intensive approach continues concentrating capital in highest-conviction ideas while maintaining patience for value compounding over time.
Apply a private equity mindset to public markets by concentrating capital in high-quality businesses with durable competitive advantages trading at significant discounts to intrinsic value, exploiting gaps between perception and reality during periods of uncertainty and dislocation.
Very pleased with how the portfolio is positioned as many holdings are transitioning from misunderstood or underappreciated situations into businesses where improving fundamentals, cash flow generation, and strategic clarity should drive meaningful value realization. Multiple pathways exist for intrinsic value to be recognized over coming quarters and years.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 27 2026 | 2025 Q4 | ALL, BFIT, DAVE, FTAI, GE, HLT, HWM, IHG.L, IWG.L, LNW, LQDA, MAR, PRTH, RR.L, RTX, SAF.PA, UTHR, VRNA, WLFC | aerospace, Europe, Fintech, gaming, Inflection, small caps, turnaround, value |
WLFC PRTH LNW IWG LN DAVE LQDA |
Light & Wonder represents a high-quality duopoly business with Aristocrat in slot machine manufacturing and distribution globally. The company has engineered a remarkable turnaround over… |
| May 5 2025 | 2025 Q1 | BFIT NA, DNTL CN, LQDA, VRNA | - | - | - |
| Jan 27 2025 | 2024 Q4 | AAPL, BFIT NA, DNTL CN, GOGO, IWG LN, TSLA, XPOF | - | - | - |
| Oct 29 2024 | 2024 Q3 | CC, CZR, IWG LN | - | - | - |
| Jul 23 2024 | 2024 Q2 | BFIT NA, CC, DNTL CN, HGV, IWG LN | - | - | - |
| May 22 2024 | 2024 Q1 | CC, CSY CN, GFF, IWG, NGVT | - | - | - |
| May 2 2024 | 2023 Q4 | AAPL, DNTL CN, GFF, GSY, IWG LN, XPOF | - | - | - |
| Oct 25 2023 | 2023 Q3 | DNTL CN, GFF, LNW | - | - | - |
| Jul 31 2023 | 2023 Q2 | DNTL CN, GFF, MRL LN, NGMS, XPOF | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
FintechAugmentum Fintech holds UK challenger banks including Iwoca, Zopa, and Tide showing strong revenue and profit growth. These fintech companies are outpacing traditional UK banks despite share price underperformance. |
Challenger Banks Digital Banking Financial Services |
FitnessPeloton transitioning from pure fitness equipment platform to broader health span platform targeting $7 trillion wellness market versus $6 billion home exercise market. Company launching AI-powered products and cross-training equipment while raising subscription prices and improving financial metrics. |
Wellness Subscription Equipment Health Platform | |
GamingGames Workshop was identified as a largest contributor in 2025 and also contributed meaningfully in 2024, demonstrating that patience pays when a business is delivering consistent results over multiple years. |
Entertainment Consumer UK Franchise | |
PaymentsWise represents the most asymmetric investment in the portfolio, taking market share from legacy correspondent banking through cheaper, faster, and more transparent infrastructure. The company is evolving from a remittance app into a global financial services platform with three reinforcing routes to market: Consumer, Business and Platform. |
Cross-border Fintech Infrastructure Platform SME | |
SpaceAST SpaceMobile has rerated materially over the past year despite relatively limited changes to the underlying business. Progress has largely taken the form of execution against previously stated milestones, advancing the regulatory framework and continuing to move the technology toward operational readiness. |
Satellite Technology Regulatory Milestones Operational | |
TechnologyThe fund added three technology companies that have each halved over 2025 and hopes to add more. Many tech stocks had become expensive but recent falls present opportunities, though most still aren't cheap enough including Xero. |
Software Valuation Opportunity Selloff |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| Jan 27, 2026 | Fund Letters | Zack Buckley | LNW | Light & Wonder, Inc. | Consumer Discretionary | Casinos & Gaming | Bull | NASDAQ | duopoly, Free Cash Flow, Gaming, turnaround, valuation | Login |
| Jan 27, 2026 | Fund Letters | Zack Buckley | IWG LN | International Workplace Group plc | Real Estate | Flexible Office Space | Bull | New York Stock Exchange | asset-light, Flexible Office, Franchising, Margins, rerating | Login |
| Jan 27, 2026 | Fund Letters | Zack Buckley | DAVE | Dave Inc. | Financials | Consumer Finance | Bull | NASDAQ | BNPL, earnings growth, Fintech, Neobank, valuation | Login |
| Jan 27, 2026 | Fund Letters | Zack Buckley | LQDA | Liquidia Corporation | Health Care | Biotechnology | Bull | NASDAQ | Asymmetric, Biotech, litigation, Optionality, pharma | Login |
