Offshore
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Hidden Value Gems
A great post by @JohnHuber72 on the rising capital intensity of the Big Tech and the implications for earnings quality and future returns.
1/ Capex [of Big 4 Tech companies] is now over 3 times depreciation expense.
2/ This spending hasn’t yet hit the income statement, but it will in the next few years as depreciation expenses are set to triple in the coming years as D&A catches up with today’s capex spending.
3/ If the returns on these investments are good, then sales growth will be able to absorb these much higher expenses. But this is not a sure thing.
4/ While the P/E ratios range from 25 to 35, the P/FCF ranges from 40-50.
5/ “I’m not predicting a poor result, but I’m mindful of how difficult it will be given how different the companies are today.”
6/ They used to grow with very little capital invested, but now they have a mountain of capital to deploy, which is obviously much harder at 7 times the size.
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A great post by @JohnHuber72 on the rising capital intensity of the Big Tech and the implications for earnings quality and future returns.
1/ Capex [of Big 4 Tech companies] is now over 3 times depreciation expense.
2/ This spending hasn’t yet hit the income statement, but it will in the next few years as depreciation expenses are set to triple in the coming years as D&A catches up with today’s capex spending.
3/ If the returns on these investments are good, then sales growth will be able to absorb these much higher expenses. But this is not a sure thing.
4/ While the P/E ratios range from 25 to 35, the P/FCF ranges from 40-50.
5/ “I’m not predicting a poor result, but I’m mindful of how difficult it will be given how different the companies are today.”
6/ They used to grow with very little capital invested, but now they have a mountain of capital to deploy, which is obviously much harder at 7 times the size.
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Offshore
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The Long Investor
$PYPL a classic example of needing to zoom out and see the big picture.
Is it moving in the right direction?
It is making higher highs and higher lows?
Is it above all important moving averages?
Has it hit our First Target?
Yes. https://t.co/VCWsihVSNX
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$PYPL a classic example of needing to zoom out and see the big picture.
Is it moving in the right direction?
It is making higher highs and higher lows?
Is it above all important moving averages?
Has it hit our First Target?
Yes. https://t.co/VCWsihVSNX
$PYPL
First Target hit 🎯 https://t.co/018vehyLee tweet
Offshore
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Brandon Beylo
Every $NTDOY shareholder when you ask them about the company. https://t.co/Sn0eE8HsPi
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Every $NTDOY shareholder when you ask them about the company. https://t.co/Sn0eE8HsPi
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Offshore
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The Long Investor
$DIS
Chart uploaded on the 14th of April showing the start of its Wave A decline.
3 weeks ago. https://t.co/cFBERJirdR
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$DIS
Chart uploaded on the 14th of April showing the start of its Wave A decline.
3 weeks ago. https://t.co/cFBERJirdR
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Offshore
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Antonio Linares
My 2 Hour Deep Diver course has been tried and tested by over 60 students to date.
It teaches you all the mental models that enabled me to invest in $AMD, $TSLA, $PLTR and $SPOT early (and now $HIMS).
It sells for $199, but I'm selling just 5 units for $150.
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My 2 Hour Deep Diver course has been tried and tested by over 60 students to date.
It teaches you all the mental models that enabled me to invest in $AMD, $TSLA, $PLTR and $SPOT early (and now $HIMS).
It sells for $199, but I'm selling just 5 units for $150.
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Offshore
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Clark Square Capital
Leonardo with very strong Q1 24 results.
Orders/revenue/EBITA starting to inflect meaningfully.
Still holding. https://t.co/15S2MUOb6Q
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Leonardo with very strong Q1 24 results.
Orders/revenue/EBITA starting to inflect meaningfully.
Still holding. https://t.co/15S2MUOb6Q
Just shared my most recent idea - Leonardo S.p.A. $LDO.MI
Any feedback / comments / pushback is appreciated!
If you enjoyed this, please share. Thanks in advance to all! (Link in next comment) https://t.co/d0v7fv5An6 tweet
Clark Square Capital
RT @kingdomcapadv: What's a business you follow where an inflection is occurring and stock price hasn't responded?
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RT @kingdomcapadv: What's a business you follow where an inflection is occurring and stock price hasn't responded?
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