Stock Analysis Compilation

Stock Analysis Compilation #134

Fri, 12 Jun 2026 15:42:26 GMT

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #99 - Q1'26 Pitches

Wed, 10 Jun 2026 15:01:42 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 Agilysys Inc (AGYS US) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Amphenol Corporation (APH US) by Aristotle Large Cap Growth

🔹 Analog Devices Inc (ADI US) by Artisan U.S. Mid-Cap Value Strategy

🔹 Arthur J. Gallagher & Co. (AJG US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 BE Semiconductor Industries NV (BESI NA) by Guinness Global Quality Mid Cap

🔹 Brenntag SE (BNR GR) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Brown & Brown Inc (BRO US) by Artisan U.S. Mid-Cap Value Strategy

🔹 CME Group Inc. (CME US) by Alpha Wealth Funds

🔹 CoStar Group, Inc. (CSGP US) by Baron Asset Fund

🔹 CTT – Correios de Portugal SA (CTT PL) by Symmetry Invest

🔹 DraftKings Inc. (DKNG US) by Baron Discovery Fund

🔹 Envista Holdings (NVST US) by Aristotle Small Cap Equity

🔹 EQT (EQT US) by Andrew Hill Investment Advisors

🔹 Gartner, Inc. (IT US) by Baron Asset Fund

🔹 GE Vernova (GEV US) by Andrew Hill Investment Advisors

🔹 Gildan Activewear Inc. (GIL US) by Artemis US Extended Alpha Fund

🔹 Immunome Inc. (IMNM US) by Aristotle Core Equity

🔹 Indus Towers Limited (INDUSTOW IN) by Baron India Fund

🔹 IQVIA Holdings Inc (IQV US) by Artisan U.S. Mid-Cap Value Strategy

🔹 Johnson & Johnson (JNJ US) by Guinness Global Equity Income

🔹 KKR & Co (KKR US) by 1 Main Capital

🔹 Marsh & McLennan (MMC US) by Oakmark Select Fund

🔹 Nebius Group N.V. (NBIS US) by Baron Global Opportunity Fund

🔹 Ollie’s Bargain Outlet Holdings Inc (OLLI US) by Artisan U.S. Small-Cap Growth Strategy

🔹 ONEOK (OKE US) by Andrew Hill Investment Advisors

🔹 Onto Innovation Inc (ONTO US) by Artisan U.S. Small-Cap Growth Strategy

🔹 Permian Resources Corp (PR US) by Artisan U.S. Mid-Cap Value Strategy

🔹 Prio S.A. (PRIO3 BZ) by Baron Emerging Markets Fund

🔹 Roblox Corporation (RBLX US) by Artisan Global Discovery Strategy

🔹 Targa Resources Corp (TRGP US) by Artemis US Select Fund

🔹 The Japan Steel Works, Ltd. (5631 JP) by Baron Emerging Markets Fund

🔹 TotalEnergies SE (TTE FP) by Aristotle Value Equity

🔹 Tradeweb Markets Inc (TW US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 Weyerhaeuser Company (WY US) by Baron Real Estate Income Fund

🔹 Zedcor Inc. (ZDC CN) by Hood River International Opportunity Fund

Agilysys Inc $AGYS US by Artisan Non-U.S. Small-Mid Growth Strategy

Thesis:

Agilysys provides mission-critical hospitality software gaining share in a cloud transition with marquee deployments and accelerating financial performance.

Source: https://drive.google.com/file/d/11ggs_5smMyhPpQ7zeIMjv44AbAZ0v8mp/view?usp=drivesdk

Analysis:

Agilysys specializes in point-of-sale and property management systems for hotels, resorts, casinos and cruise ships—an underappreciated market. It is still in the early innings of capturing disproportionate market share as customers transition to cloud-native solutions. Although the company reported strong ﬁscal Q3 results and raised its ﬁscal 2026 revenue and EBITDA margin guidance, its shares fell. We have diﬃculty reconciling how the prevailing market narrative that AI will obviate the need for all enterprise software will persist. Case in point, Marriott International’s CEO publicly stated that the anticipated implementation of Agilysys’ software, which began two years ago, should transform its management systems at properties worldwide. We believe shares of Agilysys will eventually reﬂect the company’s accelerating ﬁnancial performance and further embedding of customer relationships.

Access our full research database on Agilysys Inc.

Amphenol Corporation $APH US by Aristotle Large Cap Growth

Thesis:

Amphenol is a diversified interconnect and sensor leader benefiting from secular tailwinds like AI data centers and electrification, with M&A discipline and operational excellence supporting margins and free cash flow.

Source: https://drive.google.com/file/d/1ZBZOFaenfo6AsCjGePdcTfEiVB4KRYUE/view?usp=drivesdk

Analysis:

Amphenol Corporation is one of the world’s largest designers, manufacturers and marketers of electrical, electronic and fiber optic connectors and interconnect systems; antennas; sensors and sensor-based products; and coaxial, high-speed and specialty cable. Based on recent reports of industry analysts, the company estimates that worldwide sales of interconnect and sensor-related products were approximately $250 billion in 2024, reflecting continued growth driven by data communications, electrification, and aerospace and defense demand. The company aligns its businesses into three reportable business segments: (i) Harsh Environment Solutions, (ii) Communications Solutions and (iii) Interconnect and Sensor Systems.

Additionally, Amphenol serves a diverse range of end markets with its high-performance interconnect systems, sensors, antennas and related products. These markets include defense and aerospace, where Amphenol supports major programs from inception to production; commercial aerospace, providing reliable products for harsh environments; industrial applications such as automation, alternative energy, transportation and electrification; automotive, offering advanced solutions for hybrid and electric vehicles in partnership with global OEMs; communications networks, supplying components for current and next-generation wireless standards like 5G; mobile devices, including smartphones, tablets and laptops; and information technology and data communications, delivering interconnect solutions for servers, networking equipment, cloud infrastructure and AI systems. The company’s sales distribution in 2025 reflected strong representation across these sectors, with the largest share in IT and data communications, followed by industrial, automotive, defense, communications networks, mobile devices and commercial aerospace.

We see Amphenol’s investment case as anchored by its diversified end-market exposure, which provides resilience and participation in secular growth trends across automotive, aerospace/defense, IT and data communications, and industrial sectors. The company’s proven M&A strategy continues to drive growth and market consolidation, while operational excellence delivers industry-leading margins and robust free cash flow. Amphenol is well-positioned to benefit from the AI data center boom, the global shift toward electrification, and ongoing industrial and defense modernization. Disciplined capital allocation further supports sustained growth and shareholder value creation. We believe a premium to the share price is justified, as Amphenol should benefit from the accelerated growth rates and increasing TAM of its AI-related data center interconnect business, which should see secular tailwinds for a multi-year period. We also expect management to continue executing on operational excellence, driving margin expansion.

Access our full research database on Amphenol Corporation

Analog Devices Inc $ADI US by Artisan U.S. Mid-Cap Value Strategy

Thesis: Analog Devices Inc is a leading analog chipmaker benefiting from an improving cycle, strong margins, sticky customer relationships, and long product lifecycles that support durable compounding.

Source: https://drive.google.com/file/d/1eb6R2dmgVOISI7QBW10msQPmm4sq52wm/view?usp=drivesdk

Analysis: Outside of the energy sector, Analog Devices Inc (ADI) was our largest gainer. ADI is the second-largest analog semiconductor chipmaker in the world behind Texas Instruments. ADI’s most recent results reflect a clear acceleration in operating performance as the analog semiconductor cycle improves. The company delivered strong growth, with revenue up roughly 30% year over year and earnings and margins expanding meaningfully, driven by broad-based strength across end markets—particularly industrial, communications and data center demand. Performance has been supported by improving bookings and a recovery in customer demand, alongside continued share gains and strong execution. Profitability has also rebounded, with notable margin expansion reflecting both operating leverage and a more favorable mix. Initially purchased in 2006, ADI is one of our longest held investments and has proven to be an excellent compounder of value, supported by its leadership position in a secular growth industry, strong balance sheet and consistent cash generation. The company operates in attractive segments characterized by high margins and sticky customer relationships. Its chips are designed into applications with long lifecycles—such as automotive, industrial and communications systems—and typically represent a small portion of overall system cost, making them difficult to displace once adopted.

Access our full research database on Analog Devices Inc

Arthur J. Gallagher & Co. $AJG US by Artisan U.S. Mid-Cap Growth Strategy

Thesis: Arthur J. Gallagher & Co. is a high-quality global insurance broker with visible organic growth, synergy potential from AssuredPartners, and emerging margin expansion opportunities.

Source: https://drive.google.com/file/d/1IpzN6yDrVIIyOe2raqlvm_UuzV3ZtjMN/view?usp=drivesdk

Analysis: Arthur J. Gallagher is a leading global insurance brokerage and risk management firm. We view it as a high-quality business with visible organic growth, supported by its diverse wholesale, reinsurance and claims operations. The company also has a strong acquisition record, and we expect its AssuredPartners acquisition to deliver meaningful synergies as integration moves forward. We added to the position on recent weakness as organic growth shows signs of stabilization and margin expansion opportunities emerge, including from integration and AI-related initiatives.

Access our full research database on Arthur J. Gallagher & Co.

BE Semiconductor Industries NV $BESI NA by Guinness Global Quality Mid Cap

Thesis: BE Semiconductor Industries NV is the leader in hybrid bonding technology with strong margins and secular growth drivers despite near-term concerns.

Source: https://drive.google.com/file/d/1KLMpdwR533FkqlJ9GRDk0HRqtBbK3vl_/view?usp=drivesdk

Analysis: Besi is the undisputed leader in hybrid bonding — the most advanced semiconductor packaging technology available. Where ASML pushes front-end scaling by cramming more transistors onto a single die, Besi enables back-end system scaling by connecting chiplets with direct copper-to-copper bonds, delivering orders-of-magnitude improvements in interconnect density, bandwidth, and energy efficiency. The stock fell by more than 15% in early March 2026 after a report that JEDEC (the semiconductor standards body whose members include Nvidia, Samsung, and SK Hynix) was discussing lowering the minimum thickness limit for memory chips. The concern is that hybrid bonding derives part of its value from enabling thinner chip stacks (used to create high bandwidth memory, HBM) by eliminating solder bumps. Hence, relaxing the thickness constraint may allow memory makers to build HBM stacks using cheaper thermocompression bonding without adopting hybrid bonding in the near term. We view this as a timing debate, not a structural one. Industry consensus holds that hybrid bonding will ultimately be unavoidable, with SK Hynix’s VP of Package Development stating it will be essential for HBM stacks of 20 layers or more. Critically, Besi’s logic chiplet exposure — where hybrid bonding is already in commercial production at AMD, Intel, and TSMC — is entirely unaffected by discussions on HBM standards. With industry-leading margins and growth predicted to continue at 20+%, we see good upside to a stock providing a critical innovation at a time when the AI industry is facing increasing energy bottlenecks.

Access our full research database on BE Semiconductor Industries NV.

Brenntag SE $BNR GR by Artisan Non-U.S. Small-Mid Growth Strategy

Thesis: Brenntag is a leading chemicals distributor with cost-plus pricing, logistics advantages, oil and gas demand exposure, and attractive valuation under improving management.

Source: https://drive.google.com/file/d/11ggs_5smMyhPpQ7zeIMjv44AbAZ0v8mp/view?usp=drivesdk

Analysis: One such example is Brenntag, a top-10 position we believe has several ways to win in the current energy dynamic:

1) As a leading global distributor of specialty and commodity chemicals tied to oil and oil-derived products, Brenntag can act as a “toll booth,” charging cost-plus prices without bearing higher extraction or production costs.

2) A signiﬁcant portion of Brenntag’s customer base is oil and gas producers, and an increase in oil and gas production would yield a rise in demand for Brenntag’s products.

3) Unlike many of its competitors that rely on third-party logistics, Brenntag’s integrated transportation network is a structural advantage in a higher energy cost environment.

4) As supply chain resiliency and security become more important, customers’ propensity to stockpile grows. This is particularly acute after the post-COVID destocking cycle.

On top of these reasons, we believe the company trades at an attractive valuation and are encouraged by the new management team’s recent eﬀorts to improve operational eﬃciencies.

Access our full research database on Brenntag SE

Brown & Brown Inc $BRO US by Artisan U.S. Mid-Cap Value Strategy

Thesis:

Brown & Brown Inc is a middle-market insurance broker with high-margin, low-capital-intensity economics and resilient demand, now offering favorable valuation amid overstated AI disruption fears.

Source: https://drive.google.com/file/d/1eb6R2dmgVOISI7QBW10msQPmm4sq52wm/view?usp=drivesdk

Analysis:

Brown & Brown is a leading US insurance broker focused on the middle market. The shares have come under pressure alongside the broader broker group, as investors recalibrated expectations following a period of elevated growth driven by a hard insurance market. As pricing and growth have begun to normalize, valuations have compressed, creating what we believe is a more attractive entry point. From a business economics perspective, insurance brokerage is a compelling model. Brokers act as intermediaries without taking underwriting risk, resulting in high margins, low capital intensity and strong free cash flow conversion, supported by high customer retention. Brown & Brown has built a scaled platform serving small- and mid-sized businesses, a segment that tends to exhibit resilient demand, and has compounded value over time through consistent organic growth and acquisitions in a fragmented industry. While near-term growth is moderating and competition has increased, we view concerns around AI-driven disruption as overstated. Brokers provide critical advisory and claims support functions that remain difficult to replicate, and technology should enhance productivity over time rather than displace the model.

From a financial standpoint, the company is generating strong, recurring cash flows, with a solid balance sheet that supports continued reinvestment and M&A. With the shares now trading closer to the lower end of their historical valuation range, we believe the risk/reward is favorable.

Access our full research database on Brown & Brown Inc.

CME Group Inc. $CME US by Alpha Wealth Funds

Thesis: CME Group is a near-monopoly derivatives exchange offering a structural hedge on market volatility.

Source: https://drive.google.com/file/d/17wdyjzN9nuXfrNv7z7gIqfRC7CiTabwM/view?usp=drivesdk

Analysis: Business: CME Group Inc. is the world’s leading and most diverse derivatives marketplace. It operates several of the most prominent exchanges globally, providing a platform for market participants to manage risk and capture opportunities across virtually every major asset class Our Thesis: This is a near monopoly and one of the few ways to play hedging volatility in an uncertain world. We’ve owned it off and on for years. It has a place in our long term portfolio as well as our trading account.

Access our full research database on CME Group Inc.

CoStar Group, Inc. $CSGP US by Baron Asset Fund

Thesis: CoStar Group is a leading real estate information and marketplaces provider with differentiated data assets, high recurring revenue, and meaningful cash flow potential.

Source: https://drive.google.com/file/d/1NlDDTnY2CXVxQbZRMCyUyT7tGcJX9vBx/view?usp=drivesdk

Analysis: We continue to own CoStar given its differentiated data assets and significant growth opportunities in providing enhanced real estate information, analytics, and marketplace offerings. CoStar boasts an enviable business model with high levels of recurring revenue and meaningful cash flow generation potential. While near-term cash flow is obscured by elevated investment in its Homes.com unit, we expect this spending to moderate and cash flow to improve over the next several years. The company also maintains a substantial cash balance, which we are hopeful will be used to aggressively repurchase shares at current depressed valuation levels.

Access our full research database on CoStar Group, Inc.

CTT – Correios de Portugal SA $CTT PL by Symmetry Invest

Thesis: CTT – Correios de Portugal is transforming into a pure-play Iberian logistics leader with strong growth, potential bank divestiture, DHL JV synergies, and an attractive valuation.

Source: https://drive.google.com/file/d/1cmm4pJ2VituH0FVr6qtxR3ymD2NAslLK/view?usp=drivesdk

Analysis: CTT is a leading Portuguese logistics company. Founded more than 500 years ago as a legacy mail business – but since transformed into a growing logistics company. CTT now owns the leading express and parcels business in Iberia as well as one of the fastest growing banks in Portugal.

CTT – our Portuguese logistics company had an amazing year in 2025. They managed to grow revenue 16 % compared to the prior year and EBIT with 35 %, all with a lower share count and while paying dividends.

But even more important is the segment reporting. CTT is now becoming a pure-play logistics company with 50 % of profit now coming from the E&P segment. This level will just continue to grow in the coming years. We expect a gradual increase in the stock as the market gets around to the fact that CTT is no longer a mail/banking business that should trade at 5-7x EBIT, but instead a leading Iberian logistics firm that should trade at +10x.

Another strategic step in the right direction would be for CTT to sell a majority stake in the bank. We still think the market underestimates how much capital is actually tied up within the bank. And thereby also how large a cash windfall CTT can get by selling it. A large portion of that cash will allow CTT to invest more in the E&P segment and continue large-scale share buybacks. Here is what the CEO said on the conference call, when he was asked around a recent Bloomberg article speculating that CTT had hired strategic advisors to sell the bank.

“Finally, on the Bank, I would -- if you allow me, correct your statement, Bloomberg does not say that we have hired consultants to discuss the selling of the Bank. We would have denied such a statement. They say that advisers were contacted for -- if I’m not wrong, discuss options for the Bank. I don’t know. I don’t care actually. What I may say is that we are very happy with the development of the bank. But I must also add that we keep receiving manifestations of interest. And of course, we look at them very seriously. And that’s it. We don’t want to add anything more. But the statement that has been used several times that we would like to -- we see ourselves in the long term mostly as an e-commerce logistics player, and that we’d like to have a lower importance of the bank in our portfolio stands. Having said so, we are first rational agents and react to demonstrations of interest that I must say are probably today more frequent than before.”

Another positive factor was that CTT finally got regulatory approval for the JV partnership with DHL. This was an agreement that was announced in December 2024 and those has been long underway. Just the consolidation of DHL Portugal will add 2 million in EBIT this year.

But on top of this is 35 million EUR in estimated synergies that will be achieved throughout the next 18 months and thereby significantly contribute to the earnings of CTT.

Even through CTT could have some short-term disruptions from the war in the middle east (primarily access to inventory from air freight), this would only be short term noise. We still see CTT as a long-term structural winner, with a valuation that is extremely low and a lot of strategic options to optimize the value long term.

Access our full research database on CTT – Correios de Portugal SA

Hedge funds' best ideas #98 - Q1'26 Pitches

Mon, 08 Jun 2026 15:01:31 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 Accenture plc (ACN US) by Oakmark Equity and Income Fund

🔹 Acutaas Chemicals Limited (ACUTAAS IN) by Baron India Fund

🔹 adidas AG (ADS GR) by Artisan International Value Strategy

🔹 Ameriprise Financial Inc. (AMP US) by Gator Financial Partners

🔹 Anhui Yingliu Electromechanical (603308 CH) by Hood River Emerging Markets Fund

🔹 Apple (AAPL US) by Andrew Hill Investment Advisors

🔹 Axon Enterprise Inc (AXON US) by Nightview Capital

🔹 Beng Kuang Marine Limited (BKM SP) by Fairlight Alpha Fund

🔹 Blue Ant Media Inc. (BAMI CN) by Donville Kent

🔹 Centum Electronics Limited (CENTUM IN) by Baron India Fund

🔹 Century Aluminum Company (CENX US) by Riverwater Sustainable Value Strategy

🔹 Chevron Corporation (CVX US) by Aristotle Value Equity

🔹 Coherent Corp. (COHR US) by Aristotle Core Equity

🔹 Coherent Corp. (COHR US) by Baron SMID Cap ETF

🔹 Coupang, Inc. (CPNG US) by Artisan International Value Strategy

🔹 Divi’s Laboratories Limited (DIVI IN) by Baron India Fund

🔹 Edwards Lifesciences Corp (EW US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 Forgent Power Solutions, Inc. (FPS US) by Baron Discovery Fund

🔹 Fujikura Ltd (5803 JP) by Artisan Global Equity Strategy

🔹 Fujikura Ltd (5803 JP) by Bell Global Emerging Companies Fund

🔹 Gartner (IT US) by Oakmark Select Fund

🔹 J.B. Hunt Transport Services (JBHT US) by Artemis US Extended Alpha Fund

🔹 James Hardie Industries (JHX AU) by WS Amati Global Innovation Fund

🔹 Lumentum Holdings Inc. (LITE US) by Baron Technology ETF

🔹 Methanex Corporation (MEOH US) by Riverwater Sustainable Value Strategy

🔹 Olema Pharmaceuticals, Inc. (OLMA US) by Aristotle Large Cap Growth

🔹 Publicis Groupe (PUB FP) by Guinness Global Equity Income

🔹 RELX (REL LN) by Artemis UK Select Fund

🔹 Salesforce, Inc. (CRM US) by Hotchkis & Wiley Large Cap Fundamental Value

🔹 Semtech Corp (SMTC US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 SiTime Corp (SITM US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 Techtronic Industries Co. Ltd. (669 HK) by Aristotle International Equity ADR

🔹 Tempus AI, Inc. (TEM US) by Aristotle Core Equity

🔹 Veralto Corp (VLTO US) by Artisan U.S. Mid-Cap Value Strategy

🔹 Waters Corp (WAT US) by Artisan U.S. Mid-Cap Growth Strategy

Accenture plc $ACN US by Oakmark Equity and Income Fund

Thesis: Accenture plc is a scaled IT services leader embedded in enterprise workflows with secular tailwinds and an attractive valuation.

Source: https://drive.google.com/file/d/1bcnhGD4XAOr96ijWb1pWMxeZV-qgsnPg/view?usp=drivesdk

Analysis: Accenture is a global leader in consulting and outsourced IT services. The company benefits from unmatched scale, being nearly three times as large as the next three public IT services companies combined. We think it is well-positioned for future growth as it is deeply embedded in large enterprises’ workflows, with its top 300 clients spending over $100 million annually. Furthermore, we believe it is poised to capitalize on the ongoing enterprise cloud transition and the secular growth in enterprise technology spending. Despite these strong fundamentals, the stock is trading at its lowest P/E multiple since 2015 due to what we view as misguided AI disruption fears, creating the opportunity to purchase shares at a sizable discount to our estimate of intrinsic value.

Access our full research database on Accenture plc

Acutaas Chemicals Limited $ACUTAAS IN by Baron India Fund

Thesis: Acutaas Chemicals Limited is a pharma intermediates and specialty chemicals leader with dominant shares, CDMO visibility via darolutamide, and new verticals driving >20% growth.

Source: https://drive.google.com/file/d/1I7yFweUy18m_5SjAOfVEKe-JPlD_E1kl/view?usp=drivesdk

Analysis: Acutaas Chemicals Limited is a manufacturer of pharmaceutical intermediates and specialty chemicals in India. Shares were up during the quarter, driven by upbeat quarterly results and an upward revision to full-year growth and profitability guidance. We retain conviction in Acutaas, as the company continues to scale its pharmaceutical contract development and manufacturing operations through its contract with Fermion to supply chemical intermediates for darolutamide, a fast-growing patented drug for prostate cancer marketed by Bayer. We are also encouraged by Acutaas’ expansion into electrolyte additives and semiconductor chemicals, which should support strong growth momentum over the next few years. In our view, Acutaas could deliver more than 25% compounded revenue and earnings growth over the next three to five years.

Acutaas is a leading manufacturer of advanced pharmaceutical intermediates (intermediates) and specialty chemicals in India. The company plays a vital role in the global pharmaceutical value chain, with a 50% to 90% market share in several critical intermediates up to the N 1 stage of the API synthesis chain. To drive sustainable long term growth, Acutaas proactively invests in R&D to build a durable pipeline of intermediates with API patents that expire through 2040 and beyond. In addition to its core intermediates business, the company is actively ramping up its higher margin contract development and manufacturing organization (CDMO) vertical in collaboration with global innovators. For example, Acutaas became the primary intermediates vendor for darolutamide, a fast-growing, patented prostate cancer drug marketed by Bayer with estimated peak sales of more than $4 billion. This long-term contract under the CDMO model provides strong revenue visibility over the next few years. We are also excited about Acutaas’ new ventures into electrolyte additives and semiconductor chemicals, which should support strong growth momentum. In our view, the company is well positioned to deliver over 20% compounded revenue and earnings growth over the next three to five years.

Access our full research database on Acutaas Chemicals Limited.

adidas AG $ADS GR by Artisan International Value Strategy

Thesis: adidas AG is a global athletic brand in turnaround under CEO Bjørn Gulden, with renewed product momentum, modest valuation and supportive capital allocation.

Source: https://drive.google.com/file/d/1IJxQJF3zl6oOy7r_eSpz7xntx4jZR_9z/view?usp=drivesdk

Analysis: Adidas is a German-listed global manufacturer of athletic footwear and apparel and the second-largest company in the industry behind Nike. This is our second time investing in Adidas, with the first beginning in Q3 2022. At that time, the company was facing challenges related to the loss of its Yeezy product line and broader issues in product innovation and brand momentum. From 2018 to 2023, Adidas’s share of the global sportswear market fell from 11% to 8%. These pressures led to a significant decline in the share price, creating an opportunity to invest in an iconic brand.

In 2023, shortly after our initial investment, the board appointed new leadership. CEO Bjørn Gulden joined Adidas from Puma, and his strong track record rapidly improved investor sentiment, driving the share price beyond our estimate of intrinsic value. We exited the position but continued to monitor the company closely.

Over the past two years, Mr. Gulden has led a rapid turnaround. His strategy of pushing decision-making down to regional teams has reignited demand, particularly for the company’s Terrace footwear. The company is now leveraging this brand momentum into performance products and apparel, with growth broadening across categories, markets and channels.

Enthusiasm for this progress peaked in early 2025, with the share price reaching just under €260. Over the last few months, investors have become concerned about foreign exchange and tariff headwinds, a complex product transition, rising competition and a potential consumer slowdown. The share price has declined over 45% from the 2025 peak.

We believe Adidas’s strong global brand, innovative product pipeline, decentralized execution and responsiveness to local markets positions the company well to manage through a slowdown in lifestyle brands and to compete more effectively. The valuation at this price is modest (approximately 13X our estimate of normalized earnings), and capital allocation is shareholder-friendly (the company announced a €1 billion share repurchase program during the quarter). We also note recent insider purchases by the CEO, CFO and chairman.

Access our full research database on adidas AG

Ameriprise Financial Inc. $AMP US by Gator Financial Partners

Thesis: Ameriprise Financial is a leading wealth and asset management firm with high ROE, a capital-light model, attractive valuation, organic growth levers like Signature Wealth and bank lending, and a strong record of capital returns.

Source: https://drive.google.com/file/d/1BLcYZmUPwmKtwLBo0AC-q7iQlb10IcbE/view?usp=drivesdk

Analysis: Investment Thesis on Ameriprise Financial (“AMP”)

Ameriprise Financial combines an independent advisory and brokerage platform with a captive asset manager and insurance/annuity operations. The company serves over 2 million individual, business, and institutional clients and, at year-end, had $1.7 trillion in assets on its platform. It is currently undervalued versus peers despite having one of the most compelling best-in-class growth stories in the wealth management space and a demonstrated commitment to returning capital to shareholders. We purchased Ameriprise in Q1 after the stock sold off on fears around AI disintermediation of financial advisors.

1. Ameriprise is a great business with high returns on equity, minimal need for capital, and a strong, long-tenured management team - Ameriprise generates exceptional returns on equity with an ROE of over 50%. This level of return is nearly unmatched among diversified financial services peers. It reflects the capital-light nature of the wealth management and asset management businesses, which together require minimal incremental equity to grow. The business is run by CEO Jim Cracchiolo, who has led the company since its 2005 spin-off from American Express. His two-decade tenure has produced a compounding machine.

2. Ameriprise trades at the lower end of its historical valuation range – Ameriprise’s valuation is compelling in both absolute and relative terms. Despite consistently compounding earnings at double-digit rates, Ameriprise trades at 10.4x estimated next twelve-month (“NTM”) earnings per share (“EPS”). Historically, Ameriprise has traded between 8x and 16x NTM EPS. Also, Ameriprise trades at a discount to its wirehouse and large independent wealth management peers on a price-to-earnings basis.

3. We think Ameriprise frequently trades at a discount to peers because it is often classified as a Life Insurer – Ameriprise is often covered by sell-side research analysts who also cover life insurance companies. While Ameriprise does own a life insurer, this business accounts for only about 16% of Ameriprise’s earnings, compared with 34% in 2005, when Ameriprise was spun off from American Express. Life insurance stocks trade at low valuations because their businesses are capital-intensive and often earn low returns due to the industry’s high competitive intensity. In contrast, wealth management businesses should trade with higher valuations because they are not capital intensive and retain clients for long periods of time due to the trusted advice that financial advisors provide. We note that Ameriprise’s life insurance company avoids the most price competitive areas of the life insurance industry. Ameriprise sells its insurance products through its own salesforce, so it does not compete with other life insurance companies in the most intense segments of the industry. We prefer to use a wealth management set of peers like Morgan Stanley, Raymond James Financial, LPL Financial, and Stifel Financial when evaluating Ameriprise.

4. Signature Wealth provides opportunity for increased share of wallet and reinforces ﬂywheel - In mid-2025, Ameriprise launched its Signature Wealth offering. This product is a unified managed account that allows advisors to select institutional investment models for their clients. This platform allows advisors to offer more sophisticated investment offerings to their clients within a single account, and Ameriprise earns an incremental platform fee on those assets. This product allows Advisors to focus on clients and prospects rather than managing portfolios. Columbia Threadneedle is the asset management arm of Ameriprise. It is another beneficiary of the Signature Wealth product. Columbia is a quality manager on a standalone basis, generating attractive flows and returns across their strategies. They are also among the investment options that advisors can select through the Signature Wealth offering. Any flows directed to Columbia Threadneedle will benefit Ameriprise through the management fees they earn; this is incremental to the asset-based fees Ameriprise generates from client assets in the advisory business.