| Jan 27, 2026 | Fund Letters | Zack Buckley | WLFC | Willis Lease Finance Corporation | Aerospace & Defense | Aircraft Leasing | Bull | NASDAQ | Accounting, Aerospace, asset value, Leasing, NAV | Login |
| Jan 27, 2026 | Fund Letters | Zack Buckley | PRTH | Priority Technology Holdings, Inc. | Financials | Transaction & Payment Processing Services | Bull | NASDAQ | Activism, cashflow, Payments, take-private, undervaluation | Login |
| TICKER | COMMENTARY |
|---|---|
| ALL | Allstate Corp. provides property and casualty, and other insurance products. Personal lines insurance pricing continues to steadily deteriorate (following years of outsized increases), at the same time that we believe two of the largest players, State Farm and Geico are increasingly leaning into growth; this will pressure growth, margins, and ROE for the rest of the industry, and we believe these headwinds have not yet been fully reflected in consensus estimates. For these reasons, we decided to exit the position, with its shares falling by -11% during the quarter. |
| BFIT | Basic-Fit, the dominant low-cost gym operator in Western Europe, is our largest position today. At current prices, it represents one of the most asymmetric opportunities in our portfolio. Under founder-CEO René Moos, the company built a highly standardized, low-cost gym model that delivers an attractive price-to-value proposition for members and high incremental returns on capital for shareholders. However, in France, Basic-Fit's largest market, the company has suffered a long hangover related to pandemic closures, shifting regulations, and delayed cohort maturation. We believe Basic Fit will generate €440 million in EBITDA in 2026, translating into ~€4.00 in FCF per share. At 10x our 2027 EBITDA estimate of €529 million, Basic-Fit is worth approximately €65 per share, more than 2.5x the current price, implying a 50%+ IRR over the next 18 months. |
| DAVE | Dave is a high-growth, profitable neobank offering mobile digital banking services and small-dollar advances to customers often ignored by traditional banks. The company's tech stack sits on top of other platforms or leverages other partner assets to serve 14 million total members in a highly efficient and scalable manner. We purchased Dave at 13x our estimate of 2026 earnings, which we thought was very attractive for a business we feel can grow 20%+ for the foreseeable future, and where the peers trade at 20-30x+ forward earnings. We think Dave will beat consensus estimates handily in 2026, and likely earn $15-$17/share in 2026 and $20+/share in 2027. |
| FTAI | In our prior letter, we outlined a path for FTAI to reach $250 per share over the next twelve months. Since then, the company has announced a new initiative, FTAI Power, to repurpose CFM56 engines for data center power generation. Management believes they can eventually deliver over 100 engines annually at a $25 million sale price with 40% margins, representing a potential $1 billion EBITDA opportunity. Despite the recent move in the share price, we believe meaningful upside remains and believe shares could eclipse $300 this year as the company is on a path to achieving EBITDA of $3 billion over the next 2 years. |
| GE | The IGBT—the power semiconductor that made modern motor control possible—was invented at General Electric by B. Jayant Baliga. Jack Welch sold GE's semiconductor division in 1988 |
| HLT | New position in global hospitality company Hilton. |
| HWM | RTX and Howmet extended gains as commercial aerospace demand remained strong and defense spending stayed elevated amid ongoing geopolitical uncertainty, supporting backlog strength and long-cycle earnings durability |
| IHG.L | IHG Group is a brand owner and franchisor of hotel chains globally. The largest hotel brands in the IHG system are Holiday Inn and Holiday Inn Express, followed by InterContinental and Crowne Plaza. IHG today accounts for 4% of global hotel rooms and 10% of the pipeline, which indicates it should increase its share of the hotel market and grow earnings at an attractive rate for many years to come. |
| IWG.L | International Workplace Group was one of the Fund's three largest holdings in 2025 and among the largest winners, contributing to the combined 30% gross return. The fund continues to hold a material position accounting for just under half of capital. |
| LNW | We re-entered LNW again this year in a meaningful way as the shares dropped on the news of the company re-listing from the Nasdaq to the Australian Securities Exchange (ASX). We thought the ~30% share decline was vastly overdone and took the opportunity to make LNW a high single-digit position size. The shares have rallied over 50% since our entry, and we have trimmed the position some, though it still represents a 5% position. As a reminder, LNW is a very high-quality business that is essentially a duopoly with Aristocrat, manufacturing and distributing slot machines on a global basis. |
