JustValue

Circle $CRCL: Stablecoin giant, speculative investment

How modern payments really work (and who actually gets paid)

Looking to add another analyst at SF Bay Area hedge fund. Global generalist fundamental long/short equity strategy + proprietary sourcing and data science platform. If you have a passion for public markets, reach out. 3-7 years experience req’d. DMs open, retweets appreciated.

Fiserv $FISV

@KeepItRealYYC Check my profile

@justvalue2 Link?

Think banks just move money from savers to borrowers? They literally create money with every loan, reshaping who gets credit, who gets power, and how economies grow. The real story of the “magic money tree”👇

@JustinTXFL Time to revisit

@justvalue2 Back to these levels.

Academy Sports and Outdoors $ASO has pulled back almost ~40% from its March peak. Value trap or entry point? IMO the thesis remains solid and unchanged 🧵

@DeskCalc Thank you for the kind words! I’m happy to hear you’ve enjoyed my writing. This is actually a different blog I’m collaborating with

@justvalue2 Welcome back, I missed your writing

“Is a new financial crisis brewing? Some red flags from the $1.7 trillion private credit market” open.substack.com/pub/bankingreg…

"The cockroach theory: 4 hidden risks stalking the U.S. banking sector" …ngregulationperspectives.substack.com/p/the-cockroac…

A writeup from @LDiscernment: kairosresearch.substack.com/p/top-build-bld A writeup from @justvalue2: justvalue.substack.com/p/topbuild-bld…

@__MattLindsay @LDiscernment Thanks for sharing!

$BLD 🇺🇸 (EV: $910.3B, Last Close: $295.17) TopBuild is the largest installer and distributor of insulation in the U.S. BLD’s scale leads to cost advantages in purchasing and distribution, and a ROIC exceeding 30%.

@W_Scott_Griffin Think about this (silly,unreal) situation. Two companies with same ROIC and the possibility of buying the same company. They buy it for different prices. The company that pays more would have a lower ROIC post-acquisition, having acquired the same company. Does it make sense?

@W_Scott_Griffin I agree with you: to assess capital allocation effectiveness GW should be included. But usually ROIC calculation is more about evaluating/comparing operating performance. In this case, don’t you think that the premium paid (i.e. not a productive asset) shouldn’t be included?

Imo, M&A is a capital allocation decision and the cost (premium) should be considered in ROIC. However, it does take time for returns on M&A to materialize (legacy vs new). Also consider the numerator or NOPAT includes amortization & depreciation. x.com/justvalue2/sta…

@IFB_podcast Many thanks for sharing! In fact I made it by myself (long ago)

Another interesting take from Joel Greenblatt: as the market becomes more institutionalized, opportunities for value investors should increase 🤔

Added 32 new stock pitches to the website (pt 1): @BlokeOak57182 - $POW.L @from100kto1m - $FC @ClarkinM - $ELEV (special sit) @LongYield (earnings updates) - $PL, $NKE @justvalue2 - $COST (overvalued) @DevinLaSarre - $UG (earnings update)