This structure is relatively common at wirehouse firms but differentiated within the independent channel. Even independent managers with asset management capabilities are limited in their proprietary offerings compared to what Columbia Threadneedle can offer clients.

5. Compelling organic growth strategy discounted vs peers - Ameriprise has successfully leveraged platform improvements to drive retention and recruiting while also focusing on productivity per advisor. This is in contrast to others in the industry that have approached recruiting primarily through increasingly large economic incentives.

We believe the wealth advisory space will only increase in competitive intensity over time, with improving retention from the wirehouses and continued pressure from financial sponsors further inflating the cost of advisor recruitment. Against this backdrop, we believe the company’s focus on organic growth rather than compensation-led broker recruitment will deliver more durable earnings growth relative to peers. Over time, success should contribute to a narrowing valuation gap vs. independent peers.

6. Build out of bank lending was a missing piece that strengthens a holistic oﬀering - Ameriprise has been building out its bank lending capabilities, further expanding into securities-based lending and HELOCs. Bank lending products were something the wirehouses and other independent advisors had had for years, and Ameriprise was missing them. We believe it’s a notable upgrade to their existing platform that should bring revenue and help improve advisor retention and recruitment.

7. Cash generative business with a history of capital returns - Ameriprise has a history of strong free cash flow generation and has regularly returned over 80% of operating earnings to shareholders. Management has been able to invest while consistently reducing the share count and paying a healthy dividend. Since Ameriprise was spun off from American Express in 2005, the company has repurchased more than 60% of its original shares outstanding.

8. Franchise value if there is industry consolidation – Although we are not predicting a sale of Ameriprise, we note that there is a limited number of wealth management franchises available with the scale of Ameriprise. We believe both Goldman Sachs and UBS Group are potential acquirers of Ameriprise. Goldman lags Morgan Stanley in its Wealth Management scale. UBS mentioned on its latest earnings call that it is interested in gaining additional scale in its US wealth business.

Key risks
1. AI disintermediation risk - The launch of an AI-powered wealth management tool by Anthropic has stoked fears about the disintermediation of human ﬁnancial advisors. The concern is that AI could compress advisory fees industrywide, accelerate the shift toward self-directed investing, or erode Ameriprise’s competitive advantage in advisor productivity. Ameriprise acknowledges this risk. We believe the risk is overstated in the near term, with the ﬁnancial advisor relationship being built on behavioral coaching, trust, and personalized planning that AI does not easily replicate, especially during periods of market volatility. Morgan Stanley’s stock largely recovered from the same fears, yet Ameriprise remains approximately 12% below its early February high.

2. Cash sweep and interest rate sensitivity - Ameriprise earns net investment income on residual cash held in brokerage sweep accounts, both on-balance sheet through the bank and oﬀ-balance sheet through money market fund arrangements. These residual cash balances generate meaningful income, which could be at risk if the federal funds rate falls. Beyond rate risk, there is a longer-term structural question about whether clients will increasingly seek higher-yielding alternatives to traditional brokerage cash sweep accounts, such as tokenized money market funds or stablecoin-like instruments, which could reduce aggregate sweep balances over time. Ameriprise is better positioned than most peers, given that its smaller bank subsidiary generates less income on residual cash than its peers.

3. Continued pressure on active management at Columbia Threadneedle - The secular shift from active to passive investing remains a headwind for all asset managers, including Columbia Threadneedle, Ameriprise’s institutional asset management arm.

4. Market level risk - A substantial portion of Ameriprise’s revenues and earnings are directly linked to the level of client invested assets, most prominently through wrap account advisory fees. A meaningful market correction would reduce this AUM base and, by extension, the advisory fees earned on it. While Ameriprise’s diversiﬁcation across wealth management, asset management, and insurance/annuity businesses provides some oﬀset, the company remains meaningfully exposed to prolonged weakness in the market.

5. Long-term care insurance tail risk - Ameriprise carries a closed block of legacy long-term care (LTC) insurance policies that it stopped underwriting in 2002. LTC is notoriously diﬃcult to price and reserve accurately. The company has taken substantial rate increases and has ceded a signiﬁcant portion of the risk to reinsurer Genworth, which creates counter-party risk to Genworth. While the block is in run-oﬀ and management has been disciplined in addressing the reserve adequacy, the tail risk is real and could surface through adverse annual unlocking charges. We consider this a manageable but structurally unresolvable risk given the policies’ remaining duration.

Access our full research database on Ameriprise Financial Inc.

Anhui Yingliu Electromechanical $603308 CH by Hood River Emerging Markets Fund

Thesis: Anhui Yingliu Electromechanical manufactures turbine components and is positioned to gain share and benefit from rising gas turbine demand driven by AI-related power needs, with faster scaling and improving orders supporting earnings upside.

Source: https://drive.google.com/file/d/1Mn_m6cDi16ZTTN_IFg8-UhxxjTJ1aSTY/view?usp=drivesdk

Analysis: A representative example is Anhui Yingliu Electromechanical (603308 CH), which manufactures highly engineered turbine blades and components used in gas turbines, with established relationships across global OEMs including Siemens and leading Japanese and Korean players. As AI-driven data center buildout accelerates, the bottleneck has increasingly shifted to power availability, driving a surge in demand for gas turbines as a near-term solution. Yingliu sits at a critical choke point in this supply chain. Unlike developed peers such as Howmet Aerospace, the company can scale capacity more quickly, positioning it to gain share during this period of elevated demand. We are seeing improving order momentum and deeper customer engagement, supporting a favorable setup as earnings begin to inflect.

Access our full research database on Anhui Yingliu Electromechanical

Apple $AAPL US by Andrew Hill Investment Advisors

Thesis: Apple benefits from a vast device ecosystem, disciplined capital allocation, and a strategy to leverage AI pragmatically while maintaining a strong balance sheet.

Source: https://drive.google.com/file/d/1iTX6m0aah41ofFjnj62PCejsBZzHsf4v/view?usp=drivesdk

Analysis: We also hold a core position in Apple, which continues to benefit from its ecosystem even without a single, dominant AI narrative. A cornerstone of many portfolios, Apple remains a consistent and reliable investment. Revenue continues to be driven by the iPhone’s dominant market share and a loyal ecosystem of over 2 billion active devices. Notably, Apple has not followed competitors into the massive spending spree on AI infrastructure. By avoiding the multi-billion-dollar AI arms race, they have maintained a superior balance sheet and consistent shareholder buybacks. Apple has never truly been a pioneer. Rather, they wait out speculative companies and ultimately partner with whomever the winner is. They are sticking to that script with their AI strategy. On the product manufacturing side of the business, Apple recycles and reuses a significant amount of rare earth materials, cobalt, and aluminum. Their long-term objective is to have all products either recycled or renewable materials and packaging.

Access our full research database on Apple.

Axon Enterprise Inc $AXON US by Nightview Capital

Thesis:

Axon Enterprise is building the operating system for public safety with sticky, high-recurring software and integrated hardware, supporting strong growth, expanding margins, and a near-monopoly position.

Source: https://drive.google.com/file/d/1MANod0MDeGXKcbPtM7_YlszxrNihnwT5/view?usp=drivesdk

Analysis:

Axon Enterprise (AXON) Axon is not a software company in the way most people use that term, which is precisely why we think it is one of the most underappreciated businesses in our portfolio.

It is the operating system of public safety in America and, increasingly, around the world. The company sells Tasers, body cameras, in-car cameras, and — this is the key — a cloud-based evidence management platform called Axon Evidence, which has become the de facto system of record for law enforcement agencies across the country.

The software business alone is impressive: high recurring revenue, long contract durations, minimal churn, and a customer base — police departments and government agencies — that, once converted, essentially never leaves. The hardware serves as a distribution mechanism for the software. As Axon expands into records management, computer-aided dispatch, and AI-powered video analysis, the addressable market expands dramatically.

We initiated our position in Axon in late February as the stock corrected sharply in the broader software selloff. At the prices we paid, we were acquiring a business with roughly 30% annual revenue growth, expanding margins, and a near-monopoly position in its core market — for a valuation that reflected significant investor skepticism.

Access our full research database on Axon Enterprise Inc.

Beng Kuang Marine Limited $BKM SP by Fairlight Alpha Fund

Thesis: Beng Kuang Marine Limited is shifting to an asset-light FPSO services model with rising margins and recurring revenue, supported by the ASOM acquisition and significant secured 2026 work.

Source: https://drive.google.com/file/d/1KBaKMrgjah9ajGU0oGsVT8tyw-Lc3L5a/view?usp=drivesdk

Analysis: A position from last year, Beng Kuang Marine Limited, has continued along its inflection path with an excellent move to purchase their partly owned subsidiary ASOM (Asian Offshore Services Management). They owned 49% of this subsidiary up until now, with it driving a core component of Beng Kuang’s strategy to become more of an asset-light business. Previously, the company had primarily operated out of its two shipyards in Batam (Indonesia) and Kuantam (Malaysia). This was CapEx and OpEx heavy and required a lot of fixed assets to operate.

The decision was made by management in 2021 to shift away from this business to focus more on consulting and on-site repairs to FPSO and other types of energy production vessels. This reduced the need for the full Batam shipyard and has allowed them to reduce fixed assets and increase margins for services provided to customers. To illustrate this, gross margins in 2022 stood at 21.2% and in 2025 reached 37%, with this trend likely to continue for several more years, particularly after the ASOM transaction completes. This is not done yet, but there will be an EGM in the near future which should see the deal get finalized.

After this is complete, it is likely that 2026 results for Beng Kuang will be even stronger. In particular, note that in a recent press release the company stated that S$28 million of work at the ASOM subsidiary had already been secured this year, as compared to a total revenue of S$98 million last year, for the full year across the whole company. It’s worth noting that much of this ASOM revenue is recurring in nature, being tied to long-term FPSO maintenance contracts involving inspection, maintenance and life extension. Their other businesses are also growing, and so it seems there are healthy tailwinds for the company over the next couple of years.

Access our full research database on Beng Kuang Marine Limited.

Blue Ant Media Inc. $BAMI CN by Donville Kent

Thesis: Blue Ant Media Inc. distributes diverse content globally, has strong ROC and net cash, and trades at a low earnings multiple with material upside potential.

Source: https://drive.google.com/file/d/1iPoxzDydx0fdh-GMkVeuaJ4-Arr2u3LD/view?usp=drivesdk

Analysis: Blue Ant (BAMI) For those of you interested to learn more about Blue Ant, their investor presentation is a good primer, but we would also suggest looking through their content catalogue to understand the diversity and breadth of programming. Their content is sold in over 100 countries on over 300 platforms with over a billion global views per month. An investor willing to do the work has an edge when it comes to Blue Ant because the stock is new to the market and hasn’t gone through the price discovery process yet. The company’s financial estimates don’t show up on Bloomberg, Factset, Yahoo Finance, etc. The company came public in an unusual way, and it will most likely take a couple quarters of reporting results before investors realize the earnings ability of the company. At the same time, some of the shareholders of past acquisitions shares are now able to be sold. Before coming public, Blue Ant grew revenue 18% per year from 2020 to 2025 with 18% return on capital. The global streaming market is projected to grow over 20% per year for the next several years. Blue Ant received an additional $34.7M cash payout in March as part of the RTO process and is now sitting with a Net Cash balance sheet. Factoring in their recently closed acquisitions, but not projecting more M&A, the stock is currently trading on 2.5x earnings. The stock is currently trading at $5.65/share and we think it is worth ~$20/share with upside from there as they are sitting on cash and expect to acquire additional libraries of content.

Access our full research database on Blue Ant Media Inc.

Centum Electronics Limited $CENTUM IN by Baron India Fund

Thesis:

Centum Electronics Limited is an Indian EMS leader poised to benefit from Make in India and defense indigenization with strong revenue and EBITDA growth prospects.

Source: https://drive.google.com/file/d/1I7yFweUy18m_5SjAOfVEKe-JPlD_E1kl/view?usp=drivesdk

Analysis:

Centum Electronics Limited is a leading electronics manufacturing services provider in India, providing design and manufacturing solutions for mission-critical applications across defense, aerospace, industrial, and automotive industries. Shares rose during the quarter, driven by robust quarterly results and the divestiture of the company’s loss-making Canadian subsidiary. We remain invested, as we believe Centum is well positioned to benefit from the Indian government’s “Make in India” initiative, which promotes domestic manufacturing of electronic products and components through attractive tax subsidies and infrastructure support. Amid escalating global geopolitical tensions, we see additional upside from India’s push to indigenize defense equipment design and production, a trend that should benefit electronic system providers like Centum. Looking ahead, we expect the company to deliver 18% to 20% compounded revenue growth and 25% to 30% compounded EBITDA growth over the next three to five years.

Access our full research database on Centum Electronics Limited.

Stock Analysis Compilation #133

Fri, 29 May 2026 15:07:05 GMT

USA

Advance Auto Parts (AAP US) by deepvaluecapitalbykyler

Airbnb (ABNB US) by summitstocks

Alpha Metallurgical Resources (AMR US) by cannibalstocks

Atmos Energy (ATO US) by maxdividends

Bristol Myers Squibb (BMY US) by johnhempton

Borr Drilling Limited (BORR US) by dayrateduration

Greenfire Resources Ltd. (GFR US) by mananainvesting

Hormel Foods Corporation (HRL US) by deepvaluecapitalbykyler

MiNK Therapeutics (INKT US) by antoniolinares

Innventure (INV US) by morpheus research

Meta Platforms (META US) by fluentinquality

Monday (MNDY US) by researchragnarok

PDD Holdings (PDD US) by sunrisecapital168

Pool Corporation (POOL US) by maxdividends

RLI Corp. (RLI US) by vbatcapital

Gibraltar Industries (ROCK US) by unemployedvaluedegen

Sea Limited (SE US) by denisdoroshenko

Sea Limited (SE US) by zackzhuadventure

TOYO Co., Ltd. (TOYO US) by gabrielcortes

Tesla (TSLA US) by antoniolinares

Take-Two Interactive (TTWO US) by thewolfofharcourtstreet

VSE Corporation (VSEC US) by ltvresearch

Zoetis (ZTS US) by valueinvesting

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Atlas Engineered Products Inc. (AEP CN) by wolfofoakville

Bayhorse Silver (BHS CN) by jaycurrie

Decibel Cannabis Company Inc. (DB CN) by pettycash

Glow Lifetech Corp. (GLOW CN) by wolfofoakville

Here are the latest Canadian stock pitches from hedge fund reports.

Japan

Musashi Seimitsu Industry Co., Ltd. (7220 JP) by irrationalanalysis

Here are the latest Japanese stock pitches from hedge fund reports.

UK

easyJet plc (EZJ LN) by theoakbloke

Integrated Diagnostics Holdings (IDHC LN) by theoakbloke

Nichols (NICL LN) by rolandhead

Spectra Systems (SPSY LN) by schwarcapital

Here are the latest UK stock pitches from hedge fund reports.

France

Société des Bains de Mer et du Cercle des Etrangers à Monaco (BAIn FP) by Undervalued Shares

Here are the latest French stock pitches from hedge fund reports.

Sweden

Sivers Semiconductor (SIVE SS) by jasonschips

Here are the latest Swedish stock pitches from hedge fund reports.

Denmark

Pandora (PNDORA DC) by financial-engineering

Norway

Protector Forsikring ASA (PROT NO) by utfordreren

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #97 - Q1'26 Pitches

Wed, 27 May 2026 15:02:46 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 Alphabet Inc. (GOOGL US) by Baron Technology ETF

🔹 Applied Materials, Inc. (AMAT US) by Alpha Wealth Funds

🔹 ASML Holding N.V. (ASML NA) by Baron Technology ETF

🔹 Bank of the Philippine Islands (BPI PM) by Ariel International DM EM

🔹 Coherent Corp. (COHR US) by Baron Technology ETF

🔹 Daifuku Co. Ltd. (6383 JP) by Ariel Global

🔹 Dianthus Therapeutics Inc (DNTH US) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Ecolab Inc (ECL US) by Mar Vista U.S. Quality

🔹 Eli Lilly and Co (LLY US) by Artisan Global Opportunities Strategy

🔹 Ensign Energy Services (ESI CN) by Bison Interests

🔹 Guidewire Software, Inc. (GWRE US) by Baron SMID Cap ETF

🔹 HAL Trust (HAL NA) by East 72 Dynasty Trust

🔹 Insulet Corporation (PODD US) by Alpha Wealth Funds

🔹 JDC Group AG (JDC GY) by Symmetry Invest

🔹 Lam Research Corporation (LRCX US) by Baron Technology ETF

🔹 Linde plc (LIN US) by Artisan Global Opportunities Strategy

🔹 Marex Group plc (MRX US) by Praetorian Capital

🔹 Medline (MDLN US) by Artisan Global Discovery Strategy

🔹 Midac Holdings Co Ltd (6564 JP) by Ennismore Global Smaller Companies Fund

🔹 Rational AG (RAA GY) by Guinness European Equity Income

🔹 Samsara Inc. (IOT US) by Baron SMID Cap ETF

🔹 ServiceTitan, Inc. (TTAN US) by Baron Discovery Fund

🔹 Shopify Inc. (SHOP US) by Baron Technology ETF

🔹 Solaris Energy Infrastructure Inc. (SEI US) by Baron Technology ETF

🔹 Spotify Technology SA (SPOT US) by Artisan Global Opportunities Strategy

🔹 Sun Hung Kai Properties Ltd (16 HK) by Artisan Non-U.S. Growth Strategy

🔹 Tesla Inc (TSLA US) by Nightview Capital

🔹 Texas Pacific Land Corporation (TPL US) by Horizon Kinetics

🔹 Twist Bioscience Corp (TWST US) by Artisan Global Discovery Strategy

🔹 Vend (VEND NO) by Pontus

🔹 Vitalhub Corp. (VHI CN) by Donville Kent

🔹 Weichai Power Co., Ltd. (2338 HK) by Guinness Greater China

🔹 Wise plc (WISE LN) by Saga Partners

🔹 Workday, Inc. (WDAY US) by Hotchkis & Wiley Large Cap Fundamental Value

🔹 Zedcor Inc. (ZDC CN) by Donville Kent

Alphabet Inc. $GOOGL US by Baron Technology ETF

Thesis:

Alphabet Inc. combines unmatched distribution, proprietary AI models and chips, and accelerating cloud growth to compete across AI layers at an attractive valuation.

Source: https://drive.google.com/file/d/1qUMEx0cugRMRFEMwaZf0gKuSC6Kgnm9S/view?usp=drivesdk

Analysis:

During the first quarter, we initiated a position in Alphabet Inc., the parent company of Google and one of the world’s most valuable technology franchises. After missing Alphabet’s strong run in the latter part of 2025, we took a fresh look at the competitive landscape across hyperscalers and frontier AI labs and concluded that Alphabet offers the most compelling combination of assets in AI at an attractive valuation. We believe that combination includes unmatched consumer distribution across Search, YouTube, Chrome, and Android — including seven products with over two billion users each — proprietary Gemini frontier models, custom tensor processing unit chips, owned data center infrastructure, and decades of unrivaled user and advertiser data. This fully integrated and cost-advantaged AI stack is funded by one of the most cash-generative business models in the world.

Despite the rise of AI-native competitors, Search and YouTube continue to grow at double-digit rates at enormous scale and have not missed advertising revenue expectations once since the launch of ChatGPT in November 2022. Meanwhile, Google Cloud is accelerating (we are projecting over 60% year-over-year revenue growth for this segment), driven by demand from leading frontier AI labs and a growing base of AI-forward enterprise customers. We are also encouraged by management’s observation that AI features are deepening user engagement rather than disrupting it, with more complex and multimodal queries driving more time on platform. Alphabet is one of a very small number of companies in the world with the distribution, capital, proprietary data, and technical infrastructure to compete and win across multiple layers of the AI ecosystem simultaneously — and at a reasonable valuation, we see a compelling long-term opportunity for shareholders.

Access our full research database on Alphabet Inc.

Applied Materials, Inc. $AMAT US by Alpha Wealth Funds

Thesis:

Applied Materials is a dominant semiconductor equipment provider poised to benefit from the AI capex ‘giga-cycle’ and advanced packaging demand.

Source: https://drive.google.com/file/d/17wdyjzN9nuXfrNv7z7gIqfRC7CiTabwM/view?usp=drivesdk

Analysis:

Business: Applied Materials (AMAT) is a cornerstone of the global semiconductor industry, providing the equipment, services, and software used to manufacture nearly every new chip and advanced display in the world.

Our thesis: Applied Materials (AMAT) is the arms dealer of the semiconductor revolution. It dominates wafer fabrication equipment just as AI, advanced packaging, and memory capex ramp globally. Secular demand for AI chips, 3D NAND, and foundry upgrades offsets near-term export-control noise. Semiconductor revenue. Despite high valuations (P/E ~40x) and trade restrictions with China, AMAT remains a top pick for analysts, with price targets trending toward $450 as major fabs in Arizona and Ohio begin their “tool-in” phase.

Access our full research database on Applied Materials, Inc.

ASML Holding N.V. $ASML NA by Baron Technology ETF

Thesis: ASML Holding N.V. is the monopoly EUV lithography provider with strong pricing power and growth drivers from rising EUV layers, High-NA adoption, and memory expansion.

Source: https://drive.google.com/file/d/1qUMEx0cugRMRFEMwaZf0gKuSC6Kgnm9S/view?usp=drivesdk

Analysis: During the first quarter, we initiated a position in ASML Holding N.V., a Dutch semiconductor equipment company and the world’s sole provider of extreme ultraviolet lithography (EUV) systems — the indispensable technology required to manufacture the most advanced chips at the smallest geometries. Without ASML’s machines, chipmakers cannot achieve the transistor densities needed to power artificial intelligence accelerators, flagship smartphones, autonomous vehicles, and other high-performance computing applications. This is not a temporary competitive advantage — the extraordinary complexity of EUV lithography and its sprawling global supply chain make it virtually impossible for any competitor to replicate, and we expect ASML’s monopoly position to endure for the foreseeable future. We exited our position in Nova Ltd. and redeployed the proceeds into ASML, where we see a more compelling long-term opportunity across several dimensions. As leading chipmakers race to expand advanced manufacturing capacity to meet surging AI demand, we expect ASML to benefit from rising EUV layer counts across advanced logic and memory, as well as the eventual ramp of its next-generation High-NA EUV, which offers superior resolution and enables continued transistor scaling. We are also entering a period of significant memory capacity expansion, driven by insatiable demand for high-bandwidth memory (HBM) in AI applications, and ASML is more directly levered to this buildout than Nova. Finally, ASML’s pricing power and increasing scale support significant gross margin expansion and strong double-digit earnings growth — and we believe it stands as one of the most competitively protected businesses in global technology.

Access our full research database on ASML Holding N.V.

Bank of the Philippine Islands $BPI PM by Ariel International DM EM

Thesis:

Bank of the Philippine Islands is shifting to higher-margin segments with strong digital capabilities in an underpenetrated market, supporting profitability and capital returns.

Source: https://drive.google.com/file/d/1QRsyggCSxsDroCe6HclpUej5aVkiLkYN/view?usp=drivesdk

Analysis:

We added Bank of the Philippine Islands, a leading commercial bank, where we believe improving profitability should result from a strategic pivot toward higher-margin retail and small- and medium-sized enterprise lending. The Philippines remains an attractive banking market, with household and corporate credit penetration still relatively low as a share of gross domestic product. Bank of the Philippine Islands has also proactively invested in information technology infrastructure and digital capabilities which positions the bank to enhance customer acquisition, deepen engagement and improve operating efficiency. As economic activity strengthens, earnings growth can translate into improved capital returns, including a higher and more sustainable dividend. We remain mindful of risks, including a potential economic slowdown, evolving competitive dynamics from fintech companies and structural considerations such as the economy’s exposure to the business process outsourcing sector. Nonetheless, we believe Bank of the Philippine Islands is well positioned to navigate these challenges while benefiting from the country’s favorable growth trajectory.

Access our full research database on Bank of the Philippine Islands

Coherent Corp. $COHR US by Baron Technology ETF

Thesis:

Coherent Corp. is a vertically integrated photonics leader poised to benefit from expanding optical communications in AI data centers and emerging technologies like co-packaged optics.

Source: https://drive.google.com/file/d/1qUMEx0cugRMRFEMwaZf0gKuSC6Kgnm9S/view?usp=drivesdk

Analysis:

Shares of Coherent Corp., a leading photonics company delivering optical solutions to data center and industrial markets, contributed to performance during the quarter. The company’s growth is driven by two powerful tailwinds: the AI infrastructure buildout and the increasing penetration of optical communication throughout data center infrastructure. Coherent is the only major western optical transceiver manufacturer connecting servers within data centers, and its vertical integration spanning materials, lasers, and critical components not only supports its own modules but also supplies optical systems for customers across the AI infrastructure stack. Shares rose on several positive developments during the quarter, including continued strong demand signals for the coming years, growing confidence in new growth avenues such as optical switches for networking, participation in emerging technologies like co-packaged optics, and a strategic investment from NVIDIA Corporation. We continue to hold the stock and believe Coherent will remain one of the few primary beneficiaries of optical communication’s expanding role in data centers and, by extension, the broader AI infrastructure buildout.

Access our full research database on Coherent Corp.

Daifuku Co. Ltd. $6383 JP by Ariel Global

Thesis: Daifuku Co. Ltd. is a leader in logistics automation and cleanroom systems with a strong moat, improving margins, and secular growth from AI, e-commerce, and semiconductors.

Source: https://drive.google.com/file/d/1sMukOoWD33ugRnCMUS2UMkujTXkU_8Dk/view?usp=drivesdk

Analysis: We initiated a position in Daifuku Co. Ltd. which is a leader in logistics automation and cleanroom systems. Its end-to-end capabilities—from consulting and engineering through manufacturing and service—position it at the center of rising demand across automation, e-commerce and semiconductor production. Daifuku’s core intralogistics and cleanroom businesses continue to see strong global growth, supported by capacity expansion and the company’s solid competitive advantages. Steady margin improvement reflects both disciplined execution and Daifuku’s leadership in technology-driven markets. Demand linked to AI, advanced manufacturing and supply chain modernization further strengthens the multi-year outlook. With a strong moat, robust pipeline and exposure to powerful secular trends, we think Daifuku represents an attractive long-term investment opportunity.

Access our full research database on Daifuku Co. Ltd.

Dianthus Therapeutics Inc $DNTH US by Artisan Non-U.S. Small-Mid Growth Strategy

Thesis: Dianthus Therapeutics develops complement antibodies with strong Phase 3 momentum and pipeline-in-a-product optionality supporting multibillion-dollar potential.

Source: https://drive.google.com/file/d/11ggs_5smMyhPpQ7zeIMjv44AbAZ0v8mp/view?usp=drivesdk

Analysis: Dianthus Therapeutics is a clinical-stage biotech focused on developing complement antibody therapeutics to treat severe autoimmune diseases. Shares rallied 80% after Dianthus reported encouraging interim results from its Phase 3 CAPTIVATE study in chronic inﬂammatory demyelinating polyneuropathy (CIDP). Its lead asset, claseprubart, demonstrated rapid and meaningful eﬃcacy ahead of timeline expectations, allowing the company to accelerate the study. Claseprubart has the opportunity to be a frontline therapeutic for CIDP, and as a pipeline-in-a-product—a platform that targets biological pathways that underlie multiple diseases—it presents large optionality to treat generalized myasthenia gravis and multifocal motor neuropathy.

While we are pleased with the recent developments, our investment thesis is predicated on the potential for Dianthus to become a multibillion dollar company, similar to Argenx, a former holding we bought at about a $2 billion market capitalization and exited at approximately $17 billion (and is now over $50 billion). A small position size in such companies can generate outsized alpha, while mitigating idiosyncratic risk and provide convexity in the portfolio. Dianthus is emblematic of the breakthrough innovation and optionality possible within the biotechnology industry.

Access our full research database on Dianthus Therapeutics Inc.

Ecolab Inc $ECL US by Mar Vista U.S. Quality

Thesis:

Ecolab provides embedded mission-critical solutions with recurring revenues, scale advantages, and structural tailwinds from water management and regulation.

Source: https://drive.google.com/file/d/1gcek3oRhJNZC_Ism0Ir0f36FRBmpJUC4/view?usp=drivesdk

Analysis:

Ecolab (ECL) provides water, hygiene, and infection prevention solutions across industrial, healthcare, and institutional end markets. Its offerings are embedded in customer operations and often linked to regulatory requirements, safety standards, and efficiency objectives. Delivered through a global service network, these solutions contribute to high customer retention and a recurring revenue proﬁle. We believe the company’s scale, technical capabilities, and long-standing customer relationships support a durable competitive position.

The company’s model combines consumable products with service and monitoring, which contributes to revenue visibility and resilience. Because its solutions are integral to maintaining uptime and compliance, demand tends to be less discretionary. Ecolab has also expanded its capabilities through digital tools and analytics, which we believe can enhance customer outcomes and deepen integration within client operations. These factors may support pricing and reinforce its role as a value-added partner.

Ecolab continues to invest in areas such as water management, energy efficiency, and sustainability, which we believe extend its growth opportunities while leveraging its existing platform. The company has demonstrated a history of operational discipline and capital allocation, contributing to attractive returns on invested capital. While macro and execution risks remain, we believe long-term demand drivers, including water scarcity and regulatory requirements, support the durability of the business model and may contribute to steady growth and margin improvement over time.

Access our full research database on Ecolab Inc.

Eli Lilly and Co $LLY US by Artisan Global Opportunities Strategy

Thesis:

Eli Lilly is a GLP-1 leader poised to drive accelerating obesity volumes with Foundayo and broader coverage amid strong category demand and limited cannibalization.

