Industries Best-Positioned To Go Mobile Post COVID

Industries Best-Positioned To Go Mobile Post COVID

We list a handful of industries that may accelerate their mobile workforce and remote capability efforts in the COVID aftermath. ASSET MANAGEMENT: We believe the big opportunity here is for virtual meetings whether they be one-on-one meetings between investors and management teams or full analyst days. Basic video communication and live streaming services are offered … Continue reading Industries Best-Positioned To Go Mobile Post COVID

Cheap Debt: The Gift that Kept on Giving

Cheap Debt: The Gift that Kept on Giving

Policy makers have held interest rates artificially low since the 2008 financial crisis. This unnatural act - preventing interest rates from finding a natural equilibrium - made it difficult for investors to find yield and equity market valuations ballooned as a result. The cheap debt train has pulled into the station. (See the debt issuance … Continue reading Cheap Debt: The Gift that Kept on Giving

The Return of Actively-Managed Funds

The Return of Actively-Managed Funds

This is a stock picker's market. The table seems to be set for a return to active management. It seems the equity markets have traded in synchronicity over the past number of weeks during the COVID outbreak. There has been little differentiation between individual Technology stocks on the way down and on up days. This … Continue reading The Return of Actively-Managed Funds

A Common Sense Approach to Crisis Management. Leveraging A 6-Step Plan.

A Common Sense Approach to Crisis Management. Leveraging A 6-Step Plan.

During a crisis (bookings down by as much as 80% for some Enterprise Technology companies), leaders act with imperfect information. A reactionary approach is never the optimal approach. We offer a 6-step plan. Vilfredo Pareto was an Italian engineer, sociologist, economist, political scientist, and philosopher. The "Pareto principle" - better known as the 80/20 rule … Continue reading A Common Sense Approach to Crisis Management. Leveraging A 6-Step Plan.

High Yield Is High Yield No Matter How You Securitize It

High Yield Is High Yield No Matter How You Securitize It

High Yield debt is High Yield because of the underlying risk profile of the issuer. "Whole Business" securities masked this risk - and won High Grade status - by pledging additional assets. Guess which security type is blowing up? High Yield debt is High Yield no matter how you package it. High Yield issuance exploded … Continue reading High Yield Is High Yield No Matter How You Securitize It

Public Service Message to VC’s: Time to Write Down Your Portfolios

Public Service Message to VC’s: Time to Write Down Your Portfolios

Time for VC's to write down their portfolios. The same holds true for Private Equity portfolios. We led with VC's in the title because venture-backed valuations bear little resemblance to any economic reality whereas private equity valuations are largely grounded in reality. Public company valuations are not going to snap back to normal. The U.S. … Continue reading Public Service Message to VC’s: Time to Write Down Your Portfolios

Disney Ought to Spin Off the Parks Business

Disney Ought to Spin Off the Parks Business

Disney's Parks business is preventing the "Content" side from realizing its full valuation potential. Look no further than Netflix as a proxy. Disney's (tkr: DIS), "Content" business is significant. "Parks" is large enough to stand on its own. A simple run rate calculation on Disney's December quarter "Content" Operating Income figure of $1.9 billion implies … Continue reading Disney Ought to Spin Off the Parks Business