Another great choice to write up, Wolfie. For me, the value-add is your commentary on the oddities, warts and snags--i.e., identifying some specific operational, market or financial circumstance, outlining it's accounting manifestation and then assessing the implications of those factors for valuation and price. (Or vice versa: the meta-add is getting to ride along as you pick up the scent anywhere along that linkage and chase the others down.)
Curious what your thoughts are, generally, about family-owned companies or firms with a long history of closely-held ownership. I think it's an important interpretive/predictive characteristic, but it can cut a lot of different ways: they are often better at ignoring the chirping of equity markets and so better at exercising long-term strategic discipline; OTOH, there's the risk of a very consequential and essentially private agenda behind that strong executive control that retail will be the last to find out about.
Another unique feature, nepotism, presents a similarly mixed bag. There are cases of successful young execs who were born and bred to run the company whose work runs in their blood (in some instances, maybe literally). However, fruit tree branches can be surprisingly long; I always worry about the apples that are/were in line for the throne no matter how fall far they fell from the tree.
p.s., Glad to see the 'stack seems to be working out.
Hi Wolf, thanks for the write-up! Lots of things are happening with this company, as @blinklebloop mentions a high probability of a sale. Besides that, a couple of things that came up from the article:
1) They report in USD, so those $8.5 million that you annualized would be $34 million USD, right?
2) Wouldn't you compare that to the backlog deliverable NTM (excluding French assets) that amounts to $250 million USD?
3) A couple of good things going forward: no more legal costs from the asbestos lawsuit, they had a bunch of spare capacity that they will keep reducing, procurement optimization, etc., all the elements of the turnaround.
4) Q4 usually is their stronger quarter as there is a concentration of orders, plus this Q4 some big orders from Italy also slipped into Q4. Just more color on what is to come.
Wolf, can you detail how you arrive at short term liabilities of 302m under the heading balance sheet,...I see you write this under most if not all your reviews but am clueless as to where you find these liabilities... seriously meant , thanks in advance
Another great choice to write up, Wolfie. For me, the value-add is your commentary on the oddities, warts and snags--i.e., identifying some specific operational, market or financial circumstance, outlining it's accounting manifestation and then assessing the implications of those factors for valuation and price. (Or vice versa: the meta-add is getting to ride along as you pick up the scent anywhere along that linkage and chase the others down.)
Curious what your thoughts are, generally, about family-owned companies or firms with a long history of closely-held ownership. I think it's an important interpretive/predictive characteristic, but it can cut a lot of different ways: they are often better at ignoring the chirping of equity markets and so better at exercising long-term strategic discipline; OTOH, there's the risk of a very consequential and essentially private agenda behind that strong executive control that retail will be the last to find out about.
Another unique feature, nepotism, presents a similarly mixed bag. There are cases of successful young execs who were born and bred to run the company whose work runs in their blood (in some instances, maybe literally). However, fruit tree branches can be surprisingly long; I always worry about the apples that are/were in line for the throne no matter how fall far they fell from the tree.
p.s., Glad to see the 'stack seems to be working out.
Hi Wolf, thanks for the write-up! Lots of things are happening with this company, as @blinklebloop mentions a high probability of a sale. Besides that, a couple of things that came up from the article:
1) They report in USD, so those $8.5 million that you annualized would be $34 million USD, right?
2) Wouldn't you compare that to the backlog deliverable NTM (excluding French assets) that amounts to $250 million USD?
3) A couple of good things going forward: no more legal costs from the asbestos lawsuit, they had a bunch of spare capacity that they will keep reducing, procurement optimization, etc., all the elements of the turnaround.
4) Q4 usually is their stronger quarter as there is a concentration of orders, plus this Q4 some big orders from Italy also slipped into Q4. Just more color on what is to come.
Curious to know your thoughts on this.
Thanks!
Thanks wolf atrium did a write up on this as a recommendation. I am glad you are looking at stocks above 5.00 as well. Keep it up
Wolf, can you detail how you arrive at short term liabilities of 302m under the heading balance sheet,...I see you write this under most if not all your reviews but am clueless as to where you find these liabilities... seriously meant , thanks in advance
They are going to sell it