Source: https://drive.google.com/file/d/1wdLYRbCEXZVgqc6LXeoRdPwYoOsff_ga/view?usp=drivesdk

Analysis:

Eli Lilly is a leading pharmaceutical company with a dominant position in the GLP-1 market across injectable and oral therapies. We opportunistically initiated a GardenSM position following a recent share price pullback but ahead of the anticipated approval and launch of Foundayo® and a potential expansion of Medicare coverage for obesity drugs. Lower pricing and broader formulary inclusion are expanding the addressable market, particularly as compounded alternatives become less competitive. Strong category demand and Eli Lilly’s broad portfolio position the company well to drive accelerating obesity volumes. We view Foundayo® as a best-in-class oral GLP-1 medicine based on clinical data and early indicators suggesting strong adoption potential. To date, we have not observed meaningful cannibalization of existing injectable therapies and believe market expansion can support both modalities. Early prescription trends represent a key near-term catalyst.

Access our full research database on Eli Lilly and Co.

Ensign Energy Services $ESI CN by Bison Interests

Thesis: Ensign Energy Services is an international drilling contractor with cyclical and company-specific tailwinds, deleveraging catalysts, and a large discount to replacement value that together suggest significant upside.

Source: https://drive.google.com/file/d/15IgXTJZGiT2Hu14RP7nvFIhrX9SftiKz/view?usp=drivesdk

Analysis: One of the clearest examples today, and one of the fund’s largest holdings, is Ensign Energy Services. We highlight it here not just because it’s working, but also because we see substantial upside in Ensign and similar businesses as we are in the early stages of what may be the next leg of the oil bull market cycle.

Ensign - A Position That Has Worked, With Significant Upside Remaining

Ensign is an international drilling contractor with operations focused primarily in the U.S. and Canada, along with additional international exposure.

Drilling companies tend to benefit with a lag when oil prices rise, as higher prices typically lead to more rig additions, higher utilization, stronger day rates, and better cash flow. Historically, rig additions have often peaked between the 40th and 70th week after an oil price increase:

Today, we’re only about seven weeks removed from the Strait of Hormuz disruption and the associated increase in oil prices. Combined with declining per-foot U.S. shale productivity, this suggests we may still be early in a potential major upcycle for drilling activity.

Additional Company-Specific Drilling Tailwinds

Ensign holds a dominant position in California, where policy has recently shifted in a more supportive direction for local production. There were more than 40 rigs running in California as recently as the early 2010s, before increasingly restrictive regulations made drilling uneconomic for many operators. Today, the state is running fewer than 10 rigs, and many operators and service companies have exited the region. Ensign stayed and now holds the leading market position there, so even a partial recovery in drilling activity could be a meaningful step-change in revenue.

Ensign also has exposure to increased drilling activity in Venezuela, where it already has rigs operating, as recently highlighted in the Wall Street Journal. Both of these jurisdictions were laggards for years, but Ensign’s tenacious management approach is winning out, with above average growth in rig utilization due to the rapidly growing drilling pace in California and likely future rig additions in Venezuela.

Debt Reduction as an Equity Catalyst

Any increase in Ensign’s cash flow is likely to be directed toward further debt reduction, followed by share repurchases and ultimately dividends. Despite a multi-year downturn in drilling activity, the company has steadily paid down debt:

This matters for equity holders because, as debt is reduced, equity replaces it in the capital structure, increasing equity value, all else equal. For a highly levered company like Ensign, this serves as a powerful tailwind (we like to call it the Miller Modigliani Shuffle):

In practice, the impact can be more powerful than a simple dollar-for-dollar transfer. As debt declines, interest expense falls, which increases free cash flow and supports further debt reduction. At the same time, lower leverage reduces perceived risk and can support a higher valuation multiple.

We also believe the typical refinancing risk associated with leverage is substantially mitigated in Ensign’s case by its two largest shareholders, Murray Edwards and Fairfax Financial, which together own roughly 45% of the company. These shareholders supported a refinancing in late 2023 at higher debt levels, and with leverage now lower and the maturity recently extended, we believe the company is well positioned with access to capital if and where relevant, a unique competitive advantage in a cyclical, capital intensive business.

A Wide Discount to Asset Value

Supporting the thesis is the underlying asset value of Ensign’s fleet. Industry estimates suggest that a modern “triple” rig costs approximately C$35 million to build (or more!), while singles and doubles are conservatively valued at around C$10 million. Ensign’s fleet of 92 triples and 94 singles/doubles implies a replacement cost of approximately C$4.1 billion. After adjusting for net debt and shares outstanding, this equates to an estimated replacement value of $17.4 per share versus a current share price of $3.5:

Replacement value is a useful benchmark for cyclical oilfield service businesses. In downturns, these companies often trade at large discounts due to excess capacity and limited newbuild demand. As the cycle tightens and utilization improves, valuations can move materially closer to replacement cost, and in many cases historically exceed replacement cost. This could happen again for drilling rig businesses.

Access our full research database on Ensign Energy Services $ESI CN

Stock Analysis Compilation #132

Tue, 26 May 2026 15:03:13 GMT

USA

ACM Research (ACMR US) by midwesterninvestor

Alibaba Group Holding(BABA US) by deepvaluecapitalbykyler

Alphabet (GOOGL US) by hatedmoats

Berkshire Hathaway (BRK/B US) by compoundingdividends $BRK/B

Compass Pathways plc (CMPS US) by hatedmoats

Cooper Standard Holdings (CPS US) by deepvaluecapitalbykyler

DLocal (DLO US) by Global Equity Briefing

DoorDash (DASH US) by capitalist-letters

Establishment Labs Holdings (ESTA US) by unemployedvaluedegen

Lifeway Foods, Inc. (LWAY US) by mexicaninvestor

Nu Holdings (NU US) by Global Equity Briefing

NVIDIA (NVDA US) by antoniolinares

Palantir Technologies Inc. (PLTR US) by antoniolinares

Pro-Dex, Inc. (PDEX US) by leftfieldinvesting

Sea Limited (SE US) by The Wolf of Harcourt Street

Sea Limited (SE US) by denisdoroshenko

ServiceNow (NOW US) by rijnberkinvestinsights

T1 Energy (TE US) by Fuzzy Panda Research

TIC Solutions, Inc. (TIC US) by kairosresearch

TransMedics Group (TMDX US) by huntingbaggers

Uber (UBER US) by bourseko

Whirlpool Corporation (WHR US) by fallacyalarm

Zoetis (ZTS US) by valuedontlie

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Biorem Inc. (BRM CN) by wolfofoakville

McCoy Global (MCB CN) by pettycash

Pollard Banknote (PBL CN) by canadianvaluestocks

Here are the latest Canadian stock pitches from hedge fund reports.

UK

Regional REIT (RGL LN) by theoakbloke

Here are the latest UK stock pitches from hedge fund reports.

France

ENOGIA SAS (ALENO FP) by underfollowedstocks

Here are the latest French stock pitches from hedge fund reports.

Netherlands

Basic-Fit (BFIT NA) by kevincasteleijn

Here are the latest Dutch stock pitches from hedge fund reports.

Germany

OHB SE (OHB GY) by Undervalued Shares

Here are the latest German stock pitches from hedge fund reports.

Denmark

Novo Nordisk (NOVOB DC) by kontrainvest

Poland

Auto Partner (APR PW) by littlesubbeats

Sweden

Evolution AB (EVO SS) by ryandengler

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #96 - Q1'26 Pitches

Wed, 20 May 2026 15:01:36 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 AAR Corp (AIR US) by Night Watch IM

🔹 Abbott Laboratories (ABT US) by Alpha Wealth Funds

🔹 Absolent Air Care Group AB (ABSO SS) by Pontus

🔹 Adobe Inc. (ADBE US) by Patient Capital Management

🔹 Advanced Energy Industries, Inc. (AEIS US) by Baron Discovery Fund

🔹 Alphabet Inc. (GO GO US) by Alpha Wealth Funds

🔹 Amazon.com, Inc. (AMZN US) by Baron Technology ETF

🔹 ASM International NV (ASM NA) by Artisan Global Discovery Strategy

🔹 Cematrix Corporation (CVX CN) by Fairlight Alpha Fund

🔹 Dassault Systemes SE (DSY FP) by Oakmark International Fund

🔹 DexCom, Inc. (DXCM US) by Alpha Wealth Funds

🔹 Dick’s Sporting Goods, Inc. (DKS US) by Riverwater Sustainable Value Strategy

🔹 Dynatrace, Inc. (DT US) by Baron Discovery Fund

🔹 Elevance Health, Inc. (ELV US) by Hotchkis & Wiley Large Cap Fundamental Value

🔹 ENDI Corp (ENDI US) by Cedar Creek Partners

🔹 Energy Transfer LP (ET US) by Alpha Wealth Funds

🔹 Enpro Inc. (NPO US) by Baron Discovery Fund

🔹 Grupo Aeroportuario del Centro Norte (OMAB US) by Brasada Capital

🔹 H World Group Ltd (HTHT US) by Artisan Global Discovery Strategy

🔹 Inspire Medical Systems Inc (INSP US) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 International Workplace Group (IWG LN) by 1 Main Capital

🔹 Jack Henry & Associates (JKHY US) by Upslope Capital

🔹 Kesko (KESKOB FH) by Upslope Capital

🔹 Landis+Gyr Group AG (LAND SW) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 London Stock Exchange Group plc (LSEG LN) by Oakmark International Fund

🔹 Marks & Spencer Group plc (MKS LN) by Ariel Global

🔹 Microsoft Corporation (MSFT US) by Aoris

🔹 Nari Technology Co., Ltd. (600406 CH) by Guinness Greater China

🔹 NVIDIA Corp (NVDA US) by Nightview Capital

🔹 Rockwell Automation, Inc. (ROK US) by Alpha Wealth Funds

🔹 SolarEdge Technologies Inc (SEDG US) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Tesla, Inc. (TSLA US) by Baron Technology ETF

🔹 The Boeing Company (BA US) by Alpha Wealth Funds

🔹 Waystar Holding Corp. (WAY US) by Baron Discovery Fund

🔹 Woodward Inc (WWD US) by Artisan Global Opportunities Strategy

AAR Corp $AIR US by Night Watch IM

Thesis: AAR Corp is an aircraft aftermarket services provider benefiting from an aging global fleet, a mix shift to higher-margin component services, and rapidly growing defense-contract exposure.

Source: https://drive.google.com/file/d/1vBTLXGvIasv9y6X2Xm0A6QLiRqPj9vCX/view?usp=drivesdk

Analysis: We believe this company is benefitting from an aging fleet of airplanes, caused by Boeing’s and Airbus’ inability to satisfy industry demand. At the same time the company is making a transformation from low value add heavy maintenance of airframes, to higher margin component repair and distribution services. During the last quarter reported at the end of March, they also noted that government defense contracts are now 30% of the total business, currently growing at a 50% rate. In other words, we believe this company benefits from a multi-year industry tailwind and a company transformation, and any potential war is mildly beneficial to their earnings.

Access our full research database on AAR Corp

Abbott Laboratories $ABT US by Alpha Wealth Funds

Thesis: Abbott Laboratories is a diversified healthcare ‘Dividend King’ with insider-supported value and upside from Exact Sciences’ MCED integration.

Source: https://drive.google.com/file/d/17wdyjzN9nuXfrNv7z7gIqfRC7CiTabwM/view?usp=drivesdk

Analysis: Business: Abbott Laboratories is a global healthcare leader focused on life-changing technologies. Founded in 1888, the company operates across four primary segments: Diagnostics, Medical Devices, Established Pharmaceuticals, and Nutrition. Abbott is widely recognized for its “Dividend King” status, having increased its dividend for over 50 consecutive years. Key products include the FreeStyle Libre glucose monitoring system and the BinaxNOW rapid tests. Our Thesis: Abbott Laboratories is a “dividend king” so whenever we have an opportunity to buy a blue chip confirmed by insider buying, it’s almost an automatic buy. The purchase of Exact Sciences provides them a Grail-like MCED cancer diagnostic to test their already robust product line. We are underwater by about 7% and will likely add to this position

Access our full research database on Abbott Laboratories.

Absolent Air Care Group AB $ABSO SS by Pontus

Thesis:

Absolent Air Care Group makes industrial and commercial air-cleaning systems and appears to be turning around with returning organic growth and margin expansion from a depressed valuation.

Source: https://drive.google.com/file/d/1h2lXzOgnlmDiyOQ35uYTngMfiP3OIOHj/view?usp=drivesdk

Analysis:

Absolent develops products for cleaning process air in manufacturing and commercial kitchens. It is a Swedish company with revenue of approximately EUR 130m, but with global reach through partners. Having long been a favourite in the Swedish small-cap community, the share has endured a multi-year drawdown and now trades at levels last seen in 2018. This decline is partly due to a gradual erosion of margins, which fell from a high of 20% to 12% last year, as well as a slowdown in organic growth. While there are several explanations for this development, it appears that Absolent now has turned a corner, with two consecutive quarters of organic growth combined with margin expansion. A new product platform has likely supported the return to organic growth despite limited market tailwinds. 2025 appears to mark the trough in operational performance, and the shares still trade at a 10-year low.

Access our full research database on Absolent Air Care Group AB

Adobe Inc. $ADBE US by Patient Capital Management

Thesis:

Adobe Inc. is a leading creative software company with high free cash flow yield, strategic responses to competition, ongoing growth, and buybacks supporting attractive upside.

Source: https://drive.google.com/file/d/1LBjMqaTSDRw6gynl049bHn3LyxN1yWpm/view?usp=drivesdk

Analysis:

We found one company we thought was a bargain: Adobe (ADBE $243.08). Adobe’s stock price peaked in 2021 at $700 per share. It’s faced competitive threats, namely in Figma (FIG $21.14) and Canva, for the better part of the last half decade. As a result, the price and valuation have compressed more than other names.
The stock has a 10%+ free cash flow yield – a level historically associated with excess returns. Additionally, the company responded to threats with strategically sound adjustments including a new freemium tier for consumers and small businesses. We think the Enterprise business is insulated by the IP risk protection it offers.
Adobe is still growing topline and profits in the high single digits. We estimate the price discounts only four more years of growth. If it can grow 7.5% for the next 5 years then transitions to inflationary level growth, we estimate the stock is worth close to $400 per share (+65%).
The company has been aggressively allocating free cash flow to share repurchases. Shares fell 5.1% in fiscal 2025, and 3.7% in the last quarter. We think the combination of continued growth and prodigious cash generation, which is returned to shareholders, is powerful.
What would make us wrong? Competitive threats that erode business fundamentals, which we’ve yet to see. The company also has room to cut costs aggressively – a benefit in any scenario.

Access our full research database on Adobe Inc.

Advanced Energy Industries, Inc. $AEIS US by Baron Discovery Fund

Thesis: Advanced Energy Industries designs power conversion products with AI-driven data center tailwinds, new semi offerings, and multi-year growth and margin expansion potential.

Source: https://drive.google.com/file/d/1BiJff3jaENjUnR1QQVQlcDTVbGi4DPUQ/view?usp=drivesdk

Analysis: Advanced Energy Industries, Inc. is a designer and manufacturer of products used to transform, refine, and modify electrical power for use in semiconductor, industrial, medical, data center, and telecommunications end markets. Advanced Energy’s stock rose during the quarter as earnings and guidance were better than expected and as the market began to appreciate the strength that the company would see in both its data center and semiconductor end markets. The company is enjoying the fruits of having repositioned its data center segment to focus on sole-source, differentiated, higher margin business. AI’s increasing power requirements play to Advanced Energy’s strengths in power density and efficiency. The company also recently launched new products into the semiconductor market which are expected to drive strong growth through this year. Combined with the early stages of a recovery in its industrial and medical end markets, Advanced Energy is poised for several years of continued strong growth and margin expansion. The company also remains focused on acquisitions to bolster its product offerings, particularly in the large fragmented industrial and medical spaces.

Access our full research database on Advanced Energy Industries, Inc.

Alphabet Inc. $GOOG US by Alpha Wealth Funds

Thesis: Alphabet is a dominant technology conglomerate with multiple moats and optionality from AI, health moonshots, Waymo, quantum, and SpaceX investments.

Source: https://drive.google.com/file/d/17wdyjzN9nuXfrNv7z7gIqfRC7CiTabwM/view?usp=drivesdk

Analysis: Business: Google’s dominant market share and broad scope are often underestimated. The Company is now the 2nd most valuable company in the world, last holding this distinction in 2019. I have been saying for some time that Google will become the most valuable company in the world and won’t have anyone in the rear view mirror for the foreseeable future. I view Alphabet as today’s Berkshire, except stronger as its portfolio businesses are in growth mode and have moonshot potentials.

1. Search Engine Market Share: This is Google’s largest business as of April 2026, ~89.8% to 91.4% Google remains the undisputed leader in the global search market, though its “position” is evolving due to the rise of Generative AI. (Statcounter Global Stats).Fears of ChatGPT disrupting search have largely given way to Google’s own AI disrupting itself.
2. Web Browser Market Share (Chrome): Google Chrome consistently holds the largest share, over 70% share (around 71.23% as of late 2025)
3. Mobile Operating Systems (Android): Android dominates the global mobile operating system market with roughly 70-73% market share, significantly outpacing Apple’s iOS, driven by its presence in affordable devices in Asia, Africa, and other developing regions, though iOS leads in premium markets like the US.
4. Video Platform (YouTube): YouTube, owned by Google, is the leading video-sharing platform globally, with a very large market share in online video consumption.
5. Maps (Google Maps): Google Maps is the most widely used mapping service, with a dominant share.
6. Website Analytics (Google Analytics): Google Analytics is the most popular web analytics service, used by a vast majority of websites.
7. Online Advertising: While a massive portion of Google’s revenue comes from advertising (over 80%), they compete with other major platforms like Meta (Facebook/Instagram), Amazon, and other ad networks.
8. Cloud Computing (Google Cloud): Google Cloud Platform (GCP) is a major player in the cloud computing market, but it trails behind Amazon Web Services (AWS) and Microsoft Azure. Experienced the fastest growth among the “big three”, with revenues increasing by 34%.
9. Smart Home Devices (Google Nest): Google has a significant presence in smart home devices with their Nest line, but they compete with Amazon (Echo) and other smart home brands.
10. Hardware (Pixel phones, other devices): Google produces its own smartphones (Pixel), smart speakers, and other hardware, but they face intense competition from established electronics manufacturers like Apple, Samsung, etc.
11. AI (Artificial Intelligence): Gemini 3 Pro was released on November 18, 2025. It has reasoning and multimodal understanding capabilities and has very high scores. It is rapidly growing, clearly impacting ChatGPT’s leadership.
12. Email (Gmail): Gmail is a leading email service, competing with Outlook, Yahoo

Our Thesis: Alphabet (Google) has extensive health-related moonshots and investments, potentially exceeding the company’s current value, backed by significant cash and an unparalleled brain trust. Google is the second-largest investor in SpaceX, leads the world in Waymo autonomous robo-taxis, and is recognized as a leader in quantum computing, fusion energy research, and AI-driven tech healthcare initiatives.

Demis Hassabis, CEO of DeepMind, is a Nobel laureate whose pioneering work in using AI to predict protein structures revolutionized biology by accelerating drug discovery. He repeatedly states his belief that their AI will eventually cure all diseases. Google’s pharmaceutical spin-off, Isomorphic Labs, is already using AI to design drugs and preparing for human clinical trials.

Access our full research database on Alphabet Inc.

Amazon.com, Inc. $AMZN US by Baron Technology ETF

Thesis:

Amazon.com, Inc. is scaling an AI business across AWS and custom chips with strong customer commitments while its retail platform deepens its moat and margins.

Source: https://drive.google.com/file/d/1qUMEx0cugRMRFEMwaZf0gKuSC6Kgnm9S/view?usp=drivesdk

Analysis:

Shares of Amazon.com, Inc., the world’s largest retailer and cloud services provider, detracted from performance earlier in the quarter as the company guided to $200 billion in capital expenditures for the full year, well ahead of expectations. We have since grown more confident in the return path of Amazon’s AI investment, driven by mounting evidence of significant customer demand. In April, Chief Executive Officer Andy Jassy disclosed that Amazon’s AI business has already reached a $15 billion revenue run rate — 260 times larger than Amazon Web Services was at the same stage of its development — with a substantial portion of 2026 capital expenditures already backed by customer commitments and meaningful monetization planned for 2027 and 2028. This includes strong momentum in Amazon’s custom chip business, where a significant percentage of the next two generations of chips has already been reserved by customers. OpenAI recently described demand for Amazon Web Services’ managed AI service as “frankly staggering,” citing the competitive advantages of Amazon’s data infrastructure. On the retail side, Amazon continued to perform solidly at scale, and we believe its unmatched fulfillment network and vast consumer and logistics data position it uniquely well in an AI-first world — where the ability to anticipate demand, optimize operations, and personalize commerce at scale only deepens its competitive moat. We also expect Amazon to continue expanding operating margins across its North American and international retail businesses through improving cost discipline and further efficiencies in its fulfillment model. Long term, we believe Amazon should remain the dominant player in e-commerce, where it holds less than 15% penetration of its total addressable market, while also emerging as a leading force in cloud infrastructure and the broader AI ecosystem.

Access our full research database on Amazon.com, Inc.

ASM International NV $ASM NA by Artisan Global Discovery Strategy

Thesis: ASM International is a leader in ALD and epitaxy equipment positioned for secular growth as chipmaking shifts to 3D architectures requiring atomic-level processes.

Source: https://drive.google.com/file/d/1JxhrMQG8KQp6MeG-l98c-gB2yBR-HqK_/view?usp=drivesdk

Analysis: ASM is a leading manufacturer of front-end semiconductor capital equipment, with core strengths in atomic layer deposition (ALD) and epitaxy. We initiated a GardenSM position given the increasing importance of ALD as the semiconductor industry approaches the physical limits of traditional lithography-based scaling and transitions toward more complex 3D architectures. This transition is driving increased demand for ALD and epitaxy processes, which are required to coat and fill these structures with atomic-level precision. As a market leader with approximately 55% share in ALD, we believe ASM is well positioned to benefit from this trend and deliver secular growth.

Access our full research database on ASM International NV

Cematrix Corporation $CVX CN by Fairlight Alpha Fund

Thesis:

Cematrix Corporation is a specialist cellular concrete provider benefiting from U.S. infrastructure remediation demand, strong growth, and an attractive sub-6x EBITDA valuation supported by a large order book.

Source: https://drive.google.com/file/d/1KBaKMrgjah9ajGU0oGsVT8tyw-Lc3L5a/view?usp=drivesdk

Analysis:

Aside from the outperformance of the oil and gas sector (we were holding Valeura Energy through last year and prior to the Middle East conflict), one of our best performers so far this year has been Cematrix Corporation. This is a new position for us built up in Q1 2026, in an exciting business that has a long-term inflection in its business strategy, pivoting more toward the manufacture of specialist cellular concrete products.

The business has a great business model, that has strengthened from their purchase of a specialist low-density foam concrete, or cellular concrete manufacturer, with expertise in tunnel projects, as well as a wide variety of other infrastructure work such as bridge approach embankments, highway retaining walls, and slope stabilization. This business has a low correlation with some of the geopolitical events facing us this year, primarily dependent on the requirement for replacement or remediation of ageing infrastructure in many parts of the U.S.

Annual revenue growth has been 25% since 2017 the company showed significant earnings growth last year, and even after the recent share price run up, our estimate of the valuation versus this year’s EBITDA is less than 6× for Cematrix. Given the company’s large order book we think that this growth will continue, the company itself has stated that they expect record results in Q2 2026.

Access our full research database on Cematrix Corporation.

Dassault Systemes SE $DSY FP by Oakmark International Fund

Thesis: Dassault Syste8mes SE is a simulation-focused software leader with proprietary datasets and emerging AI capabilities, where transitory headwinds and depressed multiples create attractive risk/reward.

Source: https://drive.google.com/file/d/117XsrKl37qC_8GBMUOEYJ5-0kV95iIC6/view?usp=drivesdk

Analysis: Dassault Systemes, the French-headquartered software company, was the top detractor during the quarter. The stock de-rated after reporting soft Q4 2025 results alongside cautious 2026 guidance, driven in part by cyclically weak demand across its Life Sciences and Industrial/Automotive segments - headwinds we believe are largely transitory. The selloff was compounded by the broader “SaaSpocalypse” narrative weighing on enterprise software multiples. While we take the AI disruption risk seriously, we believe it is largely misapplied here: Dassault’s software simulates physical reality rather than purely managing information flows, a distinction generic LLMs cannot easily bridge, as doing so requires deep, proprietary simulation datasets only established CAD providers possess. Dassault is also rolling out multimodal AI capabilities, leveraging its physics-based layer to power agentic and generative experiences across their 3DEXPERIENCE cloud platform. With multiples near decade lows and conservative guidance now embedded in expectations, we believe the risk/reward is compelling.

Access our full research database on Dassault Systemes SE

Stock Analysis Compilation #131

Fri, 15 May 2026 15:15:57 GMT

USA

ACCESS Newswire (ACCS US) by pettycash

Angel Studios, Inc. (ANGX US) by guardianresearch

Broadwind Energy (BWEN US) by pernasresearch

Brown Forman (BF/B US) by edenbradfieldresearch $BF/B

Brown-Forman Corporation (BF/B US) by edenbradfieldresearch $BF/B

Comstock Resources (CRK US) by deepvaluecapitalbykyler

Coupang, Inc. (CPNG US) by sunrisecapital168

GrabAGun.com (PEW US) by everyonehatespoetry

Hims & Hers Health, Inc. (HIMS US) by antoniolinares

Kingsway Financial Services (KFS US) by kairosresearch

Leatt Corporation (LEAT US) by guastywinds $LEAT

Legacy Education (LEAI US) by denisdoroshenko $LEAI

Meta Platforms (META US) by manuinvests

Microbot Medical (MBOT US) by whitediamondresearch

PayPal Holdings, Inc. (PYPL US) by valueinvesting

ProFrac Holding Corp. (PFHC US) by pettycash $ACDC

Sea Limited (SE US) by gabgrowth

Securitize (SECZ US) by toptickresearch $SECZ

Uber Technologies, Inc. (UBER US) by thewolfofharcourtstreet

Vital Farms (VITL US) by financial-engineering

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Auxly Cannabis Group (XLY CN) by pettycash

Cipher Pharmaceuticals (CPH CN) by pettycash

Cronos Group Inc. (CRON CN) by pettycash

Geodrill (GEO CN) by pettycash

Happy Belly Food Group (HBFG CN) by wolfofoakville

iFabric Corp. (IFA CN) by wolfofoakville

Intrepid Metals (INTR CN) by jaycurrie

Rubicon Organics (ROMJ CN) by pettycash

Total Energy Services (TOT CN) by pettycash

Here are the latest Canadian stock pitches from hedge fund reports.

Japan

Sato Foods Industries Co. Ltd. (2814 JP) by Halvio capital

Takasago Tekko Co., Ltd. (5458 JP) by altaycap

Here are the latest Japanese stock pitches from hedge fund reports.

Korea

Sato Foods Industries Co. Ltd. (2814 JP) by Halvio capital

Takasago Tekko Co., Ltd. (5458 JP) by altaycap

Here are the latest Korean stock pitches from hedge fund reports.

UK

Chrysalis Investments (CHRY LN) by theoakbloke

Gulf Keystone Petroleum (GKP LN) by wonderstcks

Tungsten West (TUN LN) by theoakbloke

Here are the latest UK stock pitches from hedge fund reports.

France

Hermès (RMS FP) by Quality Value Investments

Here are the latest French stock pitches from hedge fund reports.

Netherlands

Basic-Fit (BFIT NA) by kevincasteleijn

Here are the latest Dutch stock pitches from hedge fund reports.

Germany

SAP (SAP GY) by bourseko

Here are the latest German stock pitches from hedge fund reports.

Denmark

Novo Nordisk (NOVOB DC) by kontrainvest

Poland

Dino Polska (DNP PW) by thedutchinvestors

Israel

SmartShooter (SMSH IT) by negociospelomundo

Switzerland

Swissquote (SQN SW) by Weekly Dispatches

Norway

Pexip (PEXIP NO) by fjordalpha

Malaysia

Takaful Malaysia (STMB MK) by momentumfinancial

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #95 - Q1'26 Pitches

Wed, 13 May 2026 15:02:26 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 AmpliTech Group (AMPG US) by Deep Sail Capital

🔹 AppLovin Corporation (APP US) by Bristlemoon Capital

🔹 Contemporary Amperex Technology Co., Limited (300750 CH) by Munro Climate Change Leaders Fund

🔹 CTS Eventim AG & Co. KGaA (EVD GY) by Acatis

🔹 Edwards Lifesciences Corp (EW US) by Artisan Global Opportunities Strategy

🔹 Eurobank SA (EUROB GA) by Ariel Global

🔹 Hangzhou First Applied Material (603806 CH) by Guinness China A Share

🔹 Harbor Diversified (HRBR US) by Cedar Creek Partners

🔹 Hawaiian Electric Industries, Inc. (HE US) by Horizon Kinetics

🔹 Hemnet Group AB (HEM SS) by Bristlemoon Capital

🔹 Hong Kong Exchanges and Clearing Limited (388 HK) by Longriver

🔹 Infineon Technologies AG (IFX GY) by Ariel International Developed Markets

🔹 Insmed Inc (INSM US) by Artisan Global Discovery Strategy

🔹 KKR & Co., Inc. (KKR US) by Akre Capital

🔹 Luotea (LUOTEA FH) by Pontus

🔹 Minimax Group Inc (100 HK) by Artisan Developing World Strategy

🔹 Net Lease Office Properties (NLOP US) by Kingdom Capital Advisors

🔹 Perma-Fix Environmental (PESI US) by White Brook Capital

🔹 Ranger Energy Services, Inc. (RNGR US) by Riverwater Micro Opportunities

🔹 RBC Bearings Inc (RBC US) by Artisan Global Discovery Strategy

🔹 Roblox Corp (RBLX US) by Artisan Global Opportunities Strategy

🔹 Rohm Co Ltd (6963 JP) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Roper Technologies, Inc. (ROP US) by Oakmark Equity and Income Fund

🔹 Rotork plc (ROR LN) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Sanara Medtech (SMTI US) by White Brook Capital

🔹 ServiceNow Inc (NOW US) by Nightview Capital

🔹 SK Hynix Inc. (000660 KS) by Ariel Emerging Markets Value ex-China

🔹 Smiths Group plc (SMIN LN) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Spotify Technology SA (SPOT US) by Artisan Global Discovery Strategy

🔹 Stella-Jones (SJ CN) by Upslope Capital

🔹 Unity Software (U US) by White Falcon Capital

🔹 Visa Inc. (V US) by Appalaches Capital

🔹 Wavestone (WAVE FP) by Acatis

🔹 Weichai Power (000338 CH) by Guinness China A Share

🔹 Yubico (YUBICO SS) by Pontus

AmpliTech Group $AMPG US by Deep Sail Capital

Thesis:

AmpliTech Group is a U.S.-based RF and 5G ORAN systems provider benefiting from ORAN adoption, sizable LOIs, improving margins, strong management execution, and attractive valuation upside.

