Investment Thesis Double-digit growth in university students will likely continue to support increased demand for HMOs – homes of multiple occupation- in student cities. This combines with increased costs and regulations for HMO landlords, in addition with local council rules, limiting supply of student homes. Together these are likely to support continued 5%+ growth ratesContinue reading “Why student housing BTLs remain a solid investment”
Author Archives: equityanalyst13
Global Foundries (GFD) Q3’22 earnings call
Summary financials Key Takeaways “Since the beginning of the quarter, some of our customers have requested to modestly adjust some of their 2023 shipments downward, particularly with respect to the first half of 2023″
MediaTek: Hurt by US closing Huawei loophole
Source: “Taiwan’s ‘bandit phone king’ hit by US crackdown on Huawei”, FT, 24th August 2020 In May 2020, the US barred chipmakers from selling Huawei any custom-made semiconductors made with US equipment. For Huawei, this would have made MediaTek’s off-the-shelf smartphone chipsets the obvious choice, a development that would have boosted the Taiwanese chipmaker’s fortunesContinue reading “MediaTek: Hurt by US closing Huawei loophole”
How Ratuken’s OpenRAN solution sidesteps software traditionally provided by Huawei, Ericsson and Nokia
Source: FT, Jul-2020, “Telecoms networks look to fix Huawei problem with open source software” The nascent “OpenRAN” movement is now on the verge of launching a national 5G network without the help of Huawei or its main European competitors Ericsson and Nokia. The competing technology is provided by ecommerce group Ratuken, which has been workingContinue reading “How Ratuken’s OpenRAN solution sidesteps software traditionally provided by Huawei, Ericsson and Nokia”
Common stocks and Uncommon Profits, Philip A. Fisher
Buy the book on Amazon Filtering companies The ratio of “companies looked at” to “companies visited” was probably one in every forty or fifty. Its worth mentioning I believe it so impossible to get much benefit from a plant visit until a great deal of pertinent “scuttlebutt” work (primary research) has been done first. WhatContinue reading “Common stocks and Uncommon Profits, Philip A. Fisher”
How private equity firm Silver Lake used (needed) financial engineering, tough negotiating and luck to make a profit investing in a terrible business
Source: FT, Friday 5th Feb 2021 Having taken on $500m in senior debt during the pandemic from investors including Apollo Global, AMC Entertainment, the cinema operator, quickly found itself burning through $100m in cash per month with no-one going to movie theatres. In order to buy itself time, AMC embarked on a complex refinancing program,Continue reading “How private equity firm Silver Lake used (needed) financial engineering, tough negotiating and luck to make a profit investing in a terrible business”
Chinese battery makers set to take the lead in Europe
Source: FT, Wednesday 7th December 2022 Key insights:
What are the US housing trends we are seeing in DFH markets?
Thursday 10th November, 2022 Dream Finders Homes is predominantly operating in Southern US states, which are benefiting from long-term positive migration trends. (Exhibit 1) Exhibit 1: Almost half of US population growth since the 1970s has been in the South Source: US Census Bureau Key drivers being warmer weather and lower state taxes (State income taxesContinue reading “What are the US housing trends we are seeing in DFH markets?”
Given the spike in US home prices, do you think its fair to assume home prices will rise at 5.5% CAGR going forwards?
Thursday 10th November, 2022 Yes it’s a good spot. Median house prices in the US rose 18% in 2021, following +5% and -2% price changes in 2020 and 2019, respectively. This 18% rise also looks high relative to the median household income line of best fit. (Exhibit 1) Exhibit 1: The sales prices of newContinue reading “Given the spike in US home prices, do you think its fair to assume home prices will rise at 5.5% CAGR going forwards?”
DFH’s land options and potential balance sheet impact from write-offs
Thursday 10th November, 2022 The premiums paid for options are assets accounted for in the balance sheet under “Lot Deposits”, as of September 30, 2022 these were valued at $291m. Having to walk away from all option premia would be a bad outcome. The impact on the balance sheet would depend on: DFH’s current lotContinue reading “DFH’s land options and potential balance sheet impact from write-offs”
The Equity Analyst 