Archive

January. 2020

Misunderstood Performance Amidst the 'Retail Apocalypse'

By Joel Litman

Altimetry Daily Authority,
Friday, January 17, 2020
Joel’s note: The Altimetry offices are closed on Monday for Martin Luther King Jr. Day, so look for the next Altimetry Daily Authority on Tuesday, January 21. Ride-hailing company Uber (UBER) is under assault from the skies… The theme this week here at Altimetry Daily Authority can basically be summarized as “platform companies and all […]

The Biggest Sales Day of the Year

By Joel Litman

Altimetry Daily Authority,
Thursday, January 16, 2020
Yet another platform business is struggling to find profitability… We’ve talked a lot about platform companies this week in Altimetry Daily Authority. On Tuesday, we highlighted food-delivery business Grubhub (GRUB)… and yesterday we talked about ride-hailing service Uber’s (UBER) struggles. In recent years, another transportation-marketplace fad emerged… the on-demand scooter and bike industry. The only […]

A Glaring Warning for a Popular Business Model

By Rob Spivey

Altimetry Daily Authority,
Wednesday, January 15, 2020
Whether a stock is a growth or value stock isn’t the only characteristic that matters when investing… Wealth-management firm William Blair put out a great piece earlier this month on ‘lifecycle’ investing. The idea is that if you invest across companies early in their lifecycles – such as startups and high-growth but still-profitable companies – […]

This Platform Highlights the Problems for Every 'Uber'

By Rob Spivey

Altimetry Daily Authority,
Tuesday, January 14, 2020
Tonight is a must-see opportunity to hear multiple investing greats give their 2020 outlook… Our friends at Stansberry Research are hosting a special event tonight at 8 p.m. Eastern time that we highly recommend you attend. Porter Stansberry, Dr. David Eifrig, and Dr. Steve Sjuggerud will be speaking for likely the only time this year […]

Tightening Credit Standards Can Indicate a Recession... But We're Not There Yet

By Joel Litman

Altimetry Daily Authority,
Monday, January 13, 2020
We often write fondly about some of history’s greatest investors… We can learn valuable lessons about stock picking and fundamental analysis from the careers and investing philosophies of legends like Warren Buffett, Shelby Davis, and Seth Klarman. In fact, much of what we’ve learned from their approaches to financial analysis has influenced the Uniform Accounting […]

Caps and Corks Are Out: Craft Beer Is Better in Cans

By Joel Litman

Altimetry Daily Authority,
Friday, January 10, 2020
Gift cards may really only be a great gift to the retailers you buy them from… On October 11, we discussed how coffee giant Starbucks’ (SBUX) innovation of venturing into the world of banking has led to the market rewarding the company with an impressive rally. Thanks to its mobile app, Starbucks has built a […]

A Leader in Car 'Premiumization'

By Joel Litman

Altimetry Daily Authority,
Thursday, January 9, 2020
The Federal Reserve is still seeking ways to reduce financial risk… Here at Altimetry Daily Authority, we regularly discuss the importance of credit markets in economic and equity market cycles. In particular, we’ve talked about how the corporate cost to borrow helps dictate whether companies will refinance their debts or struggle to refinance them. Last […]

A Different Way of Interpreting Valuation Metrics

By Joel Litman

Altimetry Daily Authority,
Wednesday, January 8, 2020
As long as demand for low-interest bonds remains high, interest rates won’t rise – which will fuel growth… Last week, Bloomberg published an article explaining that $8.7 trillion of sovereign bonds maturing this year are likely to be rolled over. The piece highlights that even with that refinancing, investors can’t find enough safe bonds to […]

Freedom of Advertising

By Joel Litman

Altimetry Daily Authority,
Tuesday, January 7, 2020
In order to boost returns, this popular home-goods retailer is looking beyond operational strategies… Yesterday, Bed Bath & Beyond (BBBY) announced it had completed a sale-leaseback transaction with private-equity firm Oak Street Real Estate Capital, bringing in $250 million in proceeds. Bed Bath & Beyond has seen its Uniform return on assets (“ROA”) fall from […]

Corporate Piggy Banks Are Bouncing Back

By Rob Spivey

Altimetry Daily Authority,
Monday, January 6, 2020
A new set of numbers highlight who’s losing the commercial airline war… Reuters reported last week that Airbus won the volume war with Boeing (BA) last year for the first time since 2011. While Airbus has repeatedly beaten Boeing in terms of orders since 2011, Airbus delivered 863 aircraft in 2019, versus 806 for Boeing. […]

Get Started on Your Favorite Pastime

By Rob Spivey

Altimetry Daily Authority,
Friday, January 3, 2020
This industry is under attack from all sides… The last decade has been the era of the platform and the side-hustle (also known as the “gig economy”). Uber, Lyft, Grubhub, Postmates, TaskRabbit, and other successful “gig” platforms have transformed how consumers interact with the world… and how people think about earning an income. But if […]

When M&A Doesn't Destroy Value

By Joel Litman

Altimetry Daily Authority,
Thursday, January 2, 2020
Here’s an attainable New Year’s resolution… As we open to the New Year, many folks will be making those same New Year’s resolutions… “New year, new me.” In reality, we all understand change is hard. That’s why resolution failure rates are so high – most searchable statistics say around 80% of resolution commitments end up […]
Joel Litman

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