Source: https://drive.google.com/file/d/1rjAsMiIEmw8W7_IivMZe4mgqSvhjG9OM/view?usp=drivesdk

Analysis:

Current Position: AmpliTech – Emerging Growth

AmpliTech Group (AMPG) operates a high-quality, diversified business model centered on designing, developing, and manufacturing advanced RF and microwave signal-processing components and systems. The company serves multiple end markets, which include satellite communications, 5G/6G telecom, quantum computing, defense, aerospace, and space. It operates through five divisions: AmpliTech Inc., Specialty Microwave, Spectrum Semiconductor Materials, AmpliTech Group Microwave Design Center, and the fast-growing AmpliTech Group 5G Division.

AmpliTech’s 5G ORAN product is the material driver of the current revenue growth that the company has seen. ORAN (or O-RAN) stands for “Open Radio Access Network.” ORAN, led by the O-RAN Alliance, is an agreed-upon framework that has been adopted by telecom operators for 5G networks, mainly in non-US markets. 5G ORAN is an open interface for building a 5G network. This allows telecom operators to mix and match vendors, reducing their dependence on proprietary, single-vendor systems while improving the supply chain and driving down costs for the telecom operators.

A key point about true 5G networks vs. 4G or 4G LTE is that due to the coverage efficiency, bandwidth used, and latency requirements, 5G networks will have materially more endpoints (RAN) devices required than 4G networks. This means that ORAN makers will be in high demand as the replacement cycle from 4G to 5G continues, which is a massive tailwind for AmpliTech for the next 3 years.

The company is currently forecasting at least $50m in 2026 revenue (100% growth over 2025), which will be driven by two large LOI’s that they have secured. The company announced in 2025 they have received an LOI for $78 million in ORAN radio systems with an Asian telco and a $40m LOI for a North American MNO. These LOIs are both just getting ramped up and will support the 2026 revenue growth.

High quality business model

AmpliTech’s business segmentation structure creates natural cross-selling opportunities and a somewhat resilient revenue base, although their 5G ORAN business is lumpy. The legacy components business (low-noise amplifiers (LNAs) and low-noise blocks (LNBs)) provides stable, high-margin recurring demand from satellite, defense, and test/measurement customers. Their 5G systems business, which was materially scaled up in 2025, delivers a scalable, high-volume platform revenue opportunity within the 5G Open RAN (ORAN) space.

Fiscal 2025 revenue reached a record $25.2 million, up approximately 165% year-over-year from $9.5 million in 2024. Growth was driven by strong demand for LNA/LNB products, expanded 5G product lines, and a rebound in the Spectrum division’s Asian markets. Gross profit rose to $6.0 million (from $3.5 million), but gross margin compressed to 23.9% (from 36.7%).

This compression in gross margin was largely a one-off event tied to three factors: (1) elevated legal and professional fees associated with capital-raising activities and compliance during the year’s rapid scaling; (2) one-time costs from the registered direct and rights offerings that strengthened the balance sheet; and (3) the deliberate early-stage ramp-up of carrier-grade 5G ORAN radio production, including competitive pricing to secure Tier-1 operator relationships and initial manufacturing scale-up inefficiencies. Management has explicitly guided that these headwinds are transitory and gross margins should return to the ~40% range in the back half of 2026 and be trending toward the 30–50% telecom industry benchmark as fixed costs are absorbed and pricing normalizes on established contracts. This margin improvement should be steadily driven as the company shifts from market-penetration pricing and low-volume pilot deployments to recurring, high-volume orders with better gross margins.

The model is further strengthened by vertical integration with design and manufacturing in the U.S., patented front-end and LNA technologies, and a transition from pure component supplier to full systems provider. AmpliTech’s products are 100% American-made, which may be a key selling point with US telcom providers due to onshoring efforts in the future.

Outstanding management

Amplitech is led by its founder, chairman, president, and CEO, Fawad Maqbool. Fawad has 30 years of microwave engineering experience with dual BSEE degrees in microwave and biomedical engineering. He has scaled the business from nothing to $50m in revenue forecasted for 2026. Maqbool founded the company in 2002 and has steered it from a bootstrapped startup to a NASDAQ-listed growth platform while maintaining hands-on oversight of RF innovation.

Outside of Fawad, AmpliTech’s leadership team combines deep technical expertise with proven operational discipline. Complementing him is COO Jorge Flores, who joined in 2021 with over 30 years of operations and program management experience across complex manufacturing environments.

Management’s execution has been strong within the last few years. In 2025 they delivered 165% revenue growth while simultaneously certifying the industry’s first U.S.-manufactured 64T64R CAT-B massive MIMO ORAN radio. This 5g ORAN product allowed them to secure the $78m LOI with a Tier-1 operator. While their 4Q results showed a gross margin decline due to the 5G ramp, they continue to be transparent and unwavering about the long-term vision for the company. As they approach a positive operating profit (likely later in 2026), they have proactively raised capital on favorable terms to fund the 5G ramp once the business inflects. Guidance has been consistently met or raised, and the team’s willingness to accept short-term gross-margin dilution for strategic design wins demonstrates a sophisticated understanding of carrier procurement cycles. AmpliTech’s management is well positioned to convert early ORAN leadership into multi-year, high-margin revenue.

My biggest issue with management is their IR has not been great. They had not scheduled an earnings call for Q4 results and released the results, and the stock sold off 30% after the results. Then, in what seemed kind of reactionary, they scheduled a call to discuss the results. They also do not do a very good job at getting back to investors who have questions. This is not an idea killer to me if the business decisions seem correct and they are focusing on execution, but I do think they could improve IR.

Substantial long term growth prospects

AmpliTech sits at the epicenter of the secular shift to Open RAN in 5G infrastructure. Traditional 4G RAN was monolithic and proprietary, locking operators into single-vendor ecosystems with high costs and limited flexibility. ORAN disaggregates the radio, baseband, and software layers, enabling multi-vendor interoperability, which is why Amplitech has succeeded in selling into much larger MNO telecom companies. ORAN is an interesting product within 5G that is more flexible and adoptable than its 4G counterpart.

Specifically, AmpliTech’s 5G ORAN product offers ~30% cost savings, faster innovation, and domestic supply chain security, which is a critical sales advantage over Chinese competition due to geopolitical concerns.

As I mentioned above, the key investment insight about the 5G opportunity ahead of AmpliTech is understanding the 5G infrastructure rollout versus the previous 4G infrastructure. A key differentiator is the dramatically higher density of endpoints required for 5G versus 4G. 5G demands gigabit-per-second speeds, ultra-low latency, and higher bandwidths. These requirements force denser network topologies as higher-frequency bands, which have shorter propagation distances. The shorter distances of propagation force telecom companies to deploy many more small cells and massive MIMO radios per square kilometer (5-20x depending on the buildings and structures nearby). This density is required for applications that require low latency and fast two-way signal strength, like autonomous vehicles, AR/VR, drones, and other new technologies.

Industry forecasts project the global 5G infrastructure market growing at a 22%+ CAGR by 2035. ORAN will be a major subset of that growth. AmpliTech’s U.S.-made, OTIC-tested, O-RAN-compliant, and interoperability-proven device positions the company as a rare domestic pure-play beneficiary.

Current analyst consensus (one covering firm) forecasts align with management’s reaffirmed FY2026 revenue guidance of at least $50 million (roughly 2x FY2025), which to me is an easy forecast to hit with just the existing two LOIs. But the company recently discussed that they are in the process of RFPs and other discussions for additional LOIs on their 5G ORAN products. I expect we’ll hear more about further LOIs by mid-summer, which could materially bolster the 2025 revenue and support another sizable revenue growth in 2026.

The Legacy RF and Spectrum divisions should continue growing mid-teens, providing a stable base while 5G systems become the dominant, higher-margin contributor. Gross margins normalize to ~40%+ by H2 2026 and sustain or expand thereafter, driving robust free-cash-flow generation and potential for margin expansion through operating leverage.

Reasonable valuation

AmpliTech reported what was viewed by investors as a bad quarter in Q4 2025. Although revenue grows 111% y-o-y, it sequentially declined for the last two quarters. On top of that, the gross margins went down to 24%. Management did a fairly good job at explaining the Q4 numbers, although the conference call was a week after the earnings announcement.

The 2026 revenue guidance of “at least $50m” in revenue is still intact, and management confirmed that on the call. There will likely be some lumpy quarters as they ship orders against both of their LOIs. Investors never like a lumpy business, so I suspect that is why its current enterprise value is just $46m.

Below is my base case forecast for the company based on the existing 5g ORAN LOIs and the other business lines.

Note that the company completed a rights offering in January 2026, in which they sold 2.2m shares at $4 which came with two rights: Series A right with $5 strike and expiry in July 2026, Series B right with $6 strike and expiry in November 2026. This would be about a 18% share dilution if the rights were executed, which suggests some resistance around $5-6/share. What is interesting about this rights offering is, why did management execute this with such short expiry times? $5 in July 2026 and then $6 in November 2026. It is a bit of foreshadowing from management, about what they see on the horizon for 2026.

There is a bull case where they receive new LOIs for 5G ORAN, as management has suggested on the recent call. If that is the case, their revenue growth might be significantly higher than 30% in 2027 and 2028.

The only analyst covering AmpliTech (Maxim Group) revised down their price target from $9 to $7 a share after the Q4 2025 earnings report on margin concerns. Currently Maxim Group is forecasting 2026 EBITDA at $11m, which would put the valuation at 3.5x 2026 EBITDA. I am a bit suspicious of that figure, as I think it assumes full-year gross profit at 40%, instead of a blended full-year number closer to 35%. Even so, my 2026 EV/EBITDA multiple is just 10.3x, and then it drops to 4.4 for 2027. This is more than reasonable if the company can continue its path to EBITDA and cash flow breakeven while growing the topline at +30%. I believe shares are worth north of $6 (210% upside) once the company can prove out gross margins and scale their 5G ORAN business.

Catalysts and Conclusion

• 5G ORAN LOIs: With over $100m in LOIs in hand, the main issue will be timing around projects and rollouts. Management expects to get through a good chunk of the LOIs in 2025, so I assume we will see a few quarters above $10m revenue.

• New LOIs for 5G ORAN: The 5G rollout globally is still in the expansion stages globally, where cost might become a key factor in new projects, which is exactly where AmpliTech is strongest.

The worst seems to be behind AmpliTech in terms of the valuation drop after the recent earnings. Q1 has historically not been a great quarter for the business, but they expect to begin to start executing against the LOIs they have in hand, so I would expect to see a solid Q1 report, which will put investors at ease with the story.

Access our full research database on AmpliTech Group

AppLovin Corporation $APP US by Bristlemoon Capital

Thesis: AppLovin Corporation is a highly profitable mobile ads platform expanding into e-commerce with compelling unit economics and AI-enabled advantages, offering attractive upside from growth and a mispriced multiple.

Source: https://drive.google.com/file/d/1MxKLm-eSLIkCkZMT_drLf1knSVXp1Mtg/view?usp=drivesdk

Analysis: AppLovin (APP), the largest position in the Fund, declined by almost -41% in the March quarter. This drawdown in the stock was a material hit to the Fund’s performance for the quarter. Like many of the Fund’s other holdings, expectations for future earnings for APP have steadily increased, yet the share price plummeted due to misplaced AI-disruption fears. In other words, all of the APP stock price decline was driven by a decline in the earnings multiple. Some of the APP stock price movements during the quarter are worth recounting to highlight the bizarre trading activity we observed. For example, APP declined by -30% in January 2026. This included a -17% single-day selloff following Google’s announcement of Project Genie – a generative-AI tool enabling users to create 3D playable worlds via text prompts. This price decline appeared irrational to us, given that this development is more likely to be positive for APP. In a world where AI reduces the barriers to game content creation, we would likely see an explosion of new mobile games. And in a world flooded with games, content becomes commoditised, and distribution – that is, getting your game in front of people who want to play it and spend money – becomes the scarce asset. This plays into AppLovin’s strengths. The company allows mobile game publishers to monetise their games via ads, historically by showing in-game ads for other mobile games (although more recently this has expanded to e-commerce ads). The more games that are created, the more in-game ad inventory which AppLovin can monetise and earn revenue from. More likely than not, an initiative like Project Genie would be a boon for AppLovin’s business, yet the market ruthlessly sold off the stock. This gives some context as to the market environment we have been operating in. In the same month, AppLovin also came under perhaps the most frivolous short seller attack yet, this time allegedly linking the company’s largest non-insider individual shareholder to all manner of Chinese money laundering and Cambodian “pig butchering” scams. We spent 30 minutes on Google and realised the short seller had mistaken the identity of this shareholder (Mr. Tang Hao) – the central figure of the entire short report – with an entirely unrelated third party. We would note that at its recent all-time high in late December 2025, AppLovin’s stock had more than 10x’d in price since our initial purchase in August 2024. We would also point out that this is a stock that fell by 57% in a less than two month period earlier in 2025. In other words, AppLovin is an unusually volatile stock. Despite this, we have chosen to hold AppLovin as a material position in the Fund because we understand the business well and are of the view that the future growth opportunity is very significant, and, crucially, the market is mispricing this growth potential. We remain very constructive on APP’s future earnings growth potential for a number of reasons: The core mobile game ads business continues to grow very strongly. For example, in Q4 of 2025, with AppLovin’s e-commerce revenues still in their infancy, the business still managed to grow revenues by 66% year-over-year. This was primarily driven by continued algorithm improvements in AppLovin’s core mobile gaming business. Moreover, AppLovin grew its adjusted EBITDA by 82% year-over-year in Q4 of 2025. The company had 84% adjusted EBITDA margins, with incremental margins of more than 95% in the quarter. In other words, AppLovin is phenomenally profitable and growth is being attained at incredible margins. This is an important point as it relates to the company’s nascent e-commerce initiative. AppLovin has been rolling out its e-commerce initiative in various phases. Firstly, it was a pilot limited to 600 advertisers, that later expanded into a referral program. The company is rolling out its self-service product to advertisers in 1H26. AppLovin has been measured with the rollout of this initiative, spending the time to build out various functions and integrations to ensure that greenlighting the initiative for General Availability will go smoothly. The crux of the self-service platform is that it automates the onboarding of advertisers so that smaller merchants can launch ad campaigns without needing hands-on support from AppLovin’s team. This means that the growth of advertisers on AppLovin’s platform could be explosive. They can bond their credit card to the portal and start spending in short order. This opens up a veritable wall of spend that we believe will find its way to AppLovin’s platform, given positive early return on ad spend (ROAS) feedback we’ve heard from advertisers and the desire for a credible third platform for scaled user acquisition spend outside of Google and Meta. The economics of this e-commerce initiative are unusually compelling for AppLovin. The company pools together ad dollars and purchases ad impressions on a CPM basis (we explain APP’s business model in more detail in our September 2024 quarterly letter). APP CEO Adam Foroughi disclosed at the Morgan Stanley TMT Conference in March 2026 that the company had a 1.3% conversion rate (CVR) on the ads served by AppLovin. This means that AppLovin loses money on 98.7% of the ads they serve; in other words, APP purchased that ad impression but there was not a monetisation event against the impression from which they could earn revenue. This is an incredibly bullish data point for a number of reasons: • APP can serve e-commerce ads against the ad impressions that are likely to be wasted on gaming ads. Given that AppLovin has already paid for these ad impressions, the effective take rate on these impressions for an e-commerce ad that converts is 100%. • The introduction of e-commerce ads will lead to a greater diversity of ads on AppLovin’s platform, producing additional signal to improve the company’s ad targeting algorithms. Foroughi has spoken about eventually getting to a 5% CVR, up from the current 1.3%. • Such an increase in the CVR could drive a multiple-times increase in AppLovin’s revenue without any increase in advertiser ad spend (stylised example below). Of course, higher CVR should also deliver improved return on ad spend (ROAS), prompting advertisers to spend more with AppLovin. And given the wonderful economics of AppLovin’s platform, these revenues would come in at close to 100% incremental margins. Finally, AppLovin’s self-service rollout is coinciding with the exponential improvement in video generation models. Historically, mobile game studios have had dedicated teams churning out highly interactive, long-form, unskippable video ads and playable end cards. E-commerce merchants and direct-to-consumer brands usually don’t have those resources; they are accustomed to putting standard image or short video assets onto platforms like Meta or TikTok where watch time is less than five seconds. Simply porting over these ads is suboptimal. AppLovin’s video-based ad network operates in a full attention environment: the average watch time of ads on the platform is an unskippable 30 seconds, with 81% of ads served being longer than 30 seconds. AppLovin is rolling out automated video ad generation, significantly easing the burden of ad creation for e-commerce brands, which should have two key impacts: 1) it should improve AppLovin’s top-of-funnel efficiency with converting brands to active advertisers, given that only 57% of qualified leads currently convert to active campaigns (with the biggest cause of lead breakage due to those brands not having video ads); and 2) it is likely to dramatically increase the velocity of spend on the platform, precipitating an explosion in ad dollars flowing through AppLovin’s platform. We were able to add to the Fund’s AppLovin position at sub-$400, a level which we believe represents compelling value. At these levels the business is being valued at 25x forward GAAP EPS, despite sellside expecting earnings to more than double from 2025 to 2027. In talking to a number of investors, it seems that they are put off by the complexity of AppLovin’s business. However, to the extent that APP’s robust growth continues, it becomes harder for investors to ignore this stock.

Access our full research database on AppLovin Corporation

Contemporary Amperex Technology Co., Limited $300750 CH by Munro Climate Change Leaders Fund

Thesis: Contemporary Amperex Technology Co., Limited is the global leader in EV/ESS batteries with scale, innovation, and pricing pass-throughs supporting multi-year profitable growth.

Source: https://drive.google.com/file/d/1qTvVfVGQfsJFuMvP_Qxlba2l9eG12KlE/view?usp=drivesdk

Analysis: CATL, in the Clean Transport Sub-Area of Interest, is the world’s largest battery cell manufacturer with 39% of global market share in power batteries in 2025. The company operates a vertically integrated model spanning mining, processing, R&D and battery cell production for electric vehicles (EVs) and energy storage systems (ESS). In EVs, which remains the largest end market for their products, the company’s customers include 9 of the top 10 leading EV manufacturers by volume. CATL holds a leading position in lithium iron phosphate (LFP) batteries, which are increasingly the preferred chemistry due to their cost advantage and superior safety profile. While we anticipate EV volumes to slow in 2026, larger batteries with longer range mean a content uplift opportunity for CATL. However, recently it has been ESS, not EVs, which have the more exciting area of growth. In particular, China needs ESS because much of the solar it has already installed is curtailed (essentially wasted) because supply exceeds demand. To illustrate, in the first half of 2025, 33% of the solar generated in the western Chinese region of Tibet was curtailed. If they had more ESS, they could store this excess supply during daylight hours and use it in the evening peak. To address this, China recently announced ambitious ESS policies aiming to grow capacity by nearly 30% p.a. to 180GW by 2027, requiring investment of US$35b: a huge revenue opportunity for developers and battery makers. We anticipate growth of over 50% in CATL’s ESS end market in 2026. At CATL’s result in late March, they also confirmed expectations of between 20-30% volume growth for the next 5 years. CATL also said they expect net profit per unit (kWh) will remain stable in 2026. The ability to grow profitably has been a key difference between CATL and listed peers which, despite also benefiting from the underlying volume growth, have struggled with maintaining margins. This was a key focus leading up to the result given the lithium price, a key raw material for batteries, has increased over 30% year to date (using the Chinese lithium carbonate spot price as a proxy). CATL reiterated that its EV customers have cost pass through contracts, and for ESS they regularly adjust prices for raw materials and demonstrate value-add to maintain pricing and margins. We also continue to see CATL leading innovation. One example is in sodium ion batteries. In February, CATL and EV maker Changan Automotive unveiled the first mass-production EV with sodium ion batteries - a technology which does not use lithium and promises between 30-40% lower battery cost versus lithium over time. It also changes the percentage of the battery cost which comes from raw materials, with CATL hoping that they can again benefit from their technological lead and grow profitably. Finally, in the Market Outlook above we discuss the implications of the Iran war on the energy transition, and how electric vehicles may benefit. The chart below shows Google Search interest over time in the phrase “electric vehicle” is at all-time highs. In the US, current interest eclipses both the introduction of Biden-era $7,500 consumer subsidies in 2022 and the spike in interest ahead of them being scrapped in 2025. Again, while the many macro implications of the Iran war – including interest rates and consumer confidence – are unknown, it does suggest a rapid change in preferences.

Access our full research database on Contemporary Amperex Technology Co., Limited

CTS Eventim AG & Co. KGaA $EVD GY by Acatis

Thesis: CTS Eventim is a dominant European ticketing platform with pricing power, strong long-term profitability, and a durable moat from exclusive contracts.

Source: https://drive.google.com/file/d/1DzIXdcgVL-_3VhwohDK35YOegCANE_JU/view?usp=drivesdk

Analysis: CTS Eventim: We are investing in CTS Eventim, the market’s leading provider for ticketing solutions, as growing demand for live events (e.g. Olympic Games and world championships) and the company’s long-standing power to set prices will enable an attractive return on equity and good entry opportunities as part of the software sell-off (see also interview on page 7). CTS Eventim was one such purchase. Over a period of 25 years (and disregarding the downturn during COVID-19), the company’s profits have reliably increased at a rate of 23-25 percent. The return on equity was always around 30 percent, and the return on investment at 22 percent. This led to similarly impressive valuations with P/E ratios of 30 to 35. Consequently, when the P/E ratio falls below 20, we see an opportunity. All the better. The ticket system – the company’s prime product – is basically software. But it is accompanied by a wide moat (contracts with event organizers and artists), so that the company enjoys a monopoly-like market position in large parts of Europe. There is no legal basis to do so. They can take action during takeovers, but not in the case of organically grown monopolies. There is no basic right to attend a concert, and therefore no political interest. We might be talking about putting the brakes on rents, but not one is talking about putting the brakes on ticket prices.

Access our full research database on CTS Eventim AG & Co. KGaA

Edwards Lifesciences Corp $EW US by Artisan Global Opportunities Strategy

Thesis:

Edwards Lifesciences is a heart valve leader with reaccelerating aortic and fast-growing tricuspid franchises supported by strong data and margin expansion potential.

Source: https://drive.google.com/file/d/1wdLYRbCEXZVgqc6LXeoRdPwYoOsff_ga/view?usp=drivesdk

Analysis:

Edwards Lifesciences designs, develops, manufactures and markets products and services for the treatment of late-stage cardiovascular disease. The company is a long-standing leader in heart valve replacement, particularly minimally invasive, catheter-based solutions. We initiated a position as the core aortic valve franchise reaccelerates and demand for newer tricuspid valve therapies is growing rapidly, expanding Edwards’ addressable market. This next product cycle is supported by strong clinical data and increasing physician adoption, with Edwards gaining share as competing solutions struggle to match its outcomes. Over time, potential for workflow simplification, including greater procedural autonomy for cardiologists, could improve capacity and utilization, supporting both volume growth and margin expansion. Following several years of elevated investment, we expect stronger revenue growth to drive margin expansion.

Access our full research database on Edwards Lifesciences Corp

Eurobank SA $EUROB GA by Ariel Global

Thesis: Eurobank SA is positioned to benefit from Greece’s recovery with multi-year loan growth, wealth management focus, regional acquisitions, solid capital, and competitive ROE.

Source: https://drive.google.com/file/d/1sMukOoWD33ugRnCMUS2UMkujTXkU_8Dk/view?usp=drivesdk

Analysis: We bought Greece-based financial services and asset management company, Eurobank SA because we believe it is poised to significantly benefit from Greece’s economic recovery. Eurobank should have the opportunity to expand its loan book over the next 5-7 years supported by sustained credit growth and macroeconomic tailwinds. Its focus on wealth management and recent acquisitions in Cyprus and Bulgaria strengthen our conviction. Meanwhile, we expect the country’s absorption of European funds and private credit penetration to present further upside for shares. From our perspective, the company’s diversified approach, sturdy capital position and competitive return on equity underscores our confidence in its long-term value.

Access our full research database on Eurobank SA.

Hangzhou First Applied Material $603806 CH by Guinness China A Share

Thesis: Hangzhou First Applied Material is the leading solar encapsulation film maker benefiting from pricing power and potential market share gains as input cost pressures drive industry consolidation.

Source: https://drive.google.com/file/d/1Kv7u8E3OhjNLsZBasGrItcKRU14NkdP7/view?usp=drivesdk

Analysis: Hangzhou First Applied Material is the world’s largest manufacturer of solar encapsulation film, which is used to protect solar modules. Its primary raw material is a derivative of oil and gas, and developments in the Middle East have led to a significant increase in input costs. In the short term, First Applied is benefiting from its leading market share, allowing it to raise prices. In addition, the company is selling inventory produced at lower historical costs into a higher price environment, providing a temporary increase to margins. But with inventory days of c.54, this benefit is likely to be short-lived. As inventories are replenished at higher spot prices, the margin uplift is expected to normalise. Looking beyond the next month or two, higher input costs have historically been associated with higher solar film prices, suggesting that the company may be able to pass on higher costs to customers. At the same time, smaller competitors who already under pressure from industry oversupply and weak profitability may struggle to do the same. This could accelerate industry rationalisation and provide First Applied with an opportunity to further consolidate market share.

Access our full research database on Hangzhou First Applied Material

Harbor Diversified $HRBR US by Cedar Creek Partners

Thesis: Harbor Diversified is a cash-rich holding after selling Air Wisconsin, trading well below estimated net cash with catalysts from strategic alternatives.

Source: https://drive.google.com/file/d/1O4cvRwUW7zRaRRUJ-B-5VmCLc3Z1MSC6/view?usp=drivesdk

Analysis: Harbor Diversified is a recent addition to the fund. While we have followed the story for a few years and occasionally owned a small amount of shares, we decided to purchase shares after their December 18, 2025, announcement of the company selling its Air Wisconsin subsidiary and all related aircraft in three separate deals for aggregate consideration of $113 million. They are delinquent in their SEC filings but are in the process of catching up. As of December 31, 2024, we know they had $112 million in cash and securities, which we do not think was part of the assets sold at the end of 2025.

What we don’t know is how much money Harbor lost in 2025 prior to the asset sale. We are estimating Harbor lost $60 million in 2025, with $25 million of the loss being due to depreciation, resulting in a cash loss of $35 million. If roughly correct, that would leave Harbor with around $180 million in cash and securities after paying transaction costs and taxes. Shares outstanding as of March 11, 2026, were 58.4 million. That would equate to $3.08 per share versus the current $1.50 per share price. At that gap, we don’t have to be precisely right, just approximately.

Harbor’s 10-K for 2024 was filed on April 8, 2026. The filing included a notation stating:

We are currently in the process of evaluating potential strategic alternatives, which may include investments in, or acquisitions of, one or more businesses, assets, technologies, joint ventures, or other strategic opportunities. Any such transactions could involve one or multiple investments or acquisitions, be in any number of industries or lines of business (which may or may not include the airline industry), and involve the use of cash, equity securities, or a combination thereof. In addition, we may pursue other strategic alternatives, which could include, without limitation, the issuance of one or more cash dividends, share repurchases, tender offers, registering as an investment company, a liquidation, or other potential transactions.

Based on the language in the 10-K, we expect Harbor to either acquire a business at a fairly attractive price or return capital to shareholders.

Access our full research database on Harbor Diversified.

Hawaiian Electric Industries, Inc. $HE US by Horizon Kinetics

Thesis:

Hawaiian Electric Industries is a regulated utility in post-disaster recovery with predictable earnings normalization and eventual dividend reinstatement, offering high yield on cost and low risk of permanent loss.

Source: https://drive.google.com/file/d/1QAeAUjKNwtvYsWspMJYJiTXmwE_BwJie/view?usp=drivesdk

Analysis:

Hawaiian Electric Industries, also a familiar holding in our portfolios, is an example of opportunistic income investing but that is not obvious, since the company doesn’t pay a dividend. It won’t show up in a yield-sorted database or income fund. That’s only because it is still early in its recovery phase from the Maui fire disaster of 2023 and the monetary liability it has to pay, so the company has yet to reinstate the dividend. But its recovery—the future credit upgrades and earnings—is even more predictable (certainly directionally, if not precisely) than Cheniere’s was, because Hawaiian Electric is a regulated utility. Its ultimate dividend yield—on our cost—will be well into the double digits. It only requires patience.

