Deep Sail Capital

Deep Sail Capital - Q4 2025 Investor Letter is now available on our website. The letter includes our long thesis on Sanuwave Health ($SNWV). The fund returned 34.8% in 2025 and 38% in 2024 net of fees. deepsailcapital.com/investor-lette…

@AlmostMongolian Buyback plus executing on VSDOne licences and we are in a great spot here.

$vst.cn finally started buying back shares. Both $nurs.v and VST have been buying back shares in recent days. Promising sign.

@nobenchmark Yeah me too. This is pretty normal for a business with a large Q4 relative to other quarters and also they moved to a distributor model which extends receivables even more. I bought some more the last few days. Their loss my gain I guess.

$SLYG The panic over a/r growth was a massive overreaction imo. Is the increase ideal? No. But mgmt has spent years proving they can execute. That track record outweighs a temporary weakness in working capital. I’m surprised that shareholders who spent years praising

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@WaterworldCapi1 *Quantum play

@WaterworldCapi1 There’s very few good shorts these days. $WRBY - It’s still a terrible model, any DTC to retail model rarely works, the pivot to contacts saved them. Google glasses hype is fading. $QUBT was never an actual quality run play, it’s worth $1.6B still on less than $1m rev

@CPDDOUGH Yeah I agree. Private is always slower to adjust to new market dynamics.

@DeepSailCapital the private guys are slow moving. they raised funds for this thing x so they are going to buy it. also possibly dumb. seems odd conclusion but last few years have taught me they operate with blinders on.

$CSU - Chief Investment Officer: No change in private market valuations in VMS. Competition for these businesses is still very strong. Either public markets are wrong or private markets are wrong.

Allbirds - Will it survive it's strategic shift? ($BIRD), open.substack.com/pub/shortscorn…

$NUAI's big announcement was Not that they signed a hyperscaler tenant but instead that they signed an LOI to buy more dirt from a co called Jones Bros Dirt. Why an LOI & not a purchase? Because NUAI company has run out of cash and needs to dilute shareholders. NUAI only had $1.2 million of cash left as of Dec 31st & monthly cash burn was $1.4m per month. The company can't even afford to buy dirt. The 10-K highlights they need to raise $74 million over the next 12 months. Even worse $9.85 million is needed to pay Sharon AI by March 31st A large dilutive share sale is coming soon! In fact, more shares were registered for sale at the end of last week. Management are terrible negotiators so they agreed to multiple bad clauses that will make the price of dilution even more painful for NUAI shareholders 1) Mgmt agreed to issue warrants with a cashless exercise feature to a vulture hedge fund (10K shows no additional funds raised despite 3+ million of shares issued) 2) Mgmt agreed with the vulture fund not to issue more convertible notes, warrants, etc. Smart for the HF, dumb for mgmt. Next round of dilution will come at a large discount! We warned shareholders they were going to get diluted back at $8-9, it's going to be even worse this time around. Btw - NUAI lack the necessary permits to become anything more than dirt - No water permits - No air permits - We even spoke with Odessa city council members who told us NUAI hadn't applied for water permits. In fact, none of them had even ever heard of New Era Energy If you invest in a company run by dirtbags who can’t afford to buy dirt from the dirt bros, don’t be surprised if your portfolio turns into a graveyard - Short $NUAI

@the_fat_pitch Yeah the apparel is expansion could be significant, I think that widely being missed.

FY25 EBITDA margin 18.8% ahead of schedule (3y target of 18% they announced in 2023 for 2026) ✅ Most likely sandbagging EBITDA margin 2026 ’cause CHF is unpredictable especially during volatile times New growth drivers as the company is expanding apparel aggressively ✅ It is amazing!

$ONON kind of gives me vibes of $ATZ.TO when they struggled with growth / expansion a few years ago and everyone questioned the company, but it had great management and great product execution. Then the stock 4x over a couple of years.

@CapitalObserver Yeah. Technically we are bottomed on so many charts. War will end at some point and market will be up.

Is anyone on Fintwit bullish?

@SharogradskyM For a company growing revenues 50% YoY, I don’t find it odd at all that they saw large large swings in their receivables especially when their sales channels are shifting. Management could have handled the comments on it better though. I’m still long.

Thanks for opportunity to add, I think it complete non sense when someone write that company should worth 10B in few years month ago and than sell because of expectations of channel stuffing for one quarter 😁 Long $SLYG

@MrMojoRisinX I calculate downside by taking a view on a realistic valuation and then assuming the stock eventually trades to that valuation. I agree, yes these are all Shitcos that could go up 150-400% in no time and then be even more overvalued.

Interesting list of garbage! Just so I am clear, let's say XYZ stock has 90% downside according to your 'The Shortlist Shitco Tracker' table (no clue how you calculate downside of 87% vs 91% or 83% with such precision, but so be it...), and the stock tomorrow or next week or over the next month goes up 150% or even 400%, the stock still has 90% downside though, right?

The Shortlist - Update 3/16 open.substack.com/pub/shortscorn…

@CFAs4CFPs Yeah, it seems like this is from the previous organization and needed to be cleaned up. It’s not that material and agree won’t matter to the go forward business.

@DeepSailCapital Such a bad look for SNWV, this pullback is relentless. Any thoughts? At least they're cleaning up and this has zero effect on future revs/growth which is almost 100% thesis sec.gov/Archives/edgar…

What microcap growth stocks do you like that have very large TAMs that are not reflected in the share price?

@KairosPraxis I like digging in when it’s up a lot and then waiting for it to come down because the momentum has shifted / Valuation got ahead of itself and buy with conviction.

Sometimes I start digging into a business because the stock is up 100% in the last x months. Other times, it's because of a blood bath and the stock is trading at dirt cheap multiples. Both have turned out to be terrible ideas in hindsight.

@KyleSamani More oil investment in other places. Africa, South America, maybe even European shale (which is basically outlawed right now).

@robertfreth I wish I held on the whole time. I sold in the $30s I think.

@DeepSailCapital What a great call this was

$IESC below $18 a share has been a gift for anyone paying attention to the name. Multi year compounder, highly underfollowed.

How can one not be bullish on Kraken Robotics!? $KRKNF $PNG.V