Daily Brief Equity Bottom-Up: Tod’s: Another Cheap Shot at Privatization After Failed Attempt in 2022 and more

• As we have long predicted LVMH is making a cheap and sneaky offer for Tod’s SpA (TOD IM).
• LVMH is doing it via wholly controlled L Catterton to confuse minority holders
• L Catterton = LVMH,  and the only reason for the current proposal is to be able to pay Della Valle a much higher price in a private transaction later on.

• Douzone Bizon’s results turned around strongly in 2023. It had sales of 353.6 billion won (up 16.2% YoY) and operating profit of 68.4 billion won (up 50.4% YoY) in 2023.
• The company plans to release software platforms with artificial intelligence capable functions in 1Q 2024. 
• The sharp increase in the share price and market cap of Douzone Bizon raises the probability of the company being included in the KOSPI 200 rebalance in 2024.

• Cohen & Steers increases deemed interests in Parkway Life Reit and Digital Core Reit Stamford Land Corporation led the buyback consideration tally, buying back 325 million shares at an average price of S$0.40 per share over four sessions.
• On Feb 1, Cohen & Steers Capital Management also increased its deemed interest in Digital Core Reit (DCReit) to above the 5 per cent substantial shareholder threshold.

Key points (machine generated)

• In 2008, Thistle933 successfully pitched Rightmove to investors despite a challenging real estate market.
• Rightmove’s business model, market position, and earnings power remained strong, leading to a compounded annual growth rate of 22% since the pitch.
• However, recent underperformance by Rightmove’s stock is attributed to competitor CoStar’s acquisition of OnTheMarket, resulting in a 15% decline in RMV’s stock and a lower five-year compounded annual growth rate of 2.5%.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• The size of the quantum computing market depends on which source you consult and how it defines the market.
• The average CAGR is 29% for a billion-dollar market, hitting $4- 6 billion in 2030.
• Quantum computing is a new type of computing that uses the principles of quantum mechanics to solve problems that are too complex for traditional computers. 

• BMRI is more profitable than BBNI, less cyclical than BBRI  and less expensive than BBCA. This combination makes it an attractive play on the Indonesia credit growth story.
• BMRI’s FY23 results are a strong beat with industry-leading loan growth and strong ROE; BMRI also has the potential to aggressively grow its retail portfolio which still is likely under-appreciated
• BMRI still trades at a discount to BBRI and has the potential to re-rate by another 20% in the near term, apart from the compounding driven by strong loan growth.

Key points (machine generated)

• Vestis is in a favorable position to capitalize on the growth opportunities in the uniform rental and workplace supplies industry.
• The company has implemented operational improvements and expanded its salesforce, which will likely lead to improved margins.
• With a new Board of Directors and a refreshed management team, Vestis is expected to catch up with its competitors in terms of growth and profitability. The analysts project a 30% internal rate of return and a target price of $39/share by the end of 2025.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• In Q3FY24, Dr. Reddy’s Laboratories (DRRD IN) posted highest ever revenue of INR72B, led by U.S. and Europe generics businesses, with contribution from both base business and new product launches.
• Underperformance in the domestic market continued in Q3FY24. However, the company’s initiatives regarding innovative and new generic drugs for Indian market should place it for long-term accelerated growth.
• Last month, Dr. Reddy’s acquired MenoLabs, a leading women’s health and dietary supplement branded portfolio of seven products designed to provide health support and address symptoms of perimenopause and menopause.  

• Flotek’s suite of chemical solutions, which can help customers increase economic returns on their capital investment, helped the company gain market share during FY23 despite headwinds created by a declining US rig count.
• The company’s prescriptive chemistry solutions, combined with its proprietary Complex nano Fluid (CnF)® technologies, have demonstrated improved production performance over a large population of wells completed in the Permian Basin.
• Customer efforts to improve their returns on capital could continue to provide a buffer against headwinds and result in further market share gains in 2024. 

Key points (machine generated)

• Gogo boasts a unique and extensive infrastructure, including over 250 ground-based towers, providing strong coverage and high-quality connectivity to private jet passengers.
• The company’s stock price has been undervalued due to concerns about competition from Starlink, execution issues with its 5G service, and investor perceptions associated with its divested commercial aviation business.
• However, Gogo is actively addressing these concerns and has a clear growth trajectory. As cash flows increase after completing investments in 5G and low-Earth orbit services, the stock could potentially triple in value by 2026. The company’s dominant market position and durable competitive advantages contribute to low downside risks.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.