We believe Hawaiian Electric will be a superb investment. If it’s established as a large core position, it won’t be because of how high it might go, but because of how low the risk of permanent capital loss is in a recovery-stage regulated utility. Yet, because it can be a large position, its portfolio impact will also be large, even if it’s not a “moonshot.” The “but” is that after the company achieves its financial goals several years from now, it will just be an ordinary utility company with state regulated growth and returns on equity. At that point, the return profile will be largely a function of interest rates as opposed to operational achievements.

Access our full research database on Hawaiian Electric Industries, Inc.

Hemnet Group AB $HEM SS by Bristlemoon Capital

Thesis: Hemnet Group AB is a Swedish property listings platform with near-term headwinds but improving volumes from its SFPL rollout that support a recovery and rerating from historically depressed multiples.

Source: https://drive.google.com/file/d/1MxKLm-eSLIkCkZMT_drLf1knSVXp1Mtg/view?usp=drivesdk

Analysis: The most extreme case of multiple compression in the portfolio has been Hemnet. Unlike many of the Fund’s other holdings which have experienced stable to increasing earnings estimates, Hemnet’s multiple deterioration has been accompanied by a reduction in consensus earnings estimates (in this sense, the decline in the earnings multiple afforded to Hemnet has not been totally unfair). We underestimated the cyclicality of the housing market as well as rising competitive pressures. This has resulted in a particularly severe decline in Hemnet’s stock price, making Hemnet the largest detractor from the Fund’s returns since inception. Hemnet, in our view, remains a quality business with a bright future ahead. The narrative, however, has been muddied by a very weak Swedish property market, competition concerns, and fears of AI disintermediation. We believe that these concerns are overblown and our view is that they should begin to fade once listings volumes start growing again. However, this deteriorating narrative has reduced the earnings multiple that investors are willing to pay for Hemnet, with the P/E multiple declining from north of 50x at the beginning of 2025, to just 18x today. In other words, in a little over a year, there was a -64% decline in the share price just from the multiple alone. Furthermore, Hemnet’s multiple is almost two standard deviations lower than its average P/E multiple of 50x since the business went public in 2021, which statistically speaking is a very low probability event. When layering on the decline in earnings estimates, Hemnet stock has declined by around -75% since the February 2025 share price peak. The stock had always traded at a rich multiple, and we felt that this was an acceptable price of admission to gain access to our view at the time of a strong earnings growth trajectory. In hindsight, we paid too high of a price for Hemnet in light of the downturn in the Swedish housing market, which has changed agent behaviour in a way that has fed increasing listings supply to Booli, Hemnet’s competitor. The price we paid left no margin of safety for a deterioration in near-term earnings expectations for the business. Over a longer time frame, we believe that Hemnet will return to growth and this episode will be but a bump in the road. But in the short-term we have suffered a significant drawdown in the Fund’s Hemnet position that has materially weighed on the overall returns of the portfolio. Importantly, our mistake was not necessarily in purchasing Hemnet on the basis of our assessment of the long-term earnings power of the business. It was in anchoring too heavily to this long-term view, while not being nimble enough with adjusting our position size as investor confidence deteriorated and as the market became less willing to look out at those future earnings. We have channelled these reflections into the position sizing framework we discuss later in this letter. We are thankfully starting to see some green shoots with Hemnet, stemming from the Sell First Pay Later (SFPL) payment option rollout, as well as the LVR rule changes that came into effect April 1, 2026. As a reminder, Hemnet is in the process of rolling out a new payment option where property sellers can list their home on Hemnet at no upfront cost, and will only pay Hemnet in the event that their property sells. We believe this removes the largest friction to sellers listing on Hemnet – that is, the upfront outlay without a guarantee that the property will sell – and our thesis was that this would lead to a significant improvement in listings volumes over time. This is already beginning to occur. For example, in the first week of February 2026 in Stockholm where the SFPL model was introduced, Stockholm listings were down -5% year-over-year compared to listings being down -22% year-over-year for Hemnet as a whole. Hemnet’s share of listings in Stockholm jumped from 78% on an LTM basis to 95% in the first week of February. And we have observed further improvements in listing volumes, with the number of published homes on Hemnet declining by -1.8% year-over-year in the first week of April 2026, compared to a -40% year-over-year decline in the preceding week. Listing volumes in the first week of April surged by an incredible 67% week-over-week. We believe that if Hemnet can show a continued improvement in the listings volume trajectory, then investors will begin to rebuild confidence in the stock and the multiple should rerate. From these incredibly beaten down levels, we are projecting a more than 40% IRR from the Fund’s Hemnet investment over the next three years.

Access our full research database on Hemnet Group AB

Stock Analysis Compilation #130

Mon, 11 May 2026 15:02:17 GMT

USA

Advanced Micro Devices (AMD US) by antoniolinares $AMD

Amazon, Inc. (AMZN US) by summitstocks $AMZN

Apple (AAPL US) by aswathdamodaran $AAPL

Aurora Innovation (AUR US) by fallacyalarm $AUR

Berkshire Hathaway (BRK/B US) by 100baggerhunting $BRK/B

Bloom Energy (BE US) by jasonschips.ai $BE

Cadence Design Systems (CDNS US) by bourseko $CDNS

Cerebras Systems (CBRS US) by irrationalanalysis $CBRS

CLAR (CLAR US) by researchragnarok $CLAR

Crocs (CROX US) by sunrisecapital168 $CROX

Dave Inc. (DAVE US) by ryandengler $DAVE

DIRTT Environmental Solutions (DRTT US) by pettycash $DRTT

Duolingo (DUOL US) by antoniolinares $DUOL

Duolingo, Inc. (DUOL US) by denisdoroshenko $DUOL

Grab (GRAB US) by globalequitybriefing $GRAB

Grab Holdings Limited (GRAB US) by gabgrowth $GRAB

IREN Limited (IREN US) by globalequitybriefing $IREN

PayPal (PYPL US) by deepvaluecapitalbykyler $PYPL

Planet Labs PBC (PL US) by unconventionalvalue $PL

Pro-Dex, Inc. (PDEX US) by leftfieldinvesting $PDEX

Reddit (RDDT US) by welfarecapital $RDDT

RXO, Inc. (RXO US) by dfresearch $RXO

SuperCom (SPCB US) by 0to1stockmarket $SPCB

Tactile Systems Technology, Inc. (TCMD US) by deepvaluecapitalbykyler $TCMD

Tripadvisor (TRIP US) by oreolus $TRIP

Uber (UBER US) by kevincasteleijn $UBER

Uber Technologies, Inc. (UBER US) by ryandengler $UBER

Viemed Healthcare (VMD US) by pettycash $VMD

Wix (WIX US) by thedutchinvestors

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Atlas Salt (SALT CN) by miningcharts

Ensign Energy Services Inc. (ESI CN) by pettycash

High Arctic Overseas Holdings Corp. (HOH CN) by pettycash

PHX Energy Services (PHX CN) by pettycash

Topicus.com Inc. (TOI CN) by kevincasteleijn

Here are the latest Canadian stock pitches from hedge fund reports.

UK

DCC plc (DCC LN) by valueandopportunity

Integrated Diagnostics Holdings (IDHC LN) by theoakbloke

Here are the latest UK stock pitches from hedge fund reports.

Sweden

Hexatronic (HTRO SS) by fjordalpha

Vitec Software Group (VITB SS) by fjordalpha

Here are the latest Swedish stock pitches from hedge fund reports.

Netherlands

Adyen (ADYEN NA) by kevincasteleijn

ASML (ASML NA) by thedutchinvestors

Here are the latest Dutch stock pitches from hedge fund reports.

Germany

Redcare Pharmacy (RDC GY) by financial-engineering.net

Here are the latest German stock pitches from hedge fund reports.

Denmark

Novo Nordisk (NOVOB DC) by hatedmoats

Kazakhstan

Solidcore (CORE KZ) by Undervalued Shares

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #94 - Q1'26 Pitches

Wed, 06 May 2026 15:02:50 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 APA Corporation (APA US) by Ariel Focused Value

🔹 Autodesk Inc (ADSK US) by Nightview Capital

🔹 Cintas Corporation (CTAS US) by Aoris

🔹 D’Ieteren Group (DIE BB) by AVI Global Trust

🔹 Envista Holdings Corp. (NVST US) by Ariel Small Cap Value Concentrated

🔹 Fifth Third Bancorp (FITB US) by Ariel Global

🔹 GAIL (India) Limited (GAIL IN) by Ariel Emerging Markets Value ex-China

🔹 Haleon plc (HLN US) by Oakmark International Fund

🔹 Hongfa Technology Co., Ltd. (600885 CH) by Ariel Global

🔹 IAC Inc. (IAC US) by Symmetry Invest

🔹 Icon Public Limited Company (ICLR US) by White Brook Capital

🔹 International Workplace Group plc (IWG LN) by Symmetry Invest

🔹 Kia Corporation (000270 KS) by Ariel Emerging Markets Value ex-China

🔹 Lifco AB (LIFCB SS) by Upslope Capital

🔹 Marex Group plc (MRX US) by Night Watch IM

🔹 MediaTek Inc. (2454 TT) by Ariel Global

🔹 Norwegian Cruise Line Holdings Ltd. (NCLH US) by Ariel Small Cap Value Concentrated

🔹 Oracle Corporation (ORCL US) by Ariel Focused Value

🔹 Oracle Corporation (ORCL US) by White Falcon Capital

🔹 Perella Weinberg Partners (PWP US) by Riverwater Small Cap Strategy

🔹 Postal Realty Trust (PSTL US) by Brasada Capital

🔹 QXO Incorporated (QXO US) by Mar Vista U.S. Quality

🔹 Rapid Micro Biosystems (RPID US) by White Brook Capital

🔹 RELX PLC (REL LN) by Aoris

🔹 RLI Corp. (RLI US) by Ariel Mid Cap Value

🔹 Ryanair Holdings plc (RYA ID) by Alluvium Global Fund

🔹 S&P Global (SPGI US) by White Brook Capital

🔹 SAP SE (SAP GY) by Aoris

🔹 Shopify Inc (SHOP US) by Nightview Capital

🔹 SLB Limited (SLB US) by Ariel Mid Cap Value

🔹 Sprouts Farmers Market, Inc. (SFM US) by Riverwater Sustainable Value Strategy

🔹 Syensqo SA (SYENS BB) by Ariel Global

🔹 The RealReal (REAL US) by Cedar Grove

🔹 The St. Joe Company (JOE US) by Praetorian Capital

🔹 The Trade Desk (TTD US) by Saga Partners

APA Corporation $APA US by Ariel Focused Value

Thesis: APA Corporation is an upstream oil and gas producer with strong Permian inventory, growing LNG-linked gas exposure, and sustained free cash flow to return to shareholders.

Source: https://drive.google.com/file/d/18DqwEqY5Uq4y_iPdbwrP7NhGBTNGm6OO/view?usp=drivesdk

Analysis: Oil and gas producer, APA Corporation (APA) was the top contributor during the quarter, benefiting from higher oil prices and the company’s strong exposure to upstream operations, which tend to perform well when commodity prices improve. Longer term, we believe APA is well positioned to sustain production and generate cash. The company has a large inventory of drilling opportunities in the Permian Basin and a good track record of replacing production. Additionally, growing natural gas exposure in Egypt and APA’s liquefied natural gas–linked marketing portfolio are beneficial. Together, we believe these assets support ongoing free cash flow, which can be returned to shareholders and drive value over time.

Access our full research database on APA Corporation.

Autodesk Inc $ADSK US by Nightview Capital

Thesis: Autodesk is a durable AEC software franchise with a completed subscription transition, growing free cash flow, and emerging AI features that support long-term compounding.

Source: https://drive.google.com/file/d/1MANod0MDeGXKcbPtM7_YlszxrNihnwT5/view?usp=drivesdk

Analysis: Autodesk (ADSK) Autodesk is the kind of business that gets less credit than it deserves because it is not flashy. It makes software for architects, engineers, and construction professionals. It has been in the business for over forty years. It is not, on the surface, a headline-grabbing story. But underneath the surface, Autodesk is one of the most durable software franchises in existence, and its transition over the past several years from a perpetual-license model to a subscription-based cloud platform has dramatically improved the predictability and quality of its earnings. We initiated our Autodesk position in late February when the stock was trading at a meaningful discount to our estimate of intrinsic value, driven by broader software sector weakness. The subscription transition is essentially complete. Free cash flow is growing. The company is beginning to layer AI capabilities — particularly in generative design and automated compliance checking — that should drive further expansion in average revenue per user. This is a classic Nightview holding: durable competitive moat, recurring revenue, and a long compounding runway.

Access our full research database on Autodesk Inc.

Cintas Corporation $CTAS US by Aoris

Thesis:

Cintas is the leading U.S. uniform rental provider with long customer retention, cross-selling and efficiency advantages, significant share and market expansion runway, and was repurchased at a lower multiple.

Source: https://drive.google.com/file/d/1qBeQymgnC-3xSQjdW0-Yb46kWbWaUeH_/view?usp=drivesdk

Analysis:

Cintas is America’s largest provider of uniform rental services. For around $1.50 per worker per day Cintas will collect, clean and replace uniforms for organisations in industries such as lodging, entertainment, manufacturing and health care, allowing them to reduce cost and complexity and to focus on their core businesses. Cintas will often provide additional facility services in the same delivery, such as entrance mats, aprons, restroom supplies, and fire safety inspection. It keeps its customers on average for more than 20 years and has grown earnings at an impressive rate over time.

We had previously owned Cintas in the portfolio for six years until July 2024, when we sold it for valuation reasons. We repurchased this high-quality business on a significantly lower earnings multiple than it traded on when we sold it.

This company was Cintas, one of the best-performing stocks of the past 42 years. By the end of 2025, $1 invested at the initial public offering had become $288. Today, Cintas has earned roughly 30% of the US uniform rental market. Earnings have grown at an attractive rate through all manner of recessions, rate rises, and wave after wave of competition.

How competition pushes Cintas to win Cintas operates in a competitive market. Customers are free to choose from many uniform rental providers, so Cintas has to offer something superior to win them. Then, to retain customers in the face of ever-improving competition, Cintas has to keep finding ways to get better. It’s improved its reliability, broadened its range of uniforms, and turned each customer visit into a chance to provide more services, like restocking soaps, towels, doormats, and first aid kits. It’s also improved its efficiency over time, with customers benefiting from muted price increases. Cintas’ value proposition is so compelling that its average customer stays for 25 years.

Today, Cintas still only has 30% of the US uniform rental market. There is a lot more room for that to grow, fuelling growth for many years to come.

In Cintas’ case, many businesses either manage their uniform programs themselves or ask employees to purchase and clean their own uniforms. By Cintas improving what it offers, it has persuaded many businesses that previously operated this way to transition to renting uniforms from them. This grows the size of Cintas’ overall market. Today, two-thirds of Cintas’ new customers are companies that are new to renting uniforms from an external provider.

Cintas has been remarkable in the lack of surprises that investors have experienced over its history. This is reflected in its earnings, which have consistently grown at a strong rate as shown below.

Access our full research database on Cintas Corporation.

D’Ieteren Group $DIE BB by AVI Global Trust

Thesis: D’Ieteren Group is a Belgian holding company with major exposure to Belron, trading at a wide discount to NAV with an IPO catalyst and attractive implied valuation versus peers.

Source: https://drive.google.com/file/d/1QIyesbsvEXVYRatoOM9hUqFVPpVL7ZzD/view?usp=drivesdk

Analysis: D’Ieteren shares returned +25% in January following reports that Belron (74% of NAV) is exploring an IPO later this year. We have long argued that a potential IPO of Belron should serve as the key catalyst for D’Ieteren’s excessively wide discount to narrow and it is pleasing to see this start to come to fruition. As we explained in a recent newsletter, D’Ieteren had underperformed lately and investors seemed to be missing the wood for the trees in a focus on short-term and backward looking issues. The Belron IPO news appears to have provided a rude awakening and a quick revaluation of the situation. As things stand D’Ieteren trades at a 40% discount to our estimated NAV (with Belron’s carrying value pegged in-line with the 2024 minority shareholder transaction). The current valuation can be sliced in various ways but at current prices – taking the other assets at NAV – one is implicitly paying ~12x 2026 EV/EBIT for Belron whilst business services peers in the US trade >20x. We added to the position in the Autumn – with the CFO also buying in the market and the company initiating a new buyback program. The shares have sharply re-rated, but we continue to see meaningful upside: the combination of attractive assets, a still wide discount, and a potential catalyst bode well for future returns.

Access our full research database on D’Ieteren Group.

Envista Holdings Corp. $NVST US by Ariel Small Cap Value Concentrated

Thesis:

Envista Holdings Corp. is a global dental manufacturer benefiting from market share gains, innovation across clear aligners and implants, and operational efficiencies that support durable margin expansion.

Source: https://drive.google.com/file/d/1dsVEbEE89A0n09WeXPnR8hBkQth_zgoJ/view?usp=drivesdk

Analysis:

Additionally, global dental manufacturing leader Envista Holdings Corp. (NVST) traded higher after beating earnings expectations. Broad-based strength across its businesses and continued market share gains in both specialty products and equipment boosted investor sentiment. In addition, NVST displayed strong momentum in Spark clear aligners, orthodontics, implants and consumables, as well as improved operating leverage that more than offset modest gross margin pressure. Management’s outlook reinforced confidence, highlighting sustained momentum, benefits from prior strategic investments and an active new product pipeline. We continue to like NVST given its strong innovation engine, exposure to attractive long-term dental growth categories and ongoing operational efficiencies that support durable margin expansion.

Access our full research database on Envista Holdings Corp.

Fifth Third Bancorp $FITB US by Ariel Global

Thesis:

Fifth Third Bancorp is undervalued relative to the strategic and financial benefits of its Comerica merger, offering significant cost and revenue synergies and stronger recurring earnings.

Source: https://drive.google.com/file/d/1sMukOoWD33ugRnCMUS2UMkujTXkU_8Dk/view?usp=drivesdk

Analysis:

We also added diversified financial services company, Fifth Third Bancorp (FITB), during the quarter because we believe the market is undervaluing the strategic and financial potential of its merger with Comerica. The combination creates a top-tier U.S. bank with a significantly expanded presence across many of the country’s fastest-growing markets. We see substantial upside to management’s cost-synergy expectations given Comerica’s higher expense base, as well as earlier-than-expected revenue benefits as Firth Third improves deposit productivity and leverages its broader footprint. Additionally, we think Fifth Third’s retail and digital banking strengths, paired with Comerica’s middle market franchise, creates two stable, high-return recurring revenue engines. We believe the new Fifth Third is entering a phase of growth and profitability not yet reflected in consensus expectations.

Access our full research database on Fifth Third Bancorp

GAIL (India) Limited $GAIL IN by Ariel Emerging Markets Value ex-China

Thesis: GAIL (India) Limited is positioned to recover as rising Indian gas demand, higher volumes, tariffs, increased global LNG supply, and new petrochemical capacity support earnings.

Source: https://drive.google.com/file/d/18irdNdFBGZEi4MPueq98-9KMVGp72xX1/view?usp=drivesdk

Analysis: GAIL (India) Limited underperformed as geopolitical tensions affected near-term gas availability, with a portion of transported volumes sourced from Qatar. While earnings were temporarily pressured, our long-term thesis remains intact. Rising natural gas demand in India, supported by economic growth, higher transport volumes, operating leverage and gradual tariff increases should drive recovery. This outlook is further reinforced by an expected increase in global liquified natural gas supply and the commissioning of new petrochemical capacity, which should contribute meaningfully to earnings as the cycle improves.

Access our full research database on GAIL (India) Limited

Haleon plc $HLN US by Oakmark International Fund

Thesis: Haleon plc is a leading consumer health company with strong brands and margin expansion potential under focused standalone management, trading below intrinsic value due to technical pressures.

Source: https://drive.google.com/file/d/117XsrKl37qC_8GBMUOEYJ5-0kV95iIC6/view?usp=drivesdk

Analysis: Haleon is one of the world’s largest consumer healthcare companies, with a strong portfolio of leading brands including Sensodyne, Advil, Voltaren, and Panadol. We are attracted to its exposure to high-quality categories with meaningful barriers to entry and view the business as well-positioned for sustained growth as a standalone entity. As a carve-out assembled from the consumer health divisions of multiple large pharmaceutical companies, the business was historically under-managed, with limited strategic focus and suboptimal cost discipline. Now operating independently, management is prioritizing efficiency, streamlining the organization, and investing in modern consumer capabilities, which should support steady expansion of operating margins over time. Despite its strong outlook, we believe the stock is undervalued due to technical pressure and misperceptions about its fundamentals. This created the opportunity to invest in a company with a product portfolio that has a long runway for future growth, helping it unlock significant value over time.

Access our full research database on Haleon plc.

Hongfa Technology Co., Ltd. $600885 CH by Ariel Global

Thesis:

Hongfa Technology Co., Ltd. is a leading relay and components supplier with pricing power, ~50% share in 800V AI data center infrastructure, and long-term compounding potential.

Source: https://drive.google.com/file/d/1sMukOoWD33ugRnCMUS2UMkujTXkU_8Dk/view?usp=drivesdk

Analysis:

We initiated a position in Hongfa Technology Co., Ltd., a global supplier of electrical components specializing in relays, following a recent share price pullback resulting from precious metal cost inflation concerns. With a leading market position, Hongfa has a strong track record of passing through input cost increases, its slower margin peers have limited ability to absorb rising costs. Beyond the short-term noise, we think Hongfa offers attractive long-term growth powered by its dominant relay business and rapidly expanding non relay product lines. The company is also a key beneficiary of the transition to 800V DC power infrastructure for AI data centers, where it holds roughly 50% global market share. Here, too, we believe the company is well-positioned for rising demand. Its modular solutions strategy is gaining traction with electric vehicle and industrial customers, supporting sustained revenue and earnings growth. Overall, we see the recent weakness as an attractive entry point into a high quality compounder.

Access our full research database on Hongfa Technology Co., Ltd.

IAC Inc. $IAC US by Symmetry Invest

Thesis:

IAC is a holding company trading at a deep discount with significant exposure to undervalued MGM and growing People, disciplined capital allocation, and aggressive buybacks driving strong look-through FCF.

Source: https://drive.google.com/file/d/1cmm4pJ2VituH0FVr6qtxR3ymD2NAslLK/view?usp=drivesdk

Analysis:

Our investment in IAC is based on two factors. One is that we are super bullish om MGM Resorts, a stock we find severely undervalued. IAC is the largest shareholder in MGM. The second reason can be cut down to this statement from Barry Diller at the Q3 earnings call:

“So I am -- I can’t -- if I look around and you say, what would interest me in M&A would be to find another opportunity like this one. By the way, I haven’t found it. I don’t think it’s on the horizon, by the way. I don’t really think that right now is the time for us to be, I wouldn’t -- we never squander around but putting like bets down on things that are not -- that do not have -- it’s kind of a bromide, you never want to do it if you don’t have potential. But right now, I really don’t see anything at a price that would be rational to pay. And I don’t see anything that’s really particularly exciting. We’ve got a company that’s got People, which I can only overdue, so I’ll not do more than I did before in what I think of the potential of People. And we’ve got MGM, and we’ve got cash to continue to increase our ownership in both of those. And yes, an opportunity may come along. But I like the hand we have right now.”

Said in another way: you get a huge discount buying MGM when you buy shares in IAC. On top of this, IAC also has several other interesting investments and is a heavy purchaser of its own shares. Last year alone, IAC purchased more than 10 % of its shares. MGM as well bought back more than 15 % of its own shares. As an investor in IAC, we thereby ended up with a 25 % larger exposure to MGM, without having to purchase a single more IAC share. We think this dynamic has just started and that both companies will continue to be heavy purchasers of its own stock.

IAC is a financial holding company founded by Barry Diller. The company has over the years bought and started several companies that has since been spun-off to investors. This includes companies like Expedia, Match Group, Angi, Vimeo, Ticketmaster etc. Today IAC primarily consists of two attractive segments, an ownership stake in MGM Resorts and 100 % ownership of People Inc.

We have a hard time understanding why the market thinks this. Firstly, he has had a strong hand allocating capital in the past. On top of this, all his public comments are crystal clear around the allocation of excess cash flows to create shareholder value. To summarize: We see a huge discount in IAC, partly because the market is afraid that Barry Diller will make stupid capital allocation decisions.

The way we look at IAC is on a so-called “look-through” FCF basis. How much underlying free cash flow does IAC generate compared to the enterprise value. This shows us that IAC is only trading at a 2,9x underlying FCF. This is one of the cheapest multiples we have ever come by in a public company that is debt free and growing.

Especially because these free cash flows primarily come from growing assets like MGM and People. But also, because it applies zero cash/value from MGM Osaka, MGM Digital or the 33 % stake in Turo. As long as IAC and MGM keep buying back their own stock and invest in their core business (MGM & People) and use all the excess cash flow to buy back +20 % of the shares on a yearly basis, we see it as really unlikely that we won’t get a huge positive return from owning the stock over the coming years.

IAC recently announced and closed the sale of care.com for 320 million $ (11-12 % of the market cap). This shows that IAC continue to trim down the business and free up capital to buy its own stock.

If IAC continues on this path the next few years, we are looking at a multiple return on the stock. They can still sell down Turo, Vivian & Daily Beast. They can continue to grow People and to cut corporate expenses while buying as many shares as possible.

We can possibly look into a scenario within a few years where IAC have sold everything despite People & MGM. They can then execute a spin-off of their MGM shares and rebrand IAC to People. In this scenario the upside could be even higher.

Access our full research database on IAC Inc.

Stock Analysis Compilation #129

Mon, 04 May 2026 15:16:24 GMT

USA

Adobe Inc. (ADBE US) by speedwellmemos

Amazon.com, Inc. (AMZN US) by ryandengler

Andersen Group (ANDG US) by Weekly Dispatches

Baidu (BIDU US) by momentumfinancial

Blaize Holdings (BZAI US) by White Diamond Research

Coupang (CPNG US) by Asian Century Stocks

Garrett Motion (GTX US) by gabrielcortes

GPGI Inc. (GPGI US) by kairosresearch

High Tide Inc. (HITI US) by ryandengler

Markel Group (MKL US) by kevincasteleijn

Meridian Holdings (MRDN US) by globalequitybriefing

Meta Platforms, Inc. (META US) by speedwellmemos

Murphy USA (MUSA US) by topcornerinvesting

Philip Morris International (PM US) by recital

SharkNinja (SN US) by guardianresearch

SharonAI (SHAZ US) by bleeckerstreetresearch

SoFi Technologies, Inc. (SOFI US) by globalequitybriefing

Spotify (SPOT US) by antoniolinares

Sprout Social (SPT US) by Pernas Research

SuperCom (SPCB US) by sprucehill

Teva Pharmaceutical Industries Limited (TEVA US) by kontrainvest

Uber Technologies, Inc. (UBER US) by ryandengler $UBER

Veeva Systems (VEEV US) by thechopwoodcarrywater

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Bombardier (BBD/B CN) by wintergems

Foraco International (FAR CN) by pettycash

Pulse Seismic (PSD CN) by pettycash

Here are the latest Canadian stock pitches from hedge fund reports.

UK

A.G. Barr PLC (BAG LN) by investingwithwes

DCC (DCC plc) (DCC LN) by 1trueinvesting

Ondo InsurTech Plc (ONDO LN) by theoakbloke

Here are the latest UK stock pitches from hedge fund reports.

Sweden

Evolution (EVO SS) by dontdistribute

Here are the latest Swedish stock pitches from hedge fund reports.

Netherlands

Basic-Fit N.V. (BFIT NA) by summitstocks

Magnum Ice Cream Company (MICC NA) by valuedontlie

Universal Music Group (UMG NA) by edenbradfieldresearch

Here are the latest Dutch stock pitches from hedge fund reports.

Germany

adidas AG (ADS GY) by fallacyalarm

Beiersdorf (BEI GY) by financial-engineering

Nagarro (NA9 GY) by qualityvalueinvestments

Here are the latest German stock pitches from hedge fund reports.

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #93 - Q1'26 Pitches

Wed, 29 Apr 2026 15:01:25 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 AJ Bell plc (AJB LN) by Vltava Fund

🔹 AUB Group Limited (AUB AU) by Ganes Focused Value Fund

🔹 Bayer AG (BAYN GY) by Ariel Global

🔹 Becle S.A.B. de C.V. (CUERVO* MM) by Longleaf Partners Small Cap Fund

🔹 Bio-Rad Laboratories Inc. (BIO US) by Ariel Focused Value

🔹 Coupang, Inc. (CPNG US) by Oakmark International Fund

🔹 Cushman & Wakefield plc (CWK US) by Riverwater Small Cap Strategy

🔹 DTS Corporation (9682 JP) by Oakmark International Small Cap Fund

🔹 ENGIE SA (ENGI FP) by Ariel Global

🔹 FactSet Research Systems Inc. (FDS US) by Ariel Focused Value

🔹 Fair Isaac Corporation (FICO US) by Bristlemoon Capital

🔹 GE Vernova Inc (GEV US) by Mar Vista U.S. Quality

🔹 Generac Holdings, Inc. (GNRC US) by Ariel Mid Cap Value

🔹 Hamamatsu Photonics (6965 JP) by Oakmark Global Fund

🔹 Howard Hughes Holdings Inc. (HHH US) by Symmetry Invest

🔹 IMCD N.V. (IMCD NA) by Fiduciary Management

🔹 Intuit Inc. (INTU US) by WS Lindsell Train North American Equity Fund

🔹 Jack Henry & Associates, Inc. (JKHY US) by Riverwater Sustainable Value Strategy

🔹 Keysight Technologies, Inc. (KEYS US) by Ariel Mid Cap Value

🔹 Kuaishou Technology (1024 HK) by Ariel Emerging Markets Value

🔹 Leggett & Platt, Inc. (LEG US) by Riverwater Sustainable Value Strategy

🔹 LSB Industries, Inc. (LXU US) by Riverwater Micro Opportunities

🔹 Medical Facilities Corp. (DR CN) by Greystone Capital Partners

🔹 MGM Resorts International (MGM US) by Symmetry Invest

🔹 Minor International PCL (MINT TB) by Oakmark International Small Cap Fund

🔹 PHI Group (PHIG US) by Cedar Creek Partners

🔹 Rayonier, Inc. (RYN US) by Longleaf Partners Fund

🔹 Red Violet, Inc. (RDVT US) by Riverwater Micro Opportunities

🔹 Roku, Inc. (ROKU US) by Saga Partners

🔹 Salesforce (CRM US) by Oakmark Global Select Fund

🔹 SAP SE (SAP GY) by Oakmark International Fund

🔹 Sprout Social (SPT US) by Pernas Research

🔹 Steele Bancorp (STLE US) by Cedar Creek Partners

🔹 The Walt Disney Company (DIS US) by KNA Capital

🔹 Xiamen Faratronic Co., Ltd. (600563 CH) by Ariel International DM EM

AJ Bell plc $AJB LN by Vltava Fund

Thesis:

AJ Bell is a scalable UK investment platform benefiting from the shift to lower-cost online investing, with high margins and capital-light economics.

