Baozun might be known as "the Shopify of China", but their stock isn't priced like it. Shopify's valuation is 30x higher than Baozun, relative to each of their sales. Baozun's growth has slowed due to the United States trade war against China. That, coupled with fraud concerns around Chinese companies, has cut Baozun's price to sales ratio in half since June 2018. I … [Read more...] about Baozun Is Not Priced Like the Shopify of China
Weekly Articles
The Stock Market Is Getting Overvalued
I believe the stock market is getting overvalued. While I generally oppose pessimism, there are too many red flags given where we are politically and economically. Premium members have watched me shed 30% of my portfolio over the past week, while also building short and put positions. Several indicators show that the market may be overheating. I do not have a crystal … [Read more...] about The Stock Market Is Getting Overvalued
Investing in COVID Treatments, Actions Speak Louder Than Words
COVID-19 is devastating the global economy, and biotech firms are investing at a furious pace to treat the disease. When you peel back the onion, however, they might not be investing as much as you think. Several companies are making splashy announcements about COVID, which is subsequently driving up their share price. Before you invest in these companies, remember, … [Read more...] about Investing in COVID Treatments, Actions Speak Louder Than Words
Chinese Delistings, We’re Missing The Obvious
Investors worry that the United States will delist Chinese companies, and these valuations are going down accordingly. This is due to the Senate passing the Holding Foreign Companies Accountable Act. While this bill will protect United States investors and strengthen their market integrity, I don't expect China will sign off on this without major concessions. These … [Read more...] about Chinese Delistings, We’re Missing The Obvious
Stitch Fix is an Educated Bet on the Retail Apocalypse
COVID-19 is accelerating the retail apocalypse - even when stores open back up, people would rather go to the DMV than inside a dressing room. While the world is changing around them, all retailers can do is sit back and watch their self destruction. Sky-high leverage, coupled with underinvesting in personalized eCommerce, has left them castrated. Some companies have been … [Read more...] about Stitch Fix is an Educated Bet on the Retail Apocalypse