Yet Another Value Podcast

Dickson Pau, Tom Moore, and Bill Henry, three first years at Columbia Business School, discuss their investment thesis for Angi. The three pitched ANGI in the Pershing Stock Challenge (placing second!), and they go into the due diligence they did putting their investment thesis together, the potential upside they see at ANGI, and all of the different risk factors they thought about.The first Yet Another Value Podcast on ANGI: https://youtu.be/J2trsM41DTUSpring Graham and Doddsville (ANGI pitch on p. 24): https://www8.gsb.columbia.edu/valueinvesting/sites/valueinvesting/files/Graham%20%20Doddsville_Issue%2042_v8.pdfTom's Twitter: https://twitter.com/FriarTom15Dickson's Twitter: https://twitter.com/DicksonPauChapters0:00 Intro and backgrounds2:40 Why they chose ANGI for their pitch7:10 Dickson's DD booking ANGI projects15:00 Takeaways from ANGI expert calls22:20 Fixed price: the most exciting piece of ANGI28:30 How the team views ANGI's new CEO36:20 Why hasn't ANGI hit their merger targets?40:40 Is ANGI's near term decline in service requests concerning?45:50 ANGI's struggles with service providers52:20 Competition risk57:00 Laying out the long term case for ANGI1:00:30 Closing thoughts

Javier Lovato from the Blind Squirrel comes on the podcast to discuss his post on Netflix, including why Netflix's scale is a massive moat, why the "Netflix doesn't do have quality" debate is wrong, and why Netflix is years ahead of their competition.Blind Squirrel's Netflix Write Up: https://blindsquirrel.substack.com/p/netflix-focus-and-executionChapters0:00 Intro1:25 Why is Netflix a good investment?7:25 Netflix's relationship with creators14:05 Where is Netflix's Game of Thrones21:50 Does Netflix's weak Q1 indicate competition is gaining on them?39:30 Why'd Netflix stop disclosing churn?41:35 Netflix cost of capital and share repurchases48:15 Opportunity cost of Netflix versus Disney, Spotify, or legacy media51:30 Does Netflix need to get into video games?

Neil Cataldi from Blueprint Capital discusses his investment thesis for Sanara Medtech (SMTI). Sanara is growing quickly, and Neil thinks continued growth in their product portfolio and hospitals they are approved to sell in will drive continued accelerated growth and long term compounding.Chapters0:00 Intro1:00 Sanara overview5:30 How is Sanara increasing their hospital reach?14:25 Discussing management21:10 Related party risks33:20 Breaking down SMTI's growth42:45 Sanara's telehealth ambitions1:01:10 Closing thoughts

Alex Morris, founder of The Science of Hitting, comes on the podcast to discuss his investment thesis for Spotify (SPOT). Topics include how Spotify can compete with larger competitors like Apple and Amazon, why Spotify is gaining the upper hand in negotiations with record labels, and how Spotify today rhymes with Netflix in the early stages of their streaming pivot.The science of hitting substack: https://thescienceofhitting.substack.com/Chapters0:00 Intro1:40 Why is Spotify a good investment?4:40 How the past year built Alex's confidence in SPOT7:55 Spotify as Netflix 2.011:30 Spotify's discover potential versus Netflix home page13:40 Bear case #1: Competing with giants17:35 Bear case #2: Lack of operating leverage and dealing with labels22:10 Touching on the Taylor Swift re-recording24:40 Bear case #3: Valuation32:00 Bear case #4: Opportunity cost versus buying Twitter37:40 Bear case #4 continued: Why not buy a label?41:37 Live and podcast opportunity46:10 Spotify's video opportunity48:20 Content moderation issues52:45 Spotify's concert and live event opportunity55:45 What could Spotify acquire?1:01:40 Alex's closing thoughts

Jeremy Raper, founder of Raper Capital (https://rapercapital.com/), makes his fourth podcast appearance to discuss his foray into activism at Hunter Douglas (HDG.NA). Hunter Douglas's controlling shareholder recently made an offer to take the company private that, to put it bluntly, vastly undervalues the business. Jeremy is pushing back on the deal and the process, and in this interview he explains why he's fighting the current offer and how he thinks the process will play out.Jeremy's letter to the Hunter Douglas Board: https://rapercapital.com/2021/04/21/open-letter-to-the-independent-committee-of-the-board-of-hunter-douglas-n-v/Chapters0:00 Intro1:30 Hunter Douglas Overview3:05 Why is this a good business?7:45 Performance in the pandemic and the blockbuster recovery9:45 Framing the event12:15 Simplifying the event even further16:00 Valuation versus peers22:45 Why is this process worse than a typically conflicted management buyout?30:45 How the timing of the offer was unfair to minorities35:45 A callback to the StoneX / Gain deal39:25 How the process plays out post-acceptance period45:15 Comping this deal to Collector's Universe49:40 Discussing the squeeze out51:30 Praising the poetry of Jeremy's letter53:35 Jeremy and I hop on our horses about companies and regulators ignoring rules and laws55:55 Closing thoughts