Source: https://drive.google.com/file/d/181yEPa06iTNo7tjlor3ckhOuAddVLpQa/view?usp=drivesdk

Analysis:

AJ Bell is a British investment platform that enables individual investors to manage their savings and investments online. Through its services, AJ Bell provides clients access to a wide range of investment instruments, primarily stocks, funds, and retirement products. The company operates mainly in the United Kingdom and serves both retail investors and financial advisors. Its business model is founded primarily on fees for account management, trading, and administration. Thanks to its digital platform and low operating costs, AJ Bell can easily scale up by growing the number of its clients and volume of their assets under management. The company is benefiting from the long-term trend of shifting investments from traditional financial institutions to lower-cost online platforms and from households’ growing interest in self-directed investing.

From an investment perspective, Booking Holdings, AJ Bell, and Rightmove share several important characteristics. All operate as platforms that connect supply and demand while collecting fees or commissions for doing so. Meanwhile, they do not own the core assets that are sold by way of their services. Booking does not own hotels, Rightmove does not own real estate, and AJ Bell is not a traditional financial institution managing its own investment products. As a result, these are capital-light businesses with high margins and strong ability to generate free cash flow. At the same time, they benefit from network effects. The more users and partners their platforms have, the more valuable they are to all market participants. It is precisely this combination of dominant market position, low capital requirements, and high return on capital that makes them very attractive companies from an investment perspective. We have been tracking all three companies for quite some time, but it wasn’t until this year that their share prices reached levels that we found very attractive.

Access our full research database on AJ Bell plc

AUB Group Limited $AUB AU by Ganes Focused Value Fund

Thesis: AUB Group Limited reported profit and dividend growth, benefits from complex-risk brokerage and a high-margin Bizcover platform, continues UK acquisitions, and appears undervalued after AI-driven fears.

Source: https://drive.google.com/file/d/1qUxtg4CkqsbpL067Js3_Ko02q_5W2Pvt/view?usp=drivesdk

Analysis: AUB reported a healthy profit result for the half-year. Underlying profits were up 13.9% on the back of a 6.6% increase in revenue, they increased their dividend by 8% on the previous year, and indicated profits are likely to be up more than 10% for the full year. However, the shares were sold down more than 20% during the quarter. The company was swept up in the fear that AI will allow customers to bypass brokers and navigate the process of buying insurance directly from underwriters.

While this is likely to happen for simple lines of insurance such as car insurance and home contents, it will be far more difficult when assessing specialised and complex risks for business owners, AUB’s typical client. And for simpler risks AUB already has the Bizcover platform which reported that revenues were up 13% on the prior year and profits were up 23%. Bizcover only represents 10% of the overall profits of AUB but it is the most profitable part of the business with margins of 46%, up from 37% a few years ago. And it already uses AI within its business processes, so it’s clear that AI also offers benefits, not just risks.

The company also announced the acquisition of Prestige for $432m during the quarter. Prestige is a broking and underwriting agency business in the UK with net revenue of approximately $100m and this will be their fourth acquisition in the UK in recent years.

It is hard to believe that only a few months ago the company received a takeover offer for $45 per share, and after reporting an increase in profits, increasing their dividend, and predicting profit growth the share price is down nearly 50%.

Access our full research database on AUB Group Limited

Bayer AG $BAYN GY by Ariel Global

Thesis:

Bayer AG is a life sciences leader with potential upside from litigation resolution and a strengthening pharma pipeline, marking the early stages of a turnaround.

Source: https://drive.google.com/file/d/1sMukOoWD33ugRnCMUS2UMkujTXkU_8Dk/view?usp=drivesdk

Analysis:

We purchased leader in life sciences, healthcare and agriculture, Bayer AG, during the quarter. We believe the market remains anchored to the company’s past challenges and is overlooking several catalysts that could materially improve the company’s outlook. The stock has been weighed down for years by Roundup litigation, uneven crop protection trends and a disappointing drug pipeline. Looking ahead, Bayer’s late-stage medicine Asundexian is showing encouraging results, and we believe a potential U.S. Supreme Court review of a key glyphosate case could pave the way for resolving most outstanding lawsuits, easing financial pressure and removing a major overhang. We think Bayer is entering the early stages of a turnaround and as legal risks diminish and the pharma pipeline strengthens, the stock has meaningful upside.

Access our full research database on Bayer AG

**Becle S.A.B. de C.V. $CUERVO* MM by Longleaf Partners Small Cap Fund**

Thesis:

Becle is a leading spirits company positioned for 2027+ growth, with financial strength and focus on fast-growing tequila amid potential industry consolidation.

Source: https://drive.google.com/file/d/1iqPc242wXEV5lbqcyZqUgeCa9YaRooZ2/view?usp=drivesdk

Analysis:

Becle – Spirits company Becle detracted after the company reported a quarter that the stock market did not like. This short-term earnings volatility (on a business that is 200+ years old) was driven by a shift in distribution that is the right thing to do for the long-term. While this means that reported revenues will be down a few percent in 2026, this sets the company up for growth in 2027 and beyond. As mentioned above on Boston Beer, industry trends did not get worse, but there remains debate about spirits consumption going forward. The biggest industry news came late in the quarter when it was confirmed that Pernod Ricard and Brown-Forman were discussing a merger. The industry is ripe for consolidation, and now this could be kicking off. Becle will be poised to act from a position of financial strength while being focused on the still fastest growing part of the spirits industry, tequila. We added to our position in the quarter after the stock declined.

Access our full research database on Becle S.A.B. de C.V.

Bio-Rad Laboratories Inc. $BIO US by Ariel Focused Value

Thesis:

Bio-Rad Laboratories Inc. is a global life sciences tools leader with rising margins, high recurring revenue, and dominant market positions supporting long-term growth.

Source: https://drive.google.com/file/d/18DqwEqY5Uq4y_iPdbwrP7NhGBTNGm6OO/view?usp=drivesdk

Analysis:

Additionally, we repurchased Bio-Rad Laboratories Inc. (BIO), a global leader in laboratory equipment and biological testing. Bio-Rad benefits from a well diversified geographic and end market footprint, with balanced exposure across clinical diagnostics, biopharma, academic research and applied markets. We believe the company’s financial profile is attractive, characterized by rising operating margins and a high proportion of recurring revenue sales. We view Bio-Rad as a classic Ariel business, supported by strong innovation, global scale and leadership positions across much of its portfolio. Management estimates nearly 80% of sales are derived from categories where Bio-Rad holds dominant market share. Given these competitive advantages, we think the company is well-positioned to generate sustainable growth and long-term shareholder value in a steadily expanding global life sciences market.

Access our full research database on Bio-Rad Laboratories Inc.

Coupang, Inc. $CPNG US by Oakmark International Fund

Thesis:

Coupang, Inc. is South Korea’s leading e-commerce platform with a vertically integrated logistics moat enabling share gains and margin expansion, now available at an attractive valuation post-cyber incident.

Source: https://drive.google.com/file/d/117XsrKl37qC_8GBMUOEYJ5-0kV95iIC6/view?usp=drivesdk

Analysis:

Coupang is the leading e-commerce company in South Korea, often compared to Amazon for its wide product selection, strong customer service, and best in class logistics network. Founded in 2010, the company has built its reputation around its “Rocket WOW” system, which offers same-day or next-day shipping on millions of items. What differentiates this service is Coupang’s deeply vertically integrated logistics model. Rather than relying primarily on third-party sellers and carriers, the company owns and operates its fulfillment centers, manages inventory directly, and controls last-mile delivery through its own network. We believe this advantage positions it well to capture market share and expand margins over the long term. Despite Coupang’s e-commerce dominance, its share price has fallen significantly since last November after a cyber breach. We continue to monitor the fallout from the cyber incident but believe this has given us an opportunity to invest in a high-quality company at an attractive valuation.

Access our full research database on Coupang, Inc.

Cushman & Wakefield plc $CWK US by Riverwater Small Cap Strategy

Thesis: Cushman & Wakefield is a global CRE services firm with a durable, recurring-revenue moat and attractive valuation where AI disintermediation fears appear overstated.

Source: https://drive.google.com/file/d/1Hgz41pHkb0TbkrB7L8Gwa7JLwYXJ4pQo/view?usp=drivesdk

Analysis: Holdings Deep Dive: Cushman & Wakefield (CWK) An AI-Driven Selloff Creates Opportunity Cushman & Wakefield (NYSE: CWK) is one of the world’s largest commercial real estate (CRE) services firms, operating in over 60 countries with approximately 52,000 employees. The company provides a comprehensive suite of services—leasing, capital markets advisory, property and facilities management, and valuation—to both occupiers and investors across the office, industrial, retail, life sciences, and data center sectors. Despite strong operational fundamentals and an improving earnings trajectory, CWK shares have traded under persistent pressure due to market concerns that artificial intelligence and technology-driven platforms could disintermediate traditional CRE service providers. We believe this fear is significantly overstated. CEO Michelle MacKay has emphasized that Cushman’s key differentiator lies in delivering “tailored, bespoke solutions” through deep client relationships and human expertise—capabilities that cannot be easily replicated by a generic algorithm. The company’s relationship-driven advisory model, particularly in leasing and capital markets, depends on nuanced local market knowledge, negotiation skill, and trust—attributes where AI augments rather than replaces the human element. Durable Competitive Moat CWK possesses a meaningful moat rooted in its global scale, diversified service platform, and entrenched client relationships. Over 53% of the firm’s fee revenue comes from Property, Facilities & Project Management (PFPM)—a contract-based, annuity-like business secured through multi-year agreements on a fixed-fee or cost-plus basis. This recurring revenue base provides substantial earnings visibility and creates high switching costs, as institutional occupiers and investors are reluctant to transition the management of large, mission-critical real estate portfolios to untested providers. In the transactional businesses (leasing and capital markets), barriers to entry are equally formidable: brand reputation, regulatory compliance, deep broker networks, and the ability to respond to multinational RFP standards all favor incumbents. A Consolidated Industry Favoring Scale The global CRE services industry is highly consolidated, dominated by three firms—CBRE, JLL, and Cushman & Wakefield—that collectively command the vast majority of institutional mandates and cross-border transactions. This oligopolistic structure creates significant advantages for incumbents: large corporate occupiers and institutional investors strongly prefer working with firms that can service their portfolios across geographies and asset classes from a single platform. For a new entrant, replicating the global infrastructure, talent bench, and data capabilities of these established players would require enormous capital and years of investment. While technology-enabled platforms like CoStar and VTS have carved out niche roles in data and analytics, they have not penetrated the advisory, brokerage, or management businesses where CWK’s full-service value proposition is most difficult to displace. The consolidated nature of the industry also provides pricing discipline and limits the risk of destructive competition, which supports margin stability over the cycle. Compelling Valuation With Multiple Catalysts At its December 2025 Investor Day, Cushman & Wakefield outlined a 2026–2028 financial framework that includes 6–8% organic fee revenue growth, 15–20% annual adjusted EPS growth, 60–80% free cash flow conversion, 150 bps of adjusted EBITDA margin expansion by year-end 2028, and net leverage of 2x by year-end 2028. Management also said that this framework should translate into roughly $800 million of cumulative free cash flow through 2028, supporting continued deleveraging and reinvestment. In its February 2026 full-year 2025 earnings release, the company reported adjusted EBITDA of $656.2 million, free cash flow of $293.0 million, and noted that it prepaid $300 million of debt during 2025. Not only does CWK trade at a significant discount to peers but also a discount to its historical valuation, while in our view business is improving.

Access our full research database on Cushman & Wakefield plc

DTS Corporation $9682 JP by Oakmark International Small Cap Fund

Thesis:

DTS Corporation is a leading Japanese systems integrator trading at a discount despite strong digitization tailwinds and expected earnings acceleration as investments taper.

Source: https://drive.google.com/file/d/19ITh6U8WGs5up_NJ4rcjnODU2M1gs9NR/view?usp=drivesdk

Analysis:

DTS is a leading systems integrator in Japan, helping companies modernize IT systems from manual, on-premise environments to automated, digital, and cloud-based platforms. The company has a long operating history and deep relationships with large enterprise customers, particularly in financial services, telecom, and manufacturing. Japanese system integrators (SI) benefit from powerful structural tailwinds as the country remains well behind other developed markets in digitization, driving a multi-year increase in IT investment. A structural shortage of IT engineers and a strong preference for onshore talent further support favorable industry dynamics. Despite these fundamentals, DTS trades at a meaningful discount to our estimate of its intrinsic value due to short-term earnings sentiment and elevated investment spending. As the company nears the end of its investment cycle, we expect earnings to accelerate and valuation to re-rate with improving operating leverage.

Access our full research database on DTS Corporation.

ENGIE SA $ENGI FP by Ariel Global

Thesis: ENGIE SA is a diversified utility with increased exposure to stable regulated earnings via UKPN, plus upside from storage, deleveraging, and renewables.

Source: https://drive.google.com/file/d/1sMukOoWD33ugRnCMUS2UMkujTXkU_8Dk/view?usp=drivesdk

Analysis: We added ENGIE SA, a globally integrated utility with operations spanning power generation, regulated networks and energy retail. The company’s recent acquisition of UK Power Networks (UKPN) increases its weighting toward regulated electricity distribution and we believe this enhances the stability of its earnings profile. Meanwhile, we think the growth in UKPN’s regulated asset base is not yet fully reflected in market expectations. ENGIE also maintains a strong position in battery energy storage which, in our view, offers an additional avenue for value creation. Over time, deleveraging is expected to provide greater financial flexibility to support expansion across regulated and storage businesses. In parallel, a firmer European energy backdrop and continued investment in renewables may provide incremental support.

Access our full research database on ENGIE SA

FactSet Research Systems Inc. $FDS US by Ariel Focused Value

Thesis: FactSet Research Systems Inc. is an embedded financial data and analytics provider with high switching costs and recurring revenues poised to benefit from AI-driven efficiencies.

Source: https://drive.google.com/file/d/18DqwEqY5Uq4y_iPdbwrP7NhGBTNGm6OO/view?usp=drivesdk

Analysis: Also during the quarter, we initiated a position in FactSet Research Systems (FDS), a leading provider of information and analytics to the global financial services industry. FactSet’s data and tools are deeply embedded in both buy-side and sell-side workflows, creating exceptionally high switching costs. Meanwhile, its aggregated and rigorously curated data sets are difficult to replicate and highly scalable across clients and use cases. Shares have faced significant pressure amid concerns that slowing growth and margin compression signal AI related disruption; however, we believe these fears are overstated. In our view, FactSet’s highly predictable, recurring revenue model and strong cash generation position the company to benefit from AI through enhanced analytics, workflow efficiency and internal productivity gains. We believe the company’s durable competitive advantages support an attractive long-term return profile at current valuation levels.

Access our full research database on FactSet Research Systems Inc.

Stock Analysis Compilation #128

Mon, 27 Apr 2026 15:01:24 GMT

USA

Automatic Data Processing, Inc. (ADP US) by maxdividends

Amazon (AMZN US) by hollandadvisors

Amazon (AMZN US) by sanj2f3

Alibaba Group (BABA US) by denisdoroshenko

BCB Bancorp (BCBP US) by dirtcheapbanks

Bloom Energy Corporation (BE US) by sanj2f3

Brown-Forman Corporation (BF/B US) by edenbradfieldresearch $BF/B

Colgate-Palmolive Company (CL US) by compoundingdividends

Duolingo (DUOL US) by denisdoroshenko

Fermi America (FRMI US) by fuzzypandaresearch

Forward Air (FWRD US) by unemployedvaluedegen

Intel (INTC US) by irrationalanalysis

Intuitive Surgical (ISRG US) by rijnberkinvestinsights

Intuitive Surgical (ISRG US) by bourseko

Mastercard Incorporated (MA US) by hatedmoats

Mestek, Inc. (MCCK US) by negociospelomundo $MCCK

Nebius (NBIS US) by globalequitybriefing

Oracle Corporation (ORCL US) by capitalist-letters

Red Violet (RDVT US) by hrmt

Texas Pacific Land Corporation (TPL US) by 310value

Wolfspeed (WOLF US) by irrationalanalysis

Zoom Communications, Inc. (ZM US) by thefinancecorner

Zoom Communications, Inc. (ZM US) by Spruce Point Capital

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Biorem Inc. (BRM CN) by wolfofoakville

Decibel Cannabis Company (DB CN) by pettycash

Eloro Resources (ELO CN) by jaycurrie

Fortis Inc. (FTS CN) by maxdividends

Northern Lights Resources (NLR CN) by jaycurrie

Kraken Robotics (PNG CN) by wolfofoakville

Pinetree Capital Ltd. (PNP CN) by nicoper

Titan Logix Corp. (TLA CN) by pettycash

Here are the latest Canadian stock pitches from hedge fund reports.

Japan

Art Vivant (7523 JP) by altaycap

Riken Keiki Co., Ltd. (7734 JP) by capitallight

Here are the latest Japanese stock pitches from hedge fund reports.

UK

Fresnillo plc (FRES LN) by 1trueinvesting

Science Group plc (SAG LN) by mahadahmed185

Here are the latest UK stock pitches from hedge fund reports.

France

Hermès International (RMS FP) by rijnberkinvestinsights

Here are the latest French stock pitches from hedge fund reports.

Denmark

Pandora (PNDORA DC) by deepvaluecapitalbykyler

Here are the latest Danish stock pitches from hedge fund reports.

Sweden

Evolution Gaming (EVO SS) by ryandengler

RaySearch Laboratories (RAYB SS) by valuezoomer

Here are the latest Swedish stock pitches from hedge fund reports.

Finland

Nokia (NOKIA FH) by cjkch

Switzerland

Bachem Holding AG (BANB SW) by valueandopportunity

Austria

Raiffeisen Bank International AG (RBI AV) by Weekly Dispatches

South Africa

Thungela Resources Limited (TGA SJ) by theoakbloke

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #92 - The First Q1'26 Pitches

Wed, 22 Apr 2026 15:00:24 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 Adobe Inc. (ADBE US) by Oakmark Equity and Income Fund

🔹 Adyen (ADYEN NA) by Lakehouse Global Growth Fund

🔹 Booking Holdings Inc. (BKNG US) by Fiduciary Management

🔹 Brookfield Corporation (BN US) by Akre Capital

🔹 Centene Corporation (CNC US) by Oakmark Equity and Income Fund

🔹 Cint Group AB (CINT SS) by Protean

🔹 Cogstate Ltd (CGS AU) by Lakehouse Small Companies Fund

🔹 Compass Group (CPG LN) by Oakmark Global Fund

🔹 Crocs, Inc. (CROX US) by Greenlight Capital

🔹 Dick’s Sporting Goods, Inc. (DKS US) by Bell Global Emerging Companies Fund

🔹 Duolingo, Inc. (DUOL US) by Infuse AM

🔹 Futu Holdings Limited (FUTU US) by Longriver

🔹 Huron Consulting Group Inc. (HURN US) by Fiduciary Management

🔹 Indra Sistemas (IDR SM) by Third Point

🔹 Johnson & Johnson (JNJ US) by Mar Vista U.S. Quality

🔹 Kirin Holdings Co Ltd (2503 JP) by Lindsell Train Japanese Equity Fund

🔹 KITS Eyewear (KITS CN) by Cedar Grove

🔹 Lovisa Holdings Limited (LOV AU) by Ganes Focused Value Fund

🔹 Netflix, Inc. (NFLX US) by Oakmark Equity and Income Fund

🔹 PAR Technology Corporation (PAR US) by Bristlemoon Capital

🔹 Raymond James Financial, Inc. (RJF US) by Oakmark Fund

🔹 Rightmove plc (RMV LN) by Vltava Fund

🔹 Sanuwave Health (SNWV US) by Cedar Grove

🔹 SAP SE (SAP GY) by Bell Global Equities Fund

🔹 SaraminHR Co., Ltd. (143240 KS) by Ennismore Global Smaller Companies Fund

🔹 SLM Corporation (SLM US) by Greenlight Capital

🔹 Synchrony Financial (SYF US) by Oakmark Fund

🔹 Sysco Corporation (SYY US) by Oakmark Equity and Income Fund

🔹 Tantalus Systems Holding Inc. (GRID CN) by Donville Kent

🔹 The Sage Group plc (SGE LN) by WS Lindsell Train UK Equity Fund

🔹 Trupanion, Inc. (TRUP US) by Saga Partners

🔹 Unicharm Corporation (8113 JP) by Oakmark International Fund

🔹 Versant Media Group (N/A) by Greenlight Capital

🔹 VINCI SA (DG FP) by Acatis

🔹 Virtu Financial Inc. (VIRT US) by East 72 Dynasty Trust

Adobe Inc. $ADBE US by Oakmark Equity and Income Fund

Thesis: Adobe Inc. is a leading cloud software company with entrenched products, a sound AI strategy, and a discounted valuation.

Source: https://drive.google.com/file/d/1bcnhGD4XAOr96ijWb1pWMxeZV-qgsnPg/view?usp=drivesdk

Analysis: Adobe is a leading cloud software vendor. Its industry-standard creative tools are deeply embedded in professional workflows, and its leading marketing software suite enables enterprises to deliver personalized consumer experiences across multiple channels. Adobe’s earnings multiple has compressed over the last two years, largely driven by investor concerns over potential AI headwinds. We believe Adobe’s AI strategy is sound: it is partnering with leading AI models to complement its own in-house models and enhance the value of its creative software, and it is embedding agentic AI tools across its product portfolio to help improve user productivity. We believe that the company retains durable competitive advantages across multiple growing markets, and that recent skepticism has created an opportunity to invest in this highly profitable and well-managed category leader at a meaningful discount to our estimate of intrinsic value.

Access our full research database on Adobe Inc.

Adyen $ADYEN NA by Lakehouse Global Growth Fund

Thesis: Adyen is a unified global payments platform gaining share with superior economics, data-driven AI features, and an attractive low valuation.

Source: https://drive.google.com/file/d/1H3U2-fF5BlE5NODQruJFHll1pV6uPbha/view?usp=drivesdk

Analysis: Adyen is a dominant enterprise payments platform that provides a single, unified platform to accept e-commerce, mobile, and point-of-sale payments globally using various payment schemes and methodologies. Unlike legacy incumbents – who rely on a patchwork of disparate systems – Adyen’s unified platform provides the greatest functionality for merchants and ultimately outcomes, with superior authorisation rates and insights. This structural advantage has enabled the business to continually gobble up share of the global digital payments market, which in turn is gaining share of the total payments pie. They also possess exceptional unit economics and a sticky enterprise customer base that typically yields negative revenue churn. The company recently delivered a solid set of half yearly results, with net revenue and operating profit up 21% and 28%, respectively. Normalised processed volumes grew 19% and take rates improved to 17.1 bps from 16.2bps, signalling a successful shift toward higher-value integrated services like Unified Commerce and Embedded Platforms. Management also highlighted that the 2025 customer cohort is larger and scaling faster than in prior years, reflecting the payoff from sustained investment in product innovation and sales capacity. Adyen is naturally well-placed for AI as payments is ultimately a data business. Unlike legacy competitors that operate on patchwork systems, Adyen’s single code base provides a clean, un-siloed data stream. One recent initiative was the launch of Dynamic Identification – an AI-driven intelligence layer – that is already yielding tangible results, with pilot programs showing up to a 6% increase in conversion and a 3% reduction in transaction costs for merchants. With an all-time low valuation of 25x forward earnings and a huge long-tail growth opportunity ahead, we believe the risk/reward is very compelling at current levels.

Access our full research database on Adyen $ADYEN NA

Booking Holdings Inc. $BKNG US by Fiduciary Management

Thesis: Booking Holdings is the largest online travel agency with powerful network effects, high returns and resilience to AI disruption, trading at a mid-teens earnings multiple.

Source: https://drive.google.com/file/d/1hBgB0HaVpWvcqPJ0bjBZc-37X6aO69dl/view?usp=drivesdk

Analysis: Booking Holdings Inc. (BKNG) – Large Cap/International/Global

Booking is the largest online travel agency in the world. This is a network effect business model, where Booking acts as an aggregator of supply (independent hotels) on one side and demand (leisure travelers) on the other. This aggregation of fragmented supply and demand allows them to charge a healthy commission when a user books a room, which in turn allows them to outspend all other players on customer acquisition while still earning good returns. Booking is best-in-class at digital marketing, earning the highest returns on acquired traffic of all the online travel agencies. Booking has tremendous scale and an asset-light business model, generating very high returns on capital and free cash flow. Most of their revenue is generated from independent hotels that depend on Booking not just to deliver incremental guests, but also for cross-currency payments, merchandising, and customer service.

Recently, shares have come under pressure over fears that AI will displace online travel agencies. We believe these concerns are overblown. AI is unlikely to recreate Booking’s global network of hotels given the extreme fragmentation of supply and Booking’s on-the-ground sales force. Booking’s payments and customer service capabilities are also difficult to replicate, further protecting the business against new entrants. In our view, new AI tools are more likely to integrate Booking’s existing inventory and capabilities into their models, rather than recreating these features themselves. If travel research shifts from traditional search to LLMs, Booking’s historical expertise in digital marketing makes them well-positioned to win this traffic. Furthermore, AI should boost Booking’s margins through efficiencies in customer service and marketing.

At a mid-teens forward earnings multiple, we believe Booking shares are attractive on both a relative and absolute basis.

Access our full research database on Booking Holdings Inc.

Brookfield Corporation $BN US by Akre Capital

Thesis: Brookfield Corporation is an alternative asset manager with modest direct lending exposure and minimal retail BDC risk, underpinning comfort amid private credit worries.

Source: https://drive.google.com/file/d/1-cvaT60qImCI-oxx_UMTNsQgcVMNCG4w/view?usp=drivesdk

Analysis: We own the alternative asset managers Brookfield Corporation and KKR. Both manage private credit vehicles. Assets under management (AUM) for both have benefitted from the growth of private credit in recent years. The share prices of both companies have also suffered year-to-date through March 31 (KKR down 27.31%, BN down 11.66%) as concerns over private credit coupled with exposure to software businesses have risen. In assessing the risks, context and nuance are critical. Again, the entirety of the direct lending market is less than 4% of the $45 trillion global credit market. For KKR, total private credit represents 18% of total AUM as of December 31, 2025, of which 63% is asset-based finance (11% of total AUM) and 37% is direct lending (~6.5% of total AUM). Only 2.3% of AUM sits in retail-oriented BDC form, and only 0.4% sits in semi-liquid BDCs. Brookfield has even less exposure to direct lending than KKR, likely in the ~3% range of fee-paying AUM. In terms of software exposure firmwide, KKR recently disclosed that its exposure (“generously defined”) was just 7% of total AUM while Brookfield recently disclosed that total software exposure comprised just 1% of private equity AUM. Does this mean that problems will not arise in the broader private credit market or for certain software businesses? No. But the above context gives us comfort in owning KKR and Brookfield. If 10% of KKR’s total private credit investments defaulted, it would amount to 1.8% of AUM. If 20% of KKR’s direct lending loans defaulted, it would amount to 1.4% of AUM. At similarly high default rates the exposure is even lower for Brookfield. For historical context, consider that during the 2008-2009 financial crisis, losses for sponsor-backed direct loans peaked at 7%. We do not see the same potential for systemic risk from private direct lending as we saw with the mortgage-related abuses that led to the 2008 financial crisis. While many direct lending funds employ leverage (often via bank lines), we see less contagion risk given that direct lending loans reside in discrete vehicles funded by committed long-term capital. Semi-liquid BDCs may be the exception to the long-term capital rule, but only represent a small fraction of the direct lending market (~15% according to Goldman Sachs), and a minute percentage of AUM for the companies that we own. Importantly, regardless of the fund structure in which they reside, direct lending loans have not been chopped-up and re-securitized multiple times as was done with residential mortgage-backed securities (anyone remember CDO-squareds?). That process of re-securitizing residential mortgage loans contributed to the widespread leverage and contagion exposed during the 2008 financial crisis. In direct lending, the loans stay on the books of their originators. It is primarily the originators and their investors that bear the risk.

Access our full research database on Brookfield Corporation

Centene Corporation $CNC US by Oakmark Equity and Income Fund

Thesis: Centene Corporation is the leading government managed care provider with scale advantages and cyclical margin recovery potential at a discounted valuation.

