Elevator Pitch/TLDR Gaming Realms is a B2B provider of a unique gaming IP in an expanding market that is growing EBITDA at 30%+ yet trades at 7x EV/EBITDA ‘24F. Company Develops, publishes, and licenses gaming content with a focus on “Slingo” that was acquired from RealNetworks in 2015 for £12m. Slingo is a combination of bingo and slots. The game is licensed to … [Read more...]
Evolution AB – An opportunity due to market noise.
Market leader with a high return on capital and competitive advantages stemming from an incomparable quality product/offering and constant innovation. A compounder with potential optionality in a stable and scalable business. TL; DR (“too long; didn’t read”) Evolution is a B2B software gaming company. Gaming (casino) is evolving due to significant innovation in products. … [Read more...]
Tencent is cheaper than you think
Tencent hidden assets results in a cheap bet on a compounder that is a dominant player active in industries expected to grow at double digits. Company Tencent is the Chinese company famous for its 1.3 billion users’ app that is called WeChat. WeChat is not just a messenger type service but a super app. Under the WeChat hood there are mini-programs that act like apps. Once in … [Read more...]
J&J – set it and forget it
At the Cyprus Value Investor Conference, I presented Johnson & Johnson as an idea. The most diversified health care company in the world offers a conservative investor reasonable returns with an extremely low probability of loss. Before I go into the details, it is important to give you some background. This idea was for a … [Read more...]
Value Vs Growth: Don’t Bother
One of the most popular and frequent articles that pop up recently are those discussing value versus growth. These articles typically define value investing as stocks with a low multiple (eg. low price to book) and growth investing those with high multiples. Usual conclusion is the value hasn't been working for years and that value investing is dead. Now … [Read more...]
Opportunity in mobile game stock?
My friend Jonathan Perez of Savex Capital gave an interesting presentation on video game developers. Jonathan is a smart guy and I always enjoy talking to him and hearing his insights. Below is a key slide of his where he highlights a potentially interesting opportunity. That outlier is a Singapore based company called IGG which is listed on the Hong Kong exchange (Ticker: … [Read more...]
Stage Stores Could Be A Multi-Bagger
Stage Stores (SSI) operates department stores in rural towns across the U.S. via brands that almost no one has ever heard over (Peebles, Bealls, Stake, Palais, etc.). The company was on track for bankruptcy… (Note this is a highly speculative idea in a volatile stock with average volume below 1 million shares). The company bought 58 department stores from bankrupt Gordmans in … [Read more...]