| LQDA | Liquidia was first introduced anonymously in the YE'24 letter to LPs. At the time, the company was a pre-approval biopharmaceutical company that was mired in patent lawsuits filed by an incumbent (United Therapeutics - UTHR) that was seeking to defend their market position versus an upstart that seems to have a superior product. Since that time, Liquidia's drug – Yutrepia – has been approved for treatment of pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD). Early sales of Yutrepia have crushed expectations as patients – and prescribers - seem to prefer Yutrepia vs. the incumbent due to superior delivery and tolerability. Between appreciation and adding to the position as the company reached important milestones, LQDA has grown into a top position. |
| PRTH | We wrote a public letter to the board to express our firm opposition to the proposal submitted on November 9, 2025, by Thomas C. Priore, Priority's Chairman and Chief Executive Officer, to take the company private for cash consideration of $6.00 to $6.15 per share. The proposed purchase price is only about one-half the recent share price of the company's common stock. Furthermore, we estimate that PRTH will report earnings per share of about $1.30 in 2026. We urged the special committee of the board to reject the proposal and to publicly commit to initiating a full and transparent review of strategic alternatives. |
| RR.L | Shares in Rolls-Royce Holdings plc returned 120.1% in U.S. Dollar terms in 2025, driven by strong and broad-based fundamental performance and increased investor appreciation for the underlying businesses and their prospects. We expect Rolls-Royce will have grown revenue and free cash flow per share at roughly 10% and 35%, respectively, in 2025. |
| RTX | RTX Corporation (RTX) - formerly known as Raytheon Technologies Corporation, is a major American multinational aerospace and defense company headquartered in Arlington, Virginia. It is one of the largest aerospace and defense manufacturers globally, serving commercial, military, and government customers across more than 180 countries. RTX benefits from a very large backlog of commercial and defense orders, which provides multiyear revenue visibility and supports long-term planning. Backlog levels have grown significantly, reflecting robust demand across segments and helping underpin future sales. As global air travel continues recovering toward pre-pandemic levels, demand for new aircraft and maintenance, repair and overhaul (MRO) services is increasing. Commercial aftermarket sales—parts, service contracts, and support—have been a strong driver of organic growth due to rising airline utilization. RTX's Raytheon segment benefits from rising defense budgets in the U.S. and allied countries. Growth is underpinned by demand for integrated air and missile defense systems (e.g., Patriot), counter-drone technologies, and other advanced defense programs driven by geopolitical tensions. International orders are a growing portion of the defense backlog. The entire Defense Prime complex is currently re-rating as countries around the world are committing to spend more on defense initiatives and we like RTX for the above reasons and add that the company's three distinct business segments—Pratt & Whitney (engines), Collins Defense and Aerospace (avionics and systems), and Raytheon (defense systems)—provide revenue balance across commercial and government markets. This diversification helps mitigate cyclical downturns in any single area. Valuation has increased, but we believe the defensive narrative is still early, allowing for a reasonable balance between risk and reward. |
| SAF.PA | We also trimmed several larger holdings, including Roche, Novartis, Safran, and TotalEnergies, whose stock prices had approached underlying intrinsic value. |
| UTHR | Biopharma Eli Lilly, biotech stocks Incyte and United Therapeutics, and life sciences giant Danaher all contributed positively to strong Q4 performance. |
| WLFC | We believe there is as much as 120% upside in the shares of Willis Lease Finance Corporation over the next 12–24 months, as headwinds that pressured GAAP EPS in 2025 reverse into meaningful tailwinds in 2026. In our view, WLFC has the earnings power to generate $20–$30 in EPS in 2026, and should trade at 12–15x earnings, a substantial discount to its closest peer, FTAI Aviation, which trades at well over 20x forward earnings. WLFC is a niche, underfollowed leader in commercial aircraft engine leasing, specializing in midlife engines while building exposure to newer platforms as well. |
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