Source: https://drive.google.com/file/d/1bcnhGD4XAOr96ijWb1pWMxeZV-qgsnPg/view?usp=drivesdk

Analysis: Centene is a managed care organization focused on government sponsored healthcare programs across the United States. The company is the industry leader in government managed care, holding number one market share in Managed Medicaid and the ACA Marketplace. We believe healthcare cost inflation combined with a continued trend toward states outsourcing the management of their Medicaid programs supports an attractive growth outlook for Centene. We also believe competitive dynamics are favorable, as regulatory complexity creates barriers to entry and large players like Centene benefit from economies of scale. The Managed Medicaid and Health Exchange industries are currently facing profitability headwinds due to a spike in healthcare cost inflation and unfavorable changes in state and federal policies. In time, we believe pricing in both Managed Medicaid and Health Exchanges will catch up to cost inflation and allow the industry to recoup lost margin. We think that this will lead to a meaningful rebound in earnings for Centene. We see the market’s focus on short-term earnings as creating an opportunity to purchase shares in Centene at a discount to our estimate of intrinsic value.

Access our full research database on Centene Corporation

Cint Group AB $CINT SS by Protean

Thesis:

Cint Group AB is a market research platform with an underestimated Media Measurement growth opportunity, recovering fundamentals, and an appealing valuation.

Source: https://drive.google.com/file/d/1uTpFxgC9MGtTUPEB3EUGXIN09btsRj5z/view?usp=drivesdk

Analysis:

Cint reported a considerable sequential improvement in sales during the fourth quarter and we increased our stake in the company on the day of the report in February. Since then, the share has continued to climb and it became our biggest contributor in March. It’s not a stock for widows and orphans but we believe the market is underestimating the growth opportunity within the business area Media Measurement. We acknowledge a string of operational issues, as well as about the impact of AI on the market research sector, but Q3 was likely the trough in terms of pain. The valuation is very appealing.

Access our full research database on Cint Group AB

Cogstate Ltd $CGS AU by Lakehouse Small Companies Fund

Thesis:

Cogstate Ltd is a neurocognitive assessment provider for CNS clinical trials with surging contract wins, growing backlog and channel leverage, positioning it to capture large Phase 3 opportunities.

Source: https://drive.google.com/file/d/1qlRINY8dxjTtvNI2TUVwCP0weNOCtZP4/view?usp=drivesdk

Analysis:

Moving to Cogstate which also delivered a strong first-half result during the period, highlighted by a surge in clinical trial contract sales, which rose 105% to US$41.7 million. This marks the company’s second-best half on record, supported by the strongest opportunity pipeline we have seen over the past six quarters. Because roughly one-third of these contracts were signed late in the period, revenue recognition naturally lagged the strength of new signings. Consequently, total revenue rose a respectable 12% to US$26.9 million, with the bulk of newly contracted work flowing directly into the backlog, which returned to healthy growth -- a feature that drives future earnings visibility.

On the profitability front, the business remained robust despite an active investment phase. Ongoing investments in delivery capacity and scientific capabilities -- necessary to support a broader range of trial indications -- weighed modestly on near-term margins. Despite this, operating profit still grew 5% to US$6.5 million. We anticipate sequential margin improvement as recent pipeline wins convert into recognized revenue and operational leverage takes effect.

Operationally, demand across central nervous system (CNS) trials continues to accelerate, and Cogstate’s strategic channel partners are playing an increasingly vital role in capturing this growth. These partners generated roughly 70% of new opportunities and 62% of executed contracts during the December quarter. This effectively extends Cogstate’s reach into historically difficult-to-access customer segments, and importantly, they are achieving this without diluting profit margins. Pleasingly, the mix of these signings continues to broaden as Cogstate is increasingly securing work across a wider range of CNS indications. As their partner ecosystem continues to mature, we expect this to support even higher conversion rates from their growing pipeline.

Looking ahead, as one of the few global providers capable of supporting complex, large-scale Phase 3 CNS trials, the company remains well-placed to capture an outsized share of this expanding market, reinforcing our conviction and its position as one of the larger holdings in the Fund.

Access our full research database on Cogstate Ltd.

Compass Group $CPG LN by Oakmark Global Fund

Thesis: Compass Group is a scale leader in contract foodservice with resilient recurring revenues and an attractive entry point after multiple compression.

Source: https://drive.google.com/file/d/1DeJavQ1eZxIIfdEy7BDQmHoDh9iXId3g/view?usp=drivesdk

Analysis: Compass Group is the world’s leading contract foodservice provider. We know the company well, having invested in it successfully in the past, and value its demonstrated ability to generate resilient, recurring revenues through long-term outsourcing partnerships across core end markets, including business, healthcare, education and leisure. In our view, its scale, operational excellence, and decentralized operating model position it well to capitalize on the ever-growing addressable market and see consistent growth and margin progression over time. Despite strong fundamentals, the stock has underperformed the broad market since we sold out of it, as it has experienced multiple compression due to investor concerns over the end of the post-COVID recovery and AI-related employment disruption. This created the opportunity to invest alongside a strong management team in a company that we believe is poised to expand its business and generate solid shareholder returns.

Access our full research database on Compass Group

Crocs, Inc. $CROX US by Greenlight Capital

Thesis: Crocs, Inc. is a global footwear brand with industry-leading margins, strong international growth, attractive ~6x 2026 EPS valuation, and substantial share buybacks.

Source: https://drive.google.com/file/d/1c7CKmpUhGUb9yWLJBcwkQBUj9qc9weQt/view?usp=drivesdk

Analysis: CROX is a global footwear company best known for its iconic clogs. It is a well-run business with industry-leading margins and a 10-year annualized organic sales growth rate of 12%. Last year, a decline in U.S. sales raised existential concerns about the core brand, which we believe were overblown. While consumer preferences have shifted in the U.S., over half of core Crocs brand sales now come from international markets, which continue to grow at a strong pace. We also expect U.S. declines to moderate as comparisons normalize following last year’s inventory clean-up actions. We established our position at an average price of $83.49 per share, or about 6x our 2026 EPS estimate. The company has directed most of its free cash flow to buybacks, and we expect annual repurchases of over 10% of the outstanding shares going forward. CROX ended the quarter at $83.02.

Access our full research database on Crocs, Inc.

Dick’s Sporting Goods, Inc. $DKS US by Bell Global Emerging Companies Fund

Thesis: Dick’s Sporting Goods, Inc. is the largest U.S. sporting goods retailer expanding its moat via experiential retail and data monetization with further upside from integrating Foot Locker.

Source: https://drive.google.com/file/d/1h6ujLfsZO08fp8b4bGCHrA2PPHfTroq7/view?usp=drivesdk

Analysis: Dick’s Sporting Goods is the largest sporting goods retailer in the US and is currently in the process of integrating its recent acquisition, Foot Locker. The company continues to expand market share by successfully navigating the shift toward experiential retail, most notably through its House of Sport concept, which has established a formidable competitive moat. This physical retail strength is complemented by the GameChanger ecosystem, which provides a high-margin data engine and emerging retail media opportunities. We also believe the integration of Foot Locker represents a meaningful source of untapped alpha and operational synergies that are not yet fully reƊected in the current valuation.

Access our full research database on Dick’s Sporting Goods, Inc.

Stock Analysis Compilation #127

Fri, 17 Apr 2026 15:00:00 GMT

USA

Allbirds, Inc. (BIRD US) by edenbradfieldresearch

Amazon (AMZN US) by summitstocks

Brown-Forman Corporation (BF/B US) by edenbradfieldresearch $BF/B

Eli Lilly and Company (LLY US) by denisdoroshenko

Hims & Hers Health (HIMS US) by denisdoroshenko

Intel (INTC US) by valueinvesting

Meta Platforms (META US) by sanj2f3

Microsoft (MSFT US) by hatedmoats

Modiv Industrial (MDV US) by valuezoomer

Rogers Communications (RCI US) by divergentcapital7651

Sirius XM Holdings Inc. (SIRI US) by eaglepointcapital

Tactile Medical (TCMD US) by deepvaluecapitalbykyler

The Williams Companies, Inc. (WMB US) by rijnberkinvestinsights

Turning Point Brands (TPB US) by Global Stock Picking

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

Cartier Resources (ECR CN) by jaycurrie

D-BOX Technologies (DBO CN) by sprucehill

E3 Lithium Ltd. (ETL CN) by miningcharts

Nepra Foods Inc. (NPRA CN) by wolfofoakville

Here are the latest Canadian stock pitches from hedge fund reports.

Singapore

SUTL Enterprise (BHU SP) by Asian Century Stocks

Here are the latest Singaporean stock pitches from hedge fund reports.

UK

Admiral Group PLC (ADM LN) by compoundingdividends

Bezant Resources (BZT LN) by theoakbloke

Burford Capital (BUR LN) by unemployedvaluedegen

Camellia PLC (CAM LN) by Weekly Dispatches

Plexus Holdings plc (POS LN) by theoakbloke

SEIT (SEIT LN) by theoakbloke

Unite Group plc (UTG LN) by theoakbloke

Here are the latest UK stock pitches from hedge fund reports.

France

Hermès (RMS FP) by bestanchorstocks

LVMH Moët Hennessy Louis Vuitton SE (MC FP) by thedutchinvestors

Here are the latest French stock pitches from hedge fund reports.

Denmark

Novo Nordisk (NOVOB DC) by denisdoroshenko

Here are the latest Danish stock pitches from hedge fund reports.

Sweden

Arlandastad Group (AGROUP SS) by centraltendency

Pomegranate Investment AB (POME SS) by mrmarketmiscalculates

Here are the latest Swedish stock pitches from hedge fund reports.

Netherlands

Basic-Fit (BFIT NA) by kevincasteleijn

Here are the latest Dutch stock pitches from hedge fund reports.

Spain

CLERHP ESTRUCTURAS (CLR SM) by jjinvestmentclub

Here are the latest Spanish stock pitches from hedge fund reports.

Norway

Morrow Bank (MORR NO) by hvalerinvest

Here are the latest Norvegian stock pitches from hedge fund reports.

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #91 - The First Q1'26 Pitches

Wed, 15 Apr 2026 15:02:50 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 Abbott Laboratories (ABT US) by Bell Global Equities Fund

🔹 Abivax (ABVX US) by Cedar Grove

🔹 Alliance Entertainment (AENT US) by Kingdom Capital Advisors

🔹 Amdocs Ltd (DOX US) by Palm Valley CM

🔹 Autodesk, Inc. (ADSK US) by Bell Global Emerging Companies Fund

🔹 Bolloré SE (BOL FP) by East 72 Dynasty Trust

🔹 Booking Holdings Inc. (BKNG US) by Vltava Fund

🔹 Carvana Co. (CVNA US) by Saga Partners

🔹 Catella AB (CATB SS) by Ennismore European Smaller Companies Fund

🔹 Chemed Corporation (CHE US) by KNA Capital

🔹 Dick’s Sporting Goods, Inc. (DKS US) by KNA Capital

🔹 Enterprise Group, Inc. (E CN) by Donville Kent

🔹 Evolv Technologies (EVLV US) by Cedar Grove

🔹 Experian plc (EXPN LN) by Bell Global Emerging Companies Fund

🔹 Experian plc (EXPN LN) by WS Lindsell Train UK Equity Fund

🔹 FINEOS Corporation Holdings plc (FCL AU) by Lakehouse Small Companies Fund

🔹 Flowers Foods Inc (FLO US) by Palm Valley CM

🔹 Genuit Group Plc (GEN LN) by Ennismore European Smaller Companies Fund

🔹 Macquarie Group (MQG AU) by Auscap

🔹 MercadoLibre (MELI US) by Lakehouse Global Growth Fund

🔹 MonotaRO Co., Ltd. (3064 JP) by Bell Global Emerging Companies Fund

🔹 MTY Food Group (MTY CN) by Cedar Grove

🔹 Natural Resource Partners L.P. (NRP US) by Right Tail Capital

🔹 Nektar Therapeutics (NKTR US) by Cedar Grove

🔹 NIBE Industrier AB (NIBE SS) by Protean

🔹 Rayonier Inc (RYN US) by Palm Valley CM

🔹 Sansan (4443 JP) by Lakehouse Global Growth Fund

🔹 ServiceNow (NOW US) by Lakehouse Global Growth Fund

🔹 Sidetrade SA (ALBFR FP) by Acatis

🔹 SiteMinder Limited (SDR AU) by Lakehouse Small Companies Fund

🔹 Spirax-Sarco Engineering plc (SPX LN) by Bell Global Emerging Companies Fund

🔹 The Oncology Institute (TOI US) by Cedar Grove

🔹 The Trade Desk, Inc. (TTD US) by Saga Partners

🔹 Vimian Group AB (VIMIAN SS) by Protean

🔹 Workiva (WK US) by Lakehouse Global Growth Fund

Abbott Laboratories $ABT US by Bell Global Equities Fund

Thesis:

Abbott Laboratories is a diversified medtech leader with catalysts in Libre and PFA, enhanced oncology diagnostics, and an attractive entry after de-rating.

Source: https://drive.google.com/file/d/1gIxcOILkuFASLjI07jw_fbPFY014uaq5/view?usp=drivesdk

Analysis:

Abbott Laboratories is a high-quality, diversified medtech leader with multiple identifiable catalysts on the horizon. These include continued double-digit growth in its Diabetes Care (Libre) franchise and the US commercial ramp-up of the Volt Pulsed Field Ablation (PFA) System, which we expect to accelerate their top-line growth. Additionally, the recently announced acquisition of Exact Sciences significantly strengthens their diagnostics capabilities in oncology. We believe the stock’s recent de-rating, driven largely by weakness in the lower-margin Nutrition business, provided an attractive entry point that undervalues the structural growth engine of the broader portfolio.

Access our full research database on Abbott Laboratories.

Abivax $ABVX US by Cedar Grove

Thesis: Abivax develops UC drug obefazimod with strong profile, making it a prime buyout candidate ahead of maintenance data or a commercialization path.

Source: https://drive.google.com/file/d/1T6N3UTZK04TgweZ0Tr8vdJzQG8GSWVyv/view?usp=drivesdk

Analysis: Abivax is a small French biotechnology company that released P3 data in July of last year on its ulcerative colitis (UC) drug, obefazimod. Obefazimod appears to be a better option for treating UC than JAK inhibitors or TNF-alpha blockers, given its efficacy, delivery, tolerability, and safety profile. Plenty of rumors have come from French publication La Lettre about a possible buyout of the company from various pharma companies looking to boost their existing UC portfolio. Given the limited number of good drug assets in the market, Abivax seems like an excellent take-out target ahead of maintenance data later this summer. Rumors have circulated that Abivax could fetch between $15 and $20 billion before maintenance data is released. If no deal comes through, commercialization will come next, which is already being prepared with their recent CCO hire. Assuming maintenance data comes in positive, the future looks bright for Abivax, whether the strategy is to get acquired or bring the drug to market.

Access our full research database on Abivax.

Alliance Entertainment $AENT US by Kingdom Capital Advisors

Thesis: Alliance Entertainment is a physical media distributor with strong insider ownership, attractive valuation, exclusive studio deals, and potential upside from warrant capital and short-interest dynamics.

Source: https://drive.google.com/file/d/1keID52txFLfg1-kjDC0ld2q5JSFEqDbg/view?usp=drivesdk

Analysis: A notable addition this quarter is Alliance Entertainment (AENT), where we built a significant position following a post-earnings dislocation. Alliance distributes physical media (DVDs, vinyl, and CDs) to over 35,000 retail locations and fulfills online orders for major retailers. While traditional physical media consumption has declined, the category has evolved toward collectibles, supporting renewed growth in select segments.

Key elements of our thesis include:

Strong insider alignment, with over 90% ownership by insiders and employees
Estimated run-rate EBITDA of ~$60 million, implying ~6x EV/EBITDA with growth potential
Exclusive distribution agreement with Paramount, which has significantly boosted earnings in the past year. I am optimistic Paramount’s recent buyout offer for Warner Brothers (WBD) will result in Alliance securing an even larger catalogue, which could push EBITDA closer to $100m run-rate. They are also ramping an exclusive distribution agreement with Amazon/MGM beginning in January 2026.
Benefits from record-breaking Mach releases from Harry Styles, BTS, and Bruno Mars. Styles sold more Vinyl in the first week than any male artist since at least 1991.
Capital structure reminiscent of our former holding Abacus Global (ABX), which had significant capital locked up in their SPAC warrants. Alliance has over $110m of capital accessible if their stock trades above $11.50 between now and February 2028, which would turbocharge their ability to grow via acquisition in their niche, and put their balance sheet in a net cash position.
Elevated short interest and high borrow costs (50–75%), which we view as unsustainable over time

Access our full research database on Alliance Entertainment

Amdocs Ltd $DOX US by Palm Valley CM

Thesis:

Amdocs is a telecom-focused software and services provider embedded in mission-critical systems with high switching costs and attractive valuation around 10x free cash flow.

Source: https://drive.google.com/file/d/1RjbOad6ixn0N3JhHaQm80DgrLuZbct2y/view?usp=drivesdk

Analysis:

In the first quarter, the Fund’s leading detractor was Amdocs (ticker: DOX), a software company and our largest position. We believe Amdocs is far less exposed to AI-driven disruption than many SaaS companies because it is deeply embedded in systems of record and mission-critical infrastructure for its tier-1 telecommunications customers. The company operates billing engines, subscriber databases, network provisioning, and revenue recognition systems that are tightly integrated into carrier operations and carry high switching costs, which helps explain Amdocs’ extremely strong customer retention. Replacing this infrastructure layer would require significant operational disruption, limiting the near-term risk from AI.

Unlike seat-based SaaS models, Amdocs generates revenue through long-term managed services contracts involving substantial customization and integration, often embedded within carrier IT environments for decades. While AI may compress portions of services revenue by reducing manual coding and testing, Amdocs has been proactive in incorporating automation and AI into its offerings. More broadly, while AI threatens software that automates knowledge workers, Amdocs is focused on automating infrastructure complexity within highly regulated telecom ecosystems. The valuation, at approximately 10x free cash flow, hasn’t been this cheap in years.

Access our full research database on Amdocs Ltd

Autodesk, Inc. $ADSK US by Bell Global Emerging Companies Fund

Thesis:

Autodesk is a leading design and engineering software company supported by structural digitization tailwinds and guided for strong EPS and FCF growth.

Source: https://drive.google.com/file/d/19kkaOAJJnf8GG5WboxX_K6AuxmMaexVM/view?usp=drivesdk

Analysis:

Additionally, we initiated a position in Autodesk, a global leader in 37 design, engineering and entertainment software. Structural demand for engineering, design and construction automation remains strong, supported by long-term digitalisation trends across the built environment. The industry also benefits from regulatory complexity and established value-based pricing models, which help provide protection against disruption from AI-driven competitive threats.

Autodesk’s results released in late February further supported our thesis, with management guiding to high-teens EPS growth and mid-teens FCF growth in the upcoming financial year. Our internal analysis currently implies approximately 30% upside over the next twelve months, driven by a combination of strong earnings growth and potential valuation re-rating.

Access our full research database on Autodesk, Inc.

Bolloré SE $BOL FP by East 72 Dynasty Trust

Thesis:

Bolloré SE is a cash-rich conglomerate with a significant UMG stake and potential value realization via special dividends, strategic UMG transactions, and ongoing buybacks amid a deep discount to liquidation value.

Source: https://drive.google.com/file/d/1V4TuT3zQn5jSaA4PW8E4DBtsFEVZyWNT/view?usp=drivesdk

Analysis:

Odet/Bolloré

Bolloré’s two major assets are symmetrical: cash (€5.6billion at 31 December 2025) and an 18% direct shareholding in Universal Music Group, also valued at market price at end March at €5.6billion (338.7million shares at €16.64). Both these key assets (alone worth €4.03/Bolloré share with no self-control loop adjustment) are now subject to change. Bolloré intends paying a €1.50/share special dividend absorbing €4.2billion, but the self-control loop ensures it receives back about €2.3billion, once its 71% shareholder, Compagnie de L’Odet has paid out a promised two-thirds of said dividend. With numerous Bolloré entities owned 5% within the group, the application of France’s mère ﬁlle (mother-daughter) tax rule limiting tax on the dividend to 5% means the level of tax friction on the intra-group distributions is minimised. So the group’s ability to manœuvre is barely impaired.

Since quarter end, Bill Ackman’s Pershing Square, which holds 4.7% of UMG, has pitched a proposal to use its controlled Pershing Square SPARC, inject €2.5billion of funds, gear up UMG, sell off its €2.7billion holding in Spotify and effectively cancel 17% of UMG’s shares by offering €5.05per UMG share in up-front cash consideration, swapping out the residue for SPARC securities to be listed on NYSE.

Pershing Square would effectively become the controller of UMG with two board seats and their appointed Chair, but with only 11% of the “NewCo”. In our view, the ﬁnancial engineering underpinning the deal actually has appeal – we suspect to Bolloré as well – but not the governance aspects nor the childish arithmetic used to publicise the mooted transaction suggesting total value of over €30/UMG share. However, as a start point for negotiation, it’s not completely silly.

We suspect Bolloré may engage. The implied “buyback” price of €22/UMG share – which would give Bolloré a cash injection of €1.7billion – is low but may be a case of sell a little to make a lot. Odet sold 6million UMG shares last year at €27.50 – having purchased at below €19 – so we have an idea of its buy-sell range, into which Ackman has postulated the virtual mid-point!

If Bolloré can negotiate away the more absurd (in our view) parts of the deal and retain a sensible level of control via its marginally diluted stake of 17.2% (+Vivendi’s of 9.2%), then it returns the Bolloré balance sheet back close to where it was prior to the special dividend, and repays the debt of its questionable 30% owned media investment company, Vivendi.

Investors continue to be cynical about Bolloré (and hence Odet) pricing the shares at egregious discounts to liquidation value. With the court case relating to control of Vivendi brought by CIAM being heard by the Paris Court of Appeal on 22 May 2026, we are hopeful that by end-June there is a more transparent path forward for the company. In the meantime, the group continues to cannibalise its own shares, with notable purchases by Odet of Bolloré stock. We remain happy with our mid-teens effective value of Bolloré shares.

Access our full research database on Bolloré SE

Booking Holdings Inc. $BKNG US by Vltava Fund

Thesis:

Booking Holdings is a leading global online travel platform with powerful network effects, high margins, and capital-light free cash flow at an attractive entry valuation.

Source: https://drive.google.com/file/d/181yEPa06iTNo7tjlor3ckhOuAddVLpQa/view?usp=drivesdk

Analysis:

Booking Holdings probably needs little introduction. We know that many of you use its services regularly. Booking Holdings is a global online travel booking platform headquartered in the U.S. Through its websites and apps, it connects customers with providers of accommodations, airline tickets, car rentals, and other travel services. The group’s best-known brand is Booking.com, one of the world’s largest platforms for reserving hotels and short-term accommodations. The group also includes Priceline, Agoda, KAYAK, Rentalcars.com, and OpenTable. Its business model is primarily commission-based; the company collects a fee from every reservation made through its platforms. Thanks to a global network of millions of accommodation properties and a strong brand, the company benefits from significant network effects: the more accommodation options available on the platform, the more customers it attracts, and vice versa. Booking Holdings has long been among the most profitable firms in the travel industry and generates very high free cash flow.

From an investment perspective, Booking Holdings, AJ Bell, and Rightmove share several important characteristics. All operate as platforms that connect supply and demand while collecting fees or commissions for doing so. Meanwhile, they do not own the core assets that are sold by way of their services. Booking does not own hotels, Rightmove does not own real estate, and AJ Bell is not a traditional financial institution managing its own investment products. As a result, these are capital-light businesses with high margins and strong ability to generate free cash flow. At the same time, they benefit from network effects. The more users and partners their platforms have, the more valuable they are to all market participants. It is precisely this combination of dominant market position, low capital requirements, and high return on capital that makes them very attractive companies from an investment perspective. We have been tracking all three companies for quite some time, but it wasn’t until this year that their share prices reached levels that we found very attractive.

Access our full research database on Booking Holdings Inc.

Carvana Co. $CVNA US by Saga Partners

Thesis:

Carvana is building a vertically integrated used-car platform with compounding operating leverage and significant scalable capacity that the market undervalues.

Source: https://drive.google.com/file/d/1ftIfgqpBoxw2GGg0TwD7m1TxsuSo_ZGY/view?usp=drivesdk

Analysis:

The used car market is enormous, but its structure has historically limited the scale of any single player. Dealerships are built around local inventory, local reconditioning, local financing, and local delivery, so selection is constrained and unit costs stay high.

Carvana is easy to misunderstand because it is not simply selling cars on a website. It is an integrated system designed to break those constraints by centralizing inventory, industrializing inspection and reconditioning in purpose-built facilities, building a dense logistics network, and embedding financing into the same flow.

The mechanism is cumulative learning and operating leverage. Each part of the system improves the others, which is why the advantage compounds rather than scales linearly. Higher throughput lowers delivery and reconditioning cost per unit. Broader selection improves conversion. Faster turns reduce capital intensity. More transactions improve pricing, logistics, and credit decisions. Over time, this creates a system that is hard to copy because it requires years of operational learning, national infrastructure, funding relationships, and enough volume for the machine to improve through repetition and cover high upfront fixed costs.

When we invested in 2019, the market’s expectations embedded in the stock price were far weaker than what the mechanism suggested. Carvana was still reporting losses, so the easy story was a cash-burning retailer that would eventually hit a wall. The question I kept returning to was simple: is the mechanism beginning to show up where it should? I looked for improving unit economics in older cohorts, a strengthening customer proposition as selection and delivery reliability improved, evidence of operating leverage as utilization rose, and a balance sheet that could fund the company until it reached scale and profitability. Over time, the evidence increasingly pointed to an integrated system whose economics should improve with density. It also pointed to the difficulty competitors would have replicating the full stack cost structure and customer experience once an operator had already moved down the learning curve.

Then 2022 arrived. Used car affordability deteriorated, interest rates rose sharply, volumes fell, and execution issues hit at the wrong time. The share price collapsed. The key question was not whether prior expectations were wrong, but whether the causal explanation had been refuted.

The thesis would break if demand structurally shrank, if unit economics failed to improve as utilization recovered, or if competitors matched the experience and economics without comparable infrastructure. I did not see evidence of that. The mechanism looked intact, and the company had enough liquidity to resize costs and fund the business through the downturn. We held and added opportunistically at depressed prices. As management improved efficiency and restored profitability while maintaining customer service, fundamentals improved and shares recovered from their lows.

The used car market has historically been fragmented and locally constrained, with high costs, limited selection, and a cumbersome customer experience. Each dealership operates its own inventory, reconditioning, and logistics, which limits scale and keeps unit economics inefficient.

Carvana approaches this differently by building an integrated system that centralizes inventory, industrializes inspection and reconditioning, and coordinates logistics and financing into a single platform. This expands selection, reduces friction, and lowers costs while improving the customer experience.

As the system scales, each additional unit improves efficiency. Higher throughput lowers cost per unit, increases inventory density, improves conversion, and accelerates inventory turns. Over time, this creates operating leverage and embeds learning into the system, making it increasingly difficult for fragmented competitors to replicate.

In 2025, Carvana grew retail units by 43% while demonstrating strong profitability and operating leverage, generating EBITDA of $2.2 billion and an EBITDA margin of 11%, even as industrywide used car volumes were roughly flat.

Carvana has shown it can grow while expanding profitability, in part because it spent the last several years building infrastructure for volumes well above its current run rate. As throughput rises, the fixed-cost base is better utilized and margins expand. In that sense, 2025 provided further evidence that the system is working as intended. The company also continued to reduce debt and strengthen the balance sheet. At the end of 2025, net debt to EBITDA was 1.2x and committed liquidity stood at $4.4 billion.

The key question is how much of the roughly 40 million unit U.S. used car market can migrate toward a model like Carvana’s over time. E-commerce penetration varies significantly by category. Based on U.S. Census data, total online retail penetration is nearly 20%. Across categories, third-party estimates suggest that more complex and logistically intensive products generally see lower online adoption, and used cars typically fall into this category.

However, the traditional offline used car buying experience is far more cumbersome than in most retail categories, suggesting the relative improvement from a model like Carvana’s may be greater than in categories that have already shifted online. While used cars should be harder to move online than categories like books or electronics, Carvana has demonstrated that it can buy, sell, recondition, and transport vehicles at scale with attractive economics, resulting in a meaningfully better experience across convenience, selection, and transparency. As a result, a larger share of used car sales could migrate toward a model like Carvana’s over time.

Given the difficulty of replicating its infrastructure and the absence of a competitor with comparable scale, brand, and capabilities, Carvana is well positioned to capture a significant share of that shift.

Despite the share price recovery following Carvana’s operational progress, I continue to view the shares as attractive relative to its future earnings power, which does not require aggressive assumptions. Carvana already has the capacity to sell 1.5 million retail units annually and expects to increase that to roughly 3 million with modest incremental capital investment within its existing real estate footprint. Selling 3 million retail units while maintaining unit economics of approximately $4,500 per unit would imply roughly $13.5 billion of EBITDA. I expect demand to exceed 3 million units over time, and while expansion beyond that level will require additional real estate investment, the business should be able to support that growth as it continues to improve with scale.

If the system continues to develop as expected, Carvana should improve both its cost structure and customer experience over time, reinforcing its position in the market. The current share price does not appear to reflect the company’s ability to approach 3 million units in the intermediate term, let alone its potential beyond that.

Access our full research database on Carvana Co.

Catella AB $CATB SS by Ennismore European Smaller Companies Fund

Thesis: Catella AB is a Swedish property investment manager with a high-quality recurring PIM platform, margin expansion and recovery tailwinds, refreshed leadership, and an attractive valuation implying significant upside.

