Analyzing GFL's Strategic Alternatives: Since going public in March of 2020, GFL’s operational performance has been exceptional. The company has more than doubled both revenue and EBITDA, while taking its leverage ratio down from over 6x to its current ~4x. In growing both its earnings and reducing its leverage, one would expect ample value to be created for shareholders. As impressive as its operating results have been, its stock price performance has been lackluster. Management has taken an ad
June 21, 2024, 2:33 p.m.
eDreams: Q2 Update – A Multi-Bagger Still Hiding in Plain Sight: In August, I wrote an article “eDreams: A Multi-Bagger That is hiding in Plain Sight.” Given that they just reported their second quarter earnings, I thought it was worth an update given there was some incremental guidance given during the report. The quick summary is it’s still a multi-bagger hiding in plain sight. Now, let’s get to why.
Nov. 16, 2023, 7:23 p.m.
eDreams: A Multi-Bagger Hiding in Plain Sight: Introduction: eDreams, a frequent subject of my Substack articles, has executed a transformation from its original transaction-focused business model to a subscription-focused model. It grew Prime subscriptions from 0.3mm in Q1 2020 to 4.9mm as of August 22, 2023. What is most impressive about eDreams during this time, setting aside a year of COVID lock downs, is that it grew its subscription business in a profitable manner (using economic profits,
Aug. 31, 2023, 1:08 p.m.
Big Win for The Good Guys - "Board Refreshment" at Texas Pacific Land Corp.: Big news, that was a long time coming, from Texas Pacific Land Corp. (TPL). After the August 1st close, TPL announced a “Board Refreshment”. Specifically, the two co-Chairs, David Barry and John Norris, will retire from the board at the 2023 Annual Meeting. Furthermore, TPL announced that it has entered into a Cooperation Agreement with board members, and large shareholders, Murray Stahl and Eric Oliver. I’d like to go
Aug. 2, 2023, 3:34 p.m.
First Watch Restaurant Group: An Early-Stage Compounder: Peter Lynch’s adage “buy what you know” compelled me to research and ultimately buy shares of First Watch. I first learned about it while at an old job – there was one next to my office. I found the food to be enjoyable. I ultimately left the job and didn’t think about it again. A couple years later, they built one near my house. In the meantime, the company had gone through a massive revamp. The food was still high-quality, using fresh in
June 15, 2023, 3:55 p.m.
Chemed – My Nomination for Inclusion In The Next Edition of The Outsiders: Chemed (CHE) is a holding company which is currently the home to two businesses, Roto-Rooter (plumbing services) and Vitas (hospice care). Its capital allocation is second to none. They have a history of engaging in large, transformative transactions, when it is in the best interest of shareholders. Since 2003, they’ve settled into growing Roto-Rooter (via organic growth and acquisitions) and Vitas (mostly via green field
May 19, 2023, 10:03 p.m.
