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YB new stock pitches (Thu, Oct 10)

YB new stock pitches (Thu, Oct 10)

Connor Van Ooyen
October 10, 2024

Hello!

I’ve just added 41 new pitches to the website.

As always, you can visit the website to see all of the stock pitches and search/filter them at https://www.joinyellowbrick.com (if you are a premium member, make sure to login so you get the most recent pitches).

Thanks for reading!

Connor (founder of Yellowbrick and CEO Watcher)

YB PORTFOLIO

The YB Tracking Portfolio copies the trades of the top 10 investors (based on the average returns of their previous stock pitches) in our database of 1,000+ investors.

Current returns (started mid-May)

WINNING PITCH

+20% returns in 2 weeks

$WED.V popped 20% after announcing a $250M investment and a $100M buyback. It was also pitched by Azagala Capital and Special Situation Investments. You can see all of the pitches for $WED.V here.

This pitch was also included in the Elite Investor Feed.

HIGHLIGHTED PITCHES (FREE)

Author Returns

The below stock pitch is from ASB Partners.

Upgrade to Yellowbrick Road Premium to unlock the historic returns for all authors.

BLOG POST - ASB Partners

ASB Partners Portfolio Holding: VOXX International Corporation

VOXX International Corporation manufactures and distributes automotive electronics, consumer electronics, and biometric products in the United States, Europe, and internationally.

Ticker: VOXX | Price: $6.24 | Price Target: $10 (+60%)
Market Cap: $140M | Timeframe: N/A

⚡️ Electronics | 🚨 Special Situation | 📈 Bullish Idea

VOXX International Corporation (VOXX) received a $5.50/share acquisition offer from Gentex Corp. (GNTX), representing a 50% premium. Gentex acquired a 27% stake in VOXX, including 3,152,000 shares at $5/share from a selling director. Gentex's interest likely stems from EyeLock's iris biometric technology for potential automotive integration. A higher offer is expected, given the sequence of events and the 91-year-old founder stepping down. VOXX is undergoing a turnaround with asset sales and deleveraging, potentially returning to profitability this year. The company's main assets include Automotive, Consumer/Premium Audio, ASA Electronics JV, and BioCenturion JV (EyeLock). Two valuation theories suggest a potential $10/share value based on recent transactions and asset sales. With a floor at $5.50 and current trading at $6.30, VOXX presents asymmetric upside potential, even without a sale, as long as the business continues its turnaround efforts.

Read the full article here. Read time: 4 min

Share this stock pitch:

https://www.joinyellowbrick.com/sp/12953/?ref=PLACEHOLDER

Author Returns

The below stock pitch is from Central Tendency.

Upgrade to Yellowbrick Road Premium to unlock the historic returns for all authors.

BLOG POST - Central Tendency

On Boat Rocker's ($TSX.BRMI) Content Investments

Boat Rocker Media Inc., an entertainment company, creates, produces, and distributes television and film content in Canada, the United States, and internationally.

Ticker: BRMI.TO | Price: CAD 0.95 | Price Target: N/A
Market Cap: CAD 31.51M | Timeframe: N/A

🎥 Entertainment | 📈 Bullish Idea

* I use Interactive Brokers link to trade international and OTC stocks (if you can’t trade them in your current brokerage)

Boat Rocker Media Inc. (BRMI.TO), a Fairfax-controlled Canadian entertainment company, trades below net cash following the sale of its 51% stake in Untitled Entertainment for CA$52.1m. The company has valuable assets, including an 8% interest in The Initial Group, a CA$69.6m content library, and other equity investments. Despite historical profitability, Boat Rocker experienced negative FCF from FY19-FY22 due to content investments, but has generated >CA$100m in FCF from FY23 to YTD Q2 FY24. Management is shifting to a lower-risk content strategy and hinting at potential share buybacks. The company's downside is protected by its assets, and management is aligned with 18% ownership. Boat Rocker's business model involves IP sourcing, assessment, and monetization, with production funded through pre-sales and tax credits. The company's current market cap is ~CA$55m, trading at an enterprise value of -CA$24.1m, indicating significant undervaluation.

Read the full article here. Read time: 10 min

Share this stock pitch:

https://www.joinyellowbrick.com/sp/12922/?ref=PLACEHOLDER

Author Returns

The below stock pitch is from L1 Long Short Fund.

Upgrade to Yellowbrick Road Premium to unlock the historic returns for all authors.

FUND LETTER - L1 Long Short Fund

L1 Long Short Fund Limited Portfolio Holding: Rightmove plc

Rightmove plc, together with its subsidiaries, operates online digital property advertising and information portals in the United Kingdom and internationally.

Ticker: RMV.L | Price: 6.22 | Price Target: N/A
Market Cap: 4.90 | Timeframe: N/A

🏡 Real Estate Marketplace | 📈 Bullish Idea

Note: 3 more pitches from L1 in “The Rest of the Pitches” section

Rightmove plc (RMV.L), the UK's leading real estate marketplace with over 80% of search traffic and lead generation, recently rejected takeover proposals from REA Group that offered a 40% premium. Despite the disappointment of the failed acquisition, Rightmove's long-term outlook remains positive. The company is well-positioned for double-digit earnings growth and potential benefits from a cyclical upturn in the UK housing market. Rightmove's strong network effects and dominant market position contribute to its attractiveness as an investment. Trading at a 2025 P/E of less than 22x, the stock represents a significant discount compared to global peers, making its valuation highly attractive for investors.

Read the full article here. Read time: 1 min

Share this stock pitch:

https://www.joinyellowbrick.com/sp/12931/?ref=PLACEHOLDER

Find all of the stock pitches on https://joinyellowbrick.com (30-day delay for free subscribers).

Unlock all stock pitches (plus historic author returns and Elite Investor Feeds) by upgrading to Yellowbrick Premium.

THE REST OF THE PITCHES

To get access to all of the stock pitches, upgrade to Yellowbrick Road Premium. If part of your job is idea generation (either for your personal account or a fund), it’s a no-brainer.

FEATURED INSIDER TRADE

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Chief Executive Officer at Dave & Buster's Entertainment, Inc. ($PLAY)

The Chief Executive Officer purchased 14,912 shares at $33.67/share ($502K total) which increased their vested holdings by 10.3%. The current price is $31.95 (-5.1%). Their median purchase size is $761K and this is their 2nd largest purchase out of 2 all time. link

🎁 REFERRAL PROGRAM 🎁

Use your unique URL below or the share URL for any of the stock pitches to unlock insanely valuable awards.

Premium members have access to these awards here.

THAT’S ALL FOLKS

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Connor

*Follow Yellowbrick on Twitter at @joinyellowbrick

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