value and opportunity

A great selection of stock write-ups collected by the Capital Employed substack

Credit Suisse might be a really bad bank but they do a very good year book on long term returns

Some highlights from Berkshire’s fresh 2022 annual letter to shareholders

For those who found the Berkshire letter too short, the Semper Augustus (Chris Bloomstrain) 2022 letter is (as aways) epic.

Benedict Evans’ annual technology outlook is worth spending some time on

Great long read on Energy prizes and the lack of Tomatoes in the UK

A good review if and to what extent the Small cap premium still exists (US data)

Must read: Prof. Damodaran on Free Cash Flow calculation (Spoiler: Don’t underestimate P/E and EV/EBIT measures)

Matt Levine with his epic “article” on all things Crypto

A good collection of recent and coming spin-offs

Twitter is a “disaster clown car company” with Elon Musk in charge.

Klement on Infrastructure investments and inflation protection

Ben Thompson (Stratechery) with a deep dive on the chip industry and American sanctions

Jim Chanos is always worth watching and listening to

Slowly we are reaching the end of my Journey through Denmark. Another 10 randomly selected stocks, this time yielding two “watch” candidates. Only 48 now outstanding. Enjoy !!!

121. Strategic Investments A/S

Strategic Investments is a 52 mn EUR market cap investment vehicle that invests into securities, private equity and real estate. Investor relations is in Danish only. Looking at the share price, there doesn’t seem to happen a lot of value creation here. “Pass”.

122. Copyright Agent

Copyright Agent is a 2 mn EUR market company that “is a legal-tech company that helps professional content creators to ensure their original work against misuse by other companies.”  This 2021 IPO is actually growing quite fast, but losses are growing faster with an EBIT margin of -50%. Cash at June 30th at the current burn rate only lasts until year end 2022, so capital increase will be coming soon (or bankruptcy). “Pass”.

123. Gyldendal

Gyldendal is a 125 mn EUR market cap book publisher and operator of book stores. After doing nothing for 20 years, the Stock saw some interesting price action in 2021 which has now mostly reversed:

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Some really good advice on how and for what to use Twitter

Morgan Housel with a big post on 17 “common mental models”

Value Situations with a write up on Spin-off Wickes Group Plc

Interesting Twitter thread on how much wheat could actually be missing from world markets due to the Ukraine War (Spoiler: very little). From the same author some facts on fertilizer as well.

Despite the “tech crash”, private Ultra Fast delivery start-up Getir is able to raise money at a record valuation

Some thoughts on what might have triggered Buffett’s interest in Alleghany

The low beta premium seems to be mostly an illiquidity premium

Roughly two years after the beginning of the Pandemic, a lot of people thought that we would now get slowly back to our “normal lives” and chill out. Until Mr. Putin decided that he needs to protect himself by invading Ukraine.

As in the original Panic Journal series, these posts are more “self therapy” than anything else, so please excuse me any irrelevant ramblings.

Maybe one upfront remark: I am an investor, not a political expert. So I don’t know what will happen and speculating about it will not add any value. However one thing is clear: War is always a catastrophe, not justified by anything and in the end, everyone is a loser (or dead). Everyone will pay a price, someway or another.

For good measure, I will add some general remarks about Putin and Ukraine at the end.

Russian stocks: No, no and again no

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