Ian Bezek from Ian's Insider Corner discusses the most interesting event thesis I've seen this year: buying RenRen (RENN) into their legal battle over the OPI assets.Ian's original RenRen write up: https://seekingalpha.com/article/4406707-renren-shareholders-claim-huge-sofi-stake-via-little-noticed-legal-fightIan's Twitter: https://twitter.com/irbezekChapters0:00 Intro1:05 RenRen Overview2:25 How Ian discovered RenRen3:50 OPI transaction background6:40 Discussing OPI's valuation8:15 Oasis (the lead plaintiff) and the attempt to reclaim value9:45 Laying out the event path11:45 Who would pay if Oasis / minority shareholders win?16:05 What is the legal precedent here?18:35 Quantifying the upside21:50 If we win, what happens to RENN minority shareholders?23:55 How SoFi getting adding as defendant changes the lawsuit29:05 Does Chamath's history at CLOV impact the timing here?32:00 Could RENN go into bankruptcy to void the lawsuits?34:10 Valuing RENN's other assets36:15 Closing thoughts

Francisco Olivera, founder of Arevilo Capital, discusses his newest investment in Roblox (RBLX). He covers his vision for the company, why he thinks it's more of a platform than a single game, and how he thinks the company will evolve over time.Chapters0:00 Intro1:15 Roblox Overview4:25 Comping Roblox to Minecraft and World of Warcraft7:00 Defining the Roblox business model11:35 Roblox valuation versus other game companies18:45 Risk from Roblox's user base26:25 Sustainability of Roblox's user base29:38 Growing Roblox's DAU34:00 Thinking about Roblox's COVID boost37:00 Content moderation risk42:00 Upside from Robux or messaging49:10 Breaking down long term margins52:40 Roblox's management team57:15 Capital allocation going forward59:55 Laying out a reasonable bull case1:05:45 Quick Falcon and Winter Soldier catch up

Eugene Robin and Andrew Leaf from Cove Street discuss their investment in Viemed. Viemed targets organic growth rates over 30%, yet the company only trades for ~15x free cash flow. Andrew and Eugene lay out their case for why the market is wrong on this one, including why VMD's business model is advantaged versus their competitors and why they aren't scare of a Medicare cut in the near to medium term.Cove Street's first podcast appearance on Viasat (VSAT): https://youtu.be/Otw0oWvuhdU​Chapters0:00​ Intro1:10​ Viemed overview4:30​ Typical use case for VMD's ventilators7:35​ Discussion of COPD market12:35​ How VMD's business model is different than peers24:20​ Why is the market valuing a 30% organic growth business at 15x free cash flow?33:20​ Medicare cut risks and what happened in 201639:10​ VMD's acquisition potential42:00​ VMD's moat with hiring therapists47:00​ Discussing VMD's bad debt expense50:00​ COVID's impact on VMD53:30​ Cove Street's price target59:40​ Parting thoughts

Adam Wilk, founder and portfolio manager at Greystone Capital, discusses his investment thesis in Liberated Syndication (LSYN). Key topics include why the company would make an attractive acquisition target, how Libsyn can grow in a competitive environment, and potential upside from a lawsuit that could cancel ~30% of LSYN's shares overnight.Adam's Twitter account: https://twitter.com/AKWilkAdam's LSYN thesis on seeking alpha: https://seekingalpha.com/article/4416747-liberated-syndication-update-and-favorable-developments Chapters0:00 Intro1:15 Libsyn Overview11:10 Libsyn Valuation12:55 Libsyn vs. Competitors19:35 Is Libsyn losing market share?23:10 Comping Libsyn to Dropbox29:10 The hunt for a new CEO37:30 Could Spotify dominate podcast hosting like YouTube for video?44:35 Upside from Libsyn's lawsuit to cancel shares

Yaron Naymark, founder and Portfolio Manager at 1 Main Capital, discusses his investment in RCI Hospitality (RICK). RICK is a cash flow machine, and Yaron thinks the company is set to compound free cash flow per share at an accelerated rate for years as they continue to roll up the gentlemen's club industry at very low multiples, execute on their Bombshell's growth plans, and repurchase shares when they trade at attractive prices.Yaron's Twitter: https://twitter.com/1MainCapital1maincapital's website: https://www.1maincapital.com/Chapters0:00 Intro1:55 RICK overview10:05 Getting comfortable with the management team18:30 Discussing the roll up opportunity28:15 Valuation arbitrage on acquired clubs32:25 Bombshell's growth prospects38:50 Breaking down the ROIC for new Bombshell's44:15 RICK valuation and SOTP49:25 Does ESG and regulation help or hurt RICK?51:55 Normalized FCF for RICK57:10 Closing thoughts and adjusting for James Harden leaving Houston