Polaris Global Equity 2025 Q2 (8002 JP)
Pitch Summary: Elsewhere in industrials, Japanese trading house Marubeni Corp. reported good earnings and stable guidance, while diversifying with the addition of a pharma platform. The company also announced a significant share buyback program, signaling management’s confidence in Marubeni’s value and commitment to shareholder returns. BSD Analysis: Marubeni is a diversified Japanese trading house with […]
Plural Investing 2025 Q2 (JET2 LN)
Pitch Summary: Jet2, for example, has rebounded by 20% since we highlighted it in our last letter but still trades on 8x P/E for a business that has net cash, double-digit growth prospects, the best competitive position and management team in the industry, and a track record of gaining share during downturns. The company recently […]
Peterson Investment Fund 2025 Q2 (BABA)
Pitch Summary: The market’s current sentiment toward Chinese equities has created a significant dislocation between Alibaba’s intrinsic value and share price. After reaching a 52-week high of nearly $150 in late March, Alibaba’s ADRs fell over 30% to under $100 and remain near this significantly undervalued price. Given our portfolio’s exposure through multi-year option contracts, […]
Palm Valley Capital Management 2025 Q2 (CHRD)
Pitch Summary: Chord Energy is an exploration and production (E&P) company in the Williston Basin. As oil prices fell sharply in April, Chord’s stock fell below our valuation of the firm’s proven reserves. We’re fond of Chord’s strong balance sheet, free cash flow, and low-cost oil reserves. In 2024, the company generated $2.35 billion of […]
Patient Capital Management 2025 Q2 (IAC)
Pitch Summary: IAC trades at a significant discount to the businesses it owns. Its stake in publicly traded MGM and its cash are worth more than the entire market cap. Dotdash Meredith is its most significant fully owned asset. The advertising business owns premium properties such as People, Allrecipes, Better Homes and Gardens and Investopedia […]
Olesen Value Fund 2025 Q2 (MN)
Pitch Summary: Manning & Napier was an asset and wealth management firm with $22 bn in assets under management from institutional and high net worth investors, founded in 1970. Bought the stock mid-March 2020 at 42% discount to est. liquidation value when the stock price dipped sharply due to the stock market sell-off early in […]
Oakmark Fund 2025 Q2 (C)
Pitch Summary: Citigigroup was the top contributor during the quarter. The U.S.-headquartered diversified bank’s stock price rose throughout the period after it delivered positive first-quarter 2025 results. Despite a volatile macro backdrop, management reiterated full-year guidance across all key measures and reaffirmed their commitment to achieving a double-digit return on tangible common equity target. Share […]
McElvaine Value Fund 2025 Q2 (ONEX CN)
Pitch Summary: Private equity firm managing capital on behalf of investors and itself. Repurchased about 4% of outstanding shares so far in 2025. Disposed of part of Westjet at 40% premium to carrying value (essentially recovering cost of the entire purchase). We trimmed our position slightly in June 2025. Large cash and near cash position; […]
Laughing Water Capital 2025 Q2 (SES CN)
Pitch Summary: SECURE Waste Infrastructure Corp (SES.TO) – SECURE is primarily a waste management business catering to the needs of Western Canada’s oil industry. You will find a longer more detailed writeup of SECURE in the appendix to this letter. The short version is that SECURE was formerly an oil services business characterized by extreme […]
Kingdom Capital Advisors 2025 Q2 (NLOP)
Pitch Summary: NLOP boosted the portfolio by about 1.5% in Q2. The company recently sold their vacant Woodlands, TX property and appears close to selling their Google, JPM Dallas, and PPD buildings. Combined sales should generate more than $100M for shareholders. I expect NLOP will trade near a 20% aggregate cap rate after these sales […]
Legacy Ridge Capital 2025 Q2 (PII)
Pitch Summary: One of the new investments we made this year is in Polaris (PII), a manufacturer of powersports vehicles, including: Side-by-sides, ATVs, snowmobiles (Off-Road Segment), motorcycles (On-Road Segment), and boats (Marine Segment). Side-by-sides—Rangers and Razors—look like mini-trucks and dune buggy type vehicles, respectively. For guys who invest in energy primarily and airlines secondarily, it […]
Upslope Capital Management 2025 Q2 (SMIN LN)
Pitch Summary: Smiths is a UK-based industrial conglomerate operating four segments: John Crane (specialty seals/flow control solutions for energy/power and industrials, ~48% of op profit), Flex-Tek (HVAC and industrial specialty tubing, 24%), Smiths Detection (inspection/screening systems for airport and border security, 15%), and Smiths Interconnect (specialty connectors and electronics, 13%). Historically, Smiths has been perceived […]
Madison Sustainable Equity Fund 2025 Q2 (JPM)
Pitch Summary: JPMorgan shares rallied due to strong first-quarter results, an impressive analyst day update, and discussions around reducing banking regulations. Debit and credit card volumes rose 7% year-over-year, while investment banking and markets revenue increased 12% and 21%, respectively. The company opened 500,000 net new checking accounts and reported $90 billion in asset management […]
Longleaf Partners Small-Cap Fund 2025 Q2 (SAM)
Pitch Summary: Boston Beer Company – US beverage company Boston Beer detracted in the quarter. The stock price has continued to be under pressure due to macro concerns around declining alcohol consumption trends noted above. The company did report a solid operational quarter and is focused on what is within its control by growing margins. […]
Longleaf Partners International Fund 2025 Q2 (TWE AU)
Pitch Summary: Treasury Wine – We initiated an investment in Australia-listed Treasury Wine Estates (TWE) during the quarter… While overall wine (and broader alcohol) consumption has been weak in recent years, luxury wine category continues to grow as consumers are ‘drinking less but better.’… We were able to invest in TWE below its net liquidation […]
Longleaf Partners International Fund 2025 Q2 (MLCO)
Pitch Summary: Melco Resorts – Macau casino operator Melco Resorts was a top contributor for the quarter. Melco reported a strong set of Q1 results beating street expectations while founder CEO Lawrence Ho struck an upbeat tone on April and May holiday performance. Having changed senior management and the marketing strategy last year, we saw […]
Longleaf Partners International Fund 2025 Q2 (GLB ID)
Pitch Summary: Glanbia – Irish sports nutrition company Glanbia was a top contributor in the quarter, having been a top detractor in Q1. As we explained in our last letter, the volatility and uncertainty in Q1 made it a bad time to disappoint the market, and we were confident the market reaction to higher-for-longer input […]
L1 Capital Long Short Fund 2025 Q2 (FTT CN)
Pitch Summary: Finning (TSX:FTT) is the largest Caterpillar dealer globally with diversified exposure by geography, customer base, product and sector. The company has been a strong contributor to LSF performance with the share price up +58% over the calendar year-to-date. The primary catalyst has been Finning’s impressive Q1 25 results, where the company delivered 18% […]
Voss Value Fund 2025 Q2 (PRKS)
Pitch Summary: PRKS disproved a major bear concern with positive attendance growth at Orlando parks despite new competition. Discovery Cove likely achieves ~50% EBITDA margins and is undervalued within the group. The board approved an additional $500m share repurchase, representing ~43% of the float. Voss’s base case price target is $76 using 8.7x 2026 EBITDA, […]
Voss Value Fund 2025 Q2 (PHIN)
Pitch Summary: Despite weak end markets, Phinia (PHIN) has been resilient due to the stability of its aftermarket business. EBITDA is expected to be flat in 2025 and return to mid-single digit growth in 2026. The stock trades at ~5.5x forward EBITDA and ~10x FCF, yet has repurchased ~19% of shares since the spinoff. The […]