Source: https://drive.google.com/file/d/1XJF4lAdMMq9C7w02_AN5k0fZPwgfRuxc/view?usp=drivesdk

Analysis: Catella AB (“Catella”) is a SEK 2.4 billion market capitalisation Swedish property investment manager that has undergone a radical transformation to emerge as a high-quality, streamlined asset management business. Over the past decade, the group has simplified its structure by divesting non-core operations – including banking, wealth management, and mutual fund businesses – to focus on its core engine: Property Investment Management (PIM). Today, Catella is defined by three divisions: PIM, Corporate Finance, and Principal Investments, with the PIM segment driving the majority of group value.

The PIM division manages SEK 160 billion (EUR 15 billion), primarily in core residential real estate via a dual-product strategy. Assets are split 70/30 between long-term pooled property funds generating 0.75% management fees and 1.5% transaction fees, and asset management for institutions and family offices generating a 0.2% fee. This platform is supported by a resilient capital base, governed by twelve-month withdrawal notice periods and tapered exit fees, and has grown organically at an impressive 15% per year since 2015. The quality of the platform is underscored by performance: Catella’s two longest-standing funds currently rank first and second among European property funds according to Citywire, despite leverage capped at 30% loan-to-value. While operating margin is currently around 16%, management is actively consolidating funds to target the margin-dilutive tail by imposing a minimum assets under management (AUM) threshold of EUR 500 million. As European property transaction volumes recover from current severely depressed levels, we think an operating margin in the mid-20s is highly achievable and would still be well below the 30-40% margins seen at scaled peers – implying that this segment could generate over SEK 400 million in operating profit by 2029 with double-digit growth potential thereafter.

Catella’s Corporate Finance segment is an industry leader in the Nordics, holding a 10% market share in Sweden and Finland. This segment has also been rationalised, with the closure of unprofitable German and Baltic units clearing the path for SEK 100 to 150 million in annual operating profit as transaction volumes recover. Similarly, the Principal Investments portfolio has been significantly de-risked following the sale of the Kaktus Tower for SEK 2.1 billion. The remaining SEK 1.1 billion in equity will likely serve as seed capital for new PIM products instead of funding higher-risk, large-scale developments.

This strategic pivot is being overseen by a refreshed leadership team. Formerly of Patrizia, CEO Rikke Lykke is focused on institutionalising the platform and imposing stricter capital discipline, with the recently appointed CFO Gustav Jansson, formerly of Visa, rounding out the team. Their mandate is clear: scale the existing funds, strengthen direct institutional relationships, and simplify the investment narrative for a market that has yet to recognise Catella’s underlying value.

Catella trades at less than three times enterprise value to our estimate of normalised operating profits; a valuation that ignores the quality of its recurring revenue base and growth potential. We believe a trade acquirer could purchase the company, liquidate the non-core assets, and divest the corporate finance arm to effectively retain the entire PIM platform for free. The balance sheet is robust, with around SEK 1.6 billion in cash, SEK 1.3 billion in debt, and SEK 1.4 billion in non-core investments - providing ample capacity for the highly accretive share buybacks we anticipate, driven by an engaged investor base.

While property fund outflows remain a risk, strong performance and steadily improving monthly trends in net asset value suggest flows will return as investor confidence recovers. In the interim, fund outflows are offset by the asset management business, where AUM rose 22% in Q3 2025. We also see positive signs of European transaction volume recovery, with 15% year-on-year growth in Q3. As volumes recover, we expect mid-single-digit growth in AUM, significant margin expansion, and a rebound in the Corporate Finance segment. Our PIM revenue assumptions remain conservative, with performance fees modelled at 5% of total revenue, half our through-cycle expectation. Valuing the business at twelve times enterprise value to net operating profit after tax offers 150% upside by 2029, an annualised return of over 30%.

Access our full research database on Catella AB

Stock Analysis Compilation #126

Fri, 10 Apr 2026 15:03:04 GMT

USA

Amazon (AMZN US) by sanj2f3

Bank OZK (OZK US) by maxdividends

Cadence Design Systems (CDNS US) by denisdoroshenko

Celestica (CLS US) by denisdoroshenko

Celsius Holdings (CELH US) by wintergems

Crocs (CROX US) by thefinancecorner

Gen Digital (GEN US) by valuedontlie

Instacart (CART US) by fermatcap

Intuitive Surgical (ISRG US) by denisdoroshenko

Kimberly-Clark (KMB US) by maxdividends

Maui Land & Pineapple Company (MLP US) by waterboystocks

Meta Platforms, Inc. (META US) by yetanothervalueblog

New Fortress Energy (NFE US) by unemployedvaluedegen

Nu Holdings (NU US) by denisdoroshenko

Nu Holdings (NU US) by patientcapitalfund

Palo Alto Networks (PANW US) by denisdoroshenko

Salesforce (CRM US) by hatedmoats

Sanuwave (SNWV US) by sprucehill

SuperCom (SPCB US) by sprucehill

Terns Pharmaceuticals (TERN US) by twonaturalcap

Texas Pacific Land Corporation (TPL US) by lemoncakesinvesting

Here are the latest U.S. stock pitches from hedge fund reports.

Canada

E-L Financial (ELF CN) by canadianvaluestocks

Glow Lifetech (GLOW CN) by wolfofoakville

Titan Logix Corp. (TLA CN) by pettycash

Topicus.com Inc. (TOI CN) by kevincasteleijn

Volatus Aerospace (VOL CN) by wolfofoakville

Zedcor Inc. (ZDC CN) by leftfieldinvesting

Here are the latest Canadian stock pitches from hedge fund reports.

France

L’Oréal (OR FP) by compoundingquality

Here are the latest French stock pitches from hedge fund reports.

Germany

RTL Group (RRTL GY) by financial-engineering.net

Here are the latest German stock pitches from hedge fund reports.

Sweden

Talkpool (TALK SS) by sprucehill

Here are the latest Swedish stock pitches from hedge fund reports.

Netherlands

Universal Music Group (UMG NA) by edenbradfieldresearch

Here are the latest Dutch stock pitches from hedge fund reports.

Italy

NewPrinces (NWL IM) by qualityvalueinvestments

Here are the latest Italian stock pitches from hedge fund reports.

Israel

Energix (ENRG IT) by theoakbloke

Here are the latest Israeli stock pitches from hedge fund reports.

Everything you read here is for information purposes only and is not an investment recommendation.

Hedge funds' best ideas #90 - The Final Q4'25 Pitches

Wed, 08 Apr 2026 15:02:54 GMT

Upgrade Your Edge on HFBestIdeas.com 🚀

Stop spending hours sourcing and digesting Hedge Fund letters. Let HFBestIdeas do the manual work for you and turn over more rocks in less time.

Try any premium plan free for 7 days:

The Analyst ($10/mo): Full newsletter (35+ stock pitches/week).
The Associate ($19/mo): Full access to our pitch database + Quarterly Letter archive.
The Rainmaker ($29/mo): Total access + Warren AI, your proprietary research assistant.

Note: For Associate & Rainmaker access, please subscribe directly at HFBestIdeas.com.

Start Your 7-Day Free Trial

Now, let’s get into this week’s selection of fund ideas 👇

Summary :

🔹 Aena SME SA (AENA SM) by The London Company International Equity

🔹 Alphabet Inc. (GOOG US) by Pershing Square

🔹 ASE Technology Holding Co., Ltd. (ASX US) by Antipodes Emerging Markets Fund

🔹 Astera Labs Inc (ALAB US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 AstraZeneca PLC (AZN LN) by Hardman Johnston International Equity

🔹 Babcock International Group PLC (BAB LN) by Hosking Partners

🔹 Biogen Inc. (BIIB US) by Patient Capital Management

🔹 Bloomsbury Publishing plc (BMY LN) by Artemis UK Smaller Companies Fund

🔹 Brenntag SE (BNR GY) by Artisan International Value Strategy

🔹 Builders FirstSource, Inc. (BLDR US) by Black Bear Value Partners

🔹 CDW Corp (CDW US) by Artisan U.S. Mid-Cap Value Strategy

🔹 Cellebrite DI Ltd (CLBT US) by Artisan U.S. Small-Cap Growth Strategy

🔹 Choice Hotels International, Inc. (CHH US) by Baron Growth Fund

🔹 CMS Energy Corp. (CMS US) by Parnassus Mid Cap Fund

🔹 Comfort Systems USA (FIX US) by Aristotle Large Cap Growth

🔹 Ferrari N.V. (RACE IM) by Sands Capital Global Leaders

🔹 FIGS, Inc. (FIGS US) by Baron Growth Fund

🔹 Genmab A/S (GMAB DC) by Orbis International Equity

🔹 Guardant Health Inc (GH US) by Artisan U.S. Small-Cap Growth Strategy

🔹 Haemonetics Corporation (HAE US) by The London Company Small Cap

🔹 Hyundai Motor Company (005380 KS) by Antipodes Emerging Markets Fund

🔹 Kinder Morgan, Inc. (KMI US) by Royal London Global Equity Select Fund

🔹 Koninklijke Philips NV (PHIA NA) by Artisan International Value Strategy

🔹 Medical Facilities (DR CN) by Smoak Capital

🔹 Metso Oyj (METSO FH) by Guinness European Equity Income

🔹 Metso Oyj (METSO FH) by Artisan Non-U.S. Small-Mid Growth Strategy

🔹 Montana Aerospace AG (AERO SW) by Tourlite Capital

🔹 National Bank of Greece SA (ETE GA) by Ariel Emerging Markets Value ex-China

🔹 NCAB Group AB (NCAB SS) by Protean

🔹 NOV Inc (NOV US) by Artisan U.S. Mid-Cap Value Strategy

🔹 Palantir Technologies (PLTR US) by Sands Capital Technology Innovators

🔹 RCI Hospitality Holdings (RICK US) by Ace River Capital

🔹 Reckitt Benckiser Group plc (RKT LN) by Broyhill Asset Management

🔹 Roblox Corp (RBLX US) by Artisan U.S. Mid-Cap Growth Strategy

🔹 Samsung Electronics Co Ltd (005930 KS) by Artisan Global Value Strategy

🔹 Samsung Epis (0126Z0 KS) by Artisan Sustainable Emerging Markets Strategy

🔹 Sea Limited (SE US) by Artisan Global Discovery Strategy

🔹 Spotify Technology SA (SPOT US) by Artisan Global Discovery Strategy

🔹 Sylvamo Corp (SLVM US) by Alluvial Capital

🔹 The Trade Desk, Inc. (TTD US) by Rowan Street

🔹 TransDigm Group Inc. (TDG US) by YCG Investments

🔹 Trigano SA (TRI FP) by Ennismore European Smaller Companies Fund

🔹 Trustpilot Group (TRST LN) by Polar Capital International Small Company Fund

🔹 Uber Technologies, Inc. (UBER US) by Pershing Square

🔹 UBS Group AG (UBSG SW) by Artisan Non-U.S. Growth Strategy

🔹 Vail Resorts, Inc. (MTN US) by Warden Capital

🔹 Vertiv Holdings (VRT US) by Guinness Global Quality Mid Cap

🔹 Vox Royalty Corp. (VOXR US) by Ace River Capital

🔹 WuXi Biologics (Cayman) Inc. (2269 HK) by Artisan Sustainable Emerging Markets Strategy

🔹 YouGov plc (YOU LN) by Artemis UK Special Situations Fund

Aena SME SA $AENA SM by The London Company International Equity

Thesis: Aena SME SA operates Spanish airports under a dual-till model with high-return unregulated businesses and attractive capital deployment supported by an underleveraged balance sheet.

Source: https://drive.google.com/file/d/1V3BXtoBQNvp9WUZ_cA2clnj3Tbdlts5C/view?usp=drivesdk

Analysis: Initiated: Aena SME SA (AENA SM) – AENA SM is an airport infrastructure company operating the Spanish airports, its primary asset. AENA SM operates under a “dual till” regulatory model where the landing fees are regulated while all other operations, like concessions, retail, parking, VIP lounges, etc., are unregulated. Roughly 70% of AENA SM’s value is driven by the high-return, unregulated business which we believe is underappreciated by the market. As AENA SM prepares to enter the next regulatory period, investor sentiment has soured on potential capex increases. We took advantage of this dislocation to purchase the shares in the quality operator. We believe the capex will provide attractive returns in the business, and an underleveraged balance sheet provides confidence in the continuation of attractive shareholder distributions.

Access our full research database on Aena SME SA

Alphabet Inc. $GOOG US by Pershing Square

Thesis: Alphabet Inc. is leveraging data, distribution, and infrastructure to drive AI-led growth in Search, YouTube, and Google Cloud.

Source: https://drive.google.com/file/d/18VgUn1o1haXMBfeaiKSB6gq-IWR2DNYi/view?usp=drivesdk

Analysis: AI is having a transformative impact on Search & YouTube Favorable resolution to recent antitrust review AI Overviews & AI Mode demonstrate rapidly improving product velocity in Search Reaching more than 2 billion users in more than 200 countries, AI Overviews in Search is effectively the world’s most widely used AI product by a significant margin Has led to accelerating query growth, with the effect most pronounced amongst younger users Recently announced Gemini-Apple partnership to power Siri validates AI leadership Focus on multi-modal AI capabilities (image and video generation) has driven material improvements to YouTube’s recommendation algorithms and content creation tools Alphabet (“GOOG”) Alphabet is leveraging its core strengths in data, distribution, infrastructure, and research expertise to successfully execute on its vast AI potential Unique full-stack approach to AI has increasingly differentiated Google Cloud.

Access our full research database on Alphabet Inc.

ASE Technology Holding Co., Ltd. $ASX US by Antipodes Emerging Markets Fund

Thesis: ASE Technology Holding is a leading OSAT partner to TSMC benefiting from AI-driven advanced packaging demand, with strong earnings growth and an undemanding valuation.

Source: https://drive.google.com/file/d/1kuIi1XeLdP-SWpRKaoZ-G2iuPyOuhT8W/view?usp=drivesdk

Analysis: ASE Technology is a globally leading outsourced semiconductor assembly and test (OSAT). It has a long-standing partnership with TSMC. TSMC is allocating its limited clean room space to steps in chip manufacturing that provide the highest value and the greatest precision. In advanced packaging, TSMC conducts the more precise step (Chip-on-Wafer) internally, while outsourcing the less precise but still critical step (Wafer-on-Substrate).

ASE is one of the core partners working with TSMC to de-bottleneck advanced packaging capacity, used for GPUs, ASICs, networking and even future Server CPU products. ASE benefits from increasing revenue and better facility utilisation, TSCM benefits from optimised manufacturing footprint and customers benefit from quicker time to market. ASE should grow its earnings at +36% CAGR over the next three years and is trading at ~14x our 2028 earnings estimate. This is not a demanding valuation for a business that is structurally improving its margin profile.

Access our full research database on ASE Technology Holding Co., Ltd.

Astera Labs Inc $ALAB US by Artisan U.S. Mid-Cap Growth Strategy

Thesis:

Astera Labs provides connectivity chips that alleviate data center bottlenecks and enable heterogeneous computing, offering strong long-term AI-driven growth.

Source: https://drive.google.com/file/d/1PgBFblcmkWXVAiEo1TRwPE50tUZP1D_j/view?usp=drivesdk

Analysis:

Astera Labs is a fabless provider of connectivity chips designed to address data, network and memory bandwidth bottlenecks in data centers. Modern GPUs and CPUs often cannot operate at full performance due to limitations in how they connect to memory and networks, and Astera’s chips help remove these constraints to improve system efficiency. The company also enables communication across different types of chips, supporting the industry’s shift toward heterogeneous computing. With continued cloud growth and rising AI demand driving rapid data center expansion, we believe Astera has a strong long-term growth opportunity. We took advantage of a recent pullback to start a GardenSM position.

Access our full research database on Astera Labs Inc

AstraZeneca PLC $AZN LN by Hardman Johnston International Equity

Thesis: AstraZeneca PLC is supported by tariff relief, broad therapeutic strength, and numerous Phase III successes reinforcing its $80B 2030 revenue target.

Source: https://drive.google.com/file/d/17jBiL-snODhjQHKXgIYRChnsQ8cQj0PD/view?usp=drivesdk

Analysis: AstraZeneca signed a deal with the U.S. administration to offer most-favored-nation (MFN) drug pricing to Medicaid patients and to participate in TrumpRx, a direct-to-consumer platform for purchasing prescription drugs. As part of the agreement, AstraZeneca received a three-year exemption from tariffs while committing to increased investment in its U.S. footprint. In our view, this outcome represents a best-case scenario for AstraZeneca and does not impact either near-term guidance or the company’s 2030 financial targets. The company reiterated guidance, supported by broad-based strength across oncology, cardiology & renal, and rare disease despite macro headwinds throughout 2025. 2025 was a strong year of clinical success with more than 15 positive phase III trial readouts at major medical conferences. This data further underpins AstraZeneca’s $80B revenue target for 2030. AstraZeneca is well positioned heading into 2026, with numerous additional Phase III readouts expected, providing continued momentum and further visibility toward achieving the 2030 $80B revenue goal.

Access our full research database on AstraZeneca PLC

Babcock International Group PLC $BAB LN by Hosking Partners

Thesis:

Babcock International Group PLC is a UK defence and civil nuclear engineering services company with unique assets, improved contract structures, strong management, and structural tailwinds supporting margin growth and capital returns.

Source: https://drive.google.com/file/d/1CldHh3xDPeDVN_JeKdQmrvvnaQbwFvpg/view?usp=drivesdk

Analysis:

Against this backdrop, Hosking Partners’ portfolio holding in leading defence company Babcock International has emerged as a critical player in the UK, specifically for maintaining the nation’s nuclear and naval capabilities. The tailwinds behind the company’s recent growth resurge is expected to continue as Europe strengthens its defence amongst an ever-increasing volatile geopolitical future.

Jeremy Hosking first initiated a holding in Babcock in March 2023, following a “single stock pitch idea” from then-analyst Omar Malik, establishing a small position following a reassessment of the defence sector in light of these evolving geopolitical realities. Babcock presented itself as an operational turnaround story under a new management team that joined in 2020, with significant progress made in restructuring the balance sheet, improving contract economics, and refocusing the business on core engineering competencies. The shares also traded at a significant discount to the replacement value of the asset base, a phenomenon we often see at the bottom of a cycle. Here, we explore why we have continued to build out our exposure since first entering the position and look at the importance of our ongoing engagement activity with the management team.

Babcock International is one of the UK’s most strategically essential engineering services companies, specializing in the management of complex defence and nuclear assets. Its responsibilities include maintaining the UK’s continuous at sea nuclear deterrent and managing three of four key dockyard assets in the UK – HMNB Devonport, HMNB Clyde, and Rosyth. In the case of Devonport and Rosyth, they directly own these irreplaceable assets. It remains one of two operators capable of performing nuclear submarine refits, upgrades, and life extension work at scale. This unique positioning has only grown in importance since Russia’s invasion of Ukraine, which reignited cross-party support in the UK for strengthening the deterrent with a particular focus on submarines.

With public perceptions shifting, defence companies such as Babcock have increasingly been categorised by investors less as controversial investments and more as essential companies for continued national security.

The shift of Babcock’s largest contract, managing the submarine fleet, towards a cost-plus model in early 2024 represented a material de risking of the business. We could see a clear path towards a more stable, long cycle business operation aligned with the UK government’s renewed focus on availability and readiness, rather than cost minimisation.

Part of our investment approach also involves active, constructive engagement with management on capital allocation and governance matters, which has certainly been the case with Babcock. We have maintained a consistent dialogue with Babcock’s leadership regarding operational priorities, financial discipline, and shareholder returns.

In late 2024, we sent a letter advocating for the company to pursue a share buyback program in order to opportunistically take advantage of the undervaluation of Babcock’s shares. Despite four years into the turnaround and significant improvements across operations, culture, and financial strength, we felt the shares remained stubbornly depressed at 8x operating profits. We also expressed our desire to engage with the board regarding the management incentive scheme, which we felt was inadequate in highlighting the long-term opportunity at Babcock. Six months after our correspondence, the company announced the launch of a £200m share buyback programme.

More generally, throughout our ownership we have found Babcock’s management team to be open, engaged, and strategically aligned with long-term investors. This receptiveness to shareholder input stands in contrast to the historical perception of defence contractors as opaque, overly bureaucratic entities. Babcock’s new leadership has demonstrated a willingness to modernise both operations and capital allocation policies, which has been instrumental in restoring confidence across the investor base.

Since our initial investment in March 2023 and our last piece written on Babcock in the Q3 2024 AOR, shares in the company have risen +447% and +214%, respectively, reflecting fundamental improvements made at Babcock in the last three years. Accelerating revenue growth and consistent margin expansion are having significant impacts on the bottom line with Babcock reporting record underlying operating profits in the last 12 months.

A de-levered balance sheet and the emergence of new growth opportunities following increased defence spending in Europe has also had a meaningful impact. It is worth noting the shift in investor perceptions around defence companies, with companies across the board having seen their valuations increase, including Babcock’s.

One of the potentially most promising and least appreciated business areas within Babcock is the company’s civil nuclear engineering division. While it remains early days, given the UK government’s explicit intention to accelerate nuclear power deployment, there is a credible argument that we could be at the beginning of a new cycle.

After a period of consolidation during the downturn, Babcock is the only surviving British company with the capabilities to service nuclear power stations and to take advantage of the emerging opportunities in advanced and small modular reactors. Given the sensitive security concerns around nuclear the government is likely to favour domestic incumbent with the correct regulatory credentials and high levels of trust. The nuclear division is one of the group’s highest-margin areas and could become a meaningful driver of future profit growth if the government is serious about addressing the UK’s high energy costs. Despite the exciting opportunity ahead, management is clear that the scale of the opportunity will depend on the economic terms of the contracts offered to the private sector. An important discipline to avoid repeating the mistakes Babcock made in defence a decade ago.

We see Babcock playing a necessary and stabilising role in maintaining credible military deterrence for NATO nations. Its blend of irreplaceable national infrastructure assets, specialised engineering known-how, improved financial discipline, and renewed growth tailwinds continue to make it an attractive investment opportunity in the defence sector at Hosking Partners.

Access our full research database on Babcock International Group PLC.

Biogen Inc. $BIIB US by Patient Capital Management

Thesis:

Biogen benefits from late-stage pipeline and Alzheimer’s tailwinds, improved cost structure, and long-dated optionality supporting attractive risk/reward.

Source: https://drive.google.com/file/d/1uik7raQ1uzAymEiGzc8VWQnKSiqHC8nb/view?usp=drivesdk

Analysis:

Finally, late in the year Biogen Inc (BIIB), a long-held position, began to show signs of recovery as confidence improved around its late-stage pipeline and optimism increased around the Alzheimer’s opportunity as blood-based biomarkers and subcutaneous formulations come to market.

This quarter we entered three new positions and exited one position. We increased our exposure to Biogen Inc. (BIIB) in the quarter by buying long-dated call options expiring in 2028 with a strike price of $150. We continue to think Biogen is an attractive asset over the long term. The company has a number of late-stage pipeline assets that should reach the market over the next few years, at the same time that its Alzheimer’s franchise should continue to ramp as blood-based biomarkers and subcutaneous injections broaden the potential treatable universe. Longer term, we believe Biogen is positioning itself to own multiple stages of the Alzheimer’s disease lifecycle, similar to its historical approach in multiple sclerosis. With a cleaned-up cost structure, a more focused research effort, and a growing late-stage pipeline, we continue to view the risk/reward as attractive.

Access our full research database on Biogen Inc.

Bloomsbury Publishing plc $BMY LN by Artemis UK Smaller Companies Fund

Thesis:

Bloomsbury Publishing plc offers an 8% FCF yield, net cash, a growing academic mix, strong backlist, and durable IP tailwinds like Harry Potter.

Source: https://drive.google.com/file/d/17XL-wt-JTMNa-oWZOnAlPWMwqMAnv2jG/view?usp=drivesdk

Analysis:

With Bloomsbury Publishing, we felt an 8% free cashflow yield was attractive given its strong long-term record and the net cash position. Historically we have been put off by the hits-driven nature of the business, but we feel this is less of an issue now than in the past. Academic publishing is less lumpy than consumer sales and has increased to about one-third of the business. What’s more, 70% of sales now come from the (more predictable) backlist. Harry Potter continues to account for more than 10% of revenues, 28 years after the first book was published, and the franchise should benefit from the new HBO series in 2027. Meanwhile, Disney has acquired the film rights for Katherine Rundell’s novel Impossible Creatures.

Access our full research database on Bloomsbury Publishing plc.

Brenntag SE $BNR GY by Artisan International Value Strategy

Thesis:

Brenntag is the leading chemicals distributor positioned for cyclical recovery and substantial operational improvement under a new CEO, with margin and EPS targets implying upside from current valuation.

Source: https://drive.google.com/file/d/1H1wKYS6F-tDjwFj9dJFBtP8BhGt2yhr2/view?usp=drivesdk

Analysis:

Brenntag is the world’s largest distributor of chemicals. Chemical manufacturers typically have a sales force and distribution network (ships, trucks, warehouses) oriented to serving large clients. To reach smaller clients, manufacturers employ chemical distributors. Distributors add value through bulk purchasing, efficient use of depots, storage tanks and warehouses, and in many cases, blending chemicals to meet specific client needs.

Demand for chemicals broadly follows economic growth trends. However, the largest markets—construction, housing and autos—grow slowly and are cyclical. The supply of bulk chemicals is also cyclical. Pricing has its ups and downs based on the supply/demand balance for these largely commoditized products. Since the end of the pandemic, the market for chemicals has been weak. The energy crisis in Europe combined with an incursion by Chinese manufacturers has weakened Europe’s industrial base. Rising interest rates in both Europe and the United States have hurt the demand for new housing. The fickleness of electric vehicle subsidies, rising interest rates and aggressive Chinese competition have hurt American and European automakers. Exacerbating these conditions is the massive overproduction of chemicals in China. China has added substantial chemical capacity over the last few years, and that excess capacity has significantly reduced prices.

The combination of falling volumes and lower prices has caused both revenue and profitability for chemical distributors to decline. Investors have little interest in equities tied to this cycle, especially in an era of booming technology stocks. We believe current conditions are extreme—a cyclical downturn in both volume and price—and should improve. Regarding Brenntag specifically, we believe new leadership has an opportunity to enhance productivity and competitiveness in the short term. Over the long term, Brenntag can act as a consolidator of this fragmented industry.

Some of the issues impacting Brenntag are self-inflicted. Activist pressure caused a change in strategy a couple years ago. The company embarked on an expensive plan to divide its bulk and specialty chemical activities. This strategy has now been reversed—as these businesses share infrastructure that would have to be replicated, and Brenntag lacks sufficient scale in specialty chemicals to operate a viable standalone business.

In September 2024, a new CEO named Jens Birgersson was hired from Rockwool, a manufacturer of insulation and fire protection products. Over Jens’ tenure (2015–2024) Rockwool’s share price increased from $11 to nearly $45, a compound annual growth rate of around 15.5%. Though Jens has never run a distribution company, we like his no-nonsense approach and business acumen.

Jens pointed out to us that Brenntag is a 150-year-old company that has been entrepreneurial and acquisitive but has never gained operating leverage. The company never built any systems to achieve it, and there are no optimization processes managed across the organization. Brenntag’s supply chain consists of 600 nodes made up of warehouses, labs and tanks. We believe that organizing this supply chain, which will take several years, will place the company in an unmatched position. More immediately, the company is reducing bureaucracy with a cost-saving objective of €300 million, which is expected to fall to the bottom line as other measures offset any inflation in the cost base.

We believe the company can achieve a 6% operating margin within the next two years, up from about 5.5% today. With modest revenue growth, we believe the company can generate earnings per share of €5. The share price trades at €50.

Jens characterized his endgame of turning this company into a polished diamond. If he achieves that objective, we expect the shares to trade well above 10X earnings.

Access our full research database on Brenntag SE

Builders FirstSource, Inc. $BLDR US by Black Bear Value Partners

Thesis: Builders FirstSource, Inc. is a leading residential building materials supplier benefiting from structural housing shortages, a higher value-add mix, and strong free cash flow yields.

Source: https://drive.google.com/file/d/1hlOyWq0LkUBeZY8XOoR-PNEdJFyJ96yH/view?usp=drivesdk

Analysis: BLDR declined 28% in 2025 amidst weakness in the housing market and as new home starts pressured sentiment. Fundamentally, the Company performed well despite these headwinds and should generate a significant amount of free cash flow in 2025 ($800MM-$1BB). This translates to a trailing yield of 7-9%. If we owned this business privately, we would be pleased to collect a 7-9% yield in a weak year with the promise of significantly higher cashflows when housing starts pickup. We have previously discussed whether there could be short-term fluctuations with the stock, but so long as the long-term thesis was intact, we would continue to own the business.

BLDR is a manufacturer and supplier of building materials with a focus on residential construction. Historically this business was cyclical with minimal pricing power as the primary products sold were lumber and other non-value-add housing materials. Since the GFC, BLDR has focused on growing their value-add business that is now 40%+ of the topline.

Our long-term thesis remains intact as there is a structural shortage of housing in the USA. Higher mortgage rates reduce the supply of existing home supply as homeowners are locked into low-rate mortgages. As we have seen in recent history, the overall pie of housing activity may shrink, with new homebuilders capturing an increasing share of home sales. Homebuilders can buy-down the mortgage to a lower rate and accept a lower, yet still healthy margin on the home sale.

The company has sustained higher gross margins as they have gained scale. I estimate normalized free-cash-flow per share to be $9-$14 per year implying a free-cash-flow yield of 9-14% with no growth priced in.

Access our full research database on Builders FirstSource, Inc.

Stock Analysis Compilation #125

Fri, 03 Apr 2026 15:02:50 GMT